Culture, Service, and Tourism

Class Objectives

• Explore the service experience

• Understand what satisfaction is

• What is the difference between culture and organizational culture

• Look at Hofsted’s dimension

• Impact of Hofsted’s dimensions on tourism preference

The Experience

• Based on much of what we have talked about in class. tourism is not one industry

• Made up of multiple interrelated parts

• Each part contributes to the tourist perspective on their experience

• Management of each component is essential to producing a satisfied consumer

What Could Impact?

• Many different ways to consider this

• Could be the initial encounter in the generating region

• what about the check in experience at a hotel

• There are so many to consider

• On top of that, how does culture impact how different people take the experience into account

International Delta Airlines Experience

• Delta airlines is a well-known airline that flies both domestically in the U.S. and operates international flights as well

• When people judge the Delta airline experience, what parts of the experience have greatest impact on satisfaction?

• The pre-trip and post-trip portions

• When thinking about international flights, why is this challenging for Delta?

What is Satisfaction?

• When considering service, we often point to satisfaction as the ideal that we went to achieve

• In your words, what is satisfaction?

• What are the outcomes of a satisfied customer?

• Yet there is growing evidence that mere satisfaction is not good enough

• Only being satisfied does not increase loyalty or any of the other benefits

• A new goal is delight

Service Experiences

• Again, service management initially viewed through the lens of industry manufacturing

• Why does this fail in the tourism context?

• The tourism experience is dynamic, thus the service experience that is provided must also be dynamic

• When looking at the tourism system, we have acknowledged this

Customer Centric Approach

How does the customer centric approach differ from product centric approach?

Elements of the Service Experience

• Where do most tourists find greatest satisfaction (or dissatisfaction) with the tourism experience?

• In service encounters. Traditionally, what were these? How have they changed

• A strong experience here is generally seen as an example of strong service quality

• Again, human or AI, does not matter

Culture

1. What is culture?

2. What is organizational culture

3. How does organizational culture impact service

• Think about culture in terms of a computer. It is the mental programming of the brain

• Must exist between at least two people

• Connections between people that goes beyond genetics

• Generally passed down among generations of groups

• Many areas to study… a lot focus goes looks at values. Why?

Culture vs. Organizational Culture

• General culture deals more in values. These are long lasting and allow for cultural comparison.

• Organizational culture also deals in value, but more interested in practices. Often what separates companies

• What organizational climate?

• Organizational culture develop the processes and approach that employees have

• Important, but must also understand culture of our consumer, Why?

The Cultural Iceberg

Communication

• High context vs. low context cultures (high context: think about the context in Japan)

• Non verbal behaviors

• Eye contact

Power Distance

• How much members of a society and organization accept that power is distributed unequally

• Latin countries and Asian countries tend to be higher on this

• As scale gets closer to 100, greater comfort with unequal power

China has high scale of power distance (100)

China = group oriented cultures (they travel together in a big group)

Japan is kinda mystery. (they are collectivism oriented but closer to individualism culture with 51 score of power distance) (they avoid to be alone, they want to be in a group, but they do not travel as a large group like China)

Individualism and Collectivism

• Individually oriented countries highlight the individual’s goals while collective countries favor communication and commitment among community

• Less developed countries tend to be more collectively oriented

• Closer scale moves to 100, more individually oriented (individualism is important in that country)

Achievement oriented vs. Socially oriented

• Culture based on macho values or qualities based on social well being

• Scandinavian countries tilted towards femininity

• Closer to 100, greater masculinity

Uncertainty Avoidance

• How do countries deal with ambiguity

• Formalized rules recognize greater absolute truths and respect expertise

• Pattern hard to decipher

• Closer to 100, greater discomfort with uncertainty

Close to 0, they do not care what will happen tomorrow

Japan → uncertainty avoidance 99%

Japanese tend to book short-term trip because they are anxious of ambiguity (they are scared of what will happen next)

In Japan, there are so many packaged tour, because it organize all the trip (less ambiguity. They do not have to be worried about what will happen next)

Write down some thoughts

Which dimensions could impact the following service/experience elements. What might this impact look like?

• Satisfaction

• Destination evaluation

• Accommodation selection

• Destination selection

• Luxury Preferences

Satisfaction

• Strong connection with power distance

• Remember, power distance looks at comfort with the unequal distribution of power

• Countries that are lower on power distance attach satisfaction to expectations of service quality/ Why?

• Good service quality seen as an equal trade off in power. Reduces feelings of power inequality

Destination Evaluation

• Connected with individualism and collectivism

• Culture centered around individual or the group

• Individually oriented cultures more interested in the efficiency of a destination and what it provides

• Collectively oriented cultures more interested in relationships made at destination and with provider

• Makes sense based on what this orientation tells about people

Selection of Accommodation

• What dimension do you think would have an impact here?

• Uncertainty avoidance tells us a lot about this preference.

• Countries with a higher uncertainty avoidance prefer more hotels like accommodations compared to motel or campsites. Why?

• Hotels provide a level of safety and appear to have more regulation

• Decreases feelings of not knowing what is coming next

Destination Selection

• What dimensions do you think would play a role here

• Uncertainty avoidance and individualism and collectivism. Any thoughts?

• Countries higher on individualism and lower on uncertainty avoidance prefer off the beaten, novel destinations.

• Again it all makes sense

Luxury Preferences

• This is the last one. Which cultural dimension may impact interest in luxury experiences and accommodations.

• Power distance. Why?

• Higher power distance leads people to want to show off their place in society

• Ability to participate in unique, luxury tourism experiences demonstrates a higher level in society

Culture Eats Process

• International mergers increasing dramatically throughout the world

  • Many end in failure. Why?

• Failure to understand cultural differences

  • Walmart failed in Germany. Did not realize people do not like the Walmart culture

• Most managers do not even think about culture. Only concerned with implementing organizational process

Formal vs. Informal Structure

• Formal structure

  • Centralized

  • Provides guidelines that allow company to achieve objectives no matter who is in the position

• Informal structure

  • Below the iceberg

  • Social networks, motivation. grapevine, security, critiques

• Must be able to successfully manage both