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The idea is included in a new strategy document launched today by the Edinburgh Tourism Action Group (ETAG).
Called Innovation eg it is one of a series of initiatives being driven forward by ETAG's new chair, Barbara Smith, who is manager of Edinburgh Castle.
Ms Smith said: "The two cities have a tremendous amount to offer and already attract enormous numbers of visitors each year.
"But we believe that so much more could be achieved by working together more closely. We have been working with colleagues in both city councils and in Scottish Enterprise on new ways of collaborating.
"Innovation eg is a great way of harnessing the energies and enthusiasm of young professionals in a way that will benefit Glasgow and Edinburgh."
The scheme is part of the wider Glasgow: Edinburgh Collaboration Initiative, established by Scottish Enterprise and the two city councils and led by Laura Gordon.
Preparations are already at an advanced stage and Innovation eg will kick off in February with an event that will bring together young tourism professionals to form teams that will each have the help of an experienced mentor.
Each team then has to come up with a business plan that has to be pitched to a panel of industry experts in the same way that entrepreneurs have to do on TV's Dragon's Den.
Laura Gordon, director of Glasgow: Edinburgh Collaboration, said: "One of our top priorities is to look at opportunities for getting the tourism sectors in both cities to work more closely together and Innovation eg is one of many projects being driven by the initiative that will enable us to do that in an innovative way.
"By combining the distinctive identities of both Edinburgh and Glasgow and enabling visitors to experience all of what our two biggest cities have to offer, we can strengthen Scotland's tourism sector.
“At the same time we can also provide real opportunities for both cities to develop the scale needed to compete more effectively with the best cities and regions in the world and deliver real economic benefits for Scotland."
All finalists will win cash but the winning team will walk away with £3,000 to develop their project.
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