National and Transnational Impacts of Terror on Hotel Stock Prices
This study aims to explore the sensitivity of hotel stock prices to national and transnational terrorist incidents that occur at the world’s top five tourist destinations. Event study analysis and the generalized sign test are the estimation techniques used in this study. Overall, hotel stocks were...
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| Format: | Article |
| Language: | English |
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Erbil Polytechnic University
2020-06-01
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| Series: | Polytechnic Journal |
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| Online Access: | https://polytechnic-journal.epu.edu.iq/home/vol10/iss1/27 |
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| _version_ | 1849470125199065088 |
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| author | Dlawar M. Hadi Farman M. Ahmed |
| author_facet | Dlawar M. Hadi Farman M. Ahmed |
| author_sort | Dlawar M. Hadi |
| collection | DOAJ |
| description | This study aims to explore the sensitivity of hotel stock prices to national and transnational terrorist
incidents that occur at the world’s top five tourist destinations. Event study analysis and the generalized
sign test are the estimation techniques used in this study. Overall, hotel stocks were found to react
differently to terrorist activities. U.S. hotel stocks were the most affected, and French hotel stocks
were the least affected by domestic terrorist attacks. However, U.K. hotel stocks were the most
influenced and Thai hotel stocks were the least influenced by transnational terrorist incidents. Based
on the overall findings, several diversification, hedging, and speculation strategies are proposed for
mitigating the effects of these influences to financial market stakeholders and hotel managers. This
study recommends further studies to be conducted including various sectors to reveal how different
sectors react to terrorist activities. |
| format | Article |
| id | doaj-art-e31a853cd5814447b3e26c16d2b73517 |
| institution | Kabale University |
| issn | 2707-7799 |
| language | English |
| publishDate | 2020-06-01 |
| publisher | Erbil Polytechnic University |
| record_format | Article |
| series | Polytechnic Journal |
| spelling | doaj-art-e31a853cd5814447b3e26c16d2b735172025-08-20T03:25:15ZengErbil Polytechnic UniversityPolytechnic Journal2707-77992020-06-01101163169https://doi.org/10.25156/ptj.v10n1y2020.pp163-169National and Transnational Impacts of Terror on Hotel Stock PricesDlawar M. Hadi0Farman M. Ahmed1Department of Accounting, College of Business, Komar University of Science and Technology, Sulaymania, Kurdistan Region, Iraq, Department of Banking and Finance, College of Business Economy, Eastern Mediterranean University, Famagusta, North CyprusThis study aims to explore the sensitivity of hotel stock prices to national and transnational terrorist incidents that occur at the world’s top five tourist destinations. Event study analysis and the generalized sign test are the estimation techniques used in this study. Overall, hotel stocks were found to react differently to terrorist activities. U.S. hotel stocks were the most affected, and French hotel stocks were the least affected by domestic terrorist attacks. However, U.K. hotel stocks were the most influenced and Thai hotel stocks were the least influenced by transnational terrorist incidents. Based on the overall findings, several diversification, hedging, and speculation strategies are proposed for mitigating the effects of these influences to financial market stakeholders and hotel managers. This study recommends further studies to be conducted including various sectors to reveal how different sectors react to terrorist activities.https://polytechnic-journal.epu.edu.iq/home/vol10/iss1/27event study,hotel industry,stock prices,terrorist incidents,tourist destinations |
| spellingShingle | Dlawar M. Hadi Farman M. Ahmed National and Transnational Impacts of Terror on Hotel Stock Prices Polytechnic Journal event study, hotel industry, stock prices, terrorist incidents, tourist destinations |
| title | National and Transnational Impacts of Terror on Hotel Stock Prices |
| title_full | National and Transnational Impacts of Terror on Hotel Stock Prices |
| title_fullStr | National and Transnational Impacts of Terror on Hotel Stock Prices |
| title_full_unstemmed | National and Transnational Impacts of Terror on Hotel Stock Prices |
| title_short | National and Transnational Impacts of Terror on Hotel Stock Prices |
| title_sort | national and transnational impacts of terror on hotel stock prices |
| topic | event study, hotel industry, stock prices, terrorist incidents, tourist destinations |
| url | https://polytechnic-journal.epu.edu.iq/home/vol10/iss1/27 |
| work_keys_str_mv | AT dlawarmhadi nationalandtransnationalimpactsofterroronhotelstockprices AT farmanmahmed nationalandtransnationalimpactsofterroronhotelstockprices |