Heterogeneity and Homogeneity Measures of Attractions in Tourism Destination Areas: Development of Attraction Diversity Index and Attraction Cluster Equity Indices

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Conference Proceeding

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Marketing Transformation: Marketing Practice in an Ever Changing World

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Traditionally, economists have attempted to develop indices that measure industry concentration, and such indices have become the basis of considerable antitrust litigations. The inverse of industry concentration can give valuable managerial clues about industry diversity and competition. With specific focus on the tourism industry, the current paper focuses on the development of an attraction diversity index (ADI), which is a direct outgrowth of the product diversity and performance literatures, spanning economics, management, and marketing. Of critical importance in this paper is how tourism developers conceptualize, construct, and implement attractive “tourism mix” offering bundles of utilities, proportionately developed to consistently attract target audiences sufficiently enough to offer profitability levels for long-term growth. We also propose its inverse, attraction cluster equity (ACE). The ACE is designed to measure the value of an attraction type for a destination country in a more meaningful way than the market share.



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