Industrial Life-Cycle and the Development of the Russian Tourism Industry

Abstract

The purpose of the study presented in the paper is to highlight the influence of the microeconomic factors related to the evolutionary stage of the industry’s life cycle on the industry dynamics. The authors use the example of the Russian tourism industry to show that microeconomic factors are important, along with the macroeconomic, market, and demand characteristics external to the industry. Data mining was applied to obtain data from the industrial enterprise database and Rostourism official documents since there are no regular Russian statistics on firms’ exit and new entry. The authors used annual ranked listing of firms by their revenues to determine the structural indicators of the industry. The results confirm that it is important to consider not only the demand and macroeconomic indicators, which are external risks in relation to the industry, but also the internal processes at the different stages of the product cycle. In a sufficiently long period, the influence of microeconomic indicators may be no less strong than the business factors of financial risk. One should take this into consideration in econometric modeling on long time-series.

The Concept of Sustainable Rural Tourism Development in the Face of COVID-19 Crisis: Evidence from Russia

“…The results of studies confirm that tourism is growing in importance as a strategic sector of the Russian economy, as a way to boost the development of rural regions and small settlements by embedding them into tourism routes and clusters (Mingaleva et al 2017;Berezka et al 2018). There is obvious interest in tourism industry support in Russia, based on the understanding that such a multi-layered and complex industry as tourism may not be a burden but a locomotive of the post-pandemic economic recovery (Sheresheva et al 2020). At the same time, there is no clear understanding in Russia that sustainability concept adoption is crucial and unavoidable if the ambitious goals are set for future tourism development.…”

“…Over the pre-pandemic years, the Russian tourism market demonstrated steady development, though the dynamics were not stable (Sheresheva et al 2020).…”

“…Concerning Russian tourism, little research has been undertaken on this topic. In the pre-pandemic decade, there was a growing body of literature on tourism in emerging markets, including different aspects of the Russian tourism market development (Dimanche and Andrades 2015; Andrades and Dimanche 2017;Sheresheva and Kopiski 2016;Andrades and Dimanche 2019;Chkalova et al 2019;Sheresheva et al 2020). The results of studies confirm that tourism is growing in importance as a strategic sector of the Russian economy, as a way to boost the development of rural regions and small settlements by embedding them into tourism routes and clusters (Mingaleva et al 2017;Berezka et al 2018).…”

“…Russian tourism experienced the effects of several crises throughout the last decades: the severe economic crisis in 1998, the fall in demand for tourism services against the backdrop of the global financial crisis in 2008-2009 and the crisis phenomena in 2014 due to geopolitical changes and sanctions (Sheresheva et al 2020). The experience has shown that every crisis led to a deepening imbalance in the economic condition of the Russian regions.…”

Russian Tourism Enterprises’ Marketing Innovations to Meet the COVID-19 Challenges

“…In 2020, the Russian tourism sector faced a sharp collapse of business activity: tourism companies were not able to fulfill their obligations to tourists and their employees, and the sector badly needed state support. In the spring and summer of 2020, federal authorities provided systematic measures to save the industry that resulted in some stabilization [68].…”