Global or local brand? Hotel selection in global travel context

Abstract

Purpose This study aims to investigate how and why traveling consumers choose globally branded/operated, instead of locally branded, hotels when traveling to another country. Design/methodology/approach Building on signaling theory, the authors conceptualize a model to explain the consumer process of selecting global hotel brands and test the model empirically with South Korean international consumers through a self-administered survey. Findings The data support the relationships of selected brand signals, such as brand credibility, brand liability, decision heuristic and anticipated satisfaction, with brand attitude and purchase likelihood. Practical implications The results imply how global hotel brand managers could enhance the effect of global hotel branding on the consumer’s hotel choice. Originality/value The study adds to the literature by proposing a new, empirically supported model of global branding for the tourism and hospitality industry.