Uncontrolled and poorly managed development of tourism in coastal tourist destinations entails numerous negative consequences, one of which is the loss of competitiveness and international market position. The prominent problem of the sustainable development of tourism in coastal tourist destinations is certainly how to make the existing development of mass and seasonal tourism as sustainable as possible. The city of Dubrovnik is one of the most prominent tourist destinations in the Mediterranean. According to the State Bureau of Statistics, the City of Dubrovnik in 2019 1,439,531 tourists visited and 4,156,680 overnight stays, from April to October, accounted for 88% of all tourist arrivals in 2019, which indicates the development of unsustainable or excessive tourism. Distinct seasonality and massiveness are characteristic of tourism in the city of Dubrovnik. The subject of this paper is the establishment of sustainable development of tourism in the city of Dubrovnik based on GSTC criteria, and in the area of criteria A2 – destination management organization. Dubrovnik, as one of the growing world destinations, must strive to protect its cultural and natural idyll from possible negative impacts and the growth of mass tourism in the city. The city of Dubrovnik has a highly developed awareness of the negative impacts of the development of mass and seasonal tourism and has resorted to implementing the principles of sustainable tourism development through the GSTC criteria. Tourist traffic in the City of Dubrovnik is constantly increasing, and achieving a balanced and sustainable development of tourism is a real challenge for the City of Dubrovnik.