Many tourist festivals held by local governments in Korea are focusing on various aspects with the main purpose of promoting local tourism either explicitly or implicitly. The local culture and tourism industry can create various synergies through festivals that can activate the sales effect of local specialties and specialty products. In this paper, we propose to suggest ways to improve the profitability of tourism festivals in local governments by eliminating deficits in local tourism festivals held at local governments and voluntarily participating in local residents and attracting foreign tourists. In order for tourism festivals with various functions such as increasing market competitiveness and revitalizing local culture and local economy to realize profitability and economic effect, firstly, a manpower with specialized knowledge should be secured. In addition, it is necessary to realize economies of scale that can guarantee transparency and efficiency of finance, encourage voluntary participation of local residents, and establish identity of local culture. In addition, community awareness of local residents should be strengthened through the successful hosting of local cultural tourism festivals.