Tourism sector is one of the major contributors for the Sri Lankan Economy. Since independence, the tourism industry has grown steadily and contributed enormously for the economic development. Sri Lanka has earned $1.8 billion revenue from Travel & Tourism alone. Report shows that it contributed 5.5% in Gross Domestic Products during 2013 and direct employment in tourism sector is doubled within 4 years at the end of conflict (CBSL, 2014).
Thirty years armed conflict in the North East region of the country led to loss of life, displacement of persons, and destruction of infrastructure. The said situation led down the economy especially tourism was rigorously affected. The setback in tourism sector severely affected the local community who
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The end of the armed conflict does open up many doors for the tourism sector and both the government and private sector are gearing up for the revival of tourism. The cessation of armed conflicts tourist arrival suddenly increased in conflict affected regions. This has intended trickle down benefits to the poor households that rely on the sector for primary or supplementary income.
The large-scale impacts of Tourism include both positive and negative impacts on environmental, socio - cultural and economic aspects. The concept of sustainability is factored into these tourism impacts, when the size of the impacts becomes large enough to drastically alter economic, socio-cultural and environmental areas of a tourist destination. Especially the sensitive places like conflict-affected regions, these impacts need to be analyzed and evaluated carefully. Apart from obvious and visible effects on the economy and the physical environment, tourism can contribute to social and cultural changes in host societies, including changes in value systems, traditional lifestyles, family relationships, individual behavior or community structure.
Though there is enough literature on relationship between tourism and economic development, it was not covered much in conflict - affected regions, especially in the point of view of the local communities. This
Tourism has become a commercial business, which has obvious benefits to the said economy, the environment and society. Often, the positive economic impacts persuade governments, companies and individuals to get involved with the development of tourism. Tourism creates jobs, both
We all know that the tourism plays an important role in the overall national economy and each of its
Over the last 60 years, tourism has benefited from continuous growth and diversification, becoming one of the largest as well as the fastest growing world’s economic sectors. Tourism becomes one of the major categories of global trade in services. Nowadays, 7% of global goods and services exports are contributed by international tourism, and for the last four years, it has grown faster than the general global trade.[ Exports from international tourism rise 4% in 2015, (2016, May 6). Retrieved from http://media.unwto.org/press-release/2016-05-03/exports-international-tourism-rise-4-2015]
The political factor reflects to the degree where government’s role impact son the organisation’s operations in tourism and hospitality industry. The essential political factors including law, protection laws, tax rates and other situation along with political stability might influence the operation in tourism and hospitality industry. From global context, the political situation prevailing in UK can impact on the tourism. Situations are changing as terrorist threats are increasing and this is turning out to be a disadvantage for UK economy to work smoothly.
Tourism plays a vital role in economic development in most countries around the world. The industry has not only direct economic impact, but also significant indirect and influential impacts. There is agreement among experts that the travel and tourism sector is the fastest growing of global economy. According to the latest UNWTO World Tourism Barometer, international tourism receipts surpass US$ 1 trillion in 2011, growing about 3.8%up from 2010 (WTO, 2012).
Tourism & hospitality is one of the world’s rapidly growing industries as income is generated through the expenditure of goods & services required by tourists. The tourist is therefore very important to the wellbeing of many countries.
Another aspect of impact of tourism on a country’s economy is that it facilitates the expansion of the market of goods and services. Foreigners come to a country willing to spend money on different goods and services, thus increasing the amounts of sales. This is a great chance for producers and service providers to receive larger profits. This concerns not only hoteliers, tour operators, and souvenir shops owners. Public transportation, retail stores of different kind, restaurants, and cafes benefit from international tourism. Obviously, if these industries are in demand, businesses will be expanding. On the one hand, it means that more money is paid to the budget. On the other hand, profits generated by the owners are spent inside the country, affecting almost all the fields of the
From an environmental perspective, it is apparent that the world is starting to realise that increases in tourism are having a negative impact on the environment. This is due to increases in energy consumption, which in turn heightens the effects of global warming (Neto, 2002). There are many controls that governments are trying to put into place, such as flight rationing (Liverpool Business School, 2009). However, it can be argued that these have not really begun to have a significant effect on tourism, as they are still insufficient to dampen demand. It may become a problem in future years, as the number of controls is likely to increase. Perhaps the largest environmental factor would be natural disasters, like Hurricane Katrina (Cashell, 2005) and the tsunami that hit Asia in December 2004 (Birkland, 2006). These will impact negatively on people’s confidence in visiting places that have been hit severely by such disasters.
This research paper will provide an analysis and evaluation of the effects that wars leave on business. Examples of these include embassies that prohibit their citizens to visit those countries in war. If these countries at war base their economy in tourism this will result them to not be economically stable since there is a ban in visiting their countries. Since there is no tourism and no business to survive on, the citizens of these countries may resort to drug business to feed themselves.
In economic aspect, tourism can boost the economy of the developing countries by receiving tourist spending, the money received can further drive the income of different industries and sectors inside the economy, which can be explained by the Tourism Multiplier Effect (Leuterio, 2007). In fact, not only can tourism create employment in the tertiary sector, but also stimulate growth of the primary and secondary industries. To be precise, tourism in an area encourage the employment related to business supply services and building of hotels. Then, the employees of the tourism industry spend their income on other services in the local area, with increase in tax revenue at the same time. Therefore, improving the earnings of other
Tourism is an activity that contributes to economic development of a country. This is because it generates revenue which can then be used to finance development projects. Apart from generating revenue for the government, tourism can create employment, development of transport infrastructure such as roads and railway lines, promotion of cultures and it contributes to international cohesion. Culture exchange and adventure are some of the prioritized things tourist often look forward to in their travelling’s. More so countries make huge investments in hotels and other luxurious resorts in an effort to attract more tourist. Additionally, the growth of a country can be equated to the level of how their tourism is. In as much as it is a revitalizing entity in development, tourism has its challenges. One of the major challenges faced by the tourism industry is terrorism. This paper will discuss in detail the impact of terrorism on the United States tourism industry.
All the same, the journey to an optimum and stable economy has not been a seamless transition for Tunisia. There have been various geo-political incidences that almost destabilized the Tunisian economy (Naccache, 40). Conflicts and tension in Libya caused the trade viability of Tunisia to decrease in 2009. The unrest also had significant implications on some aspects of the Tunisian economy, such as tourism. Tourism is a big source of revenue for Tunisia; hence, anything that threatens the safety of tourists is bound to have far-reaching consequences for the country’s economy. In 2009, the GDP of Tunisia dropped by more than 5% due to political tension in the region (CIA). Despite the seeming improvement in the Tunisian economic conditions,
This report will briefly raise awareness of what the Arab Spring therefore to be able to have a much better understanding on how it affected tourism and still has a big effect. A country’s tourism can also be affected by neighbor countries contemporary issues, so it is essential to be aware of what
The Travel and Tourism industry is still one of the largest single businesses in world commerce and its importance is widely recognized. The tourism industry is now one of the largest sectors earning foreign exchange. In the face of many benefits, many countries have started assigning due weight age to the tourism industry in their national development agenda. Tourism is an industry that operates on a massively broad scale: it embraces activities ranging from the smallest sea-side hotel; to air-lines, multi-national hotel chains and major international tour operators. Originally, non-traditional industries such as tourism emerged as a solution to strike a balance between ecology and industry
Planning and development are both extremely important factors within the tourism industry and can have both positive and negative effects on the environment, local communities and tourist destinations. “Destination planning aims to limit the negative impacts of cultural tourism upon the history and lifestyles of the local community. An understanding of sustainable tourist development allows for the development of culture without loss of its authentic identity” (Maidment. T. 2012). This statement discusses the importance of planning to avoid having any negative impacts on environments and communities. Because the effects of tourism are so severe to destinations, many natural and cultural resources have been destroyed, therefore tourism planning is vital to preserve and maintain these places for future generations.