SMEs in European Tourism: The ‘Virtual Enterprise’ Model of Intervention

ABSTRACT The challenges faced by SMEs in the European tourism industry are broadly discussed, and a number of EC funded initiatives, which seek to address the problems of establishing local presence in a globalising industry, are described. With a current EC project (Net_Quality) as a focus, ‘virtual enterprise’ as an intervention model is discussed in the context of encouraging small businesses to cooperate in dimensions of destination management. The paper concludes with a critique of this approach, which draws on analyses of small firm networks and their role in regional economic growth.

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