Economic Impacts of Sustainable Urban Tourism: An Integrated Study on Planning Strategies and Destination Competitiveness

Abstract

Urban tourism has become a major driver of economic growth in cities, yet its long-term sustainability depends on effective planning and destination competitiveness. This study examines the economic impacts of sustainable urban tourism through an integrated framework that links tourism performance, planning strategies, and destination competitiveness. Using a secondary-data-based case study approach, the analysis draws on internationally recognized tourism statistics, urban tourism planning frameworks, and competitiveness indices to assess how tourism demand translates into economic outcomes in urban destinations. The findings indicate that tourism generates substantial economic benefits, including increased visitor expenditure and accommodation demand, but these benefits are unevenly realized across cities. Destinations with stronger planning capacity and governance structures are better able to manage tourism growth, mitigate negative impacts, and sustain economic gains. The results further demonstrate that destination competitiveness plays a mediating role by shaping the effectiveness of tourism development within broader urban systems. Challenges such as overtourism and resident dissatisfaction are found to be closely linked to planning and management limitations rather than tourism intensity alone. By integrating economic, planning, and competitiveness perspectives, this study contributes to the literature on sustainable urban tourism and provides practical insights for urban policymakers and planners. The findings highlight the importance of harmonised data, strategic planning, and governance capacity in achieving sustainable and competitive urban tourism development.