Tourism Benefits by 5CKbcvya

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									Benefits and Challenges of
         Tourism
  A Local, Regional and International
              Perspective

              Rachel Collis
            Tourism Analyst
           Ministry of Tourism
           Antigua & Barbuda
              March 2008




          Tourism Defined
Tourism may be defined as:
• The activities of persons
  travelling to and staying in
  places outside their usual
  environment for not more than
  one consecutive year

• Leisure travel, business travel
  and other purposes

• Activities within the place
  visited, which result in
  remuneration.


         Tourism Defined
     It is the industry of the
    future which embraces
    the values and lifestyles
    of future generations
         Tourism Defined


• promotes the understanding and
  preservation of culture and the
  environment
•    fosters co-operation between the
    private sector, public sector and
    local communities

• presents career opportunities unlike
  any other industry.

           Tourism Defined
          ● Enriches individuals, families,
            communities

          ● Invigorates economies

          ● Stimulates development
        Strengths of Tourism
• An industry with good
  investment opportunities
  (hotels, restaurants,etc)
• It sustains more than 1 in 10
  jobs around the world
• It stimulates innovations in
  travel and the milestones which
  the airline industry has reached
  (e g, space tourism)
• It promotes improvements in
  the accommodation sector
• It spotlights the emergence of
  the cruise and yachting industry
  as a giant in the hospitality
  industry

     Strengths of Tourism
• IT transforms how tourism is
  marketed
• Training of employees to deliver
  quality service
• Feeling of confidence, of
  self-assertiveness which the
  industry now enjoys.


 Sustainable Benefits of Tourism
● Tourism generates jobs
directly through hotels, restaurants,
  nightclubs, taxis, souvenir sales,
  arts and crafts

indirectly through the supply of
  goods and services needed by
  tourism-related businesses.

• Tourism contributes to the
  emergence of local entrepreneurial
  and management groups, especially
  in the areas of hotels, restaurants,
  nightclubs, shops, ground transport,
  water sport operation and
  entertainment.


 Sustainable Benefits of Tourism
Tourism promotes improvements in

     • the environment
     • the infrastructure
     • communications
     • the provision of utilities (clean
         water,, etc)
    Sustainable Benefits in Tourism

•   Accommodation
•   Adventure & Recreation
•   Attractions
•   Events & Conferences
•   Food & Beverages
•   Tourism Services
•   Transportation
•   Travel Trade
•   Hospitality Management
•   Consultants
•   Accountants
•   Linguists/Interpreters
•   Environmental specialists


      Tourism Contributes to
    Government Revenues via:
• Direct Contributions - taxes on
  incomes from tourism employment
    and tourism businesses, and by
    direct levies on tourists, such as
    departure taxes.

•    Indirect Contributions - taxes
    and duties levied on goods and
    services supplied to tourists.

         Tourism Stimulates
     Infrastructural Investment
• roads
• electricity
• telephone
• public transport
  networks
• service facilities
• water and sewage
• systems

      Tourism Stimulates Social
      Development in Local
         Communities
• upgraded infrastructure
• festivals and sporting events
• jobs in rural communities to
  help stem influx of persons
  into the city




 Diversification of the Local
           Economy
 Tourism also serves as a
 major stimulus to the
 development of other
 economic sectors, such as
 agriculture, handicraft,
 agro-industry
 manufacturing, banking,
 trade and commerce, art,
 culture, music and
 entertainment.

   Brief Global Tourism Outlook
• Receipts from the
  global tourism industry
  totalled US$735 billion
  in 2006


• Economic growth was
  almost 5% in 2007,
  with the same forecast
  for 2008



   Brief Global Tourism Outlook
• 808 million persons travelled
  abroad in 2005

• by the year 2010 more than 900
  million persons would have taken at
  least one pleasure trip

• Tourism supports some 10% of the
  world’s workers.

• The relationship between tourism,
  climate change and poverty
  alleviation will be more defined.


   Regional Outlook
• Tourism is responsible for:-
     • 14.8% of the region’s GDP
     • 15.1% of total employment
     • 19.7% of total foreign exchange
       earnings
     • economic growth (estimated) of
       4.1% annually
      • employment growth (estimated)
        of 2.8% annually


    Local Outlook on
        Tourism
The tourism sector is the most important
  economic activity in Antigua and Barbuda.

      It represents
      • over 85% of total foreign exchange
        earnings
      • 48 % of export earnings
      • 59% of total capital investment
      • approx 70% of GDP.
      It generates
      • approx. 8,000 jobs (26%) directly,
        plus a further 3,000 jobs in related
        areas throughout the economy
        (2006).
      • total visitor expenditures of
        approximately EC$919.8 million per
        year.
   Local Outlook on
    Tourism (cont)
• 262,000 stay-over tourists visited
  Antigua in 2007 (254,000 in 2006)
• 672,788 cruise passengers visited
  Antigua in 2007
• An estimated 70,000+ day visitors
  arrive each year from other nearby
  islands, mainly for
  business, trade, or personal
  reasons, including some leisure
  trips (intra-regional tourism).


   Local Outlook on
     Tourism (cont)
• Tourism employs an estimated 40 %
  of the workforce
   Challenges to Our
        Tourism
• external competition (global and regional)

• the emergence of the ‘new tourist’

• changes in consumer tastes

• revolution in information and
  communication technologies (ICTs)

• political drivers of change

• The influence of air transport

   Challenges to Our
        Tourism
• adapting to changes in the key
  generating markets
• pursuing what we can do best ( in
  terms of niche markets) with the
  resources that we have
• training as a response to growth in
  the industry
• embracing and making optimal use
  of advancements in ICTs
• developing strategic alliances and
  partnerships with stakeholders
  locally, regionally and
  internationally

    More Challenges
• providing a favourable and
  balanced investment climate
• engaging in continuous and
  appropriate institutional
  strengthening
• ensuring that our policies and
  actions recognize the
  interconnectivity of tourism
  with all parts of our economy
  and society
• being deliberate in promoting
  tourism that is
  environmentally, socially and
  economically sustainable
      Problems in the Industry
• increasing competition from
  destinations offering better value
  for money (e g, Cuba and
  Dominican Republic in the
  Caribbean)

• a weak institutional framework with
  inadequate controls that can lead to
  tourism development which is both
  inappropriate and intrusive and can
  cause irreversible damage to the
  natural environment

• product quality and price

• service that sometimes appear
    indifferent

• low return on investment

• inadequate marketing


 Problems in the Tourism Industry
 a lack of awareness on the part of
  those making decisions about
  tourism development of the social,
  economic      and   environmental
  balance to be pursued in achieving
  sustainable development

    a lack of commitment by tourism
    operators     and    travelers    to
    contribute to safeguarding the local
    environment and culture of the host
    destination

 Failure to recognize that a critical
  mass is needed to compete with the
  big giants in the industry



   More Problems in the Tourism
               Industry
 “unfairly traded tourism“ whereby
  local communities are unable to
  share in its benefits

 large flows of visitors in remote or
  sensitive locations who can place
  considerable     strain    on   local
  resources and supply systems.

 travellers’ expectations of the goods
  and services which should be
  available can lead to these items or
  services    being    imported    from
  outside or local supply chains being
  distorted to meet the demand
 Changes    in     the  destination’s
  cultural   make-up,     if   poorly
  managed, resulting in increased
  crime, prostitution and other social
  problems.

          Threats to Tourism
•   Terrorism
•   Natural disasters
•   Health concerns
•   Competition
•   Ecological problems from the
    cruise industry
•   Overcrowding of destinations

    Threats to Tourism (cont)
• Political will and control

• Themed concept of tourism

• Degradation of the environment
        Opportunities in Tourism
•   Creation of festivals, theme parks
•   Diversification of the product, e g,
    hotel packages
•   Good reputation for safety and
    tranquillity
•   Capitalize on problems in other
    countries
•   Growing focus on training of
    hospitality staff and tourism
    planners
•   Small states’ use of ICT’s to market
    at reduced costs




    The learning has just
    begun!

								
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