Seminar: Dr Gang Li on the competitiveness of tourism destinations Reply

Gang LiThis week Dr Gang Li of the University of Surrey’s School of Hospitality and Tourism Management spoke at our seminar series on how competitive Hong Kong is a tourist destination.

In an interesting presentation he explained that Hong Kong is a prime tourism destination is Asia, but it is facing increasing competition from places like Macau, Singapore and Seoul. His analysis involved the estimation of an error-correction long term Almost Ideal Demand System to link price competitiveness to the expenditure of tourists from different source markets. Demand elasticities capture how prices influence the allocation of their travel budget.

The implications of the work include that:

  • It is important for Hong Kong to maintain low and stable inflation.
  • Hong Kong should not engage in price wars with Macau.
  • The competition with Singapore is in terms of human resources and environmental sustainability.
  • The key is to improve service and tourist satisfaction to decrease their price sensitivity.

If this sounds interesting, you can have a look at the full paper published in Tourism Management. Follow the Uni Surrey link here.

 

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s