Since it is difficult to establish an arrangement that would exempt residents from paying tourism taxes, external cost efficiency and equity considerations make the discriminatory treatment of tourists a controversial issue. According to Leask et al. ( In some cases, economic instruments, such as various types of taxations or concessions, are restricted to the so-called flagship attractions of a destination. These kinds of attractions are often used to promote a destination and generate income to support the management of less popular attractions and the infrastructure of a destination (see e.g. Martin-Lopez, Montes, and Benayas, 2007). Revenue management can also entail the use of market segmentation for flexible and dynamic pricing, promotions and capacity allocation (Leask et al.,