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Article
Publication date: 2 December 2019

Jinhua Hong, Toni Repetti, Mehmet Erdem and Tony Henthorne

A review of past scholarly work on pricing issues in hospitality has revealed a lack of focus on customers’ demographic profiles. However, research in other disciplines…

Abstract

Purpose

A review of past scholarly work on pricing issues in hospitality has revealed a lack of focus on customers’ demographic profiles. However, research in other disciplines reveals that understanding price perception differences among groups of customers with different demographics, including culture, is an important consideration when offering pricing strategies. The purpose of this paper is to contribute to the body of pricing research by exploring the effect of hotel guests’ demographics on their perception of hotel room prices.

Design/methodology/approach

Through Qualtrics, data were collected from 414 respondents who stayed at a mid-scale hotel within the past 24 months. The respondents’ perceived value (PV), perceived fairness (PF) and willingness to pay (WTP) for hotel rooms were examined with MANOVA and ANOVA tests to determine the effects of customer demographics on these variables.

Findings

Age, gender and marital status showed a significant effect on PV while age, gender and culture significantly affected PF. However, none of these variables significantly affected WTP. The culture of origin and the culture raised-in influenced PV, PF and WTP similarly.

Originality/value

This study reconciles several divergent results from previous studies and extends the scope of others by introducing different scenarios to each of the three dependent variables. To the best of the authors’ knowledge, it is also the first research study on this subject to evaluate more than two cultures and their effects on the independent variables.

Details

Journal of Hospitality and Tourism Insights, vol. 3 no. 1
Type: Research Article
ISSN: 2514-9792

Keywords

Abstract

Subject area

Hospitality and Tourism.

Study level/applicability

Senior undergraduate level and graduate level.

Case overview

This case study charts out the development of a business plan for Ch’ulel Mendoza, a hypothetical all-villa resort nestled against the Andes Mountains, where guests enjoy luxurious wine-infused spa treatments. The business plan has to be comprehensive because it should become the basis of a turnkey project for potential investors. Ch’ulel Mendoza is surrounded by the lush vineyards of some of the most famous wine estates in Argentina. The spa, facilities and services pay homage to the wine-growing heritage of the region, promoting wine to its guests as both pleasurable for consumption and conducive to healthy living. The architectural design speaks directly to the vines themselves: the earth-covered spa is where guests soak up the healing nutrients in the vinotherapy and water treatments, much like the roots are nourished by the elements and water in the soil; the resort area embraces the outdoors with decks, open patios and pools where guests can bask in the sun and enjoy other natural elements, just like the grape plants themselves. Once it becomes operational, Ch’ulel Mendoza will symbolize a blend of wellness, recreation and the charm of the Latin American culture.

Expected learning outcomes

Develop a comprehensive business plan for a new business, understand the business environment, prepare a strengths, weaknesses, opportunities and weaknesses analysis, develop functional (marketing, finance, human resources, operations, etc.) plans and understand the opportunities and challenges in the new product development process.

Subject code

CSS: 12: Tourism and Hospitality.

Details

Emerald Emerging Markets Case Studies, vol. 7 no. 3
Type: Case Study
ISSN: 2045-0621

Keywords

Abstract

Details

Tourism in Cuba
Type: Book
ISBN: 978-1-78743-902-3

Abstract

Details

Tourism in Cuba
Type: Book
ISBN: 978-1-78743-902-3

Abstract

Details

Tourism in Cuba
Type: Book
ISBN: 978-1-78743-902-3

Abstract

Details

Tourism in Cuba
Type: Book
ISBN: 978-1-78743-902-3

Abstract

Details

Tourism in Cuba
Type: Book
ISBN: 978-1-78743-902-3

Abstract

Details

Tourism in Cuba
Type: Book
ISBN: 978-1-78743-902-3

Abstract

Details

Tourism in Cuba
Type: Book
ISBN: 978-1-78743-902-3

Content available
Book part
Publication date: 24 October 2018

Tony L. Henthorne

Abstract

Details

Tourism in Cuba
Type: Book
ISBN: 978-1-78743-902-3

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