Market structures, strategy and innovation in tourism sector
International Journal of Culture, Tourism and Hospitality Research
ISSN: 1750-6182
Article publication date: 2 June 2014
Abstract
Purpose
This study aims to add to the existing body of knowledge the link between market structures, strategy and innovation by applying the diagnostic test of the integrated model of innovation, and also present the results of an empirical study applied to tourism in a small open economy. The study uses an archetype and the market outcome resulting from the innovation strategies pursued to compare similarities and differences according to a firms’ geographical location to identify innovative patterns in tourism firms.
Design/methodology/approach
The study applies a multivariate analysis using a data set consisting of survey responses from 158 Portuguese firms.
Findings
The findings indicate links between service, market structures and innovation strategies considering geographical agglomeration of firms in a small economy, and also different innovation trajectories and positions in the model.
Research limitations/implications
The results of this study are generalizable to a dynamic industry context of tourism firms operating in a small open economy, such as Portugal.
Practical implications
The results suggest that managers need to attend to intangible resources, such as marketing and human resources and their links with innovation and performance, particularly in the case of service firms.
Originality/value
The paper highlights the role of intangible resources, especially marketing and human resources, in tourism firms. Geographical location also influences the firm’s strategy and results.
Keywords
Citation
Carvalho, L.M.C. and Sarkar, S. (2014), "Market structures, strategy and innovation in tourism sector", International Journal of Culture, Tourism and Hospitality Research, Vol. 8 No. 2, pp. 153-172. https://doi.org/10.1108/IJCTHR-05-2013-0031
Publisher
:Emerald Group Publishing Limited
Copyright © 2014, Emerald Group Publishing Limited