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Leakage, entrepreneurship, and satisfaction in hospitality

Author

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  • Jose Luis Galdon
  • Fernando Garrigos
  • Ignacio Gil-Pechuan

Abstract

Tourism is a very important tool for economic development. However, its economic effects are mainly conditioned by the level of leakage. This work defines leakage, provides an original evaluation of the entrepreneurial environment in showing that it is the one with the lowest level of leakage, and creates a new framework. It also measures leakage in an innovative way using a quantitative approach. In addition, the paper explores and shows how leakage can affect critical business factors, such as customer and employee satisfaction. The empirical study uses structural equations and data from hotels in the Valencian Region (Spain) to show how important leakage is in making businesses more competitive. The results confirm the new model and are of interest for company managers and public organizations.

Suggested Citation

  • Jose Luis Galdon & Fernando Garrigos & Ignacio Gil-Pechuan, 2013. "Leakage, entrepreneurship, and satisfaction in hospitality," The Service Industries Journal, Taylor & Francis Journals, vol. 33(7-8), pages 759-773, May.
  • Handle: RePEc:taf:servic:v:33:y:2013:i:7-8:p:759-773
    DOI: 10.1080/02642069.2013.740464
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    Cited by:

    1. Aizhan Tleuberdinova & Zhanat Shayekina & Dinara Salauatova & Stephen Pratt, 2021. "Macro-economic Factors Influencing Tourism Entrepreneurship: The Case of Kazakhstan," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 30(1), pages 179-209, March.
    2. Yeamduan Narangajavana & Tomas Gonzalez-Cruz & Fernando J. Garrigos-Simon & Sonia Cruz-Ros, 2016. "Measuring social entrepreneurship and social value with leakage. Definition, analysis and policies for the hospitality industry," International Entrepreneurship and Management Journal, Springer, vol. 12(3), pages 911-934, September.

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