Crisis,firm characteristics and stock performance: evidence from Hospitality andTourism sector

• Jawed, Mohammad Shameem ^[1] ; Tapar, Archit Vinod ^[2] ; Dhaigude, Amol S. ^[2]
  1. [1] Indian Institute of Management Visakhapatnam, Visakhapatnam, India
  2. [2] T A Pai Management Institute,Manipal, India
• Localización: Tourism recreation research, ISSN 0250-8281, Vol. 48, Nº. 2, 2023, págs. 268-285
• Idioma: inglés
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• Resumen

  • This study investigates the criticalfirm-level strengths and weaknesses that explain cross-sectionalvariations in abnormal stock returns of Hospitality and Tourism (HT)firms during different phasesof a crisis. We used the event study and multivariate regression framework for analysing the IndianHTfirms’data around the COVID-19 crisis. While reporting a significant negative influence ofCOVID-19, we identified the early crisis, market crash and continuation of the crisis periods.Furthermore, we observe that during the early-crisis period, business diversity,financial stabilityand board diversity improved HTfirms’strength to withstand the risk, while business groupaffiliation was of little help. During the market crash and continuation of the crisis phase, bettercapital intensity andfinancial stability proved helpful. The managers of HTfirms can take cuesfrom this study to understandfirm-level characteristics that provide resilience to theirfirms’value in managing different phases of the crisis.