Purchasing decision of tourism destination under tourism demand model- taking tourism statistics from Hawaii as example

Abstract

This paper is to determine the factors that influence the flow of international tourism to Hawaii and the purchasing decisions of international tourists on Hawaii tourism products. This paper uses an empirical tourism econometric model and time-series data from 2010 to 2019 to quantitatively explain the different factors that influence the choice of Hawaii for tourists from three major sub-markets: Canada, Japan and Australia. The research findings show that CPI of Hawaii, alternative destinations, GDP of the original country, employment in the hospitality industry and airline seat capacity are the main factors contributing to the high elasticity of demand of international tourists in Hawaii. This research contributes to understand Canadian, Japanese and Australian tourists and develop strategies to increase their satisfaction and willingness to return to Hawaii.