Tourism Management Strategies and Local Economic Development in Luwuk City

Abstract

Tourism has increasingly been recognized as a strategic sector for promoting local economic development, particularly in secondary cities with emerging tourism potential. Luwuk City, as the capital of Banggai Regency in Central Sulawesi, possesses diverse natural and cultural tourism resources that can support regional economic growth if managed effectively. This study aims to examine tourism management strategies in Luwuk City and analyze their contribution to local economic development. Employing a qualitative case study approach, data were collected through semi-structured interviews with key stakeholders, including local government officials, tourism business actors, community leaders, and UMKM practitioners, complemented by document analysis and field observations conducted between March and June 2025. The findings indicate that tourism activities—such as festivals, government expos, and community-based tourism initiatives have generated economic opportunities for local communities, particularly through increased income and business activities for UMKM. However, the study also reveals that tourism management remains largely fragmented and event-oriented, limiting its long-term economic impact. Community participation, digital capacity, institutional coordination, and sustainability practices emerged as critical factors influencing the effectiveness of tourism-driven development. The study concludes that tourism can serve as a sustainable driver of local economic development in Luwuk City when supported by integrated management strategies, inclusive governance, community empowerment, digital innovation, and environmental stewardship. These findings offer important insights for policymakers and tourism stakeholders seeking to optimize tourism’s contribution to inclusive and long-term local economic growth in emerging destinations.