7. Conclusion and implication
By examining and comparing different effects of business size on guest experience and financial performance, this study empirically addresses the disputes regarding the economic and socio-cultural consequences of rural SAB growth. It reveals that while the positive relationship between business size and business performance seems singular and straight-forward, the relationship between business size and guest experience is more complicated: increased business size positively lead to improved functional experience and emotional experience, but in the meantime deteriorate the authentic experience.
Theoretically, this study contributes to knowledge in three aspects. First, it proposes and tests a model depicting the effects of SAB size on guest experience and business performance. Although it has been widely observed that SABs vary in size across different entities and may expand their size through time, few research has examined and modeled the outcome of SAB size change. This study thus fills the gap and introduces a “growth lens” into small tourism business research to address heterogeneity between businesses.