Information use and working methods as drivers of innovation in tourism companies

Abstract

ABSTRACTThis paper demonstrates how the strategic use of external information and an internal working method – that is, cross-functional work teams – increases the probability that tourism companies will innovate. This is demonstrated by logistic regression analyses using Community Innovation Survey (CIS) data. Simultaneously and contrary to expectations in much of the literature, the two practices are not complementary, as their interaction effect is negative. Nevertheless, the companies still win by using both external information and cross-functional work teams. Even though the effect of each variable is reduced, companies can manage the strategies to maximize the total effect. The study contributes knowledge about the drivers of innovation in tourism industries and responds to a call for more quantitative research and the use of CIS data. In addition, it contributes to the literature on complementarities between internal and external innovation practices. The paper rounds off by discussing the theoretical and practical implications of the findings and the need for further research in the area.