Georgiadis, Andreas and Pitelis, Christos N. (2010) The interrelationship between HR, strategy and profitability in service SMEs: empirical evidence from the UK tourism hospitality and leisure sector. CEP Discussion Paper, No. 972. Centre for Economic Performance, London School of Economics and Political Science, London, UK.
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We investigate the strategies, HR attributes and their synergies that are associated with superior performance in service SMEs using data from the UK Tourism Hospitality and Leisure (THL) sector. A major advantage of our analysis is that our sample includes information also on very small firms which makes results representative of the industry but also sheds light on a very little investigated area related to the nature of HRM and its link with performance of micro businesses. Our results suggest that high-performing SMEs in the THL sector are managed by more experienced entrepreneurs. Moreover, they employ a combination of technological and know-how firm differentiation strategies together with a highly skilled workforce, and/or a combination of (product) differentiation strategies based on quality of service and personal attention to customers, and a generous compensation package and attention to employees development.
|Item Type:||Monograph (Discussion Paper)|
|Additional Information:||© 2010 The authors|
|Uncontrolled Keywords:||Value capture strategies, Human capital, Organisation Commitment to Employees, Profitability|
|Library of Congress subject classification:||H Social Sciences > HB Economic Theory
H Social Sciences > HD Industries. Land use. Labor
|Journal of Economic Literature Classification System:||J - Labor and Demographic Economics > J2 - Time Allocation, Work Behavior, and Employment Determination and Creation; Human Capital; Retirement|
|Sets:||Collections > Economists Online
Research centres and groups > Centre for Economic Performance (CEP)
|Identification Number:||No. 972|
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