search query: @author Nicolau, J. L. / total: 4
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| Author: | Nicolau, J. L. |
| Title: | Leveraging profit from the fixed-variable cost ratio: the case of new hotels in Spain |
| Journal: | Tourism Management
2005 : FEB, VOL. 26:1, p. 105-111 |
| Index terms: | Tourist industry Hotel management Decision analysis Risk Volatility Spain |
| Language: | eng |
| Abstract: | The aim of this paper is to detect the variations in the risk of a hotel chain's performance derived from opening a new lodging establishment. Investments requiring huge fixed costs have a direct effect on the operating leverage of a firm. Consequently, the analysis of the changes in the operating leverage derived from strategic decisions is a crucial aspect since it allows to shed some light on the degree of sensitivity of the firm to variations in demand. |
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