Chapter 10: Tourism Entrepreneurship and Social Capital

Tourism Entrepreneurship: Major Constraints Limited access to finance Low skills High operational costs Social enterprises tend to address unmet social needs due to market and government failures

The Role of Social Capital Increases the likelihood of achieving socio-economic goals Provides a specific type of resource that is embedded in the relations between an individual and other entities and the capacity to facilitate productive activity Comprises physical, human and knowledge assets necessary for economic growth Concerns the different network structures that facilitate or hinder access to social resources and the nature of the social resources

Public-Private Partnerships Shared Goals Collective responsibilities Effective Leadership Stakeholder Communication Community Capacity Supportive Entrepreneurial Climate

Tourism Entrepreneurship & Social Capital Tourism entrepreneurship contributes to job creation and regional development Social capital is required in developing/remote destinations Requires creation, maintenance and extension of relationships Social capital is embedded in the degree of collaboration of those involved in entrepreneurial venture