Articles producció científica> Economia

Competition for domestic tourism in the COVID-19 pandemic: A characterization using a contest model

  • Identification data

    Identifier: imarina:9244517
    Authors:
    Duro, Juan AntonioOsorio, AntonioPerez-Laborda, Alejandro
    Abstract:
    The COVID-19 has caused a dramatic fall in international tourism demand. Destinations within countries have revised their promotion strategies, intensifying the competition for the domestic market, less affected by mobility restrictions. This paper proposes a contest theory model for characterizing this new context. Two types of destinations, coastal (sun and sand) and rural, compete for the existing demand in terms of promotion spending. The competition is driven by two main factors: the relative strategic advantage of each destination in the international and domestic markets and the strategic value given to each market. The pandemic has likely modified these factors, reducing the traditional advantage of coastal destinations and shifting the valuation towards the domestic market. According to the model, these changes may increase competition for the domestic market, with destinations rising promotion spending even in a context of reduced demand, which is consistent with the empirical evidence.
  • Others:

    Author, as appears in the article.: Duro, Juan Antonio; Osorio, Antonio; Perez-Laborda, Alejandro;
    Department: Economia
    URV's Author/s: Duro Moreno, Juan Antonio / Osório da Costa, António Miguel / Perez Laborda, Alejandro
    Keywords: Touristic destinations Tourism promotion Market-structure Game-theory Covid-19 pandemics Contest models
    Abstract: The COVID-19 has caused a dramatic fall in international tourism demand. Destinations within countries have revised their promotion strategies, intensifying the competition for the domestic market, less affected by mobility restrictions. This paper proposes a contest theory model for characterizing this new context. Two types of destinations, coastal (sun and sand) and rural, compete for the existing demand in terms of promotion spending. The competition is driven by two main factors: the relative strategic advantage of each destination in the international and domestic markets and the strategic value given to each market. The pandemic has likely modified these factors, reducing the traditional advantage of coastal destinations and shifting the valuation towards the domestic market. According to the model, these changes may increase competition for the domestic market, with destinations rising promotion spending even in a context of reduced demand, which is consistent with the empirical evidence.
    Thematic Areas: Tourism, leisure and hospitality management Interdisciplinar Hospitality, leisure, sport & tourism Geography, planning and development Economics Economia Ciencias sociales Administração pública e de empresas, ciências contábeis e turismo
    licence for use: https://creativecommons.org/licenses/by/3.0/es/
    Author's mail: antonio.osoriodacosta@urv.cat alejandro.perez@urv.cat juanantonio.duro@urv.cat
    Author identifier: 0000-0003-3376-0164 0000-0003-4247-598X 0000-0002-1106-5251
    Record's date: 2024-08-03
    Papper version: info:eu-repo/semantics/submittedVersion
    Link to the original source: https://journals.sagepub.com/doi/10.1177/13548166211049870
    Licence document URL: https://repositori.urv.cat/ca/proteccio-de-dades/
    Papper original source: Tourism Economics. 29 (2): 378-391
    APA: Duro, Juan Antonio; Osorio, Antonio; Perez-Laborda, Alejandro; (2023). Competition for domestic tourism in the COVID-19 pandemic: A characterization using a contest model. Tourism Economics, 29(2), 378-391. DOI: 10.1177/13548166211049870
    Article's DOI: 10.1177/13548166211049870
    Entity: Universitat Rovira i Virgili
    Journal publication year: 2023
    Publication Type: Journal Publications
  • Keywords:

    Economics,Geography, Planning and Development,Hospitality, Leisure, Sport & Tourism,Tourism, Leisure and Hospitality Management
    Touristic destinations
    Tourism promotion
    Market-structure
    Game-theory
    Covid-19 pandemics
    Contest models
    Tourism, leisure and hospitality management
    Interdisciplinar
    Hospitality, leisure, sport & tourism
    Geography, planning and development
    Economics
    Economia
    Ciencias sociales
    Administração pública e de empresas, ciências contábeis e turismo
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