The moderating role of brand diversification on the relationship between geographic diversification and firm performance in the US lodging industry

Kyung Ho Kang, Seoki Lee

Research output: Contribution to journalArticle

28 Scopus citations

Abstract

In spite of the prevalence and strategic importance of diversification for US lodging firms, research on the effects of diversification has been insufficient in the hospitality literature. Especially, an examination of the moderating effect of brand diversification on the relationship between geographic diversification and performance of US lodging firms has been lacking in the literature in various disciplines, including hospitality field thus far. This study aims to first investigate the individual effect from each of brand and geographic diversification strategy on firm performance in the US lodging industry. Further, to investigate effects of diversification comprehensively, this study examines the moderating effect of brand diversification on the relationship between geographic diversification and performance of US lodging firms. The study's results indicate a positive and significant effect of geographic diversification on firm performance, an insignificant effect of brand diversification, and a positive and significant moderating effect of brand diversification in the US lodging industry.

Original languageEnglish (US)
Pages (from-to)1-50
Number of pages50
JournalInternational Journal of Hospitality Management
Volume38
DOIs
StatePublished - Jan 1 2014

All Science Journal Classification (ASJC) codes

  • Tourism, Leisure and Hospitality Management
  • Strategy and Management

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