IDEAS home Printed from https://ideas.repec.org/a/sae/toueco/v28y2022i1p44-61.html
   My bibliography  Save this article

Does hotel class moderate the impact of crime on operating performance?

Author

Listed:
  • Yang Yang

    (250673Temple University, USA)

  • Nan Hua

    (193760University of Central Florida, USA)

Abstract

Hotel guests are more likely to be targeted by criminals than local residents, and the hotel business is particularly vulnerable to various crimes. This study investigates whether guests prefer to stay at luxury hotels when in insecure neighborhoods to reduce the risk of victimization. Using monthly property-level data from 352 hotels between 2010 and 2014 in Houston, Texas, we estimate a series of econometric models to investigate the impact of crime. Results suggest that hotel class moderates the effect of crime on lodging performance, and high-end hotels are less influenced by crime incidents. For luxury hotels, this effect is further moderated by the lodging market structure of vicinity such that the effect is smaller for luxury hotels in a more concentrated market. Lastly, this study carefully addresses theoretical implications that confirm the routine activities theory framework as well as practical implications that suggest measures and strategies handling various impacts related to crime and hotel class studied herein.

Suggested Citation

  • Yang Yang & Nan Hua, 2022. "Does hotel class moderate the impact of crime on operating performance?," Tourism Economics, , vol. 28(1), pages 44-61, February.
    • Handle: RePEc:sae:toueco:v:28:y:2022:i:1:p:44-61
    DOI: 10.1177/1354816620949040
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/1354816620949040
    Download Restriction: no
    File URL: https://libkey.io/10.1177/1354816620949040?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Bianca Biagi & Claudio Detotto, 2020. "Crime as Tourism Externality," Regional Studies, Taylor & Francis Journals, vol. 48(4), pages 693-709, July.
    2. Yang, Yang & Mao, Zhenxing (Eddie), 2017. "Do independent hotels benefit from the presence of branded ones?," Journal of Business Research, Elsevier, vol. 76(C), pages 108-117.
    3. Allen Lynch & David Rasmussen, 2001. "Measuring the impact of crime on house prices," Applied Economics, Taylor & Francis Journals, vol. 33(15), pages 1981-1989.
    4. Hausman, Jerry, 2015. "Specification tests in econometrics," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 38(2), pages 112-134.
    5. Victor Motta, 2017. "The impact of crime on the performance of small and medium-sized enterprises," Tourism Economics, , vol. 23(5), pages 993-1010, August.
    6. Willem A. Naudé & Andrea Saayman, 2005. "Determinants of Tourist Arrivals in Africa: A Panel Data Regression Analysis," Tourism Economics, , vol. 11(3), pages 365-391, September.
    7. Junichi Suzuki, 2013. "Land Use Regulation As A Barrier To Entry: Evidence From The Texas Lodging Industry," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 54(2), pages 495-523, May.
    8. George, Richard, 2010. "Visitor perceptions of crime-safety and attitudes towards risk: The case of Table Mountain National Park, Cape Town," Tourism Management, Elsevier, vol. 31(6), pages 806-815.
    9. Arellano, Manuel, 2003. "Panel Data Econometrics," OUP Catalogue, Oxford University Press, number 9780199245291, Decembrie.
    10. Hua, Nan & Yang, Yang, 2017. "Systematic effects of crime on hotel operating performance," Tourism Management, Elsevier, vol. 60(C), pages 257-269.
    11. Yair Eilat & Liran Einav, 2004. "Determinants of international tourism: a three-dimensional panel data analysis," Applied Economics, Taylor & Francis Journals, vol. 36(12), pages 1315-1327.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hua, Nan & Yang, Yang, 2017. "Systematic effects of crime on hotel operating performance," Tourism Management, Elsevier, vol. 60(C), pages 257-269.
    2. Neelu Seetaram & Sylvain Petit, 2012. "Panel data analysis in Tourism Research," Post-Print hal-01831529, HAL.
    3. Geweke, J. & Joel Horowitz & Pesaran, M.H., 2006. "Econometrics: A Bird’s Eye View," Cambridge Working Papers in Economics 0655, Faculty of Economics, University of Cambridge.
    4. Amiri, Hossein & Samadian, Farzaneh & Yahoo, Masoud & Jamali, Seyed Jafar, 2019. "Natural resource abundance, institutional quality and manufacturing development: Evidence from resource-rich countries," Resources Policy, Elsevier, vol. 62(C), pages 550-560.
    5. Juan L. Eugenio-Martin & Noelia Martín-Morales & M. Thea Sinclair, 2008. "The Role of Economic Development in Tourism Demand," Tourism Economics, , vol. 14(4), pages 673-690, December.
    6. Mehmood, Shafaqat & Ahmad, Zahid & Khan, Ather Azim, 2016. "Dynamic relationships between tourist arrivals, immigrants, and crimes in the United States," Tourism Management, Elsevier, vol. 54(C), pages 383-392.
    7. Boopen Seetanah & Jameel Khadaroo, 2009. "An Analysis of the Relationship between Transport Capital and Tourism Development in a Dynamic Framework," Tourism Economics, , vol. 15(4), pages 785-802, December.
    8. Ana Angulo & Jesús Mur & Javier Trivez, 2014. "Measure of the resilience to Spanish economic crisis: the role of specialization," Economics and Business Letters, Oviedo University Press, vol. 3(4), pages 263-275.
    9. Cheng Hsiao, 2007. "Panel data analysis—advantages and challenges," TEST: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer;Sociedad de Estadística e Investigación Operativa, vol. 16(1), pages 1-22, May.
    10. María Angeles García Valiñas, 2005. "Promotion and remuneration of university professors: from the LRU to the COU," Hacienda Pública Española / Review of Public Economics, IEF, vol. 172(1), pages 119-143, June.
    11. Berit Gerritzen, 2016. "Women's Empowerment and HIV Prevention in Rural Malawi," Feminist Economics, Taylor & Francis Journals, vol. 22(3), pages 1-25, July.
    12. F. Di Lascio & Simone Giannerini & Antonello Scorcu & Guido Candela, 2011. "Cultural tourism and temporary art exhibitions in Italy: a panel data analysis," Statistical Methods & Applications, Springer;Società Italiana di Statistica, vol. 20(4), pages 519-542, November.
    13. Omkar Joshi & Neelam C. Poudyal & Lincoln R. Larson, 2017. "The influence of sociopolitical, natural, and cultural factors on international tourism growth: a cross-country panel analysis," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 19(3), pages 825-838, June.
    14. Alexandre Momparler & Francisco Climent & Jose Ballester, 2012. "The impact of scale effects on the prevailing internet-based banking model in the US," Service Business, Springer;Pan-Pacific Business Association, vol. 6(2), pages 177-195, June.
    15. Yang, Chih-Hai & Lin, Hui-Lin & Han, Chia-Chun, 2010. "Analysis of international tourist arrivals in China: The role of World Heritage Sites," Tourism Management, Elsevier, vol. 31(6), pages 827-837.
    16. Mayer, Alexander, 2022. "On the local power of some tests of strict exogeneity in linear fixed effects models," Econometrics and Statistics, Elsevier, vol. 24(C), pages 49-74.
    17. Badi H. Baltagi, 2021. "Dynamic Panel Data Models," Springer Texts in Business and Economics, in: Econometric Analysis of Panel Data, edition 6, chapter 0, pages 187-228, Springer.
    18. Bernardo Bortolotti & Carlo Cambini & Laura Rondi & Yossi Spiegel, 2011. "Capital Structure and Regulation: Do Ownership and Regulatory Independence Matter?," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 20(2), pages 517-564, June.
    19. Pillai N., Vijayamohanan, 2016. "Panel Data Analysis with Stata Part 1 Fixed Effects and Random Effects Models," MPRA Paper 76869, University Library of Munich, Germany.
    20. Johan Fourie & María Santana-Gallego, 2013. "The determinants of African tourism," Development Southern Africa, Taylor & Francis Journals, vol. 30(3), pages 347-366, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:toueco:v:28:y:2022:i:1:p:44-61. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.