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Article
Publication date: 6 November 2023

Chi-Jen Chen

Channel coordination has become an essential part of researching hotel supply chain management practices. This paper develops an improved channel coordination approach to…

Abstract

Purpose

Channel coordination has become an essential part of researching hotel supply chain management practices. This paper develops an improved channel coordination approach to coordinate the profit distribution between hotels and online travel agencies (OTAs) achieved through an introduction of advertising fees. This direction further improves the decentralization of cooperation and achieves Pareto improvement to achieve mutual profitability.

Design/methodology/approach

The methodology used in this study involves Stackelberg game theory employed for the decision-making and analysis of both the hotel and OTA. The OTA, acting as the leader, offers a hotel a contract specifying the commission rate that the hotel will pay to the respective OTA. The hotel, acting as a follower, sets a self-interested room rate as a given response. A deterministic, price-sensitive linear demand function is utilized to derive possible analytical solutions once centralized, noncooperative decentralization and cooperative decentralized channel occurs.

Findings

Results show that a new channel coordination approach is possible, namely via advertising fees. Prior to channel coordination, the OTA tends to set a higher commission rate, and the hotel sets a higher room rate in response under noncooperative decentralization. As such, this results in a lower channel-wide profit for all. One way to reduce channel-wide profit loss is to use a method of cooperative decentralization, which can, and will result in optimal profit as centralization takes place. However, the lack of incentives makes cooperative decentralization unfeasible. Further improvement is possible by using advertising fees based on a cooperative decentralization agreement, which can reach Pareto improvement.

Practical implications

This paper helps the OTA industry and hotel owners cooperate by way of smoother coordination. This study provides practitioners with two important practical implications. The first one is that the coordination between the hotel industry and OTA through cooperative decentralization allows for the achievement of higher profitability than that of noncooperative decentralization. The second one is that this paper solves the outstanding problem of insufficient incentives characteristic of cooperative decentralization by means of an advertising fee as a new supply chain coordination approach.

Originality/value

This paper offers both the problem and solution regarding the lack of incentives that hamper cooperative decentralization without the use of advertising fees. This paper is unique in that it derives analytical solutions regarding commissions levied in a typical hotel supply chain under noncooperative decentralization.

Details

Journal of Hospitality and Tourism Insights, vol. 7 no. 4
Type: Research Article
ISSN: 2514-9792

Keywords

Open Access
Article
Publication date: 30 August 2024

Elisa Menicucci and Guido Paolucci

This study aims to investigate the effects of economic policy uncertainty (EPU) on Italian hospitality sector. The investigation attempts to explain whether hotel performance…

Abstract

Purpose

This study aims to investigate the effects of economic policy uncertainty (EPU) on Italian hospitality sector. The investigation attempts to explain whether hotel performance drops when the perceived economic uncertainty increases in the period 2018–2022.

Design/methodology/approach

The study examines the impact of EPU on hotel performance in a sample of 661 Italian luxury hotels. To establish the relationship between EPU and hotel performance, we employ the generalized estimating equations (GEE) technique on 3,305 hotel-year observations.

Findings

The results show that EPU has a negative impact on hotel performance. More specifically, the analysis reveals that EPU is negatively and significantly related to the revenue per available room (REVPAR), average daily rate (ADR) and hotel occupancy (OCCR). We also look at the role of hotel brand chain affiliation and the moderating effect of conference space and hotel wellness services on the relationship between EPU and hotel performance.

Research limitations/implications

Results provide new evidence for academics to critically evaluate the behavior of luxury hotels under uncertain economic conditions. The investigation offers valuable information also for government, tourism policymakers, tourist hotel owners, hoteliers and tourism managers in their decision-making.

Practical implications

This study provides strategic implications for practitioners and operators in hospitality industry to evaluate the factors ensuring hotel profitability in periods of EPU.

Originality/value

This paper provides interesting insights into the characteristics and practices of profitable hotels in Italy. Few econometric studies empirically explored the effects of EPU in the hospitality field so far and no prior study investigated this topic in the Italian hospitality sector. Therefore, this paper tries to close an important gap in the existing literature improving the understanding of EPU in the Italian hospitality industry.

Details

Journal of Hospitality and Tourism Insights, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2514-9792

Keywords

Article
Publication date: 19 April 2024

Carmelita Wenceslao Amistad and Daryl Ace Cornell

This study aims to determine the effects of lodging infrastructure development (LID) on Cordillera Administrative Region’s (CAR) environmental quality and natural resource…

Abstract

Purpose

This study aims to determine the effects of lodging infrastructure development (LID) on Cordillera Administrative Region’s (CAR) environmental quality and natural resource management and its implication to globally responsible leadership. Specifically, this study sought to determine the contribution of LID to environmental deterioration and natural resource degradation in the CAR. As a result, a mathematical model is developed, which supports sustainability practices to maintain the environmental quality and natural resource management in CAR, Philippines.

Design/methodology/approach

This study used a descriptive research design using a mixed-methods approach. Self-structured interview and survey were used to gather the data. The population of this study involved three groups. There were 6.28% (34) experts in the field for the qualitative data, 70.24% (380) respondents for the quantitative data and 23.47% (127) from the lodging establishments. 120 respondents from the Department of Tourism – CAR (DOT-CAR) accredited hotels. Nonparametric and nonlinear regression analysis was used to process the data.

Findings

The effects of LID on the environmental quality and natural resource management in CAR as measured through carbon emission from liquefied petroleum gas (LPG), electricity and water consumption in the occupied guest rooms revealed a direct correlation between the LID. Findings conclude that the increase in tourist arrival is a trigger factor in the increase in LID in the CAR. The increase in LID implies a rise in carbon emission in the lodging infrastructure. Any increase in tourist arrivals increases lodging room occupancy; the increased lodging room occupancy contributes to carbon emissions. Thus, tourism trends contribute to the deterioration of the environmental quality and degradation of the natural resources in the CAR. A log-log model shows the percentage change in the average growth of tourist arrival and the percentage increase in carbon emissions. Establishments should observe standard room capacity to maintain the carbon emission of occupied lodging rooms at a minimum. Responsible leadership is a factor in the implementation of policy on standard room capacity.

Practical implications

The result of the study has some implications for the lodging businesses, the local government unit (LGU), the Department of Tourism (DOT) and the Department of Environment and Natural Resources (DENR) in the CAR. The study highlights the contribution of the lodging establishments to CO2 emission, which can degrade the quality of the environment, and the implication of responsible leadership in managing natural resources in the CAR. The direct inverse relationship between energy use and CO2 emission in hotels indicates that increased energy consumption leads to environmental degradation (Ahmad et al., 2018). Therefore, responsible leadership among policymakers in the lodging and government sectors – LGU, DOT and DENR – should abound in the CAR. Benchmarking on the model embarked from this study can help in designing and/or enhancing the policy on room capacity standardization, considering the total area with its maximum capacity to keep the carbon emission at a lower rate. Furthermore, as a responsible leader in the community, one should create programs that regulate the number of tourists visiting the place to decrease the number of overnight stays. Besides, having the political will to implement reduced room occupancy throughout the lodging establishments in CAR can help reduce the carbon emissions from the lodging businesses. After all, one of the aims of the International Environment Protection Organization is to reduce CO2 emissions in the tourism industry. Hence, responsible leadership in environmental quality preservation and sustainable natural resource management must help prevent and avoid greenhouse gas (GHG) emissions.

Originality/value

Most studies about carbon emission in the environment tackle about carbon dioxide emitted by transportation and factories. This study adds to the insights on the existing information about the carbon emission in the environment from the lodging establishments through the use of LPG, electricity and water consumption in the occupied guest rooms. The findings of the study open an avenue for globally responsible leadership in sustaining environmental quality and preservation of natural resources by revisiting and amending the policies on the number of room occupancy, guidelines and standardization, considering the total lodging area with its maximum capacity to keep the carbon emission at a minimum, thus contributing to the lowering of GHG emissions from the lodging industry.

Details

Journal of Global Responsibility, vol. 15 no. 4
Type: Research Article
ISSN: 2041-2568

Keywords

Article
Publication date: 29 August 2023

Jungsun (Sunny) Kim, Mehmet Erdem and Boran Kim

The purpose of this study is to explore whether five factors drawn from the unified theory of acceptance and use of technology (UTAUT) and UTAUT2 significantly influence…

Abstract

Purpose

The purpose of this study is to explore whether five factors drawn from the unified theory of acceptance and use of technology (UTAUT) and UTAUT2 significantly influence customers' intention to use hotel in-room voice assistants (VAs). It further examined culture as a moderator of the relationships between the five factors and customers' intention to use.

Design/methodology/approach

The authors collected data from US and Singapore to examine cultural differences in customer acceptance of in-room VAs. All hypotheses were tested via structural equation modeling and multi-group analysis.

Findings

The results showed that performance expectancy, social influence and hedonic motivation significantly affected customers' intentions to use in-room VAs, while effort expectancy and facilitating conditions did not. The results confirmed that culture did not play a substantial role in moderating the relationships between these factors and intentions to use.

Research limitations/implications

This study established that the instrument and structural paths in the research model were equivalent across two samples from different countries. The findings may not generalize to other countries as the data arises from customers in the US and Singapore.

Practical implications

The findings provide important implications for hotel operators and vendors seeking to enhance customer acceptance of in-room voice technology.

Originality/value

This study addresses the gaps of extant research by developing and testing a research model to better understand the influential factors of in-room VA adoption within the hotel domain.

Details

Journal of Hospitality and Tourism Insights, vol. 7 no. 4
Type: Research Article
ISSN: 2514-9792

Keywords

Book part
Publication date: 30 September 2024

Hassan Ali Khan

Innovation in service, procedure and product design is essential for long-term success in today's fast-paced and cutthroat hospitality sector. This study aims to learn how…

Abstract

Innovation in service, procedure and product design is essential for long-term success in today's fast-paced and cutthroat hospitality sector. This study aims to learn how innovation may revolutionise the hospitality sector and lead to memorable guest experiences.

The research delves into new ways of thinking about service design, emphasizing how to create engaging and individual customer experiences (CXs). In order to stand out in a crowded hospitality market and keep up with customers' ever-changing demands, businesses in the industry are experimenting with new approaches to service, like co-creation, personalisation and experience design.

The study also digs into process innovation in the hotel industry, looking at how the latest tech and automation are helping to streamline processes and boost productivity. Reservation systems, guest check-in and check-out, cleaning and supply chain management are just a few areas that get studied. The study delves into how thoughtful product design may enrich visitors' hotel stays. It explores new and interesting services like in-room entertainment, eco-friendly building techniques and creative cuisine. The study investigates how these unique items affect customers' opinions of the products' worth, satisfaction and loyalty.

Methods such as in-depth interviews with experts, guest surveys and the examination of case studies highlighting cutting-edge design in the hospitality industry are all part of the research strategy. This project seeks to provide useful insights and recommendations for hospitality firms that want to adopt innovative service, process and product design methods by analysing real-world instances and gathering empirical data.

Details

Marketing and Design in the Service Sector
Type: Book
ISBN: 978-1-83797-276-0

Keywords

Article
Publication date: 22 August 2024

Tim Neerup Themsen, Peter Holm Jacobsen and Kjell Tryggestad

This paper aims to advance recent literature on the performativity of accounting by examining how project accounting affects a project organization’s ability to deliver a relevant…

Abstract

Purpose

This paper aims to advance recent literature on the performativity of accounting by examining how project accounting affects a project organization’s ability to deliver a relevant project outcome, such as a product or a building, for a receiving client organization.

Design/methodology/approach

The paper draws on a longitudinal case study of a 41.4-billion-kroner (5.5-billion-euro) Danish project of constructing 16 new public hospitals. Its objective was to reduce the average unit costs and improve the quality of patient care. Each hospital construction was managed by a separate project organization and handed over to a separate receiving hospital organization. The project organizations applied a common approach to project accounting. The paper relies on Michel Callon’s concepts of performativity and sociotechnical agencement – approaching project accounting as an arrangement of devices.

Findings

The paper shows that the project-accounting agencement simultaneously supported and undermined the project organizations’ ability to deliver hospitals relevant to the receiving hospital organizations. The agencement performed hospital designs, disciplined project actors and guided decision-making, thus supporting the overall work of the project organizations. It also, however, compelled the project organizations to compromise on hospital designs when unexpected events occurred. These compromises led to the delivery of hospitals, which largely prevented the receiving hospital organizations from achieving the project’s objective.

Originality/value

This paper advances our limited understanding of the dynamic and complex relationship between project accounting and the relevance of project outcomes. It introduces the concept of a “contronymity device” to capture the way project accounting simultaneously produces two opposing consequences, both supporting and undermining the enactment of a particular reality. The paper lastly enriches our understanding of how project-accounting devices impact hospital organizations’ operating cost structures and challenge patient care capabilities.

Details

Accounting, Auditing & Accountability Journal, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0951-3574

Keywords

Article
Publication date: 5 June 2023

Pengsongze Xue and WooMi Jo

Although various booking platforms have been contributing to the dramatic growth of hotel industry, little research has been conducted to understand consumer psychological…

Abstract

Purpose

Although various booking platforms have been contributing to the dramatic growth of hotel industry, little research has been conducted to understand consumer psychological processes and behaviors in online hotel booking. To fill this gap, the current study examines the effect of switching barriers (switching cost and alternative attractiveness) on consumers' decision postponement and repurchase intention. Additionally, the moderating effect of time pressure in different phases of booking decision is investigated.

Design/methodology/approach

A total of 352 samples was collected through an online platform. Data analysis was conducted via Amos 23 (structural equation modeling) and SPSS 24 (descriptive analysis and PROCESS macro).

Findings

Results show that switching cost and alternative attractiveness are two significant drivers of decision postponement and repurchase intention. Meanwhile, time pressure only has a significant moderating effect on the relationship between switching cost and decision postponement.

Practical implications

The findings of this research reveal that hotel operations need to implement strategies to prevent customers' delayed booking decisions and overcome the influence of time pressure on customer decision-making.

Originality/value

These findings stress the importance of consumer perceptions of switching barriers and time span when making hotel reservations online. Hotel practitioners are encouraged to provide multiple human–computer interaction applications to attract novice consumers and increase their familiarity with booking process.

Details

Journal of Hospitality and Tourism Insights, vol. 7 no. 4
Type: Research Article
ISSN: 2514-9792

Keywords

Article
Publication date: 17 September 2024

Jun Zhang and Ting Pan

This study aims to explore the spatial impact of an increase in the minimum wage on the labor productivity of star-rated hotels in China.

Abstract

Purpose

This study aims to explore the spatial impact of an increase in the minimum wage on the labor productivity of star-rated hotels in China.

Design/methodology/approach

The impact is analyzed by using the dynamic spatial Durbin model.

Findings

The authors find a U-shaped link between the increase in minimum wage and labor productivity of star-rated hotels. The long-term impact of a minimum wage increase has a greater influence on labor productivity than its short-term effects. While there is no notable spatial spillover impact observed in the sample of 31 provinces in China, the authors do identify a spatial spillover effect of the minimum wage rises on the labor productivity of star-rated hotels in the central area. Furthermore, they observe heterogeneity across China. The eastern and western regions exhibit a U-shaped relationship, whereas the central region exhibits an inverted U-shaped relationship.

Practical implications

The findings of this study allow government agencies to get a more comprehensive comprehension of the actual consequences of minimum wage hikes on the tourism and hospitality sector, thereby establishing a solid basis for them to develop appropriate policies. Moreover, it offers a variety of suggestions aimed at enhancing the quality and efficiency of hotel management.

Originality/value

Research on the effects of minimum wage standards is scant in the hospitality industry. Based on human capital investment theory, this study examines the effect of the minimum wage standard hikes on labor productivity of star-rated hotels from the spatial perspective, filling the existing research gap.

Details

International Journal of Contemporary Hospitality Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0959-6119

Keywords

Article
Publication date: 27 August 2024

Elyria Kemp, Xingyi Zhang, Millicent Njeri and Kim Williams

Music and sound have been used pervasively to enhance the tourism and hospitality experience. Incorporating music into a brand’s identity has the potential to influence consumer…

Abstract

Purpose

Music and sound have been used pervasively to enhance the tourism and hospitality experience. Incorporating music into a brand’s identity has the potential to influence consumer perceptions and decision-making. This study aims to identify how sonic branding influences consumer attitudes and engagement patterns with hotel brands by using feelings as information theory and applying the effects of music on neurochemical phenomena in the brain. It also explores how sonic branding differentially influences the decision-making of consumer segments.

Design/methodology/approach

Experimental studies are used to examine how sonic brands influence consumer perceptions and engagement tendencies. Study 1 (n = 92) adopts a single-factor experimental design to investigate the main effects of sonic branding (presence vs absence) on customers’ responses. Study 2 (n = 204) uses a 2 (sonic branding: present vs. absent) × 2 (purpose of travel: leisure vs business) design to examine the interaction effects. Participants were recruited through Prolific.

Findings

Results indicate that the use of sonic branding increases engagement tendencies for a hotel brand. In addition, sonic branding interacted with the purpose of travel such that business travelers exhibited more favorable attitudes and higher engagement tendencies toward a hotel brand than leisure travelers when a sonic brand was used.

Originality/value

Given the proliferation of audio-centric environments, this research provides insight into how tourism and hospitality brands can engage and connect with customers by developing sonic brands that can be used throughout the customer journey.

研究目的

音乐和声音被广泛用于提升旅游和酒店体验。将音乐融入品牌的身份有可能影响消费者的感知和决策。本研究旨在通过使用感觉作为信息理论和应用音乐对大脑神经化学现象的影响, 识别声音品牌如何影响消费者对酒店品牌的态度和参与模式。它还探讨了声音品牌如何对不同消费者群体的决策产生差异化影响。

设计/方法/途径

采用实验研究来检验声音品牌如何影响消费者的感知和参与倾向。研究1(n = 92)采用单因素实验设计, 调查声音品牌(有 vs. 无)对客户反应的主要影响。研究2(n = 204)采用2(声音品牌:有 vs. 无)× 2(旅行目的:休闲 vs. 商务)设计, 检验交互效应。参与者通过Prolific平台招募。

研究结果

结果表明, 使用声音品牌会增加消费者对酒店品牌的参与倾向。此外, 声音品牌与旅行目的的交互作用表明, 当使用声音品牌时, 商务旅行者比休闲旅行者对酒店品牌表现出更有利的态度和更高的参与倾向。

原创性

鉴于音频中心环境的普及, 本研究提供了旅游和酒店品牌如何通过开发声音品牌在整个客户旅程中与客户互动和联系的见解。

Objetivo

La música y el sonido se han utilizado de forma generalizada para mejorar la experiencia del turismo y la hostelería. La incorporación de la música a la identidad de una marca tiene el potencial de influir en las percepciones y la toma de decisiones de los consumidores. Este estudio pretende identificar cómo influye la marca sonora (o audio branding) en las actitudes de los consumidores y en sus patrones de compromiso con las marcas hoteleras utilizando los sentimientos como teoría de la información y aplicando los efectos de la música en los fenómenos neuroquímicos del cerebro. También explora cómo influye diferencialmente la marca sonora en la toma de decisiones de los segmentos de consumidores.

Diseño/metodología/enfoque

Se emplean estudios experimentales para examinar cómo influyen las marcas sónicas en las percepciones y las tendencias de compromiso de los consumidores. El estudio 1 (N = 92) adopta un diseño experimental de factor único para investigar los efectos principales de la marca sonora (presencia frente a ausencia) en las respuestas de los clientes. El estudio 2 (N = 204) utiliza un diseño 2 (marca sonora: presente frente a ausente) × 2 (Objetivo del viaje: ocio frente a negocios) para examinar los efectos de interacción. Los participantes fueron reclutados a través de Prolific.

Resultados

Los resultados indican que el uso de la marca sonora aumenta las tendencias de compromiso con una marca hotelera. Además, la marca sonora interactuó con el objetivo del viaje de forma que los viajeros de negocios mostraron actitudes más favorables y mayores tendencias de compromiso hacia una marca hotelera que los viajeros de ocio cuando se utilizó una marca sonora.

Originalidad

Dada la proliferación de entornos audiocéntricos, esta investigación ofrece una visión de cómo las marcas turísticas y de hostelería pueden captar la atención de los clientes y conectar con ellos desarrollando marcas sonoras que puedan utilizarse a lo largo de todo el viaje del cliente.

Article
Publication date: 21 August 2024

Christine Mendoza Pardo and Christian Fikar

This paper studies digitalization projects aiming to increase the share of regional food in the hospitality sector and communal catering. The focus is set on influencing factors…

Abstract

Purpose

This paper studies digitalization projects aiming to increase the share of regional food in the hospitality sector and communal catering. The focus is set on influencing factors and underlying feedback structures that arise through the digitalization of regional food supplies. The results can guide stakeholders to get a better understanding of key influencing factors and complexities from a holistic perspective.

Design/methodology/approach

A systems thinking approach is employed to model regional food networks. The influencing factors were found in the literature and in two model regions. Feedback loops and underlying structures were explained and validated through semi-structured interviews. Findings are visualized in causal loop diagrams (CLDs) and are used for theory development.

Findings

The presentation in CLDs helps understanding the influence of digital logistics platforms on the entire system of regional food supply and not just on isolated parts. Among others, cooperation, trust and digital solutions were identified as key success factors when aiming to increase the share of regional food in the hospitality sector and communal catering.

Research limitations/implications

The work focused on the underlying feedback structures occurring in regional food supply in two, rural Bavarian regions in Germany with their unique geographical settings. Findings may, consequently, not be entirely transferable to other regions with varying characteristics. Further research needs to be done to see how much these regional parameters influence digital logistics platforms.

Originality/value

The paper contributes to the existing scientific literature by showing the impact coming from digital logistics platforms on regional food supply systems. Developing CLDs provides a basis for future work and facilitates discussion for researchers and practitioners to support future real-world implementations.

Details

The International Journal of Logistics Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0957-4093

Keywords

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