9 Destination cooperation and governance Flashcards
why cooperating in tourism
to have better production
to have better marketing budget
you ca ben more innovative
create better products due to value chain
economies of scale
using synergies
(cantons offer incentives to work together. you get the money only if you work together)
Phenomena that constrain cooperative behavior
tragedy of the commons:
-with no incentives for institution to avoid the overexploitation of common resources (landscape, sea, cultural assets). -> lack of pricing of public goods. no owner, open access
Prisoner’s dilemma:
-induce the actors under certain conditions of limited information, not to cooperate even thought they would be better off if they cooperated
free rider problem (Olons zero contribution): why groups don’t contribute to public good: contributions are concentrated by a few and benefits shared among many. (people would let others do the work and then benefits from it -> nobody will do it)
free rider occurs:
- in big groups with many players,
- homogeneous groups
- unstructured system without common goals and incentives
3 condition that affect collective action
size of the group
heterogeneity
incentives
collective action will only take place in 2 cases: small groups and external coercion.
what does the model lack
possibility to communicate
observe / monitor each other
trust and reciprocate
design rules to guide or govern behavior in a groups
have repeated interactions
what is a net(work)?
is a form of cooperation between several actors in which all parties involved know who belongs to this net and in which the parties involved interact with each other.
the bigger the size the more connection
benefits of networks
Learning and exchange (knowledge transfer, communication and information, development of new cultural values)
Business activity: (cooperative activities as marketing, enhanced product quality and visitor experience)
Community: engagement of small enterprises in destination development, fostering common purpose and focus)
success factors on international tourism networks
OBJECTIVES AND PURPOSE: clear networking goals, geographic scope and tasks, national and international priorities
ORGANIZATIONAL STRUCTURE AND LEADERSHIP: must fit for purpose, recognizes the benefits of the creation of networks.
RESOURCING: continuity of adequate financial , human and physical resources
MEMBER ENGAGEMENT: comprehensive understanding, manipulation and management of a diverse set of member motivation including economic, social and psychological
BENEFITS AND INTER- ORGANIZATIONAL LEARNING
a Balance between the diverse and similar interests
Destination management in network management
basic needs to cooperate successfully
partners must trust each other
must have same goal
must benefit form cooperation continuously
must contribute continuously
destination governance definition
diverse set of governing elements and modules acting together on different spatial levels, as well as the procedure of collective agency coordinating stakeholder and origination to achieve common objectives
destination governance evolution
destination planning (beginning 1990s) –> decision and actions
destination management (late 90s) –> policy and strategy
destination governance (since mid 2000) –> norms, rules and culture
destination governance –> it’s about people
all about people!
cooperative behavior among actors and stakeholder groups in tourism destinations is an interpersonal business
tourism destination communities distinguish themselves by autonomous key actors
information exchange among actors leads neither directly to cooperation nor indirectly to trust or understanding
cooperation processes require reciprocal sympathy
structure and organization is important but lay players, their behaviors, motivation are more important.
Linking theories, cooperation approaches and the application to destination
cooperative behavior ins worthwhile is there is a playoff based on strategy (game theory) that maximize advances (rational choice theory)
actors must take into account that cooperative gate take place in an institutional context with different norms and rules (institutional analysis) and different resources endowments, which cause different distribution of power.
cooperative behavior is convenient if costs are minimized (transaction cost theory)
cooperative behavior take places in a social context in which actors strive to gain reputation and rewards (social exchange theory)
2 type of cooperation:
- formal (explicit) contract based
- informal (implicit) relation based
destination governance thought local elites
it’s all about people. elites represent stakeholder!
decisions and actions are taken by stakeholder groups via the individuals who represent them.–> this in turn form elites of actors
destination community elites = few influential individuals who hold multiple roles
elites have a strict hierarchy
for the formation of collective action, interpersonal bonds play a more important roles than professional /institutional / political contacts
destination governance thinking
collaboration in many cases generate too high transaction costs.
common perceptions, visions, values and priorities help in aligning network partners
internal marketing within the destination becomes an equally important part of the role of a DMO as external marketing
governance is not only about institution, processes and legal frameworks, but increasingly also about LEADERSHIP and TRUST!
