Introduction. Numerous international and local organisations and agencies have in the past 15 years dealt with various issues and problems related to tourism in Bosnia and Herzegovina. Often, they have accentuated the large potential for tourism development and improvement, particularly when it comes to spa tourism. Although all elements necessary for development (tradition, accommodation capacities, natural resources, and traffic connections) are present, the “Banja Vrućica” spa is still unable to respond to modern tourism market demands so that it can contribute to the economic growth and development in the national and local economies. The successful running of a tourist destination requires the formulation of long-term goals and decisions, reached through a process of strategic management. The aim of this article is to use strategic analysis as a means of identifying the possibilities of introducing new sport-recreational offers with a higher quality of service provision aligned with consumer needs, which would help the Vrućica spa to become more attractive and profitable.
Material and methods. After selecting factors of the internal and external environment which influence sport tourism at the spa, the intensity of the impact of each factor was determined through the use of SWOT analysis. Then, by multiplying the average impact of strengths, weaknesses, opportunities, and threats matched in the SWOT Matrix, a polygon SWOT analysis of the strategy was carried out.
Conclusion. Having analysed the “Banja Vrućica” spa’s environment and having quantified the results, we reached the conclusion that the best solution is to form and implement a WO strategy with regard to sport tourism at the spa, meaning a shift in strategy aimed at keeping the existing activities and structures and developing new products and a new approach to the market.
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