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Competitiveness Analysis of the Tourism Sector in Mexico According to Michael Porter's Diamond Model

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- International Business Strategy - Lecturer: Jamie Weatherston COMPETITIVENESS ANALYSIS OF THE TOURISM SECTOR IN MEXICO ACCORDING TO MICHAEL PORTER’S DIAMOND MODEL October 2009 Made by Jérôme Schiano Contents INTRODUCTION 3 I) THE FACTOR CONDITIONS 4 1) HUMAN RESOURCES 4 2) NATURAL RESOURCES 4 3) INFRASTRUCTURES 4 II) THE FIRMS STRATEGIES, STRUCTURES AND RIVALRY 5 1) A COMMON POLICY OF SUSTAINABLE DEVELOPMENT 5 2) FOUR MAIN CHALLENGES 5 A) The importance of a private-public collaboration 5 B) Innovation 5 C) Teamwork 5 D) Local driven approach 6 3) THE IMPORTANCE OF E-COMMERCE TO TRAVEL AND TOURISM 6 4) LOW COST OFFERS 6 5) FIRMS COMPETITION, EMERGENCE OF CLUSTERS 6 III) DEMAND CONDITIONS 7 1) THE …show more content…

In the recent years, the development of tourism in the country has faced an environmental and social crisis, such as urban sprawl around the big resorts causing the deterioration of ecological environment and the loss of the cultural identity. This situation is not unique to Mexico and the so-called mass tourism has shown worldwide some negative effects as those mentioned above. One of the drivers for extra competitiveness in the Mexican tourism industry can be found, without a doubt, in the capacity of the firm to fit in this sustainable policy. 2) Four main challenges : In addition to assuming fully the principles defined in the National Development Chart, each business that wants to increase his competitive advantages will have to be aware of this four strategic challenges : A) The importance of a private-public collaboration: Although traditionally there have been strategies for collaboration between public and private sectors in tourism, especially in regard to promotion, the industry recently acknowledged the need to establish a philosophy of ongoing collaboration aimed to improve the value of the offer. This is a trend that has recently been highlighted

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