Why Negative Outputs are Often Ignored: A Comprehensive Measure of Hotel Performance

A. George Assaf and Ljubica Knezevic Cvelbar
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A. George Assaf: Isenberg School of Management, University of Massachusetts-Amherst, 90 Campus Center Way, MA 01003, USA
Ljubica Knezevic Cvelbar: Faculty of Economics, University of Ljubljana (FELU), Slovenia

Tourism Economics, 2015, vol. 21, issue 4, 761-773

Abstract: Studies often overlook negative outputs when measuring hotel performance. This paper investigates the consequences of such omissions by comparing two performance models, one that includes negative outputs (customer complaints) and one that excludes negative outputs. The authors show that excluding negative outputs underestimates the efficiency and productivity results. The results also indicate important differences in the performance ranking of hotels when negative outputs were excluded from the model. The authors also found that hotel size and hotel classification have a minor impact on performance when accounting for negative outputs.

Keywords: negative outputs; hotel performance; performance models; service delivery (search for similar items in EconPapers)
Date: 2015
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Citations: View citations in EconPapers (7)

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Persistent link: https://EconPapers.repec.org/RePEc:sae:toueco:v:21:y:2015:i:4:p:761-773

DOI: 10.5367/te.2014.0386

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