P4 Explain how internal and external factors affect UK inbound and domestic tourism

Many things will affect people’s decision to travel, the destinations they choose and for how long they stay. Different destinations are affected by different factors, here we will explore these factors and the destinations they effect.

As one determinant of GDP is exports, it is relevant to discuss the matter with relevance to the UK and Germany. As mention in the literature review, during 1955-1960 exports in Germany

1. Outline very briefly the main factors that led to the bubble economy of the 1980s and

In the following sections, I will argue the state of the economy is the most influential factor in

Due to the British and Germans being the most frequent travellers, most airlines set up their base in the United Kingdom. They also have more purchasing power because of the strength of their currency. – I 'm confused about this currency stuff, as I don 't find it mentioned in the case study… Please explain. Anything else to add here?

Other economists such as Pierre Boulanger, and George Phillippdis agree with Dhingra’s arguments citing that because the UK left the EU they will make a small GDP gain, yet “this will quickly disappear under conditions of higher assumed trade facilitation costs arising from loss of the single market access” (840). These higher facilitation costs will result in UK producers seeing a decrease of £3.786 billion for agricultural goods and £5.377 billion for non-agricultural producer (Boulanger and Phillippdis 838). The impact of Brexit will be felt the most by producers in the UK economy, especially those who produce non- agricultural

The number of trips taken by Britons overseas has declined by 12.6 million, from 69.4 million to 56.8 million between 2007 and 2011, according to the research by Travelodge. This means that 5.9 million holidays and trips have come out of the market altogether when the number of domestic holidays and trips are factored in. This is shy of the government’s stated ambition for domestic trips to replace the number of missing overseas trips, the report says. However, the analysis shows that ‘staycation’ breaks were up by 5.6% as the recession proved that holidays are an essential rather than a luxury. UK city breaks account for 23% of domestic tourism but seaside towns are in decline by 5%. Total tourism revenue was up 12.6% to £40 billion between 2007-2011 against the general economy up 8%. Employment numbers in tourism have bucked the wider trend, thanks to strong growth in 2011 when 120,000 new jobs were created. The UK’s appeal as a tourist destination endured during the double dip, with overall visitor numbers up by 3.1% to 157.4 million, the report shows. Staycations form the backbone of the tourism economy, with domestic trips and holidays increasing by 5.6% to 126.6 million.

The graph shows the latest sterling exchange rate against most leading currencies which is the Brazilian Rate.

Considering this formula suppose Scotland was an independent economy and a member of the EU the increase in trade of goods such as oil

So after the result of the referendum had been out, the first affect is the pound had fallen sharply, according to (Taub,A. 2016.) the pound is at its lowest valuation in seven years. Due to the (Hunt,A. & Wheeler,B. 2016) uncertainty rushing around, a British exit will likely result in a massive rebalancing of currencies. Investors will (and have already begun to) dive out of the British pound and into cash that's perceived as safe — the Swiss franc, the Japanese yen, the U.S. dollar. The changing direction of the investor and the fallen of the pound has spiked the value of Yen which has made Japan’s export being less competitive. Even the fallen of the pound can help the export business and attract more tourism to the country ,which due to the (bbc no name) The travel analytics firm ForwardKeys says flight bookings to the UK rose 7.1% after the vote. The import business still have to pay more for the fuel and material due to the costs which have increased 7.6%. Moreover, since 51% of goods and 45% of services of the British’s export are taken over by the EU. Losing access to the EU single market would mean less trade and less productivity growth which could (Chu,B.2016.)make

Another issue is export. What proportion of the nation's output that is potentially exportable is in fact exported? One way to address this more narrow question is to begin with the domestic output of the goods-producing sectors of the economy, as measured by the value of final exports of goods, plus change in goods inventories,

Also, DCMS built on Our Promise for 2012, in which the fifth promise was to demonstrate the UK is a creative, inclusive and welcoming place to live in, visit and for business. To achieve this promise, DCMS stated the plan that make the most of the long-term tourism benefits that the Games will bring nationwide (Our promise for 2012, 2015). As the nature of international tourism is exported service and goods, which has a significant proportion of economic outcome in tourism industry, this paper is aimed to analyse the impact of 2012 London Olympic Games on the inbound tourism in London and the UK. The impacts of the 2012 London Olympic Games on inbound tourism can cover a wide range of aspects, including service improvement, infrastructure improvement, star-hotel increase, tourist flows and so on; nevertheless, this paper will only focus on two aspects: overseas visitor arrivals and spending and destination image improvement.

For the purpose of conducting this report the nation that has been chosen is the United Kingdom of Great Britain and Northern Ireland (commonly known as UK).The main purpose of this report is to analyse UK’s trade patterns over a forty year timeline and to identify the major ups and downs via linking to domestic economic policies or perhaps international events or either any significant circumstances that are relevant.

I am writing a report explaining the importance of UK visitor attractions to tourism. In my report I will be including statistics and data to support my explanation.

To begin with this could be classed as a positivity as the tourism industry sector is still growing despite the different impact, however this could also be seen as a negative according to the WTTC findings because it has meant that within the Brexit it includes that immigrants might have to go back to their own countries. This is showing as since there are mostly foreigners working in the sector like working in hotels, there is an opening for more vacancies, this could mean less people are able to effectively give good tourist services.