The Relationship Between Competitiveness-Driven Factors and Travel and Tourism Policy: A Multilevel Study

The Relationship Between Competitiveness-Driven Factors and Travel and Tourism Policy: A Multilevel Study

Anastasia A. Katou (University of Macedonia, Greece) and Eleni F. Katsouli (University of Macedonia, Greece)
DOI: 10.4018/978-1-5225-8434-6.ch002
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Drawing on the resource-based view, this study examines the impact of environmental-driven, infrastructure-driven and resources-driven factors on travel and tourism policy and enabling conditions. Using a multilevel sample of 136 economies categorized in 15 geographical areas, and conducting a multilevel path analyses, we find that ICT readiness and ground and port infrastructure are the most important factors that predict the travel & tourism policy and enabling conditions construct. Based on these findings, which underline the meaning of competitiveness, the study has several theoretical and practical implications.
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Research Framework And Hypotheses

A persistent characteristic of the global economy is the increasing interdependence across and between production sectors and economies. As a result, policy dimensions and objectives constitute a key aspect that relates growth, environment and social outcomes. As such, governments are increasingly recognizing tourism to be an activity that may stimulate economies and help achieve many national economic objectives. Therefore, a key issue for economies is to understand how they can strengthen the position of their tourism sectors and remain competitive within a sustainable environmental context (Haxton, 2015).

However, tourism policy should not be considered in isolation but within its broader policy context. This means that factors that determine the T&T sector competitiveness may be inter-associated over the short, medium and long term. In other words, we may say that this inter-association creates the policy mix that shapes T&T sector competitiveness. The associative synergy between the various T&T factors is shown in Figure 1, which constitutes the research framework of the study.

Figure 1.

Research framework of study


Key Terms in this Chapter

Efficiency-Driven Economies: Consider the context of higher education and training, goods market efficiency, labor market efficiency, financial market development, technological readiness, and market size.

Prioritization: Refers to government expenditure and to marketing and branding to attract tourists.

Infrastructure-Driven Economies: Consider the context of air transport infrastructure, ground and port infrastructure, and tourist service infrastructure.

Multilevel Models: Known also as nested data models or hieratical models, are models of parameters that vary at more than one level.

Environmental Sustainability: Refers to regulations aiming to environmentally sustainable development.

Environmental-Driven Economies: Consider the context of business environment, safety and security, health and hygiene, human resource management and labor market, and ICT readiness.

Price Competitiveness: Refers to competitiveness arising from policies focusing on prices and taxes.

Resources-Driven Economies: Consider the context of natural resources, and cultural resources and business travel.

Resource-based view: Sees an organization as gaining a competitive advantage from the resources it possesses.

Factor-Driven Economies: Consider the context of institutions, infrastructure, macroeconomic environment, and health and primary education.

Competitiveness: The set of institutions, policies and factors that determine the level of productivity of a country.

International Openness: Refers to air service and regional trade bilateral agreements.

Innovation-Driven Economies: Consider the context of business sophistication, and innovation.

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