Peer-reviewed
Dynamics of pricing and non-pricing strategies, revenue management performance and competitive advantage in hotel industry
• Gaining of competitive advantage in hotel industries. • The influence of revenue management performance on competitive advantage. • Non-pricing strategies are often ignored, but this paper gives due importance to it. • The critical pricing and non-pricing strategies are identified. • The strategic managers of hotels can be benefited by the suggestions.
This research attempts to establish linkages between the dimensions of pricing and non-pricing strategies adopted in hotels in Qatar on the revenue management performance and the gaining of the competitive advantage in business. Nine of the prominently used pricing strategies and four of the non-pricing strategies commonly used in hotel industries have been considered. The research methodology uses interpretivist paradigm using SEM to test the 14 hypotheses with a sample size of 210 managers chosen from 20 five star hotels. Results indicated that hotels should closely monitor demand based pricing, optional product pricing, promotional pricing, and psychological pricing among pricing strategies and length of stay control in non-pricing strategies, as they have a significant relationship with revenue management performance which in turn can provide competitive advantage in business as revealed through the hypothesis testing. Implications have been drawn to benefit the strategic managers to enhance the revenue management performance
This research attempts to establish linkages between the dimensions of pricing and non-pricing strategies adopted in hotels in Qatar on the revenue management performance and the gaining of the competitive advantage in business. Nine of the prominently used pricing strategies and four of the non-pricing strategies commonly used in hotel industries have been considered. The research methodology uses interpretivist paradigm using SEM to test the 14 hypotheses with a sample size of 210 managers chosen from 20 five star hotels. Results indicated that hotels should closely monitor demand based pricing, optional product pricing, promotional pricing, and psychological pricing among pricing strategies and length of stay control in non-pricing strategies, as they have a significant relationship with revenue management performance which in turn can provide competitive advantage in business as revealed through the hypothesis testing. Implications have been drawn to benefit the strategic managers to enhance the revenue management performance
Article, 2019
International Journal of Hospitality Management, 82, 201909, 287
2019