INNOVATIONS IN THE RESTAURANT INDUSTRY – AN EXPLORATORY STUDY
DOI:
https://doi.org/10.5937/ekoPolj1604169IKeywords:
Restaurants, Innovations, Managers perception, Competitive advantage, Hospitality trendsAbstract
This paper tends to identify managers current innovation activities and attitudes, and also perceptions of what might become future trends and the prospective course in the restaurant industry. Additionally, this paper analyses linkage between sociodemographic profle of managers and a type of innovation they prefer/apply. Fullservice casual dining restaurant managers from three different countries were interviewed in order to examine their attitudes towards innovations, and to reveal their perceptions of future trends. ANOVA was used to reveal differences between managers attitudes towards the area of innovation. The results of qualitative study highlight fve areas of innovation that could help managers create value based service and increase competitiveness. It is found that age, education level and experience of the restaurant managers affect the innovation type they apply. Additionally, this paper is the frst to examine the linkage between socio-demographic profle of restaurant managers and a type of innovation they apply. It offers useful guidelines for hospitality managers.
Downloads
Download data is not yet available.
References
1. Agarwal, S., Erramilli, M.K., Dev, C.S. (2003): Market orientation and performance in service frms: role of innovation, Journal of Services Marketing, vol. 17, pp. 68-82.
2. Amit, R., Zott, C. (2012): Creating Value Through Business Model Innovation (available at: http://sloanreview.mit.edu/article/creating-value-throughbusiness-model-innovation).
3. Baraban, R.S., Durocher, J.F. (2010): Successful restaurant design, John Wiley and Sons Inc., New Jersey.
4. Best, J. (2014): 20 Top Food Trends for 2015: Eat, Drink, and Be Savvy (available at: http://www.takepart.com/article/2014/12/25/20-top-foodtrends-2015).
5. Björk, J., Magnusson, M. (2009): Where Do Good Innovation Ideas Come From? Exploring the Influence of Network Connectivity on Innovation Idea Quality. Journal of Product Innovation Management, Vol. 26, pp. 662-670.
6. Bolio, E., Remes, J., Lajous, T., Manyika, J., Rosse, M., Ramirez, E. (2014): A tale of two Mexicos: Growth and prosperity in a two-speed economy (available at: http://www.mckinsey.com/insights/americas/a_tale_of_two_mexicos ).
7. Chau, C.K., Tse, M.S., Chung, K.Y. (2010): A choice experiment to estimate the effect of green experience on preferences and willingness-to-pay for green building attributes. Building and Environment, vol. 45, pp. 2553-2561.
8. Chen, W. J. (2011): Innovation in hotel services: culture and personality. International Journal of Hospitality Management, vol. 30, pp. 64-72.
9. Chow, I.H.C., Lo, T.W.C., Sha, Z., Hong, J. (2006): The impact of developmental experience, empowerment, and organizational support on catering service staff performance. Hospitality Management, vol. 25, pp. 478-495.
10. Çokpekin, Ö., Knudsen, M.P. (2012): Does Organizing for Creativity Really Lead to Innovation? Creativity and Innovation Management, vol. 21, pp. 304- 314.
11. Damanpour, F., Aravind, D. (2012): Managerial Innovation: Conceptions, Processes, and Antecedents. Management and Organization Review, vol. 8 no. 2, pp. 423-454.
12. Dinu, V., Tăchiciu, L. (2009): Selling with entrepreneurial spirit: the salles entrepreneur. The Amfteatru Economic Journal, vol. 11, no. 25, pp. 21-28.
13. Gill, A.S. (2008): The role of trust in employee-manager relationship. International Journal of Contemporary Hospitality Management, vol. 20, no. 1, pp. 98-103.
14. Gössling, S., Garrod, B., Aall, C., Hille, J., Peeters, P. (2011): Food management in tourism: reducing tourisms carbon foodprint. Tourism Management, vol. 32, no. 3, pp. 534-543.
15. Han, H., Ryu, K. (2009): The roles of the physical environment, price perception, and customer satisfaction in determining customer loyalty in the restaurant industry. Journal of Hospitality and Tourism Research, vol. 33, no.4, pp. 487-510.
16. Heung, C.S., Gu, T. (2012): Influence of restaurant atmospherics on patron satisfaction and behavioral intentions. International Journal of Hospitality Management, vol. 31, pp. 1167-1177.
17. Hinterhuber, A., Liozu, S.M. (2014): Is innovation in pricing your next source of competitive advantage? Business Horizons, vol. 57, pp. 413-423.
18. Hjalager, A. (2010): A review of innovation research in tourism. Tourism Management, vol. 31, no.1, pp. 1-12.
19. Horng, J.S., Chou, S.F., Liu, C.H, Tsai, C.Y. (2013): Creativity, aesthetics and eco-friendliness: A physical dining environment design synthetic assessment model of innovative restaurants. Tourism Management, vol. 36, pp. 15-25.
20. Hotho, S., Champion, K. (2011): Small businesses in the new creative industries: innovation as a people management challenge. Management Decision, vol. 49, no.1, pp. 29-54.
21. Hu, H.H., Parsa, H.G., Self, J. (2010): The dynamics of green restaurant patronage. Cornell Hospitality Quarterly, vol. 51, no. 3, pp. 344-362.
22. Iorgulescu, M.C., Sidonia Rvar, A. (2013): Measuring Managers Perception of Innovation in the Romanian Hospitality Industry. Procedia Economics and Finance, vol. 6, pp. 512-522.
23. Ivkov, M., Blešić, I., Stefanović, V., Popov Raljić, J. (2014): Managing Customer Satisfaction in the Restaurant Industry: A Word from Managers. Economic themes, vol. 52, no. 3, pp. 379-388.
24. Jasperson, J., Carter, P., Zmud, R. (2005): A comprehensive conceptualization of the post-adoptive behaviors associated with IT-enabled work systems. MIS Quarterly, vol. 29, no. 3, pp. 525-557.
25. Kato, M., Okamuro, H., Honjo, Y. (2015): Does Founders Human Capital Matter for Innovation? Evidence from Japanese Start-ups. Journal of Small Business Management, vol. 53, no. 1, pp. 114-128.
26. Kim, H.J., McCahon, C., Miller, J. (2003): Service orientation for contact employees in Korean casual-dining restaurants. Hospitality Management, vol. 22, pp. 67-83.
27. Kim, W.G., Leong, J.K., Lee, K.Y. (2005): Effect of service orientation on job satisfaction, organizational commitment, and intention of leaving in a casual dining chain restaurant. Hospitality Management, vol. 24, pp. 171-193.
28. Leskiewicz Sandvik, I., Sandvik, K. (2003): The impact of market orientation on product innovativeness and business performance. International Journal of Research in Marketing, Vol. 20, pp. 355-376.
29. Liu, Y., Jang, S.C.S. (2009): Perceptions of Chinese restaurants in the U.S.: what affects customer satisfaction and behavioral intentions? International Journal of Hospitality Management, vol. 28, pp. 338-348.
30. Mansfeld, M.N., Hölzle, K., Gemünden, H.G. (2010): Personal characteristics of innovators – an empirical study of roles in innovation management. International Journal of Innovation Management, vol. 14, pp. 1129-1147.
31. Muller, C.C. (1999): The business of restaurants: 2001 and beyond. Hospitality Management, vol. 18, pp. 401-413.
32. NRA. (2011): Recycling and Waste Reduction: Responsible Practices, Made Easy (available at: http://www.restaurant.org/Industry-Impact/Conservation/Recycling).
33. Piccoli, G., Spalding, B.R., Ives, B. (2001): The customer-service life cycle: A framework for improving customer service through information. Cornell Hotel and Restaurant Administration Quarterly, vol. 42, pp. 38-45.
34. Pizam, A. (2011): Service Orientation in the Hospitality Context. International Journal of Hospitality Management, vol. 31, pp. 1-2.
35. Pohle, G., Chapman, M. (2006): IBMs Global CEO Report 2006: Business Model Innovation Matters. Strategy and Leadership, vol. 34, no.5, pp. 34-40.
36. Quazi, A., Talukder, M. (2011): Demographic determinants of adoption of technological innovation. Journal of Computer Information Systems, vol. 52, no. 1, pp. 34-47.
37. Rickards, T., Moger, S. (2006): Creative Leaders: A Decade of Contributions from Creativity and Innovation Management Journal. Creativity and Innovation Management, vol.15, pp. 4-18.
38. Riehle, H. (2015): Whats Hot Culinary Forecast (available at: http://www.restaurant.org/News-Research/Research/What-s-Hot).
39. Ryu, K., Han, H. (2010): Influence of the quality of food, service, and physical environment on customer satisfaction and behavioral intention in quick-casual restaurant: moderating role of perceived price. Journal of Hospitality and Tourism Research, vol. 34, pp. 310-329.
40. Ryu, K., Lee, H.R., Kim, W.G. (2012): The influence of the quality of the physical environment, food, and service on restaurant image, customer perceived value, customer satisfaction, and behavioral intentions. International Journal of Contemporary Hospitality Management, vol. 24, no. 2, pp. 200-223.
41. Sigala, M., Kyriakidou, O. (2015): Creativity and innovation in the service sector. The Service Industries Journal, vol. 35, no. 6, pp. 297-302.
42. Sin, L.Y.M., Tse, A.C.B., Heung, V.C.S., Yim, F.H.K. (2005): An analysis of the relationship between market orientation and business performance in the hotel industry. Hospitality Management, vol. 24, pp. 555-577.
43. Wall, E.A., Berry, L.L. (2007): The combined effects of the physical environment and employee behavior on customer perception of restaurant service quality. Cornell Hotel and Restaurant Administration Quarterly, vol. 48, no. 1, pp. 59- 69.
44. Zhang, Y., Li, H. (2010): Innovation search of new ventures in a technology cluster: the role of ties with service intermediaries. Strategic Management Journal, vol. 31, pp. 88-109.
2. Amit, R., Zott, C. (2012): Creating Value Through Business Model Innovation (available at: http://sloanreview.mit.edu/article/creating-value-throughbusiness-model-innovation).
3. Baraban, R.S., Durocher, J.F. (2010): Successful restaurant design, John Wiley and Sons Inc., New Jersey.
4. Best, J. (2014): 20 Top Food Trends for 2015: Eat, Drink, and Be Savvy (available at: http://www.takepart.com/article/2014/12/25/20-top-foodtrends-2015).
5. Björk, J., Magnusson, M. (2009): Where Do Good Innovation Ideas Come From? Exploring the Influence of Network Connectivity on Innovation Idea Quality. Journal of Product Innovation Management, Vol. 26, pp. 662-670.
6. Bolio, E., Remes, J., Lajous, T., Manyika, J., Rosse, M., Ramirez, E. (2014): A tale of two Mexicos: Growth and prosperity in a two-speed economy (available at: http://www.mckinsey.com/insights/americas/a_tale_of_two_mexicos ).
7. Chau, C.K., Tse, M.S., Chung, K.Y. (2010): A choice experiment to estimate the effect of green experience on preferences and willingness-to-pay for green building attributes. Building and Environment, vol. 45, pp. 2553-2561.
8. Chen, W. J. (2011): Innovation in hotel services: culture and personality. International Journal of Hospitality Management, vol. 30, pp. 64-72.
9. Chow, I.H.C., Lo, T.W.C., Sha, Z., Hong, J. (2006): The impact of developmental experience, empowerment, and organizational support on catering service staff performance. Hospitality Management, vol. 25, pp. 478-495.
10. Çokpekin, Ö., Knudsen, M.P. (2012): Does Organizing for Creativity Really Lead to Innovation? Creativity and Innovation Management, vol. 21, pp. 304- 314.
11. Damanpour, F., Aravind, D. (2012): Managerial Innovation: Conceptions, Processes, and Antecedents. Management and Organization Review, vol. 8 no. 2, pp. 423-454.
12. Dinu, V., Tăchiciu, L. (2009): Selling with entrepreneurial spirit: the salles entrepreneur. The Amfteatru Economic Journal, vol. 11, no. 25, pp. 21-28.
13. Gill, A.S. (2008): The role of trust in employee-manager relationship. International Journal of Contemporary Hospitality Management, vol. 20, no. 1, pp. 98-103.
14. Gössling, S., Garrod, B., Aall, C., Hille, J., Peeters, P. (2011): Food management in tourism: reducing tourisms carbon foodprint. Tourism Management, vol. 32, no. 3, pp. 534-543.
15. Han, H., Ryu, K. (2009): The roles of the physical environment, price perception, and customer satisfaction in determining customer loyalty in the restaurant industry. Journal of Hospitality and Tourism Research, vol. 33, no.4, pp. 487-510.
16. Heung, C.S., Gu, T. (2012): Influence of restaurant atmospherics on patron satisfaction and behavioral intentions. International Journal of Hospitality Management, vol. 31, pp. 1167-1177.
17. Hinterhuber, A., Liozu, S.M. (2014): Is innovation in pricing your next source of competitive advantage? Business Horizons, vol. 57, pp. 413-423.
18. Hjalager, A. (2010): A review of innovation research in tourism. Tourism Management, vol. 31, no.1, pp. 1-12.
19. Horng, J.S., Chou, S.F., Liu, C.H, Tsai, C.Y. (2013): Creativity, aesthetics and eco-friendliness: A physical dining environment design synthetic assessment model of innovative restaurants. Tourism Management, vol. 36, pp. 15-25.
20. Hotho, S., Champion, K. (2011): Small businesses in the new creative industries: innovation as a people management challenge. Management Decision, vol. 49, no.1, pp. 29-54.
21. Hu, H.H., Parsa, H.G., Self, J. (2010): The dynamics of green restaurant patronage. Cornell Hospitality Quarterly, vol. 51, no. 3, pp. 344-362.
22. Iorgulescu, M.C., Sidonia Rvar, A. (2013): Measuring Managers Perception of Innovation in the Romanian Hospitality Industry. Procedia Economics and Finance, vol. 6, pp. 512-522.
23. Ivkov, M., Blešić, I., Stefanović, V., Popov Raljić, J. (2014): Managing Customer Satisfaction in the Restaurant Industry: A Word from Managers. Economic themes, vol. 52, no. 3, pp. 379-388.
24. Jasperson, J., Carter, P., Zmud, R. (2005): A comprehensive conceptualization of the post-adoptive behaviors associated with IT-enabled work systems. MIS Quarterly, vol. 29, no. 3, pp. 525-557.
25. Kato, M., Okamuro, H., Honjo, Y. (2015): Does Founders Human Capital Matter for Innovation? Evidence from Japanese Start-ups. Journal of Small Business Management, vol. 53, no. 1, pp. 114-128.
26. Kim, H.J., McCahon, C., Miller, J. (2003): Service orientation for contact employees in Korean casual-dining restaurants. Hospitality Management, vol. 22, pp. 67-83.
27. Kim, W.G., Leong, J.K., Lee, K.Y. (2005): Effect of service orientation on job satisfaction, organizational commitment, and intention of leaving in a casual dining chain restaurant. Hospitality Management, vol. 24, pp. 171-193.
28. Leskiewicz Sandvik, I., Sandvik, K. (2003): The impact of market orientation on product innovativeness and business performance. International Journal of Research in Marketing, Vol. 20, pp. 355-376.
29. Liu, Y., Jang, S.C.S. (2009): Perceptions of Chinese restaurants in the U.S.: what affects customer satisfaction and behavioral intentions? International Journal of Hospitality Management, vol. 28, pp. 338-348.
30. Mansfeld, M.N., Hölzle, K., Gemünden, H.G. (2010): Personal characteristics of innovators – an empirical study of roles in innovation management. International Journal of Innovation Management, vol. 14, pp. 1129-1147.
31. Muller, C.C. (1999): The business of restaurants: 2001 and beyond. Hospitality Management, vol. 18, pp. 401-413.
32. NRA. (2011): Recycling and Waste Reduction: Responsible Practices, Made Easy (available at: http://www.restaurant.org/Industry-Impact/Conservation/Recycling).
33. Piccoli, G., Spalding, B.R., Ives, B. (2001): The customer-service life cycle: A framework for improving customer service through information. Cornell Hotel and Restaurant Administration Quarterly, vol. 42, pp. 38-45.
34. Pizam, A. (2011): Service Orientation in the Hospitality Context. International Journal of Hospitality Management, vol. 31, pp. 1-2.
35. Pohle, G., Chapman, M. (2006): IBMs Global CEO Report 2006: Business Model Innovation Matters. Strategy and Leadership, vol. 34, no.5, pp. 34-40.
36. Quazi, A., Talukder, M. (2011): Demographic determinants of adoption of technological innovation. Journal of Computer Information Systems, vol. 52, no. 1, pp. 34-47.
37. Rickards, T., Moger, S. (2006): Creative Leaders: A Decade of Contributions from Creativity and Innovation Management Journal. Creativity and Innovation Management, vol.15, pp. 4-18.
38. Riehle, H. (2015): Whats Hot Culinary Forecast (available at: http://www.restaurant.org/News-Research/Research/What-s-Hot).
39. Ryu, K., Han, H. (2010): Influence of the quality of food, service, and physical environment on customer satisfaction and behavioral intention in quick-casual restaurant: moderating role of perceived price. Journal of Hospitality and Tourism Research, vol. 34, pp. 310-329.
40. Ryu, K., Lee, H.R., Kim, W.G. (2012): The influence of the quality of the physical environment, food, and service on restaurant image, customer perceived value, customer satisfaction, and behavioral intentions. International Journal of Contemporary Hospitality Management, vol. 24, no. 2, pp. 200-223.
41. Sigala, M., Kyriakidou, O. (2015): Creativity and innovation in the service sector. The Service Industries Journal, vol. 35, no. 6, pp. 297-302.
42. Sin, L.Y.M., Tse, A.C.B., Heung, V.C.S., Yim, F.H.K. (2005): An analysis of the relationship between market orientation and business performance in the hotel industry. Hospitality Management, vol. 24, pp. 555-577.
43. Wall, E.A., Berry, L.L. (2007): The combined effects of the physical environment and employee behavior on customer perception of restaurant service quality. Cornell Hotel and Restaurant Administration Quarterly, vol. 48, no. 1, pp. 59- 69.
44. Zhang, Y., Li, H. (2010): Innovation search of new ventures in a technology cluster: the role of ties with service intermediaries. Strategic Management Journal, vol. 31, pp. 88-109.
Downloads
Published
2018-05-15
How to Cite
Ivkov, M., Blešić, I., Simat, K., Demirović, D., & Božić, S. (2018). INNOVATIONS IN THE RESTAURANT INDUSTRY – AN EXPLORATORY STUDY. Economics of Agriculture, 63(4), 1169–1186. https://doi.org/10.5937/ekoPolj1604169I
Issue
Section
Original scientific papers
