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Family businesses externalize risks and neglect their own responsibility for destination development.
Proactive marketing role of family businesses, but reactive approach to climate and personnel risks.
Price dumping: internal perception, requires cooperation between companies.
Regional development is an entrepreneurial duty, rather than a core DMO task.
Abstract of the study
In the development and maintenance of tourism, destination management involves the coordination of various stakeholders, and theory suggests that ensuring sustainability, including the consideration of stakeholder interests in decision-making and strategic planning, is crucial. Therefore, it is also essential to understand stakeholder interests and relationships. In the Austrian Alpine region, small and medium-sized family businesses offering tourism products dominate the rural tourism landscape. However, little research has been conducted on how these family businesses contribute to shaping the future of the destination.
Therefore, this qualitative study used guided interviews to investigate the risk perception of family businesses for the development of Austrian tourism destinations. Family businesses externalized risks such as labor shortages as a structural problem and neglected their responsibility to attract employees by improving working conditions. The externalization of risks to other stakeholder groups thus prevented family businesses from taking a proactive approach to sustainable destination development.
Key findings of this study
- Family businesses tend to externalize certain risks for tourism destinations. These include climate change and acute labor shortages.
- Price dumping is perceived as a direct threat that requires cooperation. Nevertheless, individual companies see capacity expansion as their own solution option.
- The shortage of skilled workers is often seen as an industry-wide structural problem. Own responsibility for better working conditions is often neglected.
- Stagnating destination development and a lack of marketing are internalized by the companies. They feel responsible for strengthening the regional brand and see opportunities for action.
- The study shows a complex mixture of proactive and reactive behavior. However, successful sustainable tourism development requires increased cooperation between all stakeholders.