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1 – 10 of over 9000Seyhmus Baloglu, Pamela Weaver and Ken W. McCleary
Segmenting techniques used in the lodging industry typically assume that individuals fall into mutually exclusive groups, that is, they are assigned to one type of lodging concept…
Abstract
Segmenting techniques used in the lodging industry typically assume that individuals fall into mutually exclusive groups, that is, they are assigned to one type of lodging concept by the segmenting method used. In reality, however, travelers often use several types of lodging alternatives. This study utilized a canonical correlation approach to segment the senior pleasure traveler market. The analysis resulted in both uniquely defined and overlapping segments based on the relationship between lodging preferences and benefits/attributes sought in a lodging accommodation. The study also revealed implications dealing with overlapping segments as well as loyalty to specific lodging segments.
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Danny Woosik Choi, Hyun Kyung Chatfield and Robert Evans Chatfield
This study aims to empirically investigate agency and stewardship theories in the US lodging market by examining the influence of fiscal and non-fiscal leadership structures on…
Abstract
Purpose
This study aims to empirically investigate agency and stewardship theories in the US lodging market by examining the influence of fiscal and non-fiscal leadership structures on the debt financing decisions of lodging firms.
Design/methodology/approach
Secondary financial data have been collected for USA-based lodging firms. Subsequently, bivariate correlation, pooled ordinary least square) and endogeneity analyses have been performed on the data.
Findings
The findings support the significant influence of some corporate governance attributes on the capital structure of US lodging firms and show the limited applicability of agency and stewardship theories.
Practical implications
Theoretical and managerial implications are suggested in terms of balancing leadership structure attributes from the agency and stewardship theories, the capital structure of lodging firms and the future research.
Originality/value
Despite its importance considering the intensive capital and relatively high liabilities needed for success in the lodging industry, the influence of leadership structure on capital structure has not been examined either empirically or theoretically. Leadership structure attributes, both fiscal and non-fiscal, are included in the study to gain a richer understanding of their influence. The outcomes of the analysis suggest managerial implications for leadership structure as well as theoretical generalizability for agency and stewardship theories within the lodging industry.
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Allison Wiles and Alleah Crawford
The purpose of this study was utilize the experience economy to assess the value of the network hospitality experience for the guest and to develop a better understanding of…
Abstract
Purpose
The purpose of this study was utilize the experience economy to assess the value of the network hospitality experience for the guest and to develop a better understanding of network hospitality as a unique alternative to traditional lodging.
Design/methodology/approach
This study used a mixed-methods approach, relying on content analysis and interpretive phenomenological analysis to answer the research questions. Guest reviews of hosts for a lodging-specific network hospitality website were used as the data source for this study.
Findings
The educational dimension of the experience economy was most represented during network hospitality experiences. Additionally, the factors that create value for network hospitality users include verbal communication, a sense of feeling at home, engagement in entertainment, food and beverage and the functional experience while the spirit of network hospitality, reciprocity and desire for continuation through future intention can have a great impact on the travel and tourism industry.
Originality/value
This research adds value to the current literature by providing a better understanding of the experience economy at work in network hospitality, primarily education and esthetics. Additionally a better understanding of what factors of the network hospitality experience create value for guests is developed. This work focuses on a fast-growing substitute for traditional lodging and therefore needs to be better understood.
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Patricia Picazo, Sergio Moreno-Gil and Dogan Gursoy
Examination of the image projected through photographs used in marketing materials can enable managers to identify opportunities for creating differentiated positioning in the…
Abstract
Purpose
Examination of the image projected through photographs used in marketing materials can enable managers to identify opportunities for creating differentiated positioning in the marketplace. However, the impact of image projected through photographs has not received much attention in academic literature. This paper aims to establish a methodology using dynamic indices that allow a systematic comparative evaluation of the image projected through photographs used in marketing materials of lodging properties located in competing destinations. It also provides an empirical examination of the type of image projected through photographs of lodging properties in those destinations.
Design/methodology/approach
Analysis was conducted using a content analysis methodology. A total of 17,187 photographs of 5,820 lodging properties located in 15 different tourism destinations over a period of eight years were examined.
Findings
Results revealed that the proposed methodology based on dynamic comparative indices is appropriate for determining the projected image of lodging properties. The dynamic indices, which categorise photographs in three main categories: subject (people), activities (actions carried out) and contextualisation (location), allowed a systematic evaluation of the image projected of lodging properties in competing destinations. Results of the empirical analysis indicated important differences in the image projected through photographs among lodging properties located in 15 destinations.
Practical implications
This study provides the industry and destination marketing organisations (DMOs) with a useful and simple tool for comparatively evaluating the image projected by tourism accommodations. The methodology proposed enables managers to identify the current image and the changes in the image of their lodging properties, their destinations and those of their main competitors over the years, thus providing opportunities for development of more effective differentiation and positioning strategies in their respective target markets.
Originality/value
The proposed tool provides a methodology that can be used to categorise and evaluate the image represented on the photographs used in marketing materials to ensure the projection of the intended image. Furthermore, the proposed methodological tool enables managers to monitor the image projected through photographs used in competitors’ marketing materials and identify changes in their image projected over time.
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The purpose of this paper is to illustrate new methods of examining structural differences among segmented markets beyond comparing merely univariate variable mean scores, so as…
Abstract
Purpose
The purpose of this paper is to illustrate new methods of examining structural differences among segmented markets beyond comparing merely univariate variable mean scores, so as to help marketers and researchers gain better insights into segment differences for meaningful strategy development.
Design/methodology/approach
A comprehensive dataset covering various lodging market segments was constructed from Tripadvisor.com. The data then were sorted into lodging customer segments by star rating, type of operation, and level of price charged. Structural equation modeling with the −2 log‐likelihood difference test was conducted to illustrate how effectively the differences, if any, of market segments could be assessed in contrast to the traditional mean‐score comparison approach.
Findings
Guest satisfaction was influenced by the same performance variable to the same magnitude and direction across different lodging segments examined. Such stability in the amount of influence of performance on guest satisfaction was true even in the fact that the variable mean scores were significantly different across the market segments.
Research limitations/implications
The traditional approach to examining segment differences via univariate mean scores could be one set of results, while the effect‐based difference assessments in this paper resulted in another. Developing marketing strategies based on the effect‐based segment differences, as illustrated in this paper, is considered more effective than the traditional mean‐based approach. One limitation of this paper could be use of a secondary dataset with limited scope of the model employed for an illustrative purpose. Another limitation is that the sample characteristics are unknown due to the nature of a secondary dataset. The examination of the market segments was also limited to those based on only three popular variables.
Originality/value
The paper is a fresh attempt to examine market segment differences through the effect of one variable on another. The paper advances the methods of hospitality and tourism research for examining segment differences beyond the traditional univariate mean‐based examination approach. The methodological illustration is applicable to a vast majority of different theoretical frameworks known in the hospitality and tourism field. Use of the assessment method illustrated in this paper also requires future market segmentation studies to rely more on theories than data.
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Radesh Rao Palakurthi and Sara J. Parks
Many lodging operators in the USA might intuitively, or through long experience, be aware of the more important socio‐demographic market segments of their business. This research…
Abstract
Many lodging operators in the USA might intuitively, or through long experience, be aware of the more important socio‐demographic market segments of their business. This research quantifies the significance and the contribution of such market segments to aggregate lodging demand in the USA. Finds that age distribution, income distribution, occupation and gender are the most significant socio‐demographic factors that have an effect on lodging demand. The aggregate lodging demand contribution of specific market segments obtained by combining the above factors pairwise, i.e. age and income, age and occupation, etc. is also discussed in the study.
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Tahir M. Nisar, Nick Hajli, Guru Prabhakar and Yogesh Dwivedi
The purpose of this paper is to understand the main determinants that affect accommodation purchase intentions through lodging websites in sharing economy context. This industry…
Abstract
Purpose
The purpose of this paper is to understand the main determinants that affect accommodation purchase intentions through lodging websites in sharing economy context. This industry differs from the hotel industry because it is a community marketplace with a growing community of users where renters can monetize their extra space and list their properties to an audience of millions while travelers can find unique accommodation at any price point.
Design/methodology/approach
The authors examine factors such as perceived lodging value, perceived lodging price, lodging information, online lodging reviews, trust with the host, website usability and perceived privacy/security of the website, and measure their relationships with purchase intentions. Based on an online survey data, the structural model test outcomes explain the direct effect of the exogenous variables on purchase intentions and the mediating effect of perceived lodging value between perceived lodging price and purchase intentions.
Findings
The study demonstrates that the six latent factors and proposed associations have positive effects on purchase intentions. Thus, enterprises operating in the online lodging industry should consider these elements as key antecedents of lodging purchase intentions.
Originality/value
Lodging websites operate in a highly competitive market where they have to compete with hotel operators, hostels, bed and breakfasts and hotel comparison websites in current sharing economy. In addition, consumers usually spend a great deal of time and effort on online pre-purchase evaluation because of the ease of the information gathering process where consumers can find a wide variety of options online. Therefore, understanding the drivers that convert browsers into renters is a topic of great interest among marketing managers in the current sharing economy context.
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Danny Woosik Choi, Seoki Lee and Manisha Singal
The purpose of this study is to examine how the lodging market and the state economy affected by Hurricane Sandy have recovered from the damages sustained. Specifically, this…
Abstract
Purpose
The purpose of this study is to examine how the lodging market and the state economy affected by Hurricane Sandy have recovered from the damages sustained. Specifically, this study examines and predicts the influence of revenue management key performance indicators (KPIs) on recovery and lodging revenue in the affected states and the states’ economies. These KPIs include average daily rate (ADR), occupancy and revenue per available room (RevPAR).
Design/methodology/approach
Secondary financial data were collected for the states most damaged by Hurricane Sandy. Subsequently, pooled Ordinary Least Square (OLS) regression was conducted combining time and non-time dependent variables based on the states and radius from the landfall.
Findings
The results indicate that although the lodging market and the state economies have recovered since the onslaught of Hurricane Sandy, certain KPIs still need to improve.
Practical implications
Managerial implications are suggested in terms of dynamic pricing, market-based recovery, the KPIs, federal aid and facility management.
Originality/value
Despite its importance, research on the effects of climate change in the hospitality context has not actively progressed after Hurricane Katrina. Time and non-time dependent variables are combined in this analysis to gain a richer understanding of the impacts and recovery of KPIs on the revenue in the lodging market and the revenue on states’ economies. Additional analysis based on the radius from the landfall of the hurricane was performed to examine the impact and recovery based on geographical proximity.
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One of the important characteristics of the hotel business is uncertainty of lodging demand, which can jeopardize hotel operation and ultimately even threaten a hotel’s survival…
Abstract
Purpose
One of the important characteristics of the hotel business is uncertainty of lodging demand, which can jeopardize hotel operation and ultimately even threaten a hotel’s survival during an economic recession. The purpose of this paper is to propose an approach to determine optimal hotel investment issues under uncertain lodging demand.
Design/methodology/approach
Uncertainty of lodging demand is classified into two types: the impact of unexpected economic recession and the temporary imbalance between supply of hotel rooms and lodging demand. A jump-diffusion real option approach is proposed to analyze how these two types affect optimal investment timing and the potential value of new hotel projects. The case of hotel investment in Macao is used to illustrate the jump-diffusion real option approach.
Findings
The results of numerical analysis show that the uncertainty induced by temporary imbalance between supply of hotel rooms and lodging demand increases the threshold of investment and hotel value, while the uncertainty induced by unexpected economic recession has ambiguous effects on the value and optimal investment timing of new hotel projects.
Practical implications
The jump-diffusion real option approach increases managerial flexibility for managers when making investment decisions on new hotel projects, allowing greater value to be generated than is possible with the conventional discounted cash flow method.
Originality/value
The approach separates the impact of unexpected economic recession on lodging demand from that of “normal” fluctuations in lodging demand, and it considers the impact of both types of uncertainty on hotel investment.
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Erdinc Karadeniz, Serkan Yilmaz Kandir, Mehmet Balcilar and Yildirim Beyazit Onal
The purpose of this paper is to investigate the factors affecting capital structure decisions of Istanbul Stock Exchange (ISE) lodging companies.
Abstract
Purpose
The purpose of this paper is to investigate the factors affecting capital structure decisions of Istanbul Stock Exchange (ISE) lodging companies.
Design/methodology/approach
A model based on the trade‐off and pecking order theories is specified and implications of both theories are empirically tested. The model is estimated using a dynamic panel data approach for five ISE companies for the period of 1994‐2006.
Findings
The findings suggest that effective tax rates, tangibility of assets, and return on assets are related negatively to the debt ratio, while free cash flow, non‐debt tax shields, growth opportunities, net commercial credit position, and firm size do not appear to be related to the debt ratio. Although the findings partially support the pecking order theory, neither the trade‐off nor the pecking order theory exactly seem to explain the capital structure of Turkish lodging companies.
Research limitations/implications
The data used in this paper are limited to five companies traded in the ISE, since the data on other companies are not available. A more detailed analysis would use data for other companies in the industry.
Practical implications
The findings of the study clearly demonstrate the importance of capital structure decisions for financial sources.
Originality/value
Although the capital structure theory is extensively examined in the finance literature, there are fewer studies covering the tourism industry, particularly Turkey. The paper establishes the determinants of the capital structure of Turkish lodging companies. The research findings should help managers to make optimal capital structure decisions.
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