Factors that affect the demand of tourism in Mexico: competitive analysis

Abstract

Purpose Several studies have been made that analyze factors that affect the demand of tourism from several optics. This paper aims to study the factors that determine the demand for tourism in Mexico, through an econometric analysis, by using the Johansen cointegration model (1991) to determine the long-term elasticity between the demand of tourists and the wealth related to its main markets (the USA and Canada) and the relative prices in Mexico and its two main competitors (the Dominican Republic and Costa Rica). Design/methodology/approach The authors used econometric analysis using Johansen’s cointegration model (1991), using as a dependent variable the demand of tourists from the main countries of origin (the USA and Canada), taking as data the number of tourists by air in the period 1980-2015, according to information from the SIIMT. The independent variables are the relative wealth of the country of origin of the tourists (wealth of the tourist in Mexico concerning the wealth in their country of origin) and the relative prices of the destination country with respect to the country of competition. The source for per capita income and the consumer price index is the World Bank. Findings The results obtained in this document show that in the long-term the price is a factor of impact in the purchase decision of both markets analyzed. Presenting an elastic demand to the price, which implies that the market is sensitive to the variations of the price of tourist services, opting for the destination that offers better prices, with a higher sensitivity to the price when compared with Costa Rica. Coinciding with previous studies carried out in other tourist destinations, such as in the work of Patsouratis et al. (2005). Originality/value The main contribution of this work is to determine the long-term relationship, through a cointegration analysis of Johansen (1991). A methodology that has not been used to perform a competitive analysis between countries. Additionally, the present work uses variables different from those considered in previous works; the dependent variable is the demand of tourists from the main countries of origin (the USA and Canada) and as dependent variables the relative wealth of the country of origin of the tourists (Wealth of the tourist in Mexico with respect to wealth in their country of origin) and the relative prices of the destination country with respect to the country of competition.

International Remittances and International Tourism Development in South Asia: The Moderating Role of Political Stability

“…The findings of our study indicate that RP is a significant determinant of ITR in South Asian countries. This finding is consistent with earlier studies (Rodríguez et al, 2018;Seetanah and Fauzel, 2018). The literature on tourism development (ITR) also provides evidence of the significant role of political stability (PS) on ITR.…”

Development of a Mexican Version of the Cycle-Tourist Motivation Instrument (CtMI)

“…Studies related to the area of tourism have been increasing in recent years in Mexico, with topics as diverse as the effects of COVID-19 [28]; the effects on the informal economy [29]; tourism of the elderly [30]; the link between tourism, pollution and health [31]; and the factors that affect its demand [32]. Unfortunately there are problems and challenges in determining the tourist demand in Mexico [33], since the tourism statistics that are officially disseminated in Mexico do not have the objectivity or veracity that characterizes knowledge, mainly due to a series of errors, omissions, inconsistencies and even method-ological manipulations revealed by the information capture and processing mechanisms.…”

Análisis de Modelos de Gestión Desarrollados para el Turismo Cultural-Religioso en México

“…Como país contamos con una amplia historia en el desarrollo de esta actividad, iniciando desde la primera mitad del siglo XX, principalmente por el deseo de la clase política de construir un país estable, que le brindara soluciones para edificar una nación unida y económicamente fuerte (Guerrero, 2015). El sector turístico ha evolucionado y en el caso de la economía mexicana se presenta favorable a pesar de la crisis global del año 2014 y los aspectos de seguridad, el sector ha crecido un 20 por ciento en el arribo de visitantes (Lobo et al, 2018).…”

“…El turismo es uno de los sectores económicos más dinámicos e importantes en el mundo (Villar, 2010;SEGOB, 2013;Lobo, Flores, Quiroz y Cruz, 2018); considerado un fenómeno mundial en crecimiento (Fernández, 2018); tiene un rol primordial en la actividad global de la economía en el destino (González-Domínguez y Palmas, 2016); crea empleos (César, 2015;Guillén y Ramón-García, 2015;Llontop, 2017); favorece el desarrollo social (Arnaiz y César, 2017); ingresos por exportaciones y genera divisas (Peinado y García, 2016;OECD, 2018;Ortega y Sánchez, 2018;WTTC, 2018); creación de infraestructura de servicios (Flores, Hinojoza, García, Ochoa y Vásquez, 2018); además de ser un sector en constante crecimiento a pesar de las condiciones que se han presentado en el entorno mundial en los últimos años (SEGOB, 2013).…”