Croatia, the state of coastal sea country. Croatia is located between cardinal and eastern Europe. The state is surrounded by 56,542 of land country and 31,067 of coastal sea country. Zagreb is the capital of Croatia. The state experiences a mixture of climatic conditions. Its land is diverse, fields, lakes, hills, bouldery coastlines and wooded mountains. Towards the North it is Continental, along the seashore it is Mediterranean. Central part experiences both upland and semi-highland climatic conditions. The gateway of Eastern Europe is Croatia. It portions the boundary line with Bosnia, Hungary, Serbia, Herzegovina, Montenegro and Slovenia and lies along the east seashore of the Adriatic Sea. The state swings around like a bounciness back from the Pannonia Plains of Slavonia between the Sava, Drava and Danube Rivers, across hilly, cardinal Croatia to the Istrian Peninsula so thought the south side by Dalmatia along the bouldery Adriatic seashore.

Tourism in Croatia is chiefly concentrated in the coastal countries. Crikvenica is located in the Kvarner bay, which is the Croatian portion of Adriatic Sea know as Hrvatsko primorje ( the Croatian Littoral. It is covered by an country of 30km square onshore and 28km off shore in the Waterss of Vinodol channel. ( Urbanistica d.o.o. Zagreb, 2006 ) .

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The state has twenty counties added with the metropolis of Zagreb. There are around 1185 islands in the Adriatic Sea are under the control of Croatia. Among those 67 of them are inhabited. The history says Croats are the Slavic people who migrated from Ukraine and settled in Croatia during the sixth century. During the twelvemonth 1868, while staying in the Magyar power Croatia gained domestic liberty. During the World War I and the failure of the Austro Hungarian Empire, Croatia joined the land of Serbs, Croats and Slovenes. In the twelvemonth 1929 the land of Serbs, Croats and Slovenes became Yugoslavia. After the World War II, under the communist leading of Marshall Tito Yugoslavia changed its name and became a new province Federal Socialist Republic of Yugoslavia and Unite Croatia. The Yugoslav federation began to loosen after the decease of Marshal Tito and with the autumn of communism all over Eastern Europe. Since World War II in 1990, Croatia held its first multi party elections. For a long period Franjo Tudjman patriot of Croatia was elected as President after a twelvemonth subsequently Croatians got independency from Yugoslavia.

The economic system of Croatia turned the corner in the twelvemonth 2000 as touristry rebounded. In the twelvemonth 2002 the economic system expanded by 5.6 % , moved by a recognition addition by a freshly privatized and foreign capitalized Bankss, capital investing particularly route building, continued by the growing in touristry followed by little and average private endeavors. It has a growing in fueling, strong demand in building and services with a rejoinder of 4.8 % GDP growing in the twelvemonth 2006. (, 2010 )

Analysis of the touristry system that supports this finish:

After the survey of the impacts and issues of touristry industries in Crikvenica, this portion assesses the selected economic, regulative and institutional policy ( Taylor et al, 2003 ) . The tourer eco revenue enhancement does non be in Croatia, since 1995 all guest are asked to pay tourer revenue enhancement when booking their adjustment. The effects of an eco-tax is depend on the snap of demand and collected to supply a higher quality of touristry merchandises in the long term ( Ivana Logar, 2010 ) . Harmonizing to ( Strucka, 2000 ) monetary value addition will non counterbalance the loss caused by less figure of tourers. But an eco-tax could better the environmental quality of Crikvenica, which will in bend improve the image of the finish. Differential eco-tax in different periods of the twelvemonth will cut down the seasonality programs. User fees are paid by the party utilizing resources and services ( Panayotou, 1994 ) . This fee is been collected in Crikvenica several decennaries before in a signifier of entry fee to the town ‘s chief beach. All beaches are public belongings in Croatia at the same clip there are some grants granted. Several beaches in Crikvenica have been given grant including the chief beach at the same clip the merely 1 where a user fee is being levied. This improves the quality of the beach and the services provided.

They besides stated that denseness at this beach is non lower than on the other 1s where no user fee is charged. This has been proved in a survey on tourer transporting capacity in Crikvenica, ( Caric? et al. , 2007 ) . As a consequence the user fee is uneffective in cut downing beach impregnation. In order to bring forth a major inducement consequence the fees are largely set excessively low ( Povh, 2000 ) . To promote alteration either by increasing or cut downing the monetary values of peculiar goods or services fiscal inducements are designed. Through cut downing import duties, take downing revenue enhancements would better the quality of adjustment installations. Lowering revenue enhancement loads would cut down the figure of illegal private adjustment. Tax addition to 2nd places and increase in bulding license costs would be utile to cut down the building activities ( Ivana Logar, 2010 )

Micro environment:

Croatia has a strong traditional orientation towards mass touristry. Croatia attracts bulk of the tourer during the clip of extremum season. Among the tourer there are several million foreign travelers in those 75 % of them are nightlong corsets in Croatia that excessively particularly in the month of June and August which is the summer season. In the twelvemonth of March 2008 Croatia hits the record of foreign tourer reachings of about 160,000 which grows to 2.7mn during the month of August. During the recent old ages Croatia concentration moved off from aggregate touristry to more sophisticated travelers. Croatia attempts to repair a new manner and modernize its substructure. This step is followed for the necessity of the state. Croatia has become a more expensive topographic point to see for the international tourers, and slightly a attempt to procure a higher market value sector and to distribute the gross generated by touristry more equally throughout the twelvemonth. As a portion of this scheme Croatia is concentrating to advance the cultural facets of the state and it is besides gaining international acknowledgment as a successful conference touristry Centre.

During October 2005, same like all other states the governments confirmed the eruption of the H5N1 virus which is the bird grippe in Croatia. The harm was found in eastern Croatia. The virus had killed a really few in Asia but none has been diagnosed with it in Croatia. The authorities reacted really rapidly for the eruption through following a program where a they started fixing for a national grippe pandemic – an duty of every World Health Organisation ( WHO ) member province. If the eruption was heavy it would hold been a serious menace to the touristry industry.

As per the study of January 2010, the foreign travelers figures goes down by 24 % twelvemonth on twelvemonth and the domestic travelers Numberss declined by 14 % twelvemonth on twelvemonth. When it is compared with January 2009, the combination of both foreign and domestic travelers declined to 19 % . By the terminal of 2010 the outlook of the foreign tourer reachings is a positive growing of 3 % twelvemonth on twelvemonth up from 1 % growing in our last study. With related to this prognosis there will be a little economic recovery in major foreign beginning markets with the eurozone somewhat lifting from recession in 2010 and growing probably to increase up to 1.8 % in 2011. During the twelvemonth 2009, despite of the eurozone recession the figure of foreign travelers from major markets like Germany and Italy was sensible. Croatia is anticipating to go an EU member in 2012-2013 and this should be a major advantage for the touristry sector. Croatia has besides has programs to go on diversifying its tourer beginning markets. It was discussed by the Croatian national Tourist Board to get down an office in Tokyo, which will besides take attention of other markets in Asia like as India and China. The programs about variegation should work good and should assist recovering the growing lost because of less foreign travelers reachings from some major beginning markets over the following few old ages.

Croatia has made some structural alterations in the touristry sector in order to upgrade the touristry sector and acquire the benefits. They found some new scheme like conference touristry and medical touristry. Medical touristry includes surgery, decorative surgery and dental medicine which is spread outing the concern globally and rural side touristry such as ethnoeco small towns. The position point besides concentrates to better the adjustment sector. The growing on the adjustment sector is of 8 % twelvemonth on twelvemonth during the twelvemonth 2005. During the twelvemonth 2006 on the whole which includes both domestic and foreign travelers nightlong corsets is totalled 53mn increasing by 3 % twelvemonth on twelvemonth.

The figures in abroad travelers ‘ darks in all adjustment constitutions grown by 2 % twelvemonth on twelvemonth to merely over 47mn darks, approximately 89 % of the sum, compared with comparatively strong growing in 2005, approximately 8 % twelvemonth on twelvemonth. ( Croatia Tourism Report, 2010 )

Croatia ‘s touristry has less figure of political hazards. There were no terrorists ‘ marks in the Croatian touristry sector. Furthermore, the added strength comes from Croatia ‘s frequent of all time closer ties with the EU, where the majority of its tourers come from. Over the estimation period likely grasp of the Croatian Kuna against the euro will retain the touristry growing to some extent but over the longer term the currency hazard should better, behind a rather favorable daze factor mark. ( Croatia Tourism study, 2008 )

During the twelvemonth 2007 Croatia has achieved the existent GDP growing for the decennary at an estimated 5.9 % . The economic system is driving along strongly on the dorsum of domestic demand. Although the promising marks in late 2007 suggest a client disbursement decelerate down, which we see as the of import ground behind a slowing to 4.8 % existent GDP growing in 2008. During the twelvemonth at that place was a crisp lag in planetary economic system which was a hazard, this will impact on Croatia through lower growing in touristry grosss and harder entree to recognition for domestic clients. During the twelvemonth 2011-2012 the growing should be stronger because of the expected EU sequence. Through the 3rd one-fourth growing consequences it was seen that the Croatian economic system is in good form. Through a study it was found that the client disbursement is still turning at over 6 % on an one-year footing, while there is besides a hopeful growing of 7.3 % in exports which is still a dubious country of the Croatian economic system. The growing rate of authorities increased to 4.4 % which is one of its fastest quarterly growing rates in this decennary. Government disbursement growing accelerated to 4.4 % , one of its fastest quarterly growing rates this decennary. Investing was down from a leading 11 % public presentation in the first one-fourth, but we are anticipating a solid public presentation in Q408 – notwithstanding the seasonal impact of colder conditions on sectors like building – as planned province outgo sees the origin of physical undertakings, aided by private sector buy-in. During the twelvemonth 2007, many factors like general election, strong European growing and a good touristry season supported the Croatian economic system. The headline rate for Q307 was 5.1 % , a consistent, but non distressing slowing from an impressive public presentation in Q207 ( 6.6 % ) and Q107 ( 7.0 % ) .

Croatia ‘s domestic clients were been and being the same major drivers of the economic system. During the twelvemonth over the first three quarters the mean private Spenders are 6.6. Since the twelvemonth 2002 the growing in this country has been above 5.4 % . Croatians gained batch of fiscal beginnings through elections and every bit good as through the portion from the planetary economic ‘feel-good ‘ factor. The elections prompted strong public sector pay colonies, every bit good as a one-off payment of a monolithic 1.3 % of GDP to pensionaries in Q307, which helped maintain disbursement strong. The GFK study suggest the mean Croatian household gaining during the Christmas clip with fillips a wage of above EUR700 is passing an norm of EUR1.100 in December. Furthermore, with mention to the touristry grosss Croatia is a lag in richer European states. During the twelvemonth 2007 which is an first-class touristry twelvemonth gained batch of grosss.

Tourism is likely to endure openly from the autumn in disposable incomes across the EU, other than that for many Croatians rely on a seasonal reaching of hard currency, this will make a crisp lag in passing money during late 2008. BMI expects growing of 4.8 % in 2008, good below authorities projections of 6.1 % enlargement, an EBRD prognosis of 5.2 % and a market consensus of 5.0 % . The hazards to Croatian growing are obvious and these may sound different to our little elevation of growing projections for 2008 and 2009. The theoretical account lifting from unemployment statistics is a cardinal factor behind our optimism: at its extremum in August, the official rate was merely 13.8 % , down from 17.0 % at the terminal of 2006, and a hopeful mark of growing making new occupations particularly in services.

The economic system of Croatia is still turning up faster and run intoing with Western Europe continues to press investing. However, with its high foreign debt measure, consumer dependance on recognition and little overall value of the domestic economic system in relation to other states, Croatia is more than normally exposed to swings in European growing and recognition tendencies. The Croatia ‘s chief trade spouse EU should be protected from the worst harm of US decelerate down and on the domestic forepart Croatia ‘s EU command will aggressively elicit investing, which should see growing in 201 ( Croatia Tourism Report, 2008 )

Marketing scheme of Hrvatska:

Some kind of selective tourer activities are non been used till now. Tourism market has immense range in rural cultural touristry, particularly in wider prospective of the same touristry like archaeologic, action, runing cantonment, trip, speleological, healing, wellness and gastronomic touristry. List of alternate touristry which Croatia can be succeeded in the field of touristry industry are as follows.

Adventure touristry:

Adventure touristry is one of the major and attractive signifiers of selective touristry in Croatia. Croatia is surrounded by natural resources and healthy environment which is a comparative advantage. So Croatia has a really good chance to develop the touristry grosss through adventure touristry.

Health touristry:

In the touristry sector, in 18 wellness constitutions it has 6000 beds. During the twelvemonth about 22,213 tourers visited the wellness resorts and there were about 202859 nightlong corsets in the hotel. The ecological quality of Croatian parts supports for the future developments of the wellness touristry, diverseness of natural resources, medicative H2O, favorable sea clime and healthy nutrient.

Cultural touristry:

The supply for the development of Croatian civilization touristry is the wealth of Croatian stuff and non stuff tradition. Culture touristry is manifested in heritage touristry, museums, UNESCO sites, archeological sites, rural cultural touristry and ecotourism. Croatia has to offer the autochthonous ambiance of Mediterranean coastal towns. Traditional rural countries and urban Centres are on the other sides.

During the twelvemonth 2005 there were about 309 tourist rural families registered in democracy of Croatia taken 84 beds out of which 68 % provided with nutrient and drink and 54 % has brandy and wine tasting installations. County of Istria found the largest figure of registered travelers rural families about 52 % of the entire figure of beds in Croatian rural touristry industry.

Nautical touristry:

Fifty marinas are at that place in Croatia. It has been noticed in the recent yearss there is an addition in the sea traffic. During this twelvemonth of 2006 there was about 320 private leisure and charter companies with about 2600 vass ‘ . The tourers to Croatia Marine are largely from Croatia, Austria and Germany. It has been determined that maritime touristry will be turning up. Croatia has great characteristics to reflect as a taking Mediterranean state in maritime touristry ( G Jasmina, 2007 ) .

Marketing strength:

Striking Adriatic coastline

During the twelvemonth 2008, the sector is straight accounted for estimated GDP of 17 % and about 14 % of employment.

During the twelvemonth 2012 or 2013 Croatia is to fall in the EU. This is the mark to turn in the of import structural reforms in the countries of the bench and public disposal.

Despite differences in the Balkans over Kosovan independency security hazards will stay low.

Joined the NATO in April 2009 will assist to keep regional stableness.

Since 1990s the state is recognised for a record of solid growing and low rising prices.

Real GDP growing has averaged 4.0 % , with rising prices in low individual figures

accompanied by exchange rate stableness. Growth is forecast to average 4.5 % for the 2007-2011 period.

Stable democracy and ultimate EU chances are increasing the state ‘s attraction to foreign investors. ( Croatia Tourism Report, 2010 )

Marketing weekness:

Even though there is rise in investing during the last few old ages the hotel industry still needed important modernization.

monopoly system is followed by Croatian Airlines which may halter competition and ensuing in capacity jobs.

Institutionally weak and judicial betterment is a needful. Lack of judicial independency can do cheques on authorities ineffective and democratic norms are non sufficiently fixed.

After the twelvemonth 2007 election the authorities rely on support of little parties based on ethnicity or particular involvement, whose potentially different aims could take to political jobs.

Domestic investing has outpaced nest eggs since the mid-1990s, ensuing in

relentless current history shortages. Credit growing has besides sparked a figure o restrictive step from the Croatian National Bank ( HNB ) , but 90 % foreign

ownership of domestic Bankss frequently renders these stairss ineffective.

The financial shortage is bit by bit being brought under control, but outgo on societal

services remains highly high by regional criterions. We expect budgetary

fastening to stay a challenge over the prognosis period, particularly if growing is slow.

Bureaucracy in Croatia remains entrenched. The chances for corruptness provided

by impenetrable brushs of ruddy tape are besides a concern.

The judicial system is cumbrous and inefficient, with big instance backlogs. This

Meanss that some concern differences can run for old ages without declaration. ( Croatia Tourism Report, 2010 )


In the European states specifically in the uninterrupted action of globalization touristry is holding a major function in developing the regional. The major function in positioning the scheme of Croatia is played by little Travel and Tourism companies which in bend increasing the finish attraction. The same is a brighter instrument to accomplish economic and societal objects. The potency for touristry to lend to regional development will depend on a quality degree of all offered touristry events in Croatian touristry. ( G Jasmina, 2007 ) .