Impact of tourism on the sales of creative companies in Chile in the pandemic (Covid-19)

Abstract

The impact of Covid-19 on economic activity was pervasive throughout 2020, with the tourism sector experiencing a notable decline in its level of activity. The main objective of this research is to identify the variables that influenced the sales of creative enterprises, such as those operating in the tourism sector in Chile, amidst the COVID-19 pandemic. The methodology employed entails the estimation of two models through ordinary least squares regression, utilizing data sourced from the National Tourism Service to capture tourist arrivals in each region and from the Central Bank of Chile for Gross Domestic Product (GDP) figures. The dependent variables were defined as the sales of creative enterprises, with the number of tourists and regional GDP established as independent variables. The results reveal that GDP serves as a determining factor for the sales of creative enterprises, while a parallel influence is not discerned in the case of regional tourist numbers. In the first model, it is concluded that the sales of creative enterprises are conditioned by the Gross Domestic Product (GDP) of the regions. However, the processed data in this study does not provide evidence to support the idea that the quantity of tourists determines or directly influences the sales of creative enterprises. In the second model, a discernible influence is observed between tourists visiting the regions and the level of production in those areas. Consequently, tourists indirectly impact the sales of creative enterprises.