How was the service sector in Lithuania affected through the COVID-19 pandemic?

Abstract

This study aims to assess the impact of selected economic indicators (independent variables) on the turnover of food and beverage service companies in Lithuania. In order to achieve the intended goal of the study, an analysis of scientific articles was performed, with the primary aim to find out the consequences of the COVID-19 pandemic for the Lithuanian economy and select five independent variables that could affect the turnover of food and beverage companies. After analysing the literature, five independent variables were highlighted: the number of tourists accommodated, the statistics of Vilnius Airport flights, the number of employees hired, the unemployment rate and inflation. The correlation and regression analysis results show that the turnover of catering and beverage enterprises and the number of accommodated tourists are strongly correlated (r > 0.90). Meanwhile, the linear correlation between the number of Vilnius Airport flights and the number of hired employees with the research variable is average (0.60 < r < 0.70). However, the linear correlation of macroeconomic factors such as unemployment and inflation with the turnover of food and beverage enterprises is statistically insignificant.