Impact of COVID-19: research note on tourism and hospitality sectors in the epicenter of Wuhan and Hubei Province, China

ABSTRACT

Purpose: The purpose of this paper is to present initial findings from a vulnerability assessment based on the perceptions of practitioners working in four tourism and hospitality sectors in Wuhan and Hubei Province, namely, cruise lines, hotels, travel agencies and touristic attractions. Design/methodology/approach: The research note focuses on the coronavirus (COVID-19) outbreak from January to March 2020. Using the destination sustainability framework and an “interpretation” mixed methods research design, the authors analyze phone interviews (n = 151) and subsequent online surveys (n = 370) to assess sector-specific perceptions of exposure, sensitivity and system adaptiveness. Findings: Overall, findings paint a grim picture of each sector in the short-term. All respondents reported an immediate economic loss due to COVID-19, as well as recovery concerns and uncertainties. Immediate actions for addressing these issues centered on internal cost control and governmental subsidies, while anticipated next steps focused on product adjustment, a transformation of business structures and seeking governmental guidance and policies in restoring market confidence. Findings also allude to future strategies/directions. Research limitations/implications This study is limited in its focus on practitioner views in the immediate COVID-19 outbreak. Implications highlight a crucial strategic dependence of each sector on effective government/managerial communication and support, with smaller, local businesses needing particular attention in crisis situations. Originality/value To the authors’ knowledge, this research note is the first comprehensive study presenting vital information pertaining to the impact of COVID-19 on tourism and hospitality businesses from a large group of business leaders in the site of the initial outbreak (i.e. Wuhan and Hubei Province). With the highly infectious COVID-19 representing an ongoing threat for populations worldwide, this paper hopes this research note provides valuable insights for practitioners in other vulnerable regions, as well as for researchers examining strategies for resilience against this and future disasters. © 2020, Emerald Publishing Limited.