Tourism’s susceptibility to crises is well documented, yet it remains a key driver of regional development. This chapter examines how the Entrepreneurial Ecosystem (EE) contributes to tourism firms’ resilience during crises, thereby supporting sustainable tourism development. Data were collected in 2021 via interviews and focus groups with Icelandic tourism managers, owners, sector support professionals, and local administration representatives. The study highlights the government’s critical role in preventing business failures, raising its status from a framework to a systemic condition. Paradoxically, the crisis fostered innovation and collaboration, enhancing resilience. Networks proved vital for knowledge transfer and psychosocial support, creating a supportive community for entrepreneurs
Data were collected in 2021 during the COVID-19 pandemic via semi-structured interviews and focus groups with Icelandic tourism managers, owners, sector support professionals, and local administration representatives. The study offers the first application of the entrepreneurial ecosystem concept to tourism development in times of crisis. The analysis underscores the government’s crucial role in averting business failures during the crisis, serving as a safety net, raising its status from a framework condition to a systemic condition. Paradoxically perhaps, the crisis stimulated innovation and entrepreneurship, prompting firms to collaborate and augmenting tourism firms’ resilience. The analysis also reveals the vital role of networks, not only in knowledge transfer but also in providing essential psychosocial support, creating a supportive community for struggling entrepreneurs.
