Professional Documents
Culture Documents
PRODUCT INNOVATION
SEMESTER SEPTEMBER
2020/2021
ARTICLE WRITING
“THE ROLES OF INNOVATION IN TOURISM”
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TABLE OF CONTENT
REFERENCES .................................................................................................................................... 16
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1.0 INTRODUCTION
There are many businesses from various industries vying to be innovative. Innovation
can be defined as process of individuals or organization undertakes to improving, modifying,
and implementing of product, services or a new idea for generating business value. Innovation
is important because innovation helps your company or organization to grow and discover a
new opportunity. Many organizations nowadays have striven to find a new way to be more
innovative they also faced some challenges and problem such as how existing secondary
databases of innovative activity define the boundaries of the tourism industry, and the degree
to which these databases reflect the particular characteristics of this economic activity. The
inadequate analysis and measurement of innovation in the tourism industry is also related to
methodological constraints that arise from the design of secondary data sources focused on
manufacturing. The advances in databases regarding tourism statistics are much clearer for the
demand behavior and the supply structure. However, there remains a lack of comprehension
regarding microeconomics topics, such as the innovation process and its outcomes (Hjalager,
2002) (Hollanders & Van Cruysen, 2008). The goals at the beginning of study is to studying
the high degree of diversity among tourism companies, it would be interesting to classify
companies that share similar innovative features.
The goals of the study are the identification and understanding of major global
innovations of tourism industry which were permanent throughout the XX century and
continue to unfold at the beginning of the XXI century in the world. There are most important
issues in tourism such as reduced seasonal demand, support and enhancement of regional
communities’ welfare, preserving and promoting the natural and cultural heritage, land use
planning and monitoring development activities, application of standards and quality
certificates, the monitoring and achieving of environmental tradeoffs, staff development.
Next, the problem of heterogeneity is important issue for innovation because of the
complexity of the tourism product, the industry has to link firms whose specific competences
can be exploited to design coherent product through the synchronization of activities in time
and space (Tremblay, 1998; Werthner & Klein, 1999). Agents interactions also are shaped by
institutions, including rules, laws, standards, etc. The tourism sector has been disrupted by
tremendous changes related to deregulation. In the past, the sector was organized by a system
of fixed commissions linking all the agents, from the airlines to the GDS, and the travel
agencies; this system has been dissolved and the sector is ruled by competition. The goals of
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the study are to apprehend and capture the evolution of innovative activities in the tourism
industry through the empirical analysis of annual Tourism@ events.
The problem of the study is about the previous segment and structure tourism
innovation literature have several shortcomings. The body of literature in the field is evolving
rapidly and new insights and updates are necessary to the last systematic literature analysis that
used data until 2014 (Gomezelj, 2016). Other contributions explored particular aspects of
tourism innovation (Marasco et al., 2018) but did not provide an overview of research streams
and future research agendas. Second, the data used for systematic analysis and bibliometric
analysis is controversial, with no agreement on quality thresholds, ways of data acquisition and
data preparation. The goals of the study are to provide an overview and update to previous
work (Hjalager, 2010b) and integrate the literature from previous tourism innovation reviews
(Gomezelj, 2016; Marasco et al., 2018). We present novel insights to tourism innovation
research, regarding thematic clusters and publication characteristics.
Besides that, the problem of the study is there’s a lack of clear terminology in
innovation process. The term “innovation” in the water sector, and particularly “disruptive
innovation”, is often over-used and misused to the point that it has lost its meaning. The need
to define “disruptive innovation” has been noted more generally by others. A stipulated
definition is needed, giving the term a specific meaning for a specific argument or purpose so
that it can be used in the right context. The over-use of the term disruptive innovation has
reached a point where it has become a synonym for any new threat or substantial on-going
change, and there is under-use of the term disruptive innovation as a theoretical concept. The
goals of this study are evaluating several water technologies to determine if there are any
commonalities or patterns that can be discerned. If certain types of innovation have led to
market disruption and market creation, other innovation frameworks like the Innovation
Diffusion theory which is more practical and useful than the Disruptive Innovation theory
should be used as analogues when evaluating the potential of new technologies. However, this
growth coexists with intense competition; as a result of which, tourism companies must
continuously innovate in order to survive and grow. This is evident in the diversification of
tourism products and destinations, the improvement of business processes and the
incorporation of new technologies for intermediation.
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2.0 BACKGROUND AND RATIONALE
Sources of tourism industry innovation can originate from outside of the tourism
sector. ICT, which is primarily responsible for the creative development of tourism
(online services such as e-check-in and online reservation systems), is one such
example. In terms of credit cards that allow online transactions and reservations,
tourism is also the initiator of many developments, such as those in the financial sector
(Hall and Williams, 2008). The following five forms of innovation can be differentiated
after Schumpeter 's study, all of which can also be found in the tourism industry: (1)
the introduction of new goods or services (innovation in products and services), (2 )
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new manufacturing methods (innovation in processes), (3 ) new markets (innovation in
the market), (4) new suppliers (innovation input), and (5) modified organisations or
management systems. The major innovation categories are product, method,
organisational / managerial and business developments (Weiermair, 2006). Weiermair,
K. (2006). ‘Prospects for Innovation in Tourism’, Journal of Quality Assurance in
Hospitality & Tourism, 6(3–4), 59–72. In the literature, there are also examples of
attempts to understand the particularities of tourism innovation by incorporating other
types of innovation such as delivery innovations and structural innovations. (Hjalager,
2010) and reverse group developments and spin-offs into the educational system in
innovation structures (Hjalager et al., 2008). (a new, inclusive collaborative /
organisational structure, e.g., networks and partnerships, or a legal framework that
efficiently redirects or enhances business in certain fields of tourism) In this
perspective, creativity is nurtured and encouraged when businesses engage with
external players and collaborate with them.
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2.3 INDEPENDENT VARIABLE 2 - PERFORMANCE EXPENTACY
Due to the nature of the tourism product and the substantial geographical
distances that the tourism product entails, trials before the purchase decision is almost
impossible. Therefore, the synergetic impact between innovation and tourism is
predictable. Nowadays, many tourism companies have to use the innovation process to
catch up with technology. With the rapid growth of mobile technologies on one hand
and the exponential expansion of the Internet on the other, these kinds of gaps could be
overcome with the development of information technology, especially for mobile
technologies. (Venkatesh et al, 2003) Performance expectancy is defined as the degree
to which an individual believes that using the system will help his or her gains in job
performance. This construct is regarded as the strongest predictor of intention in the
individual. (Agarwal & Prasad, 1998; Davis, Bagozzi, & Warshaw, 1992; Tompson,
Higgins, & Howell, 1991). This performance expectancy is a measure to know the
effectiveness of innovation in the tourism industry whether from the technology's
perspectives or any other perspectives.
Several studies have shown that innovation has played an important role in the
tourism industry. The tourism industry has great innovators, but this industry is widely
accepted as a critical factor for the tourism industry. As a result, Miles, (2001)
innovation is playing an increasing role in services concludes that innovation does play
an important in this industry. Other research focused on the innovation diffusion
process of sustainable environmental innovations (Dabphet et al., 2012; Ganglmair-
Wooliscroft & Wooliscroft, (2016); Horng et al., (2017); Pace, (2016); Smerecnik &
Andersen, (2011). Alonso-Almeida et al. (2016) found that most eco-innovations in
tourism represent product innovations. Many researchers agree that there is a significant
relationship between the important roles of innovation and the tourism industry.
However, some researcher argue because when it lack of innovation, it implies a lack
of adaptation to change, it changes in the environment and in demand are as drastic as
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those that are required to adapt tourism businesses to the COVID-19 pandemic, the lack
of adaptation and innovation puts the survival of a company at serious risk. The general
lack of substantial innovation in the tourism industry is an opportunity that can be
seized by the most innovative of tourism entrepreneurs.
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3.0 RESEARCH QUESTIONS AND METHODOLOGY
The research of this article named Innovation Management In The Hospitality Industry:
different strategies for achieving by Michael Diego are explained to the managers who were
also promised a summary of the result from the survey in return for completing the
questionnaire. For example, the questionnaire sought information like factors influencing
factors success, new service performance and background information on the respondent &
hospitality organizations.
Exploratory factor analysis and Cranach’s alpha test were then used to access the
convergent and discriminate validity. The pretest indicated that hospitality managers at some
point had issues on answering the Likert- type scale. The first version of the questionnaire was
developed using the parallel- transition / double transition methods.
Second article is the determinants of the propensity for innovation among Entrepreneurs
in the tourism industry by Miguel Angel Montanez-Del-Rio and Jose Aurelio Medina- Garrido
which intellectual capital of an entrepreneur is related to their level of education, their
knowledge of how to start a business, and also any prior entrepreneurial experience.
Third article named The Innovation and the Competitive Advantage by Cherron
Reguia, Assistant Professor, University Mohammed Kheider, Biskra, Algeria Faculty of
economics and management. This article is mainly about factors that affect the product
innovation. The interaction of the different elements of company's environment and their
influence on innovation process in general and on the product delivery system.
There are other external and internal factors that affect product innovation such
customer needs and expectations which companies oriented to customers are responsive to their
final needs, measure the satisfaction level and improve the processes in order to satisfy them.
In the context, the hypothesis that expressed needs of existing customers for radical product
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innovations influence positively on radical product innovation acquisition in small companies.
However, in the case of expressed needs of potential customers the hypothesis has not been
proved and technological opportunities which product innovation is closely related to a
scientific base and scientific knowledge growth.
The fourth article is the measuring innovation in tourism from the Schumpeter and the
Dynamic- Capabilities Perspectives by Cesar Camison, Vicente M. Monfort- Mir. the diffusion
of innovation among services and tourism enterprises is characterized by a low propensity for
the development of new products and processes. However, previous literature does not
empirically test the singular pattern of tourism innovation in comparison to manufacturing and
services in general.
It develop this comparative analysis with dates extracted from a survey carried out by
indicate that tourism companies are less technically innovative than manufacturing and other
services companies, and that they perform mainly incremental innovations based on previously
available knowledge within the organization, allowing imitators and adapters to prevail over
the genuine innovators. The innovative behavior is more focused toward non-technological
innovations, where the differential is less important, and particularly toward commercial
innovations, where they perform better than manufacturing firms.
The fifth article named The impact of innovation contest briefs on the quality of solvers
and solutions by Feng Hu, Tammo H.A Bijmolt, Eelko K.R.E Huizingh explained As firms
increasingly adopt online contests to improve their innovation projects, research is needed to
determine which design factors make a contest successful.
The effects of the innovation contest brief, the description of the problem and the
requirements for the potential solutions on contest performance. The length and readability of
the brief and test both their effects on contest performance. Both brief readability and brief
length are found to have direct and indirect effects on contest performance, and their indirect
effects are determined by the effects on the number of high-skilled and low-skilled solvers that
a contest attracts.
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innovation is characterized by the creation of new knowledge which are transformed into
innovation in the enterprise.
Finally, the combined effects of both brief characteristics are positive, and these effects
increase as the brief becomes more readable and longer. The high-skilled and low-skilled
solvers can submit high-quality solutions, but the likelihood of this is significantly higher for
high-skilled solvers. It provides a clear evidence that briefs affect contest performance, making
them an important element in the design of innovation contests.
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4.0 FINDING AND RECOMMENDATION
4.1 FINDING
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of qualitatively new solutions of scientific and methodological and applied character.
For instance, growing of tourism influence on the society, the existence of synergistic
effect in the tourist industry as a result of combination of subject’s efforts at all
management levels, and changing of the role of internal and external factors that
encourage innovative tourism development. The changing role of internal and external
factors that encourage innovative tourism development.
The function is devoted to utilizations of ICT and the Internet in the travel
industry and is a significant global exchange reasonable Europe focusing on inventive
new businesses, cutting edge SMEs, enormous multinationals and scholastics. For
example, to illuminate information bases and advancements, the operators associated
with the coordination of the financial exercises and the idea of business sectors tended
to. The travel industry is an unmistakable area that includes developing information
bases and advances, and considerably more heterogeneous and scattered firms, from
multinationals to little firms, and from cutting edge to low-tech. Significant physical,
authoritative and psychological separations are normal for this area. For example,
tourism help to incorporate development patterns in the business. The elements of the
main dimensions describing tourism ventures, market areas, technology and innovative
intensity, shows the development of the area. The tourism industry is generally
considered as an innovative activity and the locus of dispersion of ICT in services
(Buhalis and Law, 2008; Hall and Williams, 2008). The main characteristic of the
tourism industry, the scattering of heterogeneous and scattered activities in nature, time
and space, make the usage of this examination uncomfortable and troublesome.
The thematic analysis demonstrated that since the discoveries from Hjalager
(2010) and Gomezelj (2016), countless new papers tended to the area of innovation
research in the tourism and hospitality. The implications of this paper particularly
address the travel industry organizations and destination management: Innovation in
the travel industry is seen as a staggered marvel as we think a lot about the determinants
of advancement measures on an undertaking level. However, late writing underpins the
estimation of open development in the travel industry (Pikkemaat and Peters, 2016). As
most of the travel industry enterprises are small and medium-sized and family-owned,
innovation processes regularly are not as formalized as in enormous (or multinational)
organizations (Pikkemaat, 2008). Furthermore, patterns of innovation processes we
have to actualize an assortment of information obtaining measures. Five key areas of
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deployment of worldwide innovation trends intrinsic in the entire tourism sector: the
development of the travel industry; the application of qualitatively new solutions of
scientific and methodological and applied nature; the developing impact of the travel
industry in the society; the presence of synergistic impact in the tourist industry because
of the blend of subjects efforts at all management levels; the changing part of interior
and outer factors that energize innovative the travel industry improvement.
4.2 RECOMMENDATION
Lastly, tourism industry should rely on staff who have a wide range of skills and
experience. It is importance for tourism industry to add on of internal knowledge which
highlighted by the finding that firms. Besides that, it is often regarding their own
enterprise or enterprise group as the most important source of knowledge relying on
employees who had more experience in the industry. Furthermore, internal knowledge
can acquire though a variety of sources networking where enables knowledge access
from other tourism firms, consultants or experts, suppliers, government agencies,
tourism networking forums, actors in tourism and business forums, universities or
training organisations, foundations or Non-governmental Organisations (NGOs)
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5.0 FINAL THOUGHTS
In the article shows the Innovation Diffusion theory can be used as analogues when
evaluating the potential of new technologies and three types of innovation are defined namely
sustaining, radical functionality and discontinuous, where sustaining innovation take market
share away from existing technologies. Innovation activity in tourism and gives evidence about
the rapid evolution of the tourism industry as well as the substantial impact of ICT on this
evolution. In such innovations, significant improvements are made to the existing products to
provide improvements in terms of efficiency and speed.
Meanwhile, innovations in the tourism industry can help in the growth of tourism
changing the role of internal and external factors that encourage innovative tourism
development. Innovation management in the tourism industry causes systematic literature
review provides an up-to-date review of tourism innovation research and an agenda for future
research that addresses the nexus of small and micro enterprises and innovations, eco-
innovations and the interplay between governance and innovations.
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