Drivers of innovation in tourism: An econometric study

Abstract

This article analyzes the determinants of three types of innovation output—product, process, and organizational, generated by Australian tourism firms. It examines how collaboration, human capital, information technology, funding, firm, and market characteristics impact innovation outcomes. Of the inputs, collaboration for innovation is the one with a positive impact on the three types of innovation outputs. Human capital also contributes to the innovation process. However, its impacts are strongly felt only in the generation of product and organizational innovation. Information and communication technology is vital to the implementation of operational process and organizational innovations, while funding influences the implementation of new operational processes. Of firm and market characteristics, foreign ownership, degree of competition, and firm size have significant impacts on innovation intensity among firms.