Abstract
The paper presents research results of efficiency of tourism sector in certain European countries and regions obtained by applying DEA method. The primary goal of the paper is to determine to what extent tourism sector in certain European countries and regions is efficient in relation to set parameters, while the secondary goal is aimed at providing recommendations for its improvement. In relation to this, the methodology of the DEA analysis is based on the input and output parameters which were used to determine the efficiency. The input parameters included: number of hotels and similar accommodation capacities, number of rooms and number of bed places, whereas the output parameters included: number of inbound tourists, number of bed-nights and tourism expenditure during their stay abroad. One of the conclusions of the paper is that the total efficiency was shown in Croatia, Belgium, and Denmark, while the technical efficiency was also present in North Macedonia, France, Malta, the Netherlands, Portugal, and Spain.
Highlights
Tourism represents an immense and fast-growing industry (Tooman, 1997), while its international scope has a positive impact on the long-term economic growth through currency flow, infrastructure investment, stimulation of other sectors and income generating (Schubert et al, 2011)
Underlying its relevance to the increase of the economic benefits of local population, Webster and Ivanov (2014) regard the importance of tourism through the assumption that more competitive destinations will attract a larger number of tourists as high spenders, which is followed by the increase in GDP and economic growth in the destination
DEA analysis has shown that Serbia, in order to reach efficiency, should simultaneously decrease the number of hotels by 8.6% and number of bed places by 9.8%, maintain the current number of rooms, increase the number of inbound tourists by 412%, the number of bed-nights by 377.64% and their expenditure by the same percentage
Summary
Tourism represents an immense and fast-growing industry (Tooman, 1997), while its international scope has a positive impact on the long-term economic growth through currency flow, infrastructure investment, stimulation of other sectors and income generating (Schubert et al, 2011). Considering that tourism is regarded as income generating and increasing job opportunities (Pablo-Romero & Molina, 2013), tourism in Europe and the world represents an important strategy for economic growth (Antonakakis et al, 2015). In the contemporary global tourism market, competitiveness of destinations is more and more gaining prominence as a relevant factor in market positioning. In this regard, the efficiency of tourism sector has a great role in the development and competitiveness. In the similar vein, Corne (2015) considers hospitality as one of the key sectors in tourism and, hotels need to be competitive in order to attract tourists and determining efficiency in hospitality is an important aspect of researching efficiency of tourism
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