Vol. 2, No. 4, 2012, pp.220-230
ISSN: 2146-4405 www.econjournals.com Customer Relationship Management (CRM) in Hotel Industry: A framework Proposal on the Relationship among CRM Dimensions,
Marketing Capabilities and Hotel Performance
Abdul Alem Mohammed
School of Tourism, Hospitality and Environmental Management, COLGIS,
Univerisiti Utara Malaysia, Sintok, Malaysia. Email: abd_102006@yahoo.com
Basri bin Rashid
School of Tourism, Hospitality and Environmental Management, COLGIS,
Univerisiti Utara Malaysia, Sintok, Malaysia. Email: basri@uum.edu.my
ABSTRACT: Customer relationship management (CRM) has a growing popularity and is becoming one of the hottest academic and practical topics in the business field. In fact, due to the competitive environment, CRM is crucial and has become a niche for firm performance. However, there is limited research that reveals the relationship between CRM dimensions and hotel performance. Therefore this study is an attempt to provide a value conceptual model that explains the theoretical linkages existing between CRM dimensions and hotel performance. This study serves not only to clarify the relationship between CRM dimensions and hotel performance, but also to explain the mediation role of marketing capabilities in this relationship.
Keywords: CRM; Marketing capability; Hotel industry
JEL Classifications: M31; L84; L83
1. Introduction
Undoubtedly, CRM has recently become one of the most controversial issues and a focal-point in the business field (Balaram and Adhikari, 2010; Becker et al., 2009; Dimitriadis and Steven, 2008;
Ozgener and Iraz, 2006). It is worth mentioning that CRM is mainly based on the belief that establishing a sustainable relationship with customers is the cornerstone for obtaining loyal customers who are much more profitable than non -loyal ones (Dowling, 2002).
In this regard, the successful implementation of CRM strategy will be of
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