Inhibiting Factors Affecting Metaverse Convention Tourism in Macau

Abstract

This study thoroughly investigated the inhibiting factors pertaining to the development of metaverse convention tourism in Macau through a qualitative investigation. This study employed semi-structured interviews and data that were analyzed using NVivo software 14 through a grounded theory approach, involving open, axial, and selective coding to identify emergent themes. Despite Macau’s established and prosperous tourism industry, it has experienced obstacles when assimilating metaverse technologies into its convention operations. Based on stakeholder theory, this study reviews the inhibitory factors relating to metaverse technology in the development of convention tourism in Macau. The foremost challenges include insufficient infrastructure, a shortage of skilled professionals, limited government support, high costs, and lack of standardized platforms. Notwithstanding, the metaverse offers significant potential to enhance global involvement, interaction, and reachability in convention tourism. Efforts to maximize this potential include upgrading the infrastructure, developing talent, implementing clear government policies, and providing financial support. The current results offer practical recommendations for policymakers, industry experts, and researchers to promote sustainable development of the metaverse in convention tourism, positioning Macau as a leader in this emerging field.

1. Introduction

With the arrival of the metaverse, the social contradictions caused by tourism development have become prominent, challenging sustainable tourism development. Research on tourism stakeholders has gradually increased, and scholars have researched stakeholder theory (ST) from different perspectives, such as management, sociology, and anthropology, providing theoretical support for selecting governance models for tourist destinations and promoting sustainable development of tourist destinations. Organizations aim to generate multiple benefits for different stakeholders (i.e., groups and individuals who can affect or be affected by the organization, such as civil societies, communities, customers, employees, governments, shareholders, and suppliers) [1]. The metaverse currently exists as a conceptual development rather than a commercial reality. Nevertheless, its influence on social interactions, consumer behavior, and recreational activities is becoming increasingly evident despite its predominantly conceptual status for the majority [2]. Entertainment tourism is an emerging trend worldwide, defined as economic activities based on integrated services provided by the entertainment and tourism sectors [3]. In the future, metaverse tourism will be a new and popular tourism mode. The World Economic Forum (2022) recognizes tourism as a key area that can benefit from the metaverse. The metaverse provides users with immersive traveling experiences by offering pre-travel exploration, followed by augmented content when physically present at the destination [4]. Initially intended to boost travelers’ real experiences [5], the metaverse allows prospective visitors to assess destinations’ desirability and suitability by virtually exploring them, which is expected to enhance tourists’ experiences at physical destinations, as it prepares them to utilize their visits more effectively [6,7].

In recent years, the potential of the meta-universe to generate and co-create value and advance immersive service experiences has received great attention from scholars in many fields [5,7,8]. Existing research discusses the opportunities and benefits of using the metaverse compared with other conventional forms of technology [5,9,10]. Volchek (2023) [11] identifies four crucial dimensions of the metaverse in relation to tourism. However, the crucial dimensions of convention tourism development are yet to be discovered. The metaverse is transitioning from a new niche to a transformative force in convention industry marketing, offering new models for revenue and business. This is expected to lead to significant changes in the convention tourism sector. In academic literature, little has been stated about the factors inhibiting the viability of the metaverse in social interactions. Stakeholder theory indicates that network relationships must be constructed between internal and external organizations, especially as the metaverse is an advanced form of the digital economy. The social value realized in relationship networks and experience should create value for all stakeholders and balance this value within the ecosystem [12,13]. Moreover, considering stakeholder theory, few studies have focused on combining the convention sector and metaverse technology. Given the potential influence of the metaverse, understanding the factors that hinder online and face-to-face collaboration within the convention industry is crucial. When adopting the metaverse approach for the convention industry, key obstacles include the transition challenges faced by IT, education, and industry-specific business experts. A comprehensive identification of these inhibiting factors that notably affect the enhancement of metaverse applications can help conventional experts decide whether the metaverse is suitable for developing the industry and its culture.

In the context of stakeholder theory, this study aimed to (a) synthesize the existing research on inhibiting factors relating to metaverse technology, (b) identify the inhibiting factors relating to the development of convention tourism from the metaverse’s perspective, and (c) provide recommendations for government and industry decision-makers to bolster the advancement of convention tourism in the future.

The remainder of this study is organized as follows. Section 1 introduces the concept of the metaverse and its potential applications. Section 2 reviews the existing literature covering the metaverse in the context of hospitality and tourism and the inhibiting factors relating to convention tourism and metaverse technology. Section 3 describes the research methodology and the data collection process. In Section 4, the inhibiting factors are categorized and analyzed. Finally, Section 5 presents the contributions and conclusions of this study.

2. Literature Review

2.1. Stakeholder Theory in Tourism Research

Stakeholder theory (ST) refers to organizations that seek to create multiple benefits for different stakeholders, that is, groups and individuals that can influence or be influenced by the organization, such as society, community, customers, employees, government, shareholders and suppliers [1]. Sautter and Leisen (1999) [14] developed a tourism planning model that promotes cooperation between stakeholders, which used ST. Evans (2017) [15] used ST as a key to establishing a unified perspective on sustainable business models. Nicholas et al. (2009) [16] used ST to measure the perspectives of local communities regarding world heritage sites. In metaverse and tourism research, it is necessary to gradually adjust strategic planning through continuous cognition, realizing value co-creation for potential stakeholders, including destination management organizations (DMOs), other supportive government units, tourists, residents, and other users and stakeholders [17]. In research on tourism planning and sustainable development, researchers have also used ST to answer research questions [18], for festival planning and organization [19], for the development of the smart hotel industry [12], and for value co-creation using VR in museums [20]. Other studies view stakeholder management as a form of corporate society and examine how it helps improve the performance of tourism enterprises [21]. However, researchers have ignored the obstacles that metaverse development stakeholders face. Therefore, here, we classify metaverse stakeholders and analyze and discuss the factors that hinder them.

Stakeholder theory is the foundational framework of this study. The development of metaverse tourism depends on various stakeholders [9,13]. According to Chen et al. [22], metaverse stakeholders include five categories, which this study classifies as experience, supply, governance, and other related subjects. When “people” enter the metaverse from the real world, both their identities and their value attributes change. Based on the composition of the main entities in real-world industry, the metaverse includes three major value entities. “Consumers” and “co-creators” are the main entities that experience the cultural and tourism metaverse, while “individual producers” and market entities together form the supply entities of the cultural and tourism metaverse. Government departments are the governance entities of the cultural and tourism metaverse, and communities and other scientific research institutions supplement the metaverse as stakeholders. Through discussion and analysis of these internal stakeholders, this study suggests that internal stakeholders are conducive to the sustainable development of the metaverse and play an important role among stakeholders.

2.2. Inhibiting Factors in Metaverse Convention Tourism

Research on inhibitors of association conference attendance has determined cost as a primary conventional obstacle. Iso-Ahola and Mannell [23] discussed tourist activity constraints among leisure forms, emphasizing permanent and temporal factors deterring participation. Bongkosh [24] examined factors preventing association members from attending international conferences, identifying key challenges like distance, time constraints, finances, conference-related issues, and personal matters. Yamashita [25] analyzed motivators and inhibitors of conference attendance, revealing significant differences influenced by the participants’ residence, attendance preferences, occupation, and frequency of attending conferences. These findings are important to attract participants from different regions. Chen [26] highlights metaverse-driven cultural exchange and ethical risks, which we now cite to contextualize talent gaps and platform standardization challenges affecting metaverse convention tourism in Macau.

Moreover, significant concerns have emerged regarding AI-related issues for devices at conference venues. Hradecky et al. [27] investigated the perceptions of artificial intelligence (AI) in the exhibition sector of the events industry. They found that organizational readiness for AI adoption is influenced by confidence in technological practices, financial resources, organizational size, and issues of data management and protection [28]. The integration of metaverse technology into convention tourism has also led to the emergence of new inhibiting factors. Although the metaverse is considered an unavoidable technological revolution, many challenges remain unaddressed [29]. The identification of inhibiting factors that may affect the future development of metaverse technologies in convention tourism is crucial, as different tourism sectors are expected to encounter unique challenges [30].

In summary, the metaverse has considerable potential for digitalizing the tourism and convention industries, and it can overcome major challenges such as high costs, organizational barriers, and technical challenges through government, economic cost, and talents. Overcoming these barriers is crucial for fully realizing the potential of metaverse technology, ensuring it provides immersive, accessible, and economically feasible experiences in various tourism and exhibition industries.

2.3. Government

The government is a key player in metaverse tourism development. To overcome the inhibiting factors affecting metaverse-based tourism, government policies, strategic planning, and funding support are essential to eliminate barriers in the metaverse sector.

Active government engagement in the metaverse is essential to ensure that value is created for all users and that technological advancements are aligned with sustainable development goals [31]. The potential of metaverse technology may rely on necessary strategic planning and promotion from the government. Based on government support, metaverse technology will enhance experiences and promote value co-creation in the tourism sector. According to the discussion above, the government is a significant obstacle to tourism development in metaverse areas.

2.4. Infrastructure

Infrastructure is a crucial factor for metaverse tourism, and it involves partnerships between the private and public sectors. This illustrates the ability of metaverse infrastructure to redefine traditional venues into interactive and immersive environments that offer enriched sensory experiences [32]. In summary, the development of metaverse-based tourism hinges on concerted efforts to enhance tourism’s technological and experiential aspects. Essential components such as Internet infrastructure, mobile technology, and robotics must be integrated into a comprehensive research strategy. Through a synergy of physical and virtual environments, powered by investments from public and private entities in metaverse infrastructure, a substantial opportunity exists to revolutionize tourists’ interactions with destinations and products, offering immersive and innovative tourism experiences.

2.5. Platforms

The metaverse has attracted considerable interest from DMOs and researchers [33]. The emergence of immersive experiences on metaverse platforms transforms the traditional ways travelers make decisions. Virtual representations of actual tours are gaining prominence and are increasingly shaping tourism and hospitality experiences, thereby influencing tourists’ loyalty through heightened immersion and altered cognitive perceptions.

Immersive experiences are changing decision-making processes for travelers. Digital platforms reshape tourists’ consumption behaviors by enabling value co-creation through immersive interactions [34], but the technology needed to make the most of the products of the virtual world is still in its infancy. Without established guidelines and considering the substantial costs of platform development, organizations must navigate the metaverse with caution. A fully operational metaverse’s ability to endure societal and economic effects will depend on its efficacy in blending the physical and virtual worlds.

2.6. Physical Devices

Huang et al. [35] applied embodiment theory to tourism experiences, suggesting that these experiences are fundamentally anchored in tangible physical perceptions. Within the metaverse, virtual tourism is considered a form of embodied communication, with virtual tourists engaging in tourism processes and activities as though they were present in person. This underscores the virtual experience as an embodied experience that mirrors physical participation in a virtual environment. Furthermore, VR, AR, and other advanced interconnected interfaces are crucial for crafting metaverse experiences. Such technologies facilitate the creation of immersive and interactive virtual environments, where users can communicate and partake in activities in real time [6].

Regarding applying the metaverse in smart tourism cities, innovations have been explored to enhance the flexibility and effectiveness of tourism platforms. Introducing 3D elements, Blender programs, Godot Engine, and PHP + WebGL as integral tools increases flexibility compared with traditional platforms. This flexibility leads to improved tourism experiences and satisfaction in smart destinations, aiding the pursuit of sustainable tourism development [36].

In summary, embodied virtual tourism experiences, supported by advanced technologies such as VR, AR, and flexible platform integration, opened up novel prospects for enhancing tourism experiences. The adaptability and immersive nature of the metaverse are crucial for shaping individual tourism experiences and supporting sustainable tourism development within smart cities.

2.7. Economics

The potential implications of the metaverse in terms of economic, environmental, and social sustainability have been highlighted, with numerous trade-offs also being acknowledged [37]. In earlier discussions, the positive effects of digital platforms on a nation’s reputation were emphasized through sentiment analysis and tourism economics. The rise of VR and the metaverse has positioned virtual tourism as a crucial element within the tourism industry. The global pandemic has accentuated the importance of countries’ digital efforts to create tourism opportunities [38].

2.8. Talent

In the context of organizational success, human capital has been identified as a significant factor that influences the tourism and hospitality industries. Insufficient technological talent impacts technological research within the tourism sector. Talent is a crucial factor in promoting metaverse-based tourism development. Chen [26] concludes that forming knowledgeable teams, combining researchers, development engineers, and product managers, is fundamental for creating technical knowledge for development of the metaverse.

This study applies stakeholder theory to explore the inhibiting factors of metaverse convention tourism. To understand how convention tourism is revolutionized by metaverse technology, we define the factors of network infrastructure, platform, costs, physical devices, talent, and government involvement. Figure 1 presents the proposed conceptual model, which focuses on key elements to guide the future development of metaverse-based tourism [39].

3. Methodology

3.1. Research Object Selection

In 2024, Macau hosted 1524 MICE events with 1,332,000 attendees. It is estimated that the annual revenue of Macau’s non-gaming industry driven by MICE activities is approximately MOP 5.48 billion. For 2024, MICE revenue reached MOP 107.919 million, with expenditure rising to MOP 288.26 million. In the fourth quarter of 2024, Macau’s inbound visitors increased 8.7% year-on-year to 9,007,736, making a total of 34,928,650 inbound visitors for the full year, an increase of 23.8% year-on-year (https://www.dsec.gov.mo/zh-MO/ (accessed on 24 March 2025)). Given the vital role of the conventional sector in contributing to economic development and enhancing tourism, the study of this industry, particularly within the context of Macau, holds considerable importance.

3.2. Grounded Theory

Grounded theories are discovered or constructed from data systematically obtained and analyzed using comparative analysis. They represent an inherently flexible but also complex methodology with respect to methods of investigation and study results. Glaser and Holton (REF) defined grounded theory as systematically producing a complete set of conceptual hypotheses to produce an inductive theory about a substantial domain. Strauss and Corbin (REF) define grounded theory as a theory derived from systematically collecting and analyzing data through a research process. Grounded theory as a qualitative research method emphasizes theory derived from empirical data through an iterative coding process [40,41].

This study adopts a qualitative research approach that collects insights not discovered through statistical procedures or quantification, in line with the aforementioned theoretical framework. Given the purpose of this study, it is reasonable to use purposeful and convenient sampling methods common in qualitative research to select study participants and understand the barriers to convention tourism in Macau from the industry’s perspective. All data were processed using NVivo software 14, which assisted in encoding keywords in the questionnaires [42].

For this study, in 2023, ten interviews were conducted with professionals from Macau’s convention tourism sector, selected through the researchers’ personal networks. Most interviewees were at the management level (e.g., managers, senior managers, and general managers). A semi-structured open questionnaire was developed according to the characteristics of Macau convention tourism. For convenience, all the questions were in English and Chinese.

Understanding the metaverse and designing usable platforms, processes, and services can improve the development of metaverse conventions in Macau. The proposed research agenda should stimulate further investigation, as shown in

Table 1. Research Agenda.

1. How is the metaverse technology applied in the convention industry?

2. Are the infrastructures adequate to cater for metaverse convention tourism?

3. How can the government support metaverse convention tourism in terms of promoting it within and outside Macau?

4. What are the human resource issues related to metaverse convention tourism development in Macau?

5. How does the economic situation affect Macau’s metaverse convention tourism development?

6. Are there other factors that might affect Macau’s development of metaverse convention tourism industry?

.

3.3. Data Analysis

This study used NVivo software 14 to analyze the qualitative data, with grounded theory as the foundation framework. Using grounded theory facilitated the generation of emergent theory directly from the data, rather than relying on preconceived hypotheses [43]. The analysis was divided into three pivotal stages: open coding, axial coding, and selective coding. This framework not only systematically encapsulated the core attributes of the research phenomenon but also signified the completion of the transition from data to theory.

Based on the sample data (see Table 2) collected from the following four aspects, the demographic characteristics are analyzed as follows:

• Gender: In the sample data, there were 11 males, accounting for 61.1% of the total number of respondents, and 7 females, accounting for 38.9% of the total number of respondents. The proportion of male respondents in this study was higher than that of female respondents.
• Occupation: According to the survey of occupations, 4 respondents were teachers in universities, accounting for 22.2% of the total number; 2 respondents were general managers or above, accounting for 11.1% of the total number; 9 respondents were managers, accounting for 50% of the total number; 3 respondents were supervisors, accounting for 16.7% of the total number.
• Seniority: Respondents who had been employed for five years or less accounted for the majority of the research subjects, 10 in total, accounting for 55.6% of the total number; 4 respondents had been employed for 6–10 years, accounting for 22.2% of the total number; 2 respondents had been employed for 11–15 years, accounting for 11.1% of the total number. A total of 2 respondents had been working for more than 15 years, accounting for 11.1% of the total.
• Industry: The respondents’ occupations in this study were distributed in three areas. Among the respondents, 4 worked in the education sector, accounting for 22.2% of the total, 7 worked in the convention industry and related industries, accounting for 38.9%, and 7 worked in the information technology industry, accounting for 38.9%.

Table 2. Demographic Table.

	Gender	Occupation	Seniority	Industry
1	Female	Doctor	12 years	Education/University
2	Female	Assistant Professor	6 years	Education/University
3	Male	Professor	10 years	Education/University
4	Female	Assistant Professor	5 years	Education/University
5	Male	General Manager or above	Over 20 years	Convention industry
6	Male	Manager	10 years	Convention industry
7	Male	HR Director	30 years	Convention industry
8	Male	Manager	13 years	Convention industry
9	Male	Manager	4 years	Convention industry
10	Female	Supervisor	5 years	Convention industry
11	Female	Manager	10 years	Convention industry
12	Female	Supervisor	4 years	Information technology industry
13	Male	Manager	3 years	Information technology industry
14	Male	Manager	2 years	Information technology industry
15	Male	General Manager or above	4 years	Information technology industry
16	Male	Manager	3 years	Information technology industry
17	Male	Manager	2 years	Information technology industry
18	Female	Manager	2 years	Information technology industry

Table 2. Demographic Table.

	Gender	Occupation	Seniority	Industry
1	Female	Doctor	12 years	Education/University
2	Female	Assistant Professor	6 years	Education/University
3	Male	Professor	10 years	Education/University
4	Female	Assistant Professor	5 years	Education/University
5	Male	General Manager or above	Over 20 years	Convention industry
6	Male	Manager	10 years	Convention industry
7	Male	HR Director	30 years	Convention industry
8	Male	Manager	13 years	Convention industry
9	Male	Manager	4 years	Convention industry
10	Female	Supervisor	5 years	Convention industry
11	Female	Manager	10 years	Convention industry
12	Female	Supervisor	4 years	Information technology industry
13	Male	Manager	3 years	Information technology industry
14	Male	Manager	2 years	Information technology industry
15	Male	General Manager or above	4 years	Information technology industry
16	Male	Manager	3 years	Information technology industry
17	Male	Manager	2 years	Information technology industry
18	Female	Manager	2 years	Information technology industry

This analytical process exemplifies the iterative nature of grounded theory, engaging in a continuous interplay between data analysis and theory formulation, thereby ensuring that the theoretical insights gained were deeply rooted in the authenticity of the data. This method enhances understanding of a specific domain and provides an empirical foundation for related scholarly discourse. For instance, statements such as, “Macau’s human resources are relatively limited, particularly in terms of professionals specialized in metaverse-related technologies and applications” (Interviewee A2) and “The mastery of technology, digital, and other technical talents is an area where Macau is relatively deficient” (Interviewee B4) were labeled as “Professional shortage” and ultimately categorized under the theme “Talents”.

Table 3. Inhibiting Factors of Metaverse Convention Tourism of Macau.

Factors	Subfactors	No.
Infrastructure	Convention facilities	13
	Network	10
Talents	Professional shortage	15
	Talent attraction	8
Government	Policy guidance	14
	Laws and regulations	7
Platform	Platform	7
Cost	Cost	9
Economics	Economic development	10
	Economic diversification	6
Physical devices	Physical device	7

Note: “No.” refers to the count of mentions by different interviewees.

provides detailed information regarding the identified nodes and subnodes.

4. Findings and Analysis

This study identifies seven key inhibiting factors: infrastructure, talent, government, platform, cost, economics, and physical devices (see Table 2). This section provides an investigation and analysis of each factor.

4.1. Infrastructure

Infrastructure was mentioned 23 times, indicating its significance as a primary factor contributing to the development of metaverse convention tourism. This factor comprises the following two sub-factors:

The first sub-factor concerns convention facilities, which are essential to the success of metaverse convention tourism. Although some interviewees believed that the current convention facilities in Macau were sufficient, seven respondents expressed concerns about their ability to support large-scale metaverse convention tourism. Despite being a novel form of tourism, metaverse convention tourism relies heavily on traditional tourism-related facilities [44]. Some facilities are deemed too antiquated and need renovation, with Interviewee B4 noting that “Many of Macau’s large convention venues have been in place for many years, and numerous facilities no longer meet current technological demands”. Although Macau’s convention industry has been growing rapidly, it still falls short of world-class standards in terms of infrastructure (Interviewee A2). Furthermore, the conventional thought process behind the growth of Macau’s convention industry may be unable to keep pace with technological advancements (Interviewee B6).

The second sub-factor pertains to network conditions, which are also considered a significant restriction on the development of metaverse convention tourism in Macau. The primary technological pillars supporting the metaverse include AI, networking, blockchain, and the IoT. Expectations cannot be met if these technologies do not keep up [22]. Seven interviewees commented on the network infrastructure, noting problems such as unstable Internet connections (Interviewee C4) and Internet speeds that did not align with 5G claims (Interviewee B5), which could hamper corporate network usage. In addition, the high cost and limited choices of Internet services in Macau (Interviewee C2) may not sufficiently support the high-standard operational requirements of the metaverse.

Despite Macau’s accomplishments in Internet infrastructure, the actual performance, cost, and stability of network services remain areas of concern. Moreover, to support the development of emerging technologies such as the metaverse, upgrade and improvements in Macau’s infrastructure, particularly in hardware and Internet connectivity, are needed to meet high-standard operational requirements. The Macau government and relevant enterprises should consider investing in modernizing infrastructure to ensure that Macau can keep pace with global technological advancements and maintain its competitiveness as a developed city.

4.2. Talents

The talent factor was referenced 23 times, indicating its criticality in the sustainable development of the tourism sector [45]. Effective talent management and cultivation systems can lead to a positive evolution of a region’s tourism industry [46]. The subdimension predominantly mentioned by the majority of interviewees was a professional shortage. Macau is experiencing a deficit in professional talent within metaverse-related fields, particularly in technology, design, and marketing, which are essential for successfully executing metaverse conference tourism (Interviewees A1, A2, B2, and B4). Interviewee B6 pointed out the pressing need for skills enhancement among the populace, suggesting that the Macau government should support the current workforce’s re-education and training. Furthermore, some interviewees viewed it as an emerging industry with the potential to cultivate and develop talent (Interviewee C3).

Regarding talent attraction, Macau’s tertiary institutions have started to offer educational programs that support metaverse technology, ranging across various academic levels from undergraduate to doctoral studies. This indicates that Macau has the foundations to attract and nurture talent in the metaverse industry (Interviewee A1). The metaverse conference tourism industry also holds the potential to attract creative and young workers (Interviewee C3), and the new opportunities provided by the metaverse for Macau’s convention industry might serve as a factor in attracting talent (Interviewee C5).

In summary, Macau faces challenges due to the lack of professional talent within the metaverse conference tourism industry, which may restrict the sector’s growth. Although a foundational basis exists for talent training and attraction, further enhancement of education and training systems is required, along with policies and incentives to attract and retain professional talent.

4.3. Government

The government has been subdivided into policy guidance, laws, and regulations. The advancement of new technologies is contingent on the government’s legal support and policy orientation, without which development is infeasible [5]. As a regulator, the government is tasked with providing a favorable policy environment and ensuring that these policies adapt to emerging technologies’ characteristics and demands (Interviewees A1 and C3). Concurrently, the Macau government strives to support transforming and upgrading the tourism industry through relevant policies, demonstrating responsiveness to industry dynamics and demands (Interviewee A2). Establishing institutional environments can offer rules and frameworks for economic activities, reducing uncertainty and thus fostering the development of technology and innovation [47]. In this regard, the efforts of the Macau government can potentially create more opportunities for the development of metaverse conference tourism.

From the policy angle, governments are important for providing policy guidance and supporting industrial development [48]. The interviewees confirmed that the government should serve as a valuable guide to help the industry’s development (Respondent a1), create an environment for inspection (Respondent a2), and serve as an implementation leader (Respondent b6 and c7). The feedback indicates the importance of government guidance and technical support for metaverse development.

Faced with the rapidly developing technological landscape, the government’s updated proactive policy guidance and laws promote the industry’s sustainable and healthy development. Macau has new opportunities to present the global conference tourism market with metaverse technology and strengthen its competitive position.

4.4. Platform

The metaverse offers a solid technological platform for the convention industry, significantly improving social connection ability and personal interaction. Interviewees A1 and A2 considered that traditional convention industry operations have been transformed by virtual technologies, which have also enriched interaction dynamics. In order to attract and retain customers, the business model needs to create unique user experiences [49]. Virtual reality and augmented reality technology create new pathways of experience in the metaverse, providing innovative environments for social interaction and focusing on deepening customer engagement. The convention industry can solve time and space barriers using metaverse technologies’ special capabilities (Interviewee B6). The development of the Internet as a platform allows the seamless transfer of intangible assets such as knowledge and culture which transcend traditional limitations because it has diminished the importance of physical location [50]. The metaverse is a technological advancement for conventions, providing universal access to individuals and allowing conventions to occur without geographical and time restrictions.

The convention industry has been recreated by the metaverse. To increase the depth of interactive and social experiences, metaverse technology reduces the limits of time and space and turns traditional events into global and limitless experiences. The technological revolution offers opportunities for industrial expansion and innovative business strategies, changing how people participate in conventions. The metaverse will play a key role in shaping the convention industry’s future by converging emerging digital technologies such as VR and AR.

4.5. Cost

From a financial investment theory perspective, investment decisions largely hinge on evaluating expected returns, with the market’s vitality being a crucial consideration [51]. The economic recovery and growth of the tourism sector mentioned by Interviewee A1 indicate a renewal of market dynamics that can lead to increased investment returns, thereby attracting more investors to metaverse-related projects. This corresponds to the growth of Macau’s service exports, signifying the metaverse-based tourism domain as an attractive investment opportunity.

Conversely, according to the theory of economies of scale, unit cost is expected to decline as the output scale expands [52]. With the widespread adoption of metaverse technology and the accumulation of experience, other industry participants might also emulate and achieve cost benefits (Interviewee A3). Although the initial stages may require substantial capital investment (Interviewee C6), over time, investment costs might decrease incrementally with the proliferation of technology.

A cost analysis of Macau’s metaverse conventional tourism sector should consider how market dynamics and economies of scale influence investment decisions. The resurgence of the market creates favorable conditions for investment and foreshadows potentially high returns. Moreover, increased adoption of technology can realize economies of scale, reducing long-term costs. However, this also implies that initial investments can be substantial, necessitating cooperation between the government and private sectors to balance risks and returns and optimize resource allocation.

4.6. Economics

Based on the interviewees’ statements, the economic implications for Macau’s metaverse convention tourism sector can be explored in depth from two sub-dimensions: economic development and diversification. Economic growth and emerging industries can mutually stimulate each other [53]. The significant economic growth achieved by Macau in the third quarter of 2023 (Interviewee A1) provided a solid economic foundation for the development of metaverse convention tourism. Some interviewees also suggested that despite the abundant funding currently available in Macau, effective development of the Macau metaverse still requires strong governmental support and promotion (Interviewees C1 and C7).

Economic diversification is key to increasing economic complexity and fostering economic growth [54]. Such diversification is especially important for small economic entities such as Macau, as overreliance on a single economic field (e.g., the gambling industry) can increase economic vulnerability (Interviewees B5 and C1). Macau is favorably positioned for economic diversification with its thriving tourism sector (Interviewee B7). The metaverse can represent an innovative direction for Macau’s tourism industry, offering new growth opportunities (Interviewee C5). Achieving moderate economic diversification necessitates a strategic balance between the development of different industries to ensure economic sustainability (Interviewee B6).

Economic development and diversification in Macau have profoundly influenced the development of the metaverse convention tourism sector. Reinforcing governmental support and strategically guiding economic diversification can foster a favorable economic environment for the development of Macau’s metaverse convention tourism sector.

4.7. Physical Devices

Interviewee A1 considered that AR technology provides attendees with a rich layer of information to enhance the real-world environment through digital images. The user experience is enhanced by the deployment of AR; it also improves the delivery of information and the overall enjoyment of events [9]. Interviewee A2 considered that physical infrastructure relies on devices and advanced network facilities with fast processing data and connections to enable good performance and the best functioning of AR technology.

Interviewee B7 and Interviewee B3 concluded that VR devices improve users’ experiences, and metaverse convention halls will be greatly changed by 3D virtual technology. Interviewee C4 and Interviewee C7 considered that online exhibition halls and global communication conferences can make the presentation of innovative products successful. Moreover, VR technology provides a fully immersive experience to users by simulating the environment.

With the development of the metaverse, the demand for physical devices that support AR and VR technologies is increasing. As the Macau government and relevant agencies promote the development of this sector, considerations should be given to investing in and coordinating the construction of the corresponding infrastructure (Interviewee A2), including but not limited to network coverage, data centers, and hardware devices. Providing the necessary physical equipment can offer richer and more immersive user experience, further promoting the development of the metaverse convention tourism sector.

5. Discussion and Conclusions

5.1. Discussion

Integrating the metaverse into tourism ecosystems remains underexplored in the existing literature, particularly in the context of established destinations like Macau. Prior studies emphasized the transformative potential of immersive technologies (e.g., VR/AR) in tourism [5,55] but overlooked systemic barriers such as infrastructure, talent, government, and so on. For instance, while scholars have acknowledged the role of 5G networks in enabling metaverse applications [56], few have addressed the dissonance between technological promotion and inconsistent real-world performance. This gap underscores that the successful integration of metaverse technologies in tourism hinges on infrastructural robustness, including consistent high-speed connectivity and modernized facilities capable of supporting immersive experiences. The literature on talent management in tourism [46] focuses on traditional skill sets, neglecting emergent demands for expertise in AI, blockchain, and interactive design. This study reveals that talent chains remain misaligned with metaverse requirements in Macau, highlighting that a region’s ability to cultivate and attract specialized digital talent directly impacts its capacity to adopt innovations in metaverse convention tourism. The governance model for ethical and regulatory challenges in the metaverse is still in its infancy. While decentralized ecosystems disrupt traditional ethical frameworks [57], existing studies fail to reconcile virtual autonomy with real-world governance. Effective adoption of the metaverse requires hybrid governance models that balance decentralized innovation with centralized regulatory safeguards.

This study extends the theoretical discourse by linking macro-level infrastructural, human capital, and governance factors to micro-level metaverse convention tourism challenges while extending the stakeholder theory framework, which integrates embodiment theory to explain how virtual–physical interactions reshape stakeholder dynamics in metaverse convention tourism, addressing Lacárcel [58]’s call to explore “digital-physical hybridity” in tourism.

5.2. Theoretical Implications

This study enhances the current research by exploring obstacles to the adoption of metaverse technologies within the realm of convention tourism. The results of the metaverse consumer experience reflect the participation of multiple stakeholders. The government is a key actor in the governance of the metaverse, and achieving coordination between government management departments and other stakeholders is an important prerequisite for maintaining the stability of the entire network. The research model reflects the complexity and multi-level nature of the metaverse tourism multi-stakeholder actor network from multiple levels. It can significantly improve the quality of the metaverse consumer experience and the generation of new types of production organizations. It helps fully realize the interconnection among leading, integrated, and potentially related industries, and endows the metaverse innovation ecosystem with capabilities. Under the action of multiple stakeholders, leveraging technological innovation capabilities can improve the efficiency and quality of metaverse scene construction, continuously enrich model innovation, enhance tourists’ consumer experience and the supply of products, and continuously achieve structural innovation, enhancing the overall competitiveness of the metaverse. This approach actively cultivates innovative talents, strengthens the human capital value of the metaverse industry, and realizes the benign interaction between supply and demand from the perspective of stakeholders. It extends the understanding of how factors such as infrastructure, talent deficits, policy, costs, and platform development affect the integration of the metaverse into an established tourism destination, such as Macau. This study addresses a gap in the existing research by thoroughly examining the difficulties faced by convention tourism in adopting metaverse technologies.

This study also proposes a theoretical framework to evaluate the broader economic and social effects of the adoption of metaverse technology in the tourism sector. Metaverse development is a complex and ongoing process, and its evolution and future impact on society remain unclear. Moreover, stakeholders are also concerned about the negative impacts on privacy and security, and the potential negative effects on mental health and social relationships [59]. Stakeholders’ resistance to adopting technology, as observed in the case of healthcare robotics [60], supports this study’s views. “Collective governance” will be deeply realized in the metaverse but can never replace comprehensive governmental governance. In terms of governance, it is necessary to establish legal barriers to protect the privacy and data security of the metaverse. Simultaneously, it is necessary to follow the dual principles of adhering to the autonomous rules of the metaverse and timely intervention, while encouraging market entities to innovate actively and explore the construction of the future form of the metaverse. Therefore, government departments’ intervention in the metaverse should respect the autonomous rules reached by consensus and maintain a reasonable and legal basic order. In addition, as the main body of governance, the government implements policy preferences for the metaverse to promote the development of experiential entities, supply entities, and the overall environment of cultural tourism in the metaverse.

5.3. Practical Implications

This study offers important insights for industry owners and policymakers. Macau must accommodate the technological requirements of the metaverse in the convention industry. Given the current absence of a comprehensive framework addressing the application of the metaverse in the cultural tourism industry and the possible dilemma of violating ethical rules, it is necessary to formulate a top-level design for the integration and development of the cultural tourism industry and the metaverse.

First, the government should formulate relevant laws and policies, including regulations on applying cultural tourism technology, supervision mechanisms, and industry standards to standardize and normalize the application of the metaverse in the cultural tourism industry at the national level, thereby reducing risks. Second, local governments should formulate top-level designs in combination with national policies and standards, actively introduce metaverse technology within the scope of industry standards, create high-quality digital cultural tourism enterprises at the local level, accurately control industrial risks, and integrate and develop the metaverse and local cultural tourism industries. Third, relevant departments should establish a multiparty collaborative development market mechanism at the market level by inviting qualified and capable social entities to govern together.

Second, the government should accelerate the cultivation of metaverse technological talent and optimize the talent supply environment. Talent is the cornerstone of technological development. Faced with the current technical dilemma of lagging metaverse technology updates restricting the development of the cultural tourism industry, increasing efforts to cultivate metaverse technology talents and overcoming current technical challenges are essential. First, universities are the main battlefields for talent cultivation. With the establishment of metaverse research colleges in many universities, VR, artificial intelligence (AI), and other metaverse technologies have been incorporated into university courses. Therefore, enterprises should partner with academic institutions and open talent supply channels from universities to enterprise. Second, the recruitment of international experts and integration with global cultural tourism movements is crucial. Local governments can play a role by implementing incentives for the training and transformation of metaverse specialists and establishing local incubation platforms to encourage training initiatives.

Third, the government should enhance the construction of metaverse infrastructure and promote balanced regional development of the cultural tourism industry. The core technologies of the metaverse mainly include big data, blockchain, VR, and the Internet. Therefore, construction of sound metaverse infrastructure is the premise for promoting the balanced regional development of the cultural tourism industry and achieving intelligent industrial virtualization. Faced with the current uneven construction of the metaverse industry and the dilemma of unbalanced regional development, this study proposes the following suggestions. First, at the policy level, industrial regional development policies and preferential systems must be created to encourage enterprises and projects to develop in weak regions and achieve widespread development of cultural tourism industries. Second, regarding facility construction, a regional layout plan for infrastructure must be established, and facilities in various regions should be connected through 5G and Internet ecosystems. Moreover, the government should attract private capital through bidding and election methods, expand the sources of infrastructure funds through PPP, BOT, and other models, and encourage social forces and local governments to cooperate in constructing infrastructure. Third, the government should increase the intensity of supervision over the initiation and supervision of metaverse facilities to ensure the smooth construction of industrial facilities.

Finally, publicity about the metaverse should be increased and new concepts and perceptions of cultural tourism should be established among tourists. The metaverse empowers the development of the cultural tourism industry, serving the general public, and its essence is people-oriented. Therefore, gaining public recognition of the cultural tourism industry empowered by new metaverse technologies is a key issue in its development. Faced with the current dilemma of a gap between the public’s traditional cognitive and habitual concepts in cultural tourism and the metaverse, publicity efforts must be increased, and new concepts of public cognition should be established. The following suggestions are proposed. First, grassroots government units should actively organize metaverse technology displays and experience activities, proactively clarify public concerns, and dispel public concerns about using metaverse tourism products. Second, tourism activities such as cultural tourism, cloud shopping, virtual immersive experiences, and VR experiences should be promoted. Third, efforts should be directed and focused on cutting-edge technology to stimulate tourists’ interest in the metaverse.

5.4. Limitations and Further Research

Although this study provides valuable insights into the factors of metaverse adoption in Macau’s convention tourism sector, it has limitations. This study is based on qualitative data from a limited number of interviews with industry professionals in Macau, which may not fully capture the perspectives of all relevant stakeholders. Future studies could expand the scope by including a larger participant pool and adding quantitative analysis to better understand the economic repercussions and enduring advantages of metaverse technological investments.

5.5. Conclusions

This study identifies several key challenges that hinder the integration of the metaverse into Macau’s conventional tourism sector. One significant barrier is infrastructure limitations; although Macau promotes 5G services, their performance is inconsistent and many of the city’s convention facilities are outdated. These venues cannot support immersive technologies such as VR and AR, which are essential for metaverse applications [56]. Through the metaverse, tourists can experience virtual immersion in their travel destinations before arrival [5]. The metaverse allows embodied presence and achieves psychological and physiological immersion experiences by promoting synchronous interactions with other agents and objects in virtual destinations [55]. To fully support the development of metaverse conventions, Macau must upgrade its infrastructure to meet the high technological demands of immersive experiences.

Another major challenge is the shortage of skilled professionals in metaverse-related fields. Effective talent management and cultivation systems can positively evolve a region’s tourism industry [46]. The current results are consistent with these findings. Faced with the new challenges of technological iteration and deep integration of industries, industrial and talent chains of metaverses in various places have not yet achieved deep integration. Lack of talent in AI, interactive technology, blockchain technology, and other related fields coincide with insufficient high-quality digital talent reserves, suboptimal talent resource structures, imperfect talent training systems, and deficient talent introduction mechanisms. The talent gap is particularly noticeable in technological development, design, and digital marketing. Although local educational institutions have started offering programs in these fields, there remains a need for a more robust talent pool. Attracting skilled professionals and fostering local talent through educational initiatives is crucial for overcoming this barrier [61]. Meanwhile, the global mobility model for digital nomads [58] provides insights into the potential of metaverse convention tourism to transcend geographical barriers.

Government policies need to be targeted and clarified. The current results show that the advancement of the metaverse is contingent on the government’s legal support and the policy orientation provided by the government [5]. Although the government has expressed an interest in supporting technological advancements, specific policies that encourage the expansion of metaverse convention tourism are lacking. Stronger policy frameworks are required to provide financial incentives, regulatory clarity and strategic guidance. This is especially true for ethical supervision of the metaverse [62]. The decentralized organizational structure of the metaverse, the interaction and integration of VR, and the disorder and instability in its early stages have shaken the foundations of transplanting the ethical system of real society into the “virtual world”. This has led to varying degrees of ethical crises in the virtual world in terms of power relations, identity recognition, behavioral constraints, value orientation, and rule supervision [57]. Such dilemmas introduce risks and obstacles to the healthy development of the metaverse and its widespread implementation in the cultural and tourism sectors. Moreover, the government should proactively position Macau as a prime location for metaverse-based conventions.

Cost is another important barrier for metaverse conventions [63]. Metaverse technologies, such as virtual reality and augmented reality devices, as well as the large initial investments and infrastructure upgrades required to support these technologies, can be a barrier to small businesses adopting these solutions. Public–private partnerships help mitigate the financial risks, and the wider application of these technologies makes it likely that costs will be reduced and the metaverse will be more accessible.

Finally, lacking a mature platform to host metaverse conventions is also challenging. With no clear industry standards, many businesses are unsure how to develop and implement metaverse platforms. Establishing shared guidelines for platform development and ensuring platform interoperability are critical for easing adoption and improving user experience.