Although the tourism industry in Albania has had an impressive growth in the last years, it is currently facing several challenges. This study examines the determinants of Albanian tourism small and medium-sized enterprise (SME) performance. More specifically, the direct effects of customer orientation (CO) on performance and its indirect effects mediated by innovativeness and innovation behavior are investigated. Quantitative data from a survey conducted on 211 Albanian tourism SMEs, together with qualitative information gathered from personal interviews, are considered. Results indicate that CO has a direct positive impact not only on performance but also on both innovativeness and innovation behavior. However, none of these two dimensions of innovation play a mediating role in the relationship between CO and performance. Implications from these findings are discussed.

Though SMEs play a crucial role in countries' economic development, some of them succeed and others fail during their life cycle. In this regard, managers/owners continually have to identify the most significant factors that influence performance management. In addition, this is crucial for developing countries such as Albania, wherein such studies are lacking, furthermore, tourism sector is experiencing very fast development. Therefore, the purpose of this study is to empirically investigate the interplay of innovativeness, innovation behavior and SMEs' performance indicators. Exploiting face-to-face techniques, data for 211 valid cases have been gathered from Albanian tourism SMEs. By using SEM statistical methodology, the results indicate that innovativeness significantly affects innovation behavior. While innovativeness does not affect SMEs performance directly, its significant effects are indirect, through the mediation role of innovation behavior. Regarding innovation behavior, the results indicate that the more tourism's SMEs innovate in terms of ICT, cooperation (associations, networks etc.), the more their performance will positively increase. Operationalization of the vague term of innovation is a contribution to the literature. Finally, other theoretical and managerial contributions of this study are discussed.

Purpose The purpose of this study is to investigate the interplay of skill-enhancing human resources (HR) practices, innovativeness and firm performance. Design/methodology/approach Data from 211 valid cases were gathered through an online survey and face-to-face interviews with Albanian tourism firms. Structural equation modeling was implemented to test the proposed hypotheses. Findings The results suggest that HR training has a positive influence on innovativeness, which in turn affects positively firm performance. Thus, there is a mediation effect of innovativeness in the link between training and performance. Research limitations/implications The findings are in line with the strategic perspective on HR management, which suggests that HR practices are likely to indirectly affect firm performance. However, results should be interpreted with caution due to the cross-sectional nature of the data. Practical implications HR training practices may help tourism firms to increase their innovation orientation and ultimately improve their performance outcomes. Originality/value Investigating the mediation role of innovativeness on the relationship between skill-enhancing HR practices and firm performance within the tourism context is the core contribution.

Purpose The purpose of this paper is to examine the interplay of skill-enhancing human resources practices, customer orientation (CO) and tourism small- and medium-sized enterprises (SMEs) performance indicators. Design/methodology/approach Data for 194 valid cases are gathered through face-to-face techniques in Albanian tourism SMEs. Structural equation modeling is implemented to analyze data and test the hypothesis proposed. Findings Overall, both skill-enhancing human resources (HR) practices (i.e. recruitment/selection and training) are not associated with SMEs performance. Results suggest that using HR selection/recruitment practices are not associated to SME’s CO. Contrary, implementing skill-enhancing HR training practices is significant for SMEs strategy to focus and address customers’ wants and needs. Finally, it was found that the CO mediates the relationship between skill-enhancing HR training practices and performance, but this was not true on the skill-enhancing HR recruitment/selection practices-performance relationship. Originality/value This study makes contributions by further informing the debate about the direct and indirect link between skill-enhancing HR practices and performance. Additionally, it examines the precise role of the skill-enhancing HR practice on SMEs’ culture and or strategy to create value for customers.

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