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This paper aims to analyse the main variables and causal relationships in the system structure of the diversification of non-agricultural activities on agricultural holdings using system dynamics (SD) modelling. The SD model aims to simulate depictions of the behaviour of the real system while testing the effects of alternative decisions over time.

An SD methodology was chosen to model diversification in farm tourism.

A system approach increases the authors’ understanding of the transition of agricultural holdings to farm tourism. The results indicate that the transition to farm tourism depends on the level of tourism development in a certain area. The system is influenced by subsidies allocated by authorities to expand primary agricultural activities. The model describes a situation in which the tourism and agricultural industries have been affected by the COVID-19 pandemic.

The research is limited by the small set of available data due to the limited number of farms in Slovenia. One major problem is the difference in statistical data on the same activity collected from different institutions in Slovenia.

The paper includes implications for understanding the transition process to farm tourism, allowing policymakers to experiment with subsidies and promotion to explore the efficacy and efficiency of proposed policies.

This study provides a structured, systemic view of the diversification of non-agricultural activities on agricultural holdings, where the simulation results are a reliable reflection of the behaviour of the actual system being modelled.

The purpose of this study is to construct a comprehensive review on family businesses in the tourism industry since glocalization and small businesses comprise most of the industry.

This is a conceptual paper which utilizes qualitative research methods. Bibliometric analysis is applied to the selected 35 articles from specific databases which include not only the general tourism industry but also subsectors of airline, hospitality, restaurant, etc. Articles in this study fixate on the family businesses within the tourism industry.

In total, 35 articles are found with the keywords “family business and tourism”, “family business and hospitality and hotels”, “family business and restaurant” and “family business and airline”. Though the family business studies focus on hospitality, tourism and restaurants as F&B, there is a research gap in the subsectors like rent-a-car companies, travel agencies and tour operators and recreation facilities. Overall qualitative research design is preferred, but majority of the authors’ focus is on business development, profit, performance and succession. For further studies, quantitative analysis on research gap areas are recommended.

The most general limitation is that only specific selected databases are used for the data gathering process such as double reviewed indexed journals published within Web of Science, Emerald, Elton B. Stephens Company (EBSCO) and Elsevier databases from the period of 1970s. Some other databases and some different periods may be considered as well as different keywords for other research. Secondly, few studies have analyzed quantitative data, since the specific nature of the family business dynamics require qualitative data. As a suggestion, not only qualitative analysis but also mixed methods may also be studied since the literature lacks the studies conducted with these methodologies.

The study contributes to the existing literature by providing a comprehensive review on hospitality and tourism family business management emphasizing the research gap on subsector application areas.