Market Failure in Tourism

Although never formally published this paper written in the summer of 2017 shortly before the demise of VisitEngland as an independent national tourist board is a good general summary of some of the key aspects of market failure, including destination marketing and information failures, which were and are typically core functions provided, supported or enabled by National Tourist Boards.

The paper does not major on the local impacts of market failure and, in particular, the failure of the market to underpin the necessary: administrative support, coordination, organisation, management and leadership and other functions that create a “destination” worthy of marketing as such.

Nonetheless, this independently authored paper is a good reference point for those wishing to understand tourism market failure issues at a National level and a starting point for the inferred issues for local destination management. Without that strong local, preferably on-site management, in the covid-19 and post covid-19 world new and accelerated existing pressures will only serve to further undermine the key attraction of many of our urban and rural destinations, leaving far fewer recognisable destinations of the requisite quality to market and support nationally the wider visitor economy severely damaged.

The paper can be accessed at: