DEMAND OF REGIONAL TOURISTS VISITING LAO PEOPLE'S DEMOCRATIC REPUBLIC: A DYNAMIC PANEL DATA APPROACH
Abstract
Over 85% of international tourists visit to Lao PDR are regional tourists from Thailand, Vietnam and China. This study investigates the dynamic panel demand of regional tourists’ fromThailand, Vietnam and China visiting Lao PDR. Tourism price, income, substitute tourism price and SARs are the factors that are included in the model. The panel dataset from the period 2000-2011 is estimated by the system Generalized Method of Moment (system GMM) estimation.The result shows that the substitute tourism price and SARs have significant negative effects on regional tourists visiting Lao PDR. Countries such as China and Thailand are complementary destinations of regional tourists visiting Lao PDR. We suggest that Lao PDR should co-operate with China and Thailand for maintaining the number of regional tourists. Moreover, Lao PDR should recognize that planning is necessary for managing the risks of unexpected natural shocks in the future.
References
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*** EUCIR-EUROPE. 2013. LAOS voted as world best tourism destination for 2013, available at http://www.allvoices.com/contributed-news/14540116-laos-voted-as-world-best-tourist-destination-for-2013.
*** The Brunei Times (2013). Europe recognizes Laos as tourist hotspot, available at http://www.bt.com.bn/news-asia/2013/05/01/europe-recognises-laos-tourist-hotspot.
*** Lao National Tourism Administration. 2012. Statistics Report on Tourism in Laos 2011. Planning and Cooperation Development, Tourism Research Division.
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[4] Choyakh, H. 2008. A model of tourism demand for Tunisia: inclusionof the tourism investment variable. Tourism Economics, 14(4): 819-838.
[5] Chaiboonsri, C., Sriboonjit, J., Chitip, P. and Sriboonchitta, S. 2010. A panel cointegration analysis: an application to international tourism demand of Thailand. Annals of the University of Petroşani, Economics, 10(3): 69 - 86.
[6] Crouch, I. G. 1994. Study of international tourism demand: a review of findings. Journal of Travel Research, 33(12): 12-23.
[7] Garin-Munoz, T. 2006. Inbound international tourism to Canary Islands: a dynamic panel data model. Tourism management, 27(2): 281-291.
[8] Kadir, N. and Karim, M.Z.A. 2009. Demand for tourism in Malaysia and US tourist: a cointegration and error eorrection model approach. Advance Tourism Economics. Newyork: Physica –Verlsg Heidelberg,
[9] Kraipornsak, P. 2011. The world economy, competition, external shocks and demand for international tourist arrivals in Thailand. International Journal Trade and Global Markets, 4(1): 93-108.
[10] Massidda, C and Etzo, I. 2012. The determinants of Italian domestic tourism: A panel data analysis. Tourism Management, 33(3): 603 - 610.
[11] Morley, C.L. 1994. The use of CPI for tourism prices in demand modeling. Tourism Management, 15(5): 342-346.
[12] Nayaran, P.K. (2002). A tourism demand model for Fiji: 1970-2000. Pacific Economic Bulletin, 17(2): 103-116.
[13] Phakdisoth, L. and Kim, D. 2007. The determinants of inbound tourism in Laos. Asean Economic Bulletin, 24(2): 225 - 237.
[14] Querfelli, C. 2008. Co-integration analysis of quarterly European tourism demand in Tunisia. Tourism Management, 29(1): 127-137.
[15] Querfelli, C. 2010. Analysis of European tourism demand for Tunisia: a new approach. International Journal of Tourism Policy, 3(3): 223–236.
[16] Roodman, D. 2006. How to doxtabond 2: An introductionto ‘difference’ and ‘system’GMM in Stata. Working paper 103. Washington, DC, Center for Global Development.
[17] Sargan, J.D. 1958. The estimation of economic relationships using instrumental variables. Econometrica, 26(3): 393 - 415.
[18] Witt, S.F. and Martin, C.A. 1987. Deriving a relative price index for inclusion in international tourism demand. World Tourism Council. 2011. “Economic Data” available at http://www.wttc.org/eng/ Tourism_Research/Economic_Data_Search_Tool/index.php.
*** Asian Development Bank. 2008. Proposed grant to the Lao People’s Democratic Republic and loan to the Socialist Republic of Vietnam: Greater Mekong Subregion sustainable tourismdevelopment project, http://www.stdplaos.com/downloads/GMS_STDP_ Project%20Document.pdf/.
*** EUCIR-EUROPE. 2013. LAOS voted as world best tourism destination for 2013, available at http://www.allvoices.com/contributed-news/14540116-laos-voted-as-world-best-tourist-destination-for-2013.
*** The Brunei Times (2013). Europe recognizes Laos as tourist hotspot, available at http://www.bt.com.bn/news-asia/2013/05/01/europe-recognises-laos-tourist-hotspot.
*** Lao National Tourism Administration. 2012. Statistics Report on Tourism in Laos 2011. Planning and Cooperation Development, Tourism Research Division.
Published
2016-11-11
How to Cite
NONTHAPOT, Sakkarin; WATTANAKUL, Thanet.
DEMAND OF REGIONAL TOURISTS VISITING LAO PEOPLE'S DEMOCRATIC REPUBLIC: A DYNAMIC PANEL DATA APPROACH.
Journal of Environmental Management and Tourism, [S.l.], v. 4, n. 1, p. 21-28, nov. 2016.
ISSN 2068-7729.
Available at: <https://journals.aserspublishing.eu/jemt/article/view/386>. Date accessed: 26 apr. 2024.
Section
Journal of Environmental Management and Tourism
Keywords
Lao PDR; regional tourism; tourism demand; tourism policy; system GMM
Copyright© 2023 The Author(s). Published by ASERS Publishing 2023. This is an open access article distributed under the terms of CC-BY 4.0 license.