Academic journal article Journal of Management Research

Linking Entrepreneurial Marketing and Performance Indicators in Jordanian Hotel Industry

Academic journal article Journal of Management Research

Linking Entrepreneurial Marketing and Performance Indicators in Jordanian Hotel Industry

Article excerpt

Abstract

The purpose of this paper is to explore the relationship between entrepreneurial marketing (EM) and performance indicators namely; service quality, competition, costs reduction and customer satisfaction in Jordanian hotels. A stratified sample of 28 hotels which are located in the most touristic cities in Jordan: Amman, Petra, Aqaba and Dead Sea are selected to answer a questionnaire by their marketing managers. The results showed that there is a strong positive relationship between the entrepreneurial marketing and the performance indicators in Jordanian hotels.

Keywords: Entrepreneurial marketing, Entrepreneurial orientation, Performance, Jordan

1. Introduction

Hotel business is one of the important sectors of an economy; this sector is highly influenced by the rapid changes in the external environment, especially demographic, economic, and technological forces. These changes are prominent and are affecting the way hotels do marketing in order to meet the increasing wants and demands of the customers (Morrison and Taylor 2000). The continuous increase of population activities has led to increase in demand by clients; this resulted in an increase of the investment in this sector. However, it is becoming very difficult now to increase individual market share by adhering to conventional marketing methods. Hotel managers are working hard to improve their performance by widening the base activities and raise its market share by utilizing the technological revolution and the innovative marketing methods. This study is dealing with entrepreneurial marketing elements as a key to develop Jordanian hotel industry.

Tourism is one of Jordan GNP pillars; it is a main contributor to the hotel industry development. Lately, Jordan has witnessed great expansion of investments in constructing luxurious world class hotels in Amman, Aqaba, Petra and the Dead Sea. There is no doubt that the drop in the numbers of tourists has a negative effect on hotel industry especially after the 2011 financial crisis accompanied by the political unrest in the neighboring countries of the middle east, some hotels are looking for adopting entrepreneurial marketing approaches to meet potential challenges and obstacles in the surrounding environment in their struggle to survive in these conditions (Wikipedia, the free encyclopedia).

2. Literature Review

2.1 Entrepreneurial orientation

The importance of entrepreneurial activity for economic growth has been emphasized by the economist Joseph Schumpeter (1942) through "creative destruction". He labeled creative destruction the essential fact of capitalism, moving in a dynamic way to generate new markets, new consumer goods, new production methods, or new forms of industrial organization that advance the economy. Miller (1983) appears to offer the earliest operationalization of the entrepreneurial orientation. According to Miller an entrepreneurial firm is one that engages in product-market innovation, undertakes somewhat risky ventures and is first to come up with proactive innovations, beating competitors to the punch. So Entrepreneurial organizations are those in which particular behavioral patterns are recurring. These patterns pervade the organization at all levels and reflect the top managers' overall strategic philosophy on effective management practice. In other words entrepreneurial posture is a behavioral phenomenon; it can be managed and used in many management fields. EO is a firm-level construct that is closely linked to strategic management and the strategic decision making process. Lumpkin and Dess 1996 have gone a long way toward helping to define the five dimensions of an entrepreneurial orientation; autonomy, innovativeness, risk taking, proactiveness, and competitive aggressiveness have been useful for characterizing and distinguishing key entrepreneurial processes.

2.2 Entrepreneurial marketing

Entrepreneurial marketing is considered a recent concept because it has evolved over more than two decades and there is no integrated analysis or comprehensive theory of entrepreneurial marketing. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.