of political and security stability travel and tourism performance and the

Of political and security stability travel and

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of political and security stability, travel and tourism performance and the country size in creating a more enabling environment for the air transport to produce an efficient output. The reported results applied within the context of Porter’s framework for national advantage 12 led to the development of a diagram which defines the operating environment drivers determining the competitiveness of the air transport system on a national level (Fig. 10). Each point on the diamond – and the diamond as a whole – is a dynamic system in which all elements interact and reinforce each other, thus creating a competitive air transport industry deriving its strength for the nation’s overall competitiveness. This proves that an enabling environment idenfies the capacity of a country to benefit from the use of its macro-drivers to support tha ir 12 To explain why a nation succeeds in particular industries but not in others Porter developed an analytical framework which he calls “The diamond of national advantage”. This framework incorporates four attributes of the home environment — namely; (1) factor conditions (2) demand conditions (3) related and supporting industries (4) strategy, structure and rivalry.
28 Related and Supporting Factors Health and primary education Higher education and training Innovation Political and security stability Air Transport Strategy and Structure Institutional framework Factor Conditions Infrastructure Macroeconomic environment Labour market efficiency Country size Demand Conditions Good market efficiency Market size Travel and tourism activity transport system output. Additionally, the maturity of the macro-environment and the leveraging of the identified factors remain pre-conditions for obtaining positive results. This encourages governments to create a suitable context which will back the air transport industry’s growth potential. The suggested framework serves as an assessment tool for policy makers to identify strengths on which to build and weaknesses that need to be addressed within national policies. Moreover, it allows governments to benchmark the performance of its national drivers of competitiveness against those of other well-performing countries to determine the degree of the environmental conditions’ readiness to assist the air transport sector to compete both on national and international levels. Figure 10: Factors determining the competitiveness of air transport Source: Author, M. Porter (1990) 4. CONCLUSION
29 The concept of economic competitiveness affirms that the national environment in which industries operate can enhance or hinder their ability to compete nationally and internationally. This macro-environment is essential to analyse while industry planners are drawing strategies for the future. The hypothesis of the influence of national macro-environment factors on air transport sector performance is tested through putting a set of 21 variables are put under examination.

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