Analysis of success factors in public-private partnership in tourism

Abstract

The consequences of the global pandemic led to border closures and to a significant increase in demand for regional tourism in Kazakhstan in the summer of 2020. The additional pressure on the tourism sector has exposed problems in the infrastructure and tourism facilities of the country. Given the lack of state sponsorship of such facilities, it is necessary to involve private investors and businesses in the development of the tourism cluster through special forms of agreements, such as public-private partnerships (hereinafter – PPP). The main goal of this article is a study the development of a PPP instrument, as well as determine the critical factors of the success of the implementation of PPP projects in the tourism sector. The research methodology includes conducting a survey among PPP experts. Through the analysis, 5 main factors were identified that must be taken into account by both parties to the agreement for the development of tourist facilities. The analysis will consider studies by foreign and Russian authors, as well as their methods of developing PPP projects. Particular importance will be given to the consideration of existing legislative acts as one of the types of success factors. This work will make a significant contribution to understanding the successful development of tourism through PPP projects, and will also help the government to revise the existing approach to PPP projects. Joint activities of the state and the private sector based on cooperation presented in this paper is a relatively new area in the Kazakhstan economy that requires a substantive examination and thorough study.