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Tourism Competitiveness in Small Island Developing States


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  • Craigwell, Roland


The tourism industry is the leading segment of the services industries in small island developing states (SIDS). This paper therefore seeks primarily to investigate both the nature and determinants of tourism competitiveness in SIDS. Judging from the various calculated indices of tourism competitiveness, the competitive position of tourism in SIDS is a major issue. More specifically, SIDS are still price uncompetitive and appear to be losing ground in the global tourism market. There is also a need for these countries to improve their levels of investment for the development of the technological infrastructure (telecommunications technology), and more importantly to ensure that the economic gains from tourism are spread to the lower-income households. Additionally, the findings of this study highlight some difficulties (from a macroeconomic perspective) of designing appropriate policies and strategies to enhance tourism competitiveness in SIDS. In particular, price and income considerations, given their predominantly exogenous nature, are not easy to control, but nevertheless must be explicitly taken into account in any policy aimed at improving tourism competitiveness.

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Bibliographic Info

Paper provided by World Institute for Development Economic Research (UNU-WIDER) in its series Working Paper Series with number UNU-WIDER Research Paper RP2007/19.

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Length: 28 pages
Date of creation: 2007
Date of revision:
Handle: RePEc:unu:wpaper:rp2007-19

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Keywords: competitiveness; tourism; SIDS;


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Cited by:
  1. Moore, Winston & CRAIGWELL, ROLAND, 2008. "Foreign direct investment and tourism in SIDS: evidence from panel causality tests," MPRA Paper 33438, University Library of Munich, Germany.
  2. Diana Balan & Virgil Balaure & Calin Veghes, 2009. "Travel And Tourism Competitiveness Of The World’S Top Tourism Destinations: An Exploratory Assessment," Annales Universitatis Apulensis Series Oeconomica, Faculty of Sciences, "1 Decembrie 1918" University, Alba Iulia, vol. 2(11), pages 43.


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