Adopting digital reservation systems to enable circular economy in entrepreneurship

Abstract

Purpose

In the last decade, the hospitality sector has undergone numerous changes in the organization and structure of its business models. Specifically, the adoption of new digital technologies has initiated transformative changes toward circular economy and sustainability. The present study aims to analyze whether the use of the digital reservation system in circular entrepreneurship businesses has an impact on entrepreneurs’ satisfaction and trust in the in circular economy.

Design/methodology/approach

The data collected via a survey of 317 entrepreneurs who use a circular economy strategy were analyzed using SEM in a proposed model based on circular entrepreneurship businesses and the adoption of digital reservation systems.

Findings

The results showed a positive relationship between usability and perceived ease of use and user satisfaction and trust in using digital reservation systems to boost circular entrepreneurship in hospitality. Therefore, it was identified that adopting a digital reservation system can increase the efficiency of entrepreneur resources, as well as lead to creation of sustainable knowledge, augment the use of new sources of user information, improve prediction of services and demand and, consequently, boost sustainability and circular economy.

Research limitations/implications

Future research can use the results of the present study to investigate how digital technologies work and affect user trust, satisfaction, and use of these systems in entrepreneurs’ projects in hospitality. In addition, it would be interesting to explore how these factors influence hospitality in different business models that support circular economy in tourism. To this end, researchers can use the variables used in the present study, along with other variables, to extend the proposed model and deepen the authors' research. In summary, this study contributes to the literature on the use of applications in hospitality sector and offer useful insight on how the adoption and use of new technologies can drive the management of knowledge and technology development, decision making and acquisition of new data sources that improve the experience of both entrepreneurs and users that interact with their services to enable circular entrepreneurship.

Practical implications

Hospitality entrepreneurs can use the results of the present study to better evaluate how using these applications can affect the communication protocols with their employees and stakeholders. Furthermore, entrepreneurs operating in the hospitality sector can use the results to develop action plans focused on the circular economy, new knowledge creation, as well as development and adoption of new digital technologies that enable circular entrepreneurship. In this way, hospitality companies will be able to effectively combine both more traditional offline channels and new technologies, such as mobile applications or the Internet.

Social implications

The authors' prediction of a strong positive link between perceived usefulness and user trust was also supported by the results of data analysis. The finding that perceived utility increases user trust in entrepreneurs when making adopting these technologies is also consistent with other similar studies. Finally, the results of this study also confirmed the hypothesized link between the perceived utility of digital technologies and user satisfaction. Taken together, the results also highlight the relevance of analyzing the use of digital reservation systems in the hospitality sector to enable circular entrepreneurship.

Originality/value

Taken together, the results highlight the relevance of analyzing the use of digital reservation systems in the hospitality sector to enable circular entrepreneurship and increase the perceived usefulness of new digital technologies so that to improve sustainable actions and the circular economy globally.

Citation

Saura, J.R., Ribeiro-Soriano, D. and Palacios-Marqués, D. (2022), "Adopting digital reservation systems to enable circular economy in entrepreneurship", Management Decision, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/MD-02-2022-0190