Mechanisms of consumers' trust development in reviewers' supplementary reviews: A reviewer-reader similarity perspective

The literature on online reviews tends to focus on initial consumer postings and reviews, but supplementary online reviews posted by the same reviewer remain an unexplored area in marketing in general and hospitality in particular. To address this gap in the research, this study offers a research model that examines the effects of reviewers' attributes on consumer trust and positive behavioral outcomes, using hotel attributes performance as a moderator. Using responses from 414 hospitality consumers in China, our findings reveal that reviewers whose supplementary reviews use similar identities to those of their initial review, review similar firms, and use similar websites gain consumers' trust. Hotel attributes performance has a strong positive moderating effect on the relationship between reviewers' attributes and consumers' trust, and the trust engendered in this way creates the psychological comfort that leads to positive behavioral outcomes. Implications for theory and practice are discussed along with suggestions for future research.     

Influence of sustainable hospitality supply chain management on customers’ attitudes and behaviors

This study aims to identify the impact of the environmental, social and economic dimensions of sustainable hospitality supply chain management actions on customers’ attitudes and behaviors including satisfaction, loyalty and willingness to pay a premium for sustainable hospitality goods and services utilizing data collected from U.S. consumers who frequently stay at hotels. Findings suggest that while both environmental and economic dimensions’ actions of sustainable hospitality supply chain management have positive influences on customer satisfaction, loyalty and willingness to pay a premium for sustainable hospitality goods and services, the social dimension actions are found to have a positive influence on customer satisfaction and a negative influence on customer willingness to pay a premium. Results also indicate that customer satisfaction fully mediates the relationship between social dimension actions and customer loyalty. In addition, customer satisfaction positively influences customer loyalty, which ultimately increases customer willingness to pay a premium. The implications of the research findings are provided.     

Strategic alliances: a hospitality industry perspective

The article focuses on strategic alliance theory as it applies to the hospitality industry. Citing research as well as real-world examples, the authors integrate a variety of concepts and develop four propositions about the growing use of strategic alliances in the hospitality industry. These propositions include the following: P1: Hospitality alliances will evolve from equity joint ventures to collaborative joint ventures (non-equity) as competitor alliances will emerge. P2: Contractual agreements will evolve from simple franchise and management contracts to more complex resource-sharing, non-equity agreements. P3: Complex resource sharing between allying partners will help incumbent firms build relationships with partner firms that will lead to the development of competitor alliances. P4: Technology will help in the development of competitor alliances, which will also help to increase incumbent firms’ productivity and profitability.     

Value co-creation and customer citizenship behavior

Drawing on social exchange theory and the service-dominant logic framework this paper explores the association between value co-creation and the willingness to engage in customer citizenship behavior in the hospitality and tourism context. Tourism and hospitality firms are increasingly offering opportunities for co-production and value-in-use not only to increase revisit and repurchase intentions but also to benefit from manifestations of customer citizenship behavior such as customer feedback, advocacy, customer-to-customer assistance and tolerance in less satisfactory future services. The paper offers a building block for future work to investigate the causal relationship between the dimensions of value co-creation (co-production and value-in-use) and customer citizenship behavior.     

Antecedents of coopetition in small and medium-sized hospitality firms

Coopetition, which is entering cooperation with competitors, lets firms overcome the challenges of uncertain environments and their intense competition and pressure to innovate. The hospitality industry frequently experiences this kind of competition. It is also dominated by family-run small and medium-sized enterprises (SMEs), which are inclined towards cooperation due to their limited size and resources, along with their strong social ties. Investigating hospitality SMEs’ decision-making, this mixed-method study tests the antecedents of coopetition in 171 hospitality SMEs in western Austria. Its findings show that economic benefits and destination networks directly and positively influence coopetition, while family involvement indirectly and positively moderates the effect of environmental conditions and social relationships on coopetition. Information from follow-up interviews with 15 firm managers complements the understanding of these effects. Our findings encourage destinations to establish services helping family firms to coopete.     

Dual-focused transformational leadership and service innovation in hospitality organisations: A multilevel investigation

Service innovation from hospitality employees can contribute to improving service quality and further facilitating hospitality organisations to gain competitive advantage and maintain prosperity. Drawing upon social exchange theory and social cognitive theory, we developed a multilevel model of the relationships between dual-focused transformational leadership (TFL) and service innovation at the team and individual levels, as well as mediating and moderating mechanisms behind the relationships. Data were collected from team leaders and their employees from hospitality organisations in Henan Province, China. Multilevel structural equation modelling (MSEM) was employed to validate the model. The results showed that team-focused TFL promoted team service innovation via developmental culture while individual-focused TFL promoted employee service innovative behaviour via creative self-efficacy. Group openness diversity concurrently moderated the relationship between developmental culture and team service innovation, and the relationship between individual-focused TFL and creative self-efficacy. Enlightened by the research findings, theoretical and practical implications are drawn.     

Exploring determinants of meeting planners’ commitment to the business relationships with destination management companies

Although there is a demand for research on a business-to-business relationship between meeting planners and destination management companies, the current hospitality and tourism literature is insufficient in its attempt to understand the dynamics of this unique relationship. Recently, in the meeting industry, destination management companies have been recognized to experience a more challenging business environment due to the abundance of online vendor information which activates meeting planners’ disintermediation of destination management company services. To provide more practical implications for these key meeting players, this study urges that the key factor that encourages meeting planners to continue using destination management companies is trust. Therefore, this study examines determinants of the trust–commitment relationship as a means for meeting planners to achieve a more sustainable relationship with destination management companies. Applying and extending social exchange theory, this study also explores the determinants of the future relationship (commitment or termination). Findings of this research will provide the industry with suggestions for their relationship development.     

Supply management practices and performance in the Canadian hospitality industry

As the competition to gain customers becomes more intense, the hospitality industry has faced increasing pressure to find new approaches to create and deliver value to customers through supply chain management (SCM) practices. Over the past decade there has been a growing realization of the important contribution that purchasing and supply management can have on an organization's performance. This paper addresses SCM practices, with an emphasis on strategic purchasing (SP), in one sector of the Canadian hospitality industry. Using data collected from 105 Canadian hotels, this study tested seven hypotheses of the impact of SP on SCM practices and verified the impact on the hotel's performance. All of the hypothesized relationships were supported. The results indicate that SP is positively related to the relationship with the supplier (SR), communication (COM), service quality (SQ), financial performance (FINP), and customer satisfaction performance (CUSP). The managerial and research implications of these findings are discussed in the paper.     

Drivers of hotel employee’s voice behavior: A moderated mediation model

This study developed and tested a moderated mediation model for examining the relationships among person-organization fit (P-O fit), employee voice, employees’ perceived nature of the work and employees’ perceived functional quality of their services. Using 265 frontline employees from several 3 star hotels in Taiwan, the analytical results show that P-O fit is positively related to employee voice, and that employees’ perceived nature of the work mediates the positive relationship between these two variables. The analytical results also show that employees’ perceived functional quality of their services moderates the direct effect of P-O fit on employees’ perceived nature of the work, as well as the indirect effect of P-O fit on employee voice via employees’ perceived nature of the work. Theoretical and practical implications for the hospitality literature and hotel practitioners are discussed herein.     

When my pay is lower than my expatriate colleagues: Where do the Hospitality Managers go from here?

Evidence suggests that the failure of expatriate managers has a great impact on MNCs in the hospitality industry. While this mainly stems from poor interrelationships with local subordinates, little is known about ways to ameliorate the detrimental effect. Given this, we examined the moderating roles of trust on compensation gap-work outcomes relationships. The Multilevel approach was used on a sample of 286 local team members and 32 expatriate team leaders from hotel companies in China. Results show that compensation gap between locals and expatriates relates negatively to local employee work outcomes. The negative compensation gap–work outcome relationship is moderated by trust. Affective trust significantly reduces the negative effect of compensation gap on employees’ satisfaction with expatriate managers and altruism towards them while cognitive trust minimizes the effect on job satisfaction and organizational commitment. We suggest an increase in trust dimensions to reduce perceived injustice in hospitality international management.     

The contributions of economics to hospitality literature: A content analysis of hospitality and tourism journals

This paper aimed to develop a concrete understanding of economics topics and methodologies that have been applied to hospitality research and to suggest areas for further research. Content analysis of 292 full-length articles was performed. The results showed that the contributions of economics to hospitality literature were largely empirical and microeconomics-related. Most of the research topics focused on market analysis, which involves demand and supply modelling and price determinants, followed by performance analysis, involving efficiency and productivity studies. Limited contributions of macroeconomic topics to hospitality were determined, highlighting the lack of studies on the impact of government or public policies on the hospitality industry. Moreover, the application of game theory to market structures was found to be limited, creating a vacuum in terms of understanding the competitive and cooperative behaviours of hospitality firms. As a contribution to the literature, the study provides suggestions for future research.     

The moderating role of brand diversification on the relationship between geographic diversification and firm performance in the US lodging industry

In spite of the prevalence and strategic importance of diversification for US lodging firms, research on the effects of diversification has been insufficient in the hospitality literature. Especially, an examination of the moderating effect of brand diversification on the relationship between geographic diversification and performance of US lodging firms has been lacking in the literature in various disciplines, including hospitality field thus far. This study aims to first investigate the individual effect from each of brand and geographic diversification strategy on firm performance in the US lodging industry. Further, to investigate effects of diversification comprehensively, this study examines the moderating effect of brand diversification on the relationship between geographic diversification and performance of US lodging firms. The study's results indicate a positive and significant effect of geographic diversification on firm performance, an insignificant effect of brand diversification, and a positive and significant moderating effect of brand diversification in the US lodging industry.     

Moderating effect of work–family conflict on the relationship between leader–member exchange and relative deprivation: Links to behavioral outcomes

This study intends to explore the moderator of work–family conflict on the relationship between leader–member exchange and relative deprivation, and simultaneously examine the impact of relative deprivation on employees' behavior (including effort behavior and service sabotage). Questionnaire survey was conducted in 14 international tourist hotels in Taipei. Of the returned sample, 379 questionnaires are effective. The result indicates that high quality leader–member exchange relationship has negative impact on employees' relative deprivation. Also, relative deprivation has significant impact on effort behavior, and service sabotage. Furthermore, work–family conflict is found to have moderating effect on the relationship between leader–member exchange and relative deprivation. This study fills the research gap in the hospitality literature regarding the effect of work–family conflict on the relationships among leader–member exchange, employees' relative deprivation, and work behaviors. It also sheds the light on work–family conflict literature by extending leader–member exchange theory to leader–employee relationship.     

Sustainability practices of family firms: the interplay between family ownership and long-term orientation

Sustainability practices are critical for family firms, as they relate directly to the continuity of the business and relationships with important stakeholders, such as members of the local community. Nevertheless, not all family firms wish to adopt sustainability practices. To examine this, we draw upon the socioemotional wealth perspective in order to develop a theoretical model of the direct negative effects of family ownership on the adoption of sustainability practices. We also suggest moderating effects of long-term orientation (LTO) on this link. Our model is tested on a sample of 195 family firms in the tourism and hospitality sector. The results support our hypothesis that family ownership negatively influences the adoption of sustainability practices. Additionally, LTO moderates the relationship between family ownership and the adoption of sustainability practices, such that family owners with a high LTO are more likely to adopt this particular practice compared to those with a low LTO.     

Network,knowledge and relationship impacts on innovation in tourism destinations

We combine network structure and firm-level relationship measures to explore the association between innovative behavior, firm position within the network of a destination, and the knowledge and relational trust characteristics of a firm's innovation-oriented relationships. We find current collaboration, shared knowledge and trust are associated with innovative behavior with partner firms, but that betweenness centrality indicates which partners are the most prominent innovators in a population. That is, relationship-level characteristics facilitate innovation partnerships, but network structure characteristics identify the most successful innovative partners. To theory, our findings contribute to efforts in the tourism, innovation and network literature to evaluate the differential effects of knowledge stocks and flows on innovation. For practice, our results suggest that promoters of innovation within a destination should leverage brokerage positions to improve the in-flow of ideas while encouraging the firms that share knowledge and trust to collaborate to apply those ideas.     

Crafting and testing a central precept in service-dominant logic: Hotel employees’ brand-citizenship behavior and customers’ brand trust

Employees play an important role in hotel service branding. Their enactments of positive brand-supportive behaviors help nurture positive customer–brand relationships. This study explores the relationship between employee perceived organizational support, brand citizenship behavior, and customers’ perceptions of brand trust. Two questionnaire surveys were carried out in high-contact hotel service firms collecting employee and customer data by matched-questionnaires. The results of the study indicate that brand-citizenship behavior consists of three components: willingness-to-help, brand enthusiasm, and propensity for further development. Propensity for further development has a significant direct positive effect on the other two components, and the other two components both have significant direct positive effects on customer's brand trust. Employee-perceived higher levels of organizational support increase performance of brand citizenship behavior. The study includes empirical findings, contributions to theory, limitations, and direction for future research.     

Examining the spillover effect of frontline employees’ work–family conflict on their affective work attitudes and customer satisfaction

This study examines the negative spillover effects of hospitality frontline employees’ work–family conflict on their affective reactions, commitment, and customer satisfaction. A field survey was conducted to obtain a dyadic data set (148 paired employee–customer responses). Our results indicate that frontline employees’ role conflict between work and family results in less positive affective reactions to the job, decreased emotional attachment to the organization, and lower levels of customer satisfaction. These findings suggest that hospitality firms need to understand that factors outside the workplace influence service excellence, thus calling for a family-friendly organizational culture.     

The Effects of Travel Agent Characteristics on the Development of Trust: A Contingency View

Abstract

Trust is a key factor in the establishment of long-term relationships between travel agents and their customers. Prior research across service industries has documented that both “person-related” (e.g., empathy, politeness, and customer/service representative similarity) and “offer-related” (e.g., customization, competence, reliability, and promptness) service representative characteristics have an impact upon trust. However, the relative importance of these characteristics, and in some cases the direction of their relationships with trust has varied across studies. In this paper, we posit a contingency model of trust, suggesting that within the travel agency industry, the effects of the above variables on trust will be moderated by length of customer/service provider relationship. Our model is tested in a business-to-business context by means of a mail survey involving 487 small business owners. The small business owners provided data about their relationships with their travel industry service providers (i.e., agents). Our results demonstrate how corporate travel agencies can work toward the establishment of trust with their clients under varying market conditions.     

The Determinant of the Hospitality Industry's Unsystematic Risk: A Comparison Between Hotel and Restaurant Firms

ABSTRACT

Unsystematic risk is accepted as an important factor in stock valuation. Despite the importance, little has been done to study the relationship of unsystematic risk to stock values in the hospitality industry. This study attempted to advance the understanding of financial variables that could be related to unsystematic risk of hospitality firms. Regression models were developed for hotel and restaurant firms, using unsystematic risk as the dependent variable and financial variables as independent variables. The major findings of this study indicate: 1) more profitable hospitality companies have less unsystematic risk, 2) reducing reliance on debt financing could reduce unsystematic risk, 3) the positive relationship between operating leverage and unsystematic risk, suggesting that decreasing operating leverage could mitigate the stock price volatility of hospitality firms, and 4) large hotel and restaurant firms have less unsystematic risk than small firms. This study should help management of hospitality firms incorporate effects of shareholder expectations into their operational decision making as an integral part of long-range financial planning.     

Social servicescape’s impact on customer perceptions of the hospitality brand – The role of branded social cues

This research examines how the social servicescape (i.e., employee-customer, employee-employee and customer-customer) impacts brand-related outcomes via branded social cues. Informed by theories related to cue consistency and conceptual fluency, results from three experimental studies conducted across sectors and scales of hospitality businesses (i.e., luxury hotel, high-end restaurant and limited-service hotel), indicate that branded social servicescape cues have direct, indirect and interactive effects on brand-related outcomes. In luxury contexts, when the brand’s personality is absent in employee-customer social cues, the negative effects were buffered if brand personality is reflected in employee-employee social cues. Conceptual fluency mediated the relationship between branded employee-customer social cues and brand-related outcomes, which was moderated by branded employee-employee social cues. Conceptual fluency also mediated the relationship between branded customer-customer social cues and brand-related outcomes. This research sheds light on how hospitality firms can leverage branded social cues to enhance customer evaluation of the hospitality brand.