Compete or Avoid? Assessing Brand Competition Strategies with Spatial Colocation Analysis
Spatial competition considerations are important in hotel location selection. This study proposes and demonstrates a method of colocation network analysis to quantify the potential encroaching effect of spatial inter- and intra-competition between units of business brands that seek expansion. The en...
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Format: | Article |
Language: | English |
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MDPI AG
2024-02-01
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Series: | Tourism and Hospitality |
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Online Access: | https://www.mdpi.com/2673-5768/5/1/11 |
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author | Lijuan Su Andrei Kirilenko Svetlana Stepchenkova |
author_facet | Lijuan Su Andrei Kirilenko Svetlana Stepchenkova |
author_sort | Lijuan Su |
collection | DOAJ |
description | Spatial competition considerations are important in hotel location selection. This study proposes and demonstrates a method of colocation network analysis to quantify the potential encroaching effect of spatial inter- and intra-competition between units of business brands that seek expansion. The environmental context of the study is a network of the top five budget hotel brands in the Beijing hotel market. The results reveal that brands implement different strategies in their hotel placement, which are subject to different levels of the encroaching effect. However, the method is applicable in a variety of hospitality settings, specifically in those that involve the development strategies of chain brands. The simulation capability of the method can assist hospitality brands in assessing the outcomes of a proposed development and, thus, aid hoteliers in the spatial allocation of new units with the least adverse effects on their existing business networks. |
first_indexed | 2024-04-24T17:46:50Z |
format | Article |
id | doaj.art-0abc4084f98a41da8d5d9a2f295f07a9 |
institution | Directory Open Access Journal |
issn | 2673-5768 |
language | English |
last_indexed | 2024-04-24T17:46:50Z |
publishDate | 2024-02-01 |
publisher | MDPI AG |
record_format | Article |
series | Tourism and Hospitality |
spelling | doaj.art-0abc4084f98a41da8d5d9a2f295f07a92024-03-27T14:06:05ZengMDPI AGTourism and Hospitality2673-57682024-02-015116016610.3390/tourhosp5010011Compete or Avoid? Assessing Brand Competition Strategies with Spatial Colocation AnalysisLijuan Su0Andrei Kirilenko1Svetlana Stepchenkova2School of Tourism Management, Sun Yat-sen University, Guangzhou 510275, ChinaDepartment of Tourism, Hospitality, and Event Management, University of Florida, Gainesville, FL 32611, USADepartment of Tourism, Hospitality, and Event Management, University of Florida, Gainesville, FL 32611, USASpatial competition considerations are important in hotel location selection. This study proposes and demonstrates a method of colocation network analysis to quantify the potential encroaching effect of spatial inter- and intra-competition between units of business brands that seek expansion. The environmental context of the study is a network of the top five budget hotel brands in the Beijing hotel market. The results reveal that brands implement different strategies in their hotel placement, which are subject to different levels of the encroaching effect. However, the method is applicable in a variety of hospitality settings, specifically in those that involve the development strategies of chain brands. The simulation capability of the method can assist hospitality brands in assessing the outcomes of a proposed development and, thus, aid hoteliers in the spatial allocation of new units with the least adverse effects on their existing business networks.https://www.mdpi.com/2673-5768/5/1/11brand expansionbudget hotelscolocation analysisencroaching effectnegative externalitiesspatial network |
spellingShingle | Lijuan Su Andrei Kirilenko Svetlana Stepchenkova Compete or Avoid? Assessing Brand Competition Strategies with Spatial Colocation Analysis Tourism and Hospitality brand expansion budget hotels colocation analysis encroaching effect negative externalities spatial network |
title | Compete or Avoid? Assessing Brand Competition Strategies with Spatial Colocation Analysis |
title_full | Compete or Avoid? Assessing Brand Competition Strategies with Spatial Colocation Analysis |
title_fullStr | Compete or Avoid? Assessing Brand Competition Strategies with Spatial Colocation Analysis |
title_full_unstemmed | Compete or Avoid? Assessing Brand Competition Strategies with Spatial Colocation Analysis |
title_short | Compete or Avoid? Assessing Brand Competition Strategies with Spatial Colocation Analysis |
title_sort | compete or avoid assessing brand competition strategies with spatial colocation analysis |
topic | brand expansion budget hotels colocation analysis encroaching effect negative externalities spatial network |
url | https://www.mdpi.com/2673-5768/5/1/11 |
work_keys_str_mv | AT lijuansu competeoravoidassessingbrandcompetitionstrategieswithspatialcolocationanalysis AT andreikirilenko competeoravoidassessingbrandcompetitionstrategieswithspatialcolocationanalysis AT svetlanastepchenkova competeoravoidassessingbrandcompetitionstrategieswithspatialcolocationanalysis |