The Impacts of Perceived Risks on Information Search and Risk Reduction Strategies: A Study of the Hotel Industry during the COVID-19 Pandemic

This study examined the impacts of perceived risks on information search and risk reduction strategies as well as the relative importance of each risk reduction strategy. Multiple regression analysis was applied to analyze the sample of South Korean hotel customers and to test the hypotheses of the study. It was found that when hotel customers faced the same kind of risk, they adopted different information search strategies to reduce various risks during the COVID-19 pandemic. Moreover, ‘following hotel employee’s advice’ was perceived to be the most important information search strategy to reduce risks. This is the first study to compare the differences of perceived risk and information search strategies under the COVID-19 pandemic and normal conditions to help hotels to develop more effective strategies to recover from the pandemic. The results of the study should be interpreted with care since it was based on Korean hotel customers. The influence of cultural differences in perceived risk and information search strategy should be addressed in future studies. The study contributes to the tourism and hospitality information search and risk reduction strategy-related literature and recommends avenues for further research in the field.

Download Full-text

Perceived risk and risk reduction strategies in the choice of beef by Irish consumers

Food Quality and Preference ◽

10.1016/j.foodqual.2004.08.003 ◽

2005 ◽

Vol 16 (5) ◽

pp. 435-445 ◽

Cited By ~ 58

Author(s):

Mary McCarthy ◽

Spencer Henson

Keyword(s):

Risk Reduction ◽

Perceived Risk ◽

Reduction Strategies ◽

Risk Reduction Strategies

Download Full-text

Consumer evaluation of perceived risks for goods and services

South African Journal of Business Management ◽

10.4102/sajbm.v26i3.827 ◽

1995 ◽

Vol 26 (3) ◽

pp. 81-89

Author(s):

Mike Bendixen ◽

Graham Gault

Keyword(s):

Risk Reduction ◽

Perceived Risk ◽

Exploratory Research ◽

Consumer Evaluation ◽

Goods And Services ◽

Different Types ◽

Hybrid Class ◽

Reduction Strategies ◽

Risk Reduction Strategies

Perceived risk is known to be an important determinant of consumer behaviour. However, prior research has focussed on goods rather than services. The purpose of this exploratory research was to identify any differences between goods and services in terms of perceived risk and risk reduction strategies. Two new components of risk, namely specification risk and the risk of loss of control, were identified as being specifically associated with services. Empirical evidence gathered leads to the conclusion that as far as risk is concerned, a simple classification of products as goods or services is inadequate: an additional hybrid class comprising both goods and services is also necessary. These three categories of product are associated with different types of perceived ask. Also, risk reduction strategies were found to be dependent on product rather than on the type of risk.

Download Full-text

Exploring Perceived Risk and Risk Reduction Strategies in the Pursuit of Higher Education Abroad

Journal of Studies in International Education ◽

10.1177/1028315316662980 ◽

2016 ◽

Vol 21 (2) ◽

pp. 83-104 ◽

Cited By ~ 5

Author(s):

Jason M. S. Lam ◽

David Yoon Kin Tong ◽

Ahmad Azmi M. Ariffin

Keyword(s):

Higher Education ◽

International Students ◽

International Education ◽

Risk Reduction ◽

Perceived Risk ◽

Demographic Factors ◽

Purchase Behavior ◽

Reduction Strategies ◽

Risk Reduction Strategies ◽

Post Purchase

While past studies have merely focused on perceived risks that influence how students select the destination of international education best suited to their needs, research on perceived risk regarding post-purchase behavior remains limited. This study attempts to extend and redefine the perceived risk paradigm by uncovering the underlying elements of perceived risk among international students who are studying in Malaysian universities. Furthermore, it seeks to explore how demographic factors and risk reduction strategies can be applied to the perception of risk. Results for a sample group of 515 international students reveal that there are seven dimensions of perceived risk. Of all demographic factors tested, only place of residence (while studying in Malaysia) was found to influence perceived risk. Seeking information from the relevant authorities, proper savings plans, well organized study schedules, and advice from family members or peers are considered important to reduce students’ perceptions of risk. This implies that perceived risk theory could also be applied to the higher education context in the post-purchase behavior.

Download Full-text