Browsing by Author "Evans, Michael R."

Now showing 1 - 10 of 10
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    Acquisitions and shareholder wealth effects: the case of the hospitality industry
    Kwansa, Francis A. (Virginia Tech, 1994-05-05)
    The phenomenon of acquisitions has attracted research interest in the finance literature partly because of its impact on the u.s economy during the decade of the eighties. Whereas an impressive body of knowledge has been accumulated on this subject thus far, the hospitality literature has no empirical studies that seek to explain the nature of this phenomenon in the hospitality industry. Of particular interest in this study was the impact of acquisitions on the shareholder wealth of target hotel and restaurant shareholders. Therefore, there were three purposes in this study: 1) to determine whether stockholders of target hotel and restaurant companies involved in acquisitions earned significant additional wealth, 2) to determine whether there is a difference in the average size of additional wealth created in acquisitions involving hospitality companies versus those involving non-hospitality companies, and 3) to determine whether there is a difference in the average size of additional shareholder wealth accruing to hotel versus restaurant shareholders. The sample consisted of 39 restaurant and 18 hotel target companies acquired between 1980 and 1990. The datasource was the University of Chicago's Center for Research in Securities Prices (CRSP) database. The market model was used to predict stock returns for the target companies thirty days before and after the announcement of the acquisition. The difference between the predicted returns and actual returns for each trading day during this period constituted the abnormal return. The average abnormal returns for all the companies per trading day were cumulated and their significance determined. The results showed that the size of the additional shareholder wealth created when the restaurant companies were acquired was 8.86%, hotels was 29.86%, while the combined sample was 15.47%. These results provided evidence that hotel and restaurant shareholders earn significant abnormal returns during an acquisition, and that there is a significant difference in the size of additional shareholder wealth accruing to hospitality companies versus non-hospitality ones. Furthermore, there was a difference in the average size of abnormal returns earned by hotel shareholders versus restaurant shareholders.
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    A case study investigation of strategy implementation in three multi-unit restaurant firms
    Schmelzer, Claire D. (Virginia Tech, 1992)
    The primary objective of this study was to conduct an exploratory investigation of the process of strategy implementation in multi-unit restaurant firms. A model comprised of five context variables and five process variables was developed on the basis of a review of the theoretical literature about the restaurant industry, strategy implementation, and organization theory. Qualitative research methods, specifically case study design, concept mapping, and matrix analysis were used to collect and analyze the data from three firms. The findings from this investigation included 14 propositions that explain the associations between the variables and other factors found to affect implementation in the three companies, which were investigated. A new framework was developed from the propositions that further delineates the strategy implementation process. The framework introduces four additional variables found to be involved in the implementation process: life cycle stage of the firm, size and geographic dispersion of the firm, manager demographics, and training. Three primary context variables, organizational culture, organizational structure, and perceived environmental uncertainty; and three primary process variables, information processing, planning and control, and resource allocation were found to have a major effect on strategy implementation. The results obtained provide a basis for further study of the implementation process.
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    Consumer satisfaction and dissatisfaction in tourism as related to destination image perception
    Chon, Kye-Sung (Virginia Tech, 1990-12-06)
    The primary objective of this study was to investigate the relationship between travel destination image and the tourist satisfaction/dissatisfaction. Using the evaluative congruity theory framework, this study focused on the role of destination images in tourism with regard to consumer satisfaction/ dissatisfaction (CS/D) from the stand point of: (1) the functional congruency between the tourist's expectations and his/her perceptions of specific utilitarian (functional) attributes of a destination; (2) the value-expressive (symbolic) congruency between the tourist'S self concept and the destination's personality image; and (3) the degree of emotional involvement the traveler associates with travel purchases and its influence on his/her satisfaction/ dissatisfaction. The key findings of this study indicate that CS/D is related to both functional and symbolic congruity. With regard to the relative strength of the functional congruity and the symbolic congruity in explaining CS/D in tourism, the functional congruity was found to explain CS/D better than the symbolic congruity. It was also found that the tourist's emotional involvement in the travel purchase process affects his/her satisfaction/dissatisfaction with the destination.
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    An empirical study of the relationship between restaurant image and customer loyalty
    Oh, Heung Chul (Virginia Tech, 1995)
    The primary objective of this study was to empirically determine the relationship between restaurant images and loyalties toward seven competing casual dinner house restaurant chains, and to understand the nature of their competition by matching patronage behavior toward alternative restaurant chains with perceptions of alternative restaurants) on particular image attributes. The canonical correlation analysis revealed that the measures of image had significant impact on both loyalty measures toward selected casual dinner house restaurant chains: (1) patronage intentions and (2) proportions of patronage. Furthermore, the interpretation of the canonical functions revealed the nature of competition in terms of market segments and positioning. The research findings of this study imply that the obtained restaurant image is not only an analytical device to diagnose the weaknesses and strengths possessed by each restaurant relative to other restaurants, but also a predictive tool for loyalty patterns toward alternative restaurants. This study contributes to the existing consumer patronage behavior literature by providing empirical research results for the interrelationships between multi-store image measures and multi-store loyalty measures. Further, this research illustrates the usefulness of canonical analysis, which is a powerful technique for exploring the relationships between one set of variables and a second set of variables. Lastly, this study is of empirical value to restaurant management. In terms of offering strategic guidelines, this study shows the magnitude of the relationships and explains the nature of competition in a local market by linking consumer's loyalty behavior toward one or more restaurants with the image strengths/weaknesses of alternative restaurants on salient image dimensions. As a consequence, restaurants can use this information in their repositioning strategies to improve or change their image.
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    Environmental uncertainty, business strategy and financial performance: a study of the lodging industry
    Dev, Chekitan S. (Virginia Polytechnic Institute and State University, 1988)
    The primary objective of this study was to investigate the relationship between perceived environmental uncertainty, business strategy, and financial performance in the lodging Industry. Using a contingency framework, this study investigated the match between strategy content and environmental uncertainty which, from previous research, appear to distinguish between high and low performing organizations (Miles 8 Snow, 1978; Bourgeois, 1978; Schaffer, 1986). The key question that forms the basis of this research is whether the empirical evidence supports previous theory relating to the environment, strategy, and performance relationship. The findings of this study indicate that a "match" between the state of the environment facing an organization and its business strategy is required for high performance. Hotels employing a defender strategy In a stable environment tend to perform better than hotels that employing other strategies. Similarly, hotels employing an analyzer strategy in a volatile environment tend to perform better than hotels that employing other strategies. Furthermore, irrespective of the environment faced, smaller hotels do better than larger hotels in terms of profit, while larger properties tend to fare better in terms of revenue. From an Industry application perspective, this study provides the strategy planner in the lodging industry with empirical information relating to: 1. A means to assess the state of the business environment perceived by individual unit general managers, 2. A repertoire of business strategies that emphasize different competitive postures, and 3. A "decision rule" to apply in appropriately matching their strategy to an environmental state for maximal performance outcome reflected in revenues and earnings. The results obtained provide an invaluable planning and analysis tool for all levels of management involved in charting a firm’s future.
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    An exploratory study of the impact of strategy and structure on the organizational performance of restaurant firms
    Tse, Eliza Ching-Yick. (Virginia Polytechnic Institute and State University, 1988)
    There is an increased emphasis in management literature on the use of strategic management as the primary means of adapting organizations to their changing environments. For firms in the maturing hospitality industry to survive and succeed, they will have to depend upon their ability to strategically align themselves with the turbulent environment, and select appropriate strategies to create defendable competitive positions. Success in strategy implementation depends partly on whether a firm's strategy is congruent and complementary with its structure, and this match is expected to have a positive impact on financial performance. With that in mind, a study was carried out in 1987. The objectives of the study were: 1) to examine restaurant firms based on the context of Porter's strategic typologies at the business unit level to see if they espouse one of his three generic strategies: overall cost leadership, differentiation, and focus; 2) to examine the relationship between structural attributes and generic strategy in restaurant firms, these attributes were specialization, formalization, and centralization; 3) to examine the relationship between strategy, structure, and financial performance of restaurant firms. Three performance measures were used: return on assets, return on sales, and growth in unit sales. Following a pilot-test phase, the top management team in 296 American multi-unit restaurant firms were surveyed, using a structured questionnaire. Ninety-one firms participated in the survey, giving a 30.7% response rate. The sample was well represented by all major segments in the restaurant industry. Based on the purposes and research questions, three sets of hypotheses were derived to determine the relationship of strategy and structure in restaurant firms, the relationship of strategy and performance, and the differences in structure among the high performers and low performers in each of the strategy groups. T-tests and analysis of variance (ANOVA) statistical analyses were conducted to examine these relationships. The level of significance, alpha value, was set at 0.05. Results indicated that strategy was not related to structure in restaurant firms, and that it only affected one of the performance measures, return on sales. It was found that certain performance measures were related to structure for companies espoused in low cost and focus strategy, but not to differentiation strategy. These findings were inconclusive in validating Porter's model. Some of the probable reasons are: 1) Porter's generic strategies may not be applicable for the service industry due to the existence of the fundamental differences in manufacturing and service, 2) the unique characteristics of the restaurant business and the relatively short life cycle of an innovative product or service.
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    A Potential Application of Pseudomonas psychrotolerans IALR632 for Lettuce Growth Promotion in Hydroponics
    Mei, Chuansheng; Zhou, Dongfang; Chretien, Robert L.; Turner, Amy; Hou, Guichuan; Evans, Michael R.; Lowman, Scott (MDPI, 2023-02-02)
    Controlled environment agriculture hydroponic systems grow plants year-round without restriction from outside environmental conditions. In order to further improve crop yield, plant growth-promoting bacteria were tested on hydroponically grown lettuce (Lactuca sativa) plants. From our bacterial endophyte library, we found one bacterium, Pseudomonas psychrotolerans IALR632, that is promising in promoting lettuce growth in multiple hydroponic systems. When Green Oakleaf lettuce seeds were inoculated with IALR632 during germination, IALR632 significantly increased lateral root development by 164%. When germinated seedlings were inoculated with IALR632 and then transplanted to different hydroponic systems, shoot and root fresh weights of Green Oakleaf increased by 55.3% and 17.2% in a nutrient film technique (NFT) system in the greenhouse, 13.5% and 13.8% in an indoor vertical NFT system, and 15.3% and 13.6% in a deep water cultivation (DWC) system, respectively. IALR632 also significantly increased shoot fresh weights of Rex by 33.9%, Red Oakleaf by 21.0%, Red Sweet Crisp by 15.2%, and Nancy by 29.9%, as well as Red Rosie by 8.6% (no significant difference). Inoculation of IALR632-GFP and subsequent analysis by confocal microscopy demonstrated the endophytic nature and translocation from roots to shoots. The results indicate that P. psychrotolerans IALR632 has a potential application in hydroponically grown lettuce plants.
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    Service orientation discrepancy between managers and employees and its impact on the affective reactions of employees: a case study of casual restaurant segment
    Cha, Suk-Bin (Virginia Tech, 1995-07-17)
    This study attempted to relate service orientation discrepancy between employees and managers to employees’ affective reactions in the restaurant industry. To fulfill this purpose, this study developed a new model and tested it by conducting an empirical analysis of restaurant employees. Specifically, this study examined the relationships among service orientation discrepancy (SOD), service employees’ role conflict (RC), role ambiguity (RA), job satisfaction (JS), and organizational commitment (OC). In addition, using path analysis, this study further scrutinized the causal relationships among the above variables. The key findings of this study indicate that there is an SOD between managers and employees. Employees saw themselves as more enthusiastic and less bureaucratic than managers and this SOD was correlated with employee outcomes such as RC, RA, JS, and OC. When the proposed model of the study was tested, the results indicated that SOD had a positive, direct effect on RC and direct, negative effects on JS and OC. SOD also had negative, indirect effects on JS and OC through RC and RA. RC had a negative, direct effect on JS and a negative, indirect effect on OC. RA had a negative, direct effect on JS. Finally, JS had a negative, direct effect on OC. The contribution of this study lies in attempting to explore the possibility of synthesizing service management and organizational behavior literature in the restaurant industry setting. By introducing the concept of SOD, this study showed the relationship between SOD and its impact on affective reactions of restaurant employees. Further, this study contributed to the existing literature by demonstrating the causal relationships among the variables examined. With these efforts, this study also laid the foundation for future empirical research. From the industry point of view, the findings of this study will provide substantive information that restaurant chains can use to design training, communication, and motivational programs and other human resource management programs for their employees. The study holds promise for reducing employee turnover and for improving customer service in the hospitality industry.
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    Strategy, environmental scanning, and their effect upon performance: an exploratory study of the food service industry
    West, Joseph John (Virginia Polytechnic Institute and State University, 1988)
    The major purpose of this study was to examine the relationship of strategy and environmental scanning to performance. Porter’s (1980) strategic typology was utilized to classify foodservice firms by strategic orientation; and, an analysis of variance was performed to determine the differences in their performance. Environmental scanning engaged in by the firms was measured utilizing a modified multimethod - multitrait scale developed by Hambrick (1979). A final analysis conducted in this study was the comparison of environmental sectors scanned by high and low performing firms of each strategic group to determine their relationship with the performance variables. The three performance variables used in this study were: (a) Return on Sales, (b) Return on Assets, and (c) Growth in Unit Sales. All foodservice firms surveyed were either independent corporations or strategic business units of larger corporations whose major source of revenue was the foodservice industry. The study was nationwide with 18 national, 32 regional, and 15 local foodservice companies participating. The data was collected from fiscal year 1982 through fiscal year 1986 from both private and public sources. Strategy and environmental scanning were found to have substantial influence on both Return on Sales and Return on Assets. High performing firms in both differentiation and low cost strategies were found to engage in significantly greater amounts of environmental scanning than low performing firms in those two strategic groups. Focus strategy underperformed all other strategic groups in all performance measures.
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    A validation study of service complexity measures for employees in the hotel/motel front office
    Barrington, Melvin Norman (Virginia Polytechnic Institute and State University, 1987)
    In spite of the increasing importance of the service industry, it has failed to receive much attention from researchers. This lack of attention is especially true of the hospitality segment of the service industry, and consequently, almost no attention has been paid specifically to hotels and motels. This study explores the possible reasons for poor or inadequate service by attempting to first identify the important complexity variables of service, and second to evaluate how those variables relate to employee attitudinal reactions to their job. A total of sixteen job characteristics, theorized to have a positive effect on service complexity, were empirically tested against attitudinal reactions measures. The data was collected from 212 front office employees in 25 different hotels and motels. This study modified and evaluated an instrument (The Job Diagnostic Survey) that may be used to measure both complexity and attitudinal reaction variables. The modifications included the addition of nine new complexity variables. The results concluded that the modified instrument was internally reliable at an acceptable level for new research, and that there was strong evidence to support content validity and nomological validity measures which tended to favor the original variables over the newly proposed complexity variables. Implications of this study highlight the fact that there is considerable uncertainty in the measurement of hotel/motel service operations. Therefore, additional research is necessary to more completely define the characteristics of service complexity and then to measure its effects on employee attitudes.