How Tourist Attraction Agglomeration Affects a Regional Tourism Economy

Abstract

According to agglomeration theory, tourist attraction agglomeration can enhance the performance of tourism economy in a region. In contrast, industrial organization theory suggests that tourist attraction agglomeration can harm economic performance. This study examines the impact of tourist attraction agglomeration on a regional tourism economy using empirical evidence. China has experienced a proliferation of tourist attractions in the last 15 years. In 2000, only 590 A-class tourist attractions were part of the tourism market; however, by 2012, the number of A-class tourist attractions had increased to 6,042, providing a good opportunity for estimating the impact of agglomeration. The study results show a positive relationship between tourist attraction agglomeration and the performance of a regional tourism economy, suggesting that agglomeration theory holds up in the real world. Some implications for regional tourism planning and tourism development are derived.