An Analysis of The Impact of Short-Term Vacation Rentals on the Hotel Industry

2021 ◽  
pp. 109634802110191
Author(s):  
Jungtae Soh ◽  
Kwanglim Seo
Keyword(s):  
Economic Effect ◽  
Hotel Industry ◽  
Price Difference ◽  
Multiple Sources ◽  
Short Term ◽  
Hotel Performance ◽  
Negative Effect ◽  
Research Gap ◽  
The Impact ◽  
Scholarly Attention

Much scholarly attention has been paid to Airbnb’s influence on the hotel industry. However, extant studies have limitations because they consider only Airbnb while overlooking various other short-term vacation rental players that can also affect performance of hotels. To address this research gap, this study aims to provide a broader understanding of the impacts of short-term vacation rentals by analyzing data obtained from various vacation rental platforms. This study shows that while increase in short-term vacation rentals has an overall negative effect on hotel performance, the economic effect is more significant in the low-end market than in the high-end market. Our findings further reveal that the negative effect is reduced when there is a large price difference between short-term vacation rentals and hotels. By comprehensively examining multiple sources of data on hotels and vacation rentals, this study brings alternative perspectives to the attention of researchers for further investigation of vacation rentals.

Comprehensive Effects of Short-Term Rental Platforms Across Hotel Types in U.S. and International Destinations

2021 ◽  
pp. 193896552110335
Author(s):  
John W. O’Neill ◽  
Jihwan Yeon
Keyword(s):  
Service Providers ◽  
Comprehensive Analysis ◽  
Competitive Market ◽  
Substitution Effects ◽  
Short Term ◽  
Hotel Performance ◽  
The World ◽  
Different Types ◽  
Location Type ◽  
The Impact

In recent years, short-term rental platforms in the lodging sector, including Airbnb, VRBO, and HomeAway, have received extensive attention and emerged as potentially alternative suppliers of services traditionally provided by established commercial accommodation providers, that is, hotels. Short-term rentals have dramatically increased the available supply of rooms for visitors to multiple international destinations, potentially siphoning demand away from hotels to short-term rental businesses. In a competitive market, an increase in supply with constant demand would negatively influence incumbent service providers. In this article, we examine the substitution effects of short-term rental supply on hotel performance in different cities around the world. Specifically, we comprehensively investigate the substitution effects of short-term rental supply on hotel performance based on hotel class, location type, and region. Furthermore, we segment the short-term rental supply based on its types of accommodations, that is, shared rooms, private rooms, and entire homes, and both examine and quantify the differential effects of these types of short-term rentals on different types of hotels. This study offers a comprehensive analysis regarding the impact of multiple short-term rental platforms on hotel performance and offers both conceptual and practical insights regarding the nature and extent of the effects that were identified.

Challenge or chance? Understanding the impact of anti-corruption campaign on China’s hotel industry

2021 ◽  
pp. 135481662110015
Author(s):  
Yang Yang ◽  
Caiping Wang ◽  
Honggang Xu
Keyword(s):  
Hotel Industry ◽  
Class Level ◽  
Administrative Position ◽  
Food And Beverage ◽  
Negative Effect ◽  
Local Residents ◽  
Provincial Capital ◽  
Hotel Sector ◽  
The Impact ◽  
Practical Implications

Anti-corruption has garnered increasing attention, especially in China, where President Xi launched an influential and far-reaching anti-corruption campaign in late 2012. A better understanding of the effects of anti-corruption efforts on the hotel sector can reveal insights into the development of the Chinese hotel industry. Based on the quarterly data on China’s hotel industry in 49 cities from quarter 2 of 2010 to quarter 4 of 2015, this study investigates how the anti-corruption campaign (measured by anti-corruption inspections and the number of corruption lawsuits) has influenced hotel industry demand in China. Hypotheses are developed from China’s unique cultural environment of guanxi combined with rent-seeking theory and the crowding-out principle. Empirical results confirm a significant and negative effect of the anti-corruption campaign on hotel lodging and food and beverage demand. Several factors, including a city’s administrative position as a provincial capital, hotel class, level of tourism dependence, and local residents’ entertainment expenditure, are found to moderate the effect of the anti-corruption campaign on hotels’ lodging demand significantly. Theoretical and practical implications are discussed in light of these findings.

Working Capital Financing, Firm Performance and Financial Flexibility: Evidence from Indian Hospitality Firms

2020 ◽  
pp. 097215092096137
Author(s):  
Nufazil Altaf
Keyword(s):  
Firm Performance ◽  
Method Of Moment ◽  
Working Capital ◽  
Short Term ◽  
Financial Flexibility ◽  
Negative Effect ◽  
Capital Financing ◽  
Hospitality Firms ◽  
Break Even Point ◽  
The Impact

This article examines the relationship between working capital financing and firm performance for a sample of 185 Indian hospitality firms. In addition, this study examines the impact of financial flexibility on working capital financing performance relationship for a period of 10 years. This study employs two-step generalized method of moment (GMM) techniques to arrive at results. Results of the study confirm the inverted U-shaped relationship between working capital financing and firm performance with optimal break-even point, beyond which short-term debt financing has a negative effect on performance at 0.54. In addition, we found that firms likely to be more financially flexible can finance a greater proportion of working capital using short-term debt, since break-even point turns out to be high for firms likely to be more financially flexible. The study is expected to extend the existing debate on working capital management by using the sample of Indian Hospitality firms for analysing the above-mentioned relationships.

ACHIEVING SUPERIOR INTERNATIONAL NEW VENTURE (INV) PERFORMANCE: EXPLOITING SHORT-TERM DURATION OF TIES

2008 ◽  
Vol 16 (01) ◽  
pp. 1-18 ◽  
Author(s):  
MARY HAN
Keyword(s):  
Network Analysis ◽  
New Ventures ◽  
Economic Effect ◽  
The Body ◽  
New Venture ◽  
Superior Performance ◽  
International New Ventures ◽  
Short Term ◽  
Network Ties ◽  
The Impact

Network ties help international new ventures (INVs) achieve success. However, researchers have paid little attention to the duration of network ties and the impact of duration on performance. I draw on network analysis and the resources-based view to examine this area and propose a conceptual model that depicts the variables and mediating factors for INV performance. The model explains how INVs acquire, manage and exploit ties to achieve superior performance. I argue that resource-constrained INVs can minimize their investment of time and capital, and maximize the economic effect of ties, by using briefer time periods and short-term projects. I also propose that INVs adopt a 'hedging' or portfolio approach to managing ties, by collecting larger number of prospects to reduce uncertainty. The model and propositions contribute to the body of literature in network analysis and INVs. The paper highlights implications for research and practice.

scholarly journals Economic effect of short-term period tax benefits in mountainous parts of Georgia

2020 ◽  
Author(s):  
Ketevan Tchanidze ◽  
◽  
Natela Tsiklashvili ◽  
Zeinab Surmanidze ◽  
◽  
...  
Keyword(s):  
Internal Migration ◽  
Rural Economy ◽  
Quantitative Research ◽  
Economic Effect ◽  
Statistical Processing ◽  
Social Benefits ◽  
Short Term ◽  
Mountainous Regions ◽  
Long Run ◽  
The Impact

Migration processes of high mountains and population growth of cities have led to depopulation in mountainous regions, rising unemployment in the city and a had a decrease in agricultural products, ultimately provoke external migration processes. These problems are typical not only for Georgia but also for the postSoviet countries and are relevant in the global context. The purpose of the study was to identify and analyse the effects of the short-term tax privileges for the mountainous regions of Georgia. The paper is dedicated to research and quantitative analysis of the impact of tax and social benefits on improving demographic conditions and regulating internal migration processes, both in the short and long-term perspective. The research methodology was based on the statistical processing of the survey results. For quantitative research, we used a structured questionnaire, which was developed by face-to-face interviews. Approximately 500 respondents were interviewed in 79 villages of 11 communities of Khulo, the Adjara Autonomous Republic, Georgia. The study revealed that by regulating tax and social benefits, it is possible to partially manage the internal migration processes of the mountainous region in the short run, while in the long run, a complex approach to the issue is important. In the mountainous parts, tax, social and other benefits will have a positive economic effect in the short term. Increasing the amount of income for individuals and legal entities is one way to stimulate the rural economy.

The Effect of Lodging Taxes on the Performance of US Hotels

2020 ◽  
pp. 004728752097104
Author(s):  
Abhinav Sharma ◽  
Richard R. Perdue ◽  
Juan L. Nicolau
Keyword(s):  
Market Segments ◽  
Empirical Application ◽  
Hotel Performance ◽  
Negative Effect ◽  
Managerial Implications ◽  
The Impact

The objective of this article is to analyze the impact of lodging taxes on the performance of US hotels by looking at the two key market segments involved. The empirical application conducted on a sample of more than 7,000 observations corresponding to more than 100 urban submarkets from 2013 to 2018 finds that lodging taxes have a more negative effect on hotel performance (RevPar) for group bookings than for transient bookings. As groups usually have greater flexibility regarding the location of events, they can more easily choose a different destination if a tax increase is observed. To prevent this possibility hotels may be more inclined to offer discounts to groups, thereby absorbing some of the tax increase. The results obtained have relevant managerial implications, which are discussed.

scholarly journals Financial Constraints and Export Participation of SMEs in Post-Communist Countries

2019 ◽  
Vol 69 (2) ◽  
pp. 289-319
Author(s):  
Ramiz Rahmanov
Keyword(s):  
Regression Analysis ◽  
Financial Constraints ◽  
Significant Heterogeneity ◽  
Short Term ◽  
Cross Sectional ◽  
Negative Effect ◽  
Heterogeneity Analysis ◽  
Communist Countries ◽  
The Impact ◽  
First Time

This paper examines the impact of medium- and short-term financial constraints on the probability of export participation of SMEs in 28 post-communist countries. The regression analysis conducted over the cross-sectional sample of SMEs taken from the BEEPS III-IV-V shows that the medium- and short-term financial constraints produce a significantly negative effect on the probability of exporting. Although there exist arguments for why the effects of medium- and short-term financial constraints can differ from each other, both the medium- and short-term financial constraints appear to reduce the probability of exporting equally by 25%. The regression results also suggest that more productive, innovative, and larger SMEs, and also SMEs with international quality certificates are more likely to export. When the regressions are separately estimated for the first-time and continuous exporters, it appears that only the probability of exporting of continuous exporters is significantly sensitive to the financial constraints. Furthermore, the regressions separately run for the direct and indirect exporters show that the financial constraints have a larger effect on the probability of exporting of indirect exporters. The heterogeneity analysis shows that there is a significant heterogeneity in the effects of medium- and short-term financial constraints on the likelihood of exporting across regions, industries, periods, and firm types.

scholarly journals Analysis of Incentives to Eco-Driving for Car Rental Companies’ Customers

2020 ◽  
Vol 12 (24) ◽  
pp. 10579
Author(s):  
Michał Adamczak ◽  
Adrianna Toboła ◽  
Jadwiga Fijałkowska ◽  
Piotr Cyplik ◽  
Maciej Tórz
Keyword(s):  
Road Traffic ◽  
Negative Impact ◽  
Survey Method ◽  
Short Term ◽  
The Road ◽  
Car Rental ◽  
Car Wash ◽  
Research Gap ◽  
On The Road ◽  
The Impact

The problem of road traffic is one of the key challenges that cities will have to deal with in the future. It is also a problem directly related to the concept of sustainable development. Reducing the negative impact of road traffic in future cities can be achieved through cooperation in the following areas: social—shaping customer behavior and habits, economic—changing attitudes towards owning a car, and environmental—aimed at reducing the vehicle’s impact on the natural environment. A literature review was used to identify the research gap concerning the impact of the incentive system on increasing the environmental performance of drivers under short-term rental. Referring to the research gap, the main goal of the article is to identify the attractiveness of eco-driving incentives for drivers under short-term rental. The study used the survey method. The study was based on 323 completed questionnaires (female—122 and male—201). The following methods were also used in the analysis of the results: Anderson–Darling, Mood’s Median test and Kruskal Wallis multiple pairwise comparisons. The evaluation of the attractiveness of the incentive to eco-driving depends on the characteristic of the client who rents the car. Thus, it is possible to shape incentive systems for car rental customers that can shape their positive behavior on the road. Among the most attractive incentives for eco-driving in a rented car are: the possibility of upgrading a car in the next rental, discount for future rental and free car-wash.

scholarly journals The Impact of the Digital Economy on the Hotel Industry

2021 ◽  
Vol 04 (12) ◽  
Author(s):  
Frangiza A. Abdullaeva ◽  
Keyword(s):  
Hotel Industry ◽  
Digital Economy ◽  
The State ◽  
Short Term ◽  
Money Transfers ◽  
Tourism Potential ◽  
Effective Use ◽  
The Impact

The article analyzes online tourism, its opportunities, the state of development in Uzbekistan. Based on the results of the study, proposals were developed to solve the problems that hinder the development of online tourism in the country. Including:commercial banks in the country should also ensure the security of money transfers, as well as improve the system of short-term refunds in case of cancellation, refund or replacement of numbers and tickets;all payment accounts must operate in a biomeric system; more effective use of bloggers in promoting the tourism potential of the country.

scholarly journals The impact of macroeconomic variables on credit risk: Evidence from Indonesian business sector level data

2020 ◽  
Vol 9 (5) ◽  
pp. 235-244
Author(s):  
M Khoerul Mubin ◽  
Arif Sugara
Keyword(s):  
Credit Risk ◽  
Business Sector ◽  
Significant Positive Effect ◽  
Short Term ◽  
Macroeconomic Variables ◽  
Significant Negative Effect ◽  
Long Run ◽  
Negative Effect ◽  
The Impact ◽  
Positive Effect

This study aims to empirically examine the effect of macroeconomic variables on credit risk in each business sector in Indonesia. Using time-series quarterly data during the period 2011q1-2019q2, this study utilized the Autoregressive Distributed Lag (ARDL) model. The results of this study explain that macroeconomic variables namely GDP growth in the long run have a significant negative effect on credit risk in 6 sectors and in the short term have a significant negative effect on 6 sectors. Inflation has a significant positive effect in the long run on one sector, namely the provision of accommodation and provision of food and drink, and a significant negative effect on 6 sectors, in the short term inflation has a significant positive effect on 7 sectors and a significant negative effect on one sector, namely education services. The last variable is the long-term loan interest rate which has a positive effect on 7 sectors and in the short term has a significant positive effect on 6 sectors on the high value of credit risk in each business sector in Indonesia. The result indicating that macroeconomic variables have a real impact on credit risk.

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