Impacts of positive and negative corporate social responsibility activities on company performance in the hospitality industry

In spite of growing concern for corporate social responsibility (CSR) in various industries including the hospitality industry, the relationship between CSR activities and financial performance is a rarely examined subject in the hospitality context. Especially, research measuring the separate impacts of positive and negative CSR activities on companies’ financial performances remains, as yet, unconsidered. Thus, this study examines different impacts of positive and negative CSR activities on financial performance of hotel, casino, restaurant and airline companies, theoretically based on positivity and negativity effects. Findings suggest mixed results across different industries and will contribute to companies’ appropriate strategic decision-making for CSR activities by providing more precise information regarding the impacts of each directional CSR activity on financial performance.     

How effective are your CSR messages? The moderating role of processing fluency and construal level

This study explores effective ways for hospitality companies to communicate their corporate social responsibility activities with customers. The moderating role of processing fluency and psychological distance has been examined. The findings suggest that when customers are making a decision for the distant future (e.g., three months later), they are more likely to engage in abstract thinking and rely on metacognitive cues such as processing fluency. As such, a CSR message with high processing fluency will be preferred. On contrary, when customers are making a decision for the near future (e.g., next week), their information processing strategies are influenced by their concrete mental representation of the events. Under such circumstance, customers tend to have a more positive attitude and purchase intention after reading a CSR message with low processing fluency. Theoretical and managerial implications are discussed as well.     

The effect of CSR on corporate image,customer citizenship behaviors,and customers’ long-term relationship orientation

With the expansion of corporate social impact, corporate social responsibility (CSR) activities have been regarded as a critical factor for corporate management. There is a need to understand customers’ perception of CSR activities for future corporate profitability. Thus, this study investigates the effect of multidimensional CSR activities on customers’ corporate image, customer citizenship behavior (CCB), and long-term relationship orientation (LRO). The results indicate that CSR (economic, ethical, legal, and philanthropic) had a positive effect on corporate image and on CCB (making recommendation, helping other consumers, and providing feedback). It also appears that CCB had a positive effect on LRO with firms. This study provides empirical implications for companies by verifying the effect of CSR activities as a focal factor in building long-term relationships as an organizational goal in the foodservice industry.     

Hotels’ corporate social responsibility practices,organizational culture,firm reputation,and performance

Corporate social responsibility (CSR) practices are considered one of the key success factors influencing firm performance. However, how CSR practices should be integrated into an organization’s business practices has not been investigated empirically. The present research proposes an integrated model incorporating the interrelationships among CSR practices, organizational culture, and corporate reputation to improve firm performance in the hotel industry. The proposed model is developed using stakeholder theory and the perceptions of the general managers. According to the study’s results, organizational culture influences different dimensions of CSR. The results further indicate that hotels using CSR practices related to employees and customers strengthen their reputation. Through improved reputation, CSR practices positively influence firm performance. Furthermore, hotel managers perceive that CSR activities in the local community and related to the environment do not significantly affect a hotel’s reputation. Theoretical and practical implications are provided, and the limitations of the study and future lines of research are discussed.     

The Effect of Social Media on Reputation During a Crisis Event in the Cruise Line Industry

ABSTRACT

This research evaluates social media’s role in shaping perceptions of reputation during crisis management in a cruise line setting. Data were collected from respondents in the United States and Germany (N = 334) to explore the influence of speed and clarity of corporate response, brand familiarity, and cultural values on the perception of corporate reputation of a cruise line experiencing a crisis. Results indicated that speed of response using social media, brand familiarity, and cultural values of the respondent affected perceptions of corporate reputation of a cruise line after a crisis.     

Self-drive tourism attributes: influences on satisfaction and behavioural intention

Self-drive tourism differs from other types of tourism in many aspects, such as the importance of accessibility by roads and the attractiveness of multiple destinations along the way. Little research has investigated self-drive tourism attributes systematically. Moreover, the consequences of these attributes, namely, tourist satisfaction and post-visit behavioural intentions, have not been examined. This study aims to fill these gaps. The study is based on 377 observations collected in Xinjiang Province, China, which is a popular domestic self-drive tourism destination. Results show that two factors of self-drive tourism attributes explain the data well. Destination characteristics positively affect tourist satisfaction but driving conditions do not. Tourist satisfaction positively leads to the intention to recommend and revisit. This study contributes to the body of knowledge in the area of self-drive tourism and suggests implications to practitioners.     

How do consumers’ perceptions differ across dimensions of corporate social responsibility and hotel types?

This study develops three hypotheses regarding corporate social responsibility (CSR) in the context of the hotel industry. First, the study examines a ranking of consumers’ perceived importance of the four CSR dimensions proposed by Carroll’s hierarchy of CSR in 1991, expecting the following orders: philanthropic, ethical, legal, and economic dimensions, from most to least important. Second, the study investigates the relationship between consumers’ perceived importance of and their overall support for CSR. Third, the study introduces the type of hotel (for example, economy, mid-scale, and upscale) as a moderator to provide a better explanation of the relationship between consumers’ perceived importance of the CSR dimensions and support for CSR. Contributions to the CSR literature in general, and also specifically relating to the hotel context, and managerial implications are discussed.     

Narcissistic CEOs and corporate social responsibility: Does the role of an outside board of directors matter?

During recent years, there has been a growing interest in CEO narcissism across disciplines. Various scholars document that CEO narcissism is an important factor that should not be overlooked when analyzing various organizational outcomes and strategies. Research on CEO narcissism has focused on its negative implications on organization outcomes. However, little attention has been paid to its effect on corporate social responsibility (CSR). This study explores the relationship between CEO narcissism and two distinct facets of CSR (stakeholder management and social issue participation), while taking into account the moderating role of outside board of directors. Using a sample of publicly traded U.S restaurants, the results document that an outside board of directors plays a moderating role on the relationship between CEO narcissism and the two distinct facets of CSR.     

Are you good enough? CSR,quality management and corporate financial performance in the hospitality industry

Hospitality firms are increasingly investing in corporate social responsibility (CSR) to generate strong relationships with stakeholders while aiming to benefit their own performance. However, CSR may bring both costs and benefits to the focal firm. We analyze how corporate financial performance (CFP) is affected by CSR, finding that the impact of CSR on CFP has a U-shaped form, where CSR is a cost that translates into higher benefits only when it generates solid relationships between firms and their stakeholders. Furthermore, we adopt a contingency approach, assessing the role of quality management (QM) on the CSR-CFP relationship. We find that the simultaneous implementation of CSR and QM is less beneficial to CFP than the isolated implementation of CSR due to the redundancy of different activities aimed at similar goals, i.e., stakeholders’ satisfaction. In doing so, we advance academic understanding of the impact of CSR and QM on CFP.