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Does size matter? On the productivity and profitability of cableway operation

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abstract This paper discusses the impact of size, measured in turnover on profitability, i.e. EBITDA per turnover, exemplified by one of the leading industries in alpine tour-ism - cableways. It empirically investigates practitioners' as well as scholars' claim according to which the cableway industry could become more productive and prof-itable by consolidation. The results, drawn from multiple types of regressions, show that there is a significant and logarithmic association between size and profitability. From the nature of that association one can conclude that smaller companies are more likely to gain in productivity and profitability from consolidation than larger companies, which have to find other ways to improve their performance.
   
type conference paper (English)
   
keywords Profitability, cableways, mountain railways, consolidation
   
name of conference AIEST-Congress (Macau, China)
date of conference 20-8-2007
title of proceedings Productivity in Tourism - fundamentals and concepts for achieving growth and competitiveness
page(s) 99-110
publisher Erich Schmidt Verlag (Berlin)
ISSN 1862-9946
ISBN 978 3 503 104343 0
review double-blind review
   
citation Beritelli, P., Laesser, C., & Riklin, T. (2007). Does size matter? On the productivity and profitability of cableway operation. In Productivity in Tourism - fundamentals and concepts for achieving growth and competitiveness, pp.99-110. Berlin: Erich Schmidt Verlag. - ISBN 978 3 503 104343 0.