Choice of market entry mode by Balearic hotel chains in the Caribbean and Gulf of Mexico

One major focus of attention in studies of internationalization is the choice of entry mode into a foreign market. The region formed by the Caribbean and Gulf of Mexico is currently the top destination chosen by Balearic hotel chains in their international expansion. This study attempts to pinpoint the factors that play a decisive role in the decision process of Balearic hotel chains when choosing a growth strategy for expansion into the Caribbean. New explanatory factors that have not previously been taken into account by the literature have been considered for the identification of determinants playing a key role in the choice of entry mode by hotel chains. The main findings show that the choice of foreign market entry mode cannot rely solely on host-specific factors. (C) 2013 Elsevier Ltd. All rights reserved.