The Effect of Managers' Business Intelligence on Attracting Foreign Tourists Case Study

The Effect of Managers' Business Intelligence on Attracting Foreign Tourists Case Study

Hadi Teimouri (University of Isfahan, Isfahan, Iran), Farnaz Afshar Hoojaghan (University of Isfahan, Isfahan, Iran), Kouroush Jenab (Faculty of College of Aeronautics, Embry-Riddle Aeronautical University, Daytona Beach, FL, USA) and Sam Khoury (Faculty of College of Business, Athens State University, Athens, AL, USA)
DOI: 10.4018/IJOCI.2016040101
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Abstract

Today, the effect of the tourism industry is observed in all economic, social, cultural, and political dimensions of societies and finding innovative and creative ways to develop it has doubled the importance of research in this area. The purpose of this study is to address the effect of managers' business intelligence on attracting foreign tourists. It is applicable from an objective aspect and descriptive-field from a methodological aspect. The statistical population included all foreign tourists in Shiraz during the time period of June-August 2015 and a random sampling method was employed for sampling. The sample size was estimated equal to 180. Having distributed the questionnaires, 166 questionnaires were acceptable and considered as the basis of conducting the research. Validity of the questionnaire was confirmed via face validity and its reliability was determined using Cronbach's alpha coefficient. More than 70% for all variables under study showed the suitable reliability of the questionnaire. Also, structural equation modeling was employed to test the hypotheses. The results indicated that there is a positive and significant relationship between dimensions of managers' business intelligence and attracting foreign tourists.
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Introduction

Paying attention to tourism and its positive effects has increased nowadays and this industry plays a very important role in social and economic welfare of host societies (Walker & Walker, 2011). Global capitalism, population mobility, and IT advancement have been effective on tourism development into one of the biggest industries in the world. On the other hand, offering high quality services and ensuring customer satisfaction have been recognized as important factors in tourism industry success (Chen et al., 2011). Companies have various strategies for competition with other firms that provide the following advantages for them:

  • 1.

    Operational efficiency;

  • 2.

    Creating specific value for customers.

Both aspects involve creating an organizational structure and designing a business process in a systematic and specific manner. For this reason, a need exists to discover new values and aspects of business besides old business methods in order to overcome competitors. This can be achieved via business intelligence (Martin-Ortega et al., 2014).

On the other hand, modern firms have to accept that their philosophy of life has changed. Definitely, it can be claimed that using the business intelligence solution can increase the competitiveness power of a firm and distinguish it from other firms. This solution enables firms to utilize the existing information about competitive advantages and pioneership. It gives a better understanding of customers' demands and needs and managing the relation with them and firms can control positive or negative changes (Isik, Jones, & Sidorova, 2013). Similarly, managers need fast responsiveness given the rapid environmental changes. The main task of a professional business is to produce suitable and active solutions for strategic business problems. A business intelligence system can enhance the strategic value of both tangible and intangible assets and add new dimensions to the value chain of the firms (Singh & Samalia, 2014). Business intelligence is a new procedure for collecting, organizing, and using information that is employed by firms. Old techniques have been changed into modern and pioneer technologies, because companies need to adopt decisions in real time and based on their existing data. Business intelligence system is a technology that increases business value of companies by improving managerial decision-making. Thus, the main purpose of business intelligence is empowering interactive access to data, exploiting it, and preparing the required analyses for managers (Turban, Sharda, & Delen, 2011). Therefore, this study aimed to address the effect of managers' business intelligence on attracting foreign tourists.

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