JOINT DESTINATION MARKETING IN THE SOUTH CENTRAL COAST REGION OF VIET NAM BY LAN THI PHUONG NGUYEN A thesis submitted to the Victoria University of Wellington in partial fulfillment of the requirements for the degree of Master in Tourism Mangement Victoria University of Wellington 2014 i Abstract The tourism industry of Viet Nam has developed rapidly over the last two decades. However, more attention must be given to destination marketing, especially joint destination marketing, if the sector is to continue to expand. To date there has been little research on joint destination marketing, especially in developing countries and transitional economies like Viet Nam. This study attempts to fulfil this gap by examining the joint destination marketing activities of the eight South Central Coast provinces of Viet Nam. The study has three objectives: (1) to examine the nature and extent of current joint destination marketing activities, (2) to analyze the factors that influence joint destination marketing decision-making, and (3) to investigate the destination marketing relationships between local destination marketing organizations(DMOs) of the eight provinces. The South Central Coast was chosen as the study site as it is the most dynamic tourism development region of Viet Nam. The study triangulated both primary and secondary data. The primary data was collected mainly from semi- structured in-depth interviews with DMO representatives. This was complemented by the content analysis of official tourism websites. Four sets of key findings result from this research. First, the South Central Coast provinces currently conduct destination marketing more individually than jointly. However, all provinces of the region practise a certain mix of both individual and joint marketing activities. Local DMOs also develop competitive and cooperative relationships with other counterpart DMOs. Second, joint destination marketing is an emerging and increasingly common trend in the region and is characterized by different patterns of cooperative behaviour and levels of involvement. Third, joint destination marketing decision-making is influenced by various factors, including preconditions, benefits, drawbacks, motives and barriers. These factors are inter-related, which in turn creates tensions for DMO in their joint destination marketing decision-making. Fourth, in the South Central Coast region, joint destination marketing activities occur ii more commonly at a sub-regional scale than at the scale of the whole region. Furthermore, these sub-region cooperative models involve provinces located in other regions. Decisive factors in destination marketing partnership formation include proximity, convenient transportation, mutual benefits, similar target markets and compatibility of tourism products. The study concludes by highlighting the need to establish a regional tourism coordinating organization to facilitate joint actions and cooperative interrelationships between provinces. There is also much room left in for further joint destination marketing research. Key words: joint destination marketing, marketing activities, interrelationships, joint destination marketing decision-making, explanatory factors, data triangulation iii Acknowledgements A Master‟s thesis in tourism is probably one of the most challenging but enjoyable missions I have ever experienced. The thesis could not have been completed without the guidance, support and care of others. I would like to send big thanks to the New Zealand ASEAN Awards for providing me with an invaluable opportunity to pursue my Master in Tourism Management at Victoria University. To my supervisor, Prof. Doug Pearce, I would like to express my sincerest thanks for always giving me the best possible guidance with your expertise, passion and determination. I am also very grateful for your experienced advices that are so useful not only for doing research but also for everyday life. I would not have been able to finish the thesis with joy and inspiration without your supervision. I would also like to sincerely thank all members of the Tourism Mangement Group for delivering great tourism lessons and seminars over the past two years. Thanks so much to my mum, dad and sister Giang for their unconditional love and support no matter what I do or where I go. Special thanks are also sent to Marco – my little family in Wellington – for always loving, making me laugh, keeping me warm and feeding me with pasta and cheese. To my friends and colleagues in the Masters and Honours room, it is my great pleasure to know you in person and share with you the ups and downs of the Master‟s journey. Also many thanks to Megan for her great administrative support. Thanks to Beth for her time and effort to proofread this thesis. Last but not least, I have had two wonderful years of learning and living experiences in Wellington. Thanks again to all people that made that happen and I wish you all the best in the future. iv Table of contents Abstract ........................................................................................................................... ii Acknowledgements ........................................................................................................ iv Table of contents ............................................................................................................. v List of figures ............................................................................................................... viii List of tables ................................................................................................................... ix Chapter 1: INTRODUCTION ............................................................................ 10 1.1 Introduction ............................................................................................. …10 1.2 The research context: Viet Nam and the South Central Coast region of Viet Nam…………………………………………………………………………………11 1.2.1 Overview of Viet Nam and tourism development in Viet Nam since the 1990s…………………………………………………………………………….12 1.2.2 Overview of the South Central Coast region and its tourism potential ... 17 1.3 Research objectives and research questions ................................................ 20 1.4 Research significance .................................................................................. 22 1.5 Thesis structure ............................................................................................ 22 Chapter 2: LITERATURE REVIEW ................................................................ 25 2.1 Introduction ................................................................................................. 25 2.2 Defining tourist destinations and destination marketing ............................. 25 2.3 Destination marketing between tourism organizations ................................ 28 2.3.1 Destination marketing from perspectives of inter-organizational relations theories …………………………………………………………………………..28 2.3.2 Inter-organizational relationships in tourism .......................................... 31 2.3.3 Tourism parnership developmental stages .............................................. 34 2.4 Joint destination marketing activities: Explanatory factors ......................... 35 2.4.1 Preconditions of joint destination marketing .......................................... 35 2.4.2 Motives and barriers ................................................................................ 36 2.4.3 Decision-making factors ......................................................................... 39 2.5 Conclusion ................................................................................................... 42 Chapter 3: METHODOLOGY ........................................................................... 44 3.1 Introduction ................................................................................................. 44 3.2 Selection of study sites and organizations ................................................... 46 3.3 Data collection methods and procedures ..................................................... 48 3.3.1 The in-depth interview ............................................................................ 49 3.3.2 Documentation ........................................................................................ 52 3.4 Data analysis ................................................................................................ 54 3.4.1 In-depth interview data analysis .............................................................. 54 3.4.2 Content analysis of tourism websites and marketing materials............... 57 3.5 Data evaluation: Strengths and limitations .................................................. 59 3.6 Conclusion ................................................................................................... 60 v Chapter 4: REGIONAL AND PROVINCIAL DESTINATION MARKETING: CONTEXTS OF THE SOUTH CENTRAL COAST REGION . 62 4.1 Introduction ................................................................................................. 62 4.2 Regional tourism development and destination marketing context ............. 62 4.3 Provincial tourism development and destination marketing contexts ......... 66 4.3.1 Tourism development situations of the eight South Central Coast provinces .............................................................................................................. 66 4.3.2 Provincial tourism potential and development orientations ...................