engleski

Tourism as a Possible Key Economic Force in the Republic of Croatia

Today the Croatian coast with its islands, but also the country's continental parts, can be viewed as the only comparative advantage at the macro level. As this is likely to remain so in the future, it can become a competitive advantage regarding total economic relations with the rest of Europe and the world. Thanks to its outstanding natural resources (thermal springs, attractive coast and islands, mountains, protected natural areas), cultural heritage and tradition, Croatia can be rightfully called top tourist destination. According to the latest statistics, tourism accounts for 19% in Croatian GDP, which means that the country received 7 billion Euros of tourism revenue. Judging by this, tourism should become a driving force behind the national economy's growth and development, and a major export product. The reasons why Croatian tourism is still insufficiently competitive lie in lack of skills and motivation, vague conception of its own strenths, and insufficient efforts to turn threats into competitive opportunities for the national economy. Economic resources on the continent, especially Slavonia and Baranja, can be used to produce such outputs in e.g. food production, that can fully meet the demands of tourist industry in terms of quality and quantity. Of course, there are certain prerequisites for this, such as adequate economic policies, marketing approaches, modern technology, and skilled labour. This paper aims to emphasize the role of tourism as the backbone of export expansion strategy, and as one of the key forces in economic development. Different methods of analysis, such as SWOT and Cost benefit analysis, have indicated that there is sufficient strenth and potential in Croatian tourism to increase its competitiveness and general prosperity of the national economy.

natural advantages; driving force of economic development; export capacity of

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