Direct foreign investment in tourism in the Dominican Republic.
An analysis of strengths, opportunities, weaknesses and threats
DOI:
https://doi.org/10.51896/turydes.v17i36.548Keywords:
Foreign direct investment, tourism, development, business, Dominican RepublicAbstract
This study analyzes Foreign Direct Investment (FDI) in tourism in the Dominican Republic. A mixed methodology was used that included literature review and focus groups with experts. Government and private reports were analyzed to understand current trends and focus groups were convened to discuss and validate the findings. The results show that FDI in tourism stands out for its contribution to Dominican economic development, contributing $7,673 million dollars between 2012 and 2022. The identified strengths include a strategic location, robust infrastructure, and favorable business climate. Emerging opportunities are related to the diversification of tourism offers and increased connectivity. However, dependence on tourism and job training gaps present challenges. Furthermore, threats such as regional competition and environmental impacts were also highlighted. In conclusion, it is highlighted that FDI in tourism is fundamental for the Dominican economy, but policies are required that promote the diversification and sustainability of the sector. It is suggested to improve infrastructure and job training to enhance tourism and its impact on GDP. The study highlights the need for a clear legal framework and the importance of tax incentives to attract more investments.
Downloads
References
Azmi, E., Che Rose, R. A., Awang, A., & Abas, A. (2023). Innovative and competitive: A systematic literature review on new tourism destinations and products for tourism supply. Sustainability, 15(2), 1187. https://doi.org/10.3390/su15021187
BCRD (2023). Sector turismo. Santo Domingo, Banco Central de la República Dominciana. Disponible en: https://www.bancentral.gov.do/a/d/2537-sector-turismo
Cárdenas, G. (2017). Main destinations of sun and beach tourism of Latin America and the Caribbean. TURyDES: Revista Turismo y Desarrollo Local, 10(22). http://www.eumed.net/rev/turydes/22/latinoamerica-turismo.html
Castellanos Verdugo, M., & Orgaz Agüera, F. (2013). Potencialidades ecoturísticas de la República Dominicana. TURyDES: Revista Turismo y Desarrollo Local, 6(14). https://www.eumed.net/rev/turydes/14/ecoturismo.html
Gounder, A., & Cox, C. (2022). Exploring the role of tourism dependency on COVID-19 induced economic shock in the Small Island Developing States. Current Issues in Tourism, 25(7), 1151-1168. https://doi.org/10.1080/13683500.2021.1989386
Hendrickson, M. (2023). A study on challenges and opportunities in financing Sustainable Development Goals 4 and 9 in three Caribbean countries: an exploratory analysis. Santiago, Economic Commission for Latin America and the Caribbean (ECLAC).
Hsu, J. L., & Sharma, P. (2023). Disaster and risk management in outdoor recreation and tourism in the context of climate change. International Journal of Climate Change Strategies and Management, 15(5), 712-728. https://doi.org/10.1108/IJCCSM-10-2021-0118
Huang, A., & Baker, M. (2021). Exploring skill-based career transitions for entry-level hospitality and tourism workers. Journal of Hospitality and Tourism Management, 48, 368-373. https://doi.org/10.1016/j.jhtm.2021.07.007
Hudson, S. (2022). International case studies on tourism destination management and COVID-19: Impacts and responses. Routledge.
Ivars-Baidal, J. A., Celdran-Bernabeu, M. A., Femenia-Serra, F., Perles-Ribes, J. F., & Giner-Sánchez, D. (2021). Measuring the progress of smart destinations: The use of indicators as a management tool. Journal of Destination Marketing & Management, 19, 100531. https://doi.org/10.1016/j.jdmm.2020.100531
Maslaric, M., Bojic, S., Mircetic, D., Nikolicic, S., & Medenica Todorovic, R. (2024). Sustainable Urban Mobility Planning in the Port Areas: A Case Study. Sustainability, 16(2), 514. https://doi.org/10.3390/su16020514
Maurya, P. K., Bansal, R., & Mishra, A. K. (2023). Russia–Ukraine conflict and its impact on global inflation: an event study-based approach. Journal of Economic Studies, 50(8), 1824-1846. https://doi.org/10.1108/JES-01-2023-0003
Ministerio de Turismo (2021). Conocimiento sobre el turismo en República Dominicana. Santo Domingo, Ministerio de Turismo de la República Dominicana.
Moradi, E., Ehsani, M., Saffari, M., & Norouzi Seyed Hosseini, R. (2023). How can destination competitiveness play an essential role in small island sports tourism development? Integrated ISM-MICMAC modelling of key factors. Journal of Hospitality and Tourism Insights, 6(3), 1222-1252. https://doi.org/10.1108/JHTI-03-2022-0118
Mustafa, M. J., Lee, C., & Galloway, J. E. (2023). The importance of context: How university entrepreneurial climates enhances entrepreneurship in tourism and hospitality graduates. Journal of Hospitality, Leisure, Sport & Tourism Education, 33, 100453. https://doi.org/10.1016/j.jhlste.2023.100453
ONE (2023). Subtema Turismo. Santo Domingo, Oficina Nacional de Estadística. Disponible en: https://www.one.gob.do/datos-y-estadisticas/temas/estadisticas-economicas/estadisticas-sectoriales/turismo/
Orgaz-Agüera, F. (2019). Geografía turística de Republica Dominicana: comportamientos de la demanda, gestión sostenible y propuesta de estudio. Cuadernos geográficos de la Universidad de Granada, 58(1), 141-156. https://doi.org/10.30827/cuadgeo.v58i1.6562
Oviedo-García, M. Á., González-Rodríguez, M. R., & Vega-Vázquez, M. (2019). Does sun-and-sea all-inclusive tourism contribute to poverty alleviation and/or income inequality reduction? The case of the Dominican Republic. Journal of Travel Research, 58(6), 995-1013. https://doi.org/10.1177/0047287518789272
Pozo, S., & Giraldi, A. M. (2020). The Dominican Republic. In Handbook of Caribbean Economies (pp. 393-421). Routledge.
ProDominicana (2023). Guía de inversión de la República Dominicana. Santo Domingo, Centro de Exportación e Inversión de la República Dominicana.
Sassi, N., & Damak-Ayadi, S. (2023). IFRS for SMEs adoption, corporate governance, and quality of financial statements: Evidence from Dominican Republic and El Salvador. Journal of Accounting in Emerging Economies, 13(5), 922-946. https://doi.org/10.1108/JAEE-10-2021-0348
Streimikiene, D., Svagzdiene, B., Jasinskas, E., & Simanavicius, A. (2021). Sustainable tourism development and competitiveness: The systematic literature review. Sustainable development, 29(1), 259-271. https://doi.org/10.1002/sd.2133
UNWTO (2022). Tourism Doing Business in Dominican Republic. Madrid, United Nations World Tourism Organization.
Viana-Lora, A., Orgaz-Agüera, F., Aguilar-Rivero, M., & Moral-Cuadra, S. (2023). Does the education level of residents influence the support for sustainable tourism?. Current Issues in Tourism, 1-19. https://doi.org/10.1080/13683500.2023.2254449
Xiong, Y., & Tang, X. (2023). Tourism during health disasters: Exploring the role of health system quality, transport infrastructure, and environmental expenditures in the revival of the global tourism industry. PloS one, 18(9), e0290252. https://doi.org/10.1371/journal.pone.0290252
Published
How to Cite
Issue
Section
License
Copyright (c) 2024 Meilyn Estela Campusano Polanco, Elizabeth Cuello Díaz, Cándida María Domínguez Valerio, Francisco Orgaz Agüera
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
Usted es libre de:
- Compartir — copiar y redistribuir el material en cualquier medio o formato
- Adaptar — remezclar, transformar y construir a partir del material
Bajo los siguientes términos:
-
Atribución — Usted debe dar crédito de manera adecuada, brindar un enlace a la licencia, e indicar si se han realizado cambios. Puede hacerlo en cualquier forma razonable, pero no de forma tal que sugiera que usted o su uso tienen el apoyo de la licenciante.
-
NoComercial — Usted no puede hacer uso del material con propósitos comerciales.
Esta obra está bajo una Licencia Creative Commons Atribución-NoComercial 4.0 Internacional.
