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Unraveling the Financial Impact of COVID-19 on the Tourism Industry through a Difference-In-Difference Analysis

The result's identifiers

  • Result code in IS VaVaI

    <a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F04130081%3A_____%2F24%3AN0000020" target="_blank" >RIV/04130081:_____/24:N0000020 - isvavai.cz</a>

  • Alternative codes found

    RIV/29142890:_____/24:00047786 RIV/70883521:28120/24:63576398

  • Result on the web

    <a href="https://jots.cz/index.php/JoTS/article/view/614" target="_blank" >https://jots.cz/index.php/JoTS/article/view/614</a>

  • DOI - Digital Object Identifier

    <a href="http://dx.doi.org/10.29036/jots.v15i28.614" target="_blank" >10.29036/jots.v15i28.614</a>

Alternative languages

  • Result language

    angličtina

  • Original language name

    Unraveling the Financial Impact of COVID-19 on the Tourism Industry through a Difference-In-Difference Analysis

  • Original language description

    The COVID-19 pandemic has had a significant and enduring effect on the tourism industry, specifically impacting travel agencies. To respond effectively, it is essential to comprehend the financial repercussions and challenges that these agencies confront. This study seeks to address existing gaps in knowledge by conducting a comprehensive examination of the tourism industry's financial performance in the post-COVID-19 era. Our methodology utilizes a Difference -In -Difference (D -I -D) approach, considering multiple investigations to establish a causal connection between the pandemic and the financial stability of tourism service providers. We analyse changes in the overall financial health of the tourism industry relative to other sectors both before and after the COVID-19 outbreak using Altman Z scores. Furthermore, we assess accounting harmonization across diverse jurisdictions and financial frameworks (IFRS, US GAAP, Czech GAAP, German HGB). Data is sourced from 11 multinational corporations in the tourism sector, supplemented with financial data from sectors such as Automotive, Manufacturing, Food and beverage, and Real Estate. Our empirical findings indicate that non -tourism entities experienced a 19% lower likelihood of bankruptcy post-COVID-19. This finding underscores the uniqueness of the tourism industry's challenges during the pandemic. In addition to these findings, we provide practical recommendations designed to assist companies in the tourism industry as they navigate the recovery phase following the pandemic. These insights are pivotal in enabling the industry to build resilient strategies and ensure its sustainability in a post -pandemic landscape.

  • Czech name

  • Czech description

Classification

  • Type

    J<sub>imp</sub> - Article in a specialist periodical, which is included in the Web of Science database

  • CEP classification

  • OECD FORD branch

    50205 - Accounting

Result continuities

  • Project

  • Continuities

    N - Vyzkumna aktivita podporovana z neverejnych zdroju

Others

  • Publication year

    2024

  • Confidentiality

    S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Data specific for result type

  • Name of the periodical

    JOURNAL OF TOURISM AND SERVICES

  • ISSN

    1804-5650

  • e-ISSN

  • Volume of the periodical

    15

  • Issue of the periodical within the volume

    28

  • Country of publishing house

    CZ - CZECH REPUBLIC

  • Number of pages

    18

  • Pages from-to

    143-160

  • UT code for WoS article

    001258536700007

  • EID of the result in the Scopus database

    2-s2.0-85196955009