engleski

The efficiency of state aid on tourism development and supply of domestic products

The purpose of this study was to examine the role and importance of state aid on tourism development, as well as to address the problem of insufficient supply of domestic products in tourism and hospitality facilities, as one of the major barriers in implementation of consumer ethnocentrism as a factor of economic development. The increasing competitiveness of domestic tourism includes strong state support as well as continuous improvement in supply of products and services. The willingness to contribute to the domestic economy, and the lack of research which combine level of ethnocentric tendency of consumers, and insufficient state aid in tourism development have been the main reason for conducting this research. The results reflect the key factors affecting the economic development with special emphasis on tourism development, as well as the manner in which state aid contribute to the achievement of key development goals. The research also shows different problems and barriers in tourism development. This paper is based on the results of the rigorous empirical research conducted on a sample of 201 small and medium size businesses in the territory of the Federation of Bosnia and Herzegovina. The respondents were directors, owners and managers.

domestic products ; tourism development ; tourism consumption ; state aid

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