Operational Crisis Management Techniques in The Catering Industry in Times of Recession: The Case Of the Municipality of Piran

  • Marko Kukanja
  • Tanja Planinc
Keywords: recession, crisis management, catering industry, municipality of Piran

Abstract

This study examines crisis management techniques in the catering industry. The sur- vey was conducted in the municipality of Piran, the most developed Slovenian municipality in terms of tourism and an important tourist center in the northern Mediterranean. This paper investigates the response of the catering industry to the economic crisis by analyzing the use of different micro-level crisis practices in the catering industry. The study uses a questionnaire to evaluate the importance and usage of different crisis management techniques in the catering industry. The findings indicate a high level of inconsistency between the importance and usage of crisis management techniques. Government assistance is by far the most important and most used technique in times of crisis. Suggestions for future research and useful information for managers of catering facilities are provided.

Downloads

Download data is not yet available.

Author Biographies

Marko Kukanja

University of Primorska, Faculty of Tourism Studies, Slovenia
E-mail: marko.kukanja@turistica.si

Marko Kukanja is a lecturer at the Faculty of Tourism Studies Portoroz– TURISTICA, University of Primorska. His fields of interest are hotel management and food and beverage management.

Tanja Planinc

University of Primorska, Faculty of Tourism Studies, Slovenia
E-mail: tanja.planinc@turistica.si

Tanja Planinc is an assistant of organizational science business area at the Faculty of Tourism Studies Portoroz–TURISTICA, University of Primorska.

References

Ajpes. (2012). FI-PO-Financial data. Retrieved from http://www.ajpes.si/fipo/prikaz.asp

Alonso-Almeida, M. del M., & Bremser, K. (2012). Strategic responses of the Spanish hospitality sector to the financial crisis. International Journal of Hospitality Management, 32, 141-148. http://dx.doi.org/10.1016/j.ijhm.2012.05.004

Ang, S. H. (2001). Crisis marketing: a comparison across economic scenarios. In- ternational Business Review, 10(3), 263–284. http://dx.doi.org/10.1016/S0969-5931(01)00016-6

Azabagaoglu, O. M., & Oraman, Y. (2011). Analysis of customerexpectationsaftertherecession:Caseoffoodsector. Procedia Social and Behavioural Sciences, 24, 229–236. http://dx.doi.org/10.1016/j.sbspro.2011.09.008

Barsky, J. (2009). Luxury hotels and recession: A view from around the world. San Rafael, CA: Market Matrix.

Barsky, J., & Nash, L. (2008). Are luxury hotels recession proof? Hotel &Motel Management, 223(14). Retrieved from http://connection.ebscohost.com/c/articles/32602649/are-luxury-hotels-recession-proof

Barton, L. (1994). Crisis management: preparing for and managing disasters. Cornell Hotel and Restaurant Administration Quarterly, 35(2), 59–65. http://dx.doi.org/10.1016/0010-8804(94)90020-5

Baxter, E., & Bowen, D. (2004). Anatomy of tourism crisis: Explaining the effects on tourism of the UK foot and mouth disease epidemics of 1967-68 and 2001 with special references to media portrayal. The Inter- national Journal of Tourism Research, 6(4), 263–273. http://dx.doi.org/10.1002/jtr.487

Blake, A., & Sinclair, M. (2003). Tourism crisis management: US response to September 11. Annals of Tourism Research, 30, 813–832. http://dx.doi.org/10.1016/S0160-7383(03)00056-2

Blazevic, O. (2010). Economic effects of tourism during the crisis. Biennial International Congress-Tourism &Hospitality Industry, University of Rijeka, Croatia: Faculty of Tourism and Hospitality Management Opatija.

Brandl, B., & Traxler, F. (2011). Labour relations, economic governance and the crisis: Turning the tide again? Labour History, 52(1), 1–22. http://dx.doi.org/10.1080/0023656X.2011.545198

Chian, A. C.-L., Borotto, F. A., Rempel, E. L., & Rogers,

C. (2005). Attractor merging crisis in chaotic business cycles. Chaos, Solitons & Fractals, 24(3), 869–875. http://dx.doi.org/10.1016/j.chaos.2004.09.080

Crawford, D. (2012). Recovering from the terror: The Egyptian and Balinese experiences. Worldwide Hospitality and Tourism themes, 4(1), 91–97. http://dx.doi.org/10.1108/17554211211198615

Gruca, T. S., & Rego, L. L. (2005). Customer satisfaction, cash flow and shareholder value. Journal of Marketing, 69, 115–130. http://dx.doi.org/10.1509/jmkg.69.3.1.66358

Hampson, D. P., & McGoldrick, P. J. (2011). A typology of adaptive shopping patterns in recession. Journal of Business Research. Retrieved from http://www.sciencedirect.com/science/article/pii/S0148296311001950http://dx.doi.org/10.1016/j.jbusres.2011.06.008

Handerson, J. C. (2003). Managing a he- alth-related crisis: SARS in Singapore. Journal of Vacation Marketing, 10(1), 67–77. http://dx.doi.org/10.1177/135676670301000107

Herbert, D., Hudspeth, S., Soni, S., Tarry, C., & Walton, T. (2009). Impact of the global recession on the hospitality and tourism industry. Tourism and Hospitality Research, 9, 363–367. http://dx.doi.org/10.1057/thr.2009.20

Ho, R. (2006). Handbook of univariate and multivariate data analysis and interpretation with SPSS. Broken Sound Parkway: CRC Press, Inc. http://dx.doi.org/10.1201/9781420011111

Israeli, A. A. (2007). Crisis-management practices in the restaurant industry. International Journal of Hospitality Management, 26(4), 807–823. http://dx.doi.org/10.1016/j.ijhm.2006.07.005

Israeli, A., & Reichel, A. (2003). Hospitality crisis management practices: The Israeli case. Internatio- nal Journal of Hospitality Management, 22(4), 353–372. http://dx.doi.org/10.1016/S0278-4319(03)00070-7

Kim, H. B., & Kim, W. G. (2005). The relationship between brand equity and firms' performance in luxury hotels and chain restaurants. Tourism Management, 26, 549–560. http://dx.doi.org/10.1016/j.tourman.2004.03.010

Kimes, S. E. (2009). Hotel revenue management in an economic downturn: Results of an international study. New York: Cornell University, School of Hotel Administration.

Lee, S. H., Beamish, P. W., Lee, H. U., & Park, J. H. (2009). Strategic choice during economic crisis: Domestic market position, organisational capabilities and export flexibility. Journal of World Business, 44, 1–15. http://dx.doi.org/10.1016/j.jwb.2008.03.015

Leitinen, E. K. (2000). Long term success of adaptation strategies: Evidence from Finnish companies. Long Range Planning, 33, 805–830. http://dx.doi.org/10.1016/S0024-6301(00)00088-1

Lerbinger, O. (1997). The crisis manager: Facing risk and responsibility. New York: Lawrence Erlbaum Associates.

Leslie, D. (1996). Northern Ireland, tourism and peace. Tourism Management, 17(1), 51–55. http://dx.doi.org/10.1016/0261-5177(96)83161-X

Malhotra, R., & Vankatesh, U. (2009). Pre crisis period planning: Lessons for hospitality and tourism. Worldwide Hospitality and Tourism Themes, 1(1), 66–74. http://dx.doi.org/10.1108/17554210910949896

Mansfeld, Y. (1999). Cycles of war, terror and peace: Determinantsandmanagement of crisis and recovery of the Israeli tourism industry. Journal of Travel Research, 38, 30–36. http://dx.doi.org/10.1177/004728759903800107

Martilla, J., & James, J. (1997). Importance-performance analysis. Journal of Marketing, 4, 77–79.

Maškarin, H., & Smolčić Jurdana, D. (2010). The Impact of Recession on Tourism and Hotel Companies in Pri- morsko-Goranska County. 5th International Conference: An Enterprise Odyssey: From Crisis to Prosperity— Challenges for Government and Business, University of Zagreb, Croatia: Faculty of Economics & Business.

Mihailovic, I., & Marjanovic, M. (2010). Tourism in conditions of global financial crisis. Biennial International Congress-Tourism & Hospitality Industry, University of Rijeka, Croatia: Faculty of Tourism and Hospitality Management Opatija.

Okumus, F., & Karamustafa, K. (2005). Impact of an economic crisis: Evidence from Turkey. Annals of Tourism Research, 32(4), 942–961. http://dx.doi.org/10.1016/j.annals.2005.04.001

Pearce, J. A., & Michael, S. C. (1997). Marketing strategies that entrepreneurial firms recession-resi- stant. Journal of Business Venturing, 12, 301–314. http://dx.doi.org/10.1016/S0883-9026(97)89449-9

Pforr, C., & Hosie, P. (2010). Crisis management in the hospitality industry: Beating the odds? Farnham: Ashgate Publishing.

Pizam, A., & Mansfeld, Y. (1996). Tourism, crime and in- ternational security issues. Michigan, UK: Weily.

Prstojevic-Grdic, G., & Dimitric, G. (2010). Impact of economic crisis on tourism in Vojvodina and anti crisis measures. Biennial International Congress-Tourism & Hospitality Industry, University of Rijeka, Croatia: Faculty of Tourism and Hospitality Management Opatija.

Puu, T. (1991). Chaos in business cycles. Chaos, Solitons & Fractals, 1(5), 457–473. http://dx.doi.org/10.1016/0960-0779(91)90017-4

Reinartz, W., & Kumar, V. (2002). The mismanagement of customer loyalty. Harvard Business Review, 86–94.

Ritchie, B. W. (2003). Chaos, crises and disasters: A strategic approach to crisis management in tourism industry. Tourism Management, 25, 669–683. http://dx.doi.org/10.1016/j.tourman.2003.09.004

SORS. (2010). Standard classification of activities. Retrieved from Http://www.stat.si/eng/vodic_oglej.asp?ID=42&PodrocjeID=14

SORS. (2013a). Tourist arrivals and overnight stays by groups of tourist accommodations and countries, municipalities, Slovenia, annually. Retrieved from http://pxweb.stat.si/pxweb/Dialog/varval.asp?ma=2164507E&ti=&path=../Database/Economy/21_hotels_tourism/02_21645_accomod_year/&lang=1

SORS. (2013b). Accommodation facilities by groups of tourist accommodations, municipalities, Slovenia, annually. Retrieved from http://pxweb.stat.si/pxweb/Dialog/varval.asp?ma=2164504E&ti=&path=../Database/Economy/21_hotels_tourism/02_21645_accomod_year/&lang=1

Spillan, J., & Hough, M. (2003). Crisis planning in small businesses: Importance, impetus and indifferen- ce. European Management Journal, 21(3), 398–407. http://dx.doi.org/10.1016/S0263-2373(03)00046-X

Susilovic, A., & Sertic, M. (2010). Impact of economic crisis on tourism demand. Biennial International Con- gress-Tourism &Hospitality Industry, University of Rijeka, Croatia: Faculty of Tourism and Hospitality Management Opatija.

Stafford, G., Yu, L., & Armoo, A. K. (2002).Crisis management and recovery: How Washington D.C. hotels responded to terrorism. Cornell Hotel and Restaurant Administrations Quarterly, 43(5), 27–40. http://dx.doi.org/10.1177/0010880402435003

Ulmer, R. R., & Sellnow, T. L. (2000). Consistent questions of ambiguity in organizations crisis com- munication: Jack in the Box as a case study. Journal of Business Ethics, 25(2), 143–155. http://dx.doi.org/10.1023/A:1006183805499

Williams, P., & Neumann, E. (2011). Customer sa- tisfaction and business performance: A firm level analysis. Journal of Service Marketing, 25(1), 20–32. http://dx.doi.org/10.1108/08876041111107032

Yoon, K. P., & Hwang, C. L. (1995). Multiple attribute decision making-an introduction. Thousand Oaks: Sage University Paper.

Published
2013-08-04
How to Cite
Kukanja M., & Planinc T. (2013). Operational Crisis Management Techniques in The Catering Industry in Times of Recession: The Case Of the Municipality of Piran. Naše gospodarstvo/Our Economy, 59(1-2), 75-85. Retrieved from https://journals.um.si/index.php/oe/article/view/2319