The financial resilience model of the hotel industry in crisis using structural equation modeling

Document Type : Original Article


1 Ph.D. Student in Financial Engineering, Department of Management, Rasht Branch, Islamic Azad University, Rasht, Iran.

2 Associate Prof, Department of Management, University of Guilan, Rasht, Iran

3 Associate Prof, Finance, Payame Noor University, Rasht, Iran.


Recent crises have faced the hotel industry with many financial risks, so that due to the lack of income, it has led to the closure of some hotels and the unemployment of their employees. Therefore, the hotel industry's financial resilience was taken into account in crisis. In this research, the financial resilience model of the hotel industry is presented in crisis, using a quantitative approach (structural equation modeling). After reviewing the literature review, the employees’ attitudes (a 137 random sample) was were examined by a researcher-made questionnaire. The participants were selected among 1448 Iranian hotels in the spring of 1401. The research method is descriptive-correlative. In order to data analysis, structural equation modeling was used. The results indicated that from the participants' opinions, although most of the components of the model are approved, environmental protection as an intervening factor has a positive but non-significant effect on the hotel industry's financial resilience in crisis. Therefore, the country's hotel industry can provide the contexts for financial resilience in crisis through applying the strategies, so that it can become financially resilient and continue its life.


  • Abedinnejad, A., & Mirzaee, A. A. (2019). The role of hotels in the promotion and development of the tourism industry Case Study of Tehran 4 & 5 Star Hotels. Geographical Journal of Tourism Space, 8(30), 65-82.‏
  • Ariffin A. A. M., & Maghzi A. (2012). “A preliminary study on customer expectations of hotel hospitality: Influences of personal and hotel factors”, International Journal of Hospitality Management, 31(1), 191-198.
  • Barbhuiya, M. R., & Chatterjee, D. (2020). Vulnerability and resilience of the tourism sector in India: Effects of natural disasters and internal conflict. Tourism Management Perspectives33, 100616.‏
  • Bazargan Harandi, A. (2016). An Introduction to Qualitative and Mixed Research Methods: Common Approaches in Behavioral Sciences.
  • Berry, C., Ryan-Collins, J., & Greenham, T. (2015). Financial System Resilience Index: Building a Strong Financial System. New Economics Foundation.‏
  • Boorman, J., Fajgenbaum, J., Ferhani, H., Bhaskaran, M., Arnold, D., & Kohli, H. A. (2013). The Centennial resilience index: Measuring countries’ resilience to shock. Global Journal of Emerging Market Economies. 5(2), 57-98.‏
  • Breque, M., De Nul, L., & Petridis, A. (2021). Industry 5.0: towards a sustainable, human-centric and resilient European industry. Luxembourg, LU: European Commission, Directorate-General for Research and Innovation.‏
  • Briguglio, L., Cordina, G., Farrugia, N., & Vella, S. (2008). Economic vulnerability and resilience: concepts and measurements. Oxf Dev Stud. 37(3): 1810–2611.
  • Briguglio, L. (2014). A vulnerability and resilience framework for small states. London: Commonwealth Secretariat.  
  • Buheji, M. (2018). Understanding the Power of Resilience Economy: An Inter-Disciplinary Perspective to Change the World Attitude to Socio-Economic Crisis. AuthorHouse.
  • Cabezon, E., Hunter, L., Tumbarello, P., Washimi, K., & Wu, Y. (2019). Enhancing macroeconomic resilience to natural disasters and climate change in the small states of the Pacific. Asian Pac Econ Lit. 33(1):113–30.
  • Cartier, E. A., & Taylor, L. L. (2020). Living in a wildfire: The relationship between crisis management and community resilience in a tourism-based destination. Tourism Management Perspectives. 34, 100635, 1-12,
  • Chavoshi, S. K., & Kabirian, M. H. (2020). A Model of Iran’s Capital Market Resilience Using Structural Equation Modeling. Quarterly Journal of Financial Engineering and Securities Management. 11(43),106-130.‏
  • Coles, T. (2021). Tourism, Brexit and the climate crisis: on intersecting crises and their effects. Journal of Sustainable Tourism. 29(9), 1529-1546.‏
  • Ebrahimi, M., Zargham Borujeni, H., & Sokhandan, E. (2017). Tourism Destinations Crisis Management Process Performance Evaluation. Journal of Strategic Management Studies, 7(28), 103-123.‏
  • Ertaş, M., Sel, Z. G., Kırlar-Can, B., & Tütüncü, Ö. (2021). Effects of crisis on crisis management practices: a case from Turkish tourism enterprises. Journal of Sustainable Tourism. 29(9), 1490-1507.
  • Faiz, A., Salehi, A., and Ghane, S. (2019). Designing a financial shock control model in the conditions of the outbreak of the corona virus in the hotel industry (case study: five-star hotels in the holy city of Mashhad). Economics and urban management. 9(23), 143-162.
  • Fountain, J., & Cradock-Henry, N. A. (2020). Recovery, risk and resilience: Post-disaster tourism experiences in Kaikōura, New Zealand. Tourism Management Perspectives. 35, 100695, 1-11,
  • Ghiasvand, A., and Abdolshah, F. (2014). The concept and evaluation of Iran's economic resilience. Economic Research Quarterly, 15(59), 161-187.
  • Ghorbani, A., Danaei, D., Zargar, D., & Hematiyan, D. (2019). Identification of organizational intelligence factors in organizations providing tourism services in South Khorasan Province. Geography and Territorial Spatial Arrangement, 9(30), 137-156.‏
  • Glaser, B. (2013). What is grounded theory. It’s online at: /what-is-gt.aspx
  • Hallegatte, S. (2014). Economic resilience: definition and measurement. World Bank Policy Research Working Paper (6852).‏ tract_id=2432352.
  • Hassanvand, A., Hajinejad, A., & Yasouri, M. (2020). The Factors Affecting Economic Resilience of Rural Settlements after the Earthquake (Case Study: Silahkhor Rural District, Dorood). Journal of Geography and Environmental Hazards, 8(4), 51-66.‏
  • Hoque, A., Shikha, F. A., Hasanat, M. W., Arif, I., & Hamid, A. B. A. (2020). The effect of Coronavirus (COVID-19) in the tourism industry in China. Asian Journal of Multidisciplinary Studies, 3(1), 52-58.
  • Jethwaney, J. (2020). Covid-19 Disaster: Interdependence of Crisis Communication and Socio-Economic Resilience. In Disaster Management for 2030 Agenda of the SDG. Palgrave Macmillan, Singapore, 333-358. ‏
  • Kash, T. J. & Darling, J. R. )1998(. Crisis management: prevention, diagnosis and intervention. Leadership & Organization Development Journal.
  • Khalilifard, R., Ahmadi, F., and Hosseini, S. F. (2019). sustainable financial management, cost control and internal revenue growth, the fourth international conference on financial management, trade, banking, economics and accounting, https://civilica com/doc/1126984.
  • Koirala, J., & Acharya, S. (2020). Impact of Novel Corona Virus (COVID-19 or 2019-nCoV) on Nepalese Economy. Available at SSRN 3560638.
  • Konstantakis, K. N., Soklis, G., & Michaelides, P. G. (2017). Tourism expenditures and crisis transmission: A general equilibrium GVAR analysis with network theory. Annals of Tourism Research. 66, 74-94.
  • Li, Y., & Singal, M. (2019). Capital structure in the hospitality industry: The role of the asset -light and fee -oriented strategy. Tourism Management, 70, 124 - 133.
  • Malazizi, N., & Birsel, H. (2020). Post Corona World: Tourism Movements in the Context of Global Health Safety. Electronic Turkish Studies, 15(3).
  • Manthiou, A. (2020). Applying the EEE customer mindset in luxury: reevaluating customer experience research and practice during and after corona. Journal of Service Management.
  • Mohammadi, T., Shakeri, A., Taghavi, M., & Ahmadi, M. (2017). Explaining the concepts, dimensions and components of economic resilience. Basij Strategic Studies, 20(75), 89-120.‏
  • Nazari Moghadam, E., Sayahian Dehkordi, M., and Farahani, B. (2013). A look at marketing styles in Iranian hotels. National conference on tourism, national capitals and future prospects, Isfahan,
  • Netawate, R. S. (2020). Study of Corona Virus and its Impact on Tourism Sector of India. Studies in Indian Place Names, 40(73), 31-34.
  • Patel, P. K., Sharma, J., Kharoliwal, S., & Khemariya, P. (2020). The Effects of Nobel Corona Virus (Covid-19) in the Tourism Industry in India. Int. J. Eng. Res. Technol, 9, 780-788.
  • Pennington-Gray, L. (2018). Reflections to move forward: Where destination crisis management research needs to go. Tourism Management Perspectives. 25, 136–139.
  • Prayag, G. (2018). Symbiotic relationship or not? Understanding resilience and crisis management in tourism. Tourism Management Perspectives. 25, 133-135. https://doi. org/10.1016/j.tmp.2017.11.012.
  • Rahimpour, A. (1384). Tourism, security and development. Marketing Monthly. Number 17. Tehran.
  • Ranasinghe, R., Damunupola, A., Wijesundara, S., Karunarathna, C., Nawarathna, D., Gamage, S., ... & Idroos, A. A. (2020). Tourism after corona: Impacts of OVID 19 pandemic and way forward for tourism, hotel and mice industry in Sri Lanka. Hotel and Mice Industry in Sri Lanka (April 22, 2020).
  • Rose, A., & Krausmann, E. (2013). An economic framework for the development of a resilience index for business recovery. International Journal of Disaster Risk Reduction. 5, 73-83. ‏
  • Sadeghi, S., and Jodeiri Abbasi, M. (1394). Investigating the Tourism Infrastructureand the existing potentials on the development of the hotel industry in Tabriz. The second international research conference in engineering, science and technology.
  • Safi, S., and Moghadam, M. (2013). The role of the hotel industry in the development of tourism by examining the statistics of tourists and the amount of stay in Hamadan hotels. The first national conference on geography, tourism, natural resources and sustainable development, Tehran,
  • Schoon, I., & Bynner, J. (2003). Risk and Resilience in the life course: implications for interventions and social policies. Journal of Youth Studies. 6(1), 21–31
  • Setiadi, R. (2019). Assessment of utilization of social media marketing for providing reliable information-based decision making for business service excellence in hotel sector. Journal of Management Information and Decision Sciences, 22(4), 398-407.
  • Shahvazian, S., and Hashemi Qinani, F. (2019). The challenges of human resources management during the transition from the corona crisis and providing a solution in the hotel industry of Iran. Tourism Management Quarterly, Volume 15 (Special Letter on Covid-19). 217-252.
  • Sheppard, V. A., & Williams, P. W. (2016). Factors that strengthen tourism resort resilience. Journal of Hospitality and Tourism Management. 28, 20-30. ‏
  • Sijanivandi, S., Mansouri, K., and Emami, E. (1400). The impact of the corona virus crisis on the tourism and hotel industry and providing solutions. National Conference on Business Management in Crisis.
  • Sobhani, J., and Shadi, M. A. (2015). Studying the role of hotel marketing in the development of Iranian tourism. The second international conference of new ideas in management, economics and accounting. Singapore.
  • Soufi, H. R., Esfahanipour, A., & Shirazi, M. A. (2022). A quantitative approach for analysis of macroeconomic resilience due to socio-economic shocks. Socio-Economic Planning Sciences. 79, 101101. ‏
  • Strauss, A. L. & Corbin, J. M. (2008). Pesquisa qualitativa: Técnicas e procedimentos para o desenvolvimento de teoriafundamentada. (2 ed.). Porto Alegre: Artmed.
  • Yar Ahmadi, M. H., and Salehi, E. (2018). Investigating the impact of crisis management on the tourism industry. The third international conference on management, industrial engineering, economics and accounting,
  • Zaman, G., & Vasile, V. (2014). Conceptual framework of economic resilience and vulnerability at national and regional levels. Romanian Journal of Economics. 2(48), 5-18.