Internet tradition and tourism development: A causality analysis on BRI listed economies

Abstract

The study aims to explain the economic impact of Internet implication in tourism sector by taking sample of mega project listed countries (which provide big pitch to boost tourism business). Our work find the volatility cause of tourism revenue at country i, by examining the inbound tourist expenditures as a factor of technological infrastructure. We deploy data ranging from 1990 to 2017 and uses error correction model as representative of Autoregressive-Distributed Lag (ARDL) model after addressing diagnostic tests (for data reliability concern). We found long- and short-run association between tourism expenditure and information and communication technology (ICT) proxies in case of developed economies, while only short-run association in underdeveloped countries. The startling scenario about underdeveloped economies are also confirmed by one-way causation in our analysis. After sensitive analysis at each slot, the study concludes that tourism revenue is streaming low across those boundaries where tourists are suffered by paying more due to technological inaccessibility and its underdeveloped infrastructure. The suffered economies are recommended to upgrade their ICT sector to facilitate inbound tourist.

The effects of air transportation, energy, ICT and FDI on economic growth in the industry 4.0 era: Evidence from the United States

“…Assuming the relevance of ICT on economic growth, under Industry 4.0 ( Chung and Kim, 2016 ), it will create new opportunities in sustainable industrial manufacturing ( Stock and Seliger, 2016 ). Numerous studies have emphasised the influence of ICTs development on the expansion of economic activities, including tourism, productivity and economic growth ( Chun and Nadiri, 2008 ; Timmer and Van Ark, 2005 ; Brida et al., 2016a ; Erumban and Das, 2016 ; Toader et al., 2018 ; Park et al., 2018 ; Bahrini and Qaffas, 2019 ; Zhang, 2019 ; Rehman et al., 2019 ; Sinha and Sengupta, 2019 ; Raheem et al., 2020 ). In contrast, some seminar studies have suggested that ICTs stimulate the growth effect ( Bresnahan and Trajtenberg, 1995 ; Aghion and Howitt, 1998 ; Helpman and Trajtenberg, 2004 ; Raheem et al., 2020 ).…”

“… Sinha and Sengupta (2019) found that ICTs are the most critical driver to enhance transport, trade and financial infrastructure. Rehman et al. (2019) concluded that it is necessary to promote the ICTs sector to assist with inbound tourism and economic growth.…”

ICT as a factor of destination competitiveness: The case of the republics of former Yugoslavia

“…Managers in tourism began to realize that the Internet enabled them to communicate easily and effectively with their existing and potential customers (Xiang & Fesenmaier, 2017). Almost all developed nations use different ICT applications in order to facilitate international tourists and create synergies (Rehman et al, 2019). The application of ICT makes a tourism destination complementary, more attractive, and more competitive, because it satisfies the variable and sophisticated needs of contemporary tourists (Petrović et al, 2017).…”

“…Destination tourism organizations have huge opportunities to apply ICT tools for communicating their offering, enhancing their visibility on the market and strengthening their competitiveness (Minghetti & Buhalis, 2010). This technological trend in tourism destinations contributes decreasing unnecessary expenditures of tourists which are causing their attractiveness (Rehman et al, 2019).…”

Booking.com Issue for Small Businesses in Turkey

“…Buhalis & Main, 1998;Buhalis, 1999;Sarı, 2003. The importance of the Internet for tourism has increased in recent years. Tourism as an information-intensive industry can gain essential synergies from the use of the Internet, but the internet also escalates competitive environments globally, and the market is reshaped due to a critical internet role in the tourism industry (Rehman et al, 2019).…”