Impacts of the Global Economic Crisis on Cyprus Tourism and Policy Responses

This study examines the impacts of the global economic crisis on Cyprus tourism and the pertinent policy responses. A qualitative approach was adopted by conducting eight semi‐structured interviews with tourism authorities and suppliers/professionals. Findings indicated the main impacts of the crisis on Cypriot tourism: lack of competitiveness, decreased visitation/revenues, inadequate quality and escalated pricing. Furthermore, findings identify three types of policy measures: (i) immediate response measures; (ii) foreign investment in tourism; and (iii) diversification of the tourism product and quality improvement. The study highlights the need for Cyprus to develop a comprehensive tourism planning framework. It is suggested that crisis plans of small island states should be developed upon a holistic framework that leverages their destination capitals. Copyright © 2012 John Wiley & Sons, Ltd.