HTM 173

What is Tourism

"the activity that occurs when people travel" -World Tourism Organization (WTO): Activities. -Many persons consider: An industry -In our class: A system approach

The four parts of the tourism system

- (1) Destination Planning, developing, and controlling tourism destinations - (2) Marketing Strategy, planning, promotion, and distribution on tourism products and services - (3) Demand The factors influencing the tourism market - (4) Travel The Characteristics of travel

Satellite National Accounting

- A statistics approach recommend by United Nation - Help to analysis the economic impact of complex service sectors such as tourism

Global tourism organizations

- World Tourism Organization (UNWTO)(Madrid) -International Civil Aviation Organization (Montreal) -International Air Transport Association (Montreal) -World Travel & Tourism Council (London, England)

Facilities include

- lodging - food and beverage - supporting industries such as shops

The destination mix consists of 5 elements:

-Attractions (including events) -Facilities -Infrastructure -Transportation -Hospitality resources

Potentially Negative Environmental Impacts of Tourism

-Disturbance of ecological system Tourist killers (Galapagos Islands) -Pollution by waste from touristic activities -Change of land use

Increasing foreign exchange earnings

-Expenditure of foreign tourists at destination -Leakage can reduce the earning -Import of consumer goods and construction materials -Commission to foreign travel agent -Destination promotion cost -Multinational enterprises at host places -Exemption of duties for foreign companies

What are the key events and mile stones in Tourism History?

-Grand Tour (16th to 18th century Young English elites travel to complete education Travel services: tour guide, credit service) -Early travel motivation (ancient Egyptians and Greeks travel to TRADE) -Tourism growth trend of the new century (Roman Times: large territory, financial system, advanced transportation )

Forms of tourism development and its consequences

-High to low impact development -Alternative tourism, eco-tourism -Mass tourism, resort tourism

The reasons to use a systems approach (some characteristics of tourism).

-Interdependency and Responsiveness -An open system -Complexity and variety -Competitiveness and Partnership -Friction and disharmony -To emphasize the interdependency of the various sectors of tourism. -To reflect the open system nature of tourism. To highlight the complexity and variety in all aspects of tourism. -To better display the great level of competitiveness in tourism today. -To acknowledge a level of friction and disharmony in tourism today. -To emphasize the need for responsiveness.

Sources of Drawing Power

-Natural resources -Climate -Culture -History: War Religion, Habitation, Government -Ethnicity -Accessibility: relates to Time, -Cost, Frequency of service, Comfort

Reasons of governmental involvement

-Political reasons Visa program -Environmental reasons Protection of natural and cultural environment -Economic reasons Maximize the economic benefits -Safety and security reasons Crowds might induce crimes and life risks

Positive Environmental Impacts of Tourism

-Prevent ecological and environmental damage by other industrial activities -Reinvest in research and conservation programs

Types of infrastructure include:

-Water systems -Communications networks -Health care facilities -Power sources -Sewage/drainage areas -Streets and highways -Security systems (e.g., police)

Hospitality Includes

-the way services are provided by people employed in tourism -the feeling of warmth generated by the residents of the destination area.

Steps in the Tourism Planning Process

1. Background analysis 2. Detailed research and analysis 3. Synthesis and visioning 4. Goal-setting, strategy selection, and objective-setting 5. Plan development 6. Plan implementation and monitoring 7. Plan evaluation

Principles of Sustainable Tourism Development

1. Ecological sustainability 2. Social and cultural sustainability 3. Economic sustainability

Strategies for Maximizing the Economic Impact of Tourism

1. Encouraging import substitution. 2. Implementing incentive programs. 3. Dealing with multinational companies.

The Destination Life Cycle (Butler, 1991)

1. Exploration 2. Involvement 3. Development 4. Consolidation 5. Stagnation 6. Decline 7. Rejuvenation

Three Major Economic Impacts of Tourism

1. Increasing foreign exchange earnings 2. Increasing income 3. Increasing employment

Tourism Planning Terminology

1. Position statements 2. Vision statements 3. Goals 4. Objectives: 5. Strategies / "game plan"

What is Hospitality Training Programs

Aim is to motivate tourism service providers to be hospitable in dealing with visitors.

Define Destination Mix

All the interdependent elements that must be present to produce a satisfying vacation experience

National tourism organizations

Canadian Tourism Commission China National Tourism Administration Embratur, Brazil German National Tourism Board Singapore Tourism Board South African Tourism Tourism Australia Tourism Ireland Tourism New Zealand VisitBritain

1a. Review of government policies, goals, objectives and programs

Catalog of government policies, goals, objectives and programs

Economic Impacts of Tourism

Concept of price elasticity and how to apply elasticity to affect tourism income

Positive Social and Cultural Impacts of Tourism

Conservation of traditions Cultural awareness of local people Mutual understanding Promotion of peace

Typology of Attractions

Consideration: SCOPE Consideration: OWNERSHIP Consideration: PERMANENCY

Push and Pull factors

Demand factors "push" people to travel Destination factors "pull" people to vacation.

1d. Review of strengths, weaknesses, problems, and issues

Description of major tourism strengths, weaknesses, problems, and issues

1c. Description of existing tourism demand

Description of past visitor profiles

Increasing Income

Direct income -Money spent by tourists Indirect income -Money spent by tourism business Induced income -Consequential spending Total economic impact =tourist spending x multiplier Leakage can reduce the size of multiplier

Three steps/parts to explain where income multiplier comes

Direct income:Money spent by tourists Indirect income: Money spent by tourism business Induced income:Consequential spending

What is Drawing power

Drawing power is the distance from which an attraction can attract attendance.

A popular approach to investigate and evaluate environmental impact is

Environmental Impact Assessment (EIA)

Role of Facilities

Facilities are necessary to serve visitors while they are away from their homes.

True or Fasle: Lodging Facilities: Account for 25-30 % of U.S. visitor spending

False 20-25%

True or false: The life span of a tourism plan is normally not more than 4-5 years

False: 3-5

Internal Tourism:

Inbound + Domestic

Hospitality Resources

It is intangible, is a feeling not hospitality facility or business. It can be reflected in a hospitable service Are employees in hotel/restaurant/parks friendly and helpful? What are local residents attitude to tourists? It can be gained through staff training and public education.

______________ can reduce the earning and multiplier

Leakage

1b. Inventory of existing destination mix elements and components

List of destination mix elements and components

Starting point of tourism planning:

National tourism policy

Facilities

Necessary to serve visitors and make the journey comfortable. (Lodging Food and drinks (can be attraction ^_^) Shops Recreational facilities Visitor center)

Purposes of Tourism Planning

Need for tourism plan: Demand > Supply

Potentially Negative Social and Cultural Impacts of Tourism

Negative impacts Friction between locals and visitors Health risk Commodification of culture Destroy the original cultural landscape

Characteristics of Tourism industry

Offer multi-goods and services The relationships of firms in tourism are.... Complementary + Competitive

National Tourism:

Outbound + Domestic

Consequences of Unplanned Tourism Development

Overcrowded touristic areas during holidays.

Factors that influence tourism demand

Population size Population distribution (e.g., urban population, dense areas) GDP per capita Industrial structure (proportion of three sectors) Health level (e.g., healthcare service, nutrition, life expectancy) International travel policy (e.g., visa programs)

Role and Types of Infrastructure provide what?

Provides access and allows visitors to enjoy destination in a safe and hygienic manner.

Transportation modes include:

Rail, Ship and ferry, Airline, Bus and motor coach, Automobile

Where do social and cultural impacts come from?

The confrontation of different culture, ethnic and religious groups, values and lifestyle, languages, and levels of prosperity

Transportation

The foundation for tourism development Travel to and from the destination Travel at the destination

The Irridex of tourism

The lower #of tourists, the happier The higher # of tourists, the more upset

What is Income multiplier

The measure of the amount of local income generated by a traveling guest

What is Carrying Capacity?

The number of individuals who can be supported in a given area within natural resource limits, and without degrading the natural social, cultural and economic environment for present and future generations.

Reasons for Tourism Planning

The tourism impact is not predictable and uncontrollable without appropriate planning Planning makes the destination more competitive and sustainable

Supporting Facilities and Services:

These facilities provide other services needed by visitors at destinations.

invisible export

Tourism: invisible export

True or False Food & Beverage Facilities: Account for the largest share of visitor spending at destinations.

True

True or False. Some facilities (e.g., resorts) have a dual role as attractions and facilities.

True

True or False: Ecotourism is an important part of Sustainable Tourism

True

True or False: Tourism plan, master plan for tourism, and tourism strategy are often used to refer to the same thing.

True

Local tourism organizations

Visit Lafayette-West Lafayette

Infrastructure

Water Power Communication Sewerage/drainage Health care Security Infrastructure of most destinations is not built for tourism, it is for local residents.

What is Leakage

When the private or public sectors purchases goods or services from sources outside the community, this part of economic impact is called Leakage

Facilities, infrastructure, transportation, and hospitality resources

are needed in a supportive role to attractions and events

Attractions

are the central aspect of tourism; they draw visitors to the destination. (Climate, culture, parks, landmark building, events, seaside resort)

Tourism planning

is a step-by-step approach with the participation of government, private sectors , and community residents

Tourism planning is most effective when it is highly participatory and has the input of the widest range of groups and citizens in a community

okay

Tourism planning need to happen at many levels

okay?

What is the real income and real foreign exchange earning for the community?

revenue - leakage= real income

What is Hospitality

the general feeling of welcome that visitors receive while at a destination area.

External Transportation:

to get visitors to and from the destination

Internal Transportation:

to provide for internal movement within the destination.

When will Environmental Impact happen?

when the level of visitor use > Carrying Capacity -Disturbance of ecological system -Pollution by waste from touristic activities -Change of land use