Big Data Analytics Capability and Firm Performance in the Hotel Industry: The Mediating Role of Organizational Agility

Abstract

The emergence of the Covid-19 pandemic and restrictions on international mobility have negatively impacted the tourism market. Tourism players, particularly the hotel industry, have turned to big data analytics to mitigate uncertainties and offer better products and services. Nonetheless, the central question for researchers and practitioners is how the usage of big data analytics can help the hotel industry improve firm performance. Drawing on the resource-based view and dynamic capability theories, this study analyses the relationship between big data analytics capability and firm performance in the hotel industry. This study expands the current research by examining the role of organizational agility in mediating the relationship between big data analytics capability and firm performance. To empirically test the research model, the author used survey data from 115 star-rated hotels throughout Malaysia. Through partial least square equation modeling, the findings revealed that big data analytics capability positively affects organizational agility and firm performance. The result also demonstrated that organizational agility mediates the relationship between big data analytics capability and firm performance. This study can also guide hoteliers to identify resources required to build big data analytics capability and further highlight the significance of organizational agility in improving firm performance in the hotel industry.

EXAMINING THE ROLE OF BUSINESS ANALYTICS CAPABILITY IN FIRMS' AGILITY & PERFORMANCE: EVIDENCE FROM MANUFACTURING SECTOR

“…Additionally, research shows the strategic relevance of data-based decisionmaking to organizational agility and competitiveness. As shown in previous research (Ganguly et al, 2022;Hussain et al, 2022;Idrees et al, 2022;Khalil et al, 2023), our study reaffirms the critical role of information quality, positively influences firm agility & positively affects firm performance.…”

“…In the rapidly changing commercial world of today, companies have to be flexible to quick progress in technology, fluctuations in market prices and customer preferences. This ability to respond and adjust quickly is called 'agility (Khalil, Aziz, Ariffin & Ngah, 2023). Agility is thus an essential trait in exploiting business analysis: output level of organizational agility and performance.…”

“…Functioning in corporate context where data drives decision making is paramount to staying ahead of the competition. The analysis of BAC is critical in making the strategic decision (Khalil, Aziz, Ariffin & Ngah, 2023). Furthermore, innovation has been linked to increased efficiency in operations and healthier overall outcomes for the organization (Tripathi & Kalia, 2022).…”

From Digital Platform Capabilities to Firm Performance

“…Moreover, this study makes a theoretical contribution by examining the effects of NC and FA on Saudi FP, building upon prior research conducted by Ahmed et al (2022), Akmalia & Astuti (2022), Ashrafi et al (2019), Bai et al (2023), Cenamor et al (2019), Ediansyah et al (2022), Khalil et al (2023), andWegner et al (2023). The study's results indicate that the use of leveraged NC by Saudi enterprises has the potential to enhance both their financial and market performance.…”

Eliciting the Pivotal Role of Sustainable Performance in Linking Organizational Agility with Institutional Excellence in Hotels and Egyptian Travel Agencies

“…According to Nyasha et al (2021), tourism is a significant economic activity that has a typically positive effect on employment and economic growth. In this regard, agile businesses will prosper in a worldwide business environment since they are more suited to boost revenue and attain organizational excellence (Holbeche, 2023;Khalil et al, 2023).…”