Competition Between and Within Tourist Destinations
In tourism, competition occurs at two levels. First, competition occurs among tourist destinations, countries or regions. If we consider countries as the level of analysis, recent years have witnessed a significant increase in the degree of international competition, triggered by factors like the reduction of transportation costs and the ICT revolution. New destinations have emerged, leading to a sharp reduction in the concentration of international arrivals. In 1950, the top five countries in terms of international tourist arrivals (USA, Canada, Italy, France and Switzerland) accounted for around 71% of international tourist arrivals worldwide. In 2006, the corresponding value was 33%, and the list of “top five destinations” changed as well (in that year, they were France, Spain, USA, China and Italy).
KeywordsPrice Competition Tourist Destination Vertical Differentiation Destination Quality Good Response Function
The author wishes to thank two anonymous referees for useful comments and suggestions. This research has been conducted within the project “Competition within and between tourist destinations”, funded by the Polo di Rimini – University of Bologna. The usual disclaimer applies.
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