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COMPETITIVENESS AND THE INCREASING STRATEGY OF COMPETITIVENESS IN TOURISM SECTOR OF TERNATE CITY, NORTH MALUKU PROVINCE

Year 2017, Volume: 4 Issue: 4, 11 - 32, 30.10.2017

Abstract

A tourism sector that has high competitiveness can draw a great number of tourists that can result in well-improved regional economy growth, increasing rate of society’s income, and bigger opportunity into the work field. The growth rate of tourist visits in Ternate City from 2011-2015 is increasing, yet its growth percentage is changeable and tends to decrease. This research aimed at: 1) analyzing the competitiveness position of tourism sector of Ternate City against other regions in North Maluku Province; 2) formulating the strategy to increase tourism sector of Ternate City. The data were collected through documentation and interview. The data were obtained from Government Tourism Office, Central Bureau of Statistics, Regional Revenue and Asset Management Office, Development Planning Agency at Regional Level, Environmental Agency and Ministry of Finance of the Republic of Indonesia. The data obtained were analyzed using mix-methods consisting of shift share analysis, indexation, and SWOT. The result of this research showed that the performance of tourism sector in Ternate City from 2011-2015 had positive growth better than that from North Maluku Province. This contributed to better society’s economy and employment absorption in Ternate City. The use of Diamond Porter model helped explain that tourism competitiveness in Ternate City is in the top position surpassing the other regencies/ cities in North Maluku Province. The main factor of its competitiveness is the existence of supporting and related industrial activities such as hotel, inn, man power, restaurant and cafe as well as the number of tourist visits. Meanwhile, the less competitive indicators are the number of tourist spots and the regional strategy. Moreover, the government’s role was still considered lower than those from North Halmahera, Morotai, West Halmahera, Tidore, and Central Halmahera. Based on SWOT analysis, the strategies that can maintain and increase the tourism competitiveness in Ternate City are: 1) utulization of Information technology to attract domestic and foreign tourists; 2) building up the cooperation system with the surrounding regions in managing the integrated tourism sector; 3) cooperating with the local and central government in developing the tourism sector; 4)empowering tour operators in attracting the tourists; 5) improving the quality and the quantity of scientific and cultural tourism; 6) facilitating the tourists to enter the tourist destination area. 

References

  • GHION, P., P. HOWITT, D. MAYER-FOULKES. (2007). The Effect of Financial Development on Convergence: Theory and Evidence, Quarterly Journal of Economics 120 (1), p 173-222. ANDRIOTIS, K (2004). Revising Porter’s Five Forces Model for Application in the Travel and Tourism Industry. The Journal Of The College Of Tourism And Hotel Management. No.4 2004, p.7-20. ANG, J. (2008). A Survey on Recent Developments in the Literature on Finance and Growth, Journal of Economic Surveys 22 (3), p 536-576. ASCHAUER, D. A. (1989). Is Public Expenditure Productive? Journal of Monetary Economics 23 (2), p 117–200. ARYUNDA, HANNY (2011). Dampak Ekonomi Pengembangan Kawasan Ekowisata Kepulauan Seribu. Jurnal Perencanaan Wilayah dan Kota, Vol. 22 No. 1, April 2011, h.1– 16. ASKINATIN, M; YUDI. W DAN MUCHDIE (2003). Konsep Daya Saing Wilayah Perspektif Teknologi. (Penyunting Yudi Widayanto dan Binuko D. S). Badan Pengkajian dan Penerapan Teknologi pengkajian kebijakan teknologi (BPPT), Jakarta. BALAN, D., BALAURE, V., & VEGHES, C. (2009). Travel and tourism competitiveness of the world’s top tourism destinations: An exploratory Assessment. Annales Universitatis Apulensis series Oeconomica, 11, (2). HEIZER, JAY AND BARRY RENDER (2006). Operations Management. Pearson Education. Amerika. BERDO, SONILA (2016). Application Cases of Main Tourist Destination Competitiveness Models in Different Countries of the World, Especially in Balkan Region Destinations. European Journal of Multidisciplinary Studies Jan-Apr 2016 Vol.1 No. 1, p 58-63 (Online). BETHAPUDI, ANAND (2013). The Role Of ICT In Tourism Industry, Journal Of Applied Economics And Business, Vol.1, Issue 4 – December, p. 67-79. BLANKE, J AND CHIESA T (Eds) (2008). The Travel & Tourism Competitiveness Index Report 2008: Meansuring Key Elements Driving The Sector’s Development. World Economic Forum, p 3-26. Available at (Http://Www.Weforum.Org. ------------------------------ (2013). The Travel & Tourism Competitiveness Index Report. World Economic Forum p xvi. Available at: Http://Www.Weforum.Org. BPS INDONESIA (2015). Statistik Indonesia. BPS Indonesia. BPS MALUKU UTARA (2016). Maluku Utara Dalam Angka, SUSENAS, BPS Provinsi Maluku Utara. BPS KOTA TERNATE (2016). Statistik Maluku Utara. BPS Kota Ternate. CALDERON, C., L. SERVEN. (2004). The Effects of Infrastructure Development on Growth and Income Distribution. World Bank Policy Research Working Paper No. 3400. Washington, D.C.: World Bank. CHIN, WEI LEE, JANET HADDOCK-FRASER & MARK P. HAMPTON (2015). Destination Competitiveness: Evidence From Bali. Current Issues in Tourism, p.1-25. Available at: http://dx.doi.org/10.1080/13683500.2015. CHIN, CHEE-HUA; MAY-CHIUN, LO; PETER. S AND VIKNESWARAN. N (2014). Rural tourism destination competitiveness: A Study on Annah Rais Longhouse Homestay, Sarawak. Procedia. Social and Behavioral Sciences 144 (2014) p 35– 44. Available at: www.sciencedirect.com

COMPETITIVENESS AND THE INCREASING STRATEGY OF COMPETITIVENESS IN TOURISM SECTOR OF TERNATE CITY, NORTH MALUKU PROVINCE

Year 2017, Volume: 4 Issue: 4, 11 - 32, 30.10.2017

Abstract

A tourism sector that has high competitiveness can draw a great number of tourists that can result in well-improved regional economy growth, increasing rate of society’s income, and bigger opportunity into the work field. The growth rate of tourist visits in Ternate City from 2011-2015 is increasing, yet its growth percentage is changeable and tends to decrease. This research aimed at: 1) analyzing the competitiveness position of tourism sector of Ternate City against other regions in North Maluku Province; 2) formulating the strategy to increase tourism sector of Ternate City. The data were collected through documentation and interview. The data were obtained from Government Tourism Office, Central Bureau of Statistics, Regional Revenue and Asset Management Office, Development Planning Agency at Regional Level, Environmental Agency and Ministry of Finance of the Republic of Indonesia. The data obtained were analyzed using mix-methods consisting of shift share analysis, indexation, and SWOT. The result of this research showed that the performance of tourism sector in Ternate City from 2011-2015 had positive growth better than that from North Maluku Province. This contributed to better society’s economy and employment absorption in Ternate City. The use of Diamond Porter model helped explain that tourism competitiveness in Ternate City is in the top position surpassing the other regencies/ cities in North Maluku Province. The main factor of its competitiveness is the existence of supporting and related industrial activities such as hotel, inn, man power, restaurant and cafe as well as the number of tourist visits. Meanwhile, the less competitive indicators are the number of tourist spots and the regional strategy. Moreover, the government’s role was still considered lower than those from North Halmahera, Morotai, West Halmahera, Tidore, and Central Halmahera. Based on SWOT analysis, the strategies that can maintain and increase the tourism competitiveness in Ternate City are: 1) utulization of Information technology to attract domestic and foreign tourists; 2) building up the cooperation system with the surrounding regions in managing the integrated tourism sector; 3) cooperating with the local and central government in developing the tourism sector; 4)empowering tour operators in attracting the tourists; 5) improving the quality and the quantity of scientific and cultural tourism; 6) facilitating the tourists to enter the tourist destination area. 

References

  • GHION, P., P. HOWITT, D. MAYER-FOULKES. (2007). The Effect of Financial Development on Convergence: Theory and Evidence, Quarterly Journal of Economics 120 (1), p 173-222. ANDRIOTIS, K (2004). Revising Porter’s Five Forces Model for Application in the Travel and Tourism Industry. The Journal Of The College Of Tourism And Hotel Management. No.4 2004, p.7-20. ANG, J. (2008). A Survey on Recent Developments in the Literature on Finance and Growth, Journal of Economic Surveys 22 (3), p 536-576. ASCHAUER, D. A. (1989). Is Public Expenditure Productive? Journal of Monetary Economics 23 (2), p 117–200. ARYUNDA, HANNY (2011). Dampak Ekonomi Pengembangan Kawasan Ekowisata Kepulauan Seribu. Jurnal Perencanaan Wilayah dan Kota, Vol. 22 No. 1, April 2011, h.1– 16. ASKINATIN, M; YUDI. W DAN MUCHDIE (2003). Konsep Daya Saing Wilayah Perspektif Teknologi. (Penyunting Yudi Widayanto dan Binuko D. S). Badan Pengkajian dan Penerapan Teknologi pengkajian kebijakan teknologi (BPPT), Jakarta. BALAN, D., BALAURE, V., & VEGHES, C. (2009). Travel and tourism competitiveness of the world’s top tourism destinations: An exploratory Assessment. Annales Universitatis Apulensis series Oeconomica, 11, (2). HEIZER, JAY AND BARRY RENDER (2006). Operations Management. Pearson Education. Amerika. BERDO, SONILA (2016). Application Cases of Main Tourist Destination Competitiveness Models in Different Countries of the World, Especially in Balkan Region Destinations. European Journal of Multidisciplinary Studies Jan-Apr 2016 Vol.1 No. 1, p 58-63 (Online). BETHAPUDI, ANAND (2013). The Role Of ICT In Tourism Industry, Journal Of Applied Economics And Business, Vol.1, Issue 4 – December, p. 67-79. BLANKE, J AND CHIESA T (Eds) (2008). The Travel & Tourism Competitiveness Index Report 2008: Meansuring Key Elements Driving The Sector’s Development. World Economic Forum, p 3-26. Available at (Http://Www.Weforum.Org. ------------------------------ (2013). The Travel & Tourism Competitiveness Index Report. World Economic Forum p xvi. Available at: Http://Www.Weforum.Org. BPS INDONESIA (2015). Statistik Indonesia. BPS Indonesia. BPS MALUKU UTARA (2016). Maluku Utara Dalam Angka, SUSENAS, BPS Provinsi Maluku Utara. BPS KOTA TERNATE (2016). Statistik Maluku Utara. BPS Kota Ternate. CALDERON, C., L. SERVEN. (2004). The Effects of Infrastructure Development on Growth and Income Distribution. World Bank Policy Research Working Paper No. 3400. Washington, D.C.: World Bank. CHIN, WEI LEE, JANET HADDOCK-FRASER & MARK P. HAMPTON (2015). Destination Competitiveness: Evidence From Bali. Current Issues in Tourism, p.1-25. Available at: http://dx.doi.org/10.1080/13683500.2015. CHIN, CHEE-HUA; MAY-CHIUN, LO; PETER. S AND VIKNESWARAN. N (2014). Rural tourism destination competitiveness: A Study on Annah Rais Longhouse Homestay, Sarawak. Procedia. Social and Behavioral Sciences 144 (2014) p 35– 44. Available at: www.sciencedirect.com
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Details

Primary Language English
Journal Section Articles
Authors

Muharto .

Bernhard Tewal This is me

Silvya Mandey This is me

Altje Tumbel This is me

Publication Date October 30, 2017
Published in Issue Year 2017 Volume: 4 Issue: 4

Cite

APA ., M., Tewal, B., Mandey, S., Tumbel, A. (2017). COMPETITIVENESS AND THE INCREASING STRATEGY OF COMPETITIVENESS IN TOURISM SECTOR OF TERNATE CITY, NORTH MALUKU PROVINCE. Journal of Life Economics, 4(4), 11-32.