Is more better? The relationship between meeting space capacity and hotel operating performance |
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| Institution: | 1. College of Business, Department of Marketing, Florida Atlantic University, 318 Fleming Hall, Boca Raton, FL, 33431, USA;2. School of Applied Sciences, Department of Hotel Management, Ozyegin University, Istanbul, Turkey;1. Rosen College of Hospitality Management, University of Central Florida, 9907 Universal Blvd, Orlando, FL 32819, USA;2. Department of Human Nutrition & Hospitality Management, College of Human Environmental Sciences, The University of Alabama, 421 Russell Hall, Box 870311, 504 University Blvd, Tuscaloosa, AL 35487, USA;1. School of Economics and Finance, Massey University, Palmerston North, New Zealand;2. Department of International Trade and Marketing, Gediz University, Izmir, Turkey;3. Department of Economics, Gediz University, Izmir, Turkey;4. Department of Economics and Finance, Vancouver Island University, Canada;1. School of Computer Science, Xi’an ShiYou University, China;2. Guangxi Key Laboratory of Trusted Software, Guilin University of Electronic Technology, Guilin, China;3. Department of Information Systems and Business Analytics, Deakin University, Australia;4. School of Hotel & Tourism Management, The Hong Kong Polytechnic University, Hong Kong SAR, China;5. School of Information Technology, Deakin University, Geelong, VIC 3216, Australia;6. Xinjiang Technical Institute of Physics and Chemistry, Chinese Academy of Sciences, 830011, China;1. James Cook University, P. O. Box 6811, Cairns, Queensland 4870, Australia;2. James Cook University, Townsville, Queensland 4811, Australia;1. Universidad de Alicante, Department of Applied Economic Analysis, IEI and University Institute of Tourism Research (IUIT), Carretera San Vicente del Raspeig s/n, 03690 San Vicente del Raspeig, Alicante, Spain;2. Universidad de Alicante, Department of Applied Economic Analysis and IEI, Carretera San Vicente del Raspeig s/n, 03690 San Vicente del Raspeig, Alicante, Spain;3. IEB, Facultat d’Economia i Empresa, Universitat de Barcelona, Tinent Coronel Valenzuela, 1-11, 08034 Barcelona, Spain |
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| Abstract: | This study examines the effect of meeting space capacity on hotel operating performance. We use Resource-Based View (RBV) of the firm as the theoretical foundation. We employ a national-level dataset with more than 20,000 hotels in the United States for the 2007–2012 period. We find that meeting space has a non-linear effect on hotel operating performance. That is, at low levels of meeting space, meeting space capacity is negatively related to hotel operating performance. At high levels of meeting space, meeting space capacity has a positive influence on operating performance. These findings provide insights for hotel owners, developers and practitioners in planning hotel meeting space capacity. |
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| Keywords: | Hotels Meeting space Resource based view (RBV) Operating performance |
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