The present study intends to examine the stage of e-commerce utilization by the hotel industry in North Cyprus and then to assess the issues that could indeed prevent its adoption. Questionnaire survey was the main methodology employed in this study, the questionnaires have been sent to the hotels that were registered and recognized by the directory of Ministry of Tourism and other sources as well. Based on the findings obtained from the instrument following statement has been concluded, the utilization of e-commerce among the hotel industry in North Cyprus is low, and the majority of the hotels have integrated only the basics of e-commerce applications and do not implement the more advanced tools by using e-commerce. As an example for that, the most commonly used e-commerce application was website and email address, where online payment process was the least used application. When studying in depth the issues, which might cause a barrier to the implementation of the e-commerce among the hotel industry in north Cyprus, were identified by using the factor analysis. These factors included financial, behavioral, technical, governmental, organizational and environmental barriers, on the other hand, correlation analysis illustrated that all the factors have relatively negative influence on the degree of e-commerce application. From six factors, the only factor has associated indeed with organizational barriers has significant correlation with the extent of e-commerce adoption. Furthermore, regression analysis confirmed that the variables related to organizational barriers have a large negative influence on the amount of e-commerce adopted. In summary, the North Cyprus hotel industry although facing many issues preventing the full use of e-commerce the main factor related to organizational barriers.
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