The mediating effect of information quality on the relationship between competitive intelligence and hotels' performance

Competitive Intelligence (CI) has become an increasingly important academic and practical topic in the business field. Especially in the business sectors that are characterized by fierce competition such as the hotel industry, CI has become a significant strategy to enhance hotel performance. However, research that investigates the effect of CI dimensions (Competitive Intelligence Acquisition (CIA), Competitive Intelligence Context (CIC) and Competitive Intelligence Process (CIP)) on hotel performance is still limited. This study empirically examines the effect of CI dimensions (CIA, CIC and CIP) on hotel performance in Malaysia. It also investigates the mediating impact of IQ on the relationship between CI dimensions (CIA, CIC and CIP) and hotel performance. The study used Resource-Based View as an underpinning theory. Data were collected using a survey method whereby a total of 505 questionnaires were distributed to hotel marketing managers and yielded 36.04 % response rate (182 useable questionnaires returned). The Partial Least Square-Structural Equation Modeling (PLS SEM) was used to test the relationships between CI dimensions (CIA, CIC, and CIP), IQ, and hotel performance. The results provide empirical evidence of the significant positive effect of CIA, CIP, and IQ on hotels' performance, and CIA, CIC, and CIP on IQ in Malaysian hotels, while there is no significant effect of CIC on hotels' performance. More importantly, this study reveals that IQ is a significant mediating of the relationship between CI dimensions (CIA, CIC, and CIP) and hotel performance. Overall, this study enriches the literature by providing evidence of the importance of CI dimensions in improving hotel performance. Additionally, it also points out to the significant mediating effects of IQ on the relationship between CI dimensions and hotel performance. From the practical perspective, by understanding the relationship among the constructs in the research model, hotel managers could maximize the utilization of their internal resources to improve organizational performance. It is recommended that future studies should include factors such as the situation of the hotel and the environmental turbulence that may influence the relationship between CI dimensions and hotel performance.