Does Tourism Benefit Less Developing Countries?

1338 WordsMay 12, 20166 Pages
Does tourism benefit less developing countries? Traveling is the word makes many people exited. People can do domestic travel or international travel to refresh and escape their everyday lives. International travel becomes a big business as the world globalized. Tourism means the activity of traveling to a place for pleasure; the business of providing hotels, restaurant, entertainment…etc for people who are traveling. Tourism becomes an important industry on globalized world. It attracts a millions of people in a day and it can make a large profits. For example, Disneyland in California has 45,942 average visitors per day in 2014. (TEA/AECOM Theme Park Attendance Report 2014) Imagine how much profit would produced from 45,942 people. This…show more content…
For example, exports and FDI have been the two key ingredients in China’s rapid economic growth. Also, country with more foreign exchange reserves is more manageable at a global economic crisis and a sudden foreign exchange rates. It also helps nation to pay foreign debt in short-term, or long-term. Tourism is a principal export for 83% of developing countries, and it is the most significant source of foreign exchange after petroleum. According to UNWTO, the rate of tourism growth(8-9%) in lower-middle income developing countries and in the 50 least developed countries has been approximately double the world average growth rate(4%) between 1990 and 2005. It is almost triple the growth rate for high income countries which is slightly less than 3%.(UNWTO,2002) Tourism comprises a significant part of the world’s growing service sector; in sub-Saharan Africa, tourism accounts for approximately 55% of service sector exports(UNWTO,2004). According to Alam et el, there is the positive relationship between total number of tourist and foreign direct investment. If total number of tourist from Tourism increases, FDI will also increase and if Total Receipt from Tourism decrease FDI will decrease over 16 years research on Malaysian tourism. According to China Daily Newspaper, China’s tourism developed rapidly after the
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