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Pilot Study of Hotel Ownership Patterns and Their Economic Impacts on Wales Economy Joseph La Lopa

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Pilot Study of Hotel Ownership Patterns and Their Economic Impacts on Wales Economy Joseph La Lopa Rochester Institute of Technology RIT Scholar Works Theses Thesis/Dissertation Collections 1989 Pilot study of hotel ownership patterns and their economic impacts on Wales economy Joseph La Lopa Follow this and additional works at: http://scholarworks.rit.edu/theses Recommended Citation La Lopa, Joseph, "Pilot study of hotel ownership patterns and their economic impacts on Wales economy" (1989). Thesis. Rochester Institute of Technology. Accessed from This Thesis is brought to you for free and open access by the Thesis/Dissertation Collections at RIT Scholar Works. It has been accepted for inclusion in Theses by an authorized administrator of RIT Scholar Works. For more information, please contact [email protected]. Pilot Study of Hotel Ownership Patterns and their Economic Impacts on Wales Economy by Joseph M. La Lopa A thesis submitted to the faculty of the School of Food, Hotel, and Tourism Management at Rochester Institute of Technology in partial fullfillment of the requirements for the degree of Master of Science October 1989 Acknowledgements I would like to thank Dr. Richard Marecki for being the greatest mentor there ever was for a graduate student working on a Master's degree. I would like to thank Dr. Francis Domoy, who may be the smartest and the humblest person I have ever met. I want to thank Paula Merkel for putting up with me (which is a challenge under even normal the conditions) , through many long hours away from home working on a graduate degree. I also owe a debt of thanks to Warren Sackler for resourcing the project offered to a graduate student at RIT, on behalf of the Wales Tourist Board. I would like to thank John Walsh-Heron, Head of Trade and Consumer Affairs, Wales Tourist Board, for conceiving the idea of having an RIT graduate student perform a project for the Tourist Board. I would also like to thank Gerry Scicluna, Principal Lecturer at the South Glamorgan Institute of Higher Learning, for his hospitality while I was in Wales. Thanks also go to the following members of the Wales Tourist Board, whose help was greatly appreciated while I was in Wales performing the Wales Rybi John Ian and Survey Instrument; Ann j , Parry Evans, Roberts, the entire secretarial pool. I would like to thank my father, Joseph La Lopa, for his tremendous support all of my life. I want to thank my mother for giving me her energy, which at times is a blessing and a curse. My ultimate and final thanks goes to Sam Kinison, Andrew "Dice" Clay, Father Guido Sarducci, Damon Revelas and James Myers for constantly reminding me a healthy sense of humor can carry one through the toughest of times. 11 Table of Contents ACKNOWLEDGEMENTS i LIST OF TABLES iv Chapter I . INTRODUCTION AND STATEMENT OF THE STUDY 1 Hotel and Ownership Patterns 1 Purpose of Study 10 Problem Statement 10 Hypothesis 10 Definition of Terms 10 Chapter II . LITERATURE REVIEW 15 Economic impact Model 22 Portrait of Wales 33 Chapter III. METHODOLOGY AND RESEARCH DESIGN 44 Sampling Procedures for Wales Survey 45 Wales Measurement Instrument 46 Construction of Wales Research Instrument 48 Pilot Testing of Wales Survey Instrument 49 Statistical Methodology of Wales Survey Instrument 49 Sampling Procedures for American Survey Instrument 50 American Survey Instrument 51 Pilot Testing of American Survey Instrument 54 Statistical Methodology of American Survey Instrument 55 Chapter IV. DATA ANALYSIS AND FINDINGS 57 Pilot Test Results of Wales Instrument 57 Descriptive Statistics of Sample 59 Mean Response Analysis of the Wales Survey Instrument 59 Results of Crosstabs Analysis 65 Factor Analysis: Analysis of the Wales Survey Pilot 85 Analysis of American Survey Instrument 91 Crosstabs Analysis of American Survey Instrument 98 Result of the Factor Analysis on American Survey 122 Chapter V. SUMMARY, CONCLUSIONS AND RECOMMENDATIONS 131 Summary 131 Conclusions 133 Recommendations for Further Study 134 REFERENCES AND BIBLIOGRAPHY 137 111 APPENDICES 141 A. Cover Letters and Pilot Survey Instrument distributed in Wales 141 B. Revised Survey Instument disributed in Wales 146 C. Cover Letter and Survey Instrument distributed in the United States 149 IV List of Tables Table 1. Model of Estimated Annual Turnover of Tourist Expenditures for Accommodations 20 1.1. Model of Hotel Ownership Patterns and their Economic Impacts on Tourism Infrastructures 23 2.0. Inventory of Lodging Accommodations in Wales, 1988 39 2.01. 1988 Hotel Occupancy Rates in Wales (percentages) 40 4.01. Distribution of Means Across Economic Variables in The Wales Survey, Part B 60 4.02. Crosstabulation of Variable 12 (region location) by Question Part A Wales 1, (development area) , from Survey Instrument 66 4.03. Crosstabulation of Variable 12 (region location) by Question 2, Part A (geographic location), from Wales Survey Instrument 68 4.04. Crosstabulation of Variable 12 (region location) by Question 1, Part B (increase in employment), from Wales Survey Instrument 70 4.05. Crosstabulation of Variable 12 (region location) by Question 2, Part B (increase in local earnings) from Wales Survey Instrument 72 4.06. Crosstabulation of Variable 12 (region location) by Question 3, Part B (increase in local business), from Wales Survey Instrument 73 4.07. Crosstabulation of Variable 12 (region location) by Question 4, Part B (provide formal training), from Wales Survey Instrument 75 4.08. Crosstabulation of Variable 12 (region location) by Question 5, Part B (balance of trade), from Wales Survey Instrument 77 4.09. Crosstabulation of Variable 12 (region location) by Question 6, Part B (increase in accommodations) from Wales Survey Instrument 78 4.10. Crosstabulation of Variable 12 (region location) by Question 7, Part B (increase in technology), from Wales Survey Instrument 80 4.11. Crosstabulation of Variable 12 (region location) by Question 8, Part B (attract overseas tourists), from Wales Survey Instrument 82 4.12. Crosstabulation of Variable 12 (region location) by Question 10, Part B (attract domestic tourists), from Wales Survey Instrument 84 4.13. Communality Estimates, Eigenvalues, and Percentage of Variance by Factor, for Wales Survey Instrument, Without Iteration - Initial Statistics 87 4.14. Communality Estimates, Eigenvalues, and Percentage of Variance by Factor, for Wales Survey Instrument, Without Iteration - Final Statistics 88 4.15. Varimax Rotation Factor Matrix of the Wales Survey Instrument After Rotation with Kaiser Normalization 89 4.16. Results of American Survey Instrument by Percentages 92 4.17. Crosstabulation of Question 24 (interested in Wales development) by Question 1 (familiar with Cardiff) , from American Survey Instrument 99 4.18. Crosstabulation of Question 24 (interested in Wales with development by Question 2 (familiar Wales) , from American Survey Instrument 100 4.19. Crosstabulation of Question 24 (interested in Wales development by Question 3 (currently own property 101 in Europe) , from American Survey Instrument 4.20. Crosstabulation of Question 24 (interested in Wales development by Question 4 (manage European 103 property) , from American Survey Instrument 4.21. Crosstabulation of Question 24 (interested in Wales development by Question 5 (franchise European Instrument property) , from American Survey 104 4.22. Crosstabulation of Question 24 (interested in Wales Question 6 (interested in development) , by European from developing property) , American Survey Instrument 105 4.23. Crosstabulation of Question 24 (interested in Wales Question 12 (incentive of development) , by legalized gambling in development) , from American Survey Instrument 106 4.24. Crosstabulation of Question 24 (interested in Wales development) by Question 13 (experience with computerized reservations) , from American Survey Instrument 108 4.25. Crosstabulation of Question 24 (interested in Wales development) by Question 16 (develop near a American hospitality school/college) , from Survey Instrument 109 4.26. Crosstabulation of Question 24 (interested in Wales development) by Question 17 (average rack rate for single occupancy) , from American Survey Instrument 110 4.27. Crosstabulation of Question 24 (interested in Wales development) by Question 18 (average rack rate for double occupancy) , from American Survey Instrument 112 4.28. Crosstabulation of Question 24 (interest in Wales development) by Question 19c (low interest as an American financing incentive) , from Survey Instrument 114 4.29. Crosstabulation of Question 24 (interest in Wales development) by Question 19a (preferential tax treatment as an from American incentive) , Survey Instrument 115 4.30. Crosstabulation of Question 24 (interest in Wales development) by Question 19b (government grants as an . .116 incentive) , from American Survey Instrument. 4.31. Crosstabulation of Question 24 (interest in Wales development) by Question 19d (government finance as an American Instrument. .117 incentive) , from Survey 4.32. Crosstabulation of Question 24 (interest in Wales development) by Question 20 (market most from interested in attracting) , American Survey Instrument 118 4.33. Crosstabulation of Question 24 (interest in Wales development by Question 21 (most preferred development location) , from American Survey Instrument 120 4.34. Crosstabulation of Question 24 (interested in Wales development) by Question 22 (company's business American structure) , from Survey Instrument 121 4.35. Crosstabulation of Question 24 (interested in Wales development) by Question 23b (stack rank preferred development location 123 4.36. Communality Estimates,
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