From Survival to Resilience: Resolving the Weakness of New Rural Hotels Through EO—An Empirical Study Based on Dynamic Adjustment Mechanisms
New rural hotels in China face a critical challenge, with an annual failure rate of 42%. This high rate is attributed to their “Newness Weakness (NW),” characterized by a lack of legitimacy, fragmented resources, and poor adaptability. Drawing on data from 67 Chinese rural hotels under 5 years old, this study investigates how Entrepreneurial Orientation (EO) drives performance within this constrained context. The results confirm a significant positive overall effect of EO on firm performance (β = .43, p < .01). However, this impact is primarily driven by Innovation Frequency (β = .41) and Strategic Proactiveness (β = .35), while the effect of Risk-Taking is weaker (β = .15) due to resource limitations. Crucially, the dimensions of NW function as pivotal moderators. A high legitimacy deficit significantly weakens the profit conversion of a risk-taking orientation (β = −.23), whereas resource fragmentation paradoxically strengthens the revenue growth effect of an innovation orientation (β = .27). The study further uncovers synchronous regulatory effects; for example, a strong brand image buffers the negative impact of new entrant threats on innovation performance (β = −.31). This research contributes a “Dynamic EO” model, develops localized measurement instruments, and constructs an actionable “resource assembly” implementation framework, offering a strategic pathway for nascent rural hotels to transition from survival to sustainable resilience.
Authors
- Min Zhong (ORCID: https://orcid.org/0000-0001-9753-8090)
- Tian Zhou (ORCID: https://orcid.org/0000-0003-1582-4005)
- Fox Z.Y. Hu (ORCID: https://orcid.org/0000-0002-4566-1772)
- Zhonghong Cao (ORCID: https://orcid.org/0000-0002-1967-940X)
Institutions
- Hunan University of Science and Engineering (CN)
- Hubei University (CN)
Publication Details
- Journal
- SAGE Open
- Published
- 2025-10-01
- DOI
- https://doi.org/10.1177/21582440251407373
- Primary Topic
- Diverse Aspects of Tourism Research
- Type
- article
- Field-Weighted Citation Impact
- 0.00