Corruption and Tourism: An Empirical Investigation in a Non‐linear Framework

This article investigates the effect of corruption on tourism demand for a panel of countries during 1999–2009 by using panel least square and fixed effects regressions. Prior research has considered only the linear effects of corruption on tourism. We examine the relationship between corruption and tourism in a non‐linear framework after controlling for economic and heritage factors. The findings suggest that corruption has a significant effect on tourism demand and that this effect is non‐linear. Copyright © 2014 John Wiley & Sons, Ltd.     

Wealth effect from real estate and outbound travel demand: the Malaysian case

This study uses quarterly data from Malaysia (2000–2011) to examine the relationship between the wealth effect from real estate (WERE) and outbound tourism while controlling for other relevant outbound tourism determinants. By applying time-series cointegration regressions, the results show that WERE has a positive and significant impact on Malaysian outbound travel demand. Then, we exclude the departures for business purposes from the total departures in order to have a better understanding of the impact of WERE on the consumption of a luxury good like international travel for leisure purposes. Similarly, we find that WERE increases Malaysian international travels for leisure purposes. The findings provide some implications for Malaysian policy-makers as well as tourism and travel agents.     

Modelling dependence between tourism demand and exchange rate using the copula-based GARCH model

This paper investigates dependence between tourism demand and exchange rate, using the case of China, and from a new perspective by using copula–GARCH models. The empirical results show that the volatility of exchange rate is not a determinant factor in fluctuation of China's inbound tourism demand from the countries being studied. Furthermore, only Russia exhibits risk-adverse behaviour with extreme SUR depreciation, or CNY appreciation associated with an extreme decline in arrivals. Third, introducing the tail dependence and dynamic dependence between growth rates of tourism demand and exchange rate add much to the explanatory ability of the model. The findings of this study have important implications for destination manager and travel agent as it helps to understand the impact of exchange rates on China inbound tourism demand and provide a complementary academic approach on evaluating the role of exchange rates in the international tourism demand model.     

The impact of low cost carriers on Korean Island tourism

Given the mixed findings of extant research on the impact of low-cost carriers (hereafter LCC) on aviation markets (with some studies showing stimulation of new demand, other studies showing LCCs encroaching on the turf of full-service carriers), the emergence of LCCs in Korea raised an interesting question as to whether or not they actually contribute to overall growth in domestic air traffic. The literature has paid limited attention to this issue so far. Employing a multivariate regression analysis with monthly data from 2000 to 2009, the impact of LCCs on tourism demand to a popular destination in Korea, Jeju Island, is examined, focusing on two specific questions: Have LCCs generated new tourism demand and brought more tourism revenue into the island’s economy? Have LCCs mitigated tourism seasonality on the island? Controlling for the effects of a number of factors, results showed that LCCs have generated new demand in addition to existing tourist flows to the island. Korean LCCs accounted for 35% of total passengers in 2009, which indicates an average growth rate of 161.7% over the last 4 years, compared to a −0.3% growth rate for all full-service carriers in Korea. However, LCCs seem to have had little impact on reducing seasonal fluctuations in passenger traffic to Jeju Island. The findings of this study will be of interest to researchers, policy makers, and a variety of stakeholders in the tourism industry interested in the relationship between no-frills airlines and island economies.     

Heritage and tourism conflict within world heritage sites in China: a longitudinal study

Although the conflicting relationship between heritage and tourism has been debated at length in the Western academic literature, interest in the relationship is now becoming increasingly pronounced across the developing world with particular interest noted in China. To examine this phenomenon further, this study explores the cause and temporal variation of conflicts between heritage and tourism over the past decade in China. Content analysis was adopted as the most appropriate methodology for the study with data from online media reports serving as the primary data for the analysis of the occurrence of heritage and tourism conflicts in China. The findings highlight antiquated management structures, inappropriate tourism operations, and the ineffective use or deficiency of legislation as the primary causes of heritage and tourism conflicts in China with the categories of conflicts varying from clashes relating to resource use to clashes over values. The findings also shed light on the significant role played by the media in the resolution of conflicts. Finally, implications and limitations of the study's findings are discussed.     

New insights into an old issue – examining the influence of tourism on economic growth: evidence from selected small island developing states

This paper uses relatively new heterogeneous panel autoregressive distributed lag cointegration methods to re-examine the long-run equilibrium and Granger causality relationship between tourism and economic growth for the small island developing states (SIDSs). In addition, the study incorporates energy consumption and foreign direct investment (FDI) as alternative growth determinants, during the period 1995–2014. After allowing for the heterogeneous country effect, a positive and statistically significant long-run equilibrium relationship between tourism, energy consumption, FDI, and gross domestic product, with a moderate convergence rate towards the long-run path is confirmed. The panel Granger causality test as proposed by Dumitrescu and Hurlin [(2012). Testing for Granger non-causality in heterogeneous panels. Economic Modelling, 29(4), 1450–1460.] shows bidirectional causality running from tourism to economic growth, from tourism to energy consumption and from energy consumption to economic growth, and unidirectional causality between FDI and tourism, between economic growth and FDI, and between FDI and energy consumption. Our empirical findings provide support for tourism-induced growth, tourism-induced energy consumption, tourism-induced investment, and the energy consumption-economic growth relationship in the case of SIDSs. Our empirical results resonate with the existing findings with major policy implications for the SIDSs.     

Critical issues in health and wellness tourism: an exploratory study of visitors to wellness centres on Gran Canaria

The growing commodification of health care and therapeutic landscape, as well as the recent growth in international demand for wellness services and treatments, has led to the proliferation of destinations and enterprises that have selected health and wellness tourism as part of their corporate strategy, including coastal tourism destinations such as the Spanish island of Gran Canaria. This study discusses the commodification of health care and landscape, the relationship between everyday life and going on holiday, as well as the motives for medical and wellness tourism. Wellness tourism development on Gran Canaria is also analysed as a case study that could prove useful for those working on diversification within coastal tourism. An exploratory study of European visitors to wellness centres on the island is also presented. Major findings and contributions relate to socio-demographic characteristics, motives for the visit to the island, the importance of the wellness offer, tourist and travel behaviour and wellness behaviour both at the destination and at the place of residence. Another contribution refers to differences in the use of wellness centres and treatments among visitors, based on their place of origin, gender, age, marital status and job situation. Management and marketing implications are also suggested.     

A case study: The impact of low-cost carriers on inbound tourism of Saudi Arabia

This study investigates the impact of low-cost carriers (LCCs) on Saudi Arabia's tourism demand. It also provides an understanding of the relationship between air transport development and tourism development in the Gulf region. The Box–Jenkins SARIMA-X models were employed to model and forecast international tourist arrivals to Saudi Arabia, using monthly international tourist arrivals to Saudi Arabia from July 2010 to December 2015. The forecasting models were significantly accurate, with lower values of MAPE, MAP, and RMSE. The findings suggest that an increase in airline capacity, religious travel, and airline competition are associated with the increasing international tourist arrivals to Saudi Arabia. This also indicates that there is a positive relationship between air transport development and tourism development. Further aviation liberalisation in the Gulf region is discussed to give opportunities for the region's LCCs to increase their share of the increasing air travel demand, thereby enhancing tourism development.     

The tourism-led growth hypothesis: empirical evidence from Turkey

In the economic growth literature, the contribution of tourism to economic development has attracted great attention due to its significant roles as a source of foreign exchange earnings, creation of employment opportunities and an important source of public revenues in many countries. In this paper, we aim to analyse the empirical relationship between economic growth and tourism by employing different econometric techniques. First, we employed the Bound test approach developed by Pesaran, Shin, and Smith (2001, Bounds testing approaches to the analysis of level relationships. Journal of Applied Econometrics, 16(3), 289–326) in order to investigate the co-integration relationship between economic growth and tourism. Second, we used the Granger causality analysis for the 1998–2011 period and found evidence of a long-run uni-directional causality running from tourism to economic growth, but not vice versa. Our findings show that the Turkish case supports the tourism-led growth hypothesis (TLGH). Third, the autoregressive-distributed lag approach was employed in order to investigate the long-term and short-term static relationship between tourism and economic growth. The results show that tourism has a positive effect on gross domestic product and economic growth both in the long-term and short-term. Finally, the effect of tourism on economic growth was also investigated dynamically by employing the Kalman filter method. The findings of this method support the TLGH for Turkey.     

Tourism demand response by residents of Latin American countries

A general‐to‐specific methodology was used to build international tourism demand models by residents from Argentina, Brazil, Colombia and Venezuela to Aruba. We seek to evaluate demand parameters, especially elasticity values, which were disaggregated on a country‐to‐country basis. We also aim to learn more about the structure and important variables and investigate the process of adjustment. The study has provided new and compelling evidence that, in the short run, residents in developing countries respond rationally and substantially to economic stimulus. The short‐run income elasticity ranges from the low of 1.52 for Venezuela to the high of 2.34 for Argentina. These results indicate that Aruba will benefit differently from income increases in these four Latin American countries. The coefficients of the price variable had the expected negative signs, inelastic in the short‐run for all countries but significant at the 5% level for Venezuela only. Any deliberate effort to expand tourist arrivals will require a much larger decline in prices than would be the case in the presence of short‐run elastic response. The adjustment elasticity, being less than one, suggests that a period of more than one year is required for Latin American residents to fully adjust their tourism decisions in response to demand shocks. This study would seem to provide some useful information about international tourism demand from developing to developing countries that could form a very good and solid basis for analyses and policy action. Copyright © 2008 John Wiley & Sons, Ltd.     

Pro‐Poor Tourism in a First World Urban Setting: Case Study of Glasgow Govan

This research investigates pro‐poor tourism (PPT), which has only been considered in a third world context, in a first world country, determining whether PPT principles are being used to alleviate poverty in a developed location, Glasgow Govan, in Scotland. The research develops and applies a new PPT principles tool to regeneration projects in the area and reveals a significant level of PPT application there. The findings suggest that PPT can be an over‐complication of a common sense development approach that any responsible government should promote. The results also question the validity of community based tourism initiatives. Copyright © 2012 John Wiley & Sons, Ltd.     

International tourism specialisation of small countries

International tourism has expanded enormously over recent decades, fuelled by changing consumer tastes, advances in transport and new holiday destinations. The present study aims at analysing the linkages between economic growth and tourism‐based economies. An econometric model for a selected number of small countries has been implemented to investigate the nature, magnitude and overall significance of the demand for tourism. Countries were selected to capture regional diversity, differences in market orientation and a range of experiences, from emerging to long‐standing industries. The results show that tourism can be a significant engine of economic growth, when the elasticity of substitution between manufacturing goods and tourism services is < 1. Finally two stylised facts emerged, namely: (i) countries specialised in tourism register good economic performances; (ii) these same countries have small dimensions as defined by international trade theory. Copyright © 2006 John Wiley & Sons, Ltd.     

Relationship between cross-cultural attitudes and attitudes toward the foreign language study of tourism majors: the South Korean Case

Cross-cultural attitudes are gaining more importance as contacts between people from different cultures are increasing in a globalized world. This is particularly the case and relevant for the tourism industry. The major purpose of this study is to investigate the relationship between cross-cultural attitudes and the attitudes toward foreign language within the tourism education context. An empirical study of 482 tourism students in South Korea revealed that cross-cultural attitudes had significant associations with attitudes toward studying a foreign language. Specifically, the ‘integrative attitude’, among the three types of attitudes toward foreign language study, showed the highest relationship with the ‘cross-cultural attitude’, being followed by the ‘intrinsically motivated attitude’. However, the ‘instrumental attitude’ showed no significant relationship. Based on these findings, a need to approach language study from cultural perspectives is emphasized, suggesting a provision of programs and activities inspiring direct and indirect contacts with foreign cultures and people. The integration of cultural aspects of the tourism industry into foreign language study was also discussed in this context. Finally, the study's results were compared with those of previous studies and a tentative generalization that foreign language study has an effect in reducing social distance was proposed.     

The weather and macroeconomic determinants of whale-watching tourism: a Markov regime-switching analysis

Taking in sail is essential for a whale-watching excursion, which makes the demand for whale-watching tourism sensitive to the weather. The purpose of this paper is to examine the implications of two potential demand-side determinants, that is, weather and macroeconomic conditions, on the business cycle of Taiwan’s whale-watching tourism industry. By exploiting a Markov regime-switching model, this study finds that temperature and relative price changes are crucial determinants of the demand for whale-watching tourism, no matter whether in the peaks or in the troughs. Nevertheless, the influences of sunshine hours, rainfall and real GDP per capita on the demand for whale-watching tourism depend heavily on the phases of business cycle. The empirical results provide some inspiration for sustainable management of Taiwan’s whale-watching tourism.     

Varying Elasticities and Forecasting Performance

This study assumes that tourists' demand reactions to income and price changes are asymmetric at different phases of the business cycle. In order to test this hypothesis, we analyzed the demand for international tourism in five source markets using a modified growth rate (MGR) model. The empirical evidence demonstrates that income elasticity is indeed asymmetric across the business cycle in four source markets. In addition, asymmetric price effects were found for one source market. To compare forecasting performance, we also estimated a time‐varying parameter (TVP) model. The results show that the MGR model generally outperforms the TVP model. Copyright © 2013 John Wiley & Sons, Ltd.     

Exploring the relationships between motivation,attachment and loyalty within sport event tourism

Attendance at sports events continues to rise, as evidenced by increased attendance across a range of sports events in 2014. Despite this, destinations that host live sports events struggle to attract repeat visitors outside scheduled events. This study aims to better understand the relationship between motivation, attachment and loyalty within event tourism. This paper discusses the existing contributions in these areas by drawing on sport and tourism literature and is the first to investigate the relationship across all three constructs. Within this paper, we develop the initial outline of a theoretical model, which depicts these relationships.     

Industrial space demand and freight transportation activity: exploring the connection

There has been continuing interest among transportation planners, economic development specialists, and private industry about the relationship between the demand for industrial space and the level of freight transportation activity. With the growing importance of logistics and supply chain economics for many industrial and business activities, firms organizing their industrial activities and locating their warehousing and operational centers increasingly must consider the availability, quality, and cost of a range of transportation services, particularly in connection with essential intermodal activities. Accordingly, development of major logistics parks in conjunction with major intermodal hubs has become an important element in the overall industrial economy, predicated on the notion that robust freight activity is a good indicator of demand for industrial space. In this study, using regression techniques, we examine the relationship between freight transportation activity and industrial space demand at the metropolitan area level. The results confirm this relationship, reflecting significant statistical association between higher levels of freight traffic and higher levels of industrial space demand. This relationship is more pronounced in inland versus port markets. In addition, the data reveal that there was a shock to industrial space demand in 2001, thereby altering the structural relationship between demand and the drivers of demand.     

How do monetary operations impact tourism demand? The case of Turkey

All monetary operations such as revaluation and devaluation have some degree of impact on tourism demand at different significance levels. The purpose of this study was to explain how devaluation and revaluation affect tourism demand (domestic and international) and what the government should do to obtain the greatest benefits from them. Turkey has one of the fastest growing tourism industries in the world, and has been experiencing high inflation at a very significant level since the 1970s. The Turkish Government sometimes makes value adjustments on the Turkish national currency, the ‘Lira’, and these adjustments have influenced domestic and international tourism demand in Turkey. The case of Turkey is discussed specifically. Copyright © 2004 John Wiley & Sons, Ltd.     

Has the tourism-led growth hypothesis been validated? A literature review

Over 10 years have passed since the first paper on the tourism-led growth hypothesis (TLGH) was published in 2002. Since then, a wave of studies has appeared trying to understand the temporal relationship between tourism and economic growth. Hence, it is possible to provide an assessment in terms of econometric methods used and main empirical findings achieved so far. This paper presents an exhaustive review of approximately 100 peer-reviewed published papers on the TLGH. An overview on the economic theoretical framework behind the TLGH is also provided. Notably, the results present an increasing diversification in the econometric modelling used. With a few exceptions, the empirical findings suggest that overall international tourism drives economic growth.     

Collaborative Management and Planning of Urban Heritage Tourism: Public Sector Perspective

‘This paper investigates collaborative management and planning among public organisations involved in urban heritage tourism. An exploratory case study has been applied, capturing urban heritage tourism development in Plovdiv, Bulgaria. The findings demonstrate a shared desire for further collaboration between the key public bodies involved, with limited existing and previous collaboration, beyond work that is the result of existing hierarchies. Collaboration is at an early stage, and many looked to the Local Authority to provide leadership in driving new initiatives. The private sector has a limited but increasing role in this. There are differing views on the focus of heritage tourism development – some suggesting a regional, others a city focus.’ Copyright © 2014 John Wiley & Sons, Ltd.