IDEAS home Printed from https://ideas.repec.org/a/sae/toueco/v19y2013i1p147-159.html
   My bibliography  Save this article

Estimating the Effects of Different Admission Fees on Revenues for a Mega-Event Using a Contingent Valuation Method

Author

Listed:
  • Choong-Ki Lee

    (Department of Tourism, Kyung Hee University, 1 Hoegi-dong, Dongdaemun-gu, Seoul 130–70, South Korea)

  • James W. Mjelde

    (Department of Agricultural Economics, Texas A&M University, College Station, Texas, USA)

  • Tae-Kyun Kim

    (Department of Agricultural Economics, Kyungpook National University, Daegu, South Korea)

Abstract

Estimates of the effect of different admission fees on revenues for the Expo 2012 Yeosu mega-event are provided. A national survey was conducted for the Korean population. The results indicate that the revenue-maximizing admission fee is approximately KRW 27,000, with an estimated 14.6 million visitors and KRW 388.3 billion for the best-guess scenario. With an eight million visitor capacity constraint, the admission fee should be KRW 39,000. Implications of admission pricing strategies are provided in the conclusion.

Suggested Citation

  • Choong-Ki Lee & James W. Mjelde & Tae-Kyun Kim, 2013. "Estimating the Effects of Different Admission Fees on Revenues for a Mega-Event Using a Contingent Valuation Method," Tourism Economics, , vol. 19(1), pages 147-159, February.
    • Handle: RePEc:sae:toueco:v:19:y:2013:i:1:p:147-159
    DOI: 10.5367/te.2013.0184
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.5367/te.2013.0184
    Download Restriction: no
    File URL: https://libkey.io/10.5367/te.2013.0184?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. James Mak & James E.T. Moncur, 1996. "Political Economy of Protecting Unique Recreational Resources: Hanauma Bay, Hawai'i," Working Papers 199606, University of Hawaii at Manoa, Department of Economics.
    2. Kido, Antonio & Seidl, Andrew, 2008. "Optimizing protected area entry fees across stakeholders: the Monarch Butterfly Biosphere Reserve, Michoacan, Mexico," Environment and Development Economics, Cambridge University Press, vol. 13(2), pages 229-243, April.
    3. John W. Duffield & David A. Patterson, 1991. "Inference and Optimal Design for a Welfare Measure in Dichotomous Choice Contingent Valuation," Land Economics, University of Wisconsin Press, vol. 67(2), pages 225-239.
    4. Teasley, R. Jeff & Bergstrom, John C. & Cordell, H. Ken, 1994. "Estimating Revenue-Capture Potential Associated With Public Area Recreation," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 19(1), pages 1-13, July.
    5. Lee, Choong-Ki & W. Mjelde, James, 2007. "Valuation of ecotourism resources using a contingent valuation method: The case of the Korean DMZ," Ecological Economics, Elsevier, vol. 63(2-3), pages 511-520, August.
    6. Timothy C. Haab & Kenneth E. McConnell, 2002. "Valuing Environmental and Natural Resources," Books, Edward Elgar Publishing, number 2427.
    7. Mathieu, Laurence F. & Langford, Ian H. & Kenyon, Wendy, 2003. "Valuing marine parks in a developing country: a case study of the Seychelles," Environment and Development Economics, Cambridge University Press, vol. 8(2), pages 373-390, May.
    8. W. Michael Hanemann, 1984. "Welfare Evaluations in Contingent Valuation Experiments with Discrete Responses," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 66(3), pages 332-341.
    9. Bishop, Richard C. & Heberlein, Thomas A., 1979. "Measuring Values Of Extramarket Goods: Are Indirect Measures Biased?," 1979 Annual Meeting, July 29-August 1, Pullman, Washington 277818, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    10. Peter A. Diamond & Jerry A. Hausman, 1994. "Contingent Valuation: Is Some Number Better than No Number?," Journal of Economic Perspectives, American Economic Association, vol. 8(4), pages 45-64, Fall.
    11. Richard C. Bishop & Thomas A. Heberlein, 1979. "Measuring Values of Extramarket Goods: Are Indirect Measures Biased?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 61(5), pages 926-930.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Lee, Choong-Ki & Mjelde, James W. & Kim, Tae-Kyun & Lee, Hye-Mi, 2014. "Estimating the intention–behavior gap associated with a mega event: The case of the Expo 2012 Yeosu Korea," Tourism Management, Elsevier, vol. 41(C), pages 168-177.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jin, Jianjun & Wang, Zhishi & Liu, Xuemin, 2008. "Valuing black-faced spoonbill conservation in Macao: A policy and contingent valuation study," Ecological Economics, Elsevier, vol. 68(1-2), pages 328-335, December.
    2. Sunwoo Park & Namho Chung & Won Seok Lee, 2020. "Preserving the Culture of Jeju Haenyeo (Women Divers) as a Sustainable Tourism Resource," Sustainability, MDPI, vol. 12(24), pages 1-11, December.
    3. Guo, Xiurui & Liu, Haifeng & Mao, Xianqiang & Jin, Jianjun & Chen, Dongsheng & Cheng, Shuiyuan, 2014. "Willingness to pay for renewable electricity: A contingent valuation study in Beijing, China," Energy Policy, Elsevier, vol. 68(C), pages 340-347.
    4. Meilan Jin & Yuxian Juan & Youngjoon Choi & Choong-Ki Lee, 2019. "Estimating the Preservation Value of World Heritage Site Using Contingent Valuation Method: The Case of the Li River, China," Sustainability, MDPI, vol. 11(4), pages 1-14, February.
    5. Robert J. Johnston & Kevin J. Boyle & Wiktor (Vic) Adamowicz & Jeff Bennett & Roy Brouwer & Trudy Ann Cameron & W. Michael Hanemann & Nick Hanley & Mandy Ryan & Riccardo Scarpa & Roger Tourangeau & Ch, 2017. "Contemporary Guidance for Stated Preference Studies," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 4(2), pages 319-405.
    6. Rodríguez, Elsa Mirta M. & Lacaze, María Victoria & Lupín, Beatriz, 2007. "Willingness to pay for organic food in Argentina: evidence from a consumer survey," Nülan. Deposited Documents 1300, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    7. Pere Riera & Raúl Brey & Guillermo Gándara, 2008. "Bid design for non-parametric contingent valuation with a single bounded dichotomous choice format," Hacienda Pública Española / Review of Public Economics, IEF, vol. 186(3), pages 43-60, October.
    8. Smith, V. Kerry & Mansfield, Carol, 1998. "Buying Time: Real and Hypothetical Offers," Journal of Environmental Economics and Management, Elsevier, vol. 36(3), pages 209-224, November.
    9. Richard T. Carson & Miko_aj Czajkowski, 2014. "The discrete choice experiment approach to environmental contingent valuation," Chapters, in: Stephane Hess & Andrew Daly (ed.), Handbook of Choice Modelling, chapter 9, pages 202-235, Edward Elgar Publishing.
    10. Amirnejad, Hamid & Khalilian, Sadegh & Assareh, Mohammad H. & Ahmadian, Majid, 2006. "Estimating the existence value of north forests of Iran by using a contingent valuation method," Ecological Economics, Elsevier, vol. 58(4), pages 665-675, July.
    11. Richard T. Carson, 2011. "Contingent Valuation," Books, Edward Elgar Publishing, number 2489.
    12. Green, Donald & Jacowitz, Karen E. & Kahneman, Daniel & McFadden, Daniel, 1998. "Referendum contingent valuation, anchoring, and willingness to pay for public goods," Resource and Energy Economics, Elsevier, vol. 20(2), pages 85-116, June.
    13. Gebretsadik, Kidanemariam Abreha & Romstad, Eirik, 2020. "Climate and farmers’ willingness to pay for improved irrigation water supply," World Development Perspectives, Elsevier, vol. 20(C).
    14. Baker, Rick & Ruting, Brad, 2014. "Environmental Policy Analysis: A Guide to Non‑Market Valuation," 2014 Conference (58th), February 4-7, 2014, Port Macquarie, Australia 165810, Australian Agricultural and Resource Economics Society.
    15. Andrea Báez-Montenegro & Ana Bedate Centeno & José à ngel Sanz Lara & Luis Cesar Herrero Prieto, 2016. "Contingent valuation and motivation analysis of tourist routes," Tourism Economics, , vol. 22(3), pages 558-571, June.
    16. Costa-Font, Joan & Rovira-Forns, Joan, 2008. "Who is willing to pay for long-term care insurance in Catalonia?," Health Policy, Elsevier, vol. 86(1), pages 72-84, April.
    17. Lee, Chul-Yong & Heo, Hyejin, 2016. "Estimating willingness to pay for renewable energy in South Korea using the contingent valuation method," Energy Policy, Elsevier, vol. 94(C), pages 150-156.
    18. Lee, Choong-Ki & W. Mjelde, James, 2007. "Valuation of ecotourism resources using a contingent valuation method: The case of the Korean DMZ," Ecological Economics, Elsevier, vol. 63(2-3), pages 511-520, August.
    19. Yves Schneider & Peter Zweifel, 2013. "Spatial Effects in Willingness to Pay for Avoiding Nuclear Risks," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 149(III), pages 357-379, September.
    20. García De La Fuente, L. & Colina Vuelta, A., 2004. "Métodos directos e indirectos en la valoración económica de bienes ambientales, aplicación al valor de uso recreativo del Parque Natural de Somiedo," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 22, pages 1-26, Diciembre.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:toueco:v:19:y:2013:i:1:p:147-159. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.