An Extended Gravity Model: Applying Destination Competitiveness

Due to the substantial growth of tourism, various studies have employed different forms of gravity models. However, previous models had limitations in terms of generalizing their results. This is primarily due to their focus on specific regions or variables for special events or components of tourism. Thus, the primary objective of this study was to present an extended gravity model that can more generally explain tourism flows. This study adopted components of destination competitiveness as complementary variables and a panel data framework to include the cross-sectional and time effects in the model. The result showed that the proposed model had greater explanatory power than traditional gravity models. Additionally, along with gravity variables, destination competitiveness components, such as natural and cultural resources, general and tourism infrastructure, price competitiveness, and openness, had significant effects on tourism flows. Further discussion and implications are provided in the main body of this paper.     

Social Servicescape: The Impact of Social Factors on Restaurant Image and Behavioral Intentions

While most previous research has focused on the physical service environment, research on the social aspect in the service environment is scant. This study examined how social factors (employees, other customers, social crowding, and rapport) in the service environment influence restaurant image and customers’ behavioral intentions. Based on past research, a theoretical framework was developed and the data collected from online surveys was analyzed through structural equation modeling. Our findings, based on a survey of 500 participants, suggest that social factors influence restaurant image and, consequently, behavioral intentions.     

Inter-relationship between firm growth and profitability

There is a widespread presumption that there is a close link between firm growth and profitability. However, most of the past studies on firm growth and profitability have been conducted without mutual associations. Only a few studies, thus far, have scrutinized the inter-relationship between firm growth and profitability and the results have been inconsistent. The main reason for this inconsistency is due to the lag structure of the models in each study. To address the issue, this study conducted panel unit-root tests on firm growth and profitability separately and then made appropriate models using dynamic panel system GMM estimators. Through analyzing these models, this study found that in restaurant firms the prior year's profitability had a positive impact on the growth rate of the current year. However, the current and prior year's growth rates had a negative impact on the current year's profitability. This outcome implies that in the restaurant industry profit creates growth but growth impedes profitability. Further implications are also discussed in this paper.     

Development of virtual cyber‐tour in the virtual reality system

This study is to explain the importance and the necessity of virtual cyber‐tour in a virtual reality environment, and to present a way of its realization as a means to surmount the fundamental constraints in current tourism, arising mainly from the individual health, cost, leisure time, and the low perception on tourism culture. This virtual cyber‐tour using virtual reality technology will not only provide various indirect tour experiences to the existing tour resources, but also develop a new type of tour system, leading to new worlds which have not been accessible to the public because of various restrictions coming from the current technology, transportation means, and physical limits of human body. Thus, the cyber‐tour will be a new tour resource of totally different concept and also, its industrialization will result in the developments of new industries for virtual reality system, video production, and display media, creating lots of jobs and added value.     

Business ethics and the international trade in hazardous wastes

The annual production of hazardous wastes which was less than 10 million metric tonnes in the 1940s is now in excess of 320 million metric tonnes. These wastes are, in the main, by-products of industrial processes that have contributed significantly to the economic development of many countries which, in turn, has led to lifestyles that also generate hazardous wastes. The phenomenal increase in the generation of hazardous wastes coupled with various barriers to local disposal has led to the thriving international trade in these environmentally hazardous substances. This paper examines the nature of the international trade in hazardous wastes and the ethical issues associated with such business activity. Jang B. Singh, B. A. (Toronto), M.A. (St. Thomas), M.A. (Toronto), M.B.A. (Windsor), Ph.D. (Toronto), is Associate Professor of Business Administration at the University of Windsor. His research focus is on ethical issues involved in the management process. He also maintains a keen interest in issues related to business activity in the Third World. V. Chris Lakhan, M.A. (Windsor), Ph.D. (Toronto), F.R.G.S. is an Associate Professor affiliated with the Department of Geography and the Institute for International and Developmental Studies at the University of Windsor. He specializes in computer modeling, and theoretical and applied research on remote sensing, environmental impacts, and natural resources utilization.     

Economic Education in Korea: Current Status and Changes

The authors describe key aspects of precollege and undergraduate economic education in Korea. They show that precollege students seem to have low economics literacy due to problems with the curriculum and insufficient training of teachers. At the undergraduate level, they show that economics departments have more male students than female students and that the employment rate for economics majors is lower than for business majors. They hope to draw more of Korean economists' attention to research initiatives in economic education.     

Determinants of using operating lease in the hotel industry

This study investigated the determinants of using operating lease in the hotel industry. The hotel industry has utilized operating lease not only for operating equipment but also as a financing instrument through ‘sales and lease back.’ This study found that hotel firms with less internal funds and/or with higher debt ratios are more likely to use operating lease. Contrary to the studies of other industries, hotel firms with less financially distressed are more likely to use operating lease. This study indicated that operating lease decrease as firm size increases, but only up to a certain level, after that level operating lease increase as firm size increases. Contrary to our expectations, the growth opportunity of hotel firms appeared to have no relationship to use of operating lease. These findings contribute to further understandings of hotel industry-specific information regarding what drives hotel firms to use operating lease.     

Segmentation of early casino markets: an exploratory study

This research was conducted to identify variables that can be used to describe the characteristics of innovators, early adopters, and those who are not interested in a newly established casino in South Korea. A total of 220 respondents were segmented into three groups: visited group, intention group, and non-interest group. Based on the discriminant analysis, the research found that attitude, subjective norm, cognitive biases, impulsivity and education level appeared to play important roles in distinguishing among the three groups. The hit ratio was 70 percent. In particular, the classification accuracy of intention group was 85.7 percent and this group had the most favorable attitude toward gambling in a casino. Marketing Implications of the results are discussed.