Editorial

Citation

Okumus, F. (2010), "Editorial", International Journal of Contemporary Hospitality Management, Vol. 22 No. 1. https://doi.org/10.1108/ijchm.2010.04122aaa.001

Editorial

Article Type: Editorial From: International Journal of Contemporary Hospitality Management, Volume 22, Issue 1

This issue consists of seven full research articles and one research-in-brief (RIB) paper. In the first article, Rosario Andreu, Enrique Claver and Diego Quer analyzed the entry mode into new business areas made by Spanish tourism firms in their diversification process. They focused on factors drawn on the resource-based view (RBV) to examine issues such as the link between the new business and the company’s original one, its diversifying experience, the reasons to diversify and the impact of the choice of internal growth, external growth or cooperation agreements. The effects of a fit between the entry mode and the type of diversification on profitability were also considered. Results show that both the diversifying experience and the reasons behind the decision to diversify influence the entry mode and support the existence of a link between the above-mentioned fit and firm profitability.

In the second article, Seonghee Oak and Michael C. Dalbor investigated institutional investment behavior relating to lodging firms and their brand equity. It was determined that institutional investor’s holdings are positively related to advertising expenditures. Institutions favor lodging firms that have lower debt ratios. Institutional investors prefer small firms because they typically offer superior returns. This is one of the first articles to show a relationship between institutional investors and advertising expenditures in the lodging industry. In the next article, Zvi Schwartz and ChihChien Chen examined how an intensified room rate signal affects customers’ perceptions, their propensity to book, and consequently hotels’ revenue maximization. The results suggest that high quoted rates might affect customers’ perceptions, their propensity to book, and consequently the hotel’s revenues. The impact of the high room rate signal on the sellout risk perception reversed its direction with the intensified signal. The theoretical and practical implications underscore the need to better understand the complex impact that price changes have on consumer reactions and consequently on the effectiveness of hotels’ revenue management policies.

The next article by Nan Hua and Amanda Templeton aimed to identify the drivers of the annual growth for publicly traded restaurant firms in the USA. This study constructs an econometric model to systematically investigate growth drivers of the restaurant industry using data from publicly traded restaurant firms in the USA. Annual changes in size and market share were found positively and significantly related to restaurants’ one-year ahead annual growth. In addition, the annual change of leverage is negatively and significantly related to this growth. This study provides systematic financial evidence about growth drivers of the restaurant industry employing representative secondary data from publicly traded restaurant firms.

Matthew H.T. Yap and Elizabeth M. Ineson conducted an exploratory study aimed to determine Asian hospitality managers’ (AHMs) perceptions of HIV education in their workplaces and their knowledge of HIV. Results demonstrated that AHMs supported HIV education with a strong understanding of the transmission and treatment of HIV. In addition, they revealed an acceptable level of knowledge regarding its effects on individuals and societies. However, their understanding of its nature, extent and general effects was weak. The development and implementation of workplace education and training programmes required immediate consideration to eradicate misunderstandings regarding the acquisition, transmission and development of the HIV.

The following article by Simon Chak-keung Wong and Gloria Jing Liu examined how the perceptions of hospitality and tourism management (HTM) undergraduates about their parental influences predict their career choice intention with regard to the hospitality and tourism (H&T) industry in China. Three out of six parental influential factors derived from 22 attributes are determined as being the salient predictors for students’ H&T career choice intention. Demographic differences in parental influential factors are also revealed in this study. The knowledge obtained from this study will increase the very limited understanding of the effects of perceived parental influences on career choice, which might then lead to more attraction and recruitment of students to the H&T industry in China.

The final article by Joanne Jung-Eun Yoo and Kaye Chon examined whether factors that may affect potential attendees’ convention participation decision change over time. The study showed that there were significant changes in the effects of the following factors on the convention participation decision: networking opportunities, safety and health situation, and travelability. Finally, in the research-in-brief (RIB) article, Pedro Longart analyzed variables that influence positive word-of-mouth (PWOM) in restaurants. It was found that satisfaction with food and drink affect PWOM significantly and so does an intangible aspect called “the power of context”. It was recommended that restaurateurs should focus their attentions on offering food and drink of consistent quality and also create something unique or distinctive in their outlets to encourage PWOM.

Fevzi OkumusEditor