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Strategic orientation and performance measurement model in Taiwan's travel agencies

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  • Leo Huang

Abstract

This longitudinal study attempts to examine those effects and relationships of various performance measuring dimensions using the balanced scorecard conceptual framework on travel agencies under different strategic orientations in Taiwan. A three-stage research design is adopted to explore a valid and reliable e-commerce strategy performance measuring model for travel agencies. The research also uses the structural equation modeling (SEM) approach to further empirically build up e-commerce cost leadership and differentiation strategy performance measurement models. The theoretical model identifies an underlying variable construct, dimensions, and their associated attributes which combine the traditional subjective or objective measures with operating measures of e-commerce strategy performances. According to this research, Taiwanese travel agencies consider five financial, three customer, four internal process, and three innovation and learning perspective indicators of performance measurement that also have cause-and-effect relationships among themselves under two different strategies. Finally, this paper proposes two optimal models that match the essential needs of e-commerce cost leadership and differentiation strategic development and overcomes the traditional performance measuring shortcomings.

Suggested Citation

  • Leo Huang, 2008. "Strategic orientation and performance measurement model in Taiwan's travel agencies," The Service Industries Journal, Taylor & Francis Journals, vol. 28(10), pages 1357-1383, December.
    • Handle: RePEc:taf:servic:v:28:y:2008:i:10:p:1357-1383
    DOI: 10.1080/02642060802250179
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    Cited by:

    1. Yu-I Lee & Ching-Hsun Chang & Yu-Shan Chen, 2013. "The influence of novelty, flexibility, and synergy of package tours on tourist satisfaction: an analysis of structural equation modeling (SEM)," Quality & Quantity: International Journal of Methodology, Springer, vol. 47(4), pages 1869-1882, June.
    2. Doruk Sen & Sakir Bingol & Ozalp Vayvay, 2017. "Strategic Enterprise Management for Innovative Companies: The Last Decade of the Balanced Scorecard," International Journal of Asian Social Science, Asian Economic and Social Society, vol. 7(1), pages 97-109, January.
    3. Pei Ling Sung & Teng Yuan Hsiao & Leo Huang & Alastair M. Morrison, 2021. "The influence of green trust on travel agency intentions to promote low‐carbon tours for the purpose of sustainable development," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(4), pages 1185-1199, July.
    4. Edward C.S. Ku, 2014. "Technological competence and team cohesiveness among travel agencies," The Service Industries Journal, Taylor & Francis Journals, vol. 34(6), pages 515-529, April.

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