Category: Intelligence

Tourism trends and other business’ trends influencing or applicable to the tourism industry

Business trendsInnovationMarketing 3.0StrategyTourism marketing

Digital transformation in Tourism

The tourism industry is facing changes affecting the whole value chain, in both public and private sectors and to the whole system (demand, offer, markets and territory). In the coming ten years, the tourism industry is likely to generate new economic, social and environmental impacts through the digital transformation. More precisely, digitalization is impacting intensively and rapidly, forcing businesses to adapt to this environment of permanent transformation.

Digital transformation trends in tourism. There are four main technologies leading the digital transformation in the tourism industry:

  • Cloud: data collection, management and processing.
  • Mobile: platforms, services and applications for smartphones and tablets.
  • Internet of things: devices and objects connected to the internet.
  • Social: social networks through which the users participate, share and exchange contents and services.

And according to the report from the Orange Foundation about the digital transformation of the tourism sector in Spain, the main trends of the upcoming years are likely to be the following:

  1. New intermediation models. New agents have contributed to redesign the value chain, like the collaborative platforms (airbnb, uber, etc.)
  2. Technological platforms based upon cloud computing. Managing and processing Big data and Data Lake.
  3. The mobile. New tourism products and services to be consumed through the mobile devices.
  4. Internet of things. Wearable devices, Smart straps, beacons and chatbots are the main technology elements.
  5. Smart destinations. Appliance of advanced technologies under the denomination of Smart tourism destinations, Smart cities or Smart islands.
  6. Social networks. Also used as marketing tools.
  7. OTA’S and intermediation, search and comparison platforms, and e-commerce.
  8. Collaborative economy. Activity ecosystems where reputation becomes a fundamental business asset.
  9. Other technologies starting to gain protagonism in the tourism industry are geo-localization, virtual reality and augmented reality.
  10. Big data: The chances offered by many of the new technologies to generate and capture data.

In the digital transformation cross-sector process, tourism businesses have four main challenges to tackle:

  • People: new ways of working with human resources regarding communication and the need for skill development to adapt to the new realities, multiculturality, remote working, virtual teamworking, etc.
  • Infrastructures: incorporation of new digital tools.
  • Processes: new ways of using these new tools and working.
  • Systems: availability of environments which are adaptable in a way that allow businesses to design processes more rapidly.

Nowadays, most tourism organizations adopt the most sophisticated digital technology carrying out large investments in renewing their methods and tools, and there are also new collaborative models. However, the success will stay in being capable of having profiles with digital competences.

This blogpost is from  http://www.visionesdelturismo.es/transformacion-digital-en-turismo/

Business trendsEnvironmental sustainabilityStrategySustainabilityThird sector and social sustainability

Tourism business trends for 2017: Social responsibility is profitable

The UN Global Compact was born as an international Project created in 1999 whose mission was to initiate a global movement to create awareness among the sustainable businesses about the impacts created by their activities, so as to mitigate their negative consequences.

The key points of the initiative are developed upon some clearly defined goals:

  • Doing business responsibly, aligning strategies to the ten universally accepted principles to promote CSR in the areas of environment, labor rules, corruption prosecution, and human rights.
  • Make strategic decisions to develop UN Sustainable Development Goals, emphasizing on innovation and collaboration.

There are more than 13.000 supporting organizations in more than 145 countries, being the largest business social responsibility voluntary initiative worldwide.

One of the usual questions is whether CSR is profitable or not. According to the World Business Council for the Sustainable Development (WBCSD) there are five sources of profitability within SCR:

1. Operational efficiency: reducing waste, selling recyclable products, etc.
2. Risk reduction: taking care of the environment, developing anti-corruption practices, etc.
3. Human resources recruitment and retention: increasing productivity by attracting honest, committed and participative talents, and reducing their turnover.
4. Long term protection of raw materials’ sources: development of suppliers and improvement of the price and payment conditions.
5.  Demand growth: customer attraction and loyalty, and compliance with the large buyers’ requirements.

Far from considering Social Responsibility as a fashion trend or a mere philanthropic action, it is considered as a series of practices applied by firms, and that are part of their corporate strategy, as their goal is to minimize the business impacts and aims to create internal benefits for all the stakeholders.

Socially responsible businesses generate profits by improving their reputation. According to Adela Cortina –Director of the ETNOR Foundation about business ethics-, “social responsibility should be assumed as a management tool, a measure of prudence and an exigence of fairness”. However, there are not clear rules and universal criteria on how to apply Social Responsibility within the Corporate Strategy, letting its development be up to the business owner criteria.

Some of the tourism companies which adhere to the UN Global Compact for Responsible tourism are:

  • Ilunion Hotels.
  • Segittur – Turismo e Innovación.
  • Viajes El Corte Inglés.
  • The Ostelea School of Tourism and Hospitality

This blogpost is from   http://www.visionesdelturismo.es/tendencias-de-las-empresas-turisticas-en-el-2017-aplicar-la-responsabilidad-social-es-rentable/

Business trendsInnovationIntelligenceMarketing 3.0Tourism marketing

Tourism 3.0 – Innovation and digital competences

Along with the mega-trends that set Tourism 3.0 apart from conventional models, it is evident that not only the future but also the present state of the tourism industry is to be developed upon the new technologies along the whole industry value chain. Nowadays very few companies have not yet started their digitalization process. However, the issue is not about implementing new technologies, but about how to use them to increase productivity and add value for the customer.

According to Fernando de Pablo (President of Segitur, the Spanish Government’s Society for Tourism Innovation), we are in a world under continuous change where the tourism industry is the only one affected by all technology trends, and therefore needs new digital competencies. In the document elaborated by Thinktur (Forum focused on Tourism Innovation) “10 technological trends in tourism for 2017”, there are a handful of new advancements affecting the tourism sector:

  • Big data – Open data
  • Digital marketing
  • Smartphones & Apps
  • Virtual and immersive reality
  • Internet of things
  • Trans-commercialization
  • Natural language processing
  • Gamification
  • Personalisation systems
  • 2D and 3D printing

The goal of the digital competencies in the tourism industry is to develop the capacity of Discovery, learning, understanding and anticipating tourists’ motivations and expectations.

We have been taking pictures and videos about our traveling experiences for more than ten years, but being able to share them in real time through the social networks is a relatively new thing, which is possible thanks to the global connectivity available in most developed destinations. This is to satisfy the need for sharing our experiences with our relatives and friends, the main reason why we take all those pictures and videos.

The point is how to use the available technology, and to adequately choose which technology should be used for what purpose. It is therefore necessary to learn how to handle them before deciding.

The Hospitality industry and Digital Marketing. In the event “Tourism 3.0 – Innovation and digital competences” organized by IMF Business School we learnt about the experience of three hotels belonging to large Hotel chains implementing  their tourism digitalization strategy through marketing.

Madrid Marriott Auditorium Hotel. This hotel has initiated a Project to create tailored experiences through Big Data tools.

Hotel Meliá Castilla. This hotel has implemented an Inbound Marketing Strategy searching for customer loyalty, trying to turn clients into fans, so that the motivation for staying in the hotel comes from the tourists themselves.

Novotel Madrid Center. Beyond delivering the expected service, they search for elements that make the experience outperform in the customer’s expectation.

This blogpost is from  http://www.visionesdelturismo.es/turismo-3-0-innovacion-y-competencias-digitales/

Business model innovationBusiness trendsCollaborative business modelsCollaborative cultureEnvironmental sustainability

B2B sharing: the next logical step for Sharing Economy?

As it has been explained in many posts, collaboration is at the core of destinations 3.0. However, we have focused on the collaborative efforts to co-create or co-innovate with the participation of both individuals and businesses. Another type of collaboration is that of the sharing economy, nowadays in the spotlight because of business models such as Uber or Airbnb, based on peer to peer (P2P) collaboration in sharing resources.

But, what about business-to-business sharing?  B2B initiatives of the sharing economy may not be as well known as B2C’s, but some analysts consider the real power of peer-to-peer exchange may be found in B2B transactions, as businesses could better leverage the potential financial and operational benefits of jumping on the sharing economy bandwagon.

But first, it is necessary to be clear about what “sharing” means. Sharing Economy is a term currently used to designate many different ideas that could be also tagged with so disparate concepts as “gig economy” or “collaborative economy”. For the sake of the argument a sharing economy initiative could be described as one activating idle resources for usage, facilitating the paradigm of access versus ownership, and using technology to enable the matching between idle resources and its demand.

There are still many barriers to B2B sharing…

Key differences between B2B and P2P sharing may explain why you might not have heard as much about the B2B sharing economy as you have about B2C/P2P. For start, there is the cultural mindset we have mentioned so often in here: businesses have been shaped for decades to be competitors, not collaborators. The kind of relationships are used to is exclusively transactional. Owning more and better assets than others is supposed to be a key factor for success. Sharing resources does not come naturally to them, even if there is a benefit for doing it.

Then, there is also the legal hurdles or gaps that many P2P or B2C sharing initiatives are still sorting out. These hurdles are understandably more intimidating in the case of business to business interactions. Finally, the quality and user experience of the sharing economy services is also a factor to take into account. While a disappointing experience is not usually going to discourage a consumer to try again a particular P2P service choosing another peer, a business is less likely to pay for shared services when a bad experience could have a more significant consequences than, for instance, a driver too talky or too quiet in a shared ride.

… but its benefits could tip the scales

But these particular barriers for B2B sharing might be rapidly overcome as the economic environment compels business of all kind of shapes and sectors to leverage its benefits. The promising area of shared commercial services is vast and varied in its potential environmental and economic impacts. Certain B2B sharing services could provide many businesses, especially SMEs, with access to once inaccessible resources that those companies have no way to access if not through sharing. Besides, sharing resources streamlines companies, enabling them to operate faster. It can also allows them to react quickly to market changes in a less expensive and more efficient manner.

For instance in manufacturing, where the increasing versatility spur by flexible manufacturing technologies allows companies to share their production facilities and equipment much easier than in the past. Or in areas related with a bigger pressure for sustainability, where sharing large assets with significant carbon footprints as cars, trucks, industrial equipment or buildings can help to reach environment-friendly goals.

Some examples

The number of B2B sharing economy platforms is still low compared with their P2P counterparts, but some business-to-business players are already enabling businesses to share access to assets as such office space or underutilized machinery:

Sharemyoffice.co.uk lets businesses anywhere in the world advertise their spare desks or office space providing a portal for startups to find their first commercial business space.

Yard Club Rental, recently acquired by Caterpillar, provides a way for construction companies to share their equipment by renting it out when not in use by their own companies.

Floow2 is about sharing between companies every aspect of the supply chain… and more. The most popular categories are cars, trucks, meeting rooms, aerial platforms, communication specialist and designer (yes, professionals can also be shared).

Flexe wants to transform how logistics and supply chain professionals manage growth, inventory peaks, returns and new market entry creating warehouse networks that scale as necessary by connecting organizations that need warehousing space to organizations with extra space.

Breather wants to become the Airbnb for office space and meeting rooms.

Storefront specializes in retail spaces available for pop-up shops.

This post is based on http://www.co-society.com/b2b-sharing-next-logical-step-sharing-economy/

Business trendsCollaborative business modelsCollaborative cultureEnvironmental sustainabilityStrategy

The Collective Impact Framework

Tourism destinations 3.0 set themselves apart by defining a mission in accordance with the communities’ challenges and concerns. Beyond defining this mission based upon all the local stakeholders’ participation, it is necessary to define a common framework to properly align all stakeholders’ goals, strategies and correlated indicators ensuring the optimum impact and mission accomplishment.

As the idea of “coopetition” started to take root in managerial environments, several collaboration frameworks and methods have been tried putting in place. Probably few of them if any became so rapidly popular and inspired so many projects and enthusiastic followers as the one coined as “Collective Impact”.

An original article describing Collective Impact was published in 2011 in the Stanford Social Innovation Review, written by John Kania and Mark Kramer explaining how a much greater progress could be achieved in relation with increasingly complex social and environment problems if all different players involved in finding solutions (from governments and business to non-profits and public in general) were brought together around a common agenda. The framework described was quickly adopted by many foundations and government agencies as a new approach to community coalition building and collaboration. Six years after that first article was published, many social organizations are now declaring they are using a “Collective Impact” approach.

Collective Impact initiatives have been employed in a wide diversity of social issues and challenges including areas such healthcare, youth, education, homelessness or poverty.

Collective Impact is described as “a structured and disciplined approach to bring cross-sector organizations together to focus on a common agenda that results in long-lasting change”. The concept of “collective impact” was used in contrast to the “isolated impact” that organizations achieve when working primarily alone, acknowledging that most organizations lack the ability to solve (social) problems, especially in a context of increasing complexity. Collective Impact framework highlights how large-scale (social) change requires broad cross-sector coordination.

By applying Collective Impact framework companies can leverage the experience of dozens of initiatives and organizations already involving cross-sector coalitions in order to make meaningful and sustainable progress on social issues.

The Collective Impact approach is premised on the belief that no single policy, government department, organization or program can tackle or solve the increasingly complex social problems we face as a society.  The approach calls for multiple organizations or entities from different sectors to abandon their own agenda in favor of a common agenda, shared measurement and alignment of effort. Unlike collaboration or partnership, Collective Impact initiatives have centralized infrastructure – known as a backbone organization – with dedicated staff whose role is to help participating organizations shift from acting alone to acting in concert

“… we believe that there is no other way society will achieve large-scale progress against the urgent and complex problems of our time, unless a collective impact approach becomes the accepted way of doing business.

The original piece at Stanford Social Innovation Review and follow up articles distilled five key ingredients of successful community efforts that shaped the framework used in so many social initiatives so far. Going over them with business eyes and mindset would confirm if these ingredients or conditions can also be applied out of a social challenge too.

Common Agenda: All participants in a collective effort need to be on the same page. When different players are facing together a problem or challenge, it is critical to share a common understanding of this challenge and a common approach on how to tackle this challenge: It is necessary to clearly define the vision, define the goals that want to be achieved and create common grounds before attempting to address these goals.

Shared Measurement: Measurement is key to guide effectiveness and track progress. Without agreeing on what success means to the collective team is difficult to enable collaboration and catalyze action. It is necessary to agree and manage common indicators used by every player or part involved in the project to ensure shared measurement for alignment and accountability.

Mutually Reinforcing Activities: It is necessary to develop a plan of action that outlines and coordinates mutually reinforcing activities for each participant. This will identify ways to work together better and capitalize on individual talents. For this plan of action to be efficient, it is worth first to invest time in understanding the different ways each participant contributes to the common effort.

Open and continuous communication: Communication between all players should be frequent and structured. Proper and fluent communication is a key factor to build trust and assure all goals are mutual and keeps being mutual as the project develops. A good and continuous interaction can also act creating a common motivator. It is important to set up a structured communication plan that can include all kinds of interactions formal and informal and use different tools available.

Backbone organization: all multiplayer initiative needs a group of people maintaining ongoing support for the project strategy, activities, shared measurements and coordinating participating agents. This “backbone organization” can take different forms, but effective leadership will always play a key role in the project success.

This blogpost is from www.co-society.com/collective-impact-framework-collaborate-beyond-social-challenges/

You may also find further information on www.collaborationforimpact.com/collective-impact/

Business trendsCo-creationCollaborative cultureInnovationInnovative culture

Teaming up with customers & fans to co-innovate

As explained many times in this blog, engaging customers and turning them into fans, contributors and brand ambassadors is one of the key success factors of destinations 3.0. One recent case within the entertainment sector showcases how co-innovation with fans can lead to fruitful results.

Even if the concept of costumer centric business is still often more of a marketing trick or organizational aspiration than a reality, increasing competition is making brands truly getting closer to customers. Some others are even going further: they are putting them at the heart of business decision-making.

When it comes to innovation they’re even asking them for help with the process, not just simply using them to provide insight. Consumer-led creativity does exist. Consumers are a huge and largely untapped source of creativity and innovation. Customers are already creating value and solving problems without any encouragement from commercial organizations. Why not trying to tap into it?

Co-creation workshops can help businesses pool ideas from participants and turn these insights into tangible prototypes that can be evaluated in real time. We could recently prove it once more when asked by F.C. Barcelona to lead its first co-creation workshop with members of the football club in order to work together in a process of proposals and ideas. Using the context of the recent Mobile World Congress, fifty F.C. Barcelona supporters between 18 and 40 years gathered in a workshop named ‘Smart & Mobile Connection Future’ to propose ideas linked to technological applications that could facilitate the living and sensing of everything the sport club is offering to its members, supporters and fans in the stadium and sports events.

After a few speeches introducing the vision, mission and methodology of the workshop by some innovation experts, the supporters were divided into small groups to encourage their participation, which resulted in a great deal of ideas related to the use of new technologies in the Stadium and the sporting events. Contributions and needs identified were numerous. For instance, it was proposed to make possible to watch game replays on the phone or tablet at the Camp Nou stadium itself in real time; and apps to order sandwiches and drinks from seats during the game or to access to information about public transport and traffic around the stadium. Some other proposals pointed to be able to carry a digital version club’s member card in smartphones that could also be used for mobile payments at shops and restaurants linked with F.C. Barcelona.

Co-creation workshop ‘Smart & Mobile Connection Future’ is part of a transversal innovation program started late last year with the aim to identify problems and opportunities for the organization and resolve them through new projects or ways of working. Some other workshops like this are coming soon and will be related to other areas of the club.

This article is from www.co-society.com/teaming-customers-co-innovate-even-better-fans-youre-lucky

Business trendsCollaborative business modelsCollaborative cultureInnovationInnovative culture

Co-Innovation will be a new growth path for companies, Singapore considered

Collaborative innovation is one of the key concepts that set Destinations 3.0 apart from others, and one of the main sources of competitive advantage. Singapore –the second most competitive economy worldwide according to the World Competitiveness Index- is an example of best practices in collaborative innovation between the public and private sector.

The Singapore Government launched about five years ago a Public Private Co-Innovation Partnership (CI Partnership) programme to encourage the co-development of innovative solutions with the private sector to meet the government’s longer term needs. The initiative was inspired by part of the recommendations of the Singapore Ministry of Finance Economic Strategies Committee (ESC) in which it was included the idea that Co-Innovation would be a new growth path for companies.

The programme involves the Government committing $450m over 5 years to fund such collaborations. For each of these projects, companies interested in co-developing solutions with the Government can apply for funding to do so.

The CI Partnership works on a public-private problem-based approach to innovation. Public agencies first define Government’s needs where there are no identified “off-the-shelf” solutions. Interested companies can then submit their proposals and ideas for projects to the agencies. Depending on the project, promising proposals can be funded to test the feasibility of the concept, develop prototypes or to test-bed the solution.

Interested companies can log on to the co-innovation website at http://www.coinnovation.gov.sg in which is possible to read Government explanation for the programme:

“Today, in an increasingly complex environment, Government faces many challenges and needs that do not have existing solutions. Singapore companies have the innovation potential to meet those needs. The central idea behind the CI Partnership is that Government can better serve the public through innovations borne out of public-private partnership”.

www.coinnovation.gov.sg

This article is from www.co-society.com/co-innovation-will-new-growth-path-companies-singapore-considered

 

Business model innovationBusiness trendsCollaborative business modelsCollaborative cultureCulture change

Business ecosystems come of age

As it has been explained in many posts and Whitepapers, one of the key success factors of destinations in their evolution towards the Vision of Tourism 3.0 is to develop an innovation ecosystem integrated by different types of contributors. In that regard, Business Trend Series Deloitte’s report Business ecosystems come of age presents a series of articles describing how businesses are moving beyond traditional industry silos and conjoining networked ecosystems, creating new opportunities for innovation.

The report offers a glimpse of how some view the rise of ecosystems as an opportunity for creating powerful new competitive advantage as it becomes increasingly possible for firms to deploy and activate assets they neither own nor control and expand the possible beyond of their expertise and activities.

This brief summary outlines the various subjects and ideas dealt with:

Introduction: A brief history of the concept of ecosystems applied to business and how it all started in the technology sector but now is also taking root far beyond.

Blurring boundaries, uncharted frontiers: Long-standing boundaries and constraints that have traditionally determined the evolution of business are dissolving, allowing new ecosystem possibilities to flourish.

Wicked opportunities: Many kinds of complex, dynamic, and seemingly intractable social challenges are being reframed and attacked with renewed vigor through ecosystems formed by unprecedented networks of NGOs, social entrepreneurs, governments, and even businesses coalescing around them.

Regulating ecosystems: Regulators are challenged to create policies and solutions that protect the public’s interests and are also dynamic enough to keep pace with innovation born through ecosystems.

Supply chains and value webs: A set of powerful developments have worked together to help transform the business environment, changing how supply chains are configured, further heightening their strategic significance for many firms, and creating new leadership imperatives for the years ahead. Now “companies don’t compete—supply chains do.”

The new calculus of corporate portfolios: The rise of business ecosystems is compelling strategists to value assets according to an additional calculus, often generating different conclusions about what should be owned.

The power of platforms: Properly designed business platforms can help create and capture new economic value and scale the potential for learning across entire ecosystems.

Minimum viable transformation: Business model transformations are not unprecedented, they have always happened. It is not even new that business model transformations must consider the evolution of a company’s broader ecosystem. What is new today is that such transformations must be considered and accomplished routinely—not as storm-of-the-century events.

You may download the document at Business ecosystems come of age

This article is from www.co-society.com/official-business-ecosystems-come-age-deloitte-confirmed/

Business model innovationCo-creationTourism trends

Innovating in a religious center to create life-changing experiences

Innovation is not a transforming element exclusive to the business world. Promoting innovation in another ambit such as spirituality is not only possible but it can also teach us many useful lessons which are actually applicable to any kind of organization. The changes carried out in Cova St. Ignasi house of spiritual exercises, a Christian Catholic center in the Barcelona Area, prove that innovation is applicable in absolutely all fields. Actually, innovating in the field of spirituality is itself a disruptive innovation.

It took around 7 years for a group of young Jesuits led by Xavier Melloni to introduce a series of new activities among the programs developed in Cova St. Ignasi. Those activities were open to the participation of all kinds of people regardless of their religious confession or practice. These programs offer the chance to experience the inner search introducing both oriental techniques and elements of body expression.

Among the new internalization techniques there are yoga and tai-chi. Self-knowledge practices incorporate also elements from the Sufi tradition and have a base of both spiritual and psychological dimension. To these spiritual experiences some components related to body expression like dance have been added.

As you may guess, the introduction of these activities among the usual programs in this house of spiritual exercises was much more than mere novelty in an institution dedicated for centuries to the prayer and spirituality from the Catholic practice and doctrine. Years after offering these new activities, the novelty has positively surprised both the local population and the institution.

Key takeaways

From the success of an innovation in a rather conservative environment there are many interesting lessons to take away:

WITHOUT RADICAL BREAKING OFF. The introduction of new programs has not led to the disappearance of the traditional activities. This circumstance helped the transition by diminishing the anxiety in front of novelty.

CONVINCED PEOPLE, THE MAIN CHANGE MOTOR. The main characteristic of the group of people who led this innovation was the strong conviction in the ideas they were proposing and wanted to put into practice. Nobody had the obligation of getting involved in an activity which they did not feel comfortable with or did not believe in.

MULTI-CONFESSIONAL TEAMWORK. To develop the Project they decided to mix both catholic and non-catholic members, cooperating at the same level since the first day.

CONFIDENCE IS KEY. The proposal of Xavier Melloni and the rest of the team responsible for the Project generated many kinds of negative reactions at the beginning. For instance, one of the main concerns was fear that people could think that they were abandoning or relaxing the principles of the organization. But any innovation process requires a certain audacity to overcome the fears that arise with any change. For Xavier, this audacity has been as crucial as the necessary confidence not to be questioning the project over and over again. With the confidence shown by Xavier and his team it was easier to assume their own responsibilities and be patient with the development of the project.

THE BEST OF EVERY PRACTICE. Successful innovations in any field are not absolutely original. They do not start from scratch, but rather from combining elements of the best practices in a new way. The spiritual exercises designed by Xavier Melloni claim to integrate the most positive elements from both oriental and western cultures, attracting people who are distant from the Catholic practice, probably due to the Church’s official message. Many people want to work on their spirituality but consider that Christianity is too inflexible and excessively moralized. On the other hand, seriously introducing elements from other religions requires going through an educational process encompassing language, mythology, etc. which may be quite long and demanding. Xavier’s proposal consists in offering the chance to rediscover spirituality through the local language.

INNOVATION AS AN ELEMENT WITHIN A VISION. Changes coming from a concept or a vision that goes beyond that particular change have more chances to be successful than those that are made as a result of a short term challenge. The new proposals from Cova St. Ignasi come from considering the various religions as different vehicles to achieve the same destiny, the philosophy which Xavier Melloni has been working on as an expert in inter-religious dialogue for many years.

POSITIVE CONTAMINATION. Innovation usually comes from the merge of ideas and practices from different fields which are barely ever in touch. Xavier Melloni thinks that it is crucial to distance yourself from the small and closed worlds in which we usually are. Why not create the glocal (global-local) also in the religious ambit?

This post has been inspired by an article in www.infonomia.com , the leading Spanish Forum on innovation.

What life-changing experience do you envision inspired by these case studies?

StrategyStrategy planning & executionSustainabilityTourism marketingTourism trends

A theoretical approach to cluster development

As introduced in the first point, tourism clusters are created to leverage the unique resources of a location or in some cases to gather artificial resources in the same location. In both cases, they improve the value of the location to end up making the location a key strategic factor.

To make a cluster competitive there are many key success factors that should be considered by the cluster members:

  • Transport infrastructure within, and to access the cluster from the target markets
  • Solidarity and cooperation spirit among players
  • Cooperation between the Government and the private players
  • Creating a welcoming atmosphere to attract international talent
  • Foresee space for attracting new businesses and expanding the cluster

A very specific key success factor is the existence of a governance structure to promote collaboration and joint projects, fostering innovation and promoting the cluster internationally. This governance body should be also responsible for:

  • Attracting new businesses
  • Performance monitoring
  • Intelligence research
  • Identifying needs for improvement and training
  • Representing the cluster players internationally
  • Organizing networking events and conferences
  • Coordinating players to design and implement the cluster development strategy

As mentioned before, there may be many types of players within a cluster, and so the types of cooperation between them may also be different. There are at least two types of cooperation:

  • Value chain cooperation: between players from different sections of the value chain, to gain efficiency or to add new value.
  • Coopetition: competitors sharing resources and costs that are not afordable for each one alone.

Research has shown that tourism development is a venue in which cooperation is often more important than competition (Inman et al. 1998). A cluster based development should try to build the value chain within each cluster in the region. A cluster strategy places all public and private stakeholders in the position of being producers and suppliers to one another, and seeks for constructive ways to define and carry out mutually beneficial action. The value chain is central to the tourism cluster concept, as it demonstrates how tourism can generate benefits to the economy beyond the tourism sector through linked industries (Gollub et al. 2002).

Do you think of other key success factors to make a cluster competitive?