Italian Hotel Industry Research Articles

Investigating financial statements in hospitality: a quantitative approach

The aim of this paper is to investigate, through financial-statement analyzes, the economic-financial performance of Italian hotels, after the international economic crisis, also considering the possible macro-regional differences. The study focuses the financial statements of 5473 hotels from 2009 to 2018. National data are also disaggregated in the three macro-areas that characterize Italy for different social and economic aspects. Anova test and Tukey–Kramer test are used. Results show that the crisis affected profitability. Italian hotels have a low capitalization, unable to cope with the large structural investments that require significant debts. The profitability indicators record similar trends in the three macro-areas, while the financial independence index and the coverage index show significant different values in the three observed areas. Therefore, in the digital era, Italian hotel industry has all the potential to restructure itself. Here five ratios are considered to observe medium sized hotels. Future research with other variables will be useful, even on smaller hotels, and the analysis of their trends by cohorts of companies is necessary, as well as the integration of quantitative data with qualitative evidence. This paper encourages the culture of temporal sector comparison, re-evaluating the potential of accounting information systems, in order to promote data-based growth and development strategies. Furthermore, it contains indications for government officials, as well as for countries in the process of developing the hospitality sector following the example of the Italian experience.

Environmental best practice and performance benchmarks among EMAS-certified organizations: An empirical study

Voluntary certifiable environmental management standards such as ISO 14001 and EMAS have been extensively adopted and disseminated worldwide, but the rigorous assessment of the real effectiveness of these tools is challenging. There is a need for more research focused on the concrete operational implications for certified organizations. The analysis of the best in class practices of certified organization has been overlooked. In order to fill this gap, this article assesses the use of environmental best practices and performance benchmarks among EMAS-registered organizations. For that purpose, 178 environmental statements assessed by independent third-party verifiers from the Spanish, Portuguese, and Italian hotel industry are analyzed. The findings show poor use of best practices and performance benchmarks among certified organizations. The idea that EMAS signals environmentally best in class or frontrunner behavior is open to question. Implications for policy makers, managers, and other stakeholders are discussed.

Ambidextrous IT capabilities and business process performance: an empirical analysis

PurposeIn several studies, it has been found that organizational performance is affected by ambidextrous IT capabilities. Nevertheless, business processes are essential to the value generation conversion of IT investment into performance. In the literature, this focus on the impact of IT capabilities at the business process level is still under investigated. So, the purpose of this paper is to test the effects of explorative and exploitative business process IT capabilities on business process performances (BPP) and the positive moderator role of business process management (BPM) capabilities.Design/methodology/approachThis analysis has been done through a quantitative study in the Italian hotel industry. An OLS regression analysis has been carried out on a sample of 404 firms.FindingsThe study identifies distinct effects related to exploration and exploitation and finds a moderating effect of BPM capabilities, explaining their positive impact on BPP.Originality/valueThe main purpose of the paper is to contribute to the area of business process management by demonstrating the importance of both explorative and exploitative IT capabilities for a business process as well as the managerial capabilities at the process level. Furthermore, this focus at the process level allows us to add original insights into research on ambidexterity by expanding existing works.

Does social couponing stimulate positive eWOM and online referrals?

Purpose of the paper : Social couponing campaigns are becoming increasingly popular among hotels. However, while their short-term impacts have been assessed, their medium and long-term benefits for the hotels’ reputation have not been measured yet. The purpose of this study is to provide evidence of the potential of social couponing to stimulate positive electronic word ‐ of ‐ mouth (eWOM) and online referrals to hotels. In addition, this research intends to identify the factors related to the design and management of the couponing campaign, which influence the couponers’ willingness to engage in positive eWOM and referrals. Methodology : The study is based on the content analysis of 564 TripAdvisor reviews posted by guests that have stayed at 76 Italian hotels using a Groupon’s coupon. Both frequency and co-occurrence analysis are performed. Findings : The results show that social couponing stimulates intense positive eWOM and referrals. The analysis also highlights the most important coupon-related factors, which are able to influence the valence (positive vs. negative) of the eWOM. Research limits : The small sample of hotels, considered in this research and the specific features of the Italian hotel industry suggest caution in generalizing the results to other settings. Practical Implications : Hotel managers should design and manage their couponing campaigns carefully considering several factors, identified by this study, which directly stimulate positive eWOM. The findings of this research also suggest that hotel managers could use couponing campaigns as effective tools for their online reputation management strategies. Originality of the paper : This paper provides empirical evidence of the eWOM and referral effects of social couponing. Hence, it complements previous studies, which have mostly considered the short-term effects of social couponing related to sales increase.

Determinants of performance in the hotel industry - an empirical analysis of Italy

Among the diverse services of the tourism sector, this paper concentrates on the hotel industry, which includes a set of companies that is homogenous in production and competitive setting. The hotel industry is a key component of the tourism sector since it is fundamental to the provision of all other tourism services. The aim of this research is to investigate the relationship between performance and its determinants in the Italian hotel industry. The findings aim to verify whether variables such as size, category and variety of services provided, positively influence the performance of the hotels. Methodologically, the research starts with theoretical work, comprising mainly a literature review on the subject, with special focus on the concept of performance in the hotel industry. Subsequently, it describes the empirical research undertaken, which includes the selection process of a sample of 450 hotels, and a questionnaire survey based on this sample. Finally, the research results are presented, which show a clear relationship between category and performance, while size and variety of the services provided do not appear to be linked to performance.

Human resource management - practices, performance and strategy in the Italian hotel industry

The aim of this paper is to study the relationship between human resource management (HRM) and organisational performance in the Italian hospitality sector. In particular, it investigates the extent of adoption of HRM practices, the existence of formal HR strategies, and the degree of development of the HR function, in the Italian hotel industry. The findings aim to verify whether the effectiveness of HRM is contingent upon the approach to adopted business strategies and whether the hotels, which strategically formally apply HRM practices, outperform those with HRM practices outside a formal organisational strategy. The research finally expands on the underlying factors and managerial implications of the findings to conceptually interpret phenomena and prescribe actions.

The role of portfolio diversification in the hotel industry

PurposeThe purpose of this paper is to study whether geographic and sector diversification allow for a significant reduction in the risk exposure of a portfolio of hotel investments in one of the major tourist markets, the Italian market.Design/methodology/approachThis paper evaluates the benefits related to a Markowitz diversification approach for the construction of a specialised portfolio in the hotel real estate market. The portfolio analysis considers the degree of efficiency of each portfolio, the type of diversification adopted by a more efficient portfolio, the persistence of results over time and the impact of diversification constraints.FindingsThe results demonstrate that, while standard geographic and sector diversification allow for good results, the more efficient portfolios are more concentrated. The trade‐off is worse if some concentration constraints are established, but the portfolios identified are characterised by higher performance persistence.Research limitations/implicationsThe analysis only considers high‐quality hotels in the Italian market. Unfortunately, some information on costs is not as detailed as would be desired. The availability of a more complete database could increase the significance of the results obtained.Practical implicationsThe results are relevant for constructing all hotels' portfolios, like those managed by a real estate fund manager, in order to define the type and degree of diversification that allow for minimal risk exposure.Originality/valueThis paper is the first to apply the Markowitz theory to the Italian hotel industry in order to identify the best diversification criteria.

The Italian 'Entrepreneurial Formula': a systemic approach to strategy

The Entrepreneurial Formula, a systemic theoretical model, was presented in late 1980s by Vittorio Coda, one of the most prominent Italian management scholars, gaining an instant recognition among Italian researchers and practitioners. The model, strongly rooted in the Italian macroeconomic and business context, describes the value-creation flow and combines the competitive and stakeholder perspectives, offering a systemic view on the organisations' management. The paper also illustrates the Entrepreneurial Formula's applicability to different business contexts by the discussion of cases of a niche family-run publishing house, of the Italian hotel industry and of non-profit social enterprises. In the conclusion the paper deals with the necessity of the systemic approach to management and with the possible future theoretical and practical enhancement of the Entrepreneurial Formula.

Internal and Locational Factors Affecting Hotel Industry Efficiency: Evidence from Italian Business Corporations

This paper investigates whether and how the competitive delay of the Italian hotel industry is influenced by the level of business corporation efficiency. A stochastic frontier production approach is proposed in which technical inefficiency is specified as a function of the internal and locational factors in a firm. The model is estimated on a balanced panel of tourism business corporations observed during 1998–2005. Estimates show that the competitive gap in the Italian accommodation system is not a result of poor business corporation performance, and the importance of location, human and immaterial capital is assessed as (in)efficiency determinants. The authors then suggest policies to improve the Italian tourist industry's competitiveness.

Quantile estimation of frontier production function

The purpose of the paper is to provide new information on the performance of frontier estimation methods, using data from Italian hotel industry. Quantile regression is also suggested as solution to frontier production function estimation. It is shown that, while the choice of estimation methods among conventional techniques significantly affects the economic analysis, quantile regression provides valuable new information by estimating the whole spectrum of production functions corresponding to different efficiency levels. In addition, the method makes available a coherent framework to analyze the performance of the conventional techiniques.

Professional-development Needs in Ital

This study reports on the perceived importance of the professional needs of the Italian hotel industry's managing owners (MOs) and general managers (GMs). A survey was used to (1) determine the hotel-management skills that need improvement, (2) assess which of those skill areas can be improved through training, and (3) identify the specific training courses that are actually of interest to those managers. When asked which of their professional skills needed the most improvement, the MO and GM groups both cited marketing and human-resources expertise, followed by financial and administrative-management knowledge. Moreover, more than 80 percent of the MOs and GMs considered human resources and marketing the most useful skill areas that could actually be taught in professional-development courses. A series of open-ended questions also revealed the managers' perceived shortcomings regarding employee relations-in particular, recruitment, selection, training, and motivation. When asked about which courses they might actually attend, managing customer satisfaction was ranked first followed by publicity and promotion. Leadership and motivation came in third, followed by strategic marketing and maximizing hotel sales. As for a training program's cost, GMs are willing to spend more money than are the MOs. GMs prefer that training take place on weekdays while the MOs preferred weekend programs.

Foreign tourists in Italy

The note provides a rapid sketch of the main economic aspects of the expansion of the foreign tourist trade in Italy during the post-war period. The author describes the qualitative composition of the trade, its distribution by country of origin of the tourists, the means of transport used, the estimated foreign exchange proceeds, the seasonal distribution of the traffic, and the problems that have been raised for the Italian hotel industry.