Abstract
Small remote island economies face a number of economic challenges, particularly, in their trade relations. Their geographical handicap-remoteness-enhances their vulnerability. Distance and its costs are well-documented in the literature. This paper focuses on the strengths of islands. It investigates the impact of remoteness and islandness on tourism performance. Remote islands are found to be well-endowed in nature and scenery. The empirical results show that nature positively impacts tourism performance (revealed comparative advantage) and tourism demand. Interestingly while being distant is detrimental to tourism performance, being both an island and remote is favourable. Tourism demand is negatively affected by being an island, a small country, or a remote country, but favoured by being a small or a remote island.
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