Journal of Tourism & Hospitality
Open Access

Word of Mouth Marketing in Tourism Industry: Evidences from Chinese Business Immigrants in Ethiopia

Ebrahim Hussen^1* and Shiferaw Muleta^{2 *}Correspondence: Ebrahim Hussen, Department of Ecotourism and Biodiversity Conservation, Mettu University, Bedele, Ethiopia, Tel: 251913181520, Email:

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Introduction

Tourism and migration are the two most significant inter-related outcomes of globalization. Since 2000 tourism and migration have been growing significantly. According to the World Tourism Organization, 1.5 billion international tourist arrivals were recorded in the world in 2019. Similarly, there was an increment of international migrants by 55.43% from 2000 to 2019, which increased from 175 to 272 million. The two Phenomena have also other similarities. Both are the movement of people from one place to another even though they differ in the length of the stay time and attitude or motivation for movement (Paniagua). The nexus between tourism and migration can be seen as Tourism-Led-Migration (TLM) and Migration-Led-Tourism (MLT), this relation between tourism and migration has a significant contribution to poverty alleviation and development. The current study focuses on the Migration- Led-Tourism (MLT), which mainly implies the Visiting of Friends and Relatives (VFR) phenomenon (Provenzano).

Different forms of migration have vital roles in encouraging VFR tourism flow through broadening the relationship and network of origins and the host countries, and migrations of international laborers, particularly skilled workers, are potential networks for an international VFR tourism development. Likewise, the United Nations World Tourism Organization (UNWTO) categorizes international migrants into migrant laborers, irregular migrants, highly skilled and business migrants, family migrants, return migrants, resident migrants, and ethnic migrants. The WTO report also reveals the links of these migrant types with tourism. For instance, skilled business migrants have a high potential call effect on promoting the host country for other professionals and compatriots and a higher capacity to invite and receive their friends and relatives. According to Paniagua and Santana-Gallego, migrants can affect inbound tourism in three way, through promoting the host country and minimizing misunderstanding, misinformation, and reducing the information barrier of the two countries, by reducing travel cost because of encouraging transport connection and help finance of their friends and relatives, and sharing of awareness among compatriots regarding visitation of the host country [1-3].

Since 2012, China has been one of the leading sources of outbound tourists around the globe. According to UNWTO in 2027, the outbound tourism of China will be 1.4 billion which equals the total international tourist arrival of 2019 and it accounts for 10% of the total population of China. As the United Nations World Tourism Organization stated 48% of Chinese outbound tourists get information from recommendations of relatives and friends. Chinese tourists travel all over the world including Ethiopia. In Ethiopia, the number of inbound tourists from China is increasing and China is the third source of inbound tourists next to the United Kingdom and the United States of America.

The relation between Ethiopia and China has a long history and dates back to 100 B.C. Nowadays, the bilateral relationship is the closest and Ethiopia has received several Chinese investors. As the Ethiopia-China bilateral relation is growing in investment and other economic sectors, Ethiopia seeks and has an intention to attract more Chinese tourists and wants to become a preferable Chinese destination in eastern African.

Because of the nature of tourism that the potential visitor lives at a distance from the place where the consumption of the experience will occur, it is indispensable that tourists need adequate information about the tourism destinations to decide where to visit. According to Zeytoonli to be a preferred tourist destination marketer should use an effective method of promotion for capturing the minds of potential customers to redirect the decision making and vice-versa is the biggest challenge in tourism marketing. Tourism has a strong relationship with Word-of-Mouth (WoM) recommendations which is one of the significant parts of consumer behavioral intention [4].

Word-of-Mouth communication has become one of the most important channels which play an important role to shape consumers’ behavior through sharing of information about products and services and it has been frequently cited as an effective way of communication in capturing the mind of consumers. Word of mouth marketing can be affected by different factors. The perception towards determinants of word of mouth shows the feeling of tourists about the product and service that they have experienced. Unless marketers give high attention to antecedent Word of Mouth marketing will not be effective. Past study revealed that satisfaction is one of the determinants of word of mouth intention in the service industry. Perceived value Destination image, Language divergence, and Food neophobia are determinant for tourist satisfaction and word of mouth intention [5].

Therefore, it is imperative to examine the contribution of international migrants to Ethiopia for the country’s tourism development. Currently, there are a large number of international migrants who have come to Ethiopia as skilled laborers and expatriates working for international companies even though their actual number is not readily available. These migrants have come from several countries. With the growth of Chinese investment in Ethiopia over the last decade, this study has singled out Chinese immigrants to Ethiopia to conduct the current study, which focuses on investigating the factor which affects the satisfaction and word of mouth recommendation of Chinese business migrants to their friends and relatives.

Statement of problem

Even though tourism and migration are the growing interrelated outcome phenomena of globalization, less attention has been given by researchers to investigate it in different dimensions. Even the few available prior studies are limited in showing the interrelatedness of migration and tourism and focused only on quantitative data. For instance, Paniagua and Santana-Gallego conducted a study on 34 OECD member countries that have full tourism and migration data by employing the gravity equation. Their findings revealed that migration has a positive effect on tourism flow. Another study conducted in Australia showed that 10% of the migrant population yielded 3.4% VFR inbound tourism generation. A similar finding was also reported in a study conducted in the United Kingdom. Another study conducted among European Union countries revealed that not only migration tourism can positively affect migration and vice versa. These prior studies conducted in developed countries have only shown the relationship between migration and tourism. Nonetheless, these studies overlooked what motivates and keeps migrants to invite/recommend the host countries to their friends and relatives despite the visiting of families and relatives, which is also referred to as VFR tourism, is an important segment of tourism [6].

Pertaining to prior studies on this research theme in an African context, there is hardly any study available. Scholars in the field, especially sub-African scholars including Ethiopians have not given due emphasis to it. Most VFR studies focused on the global North with European and Australian, and only a handful of research studies have been conducted in Africa. As evidence; until 2017, there is no single published article that particularly focuses on VFR in the African Journal of Hospitality, Tourism, and Leisure in its several volumes. Within 25 years, between 1990 and 2015 only 129 researches were published which primarily focus on the analysis of VFR tourism worldwide. Silverman asserted that the capacity of word of mouth is far more and also above the estimation of the experts and nobody knew how high it actually is that and various factors will influence it. Existing studies lack broadness and a limited number of variables mostly, one up to three factors was included to determine and predict WoM. Studying in a more integrated approach is needed and helps to identify more gaps in marketing.

In Ethiopia, limited researchers have tried to show the importance of Word of Mouth (WoM) as one variable and source of information in tourism (Bayih) and other bank sectors (Aklilu) Nonetheless, the potential of Word of Mouth Marketing and its determinants is neglected by Ethiopian tourism scholars not only in tourism in other sectors also [7].

The current study addresses such limitations in extant literature in the field of tourism. The study will attempt to show not only the relationship between migration and tourism but also shows the determinants that motivate Chinese immigrants or factory workers to invite their friends and relatives to visit Ethiopia. By doing so, the study will add new knowledge and insights about migration and tourism as well as the factors determining WoM as an important marketing tool for tourism development in Ethiopia.

The objectives of the study

• To examine effect of destination image, food neophobia, perceived value and language divergence on Word of Mouth.

• To examine the indirect effect of destination image, food neophobia, perceived value and language divergence on word of mouth through satisfaction.

• To identify migrant’s perception on destination image, food neophobia, perceived value, language divergence and word of mouth.

• To develop new comprehensive model for antecedents of word of mouth.

Research hypotheses

H₁ : Food neophobia directly affects word of mouth intention

H₂ : Destination image directly affects word of mouth intention

H₃ : The perceived value directly affects word of mouth intention

H₄ : Language divergence directly word of mouth intention

H₅ : Satisfaction directly affects word of mouth intention

H₆ : Food neophobia indirectly affects word of mouth through mediating role of satisfaction

H₇ : Destination image indirectly affects word of mouth through mediating role of satisfaction

H₈ : The perceived indirectly affects word of mouth through mediating role of satisfaction

H₉ : Language divergence indirectly affects word of mouth through mediating role of satisfaction

Materials and Methods

This study was conducted among Chinese immigrant workers in Eastern Industrial Zone (EIZ), which is one of the special industrial zones of Ethiopia and was established in 2007. According to the information obtained from the Human Resource Bureau of EIZ 947 Chinese skilled workers are working in EIZ as of 01 February 2021. Eastern Industrial Zone is the most appropriate focus area for the following reasons; EIZ is the first, largest and the only Chinese owned private Industrial park, larger number Chinese workers are working relatively than other government-owned industrial parks, the location of the EIZ is nearest the center of the country or capital city of Addis Ababa which is the primary destination for comer or tourists (the perception to the Addis Ababa has a greater impact). A cross-sectional research design has been employed in this study since data will be collected only at one time and to achieve the objective through testing the hypothesis quantitative research has been used since it allows analyzing statistically the formulated hypotheses. Accordingly, the 947 Chinese workers in the EIZ was the target population in this study and the data was collected from 205 Chinese workers in Eastern Industrial Zone with convenience sampling technique [8].

The main data gathering tool in this study was a survey questionnaire. For a proper analysis of the study primary data was collected through closed-ended or structured a questionnaire which was translated to Chinese language. Except for the background information of the respondents, the main questions (data) were measured by 5-point likert scale. To the hypothesis, SPSS was used to analyze the causal relationship or effect of five independent variables (destination image, satisfaction, perceived value, food neophobia, and language divergence) to the word of mouth recommendation of migrants and the prediction of destination image, perceived value, food neophobia and language divergence on satisfaction through regression and to identify their perception through descriptive analysis, for the analyses of mediation effect of satisfaction, regression analyses was used by SPSS Process Macro.

Results

Descriptive statistics for socio-demographic characteristics of respondents (Table 1).

Table 1: Respondent’s profile.

Respondents‘(n=205) demographic characteristics are presented in Table 1. Most of the respondents were males (67.8%). The age most respondents fell between 38+ (37.1%) and the age rest of the respondents were categorized under <30 (32.2%) and 30-37 (30.7%). The majority of the respondents were married with 58.0%, only 6.3% respondents were divorced and the rest 35.6% of the respondents were single. Equally, respondents who have taken technical training and bachelors’ degree accounted for 48.6% each and only 6.3% of the respondents were masters’ degree holders. As shown on the table the respondents who have been staying less than 2 years in Ethiopia were half of the respondents who have stayed for above 4 years and the rest have lived 2-3 years with 21.0%, 44.4% and 34.6% respectively. Addis Ababa was visited by most of the respondents with 42.0%, the respondents who traveled and visited the Eastern route were two times the respondents who visited the Southern route with 30.7% and 15.2% respectively. Western routes were the least visited route with 4.7% and the respondents who visited the Northern route were almost half of the respondents 7.4%. Only three-fifths of the respondents invited their friends and relatives to visit Ethiopia with 38.5%.

Descriptive statistics for all variables (Table 2).

Table 2: Descriptive analysis for overall independent and dependent variables.

As displayed on the above Table 3, the mean value of two variables such as satisfaction and word of mouth is under the midpoint of the 5-point likert scale with a mean of 2.5024 and 2.3220 respectively. This shows that the workers in EIZ were not satisfied and they don’t have an intention to recommend Ethiopia as a tourist destination or their willingness to invite their friends and relatives is under question. Food neophobia and language divergence which is the two negatively coded variables have mean scores of greater than 3.0 (midpoint for the 5-point Likert scale) with mean scores of 3.4139 and 3.8894 respectively. Chinese workers in EIZ have a personality trait of fearing new, unfamiliar, or ethnic foods. Having language divergence than midpoint implies there was a communication problem between the Chinese workers and service providers in Ethiopia. However, the mean score, the destination image, and perceived value imply that there was a positive perception of destination image and perceived value with mean scores 3.4499 and 3.5634 respectively.

Table 3: Coefficient analysis [9].

The effect food neophobia, destination image, perceived value, language divergence and satisfaction on word of mouth

Approximately 59.3% of the variance in word of mouth (R² =0.593, Adjusted R² =0.582) is explained by independent variables (food neophobia, destination image, perceived value, language divergence and satisfaction).

Multiple regression analysis was employed to predict word of mouth intention. Food neophobia, Destination image, perceived value, Language divergence, and Satisfaction were used in a standard regression analysis to predict Word of mouth intention. The model summary shows that the overall model is significantly useful in explaining word of mouth, F (5,199)=57.869, P<0.05 (Table 3).

Satisfaction and food neophobia has a statistically significant unique contribution in prediction of variance of word of mouth (sig=0.000) which is less than 0.05. Language divergence also significantly explained word of mouth (sig=0.009). However, destination image and perceived value hasn’t statistically significant unique contribution to predict word of mouth with sig value 0.846 and 0.479 which is greater than 0.05. It does not mean that destination image and perceived value hasn’t any contribution in explaining word of mouth, it might be due to overlap with other variables. When the predicting power of predictor variables is seen, from all independent variables (Food neophobia, Destination image, Perceived value, Language divergence and Satisfaction) satisfaction makes the strongest unique contribution to explaining the word of mouth with beta coefficient 0.497 followed by food neophobia (beta coefficient -0.247). Destination image has the lowest unique contribution in predicting word of mouth with beta coefficient -0.011 regardless of negative sign.

Information in the coefficients at Part correlation coefficients (semipartial correlations) tells about the unique contribution of each variable in prediction of dependent variable in percent by squaring the value under part. Each independent variable, such as food neophobia, destination image, perceived value, language divergence and satisfaction has a unique contribution to predicting word of mouth of 3.53%, 0.0081%, 0.1024%, 14.67%, and 1.42% respectively. However, the sum of these percent doesn’t equate to the value of R² which is 59.3%. If we sum up 3.53%, 0.0081%, 0.1024%, 14.67%, and 1.42% we can get 19.73%. Therefore, the rest 39.57% of the variance in the word of mouth is the shared contribution of the independent variables.

Under Unstandardized Coefficients of B value indicates yintercepts for each of independent variables. For instance, the B value for the food neophobia is -0.284 and this means when the behavior of food neophobia increases in one unit the inviting of friends and relatives (Word of Mouth) will drop by 0.284 units. Satisfaction has a B value of 0.469 (when the satisfaction is increased with one unit the word of mouth intention will be increased with 0.469 units, that means the more the respondents satisfied, the more likely to invite their friends and families to visit Ethiopia. Finally, the language divergence is another variable which has an inverse relation with word of mouth. If the language divergence is increased with one unit, the intention to invite the friends and relatives to visit Ethiopia (WoM) will be decreased by 0.152 units [10].

Indirect effect of food neophobia, destination image, perceived value and language divergence on word of mouth through satisfaction (Table 4).

Table 4: Regression analysis (Bootstrap result).

Focusing on the most useful of these effect sizes, the standardized b for the indirect effect, its value is B= -0.3444, 95% CI (-0.4573, -0.2413). The regression shows that the indirect effect is equal to “-0.34” with a 95% bootstrap confidence interval of -0.4573 (lower limit) to -0.2413 (upper limit) and “zero” does not fall within the 95% confidence interval. So, we can conclude that that satisfaction has partial mediation, because food neophobia has direct effect on word of mouth and indirect effect through satisfaction on word of mouth.

When we see the indirect effect of destination image on word of mouth through satisfaction, there is a significant indirect effect of destination image on the word of mouth, B= -0.2623, 95% CI (-0.4029, -0.1207), because zero wouldn’t fall between the upper and lower limit. Therefore the destination image is partially mediated by satisfaction.

The indirect effect is tested using a percentile bootstrap estimation approach and implemented with the PROCESS macro. These results indicated the indirect coefficient is not significant, B= -0.1095, 95% CI (-0.2382, 0.219). So, satisfaction is not the significant mediator of perceived value. So, perceived value does not have an indirect effect on word of mouth because there is a probability of B value to fall on zero, CI (-0.2382, 0.0219).

The results of the indirect effect based on 5000 bootstrap samples show a significant indirect negative relationship between language divergence and word of mouth mediated by satisfaction B= -0.3403, CI 95% (-0.4467, -0.2447). There was a significant relation between language divergence and satisfaction and language divergence and word of mouth. As a result the satisfaction has a partial mediation role between language divergence and Word of Mouth.

Discussion

The objectives of this study were to explore the perception of Chinese business migrants on Ethiopia as a tourist destination and to examine the effect of food neophobia, destination image, perceived value, language divergence and satisfaction on word of mouth intention of migrants. To achieve these purposes, measurement scales for destination image, service quality, perceived value, and loyalty were developed relying on previous studies across various contexts. To achieve these purposes, measurement scales for food neophobia, destination image,perceived value, language divergence, satisfaction and word of mouth intention were developed relying on previous studies across various contexts.

As destination competition is becoming more intense, an indepth understanding of what factors influence visitors to decide to spread information about the destination through WoM, and how they refer a destination to others, is of paramount importance for destination marketers to better understand those business migrants’ behaviors.

The multiple regression analysis supported the existence of the statistically significant effect of food neophobia on word of mouth (H₁), language divergence on word of mouth (H₄), and satisfaction on word of mouth (H₅). Four hypotheses weren’t supported by multiple regressions. There wasn’t a statistically significant effect of destination image on word of mouth (H₂), and the perceived value on word of mouth (H₃).

On the other hand, the mediation analysis undertaken by bootstrapping method which was performed using SPSS Process Macro has been supported the statistically significant presence of the indirect effect of food neophobia on word of mouth through satisfaction (H₆ ), the indirect effect of destination image on word of mouth through satisfaction (H₇), an indirect effect of language divergence on word of mouth through satisfaction (H₉). The only rejected hypothesis tested by the bootstrapping method is (H₈) (perceived value has an indirect effect on word of mouth through satisfaction).

The findings of the study revealed that food neophobia has a negative effect on the satisfaction of Chinese workers. People who have the behavior of hating new and ethnic foods become dissatisfied with service provided by such restaurants and the dissatisfaction with the foods in the restaurant may affect the overall satisfaction of the destination. Especially in developing countries, fear of foodborne disease and behavior of not taking risks regarding the food are the main reasons behind the trait of food neophobia or fearing of eating new or unfamiliar foods. Ethiopia is one of the developing countries and foodborne disease and behavior of not taking risks regarding the food might be the reason behind the Chinese workers having food neophobia. Chinese business migrants have food neophobia and this leads them to be dissatisfied and those who are dissatisfied will not spread positive word of mouth. This finding of the current study is consistent with past studies.

Several studies reveal that a positive destination image leads to satisfaction, having a good destination image pushes to spread positive word of mouth and the satisfaction which is the result of a good destination image leads to spreading of word of mouth about the destination. Even though the Chinese workers have a slightly positive image towards Ethiopia as a tourist destination, their overall satisfaction was near to dissatisfaction and they hadn’t an intention to invite their friends and relatives (WoM). The finding of this study opposes the past studies and consistent with past studies.

The finding shows the perceived value hasn’t a significant effect on satisfaction, word of mouth, and indirect effect on word of mouth through satisfaction. Most of the Chinese workers in the Eastern Industry Zone have visited Addis Ababa and the Eastern route which are near to their workplace. The time they spent, the effort, and the exchange rate of their money all of these three conditions compared to the benefit they got might contribute to having a good perceived value. Even though the workers had a slightly positive perceived value, they weren’t satisfied and they had no intention to invite their friends and relatives. The findings of this study aren’t consistent with past studies.

Language divergence has a statistically significant direct and indirect effect on word of mouth. Language divergence is an emphasis of a discourse of speech and nonverbal contrasts among self and the other. The absence of one or more common languages can be an obstacle for communication between the service providers and users. The problem of communication leads to dissatisfaction and the dissatisfaction leads to less spreading of word of mouth. The finding showed that the existence of language divergence negatively affects word of mouth (directly and indirectly through satisfaction). The current study is consistent with previous studies. As a result, consumers who are served in a non-native language have less intention to spread WoM or to promote the service provided in a second language and have less satisfaction on service received in a nonnative language. Therefore, the ability of foreign languages in the service industry is needed to meet the needs of consumer and business sustainability.

Based on the finding, satisfaction has a significant effect on word of mouth. Satisfaction has a positive effect on word of mouth. More satisfaction leads to the more spread of positive word of mouth. It is the most important thing in marketing. However, the descriptive statistics show that the Chinese workers are dissatisfied overall. The current study supports the past studies. So, marketers should give full attention to factors that affect satisfaction, because it is the guarantee for the continuity of loyalty of customers with the service providers (intention to recommend the service and the product and intention to revisit).

Theoretical/conceptual implications

There are a number of theoretical implications of the findings. First, the first comprehensive model which consists of six variables is developed to analyze the relationship of food neophobia, destination image, perceived value, language divergence, and satisfaction with word of mouth. Those abovelisted variables have been studied fragmentally and not more than four variables have been used to predict word of mouth. Second, food neophobia and language divergence together with the rest of the three variables was used in this study to predict word of mouth for the first time. Third, previous studies conducted on antecedents of word of mouth were entirely focused on tourists and other product consumers but not on the migrants. This study tested the antecedents of word of mouth on migrants and implicated migrants are a resource for tourism.

Conclusion

As globalization is being increased, sharing of information about products and services becomes inevitable. People may move from one place to another place for different purposes, and migration is one of the movements of people from one place to another corner of the world. Business migration is the prominent movement to get jobs. As a result, people talk about the service they experienced and products they used for their friends and relatives. Therefore, the tourism marketers of the host country should know what motivates and keep out immigrants to spread positive word of mouth about the tourism products to their friends and relatives. Identifying the antecedents of word of mouth, as well as satisfaction, were the main objectives of this study. Besides, the researcher approached this objective by studying antecedents of word of mouth from a quantitative perspective.

Except for the destination image and perceived value, the Chinese workers negatively perceive food neophobia, satisfaction, language divergence, and they haven’t an intention to invite their friends and relatives to visit Ethiopia. The research findings confirmed that language divergence and food neophobia has significant negative effects on word of mouth directly and indirectly through satisfaction. Only satisfaction has a significant positive effect on word of mouth and the rest, destination image and perceived value didn’t affect word of mouth and satisfaction. Satisfaction was significantly affected by language divergence and food neophobia with negative relation.

This study concludes the existence of communication problems between service providers and Chinese workers of EIZ and having the personality trait of hating new, ethnic, and unfamiliar foods bring them to dissatisfaction as well as the no intention to recommend Ethiopia as a tourism destination for their friends and relatives.

Finally, tourism marketers should give attention to satisfaction because giving attention to satisfaction includes the factor which affects satisfaction and the consequence of satisfaction such as positive word of mouth.

Recommendations

The major findings of this study have significant managerial importance for Ethiopian government tourism organizations, travel destination marketers, and other tourist service providers (hotels, transport, and restaurants). First, the descriptive statistics showed that Chinese workers pursue destination images, perceived values (overall value and financial value), language divergence, and food neophobia. Thus, it is suggested that tourism marketers should consider the practical implications of these variables because they can be important factors in increasing the migrants ‘overall satisfaction with various products and services as well as enhancing the spreading of word of mouth about Ethiopia as a tourist destination.

Recommendations for a certain concerned body are as follows:

• Government bodies including tourism sectors should keep the cleanness of the tourism destinations as well as the whole country.

• The tourism sector of the country should work together with the transport sector to improve the accessibility of the tourist destination and minimization traffic jams.

• Event organizers government (for major events and celebrations) should promote the event near and in the Easton Industry Zone.

• Government, hotel associations, and other concerned bodies should give awareness and information about local foods to improve their acquaintance with local food and to minimize workers' novelty. Awareness and education programs such as cooking courses, culinary TV shows, and culinary magazines can decrease food neophobia.

• Promoting private sectors to involve in the investment of establishing and expanding Chinese restaurants is also recommendable.

• As the former German Chancellor Willy Brandt said, “If I'm selling to you, I speak your language. If I'm buying, dann müssen Sie Deutsch sprechen (then you must speak German)” service providers should consider the ability to meet the expectation of foreigners.

• The academic sectors like universities and colleges should work together with the service and tourism sectors to meet the demand of Chinese-speaking professionals.

• The department of language and literature and the tourism department of the country should work together. For instance, students who have graduated in the Chinese language can take short training in hotel and tourism courses.

• Service providers (firms) which are found near to the Chinese dominating area should include the ability to speak multiple languages as criteria when hiring the employees.

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