Internalization of the Investment Environment in the International Tourism Industry
Abstract
The article presents an adaptative-institutional approach to determining the investment environment in the international tourism industry.
The amount of foreign direct investment flows from international corporations to the tourism industry is analyzed. An integral index of the investment of investment capital (assets) of international corporations in the economic system of the country according to the high and low level of development of the tourism industry is proposed and calculated.
The article concludes upon the necessity to create a favorable investment environment to stimulate Internalization of the Investment Environment in the International Tourism Industry further growth of tourist flows and infrastructure development. The volume of foreign direct investment in the tourism industry showed that these investments are balanced through a system of countercyclical regulation, which considers the requirements of the global economic system.
Keywords
international corporations, international tourism industry, investment risks, investment capacity, global economic system
References
- Bloom Consulting. (2021). The Travel & Tourism Competitiveness Report. https://www.bloom-consulting.com/journal/bloom-consulting-international-data-partner-for-the-2021-travel-tourism-competitiveness-report-ttcr-for-the-world-economic-forum/
- Britchenko, I., Romanchenko, T., & Hladkyi, O. (2019). Potential of Sustainable Regional Development in View of Smart Specialisation. Ikonomicheski Izsledvania, 28(6), 88-109.
- Carlisle, S., Johansen, A., & Kunc, M. (2016). Strategic Foresight for (Coastal) Urban Tourism Market Complexity: The Case of Bournemouth. Tourism Management, 54, 81-95. https://doi.org/10.1016/j.tourman.2015.10.005
- Chang, S.E. (2018). Has Indonesia's Unique Progressivism in Mandating Corporate Social Responsibility Achieved Its Ends? Sriwijaya Law Review, 2(2), 131-151. https://doi.org/10.28946/slrev.Vol2.Iss2.131.pp131-151
- Chernichenko, G., & Mityushkina, H. (2016). Theory and Practice of Ecologization Interregional Cooperation. Bulletin of the Mariupol State University. Series: Economy, 12, 143-152.
- Data.Worldbank. (2020a). International Tourism, Expenditures for Passenger Transport Items. https://data.worldbank.org/indicator/ST.INT.TRNX.CD.
- Data.Worldbank. (2020b). International Tourism, Expenditures for Travel Items. https://data.worldbank.org/indicator/ST.INT.TVLX.CD.
- Data.Worldbank. (2020c). International Tourism, Expenditures. https://data.worldbank.org/indicator/ST.INT.XPND.MP.ZS?view=chart
- Data.Worldbank. (2020d). International Tourism, Receipts. https://data.worldbank.org/indicator/ST.INT.RCPT.XP.ZS?view=chart.
- Diachenko, O., Kasianok, K., & Melnyk, T. (2018). Geostrategic Matrix of Reorientation of Foreign Direct Investment. Scientific Bulletin of Polissya, 1(13), 33-41. https://doi.org/10.25140/2410-9576-2018-1-1(13)-33-41
- European Commission. (2021). EU External Investment Plan. https://commission.europa.eu/system/files/2019-11/factsheet_eip_en.pdf
- Farsari, I. (2012). The Development of a Conceptual Model to Support Sustainable Tourism Policy in North Mediterranean Destinations. Journal of Hospitality Marketing & Management, 21(7), 710-738. https://doi.org/10.1080/19368623.2012.624298
- Ferraro, G., & Briody, E. (2017). The Cultural Dimension of Global Business. Routledge. https://doi.org/10.4324/9781315411019
- Geld, D. (2005). Democracy and the Global System. Port-Royal.
- Gerashchenko, O. (2014). The Essence and Significance of TNCs on the World Market Tourist Services. http://nbuv.gov.ua/UJRN/eui_2014_1_27.
- Gourinchas, Р., & Rey, Н. (2014). External Adjustment, Global Imbalances and Valuation Effects. Handbook of International Economics, 1(4), 585-645. https://doi.org/10.1016/B978-0-444-54314-1.00010-0
- Hill, C. (2013). International Business: Competing in the Global Marketplace. McGraw-Hill/Irwin.
- Honcharenko, N., & Skliarenko, Ya. (2017). Theoretical and Methodological Foundations of the Study of Tourism Policy of the European Union. V.N. Karazina Bulletin of Kharkiv National University. Series "International Relations. Economy. Tourism", 6, 161-166.
- Khondker, H. (2004). Glocalization as Globalization: Evolution of a Sociological Concept. https://www.academia.edu/28585527/Glocalization_as_Globalization_Evolution_of_a_Sociological_Concept
- Krupskyi, O. P., Dzhusov, O., Meshko, N., Britchenko, I., & Prytykin, A. (2019). Key Sources When Formulating Competitive Advantages for Hotel Chains. Tourism, 67(1), 34-46.
- Levchenko, I., Dmytriieva, O., Shevchenko, I., Britchenko, I., Kruhlov, V., Avanesova, N., Kudriavtseva, O., & Solodovnik, O. (2021). Development of a Method for Selected Financing of Scientific and Educational Institutions Through Targeted Capital Investment in the Development of Innovative Technologies. Eastern-European Journal of Enterprise Technologies, 3, 55-62. https://doi.org/10.15587/1729-4061.2021.235930
- Polishchuk, Y., Ivashchenko, A., Britchenko, I., Machashchik, P., & Shkarlet, S. (2019). European Smart Specialization for Ukrainian Regional Development: Path from Creation to Implementation. Problems and Perspectives in Management, 17(2), 376-391. https://doi.org/10.21511/ppm.17(2).2019.29
- Rokocha, V., Plotnikov, O., & Novytskyi, V. (2001). Transnational Corporations. Takson.
- Rudenko-Sudarіeva, L., & Krysyuk, R. (2015). Modern factors of development of international investment. Independent Auditor, 14(4), 27-35.
- Sarvarian, A. (2023). Invoking the Paris Agreement in Investor-State Arbitration. ICSID Review, 38(2), 422-440. https://doi.org/10.1093/icsidreview/siad006
- Shandrivska, O., & Yunko, I. (2021). Implementation of Circular Economy Based on European Experience. Management and Entrepreneurship in Ukraine: Stages of Formation and Development Problems, 2(6), 280-289. https://doi.org/10.23939/smeu2021.02.280
- Sharma, D. (2013). A Study of Glocalization Concept as a Current Trend in Indian Economy. SVIM e-Journal of Applied Management, 1(1), 124-135.
- Shvetsova, N. (2016). Structure and Dynamics of Global Investment Flows. Economic Space, 106, 58-69.
- Solnik, B. (1983). International Arbitrage Pricing Theory. The Journal of Finance, 38(2), 449-457. https://doi.org/10.1111/j.1540-6261.1983.tb02251.x
- Tang, Z., & Yu, Y. (2023). American Economic Stakeholder Sentiments Towards Chinese Firms' Innovation Capability: The Role of State Political Environment and Firm Ownership. Sustainability (Switzerland), 15(18), 13982. https://doi.org/10.3390/su151813982
- Trusova, N., Kotvytska, N., Pikhniak, T., Pavlova, M., Plotnichenko, S., & Sakun, A. (2022). Attracting Foreign Investment in Cyclic Imbalances of the Economy. Scientific Horizons, 25(5), 101-116. https://doi.org/10.48077/scihor.25(5).2022.101-116
- Trusova, N., Tsviliy, S., Mykhailyk, D., Ogloblina, V., & Marusei, T. (2023). Innovative Incentives of the Tourism Industry in the Period of Post-conflict Reconstruction of Ukraine. Review of Economics and Finance, 21, 1237-1248.
- Tsviliy, S., Ogloblina, V., Demko, V., Pavliuk, A., & Pisetskyi, M. (2023). Potential of International Cooperation of Ukraine in the Geoeconomic Space of the Tourist Industry. GeoJournal of Tourism and Geosites, 49(3), 946-961. https://doi.org/10.30892/gtg.49311-1095
- UNWTO. (2022). World Tourism Barometer. https://webunwto.s3.eu-west-1.amazonaws.com/s3fs-public/2022-09/UNWTO_Barom22_05_Sept_EXCERPT.pdf?VersionId=pYFmf7WMvpcfjUDuhNzbQ_G.4phQX79q
- Voitko, S., & Shatkovskyi, O. (2013). An Indicative Approach to Assessing the Investment Attractiveness of Countries: The Field of Renewable Energy. Business Inform, 7, 141-148.
- Wang, H., Sun, X., & Shi, Y. (2024). Commercial Investment in Public-Private Partnerships: The Impact of Government Characteristics. Local Government Studies, 50(1), 230-260. https://doi.org/10.1080/03003930.2023.2198217
- Yakubovskyi, S., Kozak, Y., & Savchuk, O. (2006). Transnational Corporations: Peculiarities of Investment Activities. TsNL.
- Yevdochenko, O. O. (2010). Turbulence of the Global Economic Environment: Theoretical Aspects and Practical Manifestation. https://ir.kneu.edu.ua/bitstream/handle/2010/5535/112-119.pdf?sequence=1