Incorporating destination quality into the measurement of tourism performance: A Bayesian approach

A. George Assaf and Mike Tsionas

Tourism Management, 2015, vol. 49, issue C, 58-71

Abstract: Studies on destination benchmarking have so far ignored destination quality in the measurement of tourism performance. Destination quality plays a critical role in attracting tourism outputs (e.g. arrivals, receipts), and hence ignoring it represents an important shortcoming that might bias the benchmarking outcomes. The present paper develops for the first time a Bayesian stochastic frontier model that incorporates destination quality into the estimation of tourism performance. The model we propose benchmarks tourism destinations based on both overall performance (i.e. technical efficiency) and quality performance. We impose a dynamic structure on both technical efficiency and destination quality, and differentiate between short-run and long-run estimates of these measures. We provide ranking of technical efficiency and destination quality for 101 tourism destinations and discuss the implications of our findings.

Keywords: Destination quality; Technical efficiency; Dynamic framework; Bayesian (search for similar items in EconPapers)
Date: 2015
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Citations: View citations in EconPapers (23)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:touman:v:49:y:2015:i:c:p:58-71

DOI: 10.1016/j.tourman.2015.02.003

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