Open innovation solution: new model in the hospitality industry

Abstract

Purpose The primary purpose of this study is to provide a new model in the hospitality industry by incorporating open innovation (OI) as a significant business performance (BP) supporter. This study aims to examine OI’s role in fostering SI and BP in Malaysia’s hospitality industry. Design/methodology/approach Quantitative research approach with a cross-sectional design is used to carry out the current study. A questionnaire survey is conducted. A total of 201 valid responses were used to analyze the data through Smart PLS 3 structural equation modeling. The study sample comprises the managerial employees of hospitality companies. Findings The findings of this study revealed that OI has a crucial contribution to fostering service innovation (SI) and BP. Information and communication technology (ICT) increases external knowledge and internal innovation, which in turn increases knowledge management (KM). ICT intensifies KM in result, OI increases, which contribute expediting SI. Finally, increases in SI boost BP. Practical implications This study provides a comprehensive framework to boost hospitality industry performance. It gives vital cues to the hospitality industry for SI improvement and BP. This proposed framework is specific to the hospitality industry, and it has the potential to help the managers to have a better understanding of new ideas that can develop service quality and customer satisfaction. Originality/value This is one of the pioneer studies that formally documented OI’s role in Malaysia hospitality industry. This pioneering study provides the OI model for BP of the hospitality industry. Regarding the OI in the hospitality industry, managers’ and academicians’ implication is not well understood in the current literature.

Technology and Innovation: Analyzing the Heterogeneity of the Hotel Guests’ Behavior

“…The recent literature has pointed out the many advantages that ICT adoption might bring to businesses: more customer satisfaction; higher loyalty; better communication and interaction; enhanced knowledge management; improved customer services and company performance, e.g., [8,11,16,31,32]. Furthermore, digitalization, as ICT implementation, has been recognized as a relevant aspect of the innovation process of companies and one of the main priorities on the agendas of most businesses [15,16], including hospitality ones [8]. In Appendix A, we review several recent empirical studies on ICT perception by the consumer to draw insights into technology's impact on tourism, particularly in the hotel context.…”

“…From the marketing perspective, ICT plays a key role in the way companies interact and relate with their clients [15,19] and simplifies the information searching by consumers, especially in the tourism sector [8,10]. Notwithstanding, further refinement of the ICT concept is needed regarding its perception by consumers [10,33].…”

“…There is still an open debate regarding the most effective criteria for market segmentation that is highly important to all businesses [4][5][6], particularly to the hospitality market [7,8]. Indeed, customer segmentation has evolved into a central concept in marketing [1], with numerous companies employing segmentation strategies to enhance customer satisfaction.…”

“…In the prepurchase stage in the lodging industry, clients search for information to reduce the potential post-booking risks, considering eWOM as a source facilitating future decision making [4,7,13,17,18]. In this sense, eWOM represents a digital tool for consumer-generated and consumer-related communication about the brand crucial to companies [8]. The hospitality industry is, indeed, one of the biggest providers of consumer-generated communication thanks to modern platforms such as TripAdvisor, Trivago, Facebook, and Booking.…”

Operational Level Big Data Management Capabilities and Innovation: A Case Study of Hotel Industry of Lahore, Pakistan

“…The hotel industry is facing severe competition and is coping with new facilities and products to satisfy their customer through innovation (Bravo, Catalán, & Pina, 2021;Iglesias-Sánchez, López-Delgado, Correia, & Jambrino-Maldonado, 2020;Li, Qu, & Wei, 2021) and success of hotel industry depends on customers satisfaction through catering their needs with improved quality of facilities (Hameed et al, 2022). Similarly, Kankam-Kwarteng et al (2022) examined the culture of hotel industry and emphasized the impact of knowledge creation to create innovative ideas for new cost effective services to customers.…”