Link between budgetary participation-financial performance of hotel companies
Abstract
The first objective of this research is to study the link between budgetary participation and the financial performance of French hotel companies. The second objective is to contribute to the management of hotel companies through the suggestions arising from the research results. Using structural equations, we modeled 113 responses from hotel managers in France. The results suggest a mediation of commitment to budget objectives, which motivates the use of information and communication technologies, leading to financial performance. Most studies on the subject focus on overall or managerial performance. This article offers the literature an appreciation of the financial performance of hotel companies. Next, this article highlights the use of structural equations to clarify the link. Finally, this research introduces managers to the usefulness of budgetary participation and the understanding of the managerial mechanism leading to financial performance. It answers managers ’questions about the process for achieving sustainable financial performance.
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References
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