Metaverse Economics for Tourism and Hospitality: Economic Fundamentals in a Semi-Imaginary World

Abstract

This study elaborates on the economics of the Metaverse in tourism and hospitality. It identifies the Metaverse stakeholders from a tourism perspective, namely: IT companies (infrastructure), IT companies (Metaverse presence), tourism and hospitality companies, other (non-tourism) companies, destination management organisations, tourists, and public authorities. The paper elaborates on the activities each stakeholder would be able to perform in the Metaverse and the associated revenue and costs. Based on this, the paper discusses the economic relationships between the stakeholders, their impacts on the financial performance of tourism and hospitality companies, and the potential economic externalities of the Metaverse. Theoretical, managerial and policy implications, limitations and future research directions are outlined as well.