Explaining tourism competitiveness in small and medium destinations: the Italian case

The aim of the paper is to provide evidence of causal relationships between attributes of competitiveness and tourism destination competitiveness (TDC) in small and medium destinations (SMDs). A model of destination competitiveness has been developed and integrated with attributes of competitiveness, and then applied to a unique dataset of 370 outstanding Italian SMDs. A principal component analysis and a partial least square regression have been performed to test the model. The use of economic and financial measures as dependent variables, in addition to standard measures of destination performance, allows to investigate the concept of TDC from a wider economic point of view. Empirical evidence reveals that the multidimensionality and relativity of the concept of TDC influence the relationships among predictors and dependent variables. Managerial capabilities, quality of services, and policies aimed at fostering local empowerment are found to be key determinants of the competitiveness of Italian outstanding SMDs.