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Authors:J. Bruce Tracey Pages: 4 - 4 Abstract: Cornell Hospitality Quarterly, Volume 64, Issue 1, Page 4-4, February 2023.
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Authors:Jing Ma, Zvi Schwartz Abstract: Cornell Hospitality Quarterly, Ahead of Print. With the widely used fixed-tier computerized pricing system (e.g., based on the best available rate or BAR), fenced discount rates are set and updated as a fixed percentage of the base rate such as the BAR. This intuitive computer-automated solution to a complex pricing issue is, however, theoretically suboptimal. The study demonstrates why the practice of using fixed-tier pricing is suboptimal, showing that this fixed-tier approach is inferior even when the initial set of fenced rates is optimal and even in the unlikely scenario of the various market segments’ demand curves shifting proportionally. As such, practitioners should avoid using a convenient fixed-tier pricing model (BAR-based or not) where only one pricing optimization is run and the rest of the fenced prices are calculated based on this optimized price using fixed percentages. Instead, a fenced-rate pricing system where individual segments are treated independently, and optimizations are run for each segment should be adopted. Citation: Cornell Hospitality Quarterly PubDate: 2023-02-08T09:30:32Z DOI: 10.1177/19389655231152456
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Authors:Yunxuan (Carrie) Zhang, Cass Shum, Amanda Belarmino Abstract: Cornell Hospitality Quarterly, Ahead of Print. While hospitality researchers have examined the impacts of user-generated content on customers, research regarding the impacts of employee reviews on job seekers’ application intentions is scarce. Yet, labor shortages in the hospitality industry have been amplified in recent years. The tight job market requires organizations to use aggressive and proactive recruitment strategies. As online employee reviews can attract both active and passive job seekers, organizations are increasingly advertising their jobs on these sites. This study draws on the elaboration likelihood model (ELM) and tests the boundary condition of work experience on the effects of overall star-ratings and employer awards on job seekers’ application intention. Through an experimental survey, this study sought to fill the gap regarding the impacts of employee-generated star-ratings and employer awards on job seekers’ application intentions. Both star-ratings and employer awards are positively related to organizational prestige. Hospitality work experience moderates the relationship between star-ratings and organizational prestige. The relationship is stronger for novice job seekers than for experienced job seekers. Organizational prestige, in turn, increases job seekers’ application intentions. Our findings extend the recruitment literature and highlight the potential usage of ELM as an explorative framework in hospitality recruitment research. The study also provides suggestions for hospitality employers to attract job seekers. Citation: Cornell Hospitality Quarterly PubDate: 2022-11-08T12:44:44Z DOI: 10.1177/19389655221130741
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Authors:Nicholas A. Smith, Larry Martinez, Shi (Tracy) Xu, Christopher J. Waterbury Abstract: Cornell Hospitality Quarterly, Ahead of Print. With the increasingly diverse workforce in the hospitality and tourism industry, it is imperative to identify strategies to reduce biases in the workplace. Across two studies, we examined the utility of providing individual-level positive individuating information as a strategy to combat customers’ stereotypes in service encounters. In Study 1, we explored the effectiveness of providing either positive stereotypical or counter-stereotypical individuating information to remediate negative perceptions toward older workers in an experimental vignette study using a hypothetical customer service encounter. In Study 2, we demonstrated the robustness of this technique with a group that has opposing stereotypes compared with older workers (Asian adults). Across these two studies, we found that providing positive counter-stereotypical individuating information most strongly affected customers’ satisfaction ratings of employees by boosting positive counter-stereotypical perceptions of both older and Asian targets. We discuss the implications of our study along with possible future research related to individual-level strategies to reduce workplace discrimination. Citation: Cornell Hospitality Quarterly PubDate: 2022-10-26T09:15:10Z DOI: 10.1177/19389655221127263
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Authors:Alei Fan, Hhye Won Shin, Jieyu (Jade) Shi, Laurie Wu Abstract: Cornell Hospitality Quarterly, Ahead of Print. Built on the consumer socialization theory and generational cohort theory, this research examines the consumption phenomena of the sharing economy among young travelers. Specifically, the current study investigates Millennial and Generation Z travelers’ consumption intention for peer-to-peer accommodations—one of the most popular sharing economy business models. This study explores how consumption values impact young travelers’ choice of peer-to-peer accommodation and whether any similarities or differences exist across the two generational cohorts. The research findings suggest that, while utilitarian and hedonic values influence both young generations’ intention to use peer-to-peer accommodation, sustainability and social interaction values, as well as perceived social media exposure, play more important roles for Generation Z (vs. Millennials). Furthermore, young people’s needs for self-enhancement extends significant impacts on their value evaluations of the peer-to-peer accommodations, particularly for Millennials. These generational differences help industry practitioners better serve and market to the two market segments. Citation: Cornell Hospitality Quarterly PubDate: 2022-09-05T05:53:53Z DOI: 10.1177/19389655221119463
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Authors:Jay Kandampully, Anil Bilgihan, Allard C. R. Van Riel, Anuj Sharma Abstract: Cornell Hospitality Quarterly, Ahead of Print. Hospitality exists from the grassroots level of society upward and plays a central role in the global economy. For the many organizations active in this sector and the societies they are based in, innovation in hospitality services is considered their lifeblood. Recent advancements in digitalization, artificial intelligence, robotics, communications technologies, and platform-based new business models are transforming the global business environment at a rapid pace. However, unlike many other service sectors, the hospitality and tourism sectors are unique in their focus on people, experiences, and the wider ecosystem (i.e., society and the environment). The unique makeup of the hospitality sector, therefore, demands a distinctive approach to innovation. This study aims to examine service innovation with a focus on the hospitality sector. It provides a holistic theoretical framework and proposes an agenda for future research. The framework suggests the hospitality experience to be at the core of innovation in this sector. Consequently, hospitality firms must focus on creating value through both technological and nontechnological innovation. This innovation must be facilitated in a symbiotic manner, with a strong focus on people at its center, showcasing the “soul” of the hospitality across the extended “footprints” of the experience. Citation: Cornell Hospitality Quarterly PubDate: 2022-07-12T05:04:28Z DOI: 10.1177/19389655221108334
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Authors:Linda Canina, Gordon Potter Abstract: Cornell Hospitality Quarterly, Ahead of Print. Studies have documented the existence of persistent performance differences across business units and firms in many industries and countries. Unfortunately, little is known about the causes of these performance differentials. Using property-level data from the lodging industry, this study documents the existence of large and persistent performance differentials across lodging units. These differences exist after controlling for the resources utilized for the production of the service as well as market conditions and hotel property characteristics and are most persistent for the highest and the lowest performers. Similar to studies that analyzed performance differences in other industries, our analysis leaves a large portion of the variation in performance differences unexplained. However, we do find that a small portion of these performance differences is positively related to the hotel property’s choice regarding chain size and hotel portfolio company scope, suggesting the possibility of benefits from scale economies and/or scope. Understanding how performance differences arise and persist requires a close look into less deterministic, quantifiable, and tangible factors such as managerial practices, decision-making processes, innovation, knowledge creation, the transfer of knowledge, the flow of information, compensation, and personnel policies, among others. In other words, there is much unexplained and yet to be discovered here, resulting in a ripe area for future research. Future research that links attributes of the industry’s demand, management controls, or technology to factors driving productivity may help explain, and perhaps enhance, the industry’s productivity growth. Citation: Cornell Hospitality Quarterly PubDate: 2022-07-02T05:43:31Z DOI: 10.1177/19389655221102384
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Authors:Kevin Kam Fung So, Hyunsu Kim, Yueying He, Xiang (Robert) Li Abstract: Cornell Hospitality Quarterly, Ahead of Print. In light of current industry imperatives and growing scholarly attention, this study was conducted to provide a thoroughly updated bibliometric overview of how service innovation research has evolved. A total of 133 papers across 42 hospitality and tourism journals over 18 years (2003–2020) were extracted and analyzed. We first examined the publication outlets and trajectories of service innovation. Next, we applied several state-of-the-art bibliometric techniques, including co-citation and keyword co-occurrence analysis. Based on the results of co-occurrence analysis, we proposed a flowchart of the service innovation process combining organizational and customer perspectives while considering the service design, process, and outcome phases. We then summarized the major findings and limitations of service innovation studies in hospitality and tourism. A series of critical future research directions were presented accordingly. Citation: Cornell Hospitality Quarterly PubDate: 2022-06-30T04:35:30Z DOI: 10.1177/19389655221102392
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Authors:YooHee Hwang, Yixing (Lisa) Gao, Anna S. Mattila, Peihao Wang Abstract: Cornell Hospitality Quarterly, Ahead of Print. Considerable research has demonstrated the positive effects of handwritten font styles on product attachment and word-of-mouth behavior. However, few studies examined whether these positive effects can be mitigated or even reversed. The purpose of this study is to fill this knowledge gap by identifying several boundary conditions (communal orientation, message type, and hotel type) for the positive effects of handwritten font styles. We conducted two quasi-experimental studies. In Study 1 (n = 125), the positive effect of handwritten font styles on attitude toward a hotel was not observed among individuals with a low communal orientation. In Study 2 (n = 245), the handwritten (vs. machine-written) font styles in the sustainability messages of a luxury hotel reduce warmth of the hotel. Hospitality managers should use handwritten font styles carefully depending on hotel type, message type, and customer characteristics. Citation: Cornell Hospitality Quarterly PubDate: 2022-06-17T09:29:24Z DOI: 10.1177/19389655221102389
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Authors:Enrique Bigne, Patricio Maturana Abstract: Cornell Hospitality Quarterly, Ahead of Print. Although virtual reality technology is increasingly being used in tourism, its potential as a shopping tool and as an avenue for marketing and selling tourism products and services has not yet been examined. Likewise, very little is known about how exploring holiday packages through virtual reality affects behavioral intention to visit tourist destinations. This study aims to compare the visit intentions evoked and the process of booking holiday travel packages between an immersive virtual reality environment (displayed through Oculus head-mounted glasses) and a traditional web-based 2D platform. A causal model is proposed and tested for both designs. Using a between-subjects experimental design with a sample of 202 individuals, the experiences of two randomly selected groups were observed as they bought holiday tour packages to Rio de Janeiro, Brazil. The first group made a simulated purchase in an immersive virtual reality environment using a head-mounted device, and the second group made the purchase on a traditional e-commerce website. The findings revealed that the scores given to sense of presence, attitude change, and perceived ease of use were greater among those who made the purchase in the more immersive virtual reality environment. However, the relationships between the variables in the causal model were stronger for the classic website than for the virtual reality setting. Attitude change positively affected intention to visit a destination more in the virtual reality environment. Citation: Cornell Hospitality Quarterly PubDate: 2022-06-17T09:26:04Z DOI: 10.1177/19389655221102386
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Authors:Peng Liu, John W. O’Neill Abstract: Cornell Hospitality Quarterly, Ahead of Print. Hotels are generally perceived as the riskiest type of commercial real estate (CRE) investment because hotel “leases” have relatively high turnover. Existing literature regarding CRE investment risk and return lacks investigation of hotels at the unit level—which is the level of analysis undertaken by existing and prospective hotel investors. Two major types of hotels are branded and independent ones. The purpose of this study is to investigate the variability (risk) of key performance indicators (KPIs) such as occupancy rate, and revenues and profit of branded versus independent hotels. Using a large sample of performance data regarding over 4,000 U.S. hotel properties from 2000 to 2019, we examine the extent to which branding affects the volatility of KPIs. We find that brand-affiliated hotels have lower cash flow risk measured as lower volatilities of KPIs compared with independent ones. Furthermore, the level of volatility reduction of branded hotels is greater for profit than for revenue, and profit may be the most important KPI for hotel investors. The magnitude of volatility reduction also increases as the measurement window length (number of years) increases. We also study the long-term returns of branded versus independent hotels. This study contributes to the understanding regarding the relationships between investment risk of branded versus independent hotels, extends the literature regarding hotel investment, and provides hotel investors and analysts information regarding risk to aid decisions such as developing, purchasing, holding, or disposing of hotel assets. Citation: Cornell Hospitality Quarterly PubDate: 2022-06-17T09:22:58Z DOI: 10.1177/19389655221102385
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Authors:Shujie Fang, Xiaoyun Han, Shuping Chen Abstract: Cornell Hospitality Quarterly, Ahead of Print. Service robots have become a topic of interest for tourism and hospitality researchers and practitioners. The success of service robot adoption lies in the effectiveness of tourist–robot interaction. There has been less interest in the performance of tourist–robot interaction, with research related to tourist engagement being particularly scarce. Drawing on the theoretical perspective of relationships, this article examines the impact of tourist–robot interaction on tourist engagement in the hospitality context. A mixed-methods approach is adopted, utilizing grounded theory and structural equation modeling. The findings reveal two types of tourist–robot interaction, emotional (fun and playfulness) and instrumental (convenience and ease of use). Tourist–robot emotional interactions influence tourist engagement by enhancing tourists’ needs satisfaction, tourist emotion, and social bonds with robots. It was found that tourist–robot instrumental interaction positively affects tourist engagement through needs satisfaction and tourist emotion but not social bonds. The findings extend our understanding of human–robot interaction and customer engagement. Citation: Cornell Hospitality Quarterly PubDate: 2022-06-17T09:19:30Z DOI: 10.1177/19389655221102383
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Authors:Kwang-Ho Lee, Chih-Lun Alan Yen Abstract: Cornell Hospitality Quarterly, Ahead of Print. The current study applies implicit theory as a theoretical lens to explore gender differences in explicit and implicit measures of robot attitudes, which in turn facilitates behavioral intention. In total, 108 participants assessed the modified Robot Implicit Association Test (RIAT) to complete both implicit measures of attitudes and explicit self-reported measures in randomized order. Our findings demonstrated that (a) implicit attitudes (RIAT D-scores) were significantly correlated with self-reported measures (explicit attitude, perceived technology innovativeness, and behavioral intention), (b) different patterns of explicit and implicit attitudes exist, and (c) males may have a more favorable preference toward service robots than females. These results help build theoretical and methodological foundations for service management innovation into the role of implicit attitude in hospitality firms. Citation: Cornell Hospitality Quarterly PubDate: 2022-06-17T09:16:15Z DOI: 10.1177/19389655221102381
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Authors:Anthony F. Lucas, Katherine Spilde, A. K. Singh Abstract: Cornell Hospitality Quarterly, Ahead of Print. The aim of this study was to understand the impacts of changes in free-play (FP) award values on visitation frequency and gaming revenue. With costly and perpetual FP campaigns well established in many markets, a critical issue for operators centers on the potential consequences of walking back offer values, especially when nearby competitors do not. The results of experimentally manipulated FP offers suggested that widely held industry beliefs about their ability to influence visitation are equivocal. Additional outcomes related to the economic impact of FP awards across the experimental groups also questioned the sensitivity of loyalty club members to reductions in FP offers. Working from a common offer tier of 600 loyalty club members, subjects were randomly assigned to one of six groups, each comprised of 100 subjects. Daily group-level outcomes were produced by aggregating player performance data over a 191-day sample period, collected from the records of a tribal casino operating in a competitive repeater market. This longitudinal design allowed for the measurement of multiple levels of FP offers on visitation behavior and gaming value, over a meaningful duration. Our findings fill gaps in the literature related to the impacts of FP on visitation frequency and the ability to drive own-money wagering. Our results also add to literature within the domains of operant conditioning, goal gradient theory, and a growing stream of research on FP efficacy. There are also connections to the house money effect, reverse house money effect, and the endowment effect. Citation: Cornell Hospitality Quarterly PubDate: 2022-06-08T01:03:50Z DOI: 10.1177/19389655221102382
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Authors:Timothy Webb, Jing Ma, Andong Cheng First page: 22 Abstract: Cornell Hospitality Quarterly, Ahead of Print. The restaurant industry has historically been limited in its ability to adopt traditional revenue management pricing practices (e.g., variable pricing across tables and times) because of three specific challenges: (a) inability to segment customers by willingness to pay prior to seating, (b) limited ability to price discriminate (i.e., prioritize limited seating for the highest paying customers), and (c) inability to communicate menu price variances in advance. This article reviews common restaurant pricing strategies and discusses how each strategy cannot sufficiently address these three challenges. This work proposes a new strategy, the Priority Mixed Bundle (PMB) Strategy, which addresses all three of these challenges. The PMB states that customers can make reservations if they are willing to commit to dining from a prix-fixe menu while walk-ins can dine a la carte. The article argues for why PMB is theoretically viable and could be superior to existing menu pricing strategies. A field study shows that the PMB generates more revenue than a la carte strategies. Survey results suggest that customers perceive PMB as fair. Overall, this research advances theory in restaurant revenue management and proposes a pricing strategy for restaurants. Citation: Cornell Hospitality Quarterly PubDate: 2022-06-16T07:05:01Z DOI: 10.1177/19389655221102387
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Authors:Beril Yalcinkaya, David R. Just First page: 63 Abstract: Cornell Hospitality Quarterly, Ahead of Print. Online reviews influence customer decisions and present publicly available data to investigate differences between customer evaluations for local and chain businesses. We conduct a text analysis on a sample of 80,728 online customer reviews of quick-service restaurants to examine how the impact of dining experience attributes on customer evaluation differs between the two restaurant types. Estimation of multilevel multinomial models reveals that customer reviews for local restaurants have less polarized sentiment than chain restaurants. This polarization is also evident for sentiment usage related to four dining experience attributes: food, service, ambience, and price. Although food offerings are essential to get high ratings for local restaurants, service quality has a relatively greater impact on customer satisfaction for chains. Although customer reviews favor local restaurants, they need powerful testimonials for differentiation due to high review valence among their local competitors. Citation: Cornell Hospitality Quarterly PubDate: 2022-06-08T01:05:39Z DOI: 10.1177/19389655221102388
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