Egyptian Innovation: the Growing Charm of Egypt’s Sharm

Egyptian Innovation: the growing charm of Egypt’s Sharm

Question 2

Given the dramatic increase in the visitors to Sharm el-Sheikh over 20 years, does this mean that it was an innovative development? What makes it innovative? And, if it was not innovative, why?

Answer

Innovation is the process of translating an idea or invention into a service that creates value. (Lynch, 2012:283) define innovation as the generation and exploitation of new ideas. It is crucial to the continuing success of any organisation. The process of innovation involves identifying needs, developing competences and finding financial support. It is the key element in providing aggressive top-line growth and for increasing bottom-line results.

Sharm’s el-Sheikh Explicit Knowledge

Explicit knowledge concerns knowledge that is codified and transmittable in formal, systematic language – often, but not necessarily, written down (Lynch, 2012:264). Sharm el-Sheikh was considered an isolated part of Egypt for more than 25 years. It was only after the liberation war and Egypt’s victory in 1973 that the Sharm emerged as a promising resort laden with many prospective potentials of prosperity. Before the radical development of the Sharm, the place was known to provide year-round dry and temperate climate, calm seas, good swimming and sandy beaches. It also had coral reefs suitable for snorkelling and scuba diving which was unmatched anywhere in the world. These facts were known about the Sharm by the Egyptian government. In order to meet the growing tourism demand, they had to respond with a strategy that would meet tourist’s demands for tourism. Thus Sharm el-Sheikh’s strategic importance led to its transformation from a fishing village into a major tourist destination. The Egyptian government had acquire tacit knowledge from the leaders in the tourism industry in order have competitive advantage over their competitors.

Acquiring Tacit Knowledge

Tacit knowledge is defined as personal, context...