Unpacking Competitive Performance in 5* Hotels: The Joint Effect of Dynamic Managerial Capabilities and Digital Transformation

Aivaras Anuzis; Birute Rakauskiene; Sandra Narmonte; Edita Gimžauskienė

doi:10.5755/j01.ee.36.4.39924

Authors

Aivaras Anuzis St. Ignatius of Loyola College, Lithuania
Birute Rakauskiene St. Ignatius of Loyola College, Lithuania
Sandra Narmonte St. Ignatius of Loyola College, Lithuania
Edita Gimžauskienė Kaunas University of Technology, Lithuania

DOI:

https://doi.org/10.5755/j01.ee.36.4.39924

Keywords:

dynamic managerial capabilities, digital transformation, digital sustainability, competitive performance, 5* Hotel, case study

Abstract

Digital transformation in the hospitality sector was accelerated by the COVID-19 pandemic. Strategy scholars discussed dynamic managerial capabilities as capabilities needed to adapt to rapid change and navigate digital transformation to gain a competitive advantage in the hospitality sector. It suggests that by leveraging digital technologies, fostering a culture of innovation, and building agile business ecosystems, hospitality organizations can enhance their competitive position and ensure long-term sustainability in an increasingly digitalized marketplace. The research question of our study is how dynamic managerial capabilities and the adoption of digital technologies affect the competitive advantage of the hospitality sector. We address the research question by deploying a multiple case study research design and collecting data from 5* Hotels in Lithuania. The study finds that the synergy between dynamic managerial capabilities such as data-driven decision-making, connectivity to internal and external networks, also digitally driven operational efficiency, and sustainability-oriented attitudes significantly enhances the competitive performance of 5-star hotels by fostering innovation, strategic alignment, and superior guest value. We also provide insights for 5* hotel owners and managers.

Author Biographies

Aivaras Anuzis, St. Ignatius of Loyola College, Lithuania

Aivaras Anužis is the Director of St. Ignatius of Loyola College and a lecturer in management and education. He holds a BA in Philosophy, an MA in Education, an MA in Economics and Tourism Management, and a PhD in Social Sciences (Management and Administration). His research and teaching interests include management, marketing, sustainable development, and tourism. He has authored publications on higher education, vocational training, and innovation, and has extensive experience in applied and commissioned projects across business, health, and social welfare sectors, integrating research with institutional development and professional practice.
Birute Rakauskiene, St. Ignatius of Loyola College, Lithuania

Birutė Rakauskienė is a lecturer at St. Ignatius of Loyola College, where she teaches project management in the Hospitality Management program within the Tourism and Recreation field of studies. She holds a Master’s degree in Business Management, and her academic interests focus on innovation, strategic development, and digital transformation. She integrates industry trends and applied research into teaching to align with labor market needs. Participation in the project “Unpacking Competitive Performance in 5 Hotels” enhanced her expertise in digital transformation and curriculum development.
Sandra Narmonte, St. Ignatius of Loyola College, Lithuania

Sandra Baužienė is a lecturer and practice supervisor at St. Ignatius of Loyola College, where she teaches in the Hospitality Management study program. She holds Master’s degrees in Recreation and Tourism Management and in Andragogy from Klaipėda University. Her academic interests include tourism development, hospitality innovation, and human resource management. She has extensive professional experience in higher and vocational education, curriculum design, and student practice coordination. She has also participated in numerous national and international projects related to tourism, education, and youth initiatives, strengthening the integration of applied research and professional practice into teaching.
Edita Gimžauskienė, Kaunas University of Technology, Lithuania

Edita Gimžauskienė, Dr., is a Professor of Accounting, teaching courses such as Management Accounting and Strategic Management Accounting for bachelor’s and master’s students. She is a member of the Digital Healthcare Innovation research group. Her research area focuses on Trends in Management Accounting and Performance Measurement in the Context of Digital Transformation. She serves as a supervisor, reviewer, and official opponent of PhD dissertations at both national and international levels. She was the coordinator of the Horizon 2020 project ERACHAIR: IN4ACT – Industry 4.0 Impact for Management Practices and Economics (2018–2023) under the Widening Programmes Coordination and Support Actions.