Evaluating the value proposition of developing a vacation ownership resort: the case of Florida and Hawaii

Abstract

Purpose: This paper aims to examine the value proposition of developing a vacation ownership project in Florida and Hawaii by analyzing actual company data.

Design/methodology/approach: The study is based on a net present value model approach that was used for analysis of the company financial data.

Findings: Results suggest that the vacation ownership alternative produces better financial performance than traditional hotel development.

Research limitations/implications: Research is limited to the case of a company in two main destinations. Practical implications The paper helps practitioners by presenting a current approach to consider in their understanding and perception of vacation ownership. Social implications Research is limited to the case of a company in two main destinations. Originality/value This study is one of the few investigations about applying real company data and comparing the main timeshare markets.

Department(s)

Hospitality Leadership

Document Type

Article

DOI

https://doi.org/10.1108/tr-04-2016-0008

Keywords

timeshare, economic analysis, vacation ownership, net present value (NPV)

Publication Date

2016

Journal Title

Tourism Review

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