A multi-layer organizational culture framework for enhancing the financial performance in tourism and hospitality family firms

Abstract

Prior research on factors influencing the financial performance of tourism and hospitality family firms concentrated mainly on family-level traits, thus limiting our comprehension of the organizational culture mechanism by which family-level values are transformed into firm-level business processes. We bridge this void in prior literature by presenting a multi-layer organizational culture framework comprised of the organizational values and organizational climate layers. Data stemmed from eight in-depth interviews, followed by a survey with 187 tourism and hospitality family firms reveal that stewardship climate inside the firms mediates the relationship between long-term-oriented values and financial performance. Moreover, our findings show that entrepreneurial orientation moderates the organizational culture mechanism that enhance the financial performance of tourism and hospitality family firms.