Identifying determinants of success in development of new high-contact services: Insights from the hospitality industry

Date

2006

Authors

Ottenbacher, M.
Gnoth, J.
Jones, P.

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Journal article

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Journal of Service Management, 2006; 17(4):344-363

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<jats:sec><jats:title content-type="abstract-heading">Purpose</jats:title><jats:p>The purpose of this study is to gain insight into factors that contribute to the success in high contact new service development (NSD) projects.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-heading">Design/methodology/approach</jats:title><jats:p>Data were collected via questionnaires from hospitality managers knowledgeable about NSD in their organization (sample size =183; response rate 38.1 percent). Discriminant analysis was used to identify the factors that are responsible for successful high contact NSD projects in the hospitality industry.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-heading">Findings</jats:title><jats:p>Research results indicate that seven factors play a distinctive role in the outcome of high contact NSD: market attractiveness, strategic human resource management, market responsiveness, empowerment, training of employees, employee commitment and marketing synergy.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-heading">Research limitations/implications</jats:title><jats:p>This study was conducted in only one industry (hospitality) and one country (Germany) and included only the views of managers.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-heading">Practical implications</jats:title><jats:p>This study outlines the importance of human resource management factors in high contact NSD success. Findings from previous NSD success studies in low contact service industries have been only partly confirmed.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-heading">Originality/value</jats:title><jats:p>This study expands the scope of NSD research.</jats:p></jats:sec>

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