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Tourism Entrepreneurship: Meaning, Characteristics & Examples

Tourism Entrepreneurship: Meaning, Characteristics & Examples – In the bustling world of travel and exploration, there exists a special breed of individuals who possess a unique blend of vision, innovation, and business acumen. They are the tourism entrepreneurs , creators, and managers of ventures that shape the experiences of travelers while driving economic growth within the tourism industry. But what exactly is tourism entrepreneurship?

This article delves into the meaning, characteristics, and examples of this fascinating field. From identifying opportunities to crafting unforgettable experiences, these entrepreneurs are the driving force behind the development of sustainable tourism ventures. Join us on a journey to explore the world of tourism entrepreneurship and discover the traits that make it a vibrant and essential component of the global travel landscape.

What Is Tourism Entrepreneurship?

Tourism entrepreneurship is an exciting realm where individuals with a passion for travel and a knack for business come together to create and manage ventures within the tourism industry. It involves identifying opportunities and developing innovative ideas to meet the needs and desires of travelers. Think of it as weaving together the threads of adventure, hospitality, and entrepreneurship to craft unique experiences.

Entrepreneurs in the tourism industry are trailblazers who succeed in their endeavors, whether they are launching a boutique hotel that offers distinctive travel experiences or creating an eco-tourism company that combines adventure with environmental protection. They can create deals that stand out from the competition since they have a solid understanding of the shifting demands and preferences of visitors.

Tourism Entrepreneurship is distinguished by its capacity to identify unrealized potential and capitalize on changing trends. Entrepreneurs that are successful concentrate on innovation, offering distinctive services, creating cutting-edge technology, and creating immersive experiences that make an impression on visitors. They make use of experiential tourism trends like farm-to-table food and eco-friendly activities to connect tourists with local culture and encourage sustainable practices.

Sustainability is a fundamental aspect of tourist entrepreneurship because entrepreneurs understand the need of preserving the environment, cultural heritage, and local communities. For instance, a wildlife refuge that prioritizes teaching and conservation boosts environmental awareness while boosting the local economy.

Read – Franchise Business in Entrepreneurship

Tourism Entrepreneurship Definitions

Tourism entrepreneurship is the process of identifying, evaluating, and exploiting opportunities to create new tourism businesses or to introduce new products, services, or practices into existing tourism businesses.  – Sheldon (2017)

Tourism entrepreneurship is the process of creating, organizing, and managing a new tourism venture to turn a profit.  – Aquino et al (2019)

Tourism entrepreneurship is the process of identifying and exploiting opportunities to create new tourism products, services, or experiences that meet the needs of tourists and create value for stakeholders. – Porter (2018)

Tourism entrepreneurship is the process of creating and managing new tourism businesses that are innovative, sustainable, and socially responsible.  – Mottiar (2018)

The process of developing new tourist enterprises that are founded on a thorough grasp of the local context and that contribute to the sustainable growth of the destination is known as tourism entrepreneurship. – Peredo & Wurzelmann (2015)

Tourism entrepreneurship is the process of creating new tourism businesses that are motivated by a desire to make a difference in the world.  – McCarthy (2008)

The process of starting new tourist enterprises that are motivated by a love of travel and a dedication to excellence is known as tourism entrepreneurship. – Jamal & Getz (1995)

Tourism entrepreneurship is the process of creating new tourism businesses that are based on a deep understanding of the tourism market and that can successfully compete in the global marketplace.   –  Crouch (2011)

tourist entrepreneurship is the process of establishing new tourist enterprises that can support the county’s social, economic, and environmental sustainability. – UNWTO (2010)

Read – Start a Business in Europe

Characteristics of Tourism Entrepreneurship

Innovation is a fundamental characteristic of tourism entrepreneurship. Successful tourism entrepreneurs constantly seek to differentiate themselves by introducing new and unique ideas, products, or services into the tourism market. For instance, consider the emergence of glamping (luxury camping) as an innovative concept within the tourism industry. By combining the thrill of outdoor adventure with the comfort and luxury of high-quality accommodation, glamping entrepreneurs have created a distinct niche that attracts travelers seeking a unique and memorable experience.

Market Sensitivity

Tourism entrepreneurs possess a keen awareness of market trends, consumer preferences, and evolving demands. They stay attuned to the changing needs of travelers and adjust their offerings accordingly. An excellent example of market sensitivity is the rise of eco-tourism ventures. Entrepreneurs recognized the growing demand for sustainable travel experiences and developed businesses that offer environmentally friendly activities and accommodations, such as wildlife conservation tours or eco-lodges.

Read – Large Company Entrepreneurship

Risk-Taking

Tourism entrepreneurship inherently involves taking calculated risks. Entrepreneurs are willing to step outside their comfort zones, invest their resources, and navigate uncertainties to pursue their ventures. An illustrative example is the launch of adventure tourism businesses in remote and challenging locations. These entrepreneurs take the risk of establishing operations in unexplored territories, offering activities like mountaineering, extreme sports, or wilderness expeditions, knowing that the thrill-seeking segment of tourists will seek out these unique and adventurous experiences.

Adaptability

The ability to adapt to changing circumstances and seize emerging opportunities is a crucial characteristic of successful tourism entrepreneurs. They understand that the tourism industry is dynamic, influenced by factors like technology advancements, global events, or shifting consumer behaviors. A prime example is the adaptation of traditional tour operators to the digital age. Entrepreneurs have embraced online platforms and booking systems, enabling them to reach a wider audience, provide seamless customer experiences, and respond swiftly to market changes.

Read – Cultural Entrepreneurship

Social Responsibility

Tourism entrepreneurship places a significant emphasis on social responsibility. Entrepreneurs strive to create businesses that not only generate economic benefits but also contribute positively to local communities, cultures, and environments. For instance, community-based tourism initiatives empower residents by involving them in tourism activities, preserving their cultural heritage, and sharing economic benefits. By doing so, entrepreneurs foster sustainable development and create a sense of pride and ownership among the local population.

Collaboration and Networking

Tourism entrepreneurs understand the value of collaboration and networking. They actively engage with stakeholders, including other entrepreneurs, industry professionals, local communities, and government agencies. By building strong partnerships, entrepreneurs can access resources, share knowledge, and create synergistic opportunities. An example is the establishment of destination marketing organizations (DMOs) where entrepreneurs collaborate and local authorities to collectively promote the destination and attract a larger volume of visitors.

Passion and Vision

Passion and a clear vision are vital driving forces for tourism entrepreneurs. They possess a deep love for travel and a genuine desire to make a difference in the industry. Entrepreneurs with a vision create businesses that align with their passions, ensuring they stay motivated and committed to their goals. For instance, an entrepreneur passionate about culinary arts may establish a food tour company that showcases authentic local cuisine, supports local eateries, and promotes culinary traditions to international visitors.

Read – Modern Entrepreneurship

Types of Tourism Entrepreneurship

Accommodation and hospitality.

This type of tourism entrepreneurship involves the establishment and management of accommodation facilities such as hotels, guesthouses, and resorts. Entrepreneurs in this field focus on providing comfortable and enjoyable lodging experiences for tourists. For example, an entrepreneur in the tourism industry may launch a boutique hotel. It offers specialized services, stylish décor, and innovative amenities to appeal to discriminating customers seeking a premium and memorable stay.

Food and Beverage

Food and beverage entrepreneurship in tourism revolves around creating dining experiences for travelers. Entrepreneurs in this domain establish restaurants, cafes, food trucks, or specialty food businesses that cater to the culinary preferences of tourists. They aim to offer delicious and diverse cuisine options, ranging from local delicacies to international flavors. An example is an entrepreneur who opens a seafood restaurant in a coastal destination, serving freshly caught seafood dishes to tourists who crave an authentic taste of the local marine cuisine.

Read – Corporate Partnerships

Adventure and Outdoor Recreation

Adventure and outdoor recreation tourism entrepreneurship focus on providing exciting and adventurous activities for travelers seeking thrilling experiences. Entrepreneurs in this field create ventures such as adventure tour companies, water sports centers, hiking, and trekking expeditions, or wildlife safaris. They cater to the interests of adventure enthusiasts by offering activities like white-water rafting, zip-lining, mountain biking, or wildlife encounters. For instance, an entrepreneur may establish a company that offers guided rock climbing trips in picturesque natural landscapes, providing adrenaline-pumping experiences for adventurous travelers.

Cultural and Heritage

Cultural and heritage tourism entrepreneurship centers around showcasing the local culture, traditions, and historical attractions of a destination. Entrepreneurs in this field create businesses such as guided heritage tours, cultural performances, museums, art galleries, or craft workshops. They aim to preserve and promote the cultural identity of a place while providing educational and enriching experiences for visitors. For example, an entrepreneur may establish a cultural center that offers interactive workshops on traditional arts and crafts, allowing tourists to engage with the local culture and learn traditional craftsmanship.

Read – Modern Business

Sustainable and Ecotourism

Sustainable and ecotourism entrepreneurship focuses on developing businesses that prioritize environmental conservation and sustainable practices. Entrepreneurs in this realm establish eco-lodges, nature-based tour operators, wildlife conservation initiatives, or sustainable transportation services. They aim to minimize the negative impact on the environment while promoting nature appreciation and conservation. An example is an entrepreneur who starts an eco-tour company offering guided hikes in protected areas, emphasizing the importance of preserving natural habitats and educating tourists about sustainable practices.

Specialized and Niche Tourism

Specialized and niche tourism entrepreneurship involves catering to specific interests, hobbies, or target markets within the tourism industry. Entrepreneurs in this category create ventures such as wellness retreats, wine and culinary tours, photography expeditions, adventure sports, or cultural festivals. They focus on providing tailored experiences and catering to the unique needs and preferences of niche segments. For instance, an entrepreneur may establish a company that offers guided bird-watching tours for bird enthusiasts, providing expert guides, specialized equipment, and access to prime bird-watching locations.

Read – C an Anyone Be an Entrepreneur

Popular Examples of Tourism Entrepreneurship

Founded in 2008, Airbnb is a prime example of tourism entrepreneurship. It revolutionized the accommodation sector by providing a platform for homeowners to rent out their properties to travelers. This innovative concept enabled individuals to become tourism entrepreneurs by turning their spare rooms or vacant properties into profitable accommodations. Airbnb disrupted the traditional hotel industry and opened up new opportunities for individuals to participate in the tourism economy.

G Adventures

G Adventures is a renowned adventure travel company that offers small group tours to destinations worldwide. Founded in 1990, it exemplifies tourism entrepreneurship in the adventure and outdoor recreation sector. The company was started by Bruce Poon Tip to provide authentic and sustainable travel experiences. G Adventures focuses on responsible tourism practices, supports local communities, and offers unique adventure itineraries, appealing to travelers seeking immersive and socially responsible experiences.

Lonely Planet

Lonely Planet is a well-known travel guidebook publisher that has been a trusted source of travel information for over four decades. Founded in 1973 by Tony Wheeler and his wife Maureen, it reflects tourism entrepreneurship in the publishing industry. Their travel guides provide comprehensive information, tips, and recommendations for travelers, enabling them to explore destinations independently. The secret to Lonely Planet’s success is its capability to satisfy the demands of curiosity. Also, daring visitors looking for real-world encounters.

Read – Businessman vs Entrepreneur

Viator is an online travel agency. They provide a large choice of tours, experiences, and activities in places all over the world. Rod Cuthbert launched it in 1995, and it is now a major participant in the tours and activities industry. Viator connects travelers with local tour operators, allowing them to book unique experiences conveniently. This platform showcases the entrepreneurial spirit by bringing together various tourism service providers and offering curated experiences for tourists.

Rick Steves’ Europe

Rick Steves, an American travel writer and television personality, is an example of an individual entrepreneur who has made significant contributions to tourism entrepreneurship. He has built a brand focused on European travel, sharing his expertise through guidebooks, television shows, and tours. Rick Steves’ Europe provides valuable insights, cultural information, and practical advice to travelers interested in exploring Europe independently. His entrepreneurial journey demonstrates how a passion for travel can be turned into a successful tourism enterprise.

The process of planning, establishing, and running new businesses within the tourist sector is referred to as tourism entrepreneurship . It is essential for promoting innovation, economic expansion, and job creation. tourism entrepreneurs display traits like innovation, flexibility, and a love for their business. They aid in the creation of distinctive tourism goods, services, and experiences through their entrepreneurial initiatives, which meet the changing demands of tourists.

The examples of Airbnb, G Adventures, Lonely Planet, Viator, and Rick Steves’ Europe showcase the diverse range of entrepreneurial ventures within the tourism sector. Ultimately, tourism entrepreneurship not only benefits individuals and businesses but also contributes to the overall sustainability and vibrancy of the tourism industry.

FAQs about Tourism Entrepreneurship

Why is entrepreneurship important in tourism.

Entrepreneurship is important in tourism as it drives innovation. Also, it boosts economic growth, and produces employment opportunities, leading to a vibrant and passionate tourism industry.

How can you relate entrepreneurship to tourism?

Entrepreneurship in tourism is evident through the creation of new businesses, innovative products, and unique experiences that cater to the evolving needs and desires of travelers.

What are the qualities of a tourism entrepreneur?

Qualities of a successful tourism entrepreneur include creativity, adaptability, passion for the industry, strong business acumen, a customer-centric mindset, and a willingness to take calculated risks.

What are the entrepreneurial opportunities in tourism?

Entrepreneurial opportunities in tourism encompass various areas such as starting accommodation establishments, developing niche tours and activities, leveraging technology for online booking platforms, and promoting sustainable and responsible tourism practices.

Why is entrepreneurship important in hospitality and tourism?

Entrepreneurship plays a vital role in hospitality and tourism by driving competitiveness, spurring the development of new hospitality ventures, enhancing guest experiences through innovative services, and contributing to the overall growth and success of the industry.

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The Emerald Handbook of Entrepreneurship in Tourism, Travel and Hospitality

ISBN : 978-1-78743-530-8 , eISBN : 978-1-78743-529-2

Publication date: 11 July 2018

The aim of this chapter is to discuss and highlight the importance of entrepreneurship and entrepreneurs in tourism in order to engage the reader in the central topic of the handbook.

Methodology/approach

A literature review was conducted on conceptual issues and practical aspects of entrepreneurs and entrepreneurship. Case studies are included to illustrate the role and contribution of entrepreneurs in the tourism field.

This chapter highlights (1) practical definitions of the terms entrepreneurs and entrepreneurship; (2) main features of tourism entrepreneurs; and (3) the role of entrepreneurs in tourism activities and their contribution to the development of a tourism destination.

Research limitations/implications

This chapter is explorative in nature, because the discussion is mostly based on a literature review. Thus, more research-based knowledge and more empirical studies are needed in this field.

Practical implications

The chapter presents the main features and characteristics of individuals involved in entrepreneurship, as well as the need for developing the appropriate skills for successful business ventures.

Originality/value

This chapter deals with the question of why tourism entrepreneurship is so important in the contemporary context and in the business environment of tourism. The practical and entrepreneurial approach of the book is also discussed.

• Entrepreneurs
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Sotiriadis, M. (2018), "Entrepreneurship and Entrepreneurs in Tourism", Sotiriadis, M. (Ed.) The Emerald Handbook of Entrepreneurship in Tourism, Travel and Hospitality , Emerald Publishing Limited, Leeds, pp. 3-17. https://doi.org/10.1108/978-1-78743-529-220181001

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What is innovation?

Innovation in tourism, as elsewhere, is collaborative action between governments, academia, corporations, micro, small and medium enterprises (MSMEs) and start-ups, investors, supporting business partners (accelerators, incubators, etc.) and other stakeholders. Fostering a successful tourism innovation and entrepreneurial ecosystem requires connecting all stakeholders to collaboration opportunities and prioritizing capacity building in tourism and technology.

Governments & Public Entities  policies that foster innovation, trade and the adoption of technologies, generally promote innovation in tourism

Academia create frameworks and models on sustainable innovation in tourism, smart destinations, contribute knowledge to Governments, Startups, MSMEs and Startups and Supporting Business Partners

Corporations develop new technologies, raise awareness internally about innovation, and implement an organizational structure and vision for technology, invest in open innovation

Start-ups & MSMEs (micro, small and medium enterprises)  develop and implement disruptive technologies in tourism, satisfy and reflect the needs and demands of travelers, create innovative solutions in tourism that support the SDGs   

Investors invest in sustainable projects related to tourism and technology, support the growth and internationalization of Corporations, Destinations and MSMEs and Startups

Supporting Business Partners support Startups that are directly or indirectly impacting the tourism value chain

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Have a basic understanding of financial systems used within a tourism organisation, be able to examine and analyse marketing techniques in a tourism organisation, have a good understanding of the skills required for staff working in the tourism industry, administration, related courses.

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Social Entrepreneurship in Tourism, Hospitality and Events: A State of the Art

• First Online: 08 April 2022

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Part of the book series: Tourism, Hospitality & Event Management ((THEM))

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Social entrepreneurship (SE) plays a significant role in the solution of social problems and is therefore considered among the main drivers of sustainable development. The tourism, hospitality and events industries have the potential to create social value for social groups such as the poor, disadvantaged groups, homeless and the unemployed, with the economic growth they have created. However, no research has been found examining what progress is made in the SE literature of the tourism, hospitality and events field. Therefore, this chapter aims to review the research on SE in the field of tourism, hospitality and events. To achieve this, 30 studies from 17 different journals were examined within the scope of this chapter. Using content analysis, the level of development and current trends in the research on SE, the theoretical perspectives and research methods used were examined and then a research agenda for future research was created.

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Gürlek, M. (2022). Social Entrepreneurship in Tourism, Hospitality and Events: A State of the Art. In: Farmaki, A., Altinay, L., Font, X. (eds) Planning and Managing Sustainability in Tourism. Tourism, Hospitality & Event Management. Springer, Cham. https://doi.org/10.1007/978-3-030-92208-5_5

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March 2024 figures show record-breaking numbers of EU Ecolabel licences and products

Enthusiasm for the EU Ecolabel is reaching new heights, with growth across the vast majority of the 25 product groups in the past six months. Good news for consumers, businesses, and retailers – and for the planet!  

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The tourist accommodation services  product group maintains its lead, with the highest number of licences overall. Holidaymakers will now have a choice of over 700 EU Ecolabel hotels and campsites for their next travel adventures, the large majority being micro-, small- and medium-sized enterprises. Cosmetic products also saw a 24% increase in licences , giving EU consumers over 1   000 EU Ecolabel cosmetics with biodegradable ingredients, fewer hazardous substances, and easier-to-recycle packaging to pamper themselves with. 

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The highest-performing countries were Austria, France and Germany, who issued the most new licences in the past six months, with tourism accommodation services one of the main drivers. Overall, France, Germany, Italy and Spain remain the top-awarding countries in terms of both licences and products, while the representation of extra EEA countries has remained stable at 4 % of all EU Ecolabel licences . 

Discover the full EU Ecolabel product catalogue and explore the breakdown of the latest figures . 

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