Make or buy in the hotel marketing department: transaction costs, financial and relational performance

Authors

  • Tomás Fco. Espino-Rodríguez University of Las Palmas de Gran Canaria
  • Manuel Rodríguez-Díaz University of Las Palmas de Gran Canaria

DOI:

https://doi.org/10.18089/

Keywords:

outsourcing, marketing and sales, hotel sector, transaction cost, financial, relational

Abstract

The outsourcing of hotel marketing is one of the strategic decisions that can help hotels manage the distribution channels more efficiently. This work analyzes the factors determining the outsourcing of hotel sales and marketing activities. It uses the transaction costs framework, complemented by the analysis of performance costs and quality. In this context, the possible impact of outsourcing the marketing department on the relational and financial performance is analyzed. The results of the study clearly show a close relationship between those variables and current outsourcing. In addition, the increase in outsourcing is determined by low relational quality. These results lead to the conclusion that it is necessary to create new systems and procedures in sales and marketing activities to offer new competitive solutions by means of outsourcing.

Author Biography

  • Tomás Fco. Espino-Rodríguez, University of Las Palmas de Gran Canaria
    Department Business and Economics

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Published

31.01.2017

Issue

Section

Tourism/Hospitality: Research Papers

How to Cite

Espino-Rodríguez, T. F., & Rodríguez-Díaz, M. (2017). Make or buy in the hotel marketing department: transaction costs, financial and relational performance. Tourism & Management Studies, 13(1), 7-17. https://doi.org/10.18089/

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