Instituto de Estudios Políticos y Derecho Público "Dr. Humberto J. La Roche"
de la Facultad de Ciencias Jurídicas y Políticas de la Universidad del Zulia
Maracaibo, Venezuela
Esta publicación cientíca en formato digital es continuidad de la revista impresa
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197402ZU34
ppi 201502ZU4645
Vol.40 N° 72
Enero
Junio
2022
Recibido el 25/09/2021 Aceptado el 12/12/2021
ISSN 0798- 1406 ~ De pó si to le gal pp 198502ZU132
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de Es tu dios Po lí ti cos y De re cho Pú bli co “Dr. Hum ber to J. La Ro che” (IEPDP) de la Fa-
cul tad de Cien cias Ju rí di cas y Po lí ti cas de la Uni ver si dad del Zu lia.
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cul tad de Cien cias Ju rí di cas y Po lí ti cas. Ins ti tu to de Es tu dios Po lí ti cos y De re cho Pú bli co
“Dr. Hum ber to J. La Ro che”. Ma ra cai bo, Ve ne zue la. E- mail: cues tio nes po li ti cas@gmail.
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Vol. 40, Nº 72 (2022), 435-455
IEPDP-Facultad de Ciencias Jurídicas y Políticas - LUZ
Organizational and Economic
Mechanism of the Ukrainian State Policy
in the Tourism and Hospitality Sector:
State and Innovative Prospects
DOI: https://doi.org/10.46398/cuestpol.4072.25
Roman Oleksenko *
Nina Rybalchenko **
Yevhenii Bortnykov ***
Andriy Konoh ****
Natalia Namliieva *****
Abstract
This study is due to the existing contradiction between the
current socio-economic, institutional, and other transformations
that are taking place in Ukraine, and on the state of state policy
implementation mechanisms in the tourism sector. Solving these
problematic issues requires new approaches to the strategy formation
in this area. The research is based on conceptual, methodical, project,
institutional and historical-legal approaches, as well as a set of methods
that ensure their implementation, in particular: logical generalization,
factor analysis, synthesis and abstraction. In order to actively involve the
existing tourism resources in the state and ensure the eective functioning
of its tourism sector, it is necessary to develop a scientically based system
of programmatic and strategic measures based on common methodological
principles and cover the main directions of state policy in the tourism
development. In Ukraine, these areas are dened in the Tourism and
Resorts Development Strategy for the period up to 2026. This strategy does
not take into account the new intensions in ensuring the tourism sector
development due to a number of factors, actualized recently and related to
the emergence and spread of viral and other diseases and the like.
Keywords: public policy; organizational and economic mechanism;
tourism; hospitality; social tourism.
* Dmytro Motornyi Tavria State Agrotechnological University, Melitopol, Ukraine. ORCID ID: https://
orcid.org/0000-0002-2171-514X
** Dmytro Motornyi Tavria State Agrotechnological University, Melitopol, Ukraine. ORCID ID: https://
orcid.org/0000-0003-3358-2249
*** Zaporizhzhia National University Zaporizhzhia Oblast, Ukraine. ORCID ID: https://orcid.org/0000-
0002-9602-0019
**** Zaporizhia National University, Ukraine. ORCID ID: https://orcid.org/0000-0001-9719-0418
***** Melitopol Institute of Public and Municipal Administration of Classic Private University. ORCID ID:
https://orcid.org/0000-0003-0122-6100
436
Roman Oleksenko, Nina Rybalchenko, Yevhenii Bortnykov, Andriy Konoh y Natalia Namliieva
Organizational and Economic Mechanism of the Ukrainian State Policy in the Tourism and
Hospitality Sector: State and Innovative Prospects
Mecanismo organizativo y económico de la
política estatal de Ucrania en el sector turístico y
hospitalario:
estado y perspectivas innovadoras
Resumen
Este estudio se debe a la contradicción existente entre las actuales
transformaciones socioeconómicas e institucionales que están teniendo
lugar en Ucrania y sobre el estado de los mecanismos de implementación
de políticas estatales en el sector turístico. Resolver estas cuestiones
problemáticas requiere nuevos enfoques para la formación de estrategias
en esta área. La investigación se basa en enfoques conceptuales, metódicos,
proyectuales, institucionales e histórico-legales, así como en un conjunto
de métodos que aseguran su implementación, en particular: generalización
lógica, análisis factorial, síntesis y abstracción. Para involucrar activamente
los recursos turísticos existentes en el estado y asegurar el funcionamiento
efectivo de su sector turístico, es necesario desarrollar un sistema con base
cientíca de medidas programáticas y estratégicas basadas en principios
metodológicos comunes y cubrir las principales direcciones de la política
estatal en el desarrollo turístico. Se concluye que, en Ucrania, estas áreas
están denidas en la Estrategia de desarrollo de turismo y centros turísticos
para el período hasta 2026. Esta estrategia no tiene en cuenta las nuevas
intenciones para garantizar el desarrollo del sector turístico debido a una
serie de factores, actualizados recientemente y relacionados con la aparición
y propagación de enfermedades virales y de otro tipo y similares.
Palabras clave:
política pública; mecanismo organizativo y económico;
turismo; hostelería; turismo social.
Introduction
On 2 June 2021 the Cabinet of Ministers published a resolution (Cabinet
of Ministers Resolution, 2021) according to which, quarantine restrictions
in Ukraine are eased: amendments were made to the government decree
establishing quarantine and imposing restrictive anti-epidemic measures
in order to prevent the spread of COVID-19. In particular, as reported by
the State Agency for Tourism Development of Ukraine (SATD) , the list of
documents with which it is allowed to cross the border of Ukraine to enter
during the quarantine and avoid self-isolation was expanded. Since 16 June
2021 the all of Ukraine has moved to a «green zone» (SATD: 2021-6-16).
Now, taking into account changes adopted by the government, foreign
citizens and stateless persons (including holders of residence permits in
Ukraine) for entry into Ukraine, besides the policy ( certicates), which
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CUESTIONES POLÍTICAS
Vol. 40 Nº 72 (2022): 435-455
covers expenses for treatment with COVID-19 and is valid for the entire
period of stay in Ukraine, must have or a negative result of testing for
COVID-19 by polymerase chain reaction or express test for SARS-CoV-2
coronavirus antigen, made not more than 72 hours before crossing the
state border, or a certicate conrming the receipt of a complete COVID-19
vaccination course with vaccines included in the WHO list of vaccines
permitted for use in emergency situations, issued in English or with an
English translation. Of course, the quarantine is still in force, but even such
easing causes noticeable optimism in Ukrainian tourists and tour operators,
given the losses incurred by the tourism industry because of the quarantine.
As we know, 96% of the tourist destinations were aected by the
pandemic; according to various sources, in 2020 there was a 58-78%
drop in international tourist revenues compared to the previous year; the
number of international trips in the world was reduced by 85% compared
to 2019 and by 65% compared to 2020. The nancial consequences of
the COVID-19 coronavirus pandemic have also been catastrophic. Along
with tourism and transportation, agriculture, mining, and other industry
sectors were aected. The economic crisis caused problems in the nancial
sector: risks of credit default increased, pressure on the insurance market
intensied, and panic in the commodity and value markets (Nusratullin et
al., 2021). However, even minor easing of the quarantine regime helps to
improve the situation. In particular, for the rst half of 2021 the amount of
tourist tax to local budgets of Ukraine was 69 453.4 thousand UAH.
For comparison: at the same time of previous years these amounts
were 57 914.7 thousand UAH. (2019) and 68,564.4.9 thousand UAH.
(2020) (SATD: 2021-7-13). According to the UNWTO Travel Barometer,
international mobility increased by 12% in May of this year (SATD: 2021-7-
23). Under such conditions, there is a clear need to rethink public tourism
and hospitality policies to mitigate the Covid-19 eects. However, recent
studies on public tourism policies at the global level and comparative public
policies for alternative solutions in post-pandemic scenarios show that
the place and space occupied by public tourism policies in major tourism
magazines are scarce and are not considered as a tool to manage the sector;
there is a lack of clarity at the methodology level and a shortage of public
policy proposals that were implemented in crisis situations (Apaza-Panca
et al., 2020).
1. Objectives
That is why the aim of the work is a scientic-theoretical justication and
development of practical recommendations to improve the eectiveness of
the organizational and economic mechanism of the Ukrainian state policy
of tourism in the context of overcoming the Covid-19 eects.
438
Roman Oleksenko, Nina Rybalchenko, Yevhenii Bortnykov, Andriy Konoh y Natalia Namliieva
Organizational and Economic Mechanism of the Ukrainian State Policy in the Tourism and
Hospitality Sector: State and Innovative Prospects
2. Methods
The methodological basis of the work is a set of scientic cognition
methods and general scientic research principles, based on the
fundamental provisions and works of scientists on the state regulation
of the tourist sphere and public administration. The study is built on the
conceptual, methodological, design, institutional and historical-legal
approaches, as well as a set of methods ensuring their implementation, in
particular: logical generalization, factor analysis, synthesis and abstraction
(to study tourism and hospitality as an object of public administration
and to reveal the content of public policy mechanisms of this sphere);
theorizing and historical formalization (to determine the components of a
comprehensive mechanism of state tourism policy, as well as the genesis of
its mechanisms formation in Ukraine); grouping, modeling and forecasting
(to substantiate scientic foundations and approaches to the development
of the organizational and economic mechanism of state tourism policy in
Ukraine). Informational and factual basis of the study are laws of Ukraine,
decrees of the President of Ukraine, regulations of the Cabinet of Ministers
of Ukraine, analytical materials of the Ministry of Culture and Information
Policy of Ukraine, statistical information of the State Statistics Service of
Ukraine and the State Agency for Tourism Development and the like.
3. Results and discussion
3.1. Organizational and economic tools in the State Tourism
Policy of Ukraine
Our state is characterized by specic features of the tourist potential.
These include the absence of any signicant spatial gaps between the
territories with this potential, recreational orientation of the latter, the
natural resources availability, allowing to engage in tourism of dierent
complexity, as well as the proportion of historical and cultural monuments,
recognized by the world heritage of UNESCO, and the like. The tourism
sector is one of the most promising for the socio-economic development
of countries (and under certain conditions can be on a par with the IT
sector). It provides for a balanced use of natural and historical and cultural
recreational resources, as well as signicant prots by the subjects of the
tourist market and state institutions from entrepreneurial activity, cultural
traditions preservation, etc. Taking this into account, the further tourism
development trends are connected with the increase of investments,
balanced state support, standardization and the like.
Directions of tourist sphere development are determined by the factors
of both exogenous and endogenous nature, formed under the inuence
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of the requirements of time and society. Determination of these factors
gives reason to argue that the public policy implementation should take
into account the tendency development of environmental, social, medical,
therapeutic-recreational, and other tourist markets and e-tourism
(e-tourism). In this context, the elements of the tourism public policy system
require justication, such as: subjects and objects of public administration,
its principles, functions, means and tools.
Tourism public policy system is set in motion by appropriate
mechanisms, implemented by a number of state actors, among which
are identied state and non-state institutions. The term «mechanism» is
commonly interpreted as a system of measures and tools that determine
the sequence of performing any type of activity. The mechanism of tourism
and hospitality management, therefore, should be understood as a set of
legal, organizational, economic, technological, socio-psychological, and
other production means of tourist services with their inherent forms and
methods of inuence, which are subordinate to the realization of set goals.
In general, in the scientic literature, discussions are mainly around
the denition of public administration mechanisms in this sphere;
in particular, it refers to the organizational and economic, economic,
managerial, environmental and economic, nancial, organizational and
managerial, legal, organizational, and others. However, the fragmentation
and inconsistency in the approaches of scientists about the categorical
apparatus in the state regulation sphere (Bliznyuk, 2018) still remains a
serious problem.
The determining place among the applied tools of inuence (legal,
institutional, economic, informational, analytical, communicative, resource,
etc.) takes, in our opinion, the organizational toolkit, because it provides the
complexity of formation and implementation of all functioning elements
of tourism public policy system, establishing and supporting forward and
backward connections between internal and external environment. These
tools form the basis of those state policy mechanisms of tourist sphere, -
organizational and legal, organizational and institutional , organizational
and economic, - which should be qualied as the dening mechanisms.
At the same time, their combinatorial functioning leads to the allocation
of a complex state policy mechanism of the tourist sphere. In its framework
are dened as means of tourist public policy of the leisure tourism sphere,
as well as the means of inuence.The rst group of state policy means in the
mentioned sphere includes: tourist activity licensing; permissive activity
on tourist support; certication and standardization in the tourist activity
sphere; determination of tourist infrastructure objects categorization, etc.
To the second (means of state inuence) include: control of activities in the
eld of tourism; establishment of responsibility for violation of legislation
of Ukraine in the tourism sector and the like.
440
Roman Oleksenko, Nina Rybalchenko, Yevhenii Bortnykov, Andriy Konoh y Natalia Namliieva
Organizational and Economic Mechanism of the Ukrainian State Policy in the Tourism and
Hospitality Sector: State and Innovative Prospects
The Law of Ukraine « About Tourism» enshrines the most important
legal provisions concerning the place and role of tourism in the state, the
principles of state regulation of tourism, the main objectives, priority areas
and ways (means) of implementing state policy in the tourism sector (Law
of Ukraine, 1995: Art. 6-12). Among the organizational and legal means of
state policy in the tourism sector in Ukraine there are two groups. To the rst
(means of permissive nature) include: licensing of tourist activity; permits
for tourist support; certication and standardization in the tourism activity
sphere; categorization of tourist infrastructure facilities. To the second
(means of an inuential nature) include: control of activities in the tourism
sector; responsibility for violations of Ukrainian legislation on tourism. The
mentioned organizational and legal means of tourism state policy can also
be considered as means of legal support for tourism applied by executive
authorities, the purpose of which is to develop and implement legal norms
aimed at increasing guarantees and eciency of protection of rights and
legitimate interests of consumers of tourist product, solving issues related
to satisfaction of travellers’ interests (tourists) and development eciency
of the whole tourist sphere as a whole (Leonenko, 2019).
The rst group of organizational and legal means of regulation in the
tourism sector can be complemented by state registration of business
entities in the tourism sector. The main organizational and legal means
to ensure entrepreneurship in the tourism sector of Ukraine are state
registration of business entities, licensing, standardization, certication,
state control, bringing violators to administrative responsibility. And
although in general Ukrainian society is set on the development of
democratic foundations, decentralization of power, implementation of
the European public administration model, etc., but still have to state the
unbalanced structure of state regulation of tourism, its ineciency and
inconsistency with modern challenges, causes:
... chaotic decisions that negatively aect the development of domestic
tourism: cancellation of licensing of travel agency activities, delay in improving
the provisions of the Law of Ukraine «About Tourism», the presence of signicant
regulatory barriers regarding the carrying out of tourism activities, the lack of state
policy to support priority inbound and domestic tourism, as well as the lack of a
mechanism for the enforcement of legislative acts in the tourism eld and control
by state authorities over their implementation (Opanasiuk and Ohrimenko, 2018:
17).
Taking into account the imperfect functioning of the organizational and
legal mechanism of the state policy of Ukraine, we consider it appropriate
to emphasize the following directions to improve its means: 1) to license
not the type of enterprise (tour operator and travel agent), but the type
of entrepreneurial activity in tourism; 2) to increase the importance of
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standardization as one of the means of tourism public policy by developing
common standards for the tourist product; 3) to introduce an alternative
system of the cancelled mandatory certication of tourist services; 4)
to solve a number of problematic issues of state control in the tourism
sector and others. It should be noted that some progress has already been
scheduled, in particular the draft law on amendments to the Law of Ukraine
«On Tourism» and some other legislative acts on the basic principles of
tourism development (Draft Law, 2020), submitted to the Parliament of
Ukraine.
But according to the Conclusion of the Committee on Ukraine’s
Integration into the European Union of 14.04.2021. (Ib), this Draft Law
requires substantial revision, in particular with regard to the provisions
of the Directive 2015/2302/EU and some other remarks. As for the public
discussion of the Draft, the State Agency for Tourism Development of
Ukraine together with the Tourism Subcommittee of the Committee
on Humanitarian and Information Policy during the 7 months since the
publication of the Draft collected suggestions and the public and published
the collected amendments received through the online form in the
comparative table posted on the ocial DART website (SATD: 2021-05-
07). So the discussion continues.
The organizational-institutional mechanism of tourism and hospitality
management is also among the determinants, because through this
subsystem the main managerial decisions determining the level of industry
development are implemented and the state policy is formed (Blizniuk,
2019). In the historical context to the independence of Ukraine, the state
policy of the tourism sphere was carried out by the Main Department for
Foreign Tourism under the Council of Ministers of the USSR and was
marked by excessive ideological orientation. During the formation of
Ukraine’s independence, a number of measures, in particular, the State
Committee on Tourism (CMU Decree, 1993). The processes of transition
to a market economy were complex and took place in the context of the
collapse of the USSR and the formation of the independent state of
Ukraine. One of the most important events of this period can be considered
the adoption and enactment in 1995. The Law of Ukraine «On Tourism»
(Law of Ukraine, 1995), which, in particular the rst time was provided for
licensing of tourist activity.
The improvement of the legislation on tourism began, but it was largely
a change in the organizational structure of the state apparatus - the central
executive authority dealing with tourism also had an unfavorable impact
on its development. Thus, in 2001 was established the State Department
of Tourism under the Ministry of Ukraine for Family, Youth and Sports
(CMU Resolution, 2001) in 2005 the State Service of Tourism and Resorts
under the Ministry of Culture and Tourism (CMU Resolution, 2006) in
442
Roman Oleksenko, Nina Rybalchenko, Yevhenii Bortnykov, Andriy Konoh y Natalia Namliieva
Organizational and Economic Mechanism of the Ukrainian State Policy in the Tourism and
Hospitality Sector: State and Innovative Prospects
2011. - State Agency of Ukraine for Tourism and Resorts under the Ministry
of Infrastructure of Ukraine (Decree of the President of Ukraine, 2011) in
2016 - Department of Tourism and Resorts under the Ministry of Economic
Development and Trade of Ukraine (Order of MEDT, 2016).
On December 4, 2019 the State Agency for Tourism Development of
Ukraine became the central body of executive power, which implements
the state policy in the sphere of tourism, the activity of which is directed
and coordinated by the Cabinet of Ministers of Ukraine. On December
24, 2019 the Cabinet of Ministers of Ukraine approved a resolution on the
activities of the DART (CMU Resolution, 2019), which also regulates its
powers and scope of competence. In particular, this document denes the
status of hotels, catering establishments and resort facilities as objects of
tourist infrastructure (Regulation, 2019). At the end of 2020 the Regulation
on the State Agency for Tourism Development of Ukraine made important
additions (CMU Resolution, 2020) concerning the sphere of hospitality:
DART in accordance with the tasks entrusted to it ... develops and submits
in the prescribed manner to the Minister of Culture and Information Policy
proposals on ... regulations on the commission for establishing categories for
hotels and other facilities designed to provide temporary accommodation
(accommodation) services, and regulations on the appeals commission; the form
of the certicate of establishment of a hotel or other facility designed to provide
temporary accommodation (accommodation) services, the appropriate category
(Regulations, 2019: 56).
Of course, these formulations do not provide the proper clarity of the
organizational-institutional mechanism of the state policy of Ukraine
regarding the sphere of hospitality, but brings some clarity about its place
in the tourism sphere.
There are several state inuence models on the tourism sphere in the
world practice, and one cannot speak about universality or at least optimality.
But it should be noted that the state inuence on the tourism sector in
Ukraine has a number of things in common with the world models: the
denition of tourism as an important sector of the economy, the formation
and implementation of state policy in this area, the regulation of relations
in tourism at the legislative level, the existence of a central executive body
dealing with tourism, the application of certain legal means of ensuring the
tourism sector. The main task for Ukraine in the issue of the eectiveness
of organizational and institutional provision of tourism development at the
local level is to solve the problems of overlapping responsibilities of the
central and local executive authorities, as well as local state administrations
and local governments (Bliznyuk, 2019). This should take into account the
decentralization reform of power in Ukraine.
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In addition to the already mentioned basic state policy mechanisms
of Ukraine in the tourism and hospitality - organizational and legal and
organizational and institutional - to the basic refers the organizational and
economic mechanism, because «... tourism is part of the economic system;
it plays an important role in the economy through the multiplier eect
(promotion of other economic activity)» (Trebicka, 2016: 17) and refers
to the factors that determine the rate of economic growth in the country
(Mazaraki et al., 2019). Ukraine has proclaimed tourism as one of the
priority areas of economic and cultural development (Law of Ukraine, 1995:
Art. 6). In this way, the content of the state’s activities to regulate tourism
is legally dened.
Therefore, the denition of organizational and economic mechanism
indicators of state policy of Ukrainian tourism sector, based on the new
conceptual foundations of economic and social forecasting, allow to form
the development directions of the Ukrainian national tourist system and the
regional tourism industry. In contrast to existing, developed organizational
methods and indicators to improve the eectiveness of the regional tourism
industry, make it possible to establish the main ways of implementation of
the tourist product to ensure the most rational options for eective activities
of inbound and domestic tourism.
In particular, A. Okhrimenko (Okhrimenko, 2017), studying the
Ukrainian national tourist system (NTS) as an economic system, notes
that this image is a prerequisite for the formation of strategic vectors of
development. Determining the transformational factors that aect the NTS
and fundamentally change the scale, components and proportions between
external and internal aspects of its development, the researcher proves that
the mentioned processes objectively stimulate the national tourist system
modernization and application of innovative management methods. In
particular, we are talking about such strategic vectors of transformational
shifts in the NTS, as security of tourists and investors, regulatory framework
of NTS development, development of infrastructure and human resources,
marketing policy of NTS promotion, environmental and cultural policy -
their implementation is able to improve the eciency and competitiveness
of NTS and the national economy (Okhrimenko, 2017).
It is obvious that improving the indicators system of organizational
and economic mechanism of the state policy of Ukrainian tourism sphere
will contribute to optimization of the national tourist system as a whole,
rationalization of the use of existing regional tourist resources of Ukraine,
assessment the impact of management decisions made on the regional
tourism industry development and speedy overcoming the pandemic
Covid-19 in the tourism and hospitality industry.
444
Roman Oleksenko, Nina Rybalchenko, Yevhenii Bortnykov, Andriy Konoh y Natalia Namliieva
Organizational and Economic Mechanism of the Ukrainian State Policy in the Tourism and
Hospitality Sector: State and Innovative Prospects
Fig. 1. Scheme of formation of the organizational-economic
mechanism of the state policy of tourist sphere
(Own creation).
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3.2.Innovative perspectives of the organizational and economic
mechanism of public policy: the social aspect
Despite the change in the management functions’ priorities in the
tourism sphere towards activation of the public component and providing
a set of tourist services, it is advisable to highlight the key models of public
tourism policy, in particular socially-oriented tourism. Social tourism is
traveling and recreation for socially vulnerable groups of population in
order to restore their performance, physical and moral strength. It is fully or
partially carried out at the expense of budgetary funds, state extrabudgetary
funds (in particular, funds allocated under the State Social Assistance),
as well as employers’ funds. That is why any type of tourism (cognitive,
resort, ecological, rural, etc.), which expenses are fully or partially paid
from nancial sources intended for social needs, can be considered social
(Krapivina et al., 2018).
It is based on three basic principles: providing rest and recreation
for each member of society by attracting people with low incomes to
tourism environment; subsidizing tourism trips of low-income citizens;
participation of state and public structures in tourism development. The
Manila Declaration on World Tourism (1980) points out that social tourism
is a goal to which society should aspire for the benet of less wealthy citizens.
But despite the universality of recognition, wide dissemination and already
quite a long history, about the unity in understanding of the social tourism
nature and organizational and economic mechanisms of its implementation
is still not said, which explains the variability of goals, objectives and tasks
under the inuence of variable social challenges.
To summarize, in the historical context we can talk about the development
of the idea from the desire to attract to the tourist practices «... poor or
disadvantaged elements of society» (Hunzike, 1957: 53) to engaging tourism
in a social practice system aimed at ensuring greater justice, tolerance, and
life satisfaction for all people (Haulot, 1982). The Montreal Declaration
«Towards a Humane and Social Vision of Tourism» (1996) notes that social
tourism should ensure the availability of tourist recreation for all, including
families, young people and the elderly. Additionally, it is worth noting the
moral nature of social tourism (Minnaert et al., 2007).
The special importance of the social tourism development is not for
the rst time - the need for its support from the state has been repeatedly
emphasized, based on the provisions of the Constitution of Ukraine about
the social state, whose policy is aimed at creating conditions that provide
a dignied life for the people and ensure free personal development, as
well as considering the general trends of European social policy - rejection
of rational and pragmatic thinking and appeal to the «mass» person
(Bortnikov et al., 2021b).
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Hospitality Sector: State and Innovative Prospects
The central notion of the new approach to social structure has become
social integration, the goal of which is to create a «society for all,» in which
each individual, with his rights and responsibilities, plays an active role.
The gradual increase in attention to the individual’s interests as an object
of national policy in various spheres culminated in the adoption of the UN
Copenhagen Declaration on Social Development (1995), which proclaimed
the care for people as the main condition for sustainable development, one
of the most important goals of European social policy (Oleksenko et al.,
2017). Therefore, tourism, primarily domestic tourism, should be accessible
to all segments of the population.
The adoption of a special legislative act on social tourism, which should
create real guarantees for people (primarily vulnerable segments of the
population) to realize their right to tourism (Opanasiuk and Ohrimenko,
2018) can help to establish the social tourism priority. Moreover, in the
current conditions characterized by the economic system imbalance, new
risks have also emerged: the objective impossibility of implementing state
support for the tourist infrastructure functioning, as well as the decrease in
demand (due to the population’ real income reduction) (Zakharin, 2019).
Unfortunately, we have to admit that the legal status of social tourism
in Ukraine has not yet been dened. But the leveling of social tourism as
a factor in the development of Ukrainian society causes many negative
social consequences. First of all, it is about the growth of social tension
in the society, because the growth of incomes of the population «does not
keep up» not only with the growth of tourism services, but also with the
growth of other components of the standard of living of the population.
As a consequence, people’s need for recreation is the least satised as the
main range of social needs. Potential clients of social forms of tourism are
about 80% of the population, which, however, practices amateur ways of
recreation (Krapivina et al., 2018).
According to a survey of the demand for tourist products of dierent
social and age groups in Ukraine, as well as the sentiment of the tourist
dynamics in Ukraine, conducted by DART, the most popular type of
recreation among Ukrainians is the beach (29.8%) (SATD: 2021-05-31).
Meanwhile, dissatisfaction with the need for recreation deepens, if not
causes, other problems: the preservation and prevention of health, vitality,
healthy leisure, satisfaction of educational and cultural needs and the like.
Therefore, to coordinate the eorts to form a holistic and systemic
tourism policy in the conditions of socialization of the economy, it is
necessary to develop a social doctrine of tourism (Suppression et al.,
2020) The process of developing such a doctrine should involve a detailed
scientic analysis of the socio-economic situation, objective assessment of
previous experience in all areas of social life, study of external and internal
factors inuencing the course of social processes, analysis and borrowing
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of leading trends in world development with their subsequent adaptation
(Suppression et al., 2020)
Note that the Law of Ukraine «On Tourism» does not even mention
social tourism. Only in the Strategy for Development of Tourism and
Resorts 2008 the task is «... To develop a mechanism of state support for
the introduction of social tourist product» (Strategy, 2008). In the Strategy
for the Development of Tourism and Resorts for the period up to 2026
(Strategy, 2017) in the section of strategic planning for the development of
types of tourism based on their clear classication and prioritization at the
state and regional level, social tourism is not mentioned again. However, the
section of the Strategy «Development of tourism infrastructure» refers to
«... ensuring the accessibility of tourist infrastructure facilities for persons
with disabilities and other immobile population groups» (Strategy, 2017).
Given the goals for 2020-2022, dened by the Ministry of Social Policy,
can solve tourism, these are: creating a favorable environment for people
with disabilities; ensuring the protection of children’s rights and support for
families with children; social support for families in dicult circumstances
and other categories of people; creating conditions for decent old age
citizens (Order MSPU, 2020) and others.
The priority directions of social tourism development in Ukraine should
include rst of all health-improving and medical tourism as the most socially
signicant. The proper functioning of health and medical tourism depends
on a number of external and internal factors, namely globalization; the level
of socio-economic development of Ukraine; its image in the international
arena, the investment climate, as well as the state of digitalization,
bureaucratization and corruption of public policy and the like.
In order to reduce the negative impact of these factors it is recommended
to establish a rule in the Law of Ukraine « About Tourism « (Law of
Ukraine, 1995) norm about the implementation of strategic planning
(medium and long-term), as well as the actualization of measures to ensure
the development of health and medical tourism. Among the undeniable
advantages of these tourism types are dened as follows:
• The social importance and relevance of medical and health tourism
in the modern industrial relations system.
• The active development of the medical and health tourism sphere
in the great majority of countries in the world due to the recent
increase in the occurrence and spread of viral diseases.
• Availability of infrastructure facilities, especially in the medical and
health tourism sphere, have a long history and their own established
brand.
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Roman Oleksenko, Nina Rybalchenko, Yevhenii Bortnykov, Andriy Konoh y Natalia Namliieva
Organizational and Economic Mechanism of the Ukrainian State Policy in the Tourism and
Hospitality Sector: State and Innovative Prospects
• Availability of highly qualied personnel in the social welfare, health
care services, non-traditional medicine and balneology, which can
be involved in the implementation of medical and therapeutic and
recreational tours.
• Availability of training and production and scientic and practical
base for the development of practice-oriented bases of recreation
and medical tourism.
• Use the achievements of the digital economy to improve the
eciency and service quality in the implementation of health and
medical tours
• Additional opportunity to develop exports of medical and health
tourism to European countries and the like.
• In order to reduce the negative impact on the domestic tourism
market it is necessary to focus on such promising areas of joint
institutional activities in the eld of tourism promotion in Ukraine
and the CIS countries in terms of macro-level public policy:
• Improvement and unication of regulatory and legal support for the
tourism functioning;
• Holding major joint international events aimed at promoting and
popularizing tourism.
• Joint development of service exports and the statistical recording
and analysis system of tourist ows.
• Promotion of interregional tourism projects in the Ukrainian border
area, using the resource base and tourist infrastructure, in particular
in health and medical areas;
• The possibility to obtain unied entry electronic visas for citizens of
other states to visit the tourism facilities.
Meanwhile, certain subsidies for recuperation of children, rehabilitation
of the military, persons with special social needs, etc. still remain more the
exception than the rule. (Felenchak 2019: 120). Therefore, the successful
functioning of the organizational and economic mechanism of the state
policy of the tourist sphere of Ukraine should provide for improvement of
the eciency of functioning of organizations of medical and therapeutic
and health tourism, i.e. the micro level of the tourist market.
On this basis, there is an obvious need for appropriate public policy,
which should take into account current global trends, as well as opportunities
for digitalization and the introduction of innovative technologies (DART
2021-05-24). In addition, there is a need to improve domestic legislation,
taking into account the provisions of the CIS modular legislation in the
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eld of tourism. This is intended to ensure the formation of a unied legal
framework for the process of organization and management of the sphere
of tourism.
One of the most promising forms of ensuring sustainable competitive
advantages in the sphere of medical and therapeutic and health tourism
is the use of opportunities for formation of cluster structures in order to
strengthen the market position of relevant services while increasing the
share of an economic entity in various segments of consumers.
As dened by Michael Porter, a classical economic theorist, «...clusters
are geographically concentrated groups of interrelated companies,
specialized suppliers, service providers, rms in related industries, and
related organizations (such as universities, standards agencies, and trade
associations) in certain elds, competing with one another, but conducting
joint activities (Porter 1993: 256). Cluster formation occurs naturally, but
the process of accelerating its development requires a deliberate eort.
Namely, the launch and development of a cluster initiative. Despite the fact
that the cluster as a whole is not only a spatial formation, the territorial
component proper in this case in terms of tourism development priority is
the most important (Suppression et al., 2020)
A tourism cluster is an integrated structure uniting a number of
territorially and/or functionally interrelated organizations whose activities
are aimed at design, provision, promotion and quality control of health
and medical services in the tourist market based on eorts coordination
for eective use of resource potential and consideration of permanent
consumer demand monitoring. The main purpose of the cluster is to increase
the eectiveness of services in the medical and health tourism on the basis
of achieving a synergistic eect from the conduct of joint commercial
activities.Therefore, the essence of the cluster approach as a relatively new
management technology is that it allows increasing the competitiveness of
a particular region and/or industry (Oleksenko et al., 2021; Rybalchenko et
al., 2021).
That is, by applying the cluster approach, we increase the eciency
of functioning and competitiveness of regional enterprises ( because
the cluster is geographically limited) by coordinating and uniting eorts
(including promotion of a predetermined joint product, in our case tourist
product) not only the direct product producers, but also the auxiliary
enterprises indirectly connected with the nal product production of the
cluster. In addition, there is also an increase in the enterprise eciency
through the introduction of innovative approaches and new, knowledge-
intensive technologies (Yavorsky, 2015).
It is worth mentioning that in the mass consciousness of Ukrainians
there is a widespread belief that the state should allocate funds for
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Organizational and Economic Mechanism of the Ukrainian State Policy in the Tourism and
Hospitality Sector: State and Innovative Prospects
the development of social tourism.This is probably an echo of social
consciousness of the previous era, when all kinds of tourism had a social
character. This desire to shift social tourism nancing entirely on the
shoulders of the state is erroneous. And it is not just a question of having
or not having funds in the budget, but of «... such budget expenditures are
almost unnecessary» (Kolotukha 2009: 126).
All over the world it is self-nancing, and also considerably replenishes
the state treasury: mass social tourism outweighs its cheapness by the
total inow and quick turnover of living money, increases employment,
investments in tourism directly on the spot, and at the same time tax
revenues (Kolotukha, 2009). The world experience of social tourism
organization shows a variety of nancial support (loans with low interest
rates, subsidies, tax benets, etc.), active social organizations participation
(charity organizations, pension funds, trade unions, etc.), the use of social
advances that raise the living standards and health service standards. On
the other hand, tour operators are interested in a exible discount system
for people with low incomes. Low cost makes recreation available to the
general public, and this signicantly increases demand, brings income to
tourism enterprises and allows to sell at a discount trips that did not nd a
buyer for the full price.
In most countries of the world direct nancing by the state of social
tourism is not provided. Let us remind that the Hague Declaration on
Tourism (1989) states that the State cannot spend on tourism more than it
expects to receive from it. But the sources of funding and material support
for social tourism, except for budgetary funds, may be the funds received
as a result of tourist and other activities of social tourism institutions,
payments in the form of social tourist rents, voluntary contributions of legal
and physical persons, including foreign ones to support social tourism.
However, Ukraine has not developed a regulatory document that would
dene a mechanism for obtaining social payments from the budgetary
funds for social needs from the state authorities under the law. There is also
no specic denition of who of the tourists, for which of their travels, where
and when can receive nancial support from the state for these purposes.
Thus, the central problem of social tourism is to nd its funding sources,
and if there are any such available, the bona de nancial distribution
system among low-income categories of persons who, according to one or
another criteria, are preferentially entitled to benets in it (Krapivina et al.,
2018).
Therefore, it is obvious that the priority for Ukraine and socially-
oriented domestic tourism needs support from the state. It is appropriate
to emphasize that the latest realities of the global tourism space related to
the quarantine measures caused by COVID-19 became a serious reason and
no less serious opportunity «... to put your own house in order, turning your
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eyes to internal problems, to make attempts to restore social, economic and
psychological stability» (Bortnikov et al., 2021a: 613), stimulating renewed
eorts to develop domestic tourism in Ukraine, as evidenced in particular
by the appearance of numerous regional tourism development strategies.
Tourism priorities have also changed: according to DART, the survey results
of tourist products demand of dierent social and age groups in Ukraine, as
well as the mood of the tourist dynamics in Ukraine showed that more than
half of the respondents (53.1%) are planning to spend the current vacation
in Ukraine, and only every tenth - to go abroad.
Now the legislators together with DART are working on amendments to
the Law « About tourism « in the second reading, which will be a new impetus
for the development of the industry. In particular, this will contribute to the
introduction of transparent rules for the operation of tourism entities and
unied consolidated statistics (SATD: 2021-05-31).
Conclusions
The state inuence on the tourism sphere in Ukraine has a number of
common with the world regulation of this sphere, such as: the tourism
denition as an important branch of the economy; relations regulation
in the tourism sphere at the legislative level; the existence of the central
executive body dealing with tourism; application of legal, organizational,
informational and other means of providing the tourism sphere. At the
same time, the extent of their use abroad and in Ukraine is dierent, and
hence the results of the development of the tourist sphere.
Improving the effectiveness in the implementation of the
organizational and economic mechanism of the Ukrainian tourism state
policy involves taking into account the requirements of the time, in
particular the ubiquity implementation of digitalization and innovative
technologies. In this context, the need for the e-tourism development in
Ukraine, which specific implementation features are recommended to
enshrine in the current legislation about tourism.
In addition, considering the needs of society due to the wide spread
of viral and other diseases, substantiated the importance of the cluster
structures development, aimed at providing high-quality services in
the field of medical, therapeutic and other socially-oriented tourism
in Ukraine. Given this prescribed improvement of the Tourism and
Resorts Development Strategy in Ukraine (for the period up to 2026)
by updating the priorities and public policy measures, should provide
for the active implementation of tourism clusters as appropriate
organizational and economic tools.
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Organizational and Economic Mechanism of the Ukrainian State Policy in the Tourism and
Hospitality Sector: State and Innovative Prospects
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