Social Media Utilisation and Business Performance of Hotels in Lebanon

Abstract

Several studies on social media from a users' perspective have been conducted. However, less attention has been paid to the effect of social media on organization performance, particularly among hotels. The aim of the study is to investigate the effect of social media on hotels' business performance as well as assessing the moderating effect of the hotel classification. In this study, a structural equation modelling method has been used for data analysis. The survey data was gathered from a sample of 146 hotels in Lebanon. Data analysis results demonstrate a positive and significant relationship between social media characteristics (visibility and association but not editability) on hotel business performance. The findings present valuable implications for hotel managers to direct their social media strategy and to capitalize on the possible benefits of social media to increase the business performance of hotels. In addition, the findings could also provide useful insights into other business sectors that have the intention to invest in social media.