Abstract:
This research classifies hotels based on grid and group structure given by cultural theory of risk and finds out whether the hotels differ on risk related practices for strategic risks. Managing strategic risks at the hotels goes beyond tangible aspect of property to intangible aspect of services and liability. Research attempts to understand relationship between hotels types and their risk practices. Qualitative methodology using content analysis of 11 annual reports for risk disclosures resulted in developing risk inventory endemic to hotels and identified that strategic risks are prominently disclosed by most of the hotels. Data from 112 hotel managers is captured using structured questionnaire. Paper identifies that hotels classified based on grid group configuration differ significantly for strategic risks on risk aspects, confirming structure of hotel, the grid and group does impact the hotels risk world view. The theoretical contribution lies in the examination of structure of hotel with relevance to its risk aspects. The study in strategic risk area offers a preliminary glimpse into hospitality servicescape. This study contributes to the ongoing dialogue on risk perception. This would seek increase academic understanding about how strategic risk is viewed and perceived. The study will find relevance to practitioners to manage risk and researchers to comprehend strategic risks. Suitable changes in the grid and group can improve hotels risk world view enabling better risk appraisal and risk perception.
