What matters in the regional competitiveness of the tourism in China? A case study of Yunnan & Zhejiang Provinces based on Porter’s diamond model

This research presents a case study of the tourism development in China in Yunnan & Zhejiang Provinces. Yunnan is a typical western under-developed province famous for the minorities’ culture and tourism resources, especially natural subtropical and tropical landscape. While Zhejiang is a well-developed province with less tourism resources but popular tourism destination along the east coast China. The study was conducted using the Porter’s diamond model and the author classified the important activities in the tourism industry into four determinants and two factors according to the diamond model. While it is envisaged that Yunnan has much more tourism resources as a natural advantage, the author found here the regional economic development imbalance between the western province (Yunnan) and the eastern province (Zhejiang) pose a negative influence on the further development of the tourism industry in Yunnan compared to Zhejiang. However, the intervention from the central government may be proven to be important influence to reverse such imbalance in China, especially when the infrastructure are planned to be dramatically improved and preferences of the tourists are turning to unexplored landscape in the remote China. Finally, the author highlighted there are some factors cannot be explained by Porter’s diamond model, i.e. the dangers of over-expansion of the tourism in Yunnan, and suggested tourism planning and coordination with other industries is important from a long term perspective view