Open AccessTHE STRATEGIC CHOICES IN ACHIEVING TOURISM'S COMPETITIVENESS AND PERFORMANCE AMONG HOTELS IN INDONESIA
Author(s) -
Alim Syariati,
Muhammad Yunus Amar,
Namla Elfa SYARIATI
Publication year - 2021
Publication title -
geo journal of tourism and geosites
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.377
H-Index - 12
eISSN - 2065-1198
pISSN - 2065-0817
DOI - 10.30892/gtg.38429-763
Subject(s) - business , tourism , interview , externality , competence (human resources) , marketing , resource (disambiguation) , formative assessment , core competency , strategic management , industrial organization , process management , knowledge management , economics , computer science , management , microeconomics , psychology , computer network , pedagogy , political science , law
The current debate between external strategy and a resource-based approach as a driver of competitiveness is rarely investigated in a developing region. This study investigates whether an external focus or a resource-based strategy is better for leveraging the hotel industry's competitiveness and performance in a developing area in Indonesia. The authors obtained saturated responses from 204 managers and analyzed them with PLS-SEM's two-stage and repeated indicator approach while interviewing some of them. This study developed a formative model in PLS-SEM as a better method for investigating an organization's performance than a reflective approach. Quantitative analysis revealed the resource-based view as a better basis for supporting hotels' competitiveness and performance; however, the interview revealed considerable concerns over arising externalities. This paper suggests that hotel managers improve their internal core competence instead of wasting resources and worrying about external issues.