At the present time, one of the inseparable parts of the economic growth is considered as tourism industry. Commonly, tourism is the movement of people to other places for business or leisure purposes as well as covers their activities. Holloway and Humphreys defines that the places where tourists come and spend their money are called as “tourist destinations” in other words “receiving areas”. Many countries have been improving tourism to overcome economic difficulties since it is growing fast. The industry activities have been demonstrated a general positive trend in the economy and it has already become the inherent part of economic development. In host countries, tourism has led to such positive consequences as the improved infrastructure, …show more content…
Generally, infrastructure is divided into two main parts which involves hard and soft infrastructures. According to UNWTO (United Nations World Trade Organisation), (2011), the enlargement of tourist arrivals, went up by approximately 7% in 2010 to 940 million, has led to increase in the number of new and state-of-the-art hotels, restaurants, airports and other tourist apartments. The rising share of amenities illustrates the improvement of hard infrastructure caused by more tourist number. Other contributions of the industry to the former accessibility of electricity and water, better road systems and transport services are also involved in the related expansion of economic activity (cited in Boz, 2011). Besides that, tourism offers numerous positive impacts to the latter, according to OECD, (2014) “soft infrastructure” can be defined as the creation of events and spaces which shows the spirit and unity of that country’s culture. These forms of infrastructure programmes have been applying to both urban and rural areas in order to make the place more well-known and tourists attractive. For example, in Australia, 2007 several events including the Booktown Festival were held to develop marketing strategies and increase tourist numbers. The results were more satisfactory than expected with place-branding advantages, noticeable rural regeneration, growing tourist numbers and …show more content…
Firstly, the input of local residents increases due to a large number of foreign guests. Generally, extra income can be generated through selling souvenirs and handcrafts to visitors which are made by local craftsmen as tourists are highly willing to buy memorable goods and presents from that country. Also, tourists often use services of local guides or housekeepers when they rent house or room from individuals. Hence, the income of citizens living in receiving countries surges with tourism enlargement. In 2010, tourism created 919 billion US dollars revenue from selling goods and services to tourists because of 7 per cent increase in the number of visitors (UNWTO, cited in Boz, 2011). Secondly, as Holloway and Humphreys note the total income of the government has been increasing by imposing numerous taxes on goods and services that visitors utilize. These may involve taxation on staying in hotel rooms, eating at restaurants, car parking, petrol and other means of taxing tourists in order to increase income revenue. In several countries major amount of income is generated from taxes paid tourists; for example, in Austria, Belgium, Hungary there is a levy on travellers for departing flights from local airports whilst in the USA, passengers are imposed taxation on both arrivals and departure. In other countries such as Italy and France, tourism facilitated as a means of
Although the tourism industry provides countless impacts towards a community, the key and foremost is its influence it has on the community’s economic status. In places like Mexico and South America, tourism is the key to help make the country prosper and strive for economic success. Without tourist, many places in Mexico like Cabo San Lucas, Puerto Vallarta, Cozumel and Puerto Penasco would be in economic devastation because the tourism industry is what turns their economy which creates more revenue for business providing the locals with more job opportunity to help aid in the creation of a thriving region. Tourism in almost all regions of the world provides some form of economic growth that benefits the country. In Mexico for example, there are many small villages and towns that survive off of what tourist have to offer from hospitality to products and goods to even attractions.
Tourism is currently one of the world’s largest global industries and the fastest growing economic segments, with much of the growing market focused around the primeval natural environments such as coastal areas (Tourism Today, 2011). Tourism encompasses the activities of persons traveling to and staying in places outside their usual environment for not more than one uninterrupted year for vacation, commercial and other purposes. It also involves the activities of people, referred to as tourists or visitors, during their visit to these destinations and the facilities and services utilized during their stay (Tourism Today, 2011). These tourists spend money earned in their places of residence at their home country. This money, termed foreign exchange in the visited destination, is used for balance of payment in other countries (About the Tourism Industry, 2014). Foreign exchange enables countries to purchase the goods and services needed to stimulate their economies, thus generating wealth and employment.
It is the economic effects of tourism which bring the most benefit to the host nation. Tourism is a low import user which means more of the money earned here stays here. The government is earning money through tourist taxes such as the airport tax, increased export earnings and income tax revenue from people employed by the industry. A balance must be struck between these benefits and associated negative impacts on the community and the environment.
Attract tourist more and let them spent more money on it. Tourism is not only dependent on the city's economic development. Tourism at beginning was just the consumption activities from a handful of people. Nowadays tourism has become a modern mass activity more people could afford and love to pay for the tourism, the fundamental reason is the development of social productive forces and the result of people's consumption level improved. The city's economic development leads people have extra discretionary, it could be transformed into tourist motivations travel behavior, travel demand within the city can be m...
... of international business and services in the Middle East. One of the ways it has achieved this is through its public policy towards tourism. Dubai’s actions towards and success around tourism are a direct result of its and its neighbors wealth from oil, as well as its central planning. While it has achieved remarkable success in a relatively short period, its tourism industry and overall development has also been affected by the global financial crisis and Arab Spring movements. As Dubai resets its course after its own economic recession, it needs to be aware of opportunities within the tourism industry around focusing on consumer segments other than the high-end, luxury tourists and developing cultural and heritage attractions, potentially around the booming gastronomic tourism market and its emergence as a gastronomic destination.
As tourism supports the creation of community facilities and services that otherwise might not have been developed, it can bring higher living standards to a destination. Benefits can include upgraded infrastructure, health and transport improvements, new sport and recreational facilities, restaurants, and public spaces as well as an influx of better-quality commodities and food.
Wikipedia defines tourism (CITATION https://en.wikipedia.org/wiki/Tourism) as a travel business, maybe international or within the traveler's country; the practice of touring, the business of attracting, accommodating and entertaining tourists, and the business of operating tours. The tourism, today, is a major source of income for many countries. It brings a large amount of income in every locality that significantly contributes to a country's economy in the form of payment for goods and services availed by the tourists during their stay. It also creates more opportunities for employment in the service sectors of the local people like transportation services, such as airlines, cruise ships, buses, taxicabs and other public transportation;
Tourism is a typical activity of fashion that the public participate widely and it has grown in importance over recorded human history. Innumerable articles refer tourism as “the world’s largest industry”; policy-makers, analysts, and scholars often speak of the size of the tourism compared to that of other industries (Smith 2004: 26). These series of misleading statement, together with the mass media’s reports (out of context), make the idea that tourism is a single large industry branded into many people’s minds. However, in this essay I will demonstrate that it is a simplistic and misleading idea, which should be replaced by the plural term, “tourism industries”. Moreover, tourism is not the world’s largest industry, but largest service sector.
Xiaoyan (2012) shows that in tourism industry there is strong comprehensive nature, high interrelatedness, long industrial chain, and in particular, featuring integration with industry. As tourism is the industry to be defined according to tourists’ need, tourists consumption of service of food, transportation, accommodations, sightseeing, shopping and entertainment in the travel process will naturally link with a number of industries. It can almost associate with every industry of national economy. And create a new set of demands and new markets, new products and new technologies and new services, spawned a number of new form of tourism and full of vitality. The new form of tourism based on traditional
The economy can be clearly identified as the most beneficial aspect of tourism. “According to recent statistics, tourism provides about 10% of the world’s income and employs almost one tenth of the world’s workforce” (Mirbabayev, 2007). In Australia alone, Tourism contributed $87.3 billion in 2012, and employed 908,434 (7.9%) people (Kookana & Duc Pham, 2013). Tourism is “one of the most profitable and rapidly developing industries in the world” (Popushoi, 2004). Every year the number of tourists increase dramatically and consequently the revenues from tourism will increase substantially.
Tourism is the one of economic and social activities that increasingly vital. Number of travellers domestic and international is increasing. In fact, several countries in present world develop tourism sectors as primary sector which generate national income. According to Salah Wahab and Cooper (2003). Tourism is also sector which involves role that mutually link between government, private sector and also public.
Many investments for infrastructure construction in the destination primarily designed for the business tourists (hotels, restaurants, transportation…) provide economic profits, and they can also be enjoyed by local residents and leisure tourists.
In the more economically developed countries (MEDCs), synonymous mainly with the industrialised countries of the northern hemisphere there, has been an explosion in the growth of leisure and tourism industry, which is now believed to be the worlds second largest industry in terms of money generated. In order to differentiate between leisure and tourism it should be recognised that leisure often involves activities enjoyed during an individual’s free time, whereas tourism commonly refers to organised touring undertaken on a commercial basis. Development in the two areas could be attributed to changing patterns in working lives within the last four decades. Generally, people now have more disposable wealth, work shorter hours, receive longer, paid annual leave, retire earlier and have greater personal mobility. In addition, according to Marshall & Wood (1995), the growth of the tourist industry per se can be associated, in part, with the concentration of capital; the emergence of diversified leisure based companies, sometimes within wider corporate conglomerates and often associated with particular airlines. Furthermore, the development of tourism can generate employment both directly, in jobs created in the hotels, restaurants etc, and indirectly, through expenditure on goods and services in the local area. Nevertheless, although the tourist industry is competitive, which essentially keeps down the cost of foreign travel, the success of tourism in any one area can be ‘influenced by weather, changing consumer tastes, demographics, economic cycles, government policy, not to mention international terrorism and other forms of conflict.’(1) Although such factors may have a detrimental affect on the economy of a popular tourist destination (or even tourism in general, in light of September 11th 2001), the consequence of tourism in general is often three fold: environmental, social and cultural, which in turn has prompted a search for new ‘friendly’ approaches that are less destructive.
Boo (1991) and Zupan (2003) cited by Mochechela (2010), tourism can make a positive economic contribution such as increase income of local people, increasing foreign exchange earnings, expands the service sector by generating employment over a wide range of skill levels, attracts investment capital for
. Britton (1982) pointed out that “a country’s tourism industry would extend and gain more from tourism development if there is a presence of foreign enterprises”. However, despite its boost to tourism development, the increase of FDI has also presented some developmental challenges in this countries.