Abstract
For a variety of reasons an increasing number of local authorities and other agencies have turned to tourism as a means of economic development. To date, however, the level of activity among policy makers has not been matched by research that might inform their deliberations. Although the importance of demand‐related issues — such as the promotion of particular destinations — is recognised, this paper shifts the focus to the neglected issue of sector supply. It argues that if tourism is to contribute to economic development that is sustainable, private — and public‐sector facilities (such as attractions or hotels) must be nationally — and often internationally — competitive. The paper proposes a model for understanding the competitiveness of organisations in the sector and reports the findings of its application in a case study of east and south‐east London.