Growth Of Tourism Essay

1085 Words3 Pages

At the present time, one of the inseparable parts of the economic growth is considered as tourism industry. Commonly, tourism is the movement of people to other places for business or leisure purposes as well as covers their activities. Holloway and Humphreys defines that the places where tourists come and spend their money are called as “tourist destinations” in other words “receiving areas”. Many countries have been improving tourism to overcome economic difficulties since it is growing fast. The industry activities have been demonstrated a general positive trend in the economy and it has already become the inherent part of economic development. In host countries, tourism has led to such positive consequences as the improved infrastructure, …show more content…

Generally, infrastructure is divided into two main parts which involves hard and soft infrastructures. According to UNWTO (United Nations World Trade Organisation), (2011), the enlargement of tourist arrivals, went up by approximately 7% in 2010 to 940 million, has led to increase in the number of new and state-of-the-art hotels, restaurants, airports and other tourist apartments. The rising share of amenities illustrates the improvement of hard infrastructure caused by more tourist number. Other contributions of the industry to the former accessibility of electricity and water, better road systems and transport services are also involved in the related expansion of economic activity (cited in Boz, 2011). Besides that, tourism offers numerous positive impacts to the latter, according to OECD, (2014) “soft infrastructure” can be defined as the creation of events and spaces which shows the spirit and unity of that country’s culture. These forms of infrastructure programmes have been applying to both urban and rural areas in order to make the place more well-known and tourists attractive. For example, in Australia, 2007 several events including the Booktown Festival were held to develop marketing strategies and increase tourist numbers. The results were more satisfactory than expected with place-branding advantages, noticeable rural regeneration, growing tourist numbers and …show more content…

Firstly, the input of local residents increases due to a large number of foreign guests. Generally, extra income can be generated through selling souvenirs and handcrafts to visitors which are made by local craftsmen as tourists are highly willing to buy memorable goods and presents from that country. Also, tourists often use services of local guides or housekeepers when they rent house or room from individuals. Hence, the income of citizens living in receiving countries surges with tourism enlargement. In 2010, tourism created 919 billion US dollars revenue from selling goods and services to tourists because of 7 per cent increase in the number of visitors (UNWTO, cited in Boz, 2011). Secondly, as Holloway and Humphreys note the total income of the government has been increasing by imposing numerous taxes on goods and services that visitors utilize. These may involve taxation on staying in hotel rooms, eating at restaurants, car parking, petrol and other means of taxing tourists in order to increase income revenue. In several countries major amount of income is generated from taxes paid tourists; for example, in Austria, Belgium, Hungary there is a levy on travellers for departing flights from local airports whilst in the USA, passengers are imposed taxation on both arrivals and departure. In other countries such as Italy and France, tourism facilitated as a means of

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