Business Performance in the UK Hotel Sector - Does it Pay to be Market Oriented?

Sargeant, Adrian; Mohamad, Mariam

doi:10.1080/02642069900000029

Cited by 72 publications

(50 citation statements)

References 16 publications

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“…Since the sign of the coefficient of marketing capability is negative, implying that hotels with higher marketing capability tend to perform less well. This finding has been generally supported by previous hotel literature in the UK (Greenly, 1995;Sargeant and Mohamad, 1999).…”

Section: 2marketing Capabilitysupporting

confidence: 79%

“…However, some studies reveal there is no relationship between marketing and firm's performance (Sargeant and Mohamad, 1999).…”

Section: Marketing Capabilitymentioning

confidence: 99%

“…The hotel industry is fast developing and it is very competitive (Sargeant and Mohamad, 1999). This sector is also well researched in the academic literature; there are studies that explored the links among various aspects of performance, such as market orientation, strategic planning, environmental management and financial measurements in the UK hotel industry (Sainaghi, 2010).…”

Section: Introductionmentioning

confidence: 99%

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

Ramanathan

Zhang

2016

International Journal of Production Economics

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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.

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Section: 2marketing Capabilitysupporting

confidence: 79%

“…However, some studies reveal there is no relationship between marketing and firm's performance (Sargeant and Mohamad, 1999).…”

Section: Marketing Capabilitymentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

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

Ramanathan

Zhang

2016

International Journal of Production Economics

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“…This is because a strong MO is required to enable businesses concentrate on those environmental events that are likely to influence their ability to enhance customer satisfaction relative to competitors (Erdil, Erdil & Keskin, 2010). Consequently, it is imperative that businesses monitor their external environment when considering the development of a strong market-oriented culture (Kohli & Jaworski, 1990 (Sargeant & Mohamad, 1999;Nwokah, 2008;Harris, 2001). Diamantopoulos and Hart (1993) pointed out that the MO-performance nexus is situation specific and also subject to several moderating influences.…”

mentioning

confidence: 99%

Market orientation and performance: the contingency role of external environment

Neneh

2016

Environmental Economics

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In today's business environment characterized by intense competition from globalization and incessantly changing customer needs, market orientation (MO) has been presented as a valuable approach for firms to safeguard themselves against market fluctuations and maintain continuous superior performance. Even though existing literature suggest that MO is a vital driver of business performance, some studies have failed to find its benefits. This is possibly because the MO-performance relationship is has been argued to be context specific and contingent to the business environment. This study thus had as objective to investigate the impact of MO on SME performance, as well as the moderating effects of the external environment on the MO-performance nexus. Using data from South Africa, this study showed that two of the three dimensions of MO (i.e. customer orientation, competitor focus) are significant drivers of business performance and that the MO-performance nexus is moderated by the external environmental factors. Specifically the MO-performance relationship is positively moderated by market turbulence and negative moderated by technological turbulence and competitive intensity. The study culminates with theoretical and practical implications that can be valuable for scholars and businesses operating in South Africa.

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“…However, to date, many empirical analyses have been largely restricted to manufacturing environments (for example, Kohli & Jaworski, 1990;Narver & Slater, 1990;Perry & Shao, 2002;Pulendran, Speed, & Widing, 2003) with a clear lack of research within service institutions (Matear, Osborne, Garrett, & Gray, 2002). Although some studies have been conducted within the broader tourism industry, for example hotels (Agarwal, Erramilli, & Dev, 2003;Au & Tse, 1995;Harris & Watkins, 1998;Sargeant & Mohamad, 1999), there has only been a single study that examined the market orientation of travel agents (Greenley & Matcham, 1986). In particular, Greenley and Matcham (1986) found that companies in the incoming tourist service industry in Great Britain displayed low levels of market research, market planning and market orientation, suggesting a need for further research in this area.…”

mentioning

confidence: 99%

Implementing the Marketing Concept in Travel Organizations: The Important Moderating Influence of Perceived Organizational Support

Herington

Weaven

2009

Journal of Hospitality Marketing & Management

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Business Performance in the UK Hotel Sector - Does it Pay to be Market Oriented?

Cited by 72 publications

References 16 publications

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

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

Market orientation and performance: the contingency role of external environment

Implementing the Marketing Concept in Travel Organizations: The Important Moderating Influence of Perceived Organizational Support

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