The moderating effect of the pricing strategy on the relationship between competitor orientation and business performance

• Carlos Alberto Fernandes Sampaio ^[1] ; Ricardo Gouveia Rodrigues ^[2] ; José Manuel Hernández Mogollón ^[3]
  1. [1] Instituto Politécnico de Castelo Branco

     Instituto Politécnico de Castelo Branco

     Castelo Branco, Portugal

     
  2. [2] Universidade da Beira Interior

     Universidade da Beira Interior

     Covilhã (Conceição), Portugal

     
  3. [3] Universidad de Extremadura

     Universidad de Extremadura

     Badajoz, España

     

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• Localización: XXX Jornadas Luso-Espanholas de Gestão Científica: cooperação transfronteiriça. Desenvolvimento e coesão territorial. Livro de resumos / Paula Fernandes (aut.), 2020, ISBN 978-972-745-273-6, pág. 138
• Idioma: inglés
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• Resumen

  • This study seeks to study the nature of the relationship between competitor orientation, a strategy based on low prices and hotel business performance and to test if a low-price strategy moderates the relationship between competitor orientation and business performance in the hotel industry. A structural equation modelling approach is used and a sample obtained in the Portuguese mid-range hotel industry, specifically three and four-star hotels, is used to assess the proposed hypotheses. According to the research results, the competitor orientation has a positive effect on business performance. Furthermore, results show that the relationship between competitor orientation and business performance is moderated by a pricing strategy based on low prices. Moreover, results confirm a negative relationship between a pricing strategy based on low prices and business performance