Linking operations, marketing and environmental capabilities and diversification to hotel performance: a data envelopment analysis approach

Ramanathan, R., Ramanathan, U. ORCID: 0000-0002-7473-4643 and Zhang, Y., 2016. Linking operations, marketing and environmental capabilities and diversification to hotel performance: a data envelopment analysis approach. International Journal of Production Economics, 176, pp. 111-122. ISSN 0925-5273

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Abstract

This study examines the impacts of marketing capability, operations capability, environmental capability and diversification strategy on performance of hotel industry in the UK. We conceptualize these impacts by drawing on the resource-based-view of a firm as the theoretical underpinning. We use the financial archival data and information obtained from websites. We use content analysis, regression analysis and Data Envelopment Analysis (DEA). Our results show that operations capability and environmental capability have significant positive effects on performance, marketing capability has a significant negative impact but diversification strategy does not impact on performance. Additionally, there is no evidence of the moderating effects of efficiency on these impacts. Our study suggests that hotel industry in the UK ought to focus on developing operations and environmental capabilities especially by exploiting the synergies between them but reduce excessive reliance on marketing. This paper makes two important contributions to the literature. First, it applies a framework linking the three capabilities (operations, marketing and environment) and diversification to the specific case of the hotel industry. Second, unlike similar previous studies, ours is the first to incorporate environmental capabilities in the analysis.

Item Type: Journal article
Publication Title: International Journal of Production Economics
Creators: Ramanathan, R., Ramanathan, U. and Zhang, Y.
Publisher: Elsevier
Date: June 2016
Volume: 176
ISSN: 0925-5273
Identifiers:
NumberType
10.1016/j.ijpe.2016.03.010DOI
Divisions: Schools > Nottingham Business School
Depositing User: Jonathan Gallacher
Date Added: 26 Apr 2016 13:48
Last Modified: 05 Oct 2017 11:30
URI: http://irep.ntu.ac.uk/id/eprint/27694

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