Introduction to Tourism

Tourism  is one of the fastest growing industries  with  an annual average growth rate about 5%, and numbers  of  international travel might nearly  double until 2020 compared to 2006.  Having experienced a growth of 25 % between 1995 and  2005, tourism today accounts for 10  % of the world's economic activity and is  one  of  the  main generators  of employment. Tourism  is  also a  major source of foreign exchange earnings for many  developing countries. The tourism industry ranks about 6th  in  international trade  after trade  in fossil fuels, telecommunications and computer equipment, automotive products, and agriculture. In 2007, a total of 903 million arrivals made up for US$ 856 billion  of international tourism receipts. Adding the US$ 165 billion receipts from international passenger transports (2007), tourism  and travel services account for  receipts of  almost US$ 3  billion  per  day.   In the  tourism business,  natural resources are  intensively used  and consumed, and tourism has major impacts on environment, ecosystems, economy,  societies and culture.  If  it  is managed well, tourism can contribute significantly  to  regional development, if not,  it can  have devastating effects on nature  and  society. Tourism  is  in  comparison with other  industries  dependent on national, regional and local resources (e.g. destinations, attractions, etc.) of a  country.  It is  an industry which is  bound  to territory.  Other industries  generally depend on natural resources  and/or services. Furthermore  tourism depends on traditions,  culture,  etc.  These features  are incorporated  into tourism businesses  becoming part  of the tourism industry. This in turn creates a cross-sectoral, dynamic approach to tourism  with  a corresponding  management schema. Tourism is  a service  industry which means that it depends strongly  on human resources at all levels (regional, national,  international) and from many different service sectors, e.g. accommodation, gastronomy,  travel  agencies,  travel  writers  & publishers  etc.  Each  of  these sectors is really an industry of  its own. Human resources include  all the  people  who work in the  tourism  industry at all levels, from  the cleaners who tidy the hotel rooms  to  the  individuals who manage  tourism resorts. This  dependence on human  resources  means that the quality of  tourism fluctuates constantly. The people  employed  in  the tourism industry  are often those employed  for  a shorter  amount of time than those  in  other industries. Skills  learnt involving  tourism  often  do not  stay  in  one  place  for  very long  because  of this high  roll over  rate. Combining  these  resources to produce  well managed tourism that works well is often difficult. This also leads to the  fluctuation in quality mentioned above. Tourism  also  undergoes continuously high fluctuations in  terms of its  products. This  is  also  a big difference  in comparison  with other industries.  The  tourism  product market changes constantly trying to keep up with tourism trends.  Each year  new more  specialised  products  are introduced  to the  market.  Different products become  in and  other products out. Each year many tourism companies

Introduction to Tourism

fail  to  keep  up  with this  change  and go out  of  business.

Figures and Trends •  Exact quantification of  world tourism  masses  is  difficult.    •  According  to the  World Travel  and Tourism  Council, “tourism and its related economic activities generate 11% of Global  Domestic  Product, employ 200 million people  [tourism supports 215 million jobs indirectly],  and  transport nearly 700 million international travellers per  year”. •  It represents  10.4% of  the  worlds total GDP  ($4218 billion US) and 12  % of trade  exports. •  Tourism  is  also  one of the top  5 exports  in  83% of countries  worldwide and  is  the main source  of  foreign income  for 38%. •  Domestic tourism  is expected  to grow  strongly.  Domestic tourism  is estimated to be  about 10 times higher than international tourism globally. •  Europe, the Americas,  East  Asia  and the  Pacific count  for 80%  of total tourism  arrivals. •  Europe accounts for nearly  2/3rds of global tourism. Its share decreased recently. •  Every  second European travels  somewhere on  holiday  at least once  a year. Only 9% of Europeans  usually  travel  outside  of Europe. •  Number of international  tourism arrivals is  expected to double by 2020, the tourism receipts will  have  reached  $2 trillion  and  every one  in  4 arrivals  will  be  long  haul.   Behavioral •  Increased  awareness  for the environment •  Increased  travel  experience •  Higher consciousness of  quality and value  for money •  More selected choice of  destination  •  Tourists  have  become  more  physically  and intellectually  active •  Tourists  look  for new destinations and new tourism  products. •  Tourists  want  to visit  places, which  are  environmentally friendly  and  socially  just. •  Older people  and handicapped people  are  travelling  more •  Increase  in use  of technology  - internet  (especially  within the  tourism sector) •  More  tourism  destinations  are  adopting  the  planned and managed approach to  developing tourism and  wish to  develop good  quality sustainable  tourism. •  More frequent  but  shorter  holidays taken  throughout  the  year. In  activities •  More and more tourists wish to  participate  in recreation,  sports and adventure and to learn about culture  history and the natural areas of the places visited •  Forms  of adventure tourism are expanding rapidly  as are  other specialised  forms  of tourism including  cultural,  nature, ‘roots’(tourism visiting  their ancestral home  areas), health and  religious tourism. •  Culture  and ecotourism are  being  increasingly developed as a way to protect the  natural beauty and cultural heritage of an area.  •  Increase  in health and  spar  tourism.