Entrepreneurial behaviors that shape performance in small family and non-family hotels during times of crisis

Abstract

Recent economic and public health crises have posed important challenges to family businesses – particularly those in the hospitality sector. While sustaining a business, performance becomes critical; there is insufficient knowledge on the use of entrepreneurial behaviors in mitigating the impact of a crisis by family businesses. To help fill this gap, this study explores the configurations of entrepreneurial behaviors that lead to improved performance in small firms under crisis market conditions – particularly, risk-taking, innovativeness, proactiveness, flexibility, and digitalization. This study employs fuzzy-set qualitative comparative analysis (fsQCA). The sample consists of 117 one- and two-star Polish hotels that are comprised of both family and non-family businesses. The data was collected in November and December 2021. The results confirm the core role of risk-taking, proactiveness, and flexibility in increasing the performance of these small firms. However, performance outcomes depend on the configurations of the firms; differences between family and non-family businesses stood out. In family hotels, risk-taking is accompanied by flexibility as a core factor, and digitalization does not play an important role in achieving higher performance. Overall, these results contribute to the literature on organizational entrepreneurship (especially entrepreneurial orientation) as well as family business crisis management in the tourism sector. These findings offer implications for managers by indicating combinations of entrepreneurial behaviors that can help foster business performance.