Global warming and climate change increase the likelihood of weather-related natural disasters that threaten ecosystems and consequently affect the tourism industry which thrives on the natural attributes of island regions. Orchid Island, the study area, is home to the Yami (Tao) tribe—the only indigenous people of Taiwan with a marine culture. The island possesses rich geological and topographical features (such as coral reefs) and distinctive biological and ecological resources (such as the green sea turtle, flying fish, and Orchid Island scops owl), and organizes traditional festivals and activities (such as the flying fish festival) as well as tribal tourism activities. These factors contribute to its immense potential to become the new tourism hotspot. To study the factors enhancing tourist experiences, a random utility model was constructed using a choice experiment method (CEM) for the tourist resort on Orchid Island. The study results demonstrated that: (1) Limiting tourists to 600/day; employing professional tour guides; providing better recreational facilities; introducing additional experience-enhancing activities; and lowering contributions towards the professional ecosystem conservation trust fund will improve the overall effectiveness of attracting tourists to Orchid Island. The evaluation results from both conditional logit and random parameter logit models were similar; (2) the analysis results from the latent class model demonstrated that island tourism has significant market segmentation. The socioeconomic backgrounds of tourists, their experiences, and their preferences exhibit heterogeneity, with significant differences in willingness to pay for island tourism.
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