Crisis Management in Business Tourism. An Empirical Study in the Iberian Peninsula

Abstract

The covid-19 pandemic has resulted in a significant humanitarian, social, and economic crisis, impacting various sectors, including tourism and hospitality. Among the affected segments, business tourism, which is a vital contributor to the local and regional economies and expected to grow, has also faced substantial challenges during this period. To understand and analyse the crisis management within the business tourism industry in the Iberian Peninsula, this research follows a qualitative methodological approach, through semi-structured interviews with entrepreneurs from the tourism sector in Portugal and Spain. The overarching goal of this study is to assess the impact of the covid-19 crisis on business tourism in the Iberian Peninsula. To achieve this, specific objectives include comprehending the effects of the pandemic on business tourism, identifying crisis management practices, and analysing the measures adopted by tourism professionals in response to the crisis. Key findings from the study emphasize the changes in events organization, such as exhibitions, congresses, fairs, and shows, which had to adapt to new social distancing policies, leading to cancellations, postponements, or a shift to online formats where possible. Additionally, significant changes due to health and safety concerns were observed, with Regional Entities and the national DMO (Turismo de Portugal) initiating initiatives like the Clean & Safe seal, implementing safety measures, and adapting products and services. The digital environment emerged as a critical platform for strategies during this time. Regarding crisis management practices, it was noted that many companies lacked a structured crisis management model, often resorting to reactive action plans when faced with specific challenges. Notably, the support received from the government was considered fundamental in managing the crisis, alongside effective communication among stakeholders, strategic marketing approaches, and the development of resilience. In conclusion, the covid-19 pandemic has significantly impacted the business tourism industry in the Iberian Peninsula, requiring adaptive measures, particularly in event organization, safety implementation, and digital strategies. The study also highlights the importance of crisis management practices, emphasizing the role of government support, communication, marketing, and resilience in navigating the challenges posed by the pandemic. These insights provide valuable guidance for the industry's future preparedness and response to crises.