This study examines how transformational leadership influences the competitiveness of Chinese tour operators through collaborative innovation, with market orientation as a moderating factor. Competitiveness, driven by effective innovation and strategic agility, is critical for survival in the dynamic tourism sector. Employing a quantitative survey of 200 top managers from tour operators in China's Yangtze River Delta, data analysis using Partial Least Squares Structural Equation Modeling (PLS-SEM) reveals that transformational leadership significantly enhances collaborative innovation, which in turn substantially boosts competitiveness. Additionally, high market orientation strengthens the positive relationship between collaborative innovation and competitiveness. These findings underscore the importance of transformational leadership and market-driven strategies in cultivating innovation to sustain competitive advantage, offering valuable insights for tour operators navigating rapidly evolving markets.
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