An exploratory study of competitive strategies among hotels in a small developing Caribbean state

Abstract

Purpose

The purpose of this paper is to examine a typology of competitive strategies, which has not been extensively researched in the context of the accommodation sector in Barbados, a small developing island state in the Caribbean.

Design/methodology/approach

Data is collected through self‐administered questionnaires from 51 per cent of the hotels in Barbados. Respondents are Human Resource Managers, General Managers or Managing Directors.

Findings

Hotels in the five‐star and higher category place substantial strategic focus in the area of defining service standards and performance, as compared with hotels in the one‐star category. This study suggests that hoteliers should focus on a combination of different strategies advanced by Vandermerwe et al. as a means of securing a competitive advantage. Changes in strategy should be accompanied by training employees as the service and the quality of hotels change. As their customers' demands change, and as the competition changes, the competitive strategies of hotels will change.

Research limitations/implications

Due to cultural differences among the islands in the Caribbean, the findings in this study need to be confirmed by undertaking similar investigations in other islands. Future research should consider the use of a more qualitative approach to better understand the nature of these competitive strategies in the hotel sector. Future research should examine the link between these strategies and company performance in order to determine the best combination of competitive strategies needed for maximum organisational performance.

Practical implications

This study highlights many challenges to be met and opportunities to be seized by managers in Barbados's accommodation sector. Systematically linking different strategies highlighted by Vandermerwe et al. and proactively managing the hotel is one way to do both.

Originality/value

Few studies in this area have been undertaken in small developing island states in the Caribbean. This study attempts to fill this gap by comparing and contrasting the competitive business strategies employed by hotels in Barbados.

Citation

Jönsson, C. and Devonish, D. (2009), "An exploratory study of competitive strategies among hotels in a small developing Caribbean state", International Journal of Contemporary Hospitality Management, Vol. 21 No. 4, pp. 491-500. https://doi.org/10.1108/09596110910955721