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Comparative Analysis of Underdeveloped Tourism Destinations' Choice of Cooperation Modes: A Tourism Supply-Chain Model

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  • Junfeng Dong

    (School of Management, Hefei University of Technology, Tunxi Road, Hefei 230009, PR China)

  • Ye Shi
  • Liang Liang
  • Huaqing Wu

    (School of Economics, Hefei University of Technology, Tunxi Road, Hefei 230009, PR China)

Abstract

Many underdeveloped tourism destinations have to cooperate with other enterprises in the tourism industry to expand their tourism development. In practice, the choice of proper cooperation modes is a common issue for decision makers of underdeveloped destinations. To provide some insights into this issue, the authors propose a tourism supply-chain model consisting of one tour operator and two tourism destinations, one underdeveloped and one more mature. Unlike previous studies, in this model the mature tourism destination instead of the tour operator takes central place. Under different cooperation modes, the authors first analyse the equilibrium solutions and profits of all members of the decentralized decision-making situation. Then the quantity discount contract is used to coordinate the tourism supply chain and achieve reasonable profit allocation. Based on one numerical example, a comparison of the different cooperation modes is presented and recommendations are provided for the development of underdeveloped tourism destinations.

Suggested Citation

  • Junfeng Dong & Ye Shi & Liang Liang & Huaqing Wu, 2012. "Comparative Analysis of Underdeveloped Tourism Destinations' Choice of Cooperation Modes: A Tourism Supply-Chain Model," Tourism Economics, , vol. 18(6), pages 1377-1399, December.
    • Handle: RePEc:sae:toueco:v:18:y:2012:i:6:p:1377-1399
    DOI: 10.5367/te.2012.0170a
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    References listed on IDEAS

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    2. Marie-Louise Mangion & Ramesh Durbarry & M. Thea Sinclair, 2005. "Tourism Competitiveness: Price and Quality," Tourism Economics, , vol. 11(1), pages 45-68, March.
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    4. Haiyan Song & Shu Yang & George Q. Huang, 2009. "Price Interactions between Theme Park and Tour Operator," Tourism Economics, , vol. 15(4), pages 813-824, December.
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    Cited by:

    1. Dong, Junfeng & Wu, Desheng Dash, 2019. "Two-period pricing and quick response with strategic customers," International Journal of Production Economics, Elsevier, vol. 215(C), pages 165-173.
    2. Xiangping Wang & Ivan Kai Wai Lai & Huajun Tang & Chuan Pang, 2022. "Coordination Analysis of Sustainable Dual-Channel Tourism Supply Chain with the Consideration of the Effect of Service Quality," Sustainability, MDPI, vol. 14(11), pages 1-24, May.
    3. Qiang Guo & Ye Shi & Junfeng Dong & Xiaolong Guo & Chris K. Anderson, 2014. "Pricing Competition and Channel Coordination in the Tourism Supply Chain with Optional Tours," Tourism Economics, , vol. 20(5), pages 939-960, October.
    4. Nina Zhu & Gang Zeng & Xue Li & Zhangqi Zhong, 2023. "Optimum spatial scale of regional tourism cooperation based on spillover effects in tourism flows," Tourism Economics, , vol. 29(2), pages 409-436, March.
    5. Sarat K. Jena & Purushottam L. Meena, 2019. "Price and Service Competition in a Tourism Supply Chain," Service Science, INFORMS, vol. 11(4), pages 279-291, December.
    6. Sarat Kumar Jena & Deepti Jog, 2017. "Price competition in a tourism supply chain," Tourism Economics, , vol. 23(6), pages 1235-1254, September.
    7. Haixia Bai & Wenxue Ran, 2022. "Analysis of the Vulnerability and Resilience of the Tourism Supply Chain under the Uncertain Environment of COVID-19: Case Study Based on Lijiang," Sustainability, MDPI, vol. 14(5), pages 1-20, February.
    8. Jingmei Xu & Li Hu & Xiaolong Guo & Xia Yan, 2020. "Online cooperation mechanism: game analysis between a restaurant and a third-party website," Journal of Revenue and Pricing Management, Palgrave Macmillan, vol. 19(1), pages 61-73, February.
    9. Yue Pan & Zhaolong An & Jianpu Li & Gangmin Weng & Lingyan Li, 2023. "Spatiotemporal Characteristics and Determinants of Tourism Cooperation Network in Beijing–Tianjin–Hebei Region," Sustainability, MDPI, vol. 15(5), pages 1-20, February.

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