Economics and the Impact of Tourism 1 Impacts of Tourism Lecture 5.

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Economics and the Impact of Tourism 1 Impacts of Tourism Impacts of Tourism Lecture 5 Lecture 5

Transcript of Economics and the Impact of Tourism 1 Impacts of Tourism Lecture 5.

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Impacts of TourismImpacts of Tourism

Lecture 5Lecture 5

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Effects of Hospitality & Tourism

Travel, tourism, and hospitality have numerous effects on the world.

Section 2.1

EconomicEconomic Social andCultural

Social andCultural EnvironmentalEnvironmental

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Economic Impact

The development of infrastructure that supports the needs of travelers helps to create jobs.

infrastructure the physical components of a destination, such as hotels, restaurants, roadways, and transportation, that support tourism

Section 2.1

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Economic Impact

Section 2.1

$ Tourist Dollars

Infrastructure BusinessGrowth

JobsTax

Revenue

$

$

$

$

$

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Economic Impact

The economic multiplier depends on how much money tourists spend per year and how much leakage there is offshore.

economic multiplier the process of how money filters through a local economy and is spent and re-spent, creating income for other businesses

Section 2.1

leakage tourists dollars spent on imported goods so that revenue ends up in foreign economies

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Social and Cultural Impact

Failure to protect unique cultures and established social customs can destroy the appeal of a destination.

Section 2.1

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Social and Cultural Impact

Tourists help cultures by trading cultural influences and creating interest in exploring cultures.

Tourists can harm a culture by inadvertently creating unrealistic expectations of wealth.

Section 2.1

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Environmental Impact

Negative impacts from tourism occur when visitors’ use of a resource is greater than the destination’s ability to handle that usage.

Section 2.1

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Environmental Impact

Section 2.1

WaterResources

LandResources

WasteDisposal

NoisePollution

VisualPollution

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Environmental Impact

Tourism development can cause aesthetic pollution.

aesthetic pollution the spoiling or contamination of the natural beauty and features of an environment due to poor planning and design of tourism projects

Section 2.1

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Environmental Impact

Tourism can also affect an environment positively.

Revenues generated from park entrance fees and similar sources can help pay for the protection and management of sensitive environments.

Section 2.1

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Cyclical Nature of Travel

Section 2.1

Introduction

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Growth

Maturation

Decline

SometimesRenewal

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Cyclical Nature of Travel

During the introduction stage of the destination life cycle, tourists begin to discover a new destination and word quickly spreads among the venturers of the world.

venturers travelers who tend to be the first to discover a new, unspoiled destination

Section 2.1

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Cyclical Nature of Travel

A destination in the mature stage of the life cycle is visited by dependables.

dependables travelers who prefer familiarity and creature comforts and seldom try anything new or different

Section 2.1

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Continuing Hospitality & Tourism Influences

Renewal and reinvestment can help prolong and continue the positive or negative effects of travel, tourism, and hospitality on destinations.

Section 2.1

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The Reasons for Travel

The most common reasons for travel are:

Section 2.2

Business commitments

Family occasions

Leisure

Hospitality and tourism professionals study these reasons in order to adapt products and services to their customers’ needs.

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Business Travel

Business travel usually occurs during the week, not on the weekend, and can involve multiple destinations and methods of travel.

business travel travel for the sole purpose of conducting an individual’s or company's business

Section 2.2

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Business Travel

Challenges of business travel include:

Section 2.2

Stress

Time changes

Long absences from home

Language or cultural barriers

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Business Travel

Incentives for business travel include:

Section 2.2

Frequent-flyer miles

Travel in business or first class on airlines

Favored treatment at car rental companies and hotels

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Business Travel

A branch of business travel is meeting and incentive travel.

meeting and incentive travel business travel by employees to attend a business meeting or as a reward for having met or exceeded company goals

Section 2.2

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Business Travel

A meeting planner has a variety of responsibilities:

meeting planner a person who organizes and plans a meeting

Section 2.2

Find a site for a meeting

Make travel arrangements

Coordinate meeting space, hotel rooms, and meals

Schedule speakers and multimedia services

Handle registration

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Pleasure Travel

When traveling for pleasure, some people engage in VFR travel.

VFR travel travel for the purpose of visiting friends or relatives

Section 2.2

The needs of people who engage in leisure travel can be more complex.

leisure travel travel for the sole purpose of enjoyment