SETE Survey Shows Falling Business Expectations

Business expectations in Greece’s tourism sector continued to decline in the first quarter of 2012 compared to the previous quarter, according to a recent survey conducted by the Association of Greek Tourism Enterprises (SETE) in collaboration with the Foundation for Economic and Industrial Research (IOBE).

More specifically, the business expectation index stood at 69 points for hotel enterprises and 44 points for tourism enterprises, down by two and four points, respectively, from the October-December 2011 period.

The vast majority of hotel and tourism enterprises reported a “worsening business climate,” many months before the election period.

Prior to the need for new elections, enterprises seemed more optimistic in initial estimates for next quarter’s tourism demand due to the start of Greece’s main tourism season.

According to Greek enterprises, factors that may positively influence business activity are the increase of arrivals from new markets, quality services at competitive prices and an increase in Internet bookings.