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1. The Travel and Tourism
Sector Unit One
Balwant Dhaliwal
HND Travel and Tourism Management.
2. Criteria Task Two.
• Influence: direct, indirect; economic policy, political
change and planning to minimise negative effects of
tourism.
• Government: levels local, regional, national,
European Union; Government sponsored bodies,
regional tourist boards; functions and interrelationships
• International agencies: agencies for example United
Nations, World Tourism Organisation, World Travel and
Tourism Council, International Civil Aviation
Organisation, International Air Transport Association;
functions, interrelationships with governments
3. Learning Objectives.
• 2.1 Analyse the function of government,
Government- sponsored bodies and international
agencies in travel and tourism
• 2.2 Explain how local and national economic
policy influences the success of the travel and
tourism sector
• 2.3Discuss the implications of political change on
the travel and tourism sector in different countries
4. Task defined
• Analyse : Break down a complex topic into
simpler parts, exploring patterns and explaining
significance.
• Explain : Show clearly knowledge and
understanding of a topic
• Discuss : Present and examine clearly the
various views on a topic or issue
5. ➲Policy: regulations/rules – protocols that organisations, small
businesses, businesses should follow
➲Government: people or the system in charge of the country or a
specific sector
➲Influence: ability to affect something in a positive or negative
way
Key Terms
6. ➲Planning: aiming for result or change; effectively
influencing the opinion of the community to support
application or change.
➲Political change: changes made by the government (e.g.
changes in party – labor and conservative)
●Influence on tourism:
●Safety issues (Thailand)
●Visa restrictions (Cuba)
Key Terms
8. • Travellers of all ages, cultures and interests are
being invited to see, touch, feel and embrace new
places, new people, new possibilities of
understanding and a new promise for global
connectivity.
• The travel experience, always has an enduring
impact on the growth and development of the travel
destination itself. It is impossible for a region or
nation, for any destination, to open its doors to the
world and not be ‘touched’.
The ‘touch’ of a traveller can, however, be positive or
negative.
Taken from March 2011. Government Tourism Policy
9. • The value of Tourism.
• The importance of the UK’s visitor economy there are still opportunities to
grow the sector, making it more productive, competitive and profitable than
it is today.
• Our domestic tourism industry in particular offers good growth potential
because we currently take significantly fewer ‘staycation’ holidays than
other European countries.
• The Royal Wedding in 2011 we will stage a major international events,
including the Queen’s Diamond Jubilee and the London 2012 Olympic and
Paralympic Games. The Government will work to ensure that we harness
the full potential of this industry, building on the strengths we have while
also addressing the weaknesses in the sector.
UK TOURISM POLICY.
10. The Chancellor of the Exchequer
• Tourism is one of Britain’s most important industries. Our landmarks, monuments,
countryside and culture are magnets for visitors from all over the world. Events
like the Olympics in 2012 attracted new audiences, putting Britain at the centre of
the global stage.
• The 200,000 businesses in the tourism industry are vital to our economy and key
contributors to the recovery. They directly provide £52bn of our GDP, 4.4% of our
jobs, and have made tourism one of our fastest growing sectors. They provide
employment in our most rural communities and enjoyment to millions.
• March 2011. Government Tourism Policy
• George Osbourne
UK TOURISM POLICY.
11. • http://www.bbc.co.uk/news/uk-politics-10950631
‘The prime minister has said tourism is vital in helping get the
UK's finances in shape, saying it is "fundamental to the
rebuilding and rebalancing of our economy".
He said the industry already contributed £115bn to the British
economy every year, and would provide "one of the best and
fastest ways" of generating jobs and income.’ (David Cameron)
David Cameron
12. UK TOURISM POLICY.
“Our aim is clear, we want to take tourism in Britain
to a whole new level and harness the huge potential
this area holds to grow our economy……For the first
time, Government has a tourism strategy that
reaches right across Whitehall, looking at policies
from a tourism perspective.”
MARCH 2011 DAVID CAMERON. TOURISM
POLICY.
13. GOVERNMENT POLICY
• The stated aims of the Policy are to:
• Fund the marketing campaign ever to attract visitors to the
UK in the years following 2012. The aim is to attract 4 million
extra visitors to Britain over the next 4 years. = £2bn more
spend in our economy, and 50,000 new jobs.
• Increase the proportion of UK residents who holiday in the
UK to match those who holiday abroad each year.. And
make improvement for shorter stays to create a further
£750m of spend and 11,000 new jobs.
• Improve the sector’s productivity to become one of the top
five most efficient and competitive visitor economies in the
world.
• (2011 Tourism Policy)
14. Government activity
• To formulate national policy for
growth and development
• Investment in tourism facilities
• Promotion of the country as a
destination
15. The value of tourism to
Britain
• Tourism is an often underestimated but tremendously
important sector of the UK’s economy. It’s already one
of our six biggest industries and our third-largest export
earner. It accounts for almost £90bn direct spend each
year, contains over 200,000 businesses and provides
4.4% of our nation’s jobs1. Equally importantly, it
creates wealth and employment in all parts of the
country, not just the south-east, and it’s a cost-effective
way to regenerate run-down communities.
• A thriving tourism industry creates beautiful places to
visit all round the country, which also improves the
quality of life for everyone who lives near them as well.
16. Productivity
• Our tourism industry has many well-run, professional and
productive organisations which offer great value for money
at every price point. But, inevitably, there are some which
are less successful.
• An unproductive industry would mean our visitor economy
will progressively become depleted.
• Global growth in visitor numbers over the next 20 years will
come from newly-emerging middle classes in countries such
as Brazil, Russia, India and China, pricing ourselves out of
the mass or middle markets would be a huge mistake.
• We want to encourage the industry to raise its game and
prepare to embrace and an ever changing market:
17. Why tourism matters
• Britain consistently ranks as one of the top 6 or 7
visitor destinations in the world, and because of
our open and international economy, business
travel is an important (and high spending) element
of both our domestic and foreign travel sectors
• Tourism should be a strong contributor to
delivering the Government’s strategy for local
growth set out in the White Paper Local Growth:
realising every place’s potential.
18. Create jobs
• Tourism is particularly labour intensive compared to
many other sectors of our economy, so the industry
is very effective at creating more than its fair share
of jobs as it expands.
• British tourism is expected to employ 1.5 million
people directly by 2020, and 2.9 million if indirect
employment (mainly amongst suppliers to the
industry).
• Equally importantly the sector delivers a wide and
well-balanced range of jobs and careers; it creates
jobs at every skill level, in both full-time and part-
time employment, in all corners of Britain.
19. Regeneration
• Tourism is a particularly effective vehicle
for regenerating run-down
neighbourhoods, using relatively small
amounts of new investment to revitalise
existing assets.
• In rural areas this means our beautiful
coast and countryside; in urban
neighbourhoods it could be disused
waterfront, iconic buildings or revitalised
cultural venues such as museums and art
20. Activity
• Look into one regeneration programmes (UK) and
produce a brief case study of your investigation.
• Examples can include: Liverpool, Cardiff,
• East London, Blackpool, Birmingham.
21. Regeneration
• Activity One:
• Consider the following points:
• Environmental Impacts
• Socio Cultural Impacts
• Economical Impacts
• What level of government input can be shared? Local or National?
• Are any other government organisations involved, public/private or voluntary?
• Do you have any recommendations for your preferred destination?
• Do you have any statistics that can compare previous to current use of your
destination?
• Can you consider any theory to support your case study?
22. Future growth
• Even though tourism is a large and important
sector of our economy already, it has plenty of
untapped potential too.
• It offers one of the fastest and most efficient
ways to deliver rapid economic growth –
Deloitte forecast that the UK visitor economy
will be one of the country’s best performing
sectors, with above average growth of 3.5%
GVA per year until 2020.
• Gross value added = one valued industry.
23. Link between country's economic system and
its government function in supporting Tourism
development
The government supports travel and tourism
sector development because it leads to:
➲ increase in regional employment
➲contribution to the balance of payments
➲the economic growth
24. Three economic approaches
● Capitalist market (free market, private
property right, competition, government's
supporting role)
● Central command (government owns and
operates)
● Government-assisted mixed economic
systems (government and private sector)
25. • The government influence (planning/programmes) are implementing
at several levels:
• At the international level - The global issues of tourism created by
its development and call for action
• At the national – long-term goals and country national policies
where the government sets up very specific short-term objectives
and programs.
• At the regional level – planning is focused on a very specific
regional issue of economic development
• Finally, following national and regional guidelines private sector
companies prepare business plans for designing, building, financing
and managing specific attractions and facilities at the local level.
LEVELS OF INFLUENCE.
26. Activity One 2.1
• ALL STUDENTS CREATE A FLYER ON ONE OF THE FOLLOWING
ORGANISATIONS. ANALYSE THE FUNCTION, LEVEL AND
INFLUENCE IN THE INDUSTRY.
• CREATE A FLYER FOR EACH OF YOUR PEERS.
• United Nations
• European Union
• World Tourism Organisation
• World Travel and Tourism Council
• International Civil Aviation Organisation
• International Air Transport Association
27. • Tourism planning at this level consists of reaching a common understanding of
potentials and problems
• A global coordinated action to ensure a better future for tourism worldwide
• Specific areas: data collection, conducting surveys, prepare and publishing
information on relevant topics, suggesting policies and standards for tourism
development; participate in global events/projects, ensuring communication
between national and international organisations, assisting in marketing tourism.
‘A fundamental frame of reference for responsible and sustainable tourism, the
Global Code of Ethics for Tourism (GCET) is a comprehensive set of principles
designed to guide key-players in tourism development. Addressed to
governments, the travel industry, communities and tourists alike, it aims to help
maximize the sector’s benefits while minimizing its potentially negative impact on
the environment, cultural heritage and societies across the globe.’
http://ethics.unwto.org/en/content/global-code-ethics-tourism
Some events/activities run by the UNTWO: Regional Seminar on Responsible Tourism: Opportunities for Women and
Youth (Nigeria, June 2012); 2nd International Congress on Ethics and Tourism; UNWTO Study on Tourism and
Intangible Cultural Heritage
INTERNATIONAL
28. • The World Travel and Tourism Council
• IATA ( the international Air Transport Association)
• PATA (the Pacific Asia Travel Association)
• TCSP (the Tourism Council of the South Pacific)
• CTO (the Caribbean Tourism Organisation
• RETOS (the Regional Tourism Organisation of Southern Africa)
• There are more organisations interested in global tourism, for example
hotel and restaurant associations, and various private membership and
government sponsored tourism marketing organisations.
• This level of planning is often weak in structure and detail. It generally
provides guidance in order to assist the member states (countries)
International
Organisations
29. INTERNATIONAL AGENCIES
United Nations World Tourism Organisation
Aims:
●minimising negative impacts of tourism,
●fostering sustainable development
●reducing poverty
●generating market knowledge
●promoting competitive and sustainable tourism policies and
instruments
●Projects:
● Hotel Energy Solution
● Consulting Unit on Tourism and Biodiversity
● Agora: an online forum to share opinions and concept papers
30. United Nations World Tourism Organisation
Hotel Energy Solution
PROJECT EXAMPLES.
● Increasing the energy efficiency and renewable energy usage of Small and
Medium Enterprises (SMEs)
● Delivering information, technology and training for SMEs
Reasons:
● SMEs can be more competitive by cutting on energy
● Destinations can shape their policies to increase sustainability
● Technology providers can create new business by targeting hotels that aiming
sustainability
Strengths of the project:
● Many hotels can be reached
● Provides free online service (E-Toolkit)
● Assessing the current energy use of hotels
● Recommending renewable energy and energy efficiency technologies
● Calculate the savings on operation costs after investing green technologies
Limitations of the project:
● Targeting SMEs only
● Focusing on the hotel industry only
31. United Nations World Tourism Organisation
Consulting Unit on Tourism and Biodiversity
PROJECT EXAMPLES.
• Providing cons consulting services to UNWTO Members
on issues of biodiversity-based tourism
• Supporting the development of sustainable tourism
products by stakeholders
•Projects:
• Thailand Biodiversity and Development in the Phang Nga
Province
• Developing sustainable tourism in the area after the
tsunami (2004)
32. INTERNATIONAL CIVIL AVIATION
ORGANISATION
➲Aims:
●sustainable growth of the global civil aviation system
●promoting the safe and orderly development of international
civil aviation
●Setting standards and regulations for aviation safety, security,
efficiency and environmental protection
➲Activities:
●developing policies and Standards,
●performs studies and analyses
●provides assistance and builds aviation capacity
33. UNWTO
• UNWTO
• The Leading international organisation in Tourism, they are
responsible for the promotion of responsible, sustainable
and universally accessible tourism. They have Partnerships
with trade fairs around the world, including the world travel
market for the UK (WTM)
• This benefits tourists as it is solely focused on improving the
industry. UNWTO is an Intergovernmental body, this means
it works largely in terms of political groupings. The meetings
of associated members usually have up-to-date issues
affecting tourism (for example taxation).
• The UNWTO helped organise the design of the Tourism
Satellite Account and this set the standard for measuring
economic importance of tourism within the framework on the
United Nations (UN) system of national accounts.
34. • In countries with government-assisted economic systems most of
planning and developing activities take place at the National level;
WHY?
• Because the government has recognised tourism as an important
economic activity for their country.
• The goal is to develop tourism in the best interests of the country in
cooperation with the private sector.
• In countries with advanced market economies and well-developed
tourism industries, the role of the national government is to support
private sector searches for business opportunities in the tourism
sector.
• The forms of planning activities: tourism policy, marketing strategies,
taxation structure, grant/funding schemes; infrastructure
development; transport system; education/training programmes
NATIONAL LEVEL
35. Roles of National Government
➲projects (information centres, investing in
public services)
➲increasing the health and vitality of the
tourism sector
➲Can you think of examples, investigate
current roles of responsibilities of national
government.
36. Aims:
➲promoting tourism as a leading industry
➲supporting 260 million jobs and generating GDP (gross
domestic product).
➲advocating partnership between the public and private sectors
➲making governments recognise tourism as a top priority
industry
Activities:
● WTTC and UNWTO in partnership: presenting an Open Letter
for Head of State and Government worldwide (presenting the
importance of travel and tourism and global challenges)
● http://www.wttc.org/activities/leaders-for-tourism
WORLD TRAVEL AND TOURISM
COUNCIL
37. The Department of Culture, Media and Sport
(DCMS)
➲Organisation funded by the government to support
tourism
➲Funding VisitBritain, supporting VisitEngland
➲Aims:
●supporting the tourism industry at national level
●Protecting and promoting cultural and artistic heritage
●Helping businesses to grow by investing in innovation
Activities:
● in partnership with Olympic Delivery Authority (ODA):
construction for the Olympic and Paralympic Games
38. VisitBritain
➲national government organisation with
the responsibility to promote Britain overseas
➲Aims:
●increase the number of tourists to Britain
●spread visitors more evenly throughout the regions and
across the months
●to avoid the congestion of demand in South and during the
summer months
➲Activities:
●Japan Sales Mission 2013
●Rock in Rio 2013
●Raising Britain’s Profile in China
http://www.visitbritain.org/aboutus/recentactivity/panda_flashmob.aspx
39. • When the government in LDCs see that tourism can play an important
role in developing their countries, national governments are acting in
the following directions:
• Set up goals and policies for national tourism development
• Ensure security and safety in the country (examples ?)
• Ensuring protection of the national heritage and natural resources
(can you give any examples? )
• Encourage and build link with other sectors
• Ensure a two way communication takes place (the private sector
and the government)
• Providing infrastructure, facilities and attractions to ensure the
comfort of tourists
• Preparing annual tourism development programs, budgets and
projects.
VISIT BRITAIN
40. • Deals with specific issues that affect a sub-national area. It tends to be
more detailed and specific than national.
• E.g. specific areas to be encouraged or tourism facilities to be
developed
• Should link (indirectly) to national planning strategies
• The following media have been used to promote information to tourist:
• Visitor centres
• Information centres
• Advertising brochures, maps, broadcasting
• Self-guided-tours
• Official guides
• Posters/displays
REGIONAL
41. Regional tourist boards
VisitLondon
➲Aims:
●promoting London as a tourist destination
●updates on news and events
●helping travellers to find attractions, accommodations
➲Activities:
●Helping travellers with booking tickets
●Providing information about transport, accommodation, attractions, events
etc.
●Visit London works in partnership with London & Partners. London &
Partners is the official promotional organisation for London, attracting and
delivering value to business, students and visitors.
●Other partners: Goldentours (helps the tourists save the money when
booking attraction ticket in advance); Citybreak (no credit card fees, no
booking fees, winner of the Best UK tour Operator 2013 – Globe Travel).
42. • VisitLondon offers 10% discount for London Pass. London
Pass offers:
• Free entry to more than 60 top London attractions
• Fast Track Entry at selected attractions and sights
• Optional Travelcard for access to the public transport system
• 160+ page guidebook packed with info, tips and hints
• Additional Special Offers for leisure activities, tours and
shopping
• more than 60 popular attractions, sights, tours and museums
included on the London Pass.
43. Influence of the Government :
As we can see from the DCMS framework the influence of the governments
can be seen as:
1. Direct or indirect
2. Making economic policy(ies)
3. Minimising negative effects of tourism
Government levels
International
Regional
National
Local
INFLUENCE
44. Activity 1: - define the key terms: policy, economic policy, government,
political change, planning with a link to a T&T industry where possible
Activity 2: Read the Department for Culture, Media and Sport Framework
and find the evidence of:
• 1. Direct and indirect influence on the T&T sector – How?
• 2. Economic policy – how does it influence on the T&T sector?
• 3. Policies/actions/strategies of planning to minimise negative effects
of tourism?
• Discuss with the class
Activity.
45. Home work/self-study
• Research on the organisations at international, national and local levels, e.g. the UNWTO, the European Union, The
Department for Culture, Media and Sport and one of the Regional Tourist boards (see your hand-outs).
• Summarise their roles/function and influence on the travel and tourism sector
• Critically evaluate some of their activities e.g. some of their aims or projects with a link to referencing.
• Resources:
• http://www.businessdictionary.com/definition/policy.html (what is policy?)
• http://www2.unwto.org/en/content/who-we-are-0 (the UNWTO)
• http://www.culture.gov.uk/ (The Department for Culture, Media and Sport)
• http://europa.eu/about-eu/index_en.htm (the EU)
• Read power point on Moodle (LO2)
USEFUL SITES