Causal factors influencing the performance of hotel businesses in Nakhon Phanom Province
Keywords:
Causal factors, Customer focus, Service quality, Loyalty, Business performanceAbstract
This research aimed to study the effects of causal factors on the business performance of hotels in Nakhon Phanom province. A quantitative approach was employed, focusing on the relationships among customer orientation, service quality, customer loyalty, and business performance. The sample consisted of 398 customers who had previously used hotel services.The research instrument was a questionnaire, which was tested for reliability using Cronbach’s alpha coefficient, which yielded values between 0.72 and 0.80, indicating good internal consistency and reliability. Data were analyzed using descriptive statistics, Pearson’s correlation coefficient, and Structural Equation Modeling (SEM).The results revealed that customer orientation had a direct positive influence on customer loyalty, and customer loyalty had a direct positive influence on business performance. Furthermore, both customer orientation and service quality had indirect positive effects on business performance through customer loyalty. However, service quality did not have a statistically significant direct influence on customer loyalty.This may be because hotels in the area offer similar levels of service quality, making it a less significant differentiating factor for customer loyalty. The findings highlight the importance of customer orientation and the cultivation of customer loyalty as key drivers in enhancing hotel business performance.These insights can serve as a strategic guideline for marketing planning and service development, ultimately contributing to sustainable competitive advantage in the hotel industry.
References
Aburayya, A., Al Marzouqi, A., Alawadhi, D., Abdouli, F. and Taryam, M. 2020. An empirical investigation of the effect of employees’ customer orientation on customer loyalty through the mediating role of customer satisfaction and service quality. Management Science Letters. Vol. 10. No. 10. 2147-2158.
Akbari, P., Piri, A. and Charkhandaz, A. 2013. The Study Relationship between Perceptual Market Oientation in Customers and Their Loyalty in Banking Industry of Iran (Case Study: Mellat Bank of West Country). International Journal of Management and Humanity Sciences. Vol. 2. No. 1. 9-20.
Alrubaiee, L. and Al Nazer, N. 2010. Investigate the Impact of Relationship Marketing Orientation on Customer Loyalty: The Customer’s Perspective. International Journal of Marketing Studies. Vol. 3. No. 1. 103-127.
Assimakopoulos, C. and Papaioannou, P. 2011. Customer loyalty in the hotel industry: The impact of service quality and customer satisfaction. Journal of Hospitality Marketing and Management. Vol. 20 No. 3-4. 290-314.
Banmuang Online. 2023. Nakhon Phanom ranks first in tourism recovery in the Northeast, showing 132% post-COVID rebound. Retrieved May 12, 2024 from https://www.banmuang.co.th
Bank of Thailand. 2024. Economic and financial outlook 2024. Retrieved February 15, 2024 from https://www.bot.or.th/content/dam/bot/documents/en/our-roles/monetary-policy/mpc-publication/monetary-policy-report/MPR_2024_Q4.pdf
Boston Consulting Group (BCG). 2024.Loyalty programs: Why customer expectations keep growing.Retrieved May 5, 2024 from https://www.bcg.com/publications/2024/loyalty-programs-customer-expectations-growing
Brady, M. K. and Cronin, J. J. 2001. Some new thoughts on conceptualizing perceived service quality: A hierarchical approach. Journal of Marketing. Vol. 65. No. 3. 34–49.
Chi, C. G.-Q. and Qu, H. 2008. Examining the structural relationships of destination image, tourist satisfaction and destination loyalty: An integrated approach. Tourism Management. Vol. 29. No. 4. 624–636.
Donovan, H. A. 2004. Service quality and its effect on customer satisfaction and customer behavioral intentions: Hotel and ryokan guests in Japan. Asia Pacific Journal of Tourism Research. Vol. 9. No. 2. 190-202.
Drucker, P. F. 1998. The Practice of Management. New York : Harper and Row
Ergün, H. S. and Kuşcu, Z. K. 2013. Innovation orientation, market orientation and e‑loyalty: Evidence from Turkish e‑commerce customers. Procedia – Social and Behavioral Sciences. Vol. 99. 509–516.
Hair, J. F., Black, W. C., Babin, B. J. and Anderson, R. E. 2010. Multivariate data analysis: A global perspective. 7th Ed. Upper Saddle River, NJ: Person Prentice Hall.
Han, H. and Hyun, S. S. 2015. Customer retention in the medical tourism industry: Impact of quality, satisfaction, trust, and price reasonableness. Tourism Management. Vol. 46. 20-29.
Hospitality Technology. 2024. Elevating hotel loyalty programs: Insights to capture and retain customer loyalty. Retrieved May 5, 2024 from https://hospitalitytech.com/elevating-hotel-loyalty-programs-insights-capture-and-retain-customer-loyalty
Idenedo, W. O. and Ebenuwa, A. 2022. Contact employee rewards system and customer loyalty of healthcare firms in South‑South, Nigeria. International Journal of Management and Marketing Systems. Vol. 14. No. 1. 9–28.
Ivanauskiene, N. and Auruskevicien, V. 2009. Influence of customer perceived value on loyalty: An empirical investigation in retail banking industry. Inzinerine Ekonomika-Engineering Economics. Vol. 1. No. 61. 101–108.
Joviando, J. and Kurniawati, K. 2022. The Effects of Overall Service Quality, Customer Value, Customer Trust and Customer Satisfaction on Customer Loyalty in the Hotel Industry. Jurnal Ekonomi, Bisnis and Entrepreneurship. Vol. 16. No. 2. 156–169
Kandampully, J. and Suhartanto, D. 2000. Customer loyalty in the hotel industry: The role of customer satisfaction and image. International Journal of Contemporary Hospitality Management. Vol. 12. No. 6. 346–351.
Kasikorn Research Center. 2024. Hotel business operation plan for 2024. Retrieved January 20, 2024 from https://www.kasikornresearch.com/en/analysis/k-econ/business/Pages/Hotel-CIS3489-08-05-2024.aspx
Kesari, B. and Atulkar, S. 2016. Satisfaction of shopping experience, customer satisfaction, and store loyalty: A study of organized retail in India. International Journal of Retail and Distribution Management. Vol. 44. No. 9. 914–930.
Kheng, L. L., Mohamad, O., Ramayah, T. and Rahim, M. 2010. The Impact of Service Quality on Customer Loyalty: A Study of Banks in Penang, Malaysia. International Journal of Marketing Studies. Vol. 2. No. 2. 57-66.
Kihara, A. S. N. and Ngugi, G. K. 2014. Factors Influencing Customer Loyalty in Telecommunication Industry in Kenya. International Journal of Social Sciences and Entrepreneurship. Special Issue 2. 14-29.
Liang, L. 2008. The Determining Factors of Customer Loyalty for Luxury Hotels in US. The Journal of International Management Studies. Vol. 3. No. 2. 167-175.
Liao, P. and Hsieh, J. 2011. What Influences Internet based Learning?. Social Behavior and Personality: An International Journal. Vol. 39. 887-896.
Macintosh, G. and Lockshin, L. S. 1998. Retail Relationships and Store Loyalty: A Multilevel Perspective. International Journal of Research in Marketing. Vol. 14. 487-498.
Ministry of Tourism and Sports. 2023. Tourism policy of Nakhon Phanom Province.Retrieved March 22, 2023 from https://www.tourismthailand.org/Destinations/Provinces/Nakhon-Phanom/579
Ministry of Tourism and Sports. 2024. Tourism Development Plan 2024. Retrieved January 10, 2024 from https://www.mots.go.th/en/publication/3rd-national-tourism-development-plan-2023-2027.pdf
Mohammad, A. A., Rashid, B. B. and Tahir, S. B. 2013. Assessing the influence of customer relationship management (CRM) dimensions on organization performance An empirical study in the hotel industry. Journal of Hospitality and Tourism Technology. Vol. 4. No. 3. 228-247.
Molina, R. S., Tran, T. M., Campbell, R. E., Lambert, G. G., Salih, A., Shaner, N. C. and Hughes, T. E. 2017. Blue-shifted green fluorescent protein homologues are brighter than enhanced green fluorescent protein under two-photon excitation. The Journal of Physical Chemistry Letters. Vol. 8. No. 12. 2548–2554
Narver, J. C. and Slater, S. F. 1990. The effect of a market orientation on business profitability. Journal of Marketing. Vol. 54. No. 4. 20–35.
Nunnally, J. C. 1978. Psychometric theory. 2nd Ed. McGraw-Hill.
Parasuraman, A., Zeithaml, V. A. and Berry, L. L. 1988. SERVQUAL: A Multiple item Scale for Measuring Consumer Perceptions of Service Quality. Journal of Retailing. Vol. 64. No. 1. 12-37.
Pong, L. T. and Yee, T. P. 2001. An Integrated Model of Service Loyalty. International Conferences Brussels. 1-26.
Profit Optics. 2024. Your loyalty programs are failing because you don’t know your guests. Retrieved May 5, 2024 from https://www.profitoptics.com/blog/your-loyalty-programs-are-failing-because-you-dont-know-your-guests
Public Relations Department. 2024. Publicizing traditions. Retrieved January 20, 2024 from https://www.prd.go.th/th/page/item/index/id/1
Rauyruen, P. and Miller, K.E. 2007. Relationship quality as a predictor of B2B customer loyalty. Journal of Business Research. Vol. 60. No. 1. 21-31.
Schumacker, R. E. and Lomax, R. G. 2010. A Beginner’s Guide to Structural Equation Modeling. 3rd Ed. New Jersey: Lawrence Earlbaum.
Srivastava, R. K., Shervani, T. A. and Fahey, L. 2000. Market based Assets and Shareholder Value: A Framework for Analysis. Journal of Marketing. Vol. 62. No. 1. 2-18.
Tourism Authority of Thailand. 2024. Tourism Situation 2024. Retrieved March 15, 2024 from https://www.tourismthailand.org/thailand-tourism-report
Wantara, P. and Tambrin, M. 2019. The effect of price and product quality towards customer satisfaction and customer loyalty on Madura batik. International Tourism and Hospitality Journal. Vol. 2. No. 1. 1-9.
Webb, D., Webster, C. and Krepapa, A. 2000. An Exploration of the Meaning and Outcomes of a Customer defined Market Orientation. Journal of Business Research. Vol. 48. 101-112.
World Bank. 2024. Global Economic Prospects, January 2024. Retrieved February 5, 2024 from https://openknowledge.worldbank.org/en/doc/661f109500bf58fa36a4a46eeace6786-0050012024/original/GEP-Jan-2024.pdf
Zeithaml, V. A., Berry, L. L. and Parasuraman, A. 1996. The behavioral consequences of service quality. Journal of Marketing. Vol. 60. No. 2. 31–46.
Zhang, J. A. and Walton, S. 2016. Caught in the middle: The role of the customer in sustainable business. Journal of Business Ethics. Vol. 136. No. 2. 307–320.
Additional Files
Published
Issue
Section
License
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
ข้อความ ข้อคิดเห็น ข้อมูล เนื้อหา รูปภาพ แผนภูมิ แผนผัง เป็นต้น ที่ปรากฏและแสดงในบทความต่างๆ ในวารสารบริหารธุรกิจเทคโนโลยีมหานคร ถือเป็นความรับผิดชอบโดยตรงของผู้เขียนบทความนั้นๆ มิใช่เป็นความรับผิดชอบใดๆ ของวารสารบริหารธุรกิจเทคโนโลยีมหานคร และมหาวิทยาลัยเทคโนโลยีมหานคร
บทความที่ตีพิมพ์ในวารสารบริหารธุรกิจเทคโนโลยีมหานคร ถือเป็นลิขสิทธิ์เฉพาะของคณะบริหารธุรกิจ มหาวิทยาลัยเทคโนโลยีมหานคร หากบุคคลหรือหน่วยงานใดต้องการนำทั้งหมดหรือส่วนใดส่วนหนึ่งไปเผยแพร่ต่อหรือเพื่อกระทำการใดๆ จะต้องได้รับการอนุญาตเป็นลายลักษณ์อักษรจากคณะบริหารธุรกิจ มหาวิทยาลัยเทคโนโลยีมหานครก่อนเท่านั้น
