Examining heterogeneity through response-based unit segmentation in PLS-SEM: a study of human capital and firm performance in upscale restaurants

Guy Assaker, Rob Hallak and Peter O’Connor

Current Issues in Tourism, 2020, vol. 23, issue 2, 137-152

Abstract: Response-based unit segmentation (REBUS) is an advanced partial least squares–structural equation modelling technique that clusters observations into classes based on the relationships among model constructs. In this paper, we demonstrate the application of REBUS in examining human capital (HC) and firm performance in the upscale restaurant sector – an important segment of gastronomic tourism in a destination. The model framework is developed from HC theory which posits individuals who develop higher levels of knowledge, skills, education and other competencies will outperform others [(Bruce, M., McNally, J. J., & Kay, M. (2013, March). Examining the formation of human capital in entrepreneurship: A meta-analysis of entrepreneurship education outcomes. Journal of Business Venturing, 28(2), 211–224; Mincer, J. (1958). Investment in human capital and personal income distribution. Journal of Political Economy, 66, 281–302)]. We operationalize HC to include operators’ (1) previous ownership/management experience, (2) level of education, (3) length of time in current position, (4) years spent in hospitality and (5) entrepreneurial qualifications and examine the structural effects on performance. Data were collected through telephone-based surveys of 308 restaurant operators in Australia and France. REBUS results found that the effects of HC on performance differed across identified segments from the data, presenting new insights on the complexity of the relationship and the presence of moderator effects.

Date: 2020
References: Add references at CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://hdl.handle.net/10.1080/13683500.2018.1490253 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:rcitxx:v:23:y:2020:i:2:p:137-152

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/rcit20

DOI: 10.1080/13683500.2018.1490253

Access Statistics for this article

Current Issues in Tourism is currently edited by Jennifer Tunstall

More articles in Current Issues in Tourism from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().