ORGANIZATIONAL CULTURE OF A HOSPITALITY ENTERPRISE AS A FACTOR IN THE FORMATION OF COMPETITIVENESS

Keywords: hospitality institutions, organizational culture, competitiveness, unique selling proposition, emotional selling proposition, storytelling, myth-making, competitive advantages

Abstract

The scientific article conducts a comprehensive theoretical and methodological analysis of organizational culture as a pivotal strategic factor in shaping the long-term competitiveness of hospitality enterprises within turbulent market environments. Special attention is dedicated to the operational specificities of the hotel and restaurant business under the prolonged impact of the full-scale war and accelerated digital transformation. The author systematically explores four fundamental types of organizational culture – adhocracy, market, clan, and hierarchy – defining their respective levels of adaptability, service styles, leadership roles, and human resource management practices. It is determined that while hierarchical structures ensure strict service predictability in large international chains, clan cultures foster sustainable guest loyalty in boutique or "third-place" establishments. The study justifies the necessity of transforming contemporary marketing approaches due to the mass proliferation and accessibility of artificial intelligence tools. As technological advantages become baseline industry standards, the primary arena for building core competitive advantages shifts toward human-centric parameters and deep emotional engagement. Consequently, the paper proves the expediency of transitioning from a rational unique selling proposition (USP), which appeals to consumer logic, to an irrational emotional selling proposition (ESP), centered on creating vivid impressions, positive associations, and unique sensory experiences. The critical components of the emotional engagement mechanism are identified, including storytelling, mythmaking, and strategic lifestyle modeling. Based on the research findings, the author concludes that sustainable brand success is achievable only through a balanced integration of emotional bonds with strict adherence to objective, rational quality standards, since a lack of operational excellence inevitably neutralizes short-term emotional appeal.

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Published
2026-07-30
How to Cite
Kovalenko, L. (2026). ORGANIZATIONAL CULTURE OF A HOSPITALITY ENTERPRISE AS A FACTOR IN THE FORMATION OF COMPETITIVENESS. Mechanism of an Economic Regulation, (1 (109), 35-40. https://doi.org/10.32782/mer.2026.109.4