Abstract

This study sought to investigate on hotel investors’ perspectives on the role of the public sector in Kenya’s competitiveness as an investment destination for the tourism industry. The study adopted an exploratory research design involving 24 executives drawn from hotel companies that operated 3- to 5-star hotels in Kenya. The study found out that entrepreneurship, and legislation and regulation functions were considered the most significant roles of Kenya’s public sector in creating a competitive environment for the tourism sector. The study further found out that the public sector roles of coordination, planning and stimulation were considered of less significance to attracting hotel investments. The paper recommends that the government seeks to address the noted concerns and notes the need for further research on the efficacy of the different investment promotion initiatives in view of the amount of resources that the government commits in terms of incentives to the sector.

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