Hospitality Companies Research Articles

The Role of Perceived Value and Satisfaction in Shaping Customer Citizenship Behavior: Evidence from Turkey

Tourism and hospitality companies are now providing more opportunities for collaborative production and value utilization. This isn’t just to encourage customers to revisit and repurchase, but also to capitalize on customer citizenship behaviors, such as feedback, advocacy, helping other customers, and showing tolerance in situations where services might be less satisfactory in the future. Hence, this study investigates the effect of perceived value and satisfaction on customer citizenship behavior within the hospitality and tourism contexts in Turkey. The study also examines the mediating role of satisfaction on sub-dimensions of customer citizenship behavior. Data were collected from guests in Turkey who had stayed there most recently within the previous 12 months. Using purposive sampling technique, an online survey was conducted to collect data. Of the 612 accepted responses that met all the criteria, were analyzed using structural equation modeling (SEM) through AMOS 25 software. The results showed that perceived value has significant and strong influences on satisfaction, feedback, tolerance, and advocacy as sub-dimensions of customer citizenship behavior. Satisfaction has significant and strong influences on feedback and help as sub-dimensions of customer citizenship behavior. Finally, satisfaction mediates between perceived value and feedback and help.

Color and naturalness: How color saturation shapes tourists' perception and purchase intention

AbstractMany tourist destinations and hospitality companies are using the idea of “naturalness” to attract consumers in the post‐pandemic era. The current research explores the impact of color, a fundamental element in tourism marketing materials, on shaping tourists' perceptions of naturalness and subsequent purchase intention. Through three experimental studies, our research reveals a lay belief that associates color saturation with naturalness perception. While prior research has indicated that highly saturated colors can positively impact consumers, our findings suggest that this effect may not always hold. Specifically, low color saturation in tourism marketing materials increased tourists' perceptions of naturalness and purchase intentions. These findings contribute to the theoretical development of color psychology and support the development of sustainable tourism and hospitality practices that prioritize managing natural resources.

Self-Efficacy, Motivation, and Employee Performance in Hospitality Industry: A Mediation Analysis

It is hypothesized in several research that that times of crisis and turbulence can lead to considerable changes in how organizations, especially those in the inherently volatile tourism industry, manage their strategies. This research primarily aimed to investigate the relationship between self-efficacy and employee performance, with an emphasis on the intermediary role of motivation in a hospitality companies located in Yogyakarta, Indonesia. To fulfil this aim, a quantitative approach was adopted, involving a survey distributed to a group of 100 employees. The gathered data was then examined using Partial Least Square-Structural Equation Model (PLS_SEM) to determine the effect of each variable. The results of the study indicated that Self-Efficacy had significant influence on Motivation and Performance. Also, the results that the indirect path of self-efficacy, motivation and performance is significant and positive and classified as partial mediation. This research offers practical implications for the tourism industry particularly in terms of how effective the management of tourism companies, as business stakeholders maintain their employee’s performance effectively through real implementation particularly during periods of crisis.

The dual‐path mechanism underlying the influence of customers' negative feedback on the job crafting

AbstractAlthough previous studies have generally explored the important role played by customers' negative feedback in shaping employees' behaviour, these studies have only briefly discussed the one‐sided effects of such feedback on employees' cognition or emotions. In addition, previous studies have not discussed in depth whether customers' negative feedback has both positive and negative effects. Based on the theoretical background of the cognitive–affective processing system, we constructed a dual‐path model of the impact of customers' negative feedback on job crafting via both cognitive and affective paths and investigated the moderating effect of the error management climate in this context. A three‐stage survey design was used to examine these assumptions by referencing data collected from 382 frontline employees working in various tourism and hospitality companies. In line with our expectations, we found that customers' negative feedback can have a double‐edged sword effect via these two paths and that the error management climate moderates this dual‐path mechanism. We conclude this research by discussing the theoretical and practical implications of our findings.

THE IMPACT OF INTERACTIVE HOTEL MAPPING TECHNOLOGY ON BUSINESS PROCESSES IN THE HOSPITALITY INDUSTRY

The article explores the prospects and main directions of development of interactive hotel mapping technology. Emphasis is placed on the integral nature of the application of innovative digital technologies in the context of digital-transformation of the business environment of the tourism and hospitality industry. The aim of the article is to investigate the impact of successful practices of interactive hotel mapping on increasing efficiency, improving and modifying business processes of companies operating in the tourism and hospitality industry. The following research methods were used: observation, systematization and analysis of practical activity of the subjects of the hospitality sphere, as well as logical-analytical and system-structural methods. Interactive hotel mapping is an application of virtual reality technology. The components of this technology are indoor navigation, routing and virtual tours. The most positive effect of the technology in question has if its application is combined with other innovative digital technologies and organically fits into business processes at different stages of the production cycle. The biggest impact of interactive hotel mapping technology is on business processes related to marketing, reservations and front office service. A successful practice is the integration of the technology in question with Smart Room technology. Due to the technological peculiarities of providing indoor positioning, IT-products for interactive hotel mapping tend to specialize and demonstrate a low level of unification. For OTAs (Online Travel Agencies) and other actors providing indoor services on the booking market, the most urgent problem is the problem of unification of positioning indicators. This factor should be taken into account by firms-developers of specialized software. The scientific novelty of the study consists in the clarification and systematization of successful practices in the application of interactive mapping technology; identification of the most promising areas for improving business processes under the influence of the technology under consideration. The practical value of the obtained results lies in the possibility of their use in the practical activities of both tourism and hospitality companies and companies developing specialized IT products for the tourism and hospitality industry.

How AI awareness can prompt service performance adaptivity and technologically-environmental mastery

Despite the growing tourism research interest in artificial intelligence (AI) awareness, this research field largely focuses on the effects of AI awareness on employees’ work-related outcomes, with few studies considering how AI awareness can prompt their both work- and life-related outcomes. Drawing on the job crafting strategies, we argue that AI awareness can encourage employees to address challenges and opportunities by engaging in different job crafting (prevention-focused vs. promotion-focused pathways), importantly, which can have different implications for subsequent employee service performance adaptivity (work-related) and technologically-environmental mastery (life-related) for navigating the changing technological environment. Meanwhile, high (vs. low) level of servant leadership can strengthen the promotion-focused (prevention-focused) job crafting pathway. Our proposed model was tested with data obtained through a time-lagged three-wave survey (multi-level and multi-source designs) of 325 employees and 56 supervisors across 24 tourism and hospitality companies. This research further offers theoretical implications and practical indications.

Green transition in the hospitality industry: The influence of market forces and customer dynamics on sustainable performance in the digital era

In recent years, the ongoing environmental challenges have caused hotel firms to experience stress from stakeholders (i.e., customers and competitors). These stringent ecological changes have compelled hospitality firms to go green. This study investigates the influence of customer and competitive pressures on green innovation and sustainability in the hospitality industry. Utilizing a sample of 309 employees from multiple hospitality companies, the study rigorously tests a series of hypotheses using Smart PLS and Partial Least Squares Structural Equation Modeling (PLS-SEM). The findings supported all the hypotheses, indicating that customer and competitive pressures significantly foster green product and process innovations, enhance sustainable firm performance, and encourage green CSR initiatives in the Chinese hospitality sector. Furthermore, green product innovation, green process innovation, and green CSR were found to be critical mediators in enhancing firm performance under the influence of these pressures. These results have substantial implications for theory and practice, highlighting the importance of external pressures in promoting sustainable practices in the hospitality industry.

The impact of message framing on perceptions of controversial CSR in hotels

PurposeThe purpose of this paper is to understand how hospitality companies can best explain controversial corporate social responsibility (CSR) activities to consumers who may not agree with the CSR activity. This research explores message framing through emotional and cognitive appeals to influence consumer perceptions of the Gideon Bible in USA hotel rooms. The study uses the theory of deontic justice to measure the impacts of messaging on consumer perceptions of the morality of the Gideon Bible as suicide prevention in hotels and its relation to controversial CSR initiatives.Design/methodology/approachThe study uses an experimental study design via a self-administered survey to analyze participants’ perceptions of the placement of the Gideon Bible in hotel rooms and participants’ attitudes toward CSR initiatives based on deontic justice and religion using different message framing conditions.FindingsResults show that religion was a major determinant of attitude towards the Gideon Bible, but the sentiment analysis also revealed that negative perceptions can be mitigated through message framing via emotional and cognitive appeals. Additionally, the cognitive appeal did impact CSR perceptions, as did identifying as Christian. Moral outrage emerged as a significant moderator for the relationships between message framing, attitudes toward the Gideon Bible and CSR.Originality/valueThis study provides an extension of deontic justice research to examine justice traits in accepting controversial CSR.

Aligning Wealth and Work: Investigating Financial Wellbeing’s Influence on Performance among Young Adults in a Hospitality Company

Aligning Wealth and Work: Investigating Financial Wellbeing’s Influence on Performance among Young Adults in a Hospitality Company

Understanding The Cash Flow Impact on Financial Distress among Hospitality Listed Firms Amidst the Covid-19 Pandemic: The Case of Indonesia

This study investigates the relationship between cash flow variables and financial distress among hospitality companies listed on the Indonesian stock market between 2017 and 2022. Analysis focused on Operating Cash Flow (OCF), Investment Cash Flow (ICF), and Financial Cash Flow (FCF) to discern their individual and combined impacts on financial distress.
 The findings reveal that each cash flow variable—OCF, ICF, and FCF—exerts a significant influence on financial distress when considered independently. This supports hypotheses 1, 2, and 3, signifying their substantial role in shaping the financial health of these companies. Additionally, the collective effect of these cash flow variables, as evidenced by the F-test, demonstrates a noteworthy combined impact on financial distress. In summary, this study highlights the intricate interplay between cash flow dynamics and financial distress among Indonesian-listed private companies. While each cash flow component independently affects financial stability, their cumulative influence significantly determines vulnerability to financial distress. This underscores the critical need for comprehensive cash flow management strategies to mitigate financial risks and ensure sustained financial health in these entities amidst economic uncertainties.

Having metaphors beyond branding: evidence from a heritage hotel, Pera Palace

ABSTRACT This study examined how some metaphoric historical events, endowed with an important background in literature, culture, policy, and art, contribute to the brand value for hospitality companies, with special reference to an iconic heritage hotel in the heart of Istanbul, Turkiye. Face-to-face interviews were held with hotel managers at different levels, journalist-authors interested in the subject, two well-known crime authors, and academicians; additionally, participant observation was used. This study is a rare attempt on the space metaphor and brand relationship in the field of accommodation. Metaphoric patterns in the study were formed by the time-place-history and human relationships. Findings showed that historical events witnessed by the hotel contributed to establishing a special brand name through metaphoric connection. This study contributes to the conceptualization of the relationship between the space metaphor and brand relationship in the field of accommodation.

The Economic Consequences of Accounting Standard Transition in Hospitality Companies

ABSTRACTThis research centers around the accounting transition to Accounting Standards Codification Topic 606 (ASC 606) in hospitality companies and tests the transition’s effect on these public hospitality companies’ firm value from both long-term and short-term perspectives. The findings revealed that the accounting standard transition negatively affects firm value from a long-term view but positively affects it from a short-term view. We also found that the choice of accounting transition method matters and leads to different economic consequences for hospitality companies’ firm value. Our findings have many important implications for managerial practices and regulators.

The trip from home to work: exploring how commuting stress impacts on tourism and hospitality employees’ work engagement

ABSTRACT Existing studies mainly discussed the various effects of family and work-related stress on tourism and hospitality employees, but the mechanism of a newly stress connecting home and work (i.e. commuting stress) on them is unknown. Drawing on affective events theory, this study aims to investigate how commuting stress impacts on tourism and hospitality employees’ work engagement. Further, the mediating role of unpleasant feelings and the moderating role of micro-break activities are also examined. A survey was completed by 379 employees in tourism and hospitality companies in China. The results showed that commuting stress was negatively related to work engagement, and unpleasant feelings played a partial mediating role. Micro-break activities significantly mitigated the relationship between unpleasant feelings and work engagement, such that the effect was weaker as micro-break activities increased. The mediating effect of unpleasant feelings was also moderated by micro-break activities. This research provides a new explanatory framework for the relationship between employee commuting stress and work engagement while also identifying a boundary condition among them. Our conclusions offer new directions for alleviating employee commuting stress.

Proposal for a global mindset framework: Analysis in hospitality companies

This study aims to propose a global mindset (GM) framework that boosts International Entrepreneurship (IE) when facing disasters. This is a qualitative multiple-case study, documents and transcripts of semi-structured interviews are analyzed using the ATLAS.ti software. As a result, it is evident that the oil spill and covid-19 disasters influenced technology and the generation of opportunities. Despite being similar in all companies, the intensification of communication via social networks was more frequently applied during both disasters by Hotel-A, Hotel-B and Inn-C. Finally, GM's networking was a key factor in IE. It is perceived as a common aspect in the four establishments, being an influencing element to the IE, and that the analyzed organizations used digital networks as a differentiator when facing the oil and covid-19 disasters. Therefore, digital networks influenced IE and promoted changes that are reflected in organizations’ behaviors.

Implementation of social responsibility principles into the strategy of hospitality companies

The article researches the impact of sustainable development principles on the service sector, analyses the features and benefits of tourism sector development in sustainable development, and reveals the specifics of corporate ethics as an integral part of business ethics. Tourism is considered the most influential industry in the world, covering a wide range of economic activities, and therefore causes severe damage to natural systems and generates social tension. This has led to numerous attempts to adapt the main provisions and principles of sustainable development to the context of tourism. Criteria have been identified that aim to establish a form of corporate responsibility. Quality tools have been identified, aimed not only at compliance with the rules and principles but also at introducing charters, codes, and other rules of proper behaviors contained in these declarations. The necessity of introducing effective criteria, which can be defined as a tool designed to evaluate and compare potential actions from a certain point of view and which can be identified, measured, accepted, and accepted by many people, is substantiated. A comparison is made to understand the performance and efforts made by the tourism enterprise in the quality field. The specifics of building a tourism product primarily based on environmental, cultural, and social quality are determined. The algorithm for creating a sustainable tourism product as a process that requires time and investment, which are much greater than traditional activities, is investigated. The goals that should be considered, such as customer satisfaction and purchase decisions, are identified because "every choice is a rejection", and in this case, it is about finding ways to encourage demand for tourism products to those that respect the principles of sustainable development and reject those that do not meet specific standards. Keywords: tourism industry, social responsibility, quality, sustainable development, business processes, quality assessment, tourism product.

COVID-19 pandemic and firm performance in leisure, arts, and hospitality industries: international evidence

This study analyzes the impact of the COVID-19 pandemic on the performance of 944 Leisure, Arts, and Hospitality companies from 59 countries listed on global stock exchanges between 2018 and 2022. Using Ordinary Least Squares with robust standard errors, the study reveals a consistent and statistically significant negative impact of COVID-19 on the performance of firms. The results highlight the difficulties faced by companies in this industry during the pandemic. In addition, the study investigates the relationship between firm characteristics and company performance during the COVID-19 pandemic, revealing that company size, liquidity, and leverage play crucial roles in influencing firm performance across industries. Larger corporations exhibit greater resiliency, while greater liquidity facilitates better navigation of pandemic-induced obstacles. In contrast, companies with greater leverage experience more pronounced negative effects on their performance, highlighting the significance of debt management during a crisis. Based on these findings, policymakers are strongly urged to provide targeted assistance to Leisure, Arts, and Hospitality industries to address the challenges the pandemic poses effectively. Regulators should encourage the resiliency of larger firms and stress the importance of maintaining higher liquidity levels for financial stability. It is recommended that managers should prudently manage debt to limit pandemic repercussions and boost performance in the face of extraordinary challenges.

When cool hospitality brand meets AI: exploring the matching effect of service agents and brand images on brand attitude

PurposeThis paper aims to explore the matching effect of hospitality brand image (cool vs non-cool) and service agents (Artificial intelligence [AI] vs human staff) on brand attitude, with a focus on assessing the role of feeling right as a mediator and service failure as a moderator.Design/methodology/approachThis paper tested the hypotheses through three experiments and a Supplementary Material experiment, which collectively involved 835 participants.FindingsThe results indicated that the adoption of AI by cool brands can foster the right feeling and enhance consumers’ positive brand attitudes. In contrast, employing human staff did not lead to improved brand attitudes toward non-cool brands. Furthermore, the study found that service failure moderated the matching effect between service agents and cool brand images on brand attitude. The matching effect was observed under successful service conditions, but it disappeared when service failure occurred.Practical implicationsThe findings offer practical guidance for hospitality companies in choosing service agents based on brand image. Cool brands can swiftly transition to AI, reinforcing their modern, cutting-edge image. Traditional brands may delay AI adoption or integrate it strategically with human staff.Originality/valueTo the best of the authors’ knowledge, this paper represents one of the first studies to address the issue of selecting the optimal service agent based on hospitality brand image. More importantly, it introduces the concept of a cool hospitality brand image as a boundary condition in the framework of AI research, providing novel insights into consumers’ ambivalent responses to AI observed in previous studies.

Digitalisation and IT Strategy in the Hospitality Industry

This article explores how digitalisation is impacting the hospitality industry and assesses the evolving role of an Information Technology (IT) strategy in the digitalisation process. The research approach is qualitative and inductive, based on six in-depth interviews with senior IT professionals in the hospitality industry. Findings indicate significant differences in the role of an IT strategy in guiding digitalisation in the companies studied. The depth of information provided by the interviewees supports the development and application of a model that profiles the companies regarding their degree of digitalisation and technology integration. Analysis of interview material allows the identification of key properties for successful digitalization: process agility, workforce adaptability, and technology manageability, along with a clear data culture and ensured cybersecurity. However, disparate systems and technologies, and a lack of data integrity, are key issues that leave hospitality companies with difficult choices in progressing digitalisation initiatives. The applied model and identification of key properties for successful digitalisation contribute to the development of related theory and can also be used as a reference point for senior IT professionals working in the industry.

Nexus Employee Engagement and Human Resource Management Practices: A Mediation Study through Psychological Involvement

Purpose: This study investigates the relationship of human resource management practices with employee engagement, in hospitality industry. This study also explores the mediation role of psychological involvement in the relationship.
 Methodology: The data utilized in this study was obtained from a sample of 380 employees working in the hospitality industry of Pakistan, via purposive sampling techniques. While the data of present study was analysed through structural equation modeling using smart-PLS 4. 
 Findings: Results of the present study confirms that there exists a significantly positive relationship between human resource management practices and employee engagement. Results also confirmed that psychological involvement significantly mediates the relationship of human resource management practices and employee engagement.
 Implications: With this present study emphasizes the significance of implementing efficient human resource management strategies to promote employee engagement, while also suggesting that psychological participation plays a substantial role in this process. Through an in-depth understanding of the fundamental mechanisms through which human resource management practices exert influence on employee engagement, hospitality companies can formulate strategies aimed at augmenting employee well-being and performance. Additionally, the study clearly addresses shortcomings and provides recommendations as well.

The Effect of Risk Management on the Financial Performances Among Hospitality and Tourism Companies in Malaysia

Purpose: This study explores the effect of risk management on the financial performance of Malaysian hospitality and tourism companies. Theoretical framework: The agency theory and extreme value theory (EVT) were applying in this study. Design/Methodology/Approach: The study population is the public listed companies in Bursa Malaysia. The unit of analysis of this study is the Travel, Leisure & Hospitality Companies listed in Bursa Malaysia. With the purposive sampling method, 29 companies were selected which are suitable for the objective of this study. The secondary data used in this study were derived from the audited financial statements and annual. Findings: The findings indicates that there is insignificant and negative relationship between the risk management and financial performances of Hospitality and tourism Industry in Malaysia and the significantly positive relationship between company size and financial performances of Hospitality and tourism Industry in Malaysia. Research, Practical & Social implications: This study will be beneficial for future researcher and entrepreneurs to have access to this study in order to gain a better understanding of how to take pre-actions before starting a business in order to ensure their success. Policy implications include ensuring that prudential guidelines and other regulations governing the company's operations regarding loan facilities are reviewed periodically to address evolving credit risk issues. Originality/Value: The study provides valuable insight on the effect of risk management on the financial performances among hospitality and tourism companies in Malaysia.