Productivity, efficiency and its determinant factors in hotels

Justo De Jorge and Cristina Suarez

The Service Industries Journal, 2014, vol. 34, issue 4, 354-372

Abstract: This study assesses the total factor productivity, efficiency and its determinants in the hotel sector in the period 1999-2007, with the objective to analyze the management implications of these outcomes. The results show improvements in productivity due to innovation, with significant differences due to the geographic location, and a decrease in efficiency explained in terms of adaptation to supply. There are several factors determining the efficient leading hotels. First, the concentration market share to achieve efficiency gains. Second, a curvilinear (U) shape between efficiency and size of the hotel. Third, a higher degree of organizational autonomy is positively related to efficiency, but negatively related to the commitment to quality.

Date: 2014
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DOI: 10.1080/02642069.2013.778977

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The Service Industries Journal is currently edited by Eileen Bridges, Professor Domingo Ribeiro, Ronald Goldsmith, Barry Howcroft and Youjae Yi

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