https://m2.mtmt.hu/ eng 2026-04-16 11:53 BookChapter 36253764 VALIDATED true 0 false 2026-02-06T09:35:38.646+0000 2025-07-17T09:18:57.388+0000 2025-07-17T08:59:28.259+0000 true 10069066 Eszenyi-Bakos Kinga /api/admin/10069066 Admin true 2025-07-17T09:18:57.401+0000 2025-07-17T09:18:57.401+0000 2025-07-17T09:18:57.392+0000 true 10069066 Eszenyi-Bakos Kinga /api/admin/10069066 Admin true true false true 25 25 /api/publicationtype/25 PublicationType 2 true 25 BookChapter true 10000312 Conference paper true 25 25 /api/publicationtype/25 PublicationType 2 true 25 BookChapter /api/subtype/10000312 Konferenciaközlemény SubType 228 true 10000312 true 1 /api/category/1 Category true 1 Nagy, Zsombor On-Prem vs Cloud LLMS For GDPR-Compliant Customer-Service Chatbots in the Hotel Industry 16 21 16 6 2025 Mid-size hotels in Central Europe are increasingly adopting AI chatbots to enhance customer service. They must, however, balance innovation with strict GDPR requirements.This study compares a cloud-based large language model (OpenAI’s GPT-4 API) against an on-premises deployment of an open-source LLM (Llama 3–13B) for hotel customer-service chatbots. We evaluate both solutions in the context of Cogniforce Labs deploying chatbots for regional hotels, focusing on GDPR compliance, operational cost, response latency, and customer satisfaction. Using three common use cases (booking modification, late check-in, and local recommendations), we simulate chatbot interactions and measure performance. The results show that the on-premises LLM offers superior data privacy (all guest data remains in-house, aiding GDPR compliance) and lower latency (up to ~35% faster responses), along with a more predictable cost structure. The cloud GPT-4 solution, however, delivers slightly higher answer quality, yielding greater customer satisfaction scores, at the expense of transmitting personal data to a third-party and incurring usage-based fees. Our findings suggest a trade-off between compliance/cost and service quality. Hotels prioritizing privacy may favor on-premise LLMs, while those emphasizing customer experience might opt for cloud AI with proper safeguards. We discuss hybrid strategies and provide recommendations for hospitality businesses navigating this choice. true 2025 true true true true true false NONE 2026-02-06 false 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 false false false false 2025-07-16T09:18:57.301+0000 Gazdaságinformatika Tanszék (BGE / PSZK) 2 20 1 2 0 true true 10002 English /api/language/10002 Angol Language true 2 false true 10442 true 10015 /api/country/10015 Country true 9 /api/city/10442 City true 1197 true 29613980 /api/publicationidentifier/29613980 https://www.worldcat.org/search?q=isbn%3A9788676723874 9788676723874 PublicationIdentifier true 122 ISBN https://www.worldcat.org/search?q=isbn%3A@@@ /api/publicationsource/122 ISBN PlainSource true true 10002 /api/publicationsourcetype/10002 PublicationSourceType true false 122 true false /api/publication/36253735 true true 23 23 /api/publicationtype/23 PublicationType 3 true 23 Book 15th International Symposium Engineering Management and Competitiveness 2025 ( EMC 2025) false 36253735 false true true true true 10000144 Conference proceedings true 23 23 /api/publicationtype/23 PublicationType 3 true 23 Book /api/subtype/10000144 Konferenciakötet SubType 345 true 10000144 false Book 2025 true 1 /api/category/1 Category true 1 false Language 10002 /api/language/10002 Angol English true 2 true PersonAuthorship 127318840 /api/authorship/127318840 1 0.5 true false Author 10094000 /api/author/10094000 Nagy Zsombor true true Nagy Zsombor true false false AuthorshipType 1 /api/authorshiptype/1 0 true 0 true false true PersonAuthorship 127318841 /api/authorship/127318841 2 0.5 false true Author 10037836 /api/author/10037836 Szabó László true 10037836 true Szabó László true false false AuthorshipType 1 /api/authorshiptype/1 0 true 0 true false true Keyword 1466423 /api/keyword/1466423 true 1466423 true Keyword 1583326 /api/keyword/1583326 true true Keyword 2150127 /api/keyword/2150127 true true Keyword 3637709 /api/keyword/3637709 true true Keyword 3825281 /api/keyword/3825281 true true Keyword 3889042 /api/keyword/3889042 true true /api/publication/36253764 <div class="BookChapter Publication long-list"> <div class="authors"> <img title="Forrásközlemény" style="float: left" src="/frontend/resources/grid/publication-core-icon.png"> <div class="autype autype0"> <span class="author-name" mtid="10094000"><a href="/gui2/?type=authors&mode=browse&sel=10094000" target="_blank">Nagy Zsombor (<span class="authorship-author-name">Nagy Zsombor</span> <span class="authorAux-mtmt"> RPA (Robotizált folyamatautomatizáció), AI (Mes...</span>) </a> </span> <span class="author-affil"><span title="Budapest University of Economics and Business">BUEB</span>/<span title="College of Finance and Accountancy">PSZK</span>/Gazdaságinformatika Tanszék</span> ;&nbsp;&nbsp;&nbsp; <span class="author-name" mtid="10037836"><a href="/gui2/?type=authors&mode=browse&sel=10037836" target="_blank">Szabó László (<span class="authorship-author-name">Szabó László</span> <span class="authorAux-mtmt"> menedzsment, ellátási lánc menedzsment</span>) </a> </span> <span class="author-affil"><span title="Budapest University of Economics and Business">BUEB</span>/<span title="College of Finance and Accountancy">PSZK</span>/Gazdaságinformatika Tanszék</span> </div> </div> <div class="title"><a href="/gui2/?mode=browse&params=publication;36253764" target="_blank">On-Prem vs Cloud LLMS For GDPR-Compliant Customer-Service Chatbots in the Hotel Industry</a></div> <div class="InBook"><div class="chapter-in">In:</div> <div class="authors"> <div class="autype autype-1"> <span class="author-name" >Edit Terek Stojanović </span> (eds.) </div> </div> <div class="booktitle"><a href="/gui2/?mode=browse&params=publication;36253735" target="_blank">15th International Symposium Engineering Management and Competitiveness 2025 ( EMC 2025) : Sustainable Strategies for a Competitive Future Proceedings </a></div> <div class="conference"> Conference: <span class="location">Nagybecskerek, Srbija <span class="conference-date">2025.06.20. - 2025.06.21.</span> (<span class="conference-organizer">Voronezh State University, Faculty of Economics,</span> <span class="conference-organizer">Budapesti Gazdaságtudományi Egyetem (BGE),</span> <span class="conference-organizer">University of Novi Sad, Technical Faculty "Mihajlo Pupin") </div> <span class="publishedAt">Nagybecskerek: <span class="publishers">Univerzitet u Novom Sadu</span>, <span class="page"> pp 16-21 </span> <span class="year">(2025)</span> </div> <div class="pub-footer"> <span class="language" xmlns="http://www.w3.org/1999/html">Language: English | </span> <span class="identifiers"> </span> <span class="bookchapter-ids">Book link(s):</span> <span class="identifiers"> <span class="id identifier oa_none" title="none"> <span class="isbnOrIssn"> ISBN: </span> <a style="color:black" title="9788676723874" target="_blank" href="https://www.worldcat.org/search?q=isbn%3A9788676723874"> 9788676723874 </a> </span> </span> <div class="mtid"><span class="long-pub-mtid">Publication: 36253764</span> | <span class="status-data status-VALIDATED"> Validated </span> <span class="long-book-mtid">Book: 36253735</span> Core | <span class="type-subtype">Chapter in Book ( Conference paper ) </span> | <span class="pub-category">Scientific</span> | <span class="publication-sourceOfData"></span> </div> <div class="lastModified">Last Modified: 2025.07.17. 11:18 Kinga Eszenyi-Bakos (BGE PSZK admin 5) </div> </div> </div>