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Have Structural Issues Placed New Zealand's Hospitality Industry beyond Price?

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  • John P. Moriarty

    (Victoria Management School, PO Box 600, Victoria University of Wellington, Wellington 6140, New Zealand)

Abstract

Hospitality is a principal tourism characteristic group, yet its recent economic performance in New Zealand has not been exemplary. Increased hospitality prices have been advocated, unsuccessfully, for many years as a means of improving economic performance. This paper compares economic sustainability measures between divisions of New Zealand's hospitality industry and national tourism exemplars. Data envelopment analysis (DEA) is used to establish relative technical efficiencies and capacity utilization of hospitality divisions. The outcome correlates indicators of economic sustainability and the capacity utilization of hospitality division resources to suggest that improved performance requires strategies beyond those entailing price increases.

Suggested Citation

  • John P. Moriarty, 2010. "Have Structural Issues Placed New Zealand's Hospitality Industry beyond Price?," Tourism Economics, , vol. 16(3), pages 695-713, September.
    • Handle: RePEc:sae:toueco:v:16:y:2010:i:3:p:695-713
    DOI: 10.5367/000000010792278428
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    References listed on IDEAS

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    1. Stavins, Robert N. & Wagner, Alexander F. & Wagner, Gernot, 2003. "Interpreting sustainability in economic terms: dynamic efficiency plus intergenerational equity," Economics Letters, Elsevier, vol. 79(3), pages 339-343, June.
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    4. Pfeffer, Jeffrey, 1997. "New Directions for Organization Theory: Problems and Prospects," OUP Catalogue, Oxford University Press, number 9780195114348.
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    Cited by:

    1. Lorenzo Masiero & Juan L. Nicolau, 2012. "Price Sensitivity to Tourism Activities: Looking for Determinant Factors," Tourism Economics, , vol. 18(4), pages 675-689, August.
    2. Kristiaan Kerstens & Jafar Sadeghi & Ignace Van de Woestyne & Linjia Zhang, 2022. "Malmquist productivity indices and plant capacity utilisation: new proposals and empirical application," Annals of Operations Research, Springer, vol. 315(1), pages 221-250, August.
    3. Claudio Detotto & Manuela Pulina & Juan Brida, 2014. "Assessing the productivity of the Italian hospitality sector: a post-WDEA pooled-truncated and spatial analysis," Journal of Productivity Analysis, Springer, vol. 42(2), pages 103-121, October.
    4. Fukuyama, Hirofumi & Song, Yao-yao & Ren, Xian-tong & Yang, Guo-liang, 2022. "Using a novel DEA-based model to investigate capacity utilization of Chinese firms," Omega, Elsevier, vol. 106(C).
    5. Fukuyama, Hirofumi & Liu, Hui-hui & Song, Yao-yao & Yang, Guo-liang, 2021. "Measuring the capacity utilization of the 48 largest iron and steel enterprises in China," European Journal of Operational Research, Elsevier, vol. 288(2), pages 648-665.

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