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The Effects On Environmental Investment Of Changes In Tourism Demand


  • Accinelli, Elvio
  • Brida, Juan Gabriel
  • Carrera, Edgar
  • Pereyra, Juan


In this short paper we analyze the impact of tourist demand in hotel rooms on the investment of hotels on environmental quality. We show that when income of the tourists increases, then to maintain the demand for rooms, the hotels must in-crease the investment on the environmental quality of the region where there is an increment of the tourist activity. In the particular case where we have three differ-ent hotel chains located in three different tourist regions, we show that the incen-tive of hotel chains to invest in environmental quality depends on the demand for days of rest on the part of tourists and on the level of aggregate income. We also show that if total income increase, then the incentive to invest in environmental quality increases in the region where the price of a hotel room is lower.

Suggested Citation

  • Accinelli, Elvio & Brida, Juan Gabriel & Carrera, Edgar & Pereyra, Juan, 2007. "The Effects On Environmental Investment Of Changes In Tourism Demand," MPRA Paper 6372, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:6372

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    References listed on IDEAS

    1. Bachleitner, Reinhard & Zins, Andreas H., 1999. "Cultural Tourism in Rural Communities: The Residents' Perspective," Journal of Business Research, Elsevier, vol. 44(3), pages 199-209, March.
    2. Perdue, Richard R. & Long, Patrick T. & Kang, Yong Soon, 1999. "Boomtown Tourism and Resident Quality of Life: The Marketing of Gaming to Host Community Residents," Journal of Business Research, Elsevier, vol. 44(3), pages 165-177, March.
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    Cited by:

    1. Malgorzata Ogonowska & Dominique Torre, 2012. "Sustainable Tourism and the emergence of new Environmental Norms," Post-Print halshs-00726127, HAL.
    2. Malgorzata Ogonowska & Dominique Torre, 2014. "Towards a Sustainable Tourism," GREDEG Working Papers 2014-45, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), University of Nice Sophia Antipolis.
    3. Brida, Juan Gabriel & Pereyra, Juan S., 2008. "Tourism Taxation and Environmental Quality in a Model with Vertical Differentiation," MPRA Paper 25305, University Library of Munich, Germany, revised 19 Dec 2008.
    4. Malgorzata Ogonowska & Dominique Torre, 2013. "Residents' Influence on the Adoption of Environmental Norms in Tourism," GREDEG Working Papers 2013-17, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), University of Nice Sophia Antipolis.

    More about this item


    environmental investment; hotelling competition; service quality; sustainable tourism;

    JEL classification:

    • M0 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - General
    • D0 - Microeconomics - - General
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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