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Entry mode choice in the internationalisation of the hotel industry: a holistic approach

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  • Fidel León-Darder
  • Cristina Villar-García
  • José Pla-Barber

Abstract

This paper empirically investigates the entry mode choice in the hotel industry. Based on more than 1200 entry decisions, which covers practically all operations carried out by the majority of Spanish hotel chains up to 2009, the study attempts to (a) identify the factors that influence the mode choice of incorporating each new hotel within the chain and (b) to reflect the specific nature of the hotel industry with regard to the results obtained from samples of other industries. The results suggest the importance of considering a holistic approach that facilitates the understanding of a complex phenomenon which is not always explained just by efficiency considerations. Additionally, the results show that some arguments used in manufacturing firms cannot be directly transferred to the hotel industry because unique characteristics of these special services condition the entry mode choice into international markets.

Suggested Citation

  • Fidel León-Darder & Cristina Villar-García & José Pla-Barber, 2010. "Entry mode choice in the internationalisation of the hotel industry: a holistic approach," The Service Industries Journal, Taylor & Francis Journals, vol. 31(1), pages 107-122, April.
  • Handle: RePEc:taf:servic:v:31:y:2010:i:1:p:107-122
    DOI: 10.1080/02642069.2010.485198
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    Cited by:

    1. Arvanitis, Spyros & Hollenstein, Heinz & Stucki, Tobias, 2016. "Does the explanatory power of the OLI approach differ among sectors and business functions? Evidence from firm-level data," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy (IfW), vol. 10, pages 1-46.
    2. Spyros Arvanitis & Heinz Hollenstein & Tobias Stucki, 2013. "Determinants of Internationalisation - Do they Differ among Sectors and Business Functions?," KOF Working papers 13-348, KOF Swiss Economic Institute, ETH Zurich.

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