Tour operators and performance of SME hotels: Differences between hotels in coastal and inland areas

Description

This paper studies the differences in the impact of global tour operators on the management and performance of hotels in coastal and inland areas. The empirical analysis is based on a survey conducted in 2016 on 375 Spanish SMEs operating in the hotel industry. A multi-group comparison analysis was carried out using Partial Least Squares (PLS) structural modelling. This analysis reveals that dependence on global tour operators has a direct effect on the conditions under which hotel services are provided (room rates and quotas) both in coastal and inland areas. Nevertheless, the pressure from tour operators is significantly stronger on hotel SMEs located in coastal areas, where it has a negative effect on profitability, in spite of having a positive influence on firm growth (sales and employment).

Abstract

Ministerio de Economía y Competitividad (MINECO). España

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