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Domain-based ambidexterity for managing a dual business model in the hospitality industry in the midst of COVID-19 pandemic: an exploratory study

Vergine Virsta Yassiva (Department of Management, Universitas Islam Indonesia, Yogyakarta, Indonesia)
Anjar Priyono (Department of Management, Universitas Islam Indonesia, Yogyakarta, Indonesia)
Wisnu Pambudi Wibowo (Department of Management, Universitas Islam Indonesia, Yogyakarta, Indonesia)

Journal of Asia Business Studies

ISSN: 1558-7894

Article publication date: 25 April 2022

Issue publication date: 28 February 2023

378

Abstract

Purpose

This study aims to analyse how a hotel company manages ambidexterity when operating different business models in different markets located in the same country.

Design/methodology/approach

This research was conducted using a qualitative case study, and the subjects were selected using the theoretical sampling technique. A corporation managing two hotel business units located in the same city but operating different business models – a premium and a low-cost business model – were selected as subjects.

Findings

The empirical evidence revealed that an ambidextrous business model can be realized through integration or separation of appropriate domains of business activities. The empirical findings further showed that exploitations are easier to integrate than explorations.

Practical implications

The authors found that firms using structural separation for managing premium and low-cost business models can avoid market cannibalism and achieve synergies between different business models if business model ambidexterity is well managed.

Originality/value

This study extends research in the area of ambidexterity and business models. It responds to calls to examine how firms using structural separation implement business model ambidexterity in practice, particularly in service sectors. By analysing the details of activities within the business model, the authors advance the understanding of which domains are suitable for an integration or separation approach.

Keywords

Acknowledgements

This research is supported by the Ministry of Research, Technology and Higher Education, Republic of Indonesia under Research for Postgraduate Program Scheme.

Citation

Yassiva, V.V., Priyono, A. and Wibowo, W.P. (2023), "Domain-based ambidexterity for managing a dual business model in the hospitality industry in the midst of COVID-19 pandemic: an exploratory study", Journal of Asia Business Studies, Vol. 17 No. 2, pp. 327-346. https://doi.org/10.1108/JABS-05-2021-0192

Publisher

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Emerald Publishing Limited

Copyright © 2020, Emerald Publishing Limited

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