Dr. Giuliano Bianchi | October 4, 2018
By Dr. Giuliano Bianchi & Dr. Isabella Blengini The hospitality industry is becoming increasingly complex, with financial engineering, corporate governance, and strategic interactions with other sectors now part and parcel of daily life. In addition, publicly-traded major hotel chains manage a portfolio of brands and deal with a range of other industries at the same time. Hotels can no longer rely on experience and 'savoir-faire' to get by, but need to hire staff who are comfortable with quantitative skills such as mathematics and statistics. This is why, as economists, we believe hospitality business schools that teach subjects suc...
Dr. Isabella Blengini | March 22, 2018
By Dr. Isabella Blengini and Dr. Giuliano Bianchi Elle Darby may not be a household name but this video blogger does have influence in social media circles with some 87,000 YouTube subscribers and 76,000 Instagram followers. According to media reports – some 114 articles in all across 20 countries -- she contacted the Charleville Lodge Hotel in Dublin, offering the owner exposure on her social media channels in exchange of a free stay for her and her boyfriend over the Valentine's Day weekend. The hotel owner declined, posting his reply online and publicly banning all social media influencers from his hotel. This provoked a series...
December 11, 2017
By Giuliano Bianchi CEO pay is a controversial topic as some executives have benefited massively from stock options even when their firms have not been performing well. Over the past three decades or so, firms have increasingly looked to stock options as an incentive for executives to make decisions which will enhance the performance of businesses. While there has been a great deal of adverse publicity and shareholders have expressed concerns about excessive pay, shareholders also want to make sure that the interests of management are aligned with their own. In a recent article in Applied Economics, I analyze the effect of share price t...
October 20, 2017
By Giuliano Bianchi and Isabella Blengini Last month the Swiss Parliament ratified a decision to allow Swiss hotels operating on booking.com to offer rooms at lower prices directly to their customers. The digital platform opposed the decision, arguing that it would be the customers who would be hit hardest. Booking.com allows hotels to sell their rooms on the platform on a commission basis and customers have the convenience of being able to compare prices before booking a room. For hotels, the main advantage in using the site is that it can dramatically increase their visibility, so much so that some 72 percent of all hotel bookings in ...
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