Coopetition strategies for competitive intelligence practices-evidence from full-service hotels

Our study investigates how coopetition strategies can influence hotels’ competitive intelligence (CI) practices to achieve a stronger competitive advantage. In-depth interviews were conducted with 39 hoteliers from 22 hotel groups in Hong Kong. Participating hotels employed different kinds of CI activities, though they were unaware of this concept. In particular, internal customer intelligence was added to integrated intelligence to better describe CI in the service sector. Still, investing in CI can be expensive and time-consuming since it requires hoteliers to align all insights from their respective intelligence pools toward building a holistic understanding of the results. We propose coopetition as a strategic approach allowing hotels to construct collective actions around CI without losing individual competitiveness. Actual coopetition in CI was only found between sister properties. Hence, we propose a coopetition model in which hotels can collaborate and compete in CI at an inter-organizational level via focusing on sharing open-source information and knowledge.     

Facilitating Benchmarking with Strategic Grouping and Data Envelopment Analysis: The Case of International Tourist Hotels in Taiwan

For a performance measure to be instructional in future operations, selecting the right strategic groups of firms from which appropriate benchmark targets are to determined is important in the development of business strategies. The immediate question is how to group firms and choose the best benchmark. In this study, a revised context-dependent data envelopment analysis model is applied to identify multilevel strategic groups. Empirical data are obtained for 56 international tourist hotels in Taiwan. Five strategic groups are identified in terms of efficiency frontiers, and the hotels within the groups are ranked by attractiveness scores that reveal their competitiveness. The hotels are also assessed by progress scores that reveal the effort needed for them to advance to a higher level. By integrating both these scores, a clear benchmarking path is designed for each hotel. This path can guide inefficient hotels to identify suitable role models for excellence.     

Emerging Definitions of Boutique and Lifestyle Hotels: A Delphi Study

Despite growing interest in the boutique and lifestyle sector of the lodging industry, there is not an accepted definition of either “boutique hotel” or “lifestyle hotel.” Boutique and lifestyle hotel strategies provide hotel companies with important points of differentiation in an increasingly competitive marketplace. The current study determined definitions using a Delphi analysis of responses from a diverse group of experts from the lodging industry. Forty-one panel members were involved in the process that was undertaken with three rounds of questions. The study determined that boutique hotels are best characterized as small, stylish hotels that offer high levels of service. Lifestyle hotels are described as innovative and provide more of a personal experience than so-called “branded” hotels.     

The impact of industry force factors on resource competitive strategies and hotel performance

This study integrates the Porter's five forces and resource-based approach measuring U.S. hotel performance. The results show that hotels with the advantage of low customer bargaining power and low threat of new hotel entrants exhibit the strong human resource and information technology (IT) strategies. In contrast, hotels with the advantage over existing competitors do not exhibit any significant competitiveness of brand image, human resource, and IT strategies. This dues to different hotels define competitors with various criteria such as proximity and price. Competitive human resource and IT strategies indicate the increase of hotel performance, while competitive brand image strategy has no influence on hotel performance. The competitiveness of brand image strategy may overlap with implementing human resource and IT strategies.     

Change or perish: Examining the role of human capital and dynamic marketing capabilities in the hospitality sector

Many researchers have endeavored to explain which factors contribute to sustainable competitive advantage. Toward this end, this study contributes to the marketing and hospitality management literature by providing empirical evidence on how human capital, dynamic marketing capabilities, and market dynamism influence competitive advantage in the hotel sector. We collected cross-sectional survey data from marketing and sales managers in 165 hotels, along with in-depth interviews in three hotels, based in four Gulf Cooperation Council (GCC) countries, namely, Saudi Arabia, Qatar, United Arab Emirates and Bahrain. The findings reveal that human capital directly, and indirectly through dynamic marketing capabilities, plays a critical role on developing competitive advantage. To contextualize this role, our research reveals that market dynamism moderates the mediated relationship between human capital and competitive advantage via market sensing capabilities. We discuss how the findings offer theoretical and managerial implications for the development of competitive advantage in the hotel sector.     

Strategic responses of the hotel sector to COVID-19: Toward a refined pandemic crisis management framework

The Covid-19 pandemic has long-lasting impacts that require the hotel sector to revise, innovate and transform their businesses. However, the literature related to this area remains vastly under-developed. Based on 219 articles collected from global news media and an integrated crisis management framework, this research note map out "strategic responses" from the hotel sector and suggest implications for hotels to address the evolving pandemic situation. Three modifications were proposed to refine and further develop a pandemic crisis management framework.     

Exploring the Factors Affecting Hotel Outsourcing in Taiwan

Two studies were conducted to examine factors affecting hotel outsourcing in Taiwan. In study 1, interviews with senior hotel managers were analyzed to explore the factors determining a hotel's outsourcing of different services. The results of the questionnaire survey used in study 2 indicated that the current and desired percentages of outsourcing for international tourist hotels in Taiwan were very low, indicating that strategic outsourcing has not received much attention in that part of the Taiwanese hospitality sector. The hotel departments that were most often outsourced were housekeeping, security, maintenance and information systems. Study 2 also showed outsourcing decisions were based only on a hotel's resources. The effect of predicting outsourcing was not significant for transaction costs. The results of this study provide both hotel management and outsourcing service providers with insights into hotel outsourcing in Taiwan.     

Hotel Innovation Through Property Renovation

ABSTRACT

There is little doubt that renovation is a costly, ongoing and an essential requirement for hotels to stay competitive in the market. At any one time almost every hotel has recently been renovated, is under renovation, or is waiting for renovation. An examination of the literature uncovers that product innovation and property renovation are inseparable in the hotel industry. This is due to the fact that various levels of innovation can be attained through renovation. Therefore, it is the intention of this paper to concentrate on the process of property renovation in the hospitality industry and its role as a strategic marketing tool for product innovation. This is undertaken through presenting an analysis of a survey of hotel general managers in Egypt.     

The repercussions and challenges of COVID-19 in the hotel industry: Potential strategies from a case study of Indonesia

The COVID-19 pandemic has hit the tourism and hospitality sector hard. Hotel managers face uncertainty in this environment in order to survive. This study explores the impact of COVID-19 on the hospitality industry, particularly hotels in Indonesia, one of the largest developing countries. It examines the challenges faced by hotel managers and the strategies used to survive. Through the lens of complexity theory, we discuss whether the strategies being deployed are beneficial, redundant, or detrimental for hospitality businesses. Based on semi-structured interviews with 13 hotel managers in Jakarta, Bandung, and Bali, the findings shed light on the various challenges to hotels. We also highlight which challenges could turn into opportunities. The findings show that the strategies that managers are deploying could be detrimental in the future. Potential future research directions are also discussed.     

Improving hotel budgetary practice—A positive theory model

Budgeting is the most widely used management accounting technique. This research considered contemporary hotel sector practice and theory concerning budgeting. The rationale for existing practice was further explored through qualitative research. This led to the development of recommendations concerning budgetary processes within the hotel sector.The results identified some aspects of practice that can be improved, particularly participation in the budgeting process at lower management levels in organizations and the financial training needs of non-financial managers. These findings have implications for management in the industry and recommendations for how current budgeting practice in hotels can be enhanced are given.     

Resources and capabilities as drivers of hotel environmental marketing strategy: Implications for competitive advantage and performance

Building on the resource-based view, we develop a model of drivers and outcomes of environmentally friendly marketing strategies in the Greek hotel sector. Data collected from 152 hotels reveal that possessing sufficient physical and financial resources is instrumental in achieving effective green marketing strategies. In addition, shared vision and technology sensing/response capabilities help develop a sound environmentally friendly marketing strategy. In turn, the adoption of such a strategy is conducive to obtaining competitive advantage, which subsequently increases the potential to achieve superior market and financial performance. Furthermore, the study finds that the effect of environmental marketing strategy on competitive advantage is stronger in the case of intense competitive situations, while market dynamism has no moderating effect on this association. Several implications can be drawn from the study findings for both corporate and public policy makers and interesting directions for future research are provided.     

Human resource management approaches in Spanish hotels: An introductory analysis

Although Spain is one of the most important tourism destinations in the world, Spanish tourism firms need to be more competitive in order to continue attracting citizens from other countries and human resource strategies can help. The present study aims to identify the specific human resource practices applied by hotels. The variables of interest are those related to human resource profile (number of employees, nationality and sex) and to human resource strategies (recruitment, hiring and training strategies). A survey of the hotel establishments in the Valencian Autonomous Region shows that a hard human resource approach prevails and that hotels apply the same human resource strategies regardless of their category or competitive strategy (universalistic approach).     

Energy use and management in hotels in Hong Kong

This paper reports on a study of energy use in 16 quality hotels in Hong Kong. An overview of energy use in these hotels is firstly presented, and this is followed by a detailed analysis of energy use in one of the 16 hotels. The overview indicates that the energy use situation in hotels in Hong Kong is very much diversified. The total energy use in a hotel is dominated by electricity, with the greatest portion for air conditioning because of sub-tropical climate. A detailed multiple variable regression analysis indicated that a number of hotel operating parameters as well as climatic condition can affect electricity, diesel and gas use in a hotel building. In order to achieve both operating cost saving and environmental protection, it is recommended that an energy management programme be established, and key elements of such a programme based on the experience of implementing energy conservation strategies in hotels in Hong Kong are highlighted.     

The Implementation of Saudization in the Hotel Industry

Saudi Arabia's localization policy, “Saudization,” aims to decrease reliance on expatriate workers, but it has been more successful in the public sector than in the private sector. This study explores the issues involved in effectively implementing the policy in the hotel industry in Saudi Arabia, specifically four- and five-star hotels. Tourism professionals, HR professionals, and hotel managers were interviewed and hotel managers and employees surveyed. The research specifies criteria for the effective implementation of Saudization and identifies the issues involved in implementing this policy in four- and five-star hotels. It makes recommendations, which could assist in implementing the policy effectively in the hotel industry.     

Impact of hotel information security on system reliability

While information systems are very essential to a hotel's operations, the need for obtaining information security is emerging. Hotels acquire customer information in databases and utilize information systems to support various marketing activities. This study pursues an empirical examination of the impact of information security on the system reliability of Hotel Information Systems (HIS) through perceptions of hotel employees who use and manage HIS. An information security index for the hotel industry was developed based on previous research and practices current in the industry. Data was obtained from 4-star and 5-star hotels. Findings revealed eight information security factors affecting system reliability in hotel operations. Findings also indicate that management types and styles of hotels moderate in the relationship between information security and system reliability. Implications of the findings were discussed in relative to the hotel industry.     

Diversification strategies and failure rates in the Texas lodging industry: Franchised versus company-operated hotels

This research examines the relationship between geographic, brand, and segment diversification and hotel failure rates based on ownership structure, i.e. franchised and company-operated hotels, in the Texas lodging industry. Literature on diversification strategies is mainly based on financial measures of performance and offers mixed results; only few studies have assessed firm failure rates directly based on distinct diversification strategies at the establishment level. The performance outcomes are significantly heterogeneous not only based on the strategies, but also on the ownership structures, which are yet to be examined. Using data from the Texas Comptroller of Public Accounts from 2000 to 2018, a semi-parametric Cox proportional hazard model is estimated, and the findings reveal that failure rates are not significantly tied to particular types of diversification and ownership structures. This research provides insights on hotel diversification strategies and their relative dominance on hotel failure rates based on franchised and company-operated hotels.     

Evaluation of hotel brand competitiveness based on hotel features ratings

Understanding the competitiveness of hotel brands is important for hotel managers to shape their brands and initiate effective marketing strategies and business developments. However, evaluating hotel brand competitiveness is challenging due to the complexity of information involved. A hotel brand often comprises many hotels with different performances. Hotel brands are also evaluated against multiple hotel features, thereby making the application of traditional evaluation techniques impractical. This paper introduces a novel technique for automatically evaluating the competitiveness of hotel brands based on probability distribution and earth mover’s distance. We demonstrate the effectiveness of our proposed method by conducting a case study that involves major hotel brands in Hong Kong. The proposed method can be applied in various contexts and can help researchers and managers evaluate the competitiveness of hotels as well as other branded products in the hospitality and tourism sectors.     

Total quality management,corporate social responsibility and performance in the hotel industry

Total quality management (TQM) and corporate social responsibility (CSR) are relevant management philosophies in the hotel industry to be able to generate a sustainable competitive advantage. This paper examines how the implementation of both TQM and CSR influences the results of hotels’ stakeholders as an antecedent of business performance. An empirical study of a sample of 141 Spanish hotels from the Andalusian region shows that the adoption of such approaches improves the capacity of hotels to create benefits for their stakeholders, and these results have a positive effect on hotel performance. The study also provides evidence of the complementarity of both management philosophies as TQM can enhance the development of CSR.     

Who benefits more from trade shows: Independent,franchised or chain-owned/managed hotels?

Large-scale events are opportunities for hotels to generate revenue. The literature has attested positive effects of events on hotel performance. However, while large-demand events are associated with room rate increases, hotel operation types may play a critical role in this “event-hotel performance” relationship. Drawing on the resource-based view theory, the chain value model and the theory of strategic groups, we hypothesize that independent and franchised hotels outperform chain-owned/managed hotels when events are held. The empirical application on over 950,000 observations between 2014 and 2019 shows that while chain-owned/managed hotels generally outperform independent and franchised hotels, this situation reverses in the presence of events. This result extends the resource-based view theory and the value chain model by including the short/long-term and corporate/property paradigm in the hotel industry.     

Types of agglomeration effects and location choices of international hotels in an emerging market

When international chain hotels are seeking new locations in which to establish new properties, local knowledge of those locations is essential for success. By incorporating agglomeration and internationalization research, this study investigates how international hotels can acquire that local knowledge from the existing hotels. The study presents two different kinds of hotel agglomerations (same-country-of-origin and higher-differentiation agglomerations) as sources of local knowledge and shows how international hotels might select their locations based on types of agglomerations and their entry strategies. The study employs conditional logistic regression, using a sample of international hotels in China. Results indicate that international hotels, especially those with franchising, are more likely to choose a location where the hotels from the same country of origin are highly located. Because they share the same culture and business practices, new hotel entrants may more easily assimilate the local knowledge that compatriot hotels have accumulated.