Examining Tourism Cluster Development in State-led Economies: The Cases of Dubai and Singapore

The literature on state-led tourism development in the Emirate of Dubai and the Republic of Singapore is scarce. Moreover, it is not clear how state capitalist systems of government transformed both city-states into successful tourism destinations. Research has shown that physical infrastructure provision and destination brand marketing play an important role in the success of both polities. However, most of the available works tend to have a superficial nature and are dated. This study endeavors to offer a more profound and detailed analysis of the government policy factors that explain a successful tourism cluster outcome in both cases with new data collected by the author. An answer to this question is relevant to policy-makers in states with similar political-economy configurations that seek to develop a tourism industry. Building on existing works on tourism cluster development in state-led economies, this research asks: “What primary government policy factors explain the...Show moreThe literature on state-led tourism development in the Emirate of Dubai and the Republic of Singapore is scarce. Moreover, it is not clear how state capitalist systems of government transformed both city-states into successful tourism destinations. Research has shown that physical infrastructure provision and destination brand marketing play an important role in the success of both polities. However, most of the available works tend to have a superficial nature and are dated. This study endeavors to offer a more profound and detailed analysis of the government policy factors that explain a successful tourism cluster outcome in both cases with new data collected by the author. An answer to this question is relevant to policy-makers in states with similar political-economy configurations that seek to develop a tourism industry. Building on existing works on tourism cluster development in state-led economies, this research asks: “What primary government policy factors explain the establishment of a successful tourism sector in the state-led economies of Dubai and Singapore in the period between 1990 and 2018?” This research employs the qualitative method of theory-building process-tracing and approaches tourism cluster development with the ‘developmental state theory’ taken from the discipline of international political economy. Analysis of the primary and secondary data shows that tourism, in both Dubai and Singapore, is a pillar in an overarching state-led economic development strategy that operates in synergy with the commerce, events, real estate, tourism, and transport clusters. Moreover, both Dubai and Singapore combine control over government institutions and state-owned holding companies, complemented by transnational companies, to control tourism-relevant enterprises and to develop the tourism cluster. Coordination between public and private sector entities enables efficient canalization of resources complying with long-term developmental tourism visions. Under those circumstances, both governments conducted two synergic primary policies: first, constructing state-of-the-art tourism infrastructure, and second, orchestrating a sophisticated brand marketing campaign. The research found these policies explain the success of tourism in Dubai and Singapore.Show less

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Examining Tourism Cluster Development in State-led Economies: The Cases of Dubai and Singapore