Why Georgia Struggles to Attract High-Spending Tourists: An Empirical Analysis of Market Readiness and Structural Barriers

Georgia offers growing opportunities for tourism development, but attracting high-spending tourists remains a significant challenge. The paper examines the barriers in the tourism sector that limit the interest of high-spending tourists and are related to human capital problems, as well as infrastructure, advertising, and financial factors. As part of the quantitative research, an analysis was conducted of 79 tourism companies, who were rated on a scale of 1 to 5 for various challenges. Tests (t-test, ANOVA, correlation, logistic model) were used to assess the intensity of the challenges and their impact on competitiveness. The results showed that the scarcity of human resources and low professionalism (especially in the high-spending segment) remain one of the main barriers. Access to finance is perceived as relatively less critical, but still does not represent a significant challenge for ensuring the sustainability of tourism. The paper identifies the necessary strategic changes, including human capital development, value-based marketing, and the integration of technological innovations (AR/VR) as a prerequisite for the development of sustainable tourism.

The paper includes a comparative statistical analysis with international benchmarks, such as Spain, Croatia, Portugal and Singapore - countries where the high-spending or hybrid tourism sector is one of the leading directions of the economy. The comparison was made based on indicators from the information of the following organizations: World Tourism Organization (UNWTO), OECD and WTTC, which show that these countries invest in human capital development, technological innovations (AR/VR experiences, digital marketing) and value-oriented business models. In the case of Georgia, a similar approach can become a key factor in competitiveness and sustainable tourism development.