The explosive expansion and consolidation of the balearic hotel sector, 1964-2010

Abstract

Today, the Balearic archipelago is the largest tourist destination in the Mediterranean. The history of tourism in the islands goes back more than a hundred years, but the present-day configuration of the industry dates from the boom of the early 1960s, when it expanded rapidly to cater for the new market principally comprising holidaymakers from northern European. Over the past fifty years, the Balearic tourist trade has evolved and has adapted systematically to the changes in customer demand. The key to its adaptability lies in the industrial district structure adopted by the islands’ entrepreneurs, which has enabled them to keep costs to a minimum and also to accumulate the capital necessary to finance their firms’ expansion all over the world.

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