Tourism Companies Research Articles

FDI in Tourism and the Feasibility of Incorporating the UN Guiding Principles on Business and Human Rights in Indonesia

Foreign direct investment (FDI) is critical to Indonesia's economic development. Tourism is one of the most appealing investment industries. It has made a significant contribution to employment creation, tax revenue and domestic value addition. However, FDI in tourism has had negative environmental consequences. Moreover, Indonesian trade agreements and investment treaties do not reflect environmental concerns. The schedule under the General Agreement on Trade in Services (GATS) follows a similar trend, although other countries’ practices have shown that Indonesia can add this concern. Domestic laws and policies are also silent because the goal of economic growth outweighs protecting the environment. The United Nations Guiding Principles on Business and Human Rights (Guiding Principles) govern states' obligations to defend human rights and companies' obligations to respect and give remedy. This article examines the feasibility of incorporating the Guiding Principles into FDI in tourism. The Guiding Principles, together with the Global Code Ethics for Tourism, would provide a starting point for more robust legal frameworks for foreign tourism companies and emphasise sustainable development.

Analysis of Fundamental Factors to Improve the Performance of Hospitality and Tourism Companies: Case Study of Companies Listed on IDX Before and After COVID-19

The study aims to analyze the fundamental business factors to maximize shareholder wealth before and after COVID-19 as a representation of a normal economic environment and economic downturn. This quantitative research method uses data from 19 hospitality and tourism companies registered on the Indonesia Stock Exchange (IDX). The data used are financial statements for 2018-2020. The results provide empirical evidence that before COVID-19, the return on equity (ROE) was positively affected by the asset turnover ratio (ATO), net profit margin (NPM), and negatively affected by the current ratio (CR) and debt to equity ratio. (DER). Unexpectedly the stock return (SR) is not influenced by internal performance factors. After COVID-19, ROE was negatively affected by DER with a coefficient of -64%, and the stock return (SR) was influenced by ROE positively. The results of this study suggest, based on the experience of the COVID-19 pandemic, hotel and tourism company managers should focus more on maximizing shareholder wealth by increasing profitability (NPM) and asset productivity (ATO) as well as minimizing liquidity (CR) and avoiding excessive debt (DER). Moreover, after COVID-19, ROE was only affected by a high decrease in debt, then the stock return was affected by ROE. In short, to improve hotel and tourism companies’ performance which are heavily on assets investment, while their business is cyclical and vulnerable to economic turbulence and other external factors, maximizing profitability and minimizing risks are the two most important fundamental factors.

How customers matter to tourism employees’ green creative behavior?

Albeit customers can contribute to the organization through co-creating value, research has been relatively missing about how customers contribute to organizational sustainability by driving employees, especially in the tourism industry, to undertake green creative endeavors. Our inquiry aims to unpack how and when involving customers in green programs can activate tourism employees’ green creative behavior. Employees and managers from tour companies in an Asia-Pacific market context provided the survey responses, which were put through structural equation analysis. The results revealed that tourism employees’ green role identity and green creative self-efficacy functioned as a dual mediation pathway to link customer green involvement to green creative behavior among tourism employees. Organizational green culture played a moderating role for the impacts of customer green involvement on employee green role identity and green creative self-efficacy. This study advances the stream of green behavior scholarship by unfolding the mechanisms to explain how involving customers can stimulate tourism employees to generate and implement novel green service solutions.

PARTICIPATIVE MULTIPLE CRITERIA APPROACH FOR DIGITAL INFLUENCERS CHOICE

Social networks play an essential role in consumers' decision-making. In this sense, digital influencers are tools for better reaching the marketing objectives of an organization. However, choosing the digital influencer that better represents the company's image is a challenge for marketing departments. This type of decision is currently made intuitively and unstructured. This research proposes a participatory approach to support the selection of digital influencers in marketing planning. The methodology is structured in five phases: (i) setting out a list of hypothetical potential digital influencers, (ii) defining the criteria to assess the potential digital influencers, (iii) assessing the performance of the potential digital influencers in each criterion, (iv) aggregating the results to obtain the ideal portfolio and (v) analysis of the method results and influencer choice. The approach was tested and validated in a tourism company in Brazil. As a result, the potential digital influencers named were chosen in the proposed approach.

Operational Management and Financial Performance of Tourism Industry in Selected Towns of Batangas

This study primarily aimed to accomplished four basic objectives, which are: determine the company profiles of tourism businesses at selected towns in Batangas; evaluate the level of effectiveness of the operating management practices of tourism companies in terms of the human resource, marketing and financial management; examine the level of their financial performance in terms of sales growth and profitability; and, find the significant correlation in the respondent’s assessment on the effectiveness of the operational management practices and financial performance of the tourism companies. This study employed the descriptive survey research method that engaged 270 proprietors and managers of different tourism enterprises across the province of Batangas. Convenient sampling technique was used and Statistical Packages for Social Sciences (SPSS) to process the data. The researcher utilized Frequency and Percentage Distribution, Weighted Mean and Pearson Correlation Coefficient.
 The study revealed that most tourism businesses in selected towns in Batangas belong to Sun and Beach Tourism. Majority are sole proprietorship, with less than three million capitalizations. Years in business operation are mostly 1 to 5 years, with more than 20 employees. Findings illustrate that the majority of tourism businesses of Batangas gave more importance on certain aspects of operational management over the others. For financial management, financial control has been prioritized over financial planning. Marketing management is assessed as one of the most essential aspects of business operation. The study found a very weak to weak correlation in Human Resource, Financial and Marketing Management vs. Sales Revenue Growth and Profitability Growth.

ESSENCE, SOURCES OF FORMATION AND PROFIT DISTRIBUTION MECHANISM OF THE TOURIST ENTERPRISE

Goal. The article is devoted to the analysis of profitability of activity of the enterprise of the tourist industry. The mechanism of formation of net profit of a tourist business entity and ways to increase it are considered. The essence of economic efficiency and economic effect in tourist activity is revealed. The concept of "profitability" is defined, the indicators of profitability of the tourist entity, the order of their calculation are considered. The basic provisions of efficiency of activity of the tourist enterprises are defined. Method. The research consisted of a systematic approach, a method of economic analysis and economic modeling, methods that are accepted in the theory of decision making. The method of logical generalization and complex approach was used to form conclusions and recommendations. Results. The article analyzes the peculiarities of the efficiency of tourism entities. The problematic aspects are considered, the solution of which could in the future improve the activity of the tourist industry in the country due to the influence on tourist firms and related enterprises. Factors influencing the level of profitability are outlined and ways to increase it are suggested. It was found that the tourism company is much more successful in overcoming the crisis with a high potential for profit generation. Scientific novelty. It is revealed that the efficiency of the tourist enterprise is reflected in the achieved financial results. An important element of the management of a tourism entity is the assessment and analysis of financial condition and financial stability. An improved author's approach to the use of economic indicators is presented, using a regularity that changes in one of the indicators lead to changes in other indicators. Practical significance. The significance of the study is to identify the dynamics and factors influencing the formation of financial results of the tourist enterprise, in order to ensure its sustainable development and increase competitiveness in the current economic environment of Ukraine. The results of the study on the formation and distribution of profits of a tourism enterprise can be used by public authorities to develop specific measures for the development of tourism activities in the planning of structural changes and institutional reforms in the domestic market.

Emotional intelligence similarity in service recovery

Service failure and recovery research has primarily explored employees' emotional intelligence but has largely overlooked customers' emotional intelligence. This study considers both employees' and customers' emotional intelligence by investigating the recovery effect of perceived emotional intelligence similarity. We test why and how perceived emotional intelligence similarity promotes customer forgiveness through experiments. Findings reveal the positive effect of perceived emotional intelligence similarity on customer forgiveness and the sequentially mediating effects of psychological distance and customer trust. Additionally, results indicate that interdependent self-construal and indulgence moderate the perceived emotional intelligence similarity effect. Findings enrich theories on emotional intelligence in the service failure and recovery field. Additionally, this research offers tourism companies suggestions on addressing service failures based on perceived emotional intelligence similarity.

Employees Voluntary Green Behaviour: The Role of Servant Leadership and Psychological Empowerment

Climate change has forced organizations to focus more on sustainable business practices, and employees' green behavior in such cases is of great importance. However, employees' green behavior is not simple and straightforward. Leadership and working environment in this regard need to be investigated. For this purpose, the present study assessed the role of servant leadership on employees’ voluntary green behavior. Furthermore, the mediating role of psychological empowerment has also been examined. Hypotheses were developed with the help of Self-determination theory and data were collected from 150 employees of the tourism and hotel industry. Empirical data confirms that servant leadership significantly fosters employees’ voluntary green behavior. Moreover, findings revealed that psychological empowerment partially mediates the link between SL-EVGB. This study has an important implication for the tourism and hotel industry that is to enhance EVGB tourism companies should use SL style. Moreover, tourism companies should empower their employees psychologically so that they work in an environment where they can take business-related decisions easily.

Bricolage and Innovation in the Emergence and Development of the Spanish Tourism Industry

Following the seminal work of Lévi-Strauss, developed by Baker and Nelson and Duymedjian and Rüling, this paper analyzes the role that entrepreneurial bricolage played as an innovation tool in the origins and growth of four important Spanish tourism companies: Meliá, Barceló, Iberostar, and Riu. Their development has been deeply embedded in the island of Majorca (Spain), whose historical market conditions shaped and drove the companies’ bricolage actions. Entrepreneurial bricolage has generally been studied from a short-term perspective; however, this work adopts a dynamic approach that, instead of focusing on the concept of bricolage, aims to explain its evolution over time. To this end, four historical and qualitative case studies are used. The main contribution made by this paper is that the four companies did not limit their bricolage actions to contexts of scarcity but made this type of entrepreneurship a regular mechanism in their business practices, as the island’s tourism context thrived. However, the resulting innovations, as well as their main drivers, did indeed change over time.

The Impact of Firm Size, Capital Structure and Dividend Policy on Firm Value during Covid-19 Pandemic

The present study aims to obtain empirical evidence for the impact of firm size, capital structure and dividend policy on the firm value of hotel, restaurant, and tourism companies listed on the Indonesia Stock Exchange (IDX) for the years 2019-2020. The data used in this research are secondary data obtained from companies’ annual reports. The study population comprised of hotel, restaurant, and tourism companies listed on IDX for the years 2019-2020. The sample consists of 24 hotel, restaurant, and tourism companies listed on IDX for the years 2019-2020 and selected using a purposive sampling technique. The study used a multiple linear regression analysis. The results suggested that firm size, capital structure, and dividend policy have no impact on the firm value of hotel, restaurant, and tourism companies listed on IDX for the years 2019-2020.

BOAT MANAGEMENT SYSTEM FOR TERENGGANU ISLANDS

Many tourism companies provide boat services to the Terengganu Islands, but most of them only advertise their boat services on social media or the company’s website. Therefore, the Boat Management System to Terengganu Islands (BoatMSTI) was developed, and the main objective of this system is to create a one-stop center platform. Tourists can compare boat services provided by different tourism companies and find the best and most affordable services on one website. Tourists can check ticket availability and book ticket directly based on the selection of the boat service. BoatMSTI also enables the tourist to view other customer’s feedback and rating. At the same time, this system can help the tourism company manage boat services and customer booking tickets. This system is developed using an Agile method which makes the system development more flexible. The general concept is to divide the development of the system into sequences of repeated cycles known as iteration. The system can be improved for every iteration to meet user satisfaction based on user feedback. This system is web-based and can be accessed anytime and anywhere with an internet connection. The web-based system also can ease users like tourism companies and customers to store important information such as booking tickets and payment receipts in the database. In conclusion, with this system, the tourist can save more time in finding the best boat service, and the management of customers by tourism companies will be more efficient.

Covid Impact on Tourism Profit and Cash Holding

The Covid-19 pandemic has significantly impacted various socio-economic aspects of Indonesian society. Tourism activities are a sector directly affected by the harmful effects of Covid-19. The implementation of restrictions on community activities to overcome the Covid-19 pandemic has made tourism business activities experience financial difficulties, leading to business bankruptcy. This study analyzes local tourism companies' profitability and cash holdings in Umbul, Madiun, and East Java before and during the Covid-19 pandemic. This study uses a descriptive qualitative approach. The research data was obtained through observation, interviews, and analysis of the company's financial data. The results of this study indicate a decrease in profitability and a decrease in cash holdings for local tourism companies in Umbul, Madiun during the Covid-19 pandemic. A decrease in profitability and a decrease in cash holdings can be interpreted as an increase in business risk leading to financial difficulties. Local tourism companies Umbul Madiun are advised to focus on the company's cash conversion cycle, more conservative accounting and business policies, and focus on activities that directly impact the number of tourist visits. This strategy is expected to increase the company's profitability, the efficiency of cash holdings management, and efforts to revive the tourism business after the pandemic conditions at the local tourism company Umbul Madiun.

ANALISIS PENGARUH PANDEMI COVID – 19 TERHADAP FINANCIAL DISTRESS PERUSAHAAN JASA DENGAN METODE ALTMAN Z-SCORE ( Studi Empiris Pada Perusahaan Perhotelan Restoran, Dan Pariwisata Yang Terdaftar Di Bursa Efek Indonesia Periode 2018 – 2021)

This study focuses on how the impact of the COVID-19 pandemic on service companies (empirical studies on hotel, restaurant and tourism companies listed on the Indonesia Stock Exchange (IDX) for the 2018-2021 period. The method used is the altman zscore analysis method, by analyzing the company's financial statements The population in this study is all service and hospitality companies that have Initial Public Offering (IPO) on the Indonesia Stock Exchange at least since 2018 and below, with a sample of 20 service companies in the hotel, restaurant and tourism subsector. hotel, restaurant and tourism sub-sector services.

The Influence of Market Penetration Strategies on Market Share in the Hospitality Industry in Arusha, Tanzania

Organizations must implement competitive product-market strategies to secure their survival and sustainability in the marketplace. They must surpass competitors that follow other generic strategy types or those who are trapped in the middle. Although several investigations have been carried out in the tourist sector, none have been conducted on the marketing methods employed by Tanzanian tour firms. The purpose of the research was to see if companies are still using Igor Ansoff's product-market strategies to grow their market share. The main purpose of this study was to determine the impact of market penetration strategies on Arusha-based travel companies’ expansion of market share A survey research design was employed in the study, targeting marketing managers from tour companies in Arusha. To determine the sample size, the researchers utilized basic random sampling. The data was gathered from a sample of 44 people. The marketing managers were handed a questionnaire with 17 questions to complete. Quantitative techniques were used to analyze the information gathered. When the data was acquired, it was cleaned, coded, categorised, and sorted. Information was then computed both by computations of deductive and expressive nature. Results indicate that market penetration strategy (β = .732, p = .000<.05) significantly influences market share at 95% confidence level. The study therefore concludes that market penetration strategy significantly influences market share among tour companies in Arusha, Tanzania. It is recommended in addition to sustaining and improving current practices under the strategy, tour companies in the country ought to continue to embrace the market penetration strategy.

The Role of Regional Formal Institution and Foreign Direct Investment in the Performance of Tourism Firms

Tourism, as one of the important pillar industries of China's economic development, has also made rapid development. At the same time, the number and the scale of tourism enterprises are also growing. This study collects the marketization index of each province in China, the actual level of foreign capital utilization in each province, and the return on total assets and return on equity of listed tourism companies. In addition, the evaluation of corporate social performance is collected by questionnaire with 500 responses. The results of the model show that the regional formal institution has a significant impact on the financial performance of tourism companies. The total index of marketization, the development of factor markets, the development of market-intermediate institutions and legal framework have significant positive effects on the ROA of tourism listed companies. Foreign direct investment has no significant impact on the performance of tourism listed companies; however, it has impact on their performance under the mediation of regional formal institutions. The total market index, the relationship between government and markets, the development of non-state enterprise sector, the development of factor markets the development of market-intermediate institutions and legal framework have moderating effects on the impact of FDI on ROA. Regional formal institution has a significant impact on consumer perception of social performance of tourism enterprises.

The Digital Disruptive Intermediaries in the Tourism Industry

Nowadays, the new technologies offer new capabilities for the tourism industry. New disruptive innovations have appeared forcing the tourism companies to adjust to the new changes and challenges. Disruption in the tourism industry is currently happening and is overthrowing the status quo. Airbnb, TripAdvisor, Expedia and Booking.com are four of the most influential tourist companies. They leverage demand-side economies of scale by scaling up the customer acquisition and providing a great user experience. Their primary business requirement is the ability to respond to new, unforeseen or unpredictable business requirements and customer demands, in order the willingness to embrace disruption to be achieved. Their reorganization of the allocation of demand and supply leads to a disruption of tourist markets, particularly those that were formerly monopolised. This study examines the best practices in the business models of four digital disruptive intermediaries (DDIs) in the tourism industry through two different methods: SWOT Analysis and PESTEL Analysis.

Consumer confusion and decision postponement in the online tourism domain: the moderating role of self-efficacy

PurposeInternet emergence has evolved the business of tourism companies, and every tourism company is available online and provides abundant choices, which causes consumers' confusion. The current study aims to investigate the interaction effect of demographic variables on confusion, decision postponement as a negative consequence of confusion and self-efficacy as a moderator in light of the stimulus organism response (SOR) model. Also, an attempt has been made to integrate the smart technology-based solution to deal with consumers' confusion.Design/methodology/approachThree-way ANOVA, Andrew Hayes process, structural equation modelling and random forest algorithm were used to assess the 507 self-filled questionnaire responses for examining consumers' confusion.FindingsThe results reveal that confusion decreases with increased education levels for each gender and age group. Also, for every gender and education level, consumer confusion increases and then decreases. Further, it was observed that self-efficacy effectively moderates the influence of different confusions on decision postponement. An artificial intelligence-enabled predictive model with an accuracy of 71.49% was established, which forecasts the possibility of consumers' decision postponement.Practical implicationsThis study offers the comprehension of how the travel site administrators and stakeholders have used artificial intelligence-enabled solution for consumers' confusion and to reduce decision postponement.Originality/valueTo the best of the authors' awareness, this is one of the first studies to unveil the interaction effect of demographic factors on confusion, assess the role of self-efficacy as a moderator and provide artificial intelligence-enabled solutions for consumers' confusion.

The Impact of the Coronavirus Crisis on Revenues of Hotel and Restaurant Businesses in Bulgaria

Introduction. The changes that have taken place in the global economy as a result of the coronavirus pandemic have had a negative impact on all economic sectors. The most negative manifestation of this is in the tourism industry. Bulgarian tourism is also among those hit hard by the crisis. This is evidenced by the many bankruptcies of travel companies and the reported financial difficulties. Many of the restrictions imposed on tourists when crossing national borders and the requirements for those wishing to use tourist services are just some of the reasons for the crisis in the sector. Its deepening is the basis for making recommendations to correct the situation. The reasons for the current study are the problems in the tourism sector and the threatening trends of frequent corporate bankruptcies, as well as the closure of many tourist sites.
 Aim and tasks. The aim of the study is to present the situation in which the economic entities of the tourism sector in the Republic of Bulgaria operate and to propose solutions for improving their financial and economic condition. The scope of the study used data for various indicators (visits of foreign tourists, overnight stays of Bulgarian and foreign citizens, turnover indices in the sector, etc.) describing the state of Bulgarian tourism for the period 2019–2021.
 Results. The processed data given an idea of the current state of the tourism sector in the Republic of Bulgaria. The study is a corrective to the problems in the industry, which are provoked by changes in the visits of local and foreign tourists. Based on the analysis, a set of recommendations were made to improve the state of the sector: achieving sustainability of tourist visits; stricter requirements for transport companies; provision of financial assistance by the government; opportunities to use the interest-free grace period for received loans; and establishing Bulgaria as a safe destination.
 Conclusion. The conducted situational analysis of the hotel and restaurant business in Bulgaria for the period 2019-2021 is the basis for making several recommendations aimed at stabilizing the sector. Some of them are related to: financial support for the tourism business given by the state; reducing the rate of tax due; ensuring an interest-free grace period for loans from financial institutions; providing opportunities for using funds under various programs for the implementation of innovations in the activities of tourism companies in order to increase their competitiveness and bring them into a state that meets national and world requirements for tourism business.

관광기업의 공유가치창출과 종사원의 신뢰, 관계몰입 및 성과태도의 관계

This study discussed the structural relationship between creating shared value, trust, relationship commitment, and performance attitude of tourism companies based on the KMV model. This study collected data from 335 tourism employees to verify the proposed research model. Structural equation analysis was performed to verify the relationship between the constructs. A process macro(4) analysis was conducted to verify the mediating effect of trust and relationship commitment. According to the results, creating shared value had a positive influence on trust, relationship commitment, and performance attitude. And trust had a positive influence on relationship commitment. Trust and relationship commitment had a positive influence on performance attitude. Lastly, trust and relationship commitment mediated the relationship between creating shared value and performance attitude. This study has the following academic implications: First, this study is meaningful in that it discussed creating shared value as claimed by the KMV model of Morgan and Hunt (1994). Second, this study filled in some of the gaps that the existing KMV model didn't cover.

Mobile Application for Tourism

The current study developed a proposed mobile app for tourism companies in Egypt and tested its usability. A survey from a group of 53 respondents was conducted based on the mobile app features which were developed by tourists. The proposed mobile app was then tested by using usability measurement framework which was used to test the usability of the app interface and to ensure that this app meets user requirements. Three main usability metrics were employed in this study; effectiveness, efficiency and satisfaction. This study contributes to the current Mobile tourism and Mobile apps literature and offers useful information for ministry of tourism, software companies, mobile application developers and, of course, mobile device users in addition to entrepreneurs, policy makers, practitioners, researchers and educators through providing a clearer view and deep understanding for the issues related to the adoption of tourism-related new mobile phone application in Egypt.