Main Factors That Attract Tourist To The Caribbean Tourism Essay

For this project the discussions are on the topics of quality service in the hospitality industry, to know the importance of the topic in addition community based tourism and also the main factors that attract tourist to the Caribbean. In putting this assignment together the researcher visited online websites and the library to gather information.

This project will show you more in depth details about the topic and is set to educate the individual doing the project as well as others.

THE IMPORTANCE OF QUALITY SERVICE IN THE HOSPITALITY INDUSTRY

The main function a hospitality organization member must perform is the delivery of quality service to its customers.

Service quality has been defined has how well a customer’s needs are met, and how well the service delivered meets the customers expectation.

The delivery of quality service in the hotel industry is an important factor of successful business. Treating your guest with care and providing an exceptional place for them to enjoy is part of the reason they will come back again. When tourist comes through your doors, they expect quality in every aspect of the hotel. Guests are looking for value in the things they see, taste, and touch and so providing them with exceptional quality will certainly leave a lasting expression.

The customers experience from the time they enter the hotel until the time they walk out the doors should be of utmost importance. Food and beverages, communication and ambiance are a few areas that require the delivery of quality service. What the hotel or attraction area offers is probably the biggest indicator of quality that a customer notices. What the hotel has to offer is not only important to customer’s impression but the overall experience, but it is important for their health as well. Guest’s health should never be compromised. Speaking to the customers should always involve the paramount respect and courtesy. This goes for all workers, however hotel workers should use respectful titles, such as “sir” and “mam” be optimistic and speak with a smile, never interrupt or talk over a guest conversation if you can help it, know your hotel so you can speak intelligently and educate guests, listen with respect and care to what the customers have to say, be sure you ask questions to clarify a customer’s order if there is any confusion and be honest and straight forward with customers at all times, especially if there is a problem.

Customer’s satisfaction is the customer’s fulfillment response to a service. Tourists are more knowledgeable in evaluation the quality of hotels and attractions by making comparison between competitions. Meeting of customers’ needs by delivering quality service is the key to every successful business. In order to meet the customers’ expectations and later satisfies them, customers’ needs are required to be recognized and met first with quality service.

The bottom line is always that the customer expects excellent service from an organization not just only the hospitality industry or they will take their business elsewhere. Providing positive experiences for the customers will keep them committed and loyal to an organization. It almost goes without saying that delivering quality service is essential in sustaining any business and not only just the hospitality industry. No matter how wonderful a job you do of attracting new customers, you won’t be profitable for long unless you have a solid customer retention strategy in place and in action. It’s the actions that count, not what you will do or what the policy says. People will remember what you or your employees have not or not done. If you build a reputation that will separate you from your competitors because you have higher standards, is consistent in delivering quality service and respond and meet the needs of your customer’s you are an example of good quality service.

COMMUNITY BASED TOURISM

A community by definition implies individuals with some kind of collective responsibility, and the ability to make decisions by representative bodies.

Community based tourism is tourism in which local residents (often rural, poor and economically marginalized) invite tourists to visit their communities with the provision of overnight accommodation.

Community based tourism enables the tourist to discover local habitats and wildlife, and celebrates and respects traditional cultures, rituals and wisdom. The community will be aware of the commercial and social value placed on their natural and cultural heritage through tourism, and this will foster community based conservation of these resources. (responsibletravel.com)

In community based tourism, villagers and tourists learn from each other, share their experiences of the different ways of life and actively learn about their cultures. Interaction usually takes place mainly in the rural areas. Community involvement tourism may range from bed to breakfast accommodation in a rural home to create income generating opportunities for the entire community. (jtbonline.org). Community based tourism gives tourists the opportunity to discover local habitats and wildlife, and celebrate and respect traditional cultures, rituals and wisdom.

The community will be aware of the commercial and social value placed on their natural and cultural heritage through tourism, and this will foster community based conservation of the resources. (The driver of change in the Jamaican economy, (Kenneth O. Hall))

This fostered greater interactivity, built cross cultural bonds, respect and understanding, and gave authenticity to a country’s lifestyles, while creating a source of income for the host families. (tpdco.org)

(mader)(www.eHow.com)Technically, Community-based tourism is the development to empower people to be more aware of the value of their community assets.

This will definitely foster economic growth to a country economy.

PRO’S AND CON’S OF COMMUNITY BASED TOURISM

Community based tourism indeed have its advantages and disadvantages.

Community based tourism will provide employment for community members in that things being in place for tourist to enjoy has to be in good management and running so jobs like janitors, chefs ,waitresses will be provided in the hotel sector. And with job being provided for locals the standard of living and surviving will be easier.

Locals interest to conserve their living environment will be increased, knowing that your community is a place of tourist attraction it will be of your will to keep the place in order so it will be available for future use and to know that tourists enjoy what they have been given so they would want to come again so this is beneficial to you and the country. Tourists go to a place to get good quality and to enjoy the products offered, locals will be therefore motivated to conserve their living environment.

Overcrowding of an area may lead to fights. For example, in parts of Kingston, the capital of Jamaica, there is known to be a very high crime rate as a result of overcrowding of the area. Visitors may get threatened by locals and vice versa. This may pose a problem in the country as visitors will return to the home countries with a bad reputation of the host country, in this case, Jamaica. Also, CTB may place a pressure on natural resources to facilitate and improve on rural infrastructure that will accommodate visitors.

Though CTB gives back to a country positively, it also has cons which have implications on Jamaica as a whole. Very often, communities are not entirely aware of the value and assets they have that are of interest to visitors, a part from their lack of production and/or marketing skills.CTB invites visitors from all over the world to come to their communities and this may cause the community to become overcrowded, also pressure on human resources can cause a negative impact on community based tourism. (Understanding Tourism, Ron Mader).

Community based tourism is a good stepping stone for country’s that has the available resources and those that can get their resources, it has its ups and downs but with the right strategy and the right resources it can work and will be successful so the country goals can be achieved and the economy will be a better one.

MAIN FACTORS THAT ATTRACT TOURIST TO THE CARIBBEAN

The Caribbean is one of the most popular tourist areas in the world, due largely to the incredible natural beauty and wildlife, which attract hoards of vacation-hungry visitors all year long. Year after year, millions flock to the small, picturesque islands of the Caribbean. World-renowned for their laid-back, affable ways, travel to the Caribbean is for those who want to make a point of taking it easy. Mile after mile of bleach-white sand leads to the ethereal blue waters that make the region famous. The ubiquitous presence of fruity rum drinks doesn’t hurt, either. Return visitors are common here, and there’s no mystery why. Besides, Caribbean travel offers so many different kinds of culture and history that one trip is not enough to see it all.

The Caribbean offers a lot of things you can get and enjoy for wonderful vacation.

The Caribbean is also home to resorts that are tailored to meet every need imaginable. Are you looking for a family friendly resort? You can find one. Are you looking for an adult only resort? You got it. Are you looking for a resort that is built for romance? Those are widespread on the Caribbean islands as well. Perhaps, the greatest reason why you should plan a trip to the Caribbean is because of all inclusive vacations. You have a number of different staying options. Vacationing along the beach sounds nice, but how does vacationing along the beach with all of your food, drinks, entertainment, and tips included sound? Prettyamazing Many go to Jamaica, but no further. Others choose the Cayman Islands. But every island has such a fiercely unique identity that is hard to see just one – the experiences you have on Aruba, are going to be far different than if you visit Guadeloupe. (jtboline.org)

When it comes to cost of travelling tourist find that coming to the Caribbean is a lot affordable than taking a vacation elsewhere for example taking a trip to Paris will in that accommodations are more expensive than the tropical Caribbean island.

When it comes to accommodation the Caribbean has variety to choose from for your special vocation needs.

A large percentage of tourists come to the islands having purchased Caribbean vacation packages and while these are easily the best and comfortable, allowing you to take in the luxury of the coral reefs and palm trees, there are many different types of ways to enjoy the islands. When vacationing in the Caribbean, you will find no shortage of activities. While each island has its own unique attractions, there are many activities that are commonplace, no matter where you end up such as swimming, tennis, volleyball and diving. The beauties of the Caribbean islands are another reason why tourist vacation there. It is a beauty that is undeniable. Although the beauty, alone, is enough reason for many to travel to the Caribbean, it is unstoppable when combined with the climate. Tropical weather all year round is a dream come true for travelers. Even in the off-season, you are sure to find beautiful weather that is accompanied by amazing travel deals. The most ambitious, if not popular, approach to Caribbean travel is to get an air pass granting unlimited travel for a selected period of time (usually a month). This way you are free to see a number of islands on one trip. Tired of St. Lucia? Hop a 20 minute plane ride over to Barbados. Or try to get to Trinidad for carnival. Stay a few days on Martinique, and see what Paris would look like if it was located on a kissed beach and it was 80 degrees every day. Or fly to the British Virgin Islands and escape onto deserted coves where you won’t see another human for days. (www.eHow.com)

Tourist come to the Caribbean for a lot of reasons like vacation & to relax or because they just want to view the beaches & the lovely waterfall tourist just come to the Caribbean to see the nature.

CONCLUSION

It is concluded in this project to show that the Caribbean depends heavily on tourism for their economy growth, it contributes widely to the development of the country’s environment, infrastructure wise and the development of the opportunity for less poverty has to where job provision are concerned.

Community based tourism is concluded to be something good to a community reason being, tourist and locals get to be educated about each other and the communities get a lot of popularity and get a chance to be out there. In addition we know that in this way jobs are provided for locals so the society will be a less poverty one.

Tourist comes to the Caribbean for so many reasons for enjoyment, relaxation, the weather and all other factors that include tourist having a wonderful and warmth experience in the Caribbean.

BILIOGRAPHY

(n.d.). Retrieved from tpdco.org.

(n.d.). Retrieved from www.eHow.com.

(n.d.). In R. H. Kenneth O. Hall.

(n.d.). In r. mader, understanding tourism.

responsible travel.org . (n.d.).

Main Factors That Attract Tourists To The Caribbean Tourism Essay

Tourism has long been the primary industry on the majority of the Caribbean islands due to the largely incredible natural beauty and wildlife which attracts hoards of “vacation hungry” visitors all year long.” (Sophia Southern, n.d.). Tourism accounts for a large amount of the Caribbean’s economy and work force.

The most important tourist centre in the Caribbean are Puerto Rico, the US Virgin Island, Jamaica, The Bahamas and Barbados.

Tourists are attracted to the Caribbean for many reasons some of the main factors are:

Geography – The Caribbean which extends from the southern tip of Florida, pass the Gulf of Mexico and down to the north-eastern tip of South America, attracts a lot of visitors each year. The Caribbean has numerous landforms such as islands, mountains, waterfalls etc.

Weather -The Caribbean has a tropical marine climate which gives it an all year round sunshine and this makes it perfect for the winter visitors. The equator gives the Caribbean temperatures `between 27-32°C. It is called marine because of the influence of the sea. During the day the sea is usually cooler than land. Winds blowing from the sea. This is one of the biggest reason why tourists are attracted to the Caribbean, The climate attract tourist to the Caribbean during the winter period their country

Tourism activities in the Caribbean have traditionally centre around the promoting of coastal attractions: beaches, coral reefs, coastal water.

Beyond the beauty of the beaches, its sparkling blue water and attractive coral reefs, there are lush tropical rainforest, volcanic, a rich cultural heritage

Culture and Sandy Beaches

The Caribbean culture is

The white sandy beaches of the Caribbean islands are a magnificent sight to see and parallel to none. The Caribbean is well known for its fine grained, soft white sand

The opportunities of water sports – When tourist come to the Caribbean they want to try water activities such as swimming, sailing, and snorkelling

Community-based Tourism

Community tourism is not a recent phenomenon, it dates back to the early days of travel when travellers were accommodated in monasteries, inns, homes and hostels. Community tourism is dependent on the community itself its attitude towards tourist is recognition of the value of tourist business and the steps it takes to stimulate and promote it. It requires the involvement of the community as a whole and a strong working relationship with the tourism sector.

Community-Based tourism exists and can only be successful when there is a participation of the community in which the product is located. There can be full participation meaning that the community controls tourism in their local or limited participation of the community personnel. (Teaching Tourism in the Caribbean, December 2000)

Why Community Based tourism

Jamaicans sometimes feel left out from the tourism industry and do not believe that they benefit from the tourism therefore it is important for individuals to become stakeholder as they will now have a reason to protect and sustain the industry.

Community tourism is identify as an avenue to sustain growth, environmental sustain-ability enhanced visitor experience and community development. This would result in it being an inclusive industry where the benefits from tourism are spread more widely. (Team Jamaica, 2000)

Benefits of Caribbean based tourism

Increased employment both directly and indirectly.

Increased opportunity for social and cultural intercourse.

Increased income – the improvement of infrastructure and enhancement of the community

Improve quality of life

Principles of Community Tourism

Community Tourism is a new appearance. It is a spirit that spread throughout all sectors of the tourism industry. Community Tourism is about levels of relationships between the host country and the visitor.

What is appealing to the visitor is found among the varied natural attractions, local resources and talents, and indigenous attributes of a community or area. Through visitor-community interaction, respective cultures are explored, ideas and information are exchanged, and new friends are made. (http://www.communitybasedtourism.info/en/community-based-tourism/community-based-tourism.asp, n.d.)

Community Tourism fosters opportunities at the community level for local people wishing to participate more fully in the tourism industry. This may range from organising bed & breakfast accommodation in a rural home to creating income-generating tourism opportunities for an entire village.

Community Tourism is managed tourism in its profoundest sense, taking into account evolving travel trends in such areas as the environment, study and research, seniors travel and other special interests.

Community Tourism products and services are geared to address these trends and to satisfy the interests of emerging travel markets. Key clientele includes:

The mature market

Study and Research groups, including schools, universities, colleges and research based organizations

Church groups

Environmentalists, botanist, ornithologists and nature lovers

The independent traveller

Afro-Americans

Caribbean Nationals – at home and abroad

The vision of Community Tourism is to expose the local resources and talents, and make the concept a reality for local people. Community Tourism embraces eco-tourism, cultural tourism, adventure tourism, recreational tourism, geo-tourism, heritage tourism, health tourism, farm tourism and all the popular special interest tourism.

Community-based tourism, therefore, is a combination of tourism products offered at a community-level to domestic or international visitors. In the Jamaican context, community-based tourism usually refers to visitor interaction with local people in the rural areas outside of the traditional resort areas. Community-based tourism does not mean that the rules that apply to traditional tourism sub-sectors do not apply them. The principles of health and safety for visitor’s drive tourism regardless of the setting in which the product is offered.

Community-based tourism, however, offers a unique opportunity for Jamaica. The process of community-based tourism development if managed effectively has the potential to alleviate poverty and illiteracy. Community-based tourism also has the potential to develop the natural creative energy of Jamaicans by transforming average citizens into entrepreneurs. It can be used to develop strong partnerships by twinning existing traditional tourism entrepreneurs with aspiring non-traditional tourism entrepreneurs. It can be combined with the existing tourism product offerings to create a uniquely Jamaica experience. Community-based tourism can be a stand-alone venture or a partnership of the traditional and the non-traditional products blended with Jamaican charm, culture and heritage to create a community tourism spirit that culminates in a truly Jamaican experience. Community-based tourism can bring out the best in the Jamaican people

In developing community-based tourism products it is essential to understand that:

Local conditions, culture and knowledge will influence the outcome.

Each community has its own identify and values.

Tourism works within a system.

The tourism system defines the rules for local tourism.

Developing a business is a process.

International standards play a significant role in product development and marketing.

Each agency on the team has a specific role to play in the development of the community-based tourism product.

Failure to learn the rules and to manage effectively and efficiently the process results in failure at the local and national levels.

External Challenges

Global competition for tourism business

The forces of globalization advocate the free movement of goods/services, capital and labour by opening up the world markets for trade.

Globalization has expanded global corporate reach and control.

The challenge is that the region now has to invest in meeting international standards.

Worldwide the hospitality industry is having difficulty attracting motivated and dynamic employees because of its image as primarily offering low pay, low status jobs, with long, demanding working hours and difficult working conditions.

Modern technology is rapidly changing the way business is conducted in travel and tourism. With the increasing use of computers by businesses to gain competitive advantage and the dramatic increase in the use of the Internet by travellers, tourism businesses have to invest in the new technologies and train their people in the use of these technologies to remain competitive.

The use of distance learning is revolutionizing campuses worldwide as, through the use of multiple technologies.

Special attention needs to be paid to addressing the human resources needs of small, medium and micro tourism businesses in the region which make up the bulk of the sector, and which are locally owned and managed for the most part..” (Morgan, CTO, 2001)

Challenges in the Hospitality Industry

The Hospitality Industry faces three major but interconnected challenges, namely globalisation, the growing importance of knowledge as the engine of economic development and national prosperity, and the impacts of the information and communication revolution, all of which have striking implications for education institutions and economies.

Polytechnic West has risen to undertake the above challenges with the introduction of the Associate Degree of Hospitality Management. The course aims to combine current industry practices, combined with a rigorous vocational and academic course curriculum required of managers to face these challenges. The course curriculum focus on hospitality operational skills, management best practice, and the skills needed for continued learning in an ever changing environment.

In The Associate Degree of Hospitality Management the assessments are mainly by examinations, presentations and tutorials. The questions are developed with the goal of assessing not only the student’s awareness of current theory and practice, but to evaluate the degree of reflection and analysis that may contribute to its operational application. The learning environment for the Associate Degree Hospitality Management is conducted in small classes and highly qualified lecturers with relevant industry experiences.

The qualifications offered by Polytechnic West is a two year Associate Degree Hospitality Management program which has a direct pathway to the final year in the Bachelor of Commerce majoring in Hospitality and Tourism at Murdoch University. Alternatively the Associate Degree in Hospitality Management is a recognised management qualification which prepares graduates for rapid career advancement within the Hospitality Industry given sufficient experience.

The tourism and hospitality industry is a sphere in which attainment of supervisory and management positions can occur at a young age with relevant experience and qualifications. As an Associate Degree graduate, there can be multiple career opportunities and directions which include supervisory and management roles in food and beverage, event management, accommodations, marketing and Human resources in the hospitality sector.

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D

Distinction

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70 – 79%

C

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60 – 69%

P

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Below 50%

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Fail

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Did not participate in any assessments

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Supplementary

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45 – 49%

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Letter
Grade
Interpretation

G

Good Standing

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NA

Not Available

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a delay is caused by the unavoidable absence of the Higher Education Course Coordinator;

where an examination script has yet to be received by the College;

where the final grade is under consideration due to disciplinary action or administrative encumbrance;

where the Higher Education Board of Examiners has approved assessment in that unit taking place after the assessment period for that semester, including where the repeat of a component (e.g. involving practical work or a placement) cannot reasonably be arranged within the semester period.

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S

Supplementary

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Q

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UNIT SYNOPSES
INTRODUCTORY STUDIES IN HOSPITALITY AND TOURISM (64371)

This unit examines today’s travel and tourism industry from a global perspective, with specific insights into the economic, political and social forces that drive and shape it. It also looks at the tourism product and its markets. The unit also focuses on the economic impact, socio-cultural, environmental impacts of tourism and the development of sustainable tourism.

The unit takes a systematic approach to the study of tourism and its links to the hospitality industry. It covers tourist types and behaviour, the role of places in tourists’ itineraries and their experience, environmental impacts, sustainability and eco-tourism, cultural impacts and authenticity, the impacts of events, and the structure of tourism industries.

HUMAN BEHAVIOUR IN THE HOSPITALITY INDUSTRY (64732)

This unit looks at analyzing the behavior of people at work in the Hospitality Industry. It will recognise the importance of effective management of people in the work situation, and evaluate personnel policies and procedures related to the hospitality industry. The unit will also identify the nature of the hospitality industry, staffing characteristics, interrelationships and behaviors of people.

ROOMS DIVISION MANAGEMENT (64388)

This unit is designed to familiarize students with management of the accommodation sector of the hospitality industry. The principles and procedures in the provision of quality tourist accommodation are studied with emphasis on front office, housekeeping, concierge and security & safety. The unit has a managerial focus, and will look at how to manage properties efficiently, effectively and profitably.

The unit will also provide an overview of the legal responsibilities of managers and the impact of new technologies on the industry. Students will be introduced to Fidelio, a current Front Office computerized property management system (PMS), in a practical environment, to enhance their understanding of the course concepts.

LEGAL ENVIRONMENT (64374)

This unit looks at the legal system in terms of civil liability, contract law and workplace environmental law. It provides the skills and knowledge to manage employment law and industrial relations, health, safety and security issues within a tourism or hospitality context. The aim of most legal systems is to provide a means of resolving conflicts in a fair and harmonious way. All legal systems are strongly influenced by the major forces that shape the society in which they operate.

HOTEL AND RESTAURANT INFORMATION SYSTEMS (64375)

This unit is designed to familiarize students with systems which are used in the hotel and restaurant industry. Information systems and the increasing application of technology to the hotel and restaurant industries will be analyzed from a conceptual and theoretical perspective. The unit has a managerial focus, and will look at the human issues of using information systems in the hospitality industry. In particular, the unit will provide an overview of the impacts of technology on the managers, workforce and customers of the industry.

Students will encounter a range of theoretical and practical applications of information technology, which are unique to these industries including reservations systems, guest history systems, electronic point of sale systems, and guest driven applications such as automatic check-in and automatic checkout

INTRODUCTION TO MANAGEMENT (64376)

This unit looks at the rapid and unpredictable change characteristics today’s work and social environments. What might have worked yesterday is unlikely to work in today’s vastly different environment. We can no longer structure organizations and mange people as we did ‘yesterday’.

Today’s managers must have broad management skills and styles, which they will continually adapt and develop. Pressure is on the manager to increase productivity and lead in a more participative, consultative way. Technological advances will proceed in leaps and bounds. Work patterns will continue to change dramatically. Our economy will be volatile until it adjusts and gives way to a global economy.

INTRODUCTION TO ACCOUNTING (64377)

This is an introductory unit and the focus is on the definitions, concepts, principles and theories necessary to develop a clear understanding of accounting statements, their uses and their limitations.

The unit concentrates on the needs of users of financial statements; and includes parties external to the organisation (for example, investors, employees, government, shareholders and the general public) and internal users (for example, management).

FOOD AND BEVERAGE MANAGEMENT (64378)

This unit is designed to familiarize students with management of the food and beverage sector of the hospitality industry.This unit will provide the students with knowledge of functions and responsibilities of a food and beverage manager and activities of the all food and beverage outlets. The unit also looks at how to manage the food and beverage department efficiently, effectively and profitably.

PRINCIPLES OF COMMERCIAL LAW (H2045)

This unit introduces students to the Australian legal system, its operation and development, and to the principles of law applicable to core areas of business, such as contract law, tort law and agency law.

CONSUMER BEHAVIOUR AND SERVICES MARKETING (64380)

This unit deals with the skills and knowledge required by marketers to understand consumer behavior and then use the information in demonstrating effective services marketing. Factors that have contributed to the development of consumer behavior and services marketing include the fast pace of new product introduction, shorter product cycles, the high rate of new product failures and the increased interest in consumer protection by private groups and public decision makers and concern over the environment. Consumer behavior and services marketing have become an integral part of strategic market planning.

This unit also aims to provide an understanding of the theory and practices in the development and execution of service marketing strategies (both consumer and business-to-business services).

MANAGING PHYSICAL ASSETS (64381)
The unit highlights the fact that facilities play a major role in the hospitality industry and guest satisfaction. They can provide an appealing visual environment that contributes to the overall ambiance, experience and comfort of the guest.
The unit also serves to provide the awareness and knowledge to make appropriate decisions in managing the maintenance in a hospitality building. Properly managed systems from design to operations can result in considerable long-term savings or on the contrary, the failure to manage such systems can result in significant long term costs.
ORGANISATIONAL THEORY AND BEHAVIOUR (H2044)

This unit provides a basic understanding of individual and group behaviour in organisations, as well as exploring some organisational theories and management processes. Topics include: individual dimensions of behaviour — personality, perception and learning, communication and motivation; groups and interpersonal influence — structure, values, interaction and leadership; and organisational issues such as structure, processes, design, decision making; organisational change and development. Globalisation and sustainability are embedded into this unit as recurring themes.

HOSPITALITY AND TOURISM MANAGEMENT (64383)

This unit examines today’s hospitality and tourism industry with specific insights into the economic, political and social forces that drive and shape it. The scope of the hospitality industry comprise of businesses that provide services and facilities such as accommodation, food, beverages, entertainment, gaming and related products.

The hospitality industry is a sector of the broader tourism industry. Tourism is an essential ingredient to the economic well-being of many regions in Australia. Demand for product and services have become increasingly price sensitive and environmentally friendly. As such, this unit deals with the skills and knowledge required to develop and monitor a business plan.

EVENTS MANAGEMENT (64384)

This unit looks at the responsibility of better defining event objectives, site selection, developing timelines, budgets, and all logistical details. These details include but are not limited to registration and hospitality, food & beverage, meetings and keynote speakers, ground transportation, activities, VIPs, accommodation and billing.

PRINCIPLES OF FINANCE AND BANKING (H2043)

This unit exposes students to the application of financial mathematics to various personal financial decisions including valuing debt, equity, and hybrid securities. In the process, characteristics of these securities are detailed and valuation incorporating the respective security’s cash flows, time value of money and the associated risk are presented.

The unit also addresses the principles of maximising shareholder wealth and firm value. The interplay between these principles is examined by consideration of information asymmetry between the different stakeholders

HUMAN RESOURCE AND ORGANISATIONAL DEVELOPMENT (H2046)

This unit aims to explore the choices organisations have for assisting employees to work effectively and adapt to change. The unit introduces the role of human resource management (HRM) to organisation development. Individual, team, HRM and strategic concepts are linked to the strategies and processes organisations and individuals use to proactively promote organisational citizenship throughout change.

Visiting Madrid – The City That Never Sleeps!

Madrid – The City That Never Sleeps!

Hola! (Hello in Spanish)

Madrid, a city located in the middle of the Castilian plateau is the capital city of Spain. Madrid is called the London of Spain and is known for its 18th century architectural monuments and palaces and also for its home football team. At Madrid, you can stroll around its streets, visit its palaces during the day, watch a flamenco show, drink sangria and make it your perfect holiday. Madrid holidays can go on till sunrise with nightlife going on till almost 6am.

Best Season to Visit Madrid

Weather in Madrid can be unpredictable with extreme temperatures but Madrid has dry weather for the majority of the year. The best months to visit Madrid are the summer months from April to June and the autumn months from September to October. During winter, Madrid gets snow for only a few days.

Highlights (Special things to do in Madrid)

Visit the amazing Plaza Mayor Square, the main landmark of Madrid for the actual Madrid experience.
Enjoy the city’s aerial view of the massive palaces and gardens on a cable car ride.
Try the Chocolate Con Churros (Spanish donuts) which is a specialty in Madrid given with a cup of chocolate sauce.
Indulge yourself with a carafe of Sangria and enjoy a romantic dinner with your loved one at Las Tablas at the Plaza Espana.
Try the delicious traditional Spanish tapas, spicy beef tripe and chickpea stew with meat and vegetables.
Watch a Flamenco show and learn a few dance steps. This is one of the top things to do in Madrid.
Visit a nightclub to feel the music and experience the nightlife energy of Madrid.
Do not miss the bull fight at Las Ventas Bullring if you visit Madrid during May. This is the season for bull fighting festival called San Isidro.
Enjoy the Spanish culture watching films, dance, music and theatre performances at the Circulo de Bellas Artes.
Enjoy the streets of Madrid filled with music and festivities during the La Paloma festival.
Visit Madrid’s art museum Museo El Prado (Prado Museum) which is the home of the best European painters including the famous Velazquez.
Walk into the football field and dressing room of Real Madrid’s stadium Santiago Bernabeu.

Hotspots of Madrid

Plaza Mayor Square (originally called Plaza del Arrabal): This is a huge traditional Spanish architectural square located at the center of Madrid. It has cafes and traditional Spanish restaurants and stores. It is the location for bullfights, celebrations, soccer games and markets.
Royal Palace: This is the official residence of the Spanish Royal family. The entrance to the palace is through the vast beautiful Plaza de la Armeria.
Buen Retiro Park (Park of the Pleasant Retreat and also known as Retiro Park): This is a must visit park with beautiful landscapes and lots of activities round the year. The park has puppet shows and other performances and free concerts. You can also enjoy a boat ride or a ride on the horse drawn carriage for a fairy tale holiday.
Golden Triangle: This consists of the Prado, Thyssen-Bornemisza and Museo Nacional Centro de Arte Reina Sofia museums; the three art galleries are located within a short distance from each other and hence the name.
Royal Theatre: Known as Teatro Real, this is Madrid’s Opera House. It has rich interiors that adds effect to the performances.
Plaza de Cibeles: Cibeles Palace (Palace of Communication) has a stunning look and cannot be missed from anywhere in the city. The surroundings of the palace take you back to the 18th century.
Templo de Debod: Originally built on the Nile Valley in Egypt, it was brought to Spain via ship and then train and then reconstructed in Madrid. There is a museum inside which displays paintings and pictures telling the story of the temple.
Nightlife in Madrid: Break a leg to Spanish music after midnight at the various nightclubs like Ole Lola, Joy Madrid, Marula Cafe, Liquid or Soul Station. The clubs have traditional tasty Spanish tapas and other traditional Spanish snacks and music from evening till the next early morning.

Shopping in Madrid

Visit the Sunday flea market at El Rastro with street music and performances, a must visit place in Madrid. Be careful in this area as it is known for pickpockets. Fuencarral Market (Mercado de Fuencarral) that is open till midnight has lots of shopping and loads of cafes, exhibitions and cinemas. Retail shopping with international brands is found in Salamanca and Goya Street. Plaza Mayor has Calle Toledo and El Mercado de San Miguel (San Miguel Plaza) if you want to shop for traditional Spanish products like leather and jute goods. Calle Ortega y Gasset and Jorge Juan St are the places for high end shopping and designer products. If you want to shop designer products at almost half the price then visit Las Rozas Village Chic Outlet at Las Rozas. Plaza de Espana in Madrid’s city center and Salamanca have huge shopping malls with a wide range of retail outlets and eateries.

How to reach Madrid

By Air – Adolfo Suarez Madrid-Barajas Airport or the Barajas Airport is the home of Iberia Airlines and is one of the largest airports in Europe. The airport has direct flights to all major cities in the world. The local transportation modes are available throughout the day and night with buses, trains, metros, taxis and 24 hours shuttles making it easy for tourists to arrive into the city at any time.

By Train – Chamartin and Atocha are the two train stations on Madrid that are well connected with the other areas in the city as well as cities outside Spain.

By Road – You can rent a car from the several car rental companies including Hertz, Europcar, Avis, Budget and others which have their offices at the airport, bus and train stations. Ensure to check the route much prior to any turns as GPS signal may not be available if you drive through the underground tunnels.

By Bus – There are 8 bus stations connecting cities within Spain and outside. The main bus station is the Estacion Sur de Autobuses where you can purchase tickets for all bus services even if they depart from a different bus station. Avenida de America bus terminal would be the place if you are travelling to/from Barcelona.

How to get around in Madrid

Madrid’s Metro network system is the second best in Europe after London. Metro is the most efficient way to move around the city. A single ticket will cost you between 1.5 and 2 Euros for 5 stations and the travel pass for unlimited travel within a day will cost you 8 Euros. The sign boards are in English and Spanish but the announcements are only in Spanish.

By Tram – Madrid has the Metro Ligero de Madrid network which connects 38 stations with 3 lines which makes it convenient to travel to any area within the city.

Cycles are recommended only to explore the narrow streets of Madrid or to cycle on the cycle paths available near the river side and parks. You can rent the regular cycle or an electric cycle from the cycle renting places which also offer guided tours.

Buses in Madrid cover the areas which are not covered by the metro. They offer free Wi-Fi facilities on their buses. There are night buses that are available almost every 20 minutes.

The local train called Cercanies has good connectivity between the city center and suburban areas and also some local villages. You will not have to take the train for most Madrid attractions.

Taxis are easily available anywhere within the city. Watch out for the taxi drivers driving through a longer route and crowded areas to increase the fare. Driving a car within the city can be cumbersome with traffic jams, narrow streets and limited parking space. Renting a car is not a good idea to travel within Madrid; it would be a good idea if you are traveling outside the city.

Top areas in Madrid

Madrid Centre – Located at the center of Madrid, this is the area to stay in if you are a tourist as it has the maximum number of hotels and most landmarks and monuments are located close by. The Hop-On Hop- Off buses also pass through this area making it a convenient location for a Madrid tour.

Barrio de las Letras (District of Letters) You can see the Spanish culture in this area with squares, museums (few minutes to Prado Museum) and sidewalk cafes. The streets of Barrio de las Letras have inscriptions from famous Spanish writers.

Salamanca – This is considered as the area for the elite with high end houses and highly valued real estate. You can shop for high end designer products at Goya Street in Salamanca. The area has a lot of fine dining restaurants and classy pubs.

Malasana – This area is popular for its shopping and eateries and is an upcoming area. Malasana is similar to the Camden area in London where you can walk around on a Sunday afternoon visiting unique shops and sidewalk cafes with the local traditional Spanish snacks and coffee.

Chueca – Located very close to the city center, it is known for its Europride procession (march for the gay community) and lively and colorful neighborhood with unique stores, outdoor cafes and pubs. The most known Fuencarral market is at Cheuca.

Moncloa-Aravaca – Also known as Moncloa, it is located close to the city center and is popular for its residential properties.

Bajaras – The area with Madrid’s airport has a lot of budget hotels for tourists just outside the city. Fortress Castillo San Felipe de Bajaras (World Heritage Site), located on Hill San Lazaro is located in the vicinity.

Lavapies – This is one of the areas in Madrid where you will find restaurants and stores which are not traditional Spanish due to the large immigrant population living in this area.

San Blas – This is the old town of Madrid with narrow streets and old buildings.

Tetuan – This is not an area to stay at unless you want a long holiday with budget accommodation.

Gracias! (Thank You in Spanish)

Macro Environment Influences Of The Airline Industry Tourism Essay

In terms of the case, it suggests that the environment of airline companies is not very stable, especially the increasing price of fuel which is the key driver of change. From Ryanair profit statement (Exhibit 1a) it shows the fuel and oil cost has increased by ˆ200 million from 2005 to 2006. The increase in fuel costs is 74 percent. The impact to the airlines companies is obvious and the budget airlines may face the trouble more so than normal airlines. Moreover, airline companies also have to concentrate on some other issues. For example, according to the case, they are facing the risks from terrorist attacks which are difficult to predict.

It is not difficult to find the changeability, however it is complex to the airline environment. Some factors, such as legal action and customer demand, also have influence on them. Some of these such as the price of fuel and oil can be predicted, while some of them cannot.

Stage 2 – Audit environmental influences

The Pestel Analysis is employed to identify macro-environment influences of the airline industry.

Political: Government wants to strengthen the economy and, consequently, will support local airlines by setting rules, such as preferential rights. Every government however, will probably do so. Therefore there’s no obvious advantage between competitions. The political issues have a wide range of effect, so they are not the key points that budget airlines are facing.

Economic: This is identified as the most crucial factor to airline companies, especially to budget airlines. The influences refer to the macro-economic factors such as the national growth rates and the exchange rates. As budget airlines, they will pay more attention to the operation costs such as fuel cost. It became a big issue for budget airlines because of the increasing cost of fuel. That may reduce the advantages and the companies will be less competitive than before. On the other hand, the recession will lead more people to choose budget airlines.

Social: With the development of Asian countries in particular China, there are more and more people deciding to study or travel in Europe. In recent years, the lifestyle of local people has also changed. They tend to travel abroad to enjoy their lives. Most of these people are not wealthy such as student. The budget airlines therefore, will be their best choice to reduce the travel costs.

Technological: The innovation of technology helps the airline companies reduce costs and carry out tasks more effectively. The new type of aircraft can help to reduce the burning of fuel; and new technology can also make the security check more efficient and accurate.

Environmental: European countries pay more attention on environmental issues, especially greenhouse gases from carbon emissions. Moreover in terms of the case, airline companies have to pay the environmental taxes for the contributions they make to global warming. In particular, it is bad news for budget airlines. Costs will increase and the companies want to maintain good brand image in the consumer’s perception. Furthermore, noise pollution and energy consumption cannot be ignored under such conditions.

Legal: Some legal actions such as preferential airport rights are directed against the specific airlines. As budget airlines, which have higher competitive power, they should pay more attention to the legal forces to prevent loss. On the contrary, they can also take the initiative over illegal aid to rivals.

Stage 3 – Determine industry specific factors (this stage will be analysed in Question 2)

Stage 4 – Identify competitive position (this stage will be analysed in Question 3)

Stage 5 – Identify key opportunities and threats

There are many potential opportunities for the airline companies. For instance, the recession may lead to more people choosing the budget airline rather than the expensive ones; new technology which helps to reduce the usage of fuel; government set the tax at a lower percentage.

On the other hand, the increasing cost of fuel may be the most significant issue most budget airlines face. What’s more, the compensation to passengers, terrorism and security, and customers’ satisfactions will all have potential negative impacts on the airline. In order to achieve lower costs, budget airlines will have to reduce costs from many departments and operations. That’s why lots of customers are not satisfied with the budget airlines except for the price.

Question 2

Prepare a Porter Five Forces analysis of the budget airline industry. Express Ryanair’s perspective of these forces.

The threat of entry

There are high barriers to enter the budget airline industry. i) High investment requirements. Economies of scale are important in the airline industry. It is difficult for new entrants to match others existing competitors. In addition to this, the operational experiences cannot be acquired in such short space of time. ii) Expected retaliation. Retaliation will take place when new entrants appear for budget airlines, it will probably be in the form of a price war due to costs of entry being very high for them. iii) Legislation or Government action. Government won’t let new entrants enter the market if the industry is saturated.

With regards to Ryanair in the budget airline industry, there will not be large impacts to existing budget airlines if new entrants appeared. Budget airlines always focus on the costs and price, so does Ryanair. According to the case, Ryanair was the first budget airline in Europe and now its ticket prices are much lower than the other rivals’. Therefore it will be impossible for new entrants to set a low price to win the market.

The threat of substitutes

Before discussing the threats, some comparative data is showed below.

Round Trip by Ryanair Flight:

London Stansted – Milan

Going Out

Regular Fare

Adult

8.99 GBP

Tue, 2 Dec 08

Flight FR 4184

8:15 Depart

11:15 Arrive

Coming Back

Regular Fare

Adult

12.99 GBP

Sun, 8 Dec 08

Flight FR 4185

6:45 Depart

7:50 Arrive

(Source: Ryanair.com)

One way by Rail Europe:

London (ST Pancras) – Milan

Standard Class

Adult

227 GBP

Tue, 2 Dec 08

8:40 Depart

21:20 Arrive

(Source: Raileurope.co.uk)

Most of the travellers will prefer the short journey, in addition to the cheaper way to travel. From the tables it is obvious that taking a plane from Ryanair is much cheaper than taking the train in a similar situation. Although some airlines may be expensive, budget airlines such as Ryanair will usually be the best choice. The impact of substitutes, therefore, has less impact on the budget airlines.

The power of buyers

Buyers of airlines tickets can sometimes be the travel agency. In other cases, Ryanair caters to ultimate consumers. Majority of the buyers are not concentrated buyers and they come from all over the countries. Individuals can select the budget airlines according to their preference, because the switching costs are low and the differentiation of such service is weak. It is extremely expensive for people to own an aircraft. When there is a choice of budget airlines to use, with low prices. So there is a low buyer competition threat. Like Ryanair, with less concentrated buyers and buyers’ competition threat, the power of buyers is low.

The power of suppliers

The high power of suppliers may be one of the most significant threats among the budget airline industry. The increasing price of fuel, which leads to a high cost for airlines, is a basic issue they are facing. As we know, fuel industry is now concentrated in the hands of few producers. Therefore, in this situation it is difficult to cut the price for this essential material. In addition to this, it is useless to change fuel suppliers when the global price is growing. Moreover there are no practical substitutes. Ryanair is facing this problem with other budget airlines.

Furthermore Ryanair sells all the ticket directly through the website. Thus there is no intermediary.

Competitive rivalry

Rivalry is influenced by these four competitive forces and each of them may have different levels of impact on the competitive rivalry.

In this market, every airline provides the same services which are poorly differentiated. Low differentiation and switching costs in this industry, therefore, cause the price competition. Ryanair, which has the first mover advantages, still holds the dominant position. Although many of the competitors were losing money or even have been taken over, Ryanair remains steady in incremental growth.

For industry growth rate, this industry is in the maturity situation of life cycle, which means the growth is low. Price war is therefore playing a crucial role throughout the competition.

Question 3

Evaluate Ryanair’s particular strengths and weaknesses and explain, with reasons, what Ryanair must do to retain a sustainable competitive advantage.

As the first-mover of budget airline industry, Ryanair still holds the dominant lowest-cost position. This is also the one of the strengths it has. What’s more, Ryanair was announced being the most profitable airline in the world according to the case. The revenue is still increasing, despite the price of fuel did not stop growing in recent years. The brand image of Ryanair is also one of its strengths. Customers are attracted by the lower price. Its traffic is the highest among the competitors (see Exhibit 2) and it is still increasing due to the enlargement of the company.

On the other hand, there are still some weaknesses of this budget airline leader. In terms of the case, Ryanair win the market mostly depends on the costs. However, the costs of its major raw materials are increasing rapidly these years. This will be a serious issue. Further, minimize costs largely will cause the lack of service and training quality and so on. The Skytrax star rating (See Exhibit 2) indicates Ryanair is below the average level. Besides, competitors contribute big influence to Ryanair. For example, Easyjet which is a young upstart of the European budget airline industry grows quickly with a large number of market shares.

It is obvious Ryanair makes success base on its price advantage, and how to sustain this advantage become very crucial issue in recent situation.

Keep first mover advantages. Long history with experiences, well-known brand image and economy of scale, these are the unique resources of first mover advantages. It is difficult for competitors to get these resources at a similar level. Therefore, in order to prevent the competitors from copying the same strategy as cost reduction, Ryanair must make good use of these unique resources and try to dominate the market.

Technology. Purchase and introduce the latest technological support. Although the fixed costs will be high, they can help the airline carry out tasks more efficiently and effectively such a new security check machine. Moreover it can also help to reduce the variable costs. For example, according to the case, new type aircraft produced 50 percent less emissions, 45 percent less fuel burn and 45 percent lower noise emissions per seat. They help Ryanair reduce the fuel cost with a lower pollution to environment.

Unique cost structure. A cost structure which aims to minimize the costs must be set up. In particular to fuel cost, the fluctuations are subject to unpredictable and volatile world events according to the case. It is important for Ryanair hedge the risks before the price goes up suddenly. On the other hand, choosing the secondary and regional airport destinations is a good way of the structure. Moreover, the internet is used to reduce distribution costs.

Service quality / Customers’ satisfaction. Customers will normally associate low price with low service benefits. Ryanair was voted the world’s least favourite airline due to its bad service such as unfriendly staff and poor legroom. However it still won a great number of customer base on the price. Thus if some competitors cut down the ticket price to a low level, Ryanair will get into a big trouble due to the similar prices but lower service quality. Therefore it must not only focus on the price but also the service. In order to gain competitive power, for example, brand loyalty can be one of the aspects.

Government / legal actions. Ryanair should take care of the government and legal actions and moreover, can take the initiative over illegal aid to rivals. These may prevent the unnecessary loss.

In summary, Ryanair, as the cost leader in budget airline industry should not only focus on the costs but also lots of other issues. Although it is developing rapidly and successfully, the future is unknown. The uncertain environment is changing all the time, thus Ryanair should always follow it and make the long-term plans in order to retain a sustainable competitive advantage. Grasp the opportunities, and it will has a bright future.

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The development of the low cost airline industry in asia

1. Introduction

This report will address the assignment topic. ‘Discuss the development of the low cost airline industry in Asia. The topic chosen for this report is the development of Low cost airline in Asia Tourism industry. To address the complexities of this topic, it is necessary to begin the report with an understanding of low cost airline and Aisa tourism industry. In a broader area, it is necessary to concern the impacts of Aisa, and implication for the future. It is important to keep in mind the global impact on the Tourism Industry that these changes could have. However, base on the limitation of time and information, this report will focus on China, Hong Kong, and Japan to investigate all of the issuse of low cost airline.Moreover, because these three regions are most popular to discuss and people will familiar with the situations of these regions.Therefore, the following content will investigate these three regions and all of the issues.

2. What is Low Cost Airline?

According to ITF (2002), the operation model of low cost carrier is point to pint services, usually low cost carriers will mainly focus on short haul flight between 400 -600 nautical miles, even they will not have catering and entertainment service inflight.

Moreover, they will use one aircaft type to enhance the utilisation and reduce the maintanace cost; also they will often using secondary airports with cheaper landing charges. In addition, they will focus on the lower income market and base on the time of booking and choice of flight

3. The Developmet of Low Cost Airine

Refer to Thomas Bieger, Andreas Wittmer (2006), in the early 1970s, the first Low cost airline mode was operated by Southwest Airlines in the United Stated. For the charateristics of this mode, the Southwest Airlines was just providing the single class and no frills air travel services that means they will no provide the meal and snacks, and just provide the economic class for passengers. Moreover, the fare price was low and high restriction, that means the fare will have a high penality for those who need to change the time and location of the fare.

Base on the liberalisation, deregulation and release of open skies policy. More Low cost airline was inccur and base on the growth of air travel (WTO 2002), the demand of aircraft was huge. Therefore, air travel was a potental market to develop.

For the development of Asia, In 1998 the two low-cost carriers, Skymark Airlines and Air Do, entered, respectively, the Tokyo-Fukuoka route and the Tokyo-Sapporo route. In South Korea, the LCCs, Hansung Airlines and Jeju Air, entered the domestic market in 2005 and 2006 respectively, and two more LCCs, namely, Yeongnam Air and Jin Air, just entered the market in July 2008. In Hong Kong and Macau, the two Special Administrative Regions of China, Oasis Hong Kong and Viva Macau are the

respective LCCs, both serving long-haul international routes – in effect, established in 2004 Viva Macau is the first long-haul LCC in Asia

In 2005, the first low costairline was established in China which was Spring airline. Spring Airline was established by Spring Travel and their operation model was quite similar to Southwest Airliness, they also just provide single class and no frills services. Spring Airine was just provide the domestic flight and have about 34 routes within

China.

4. Feasibility Study of Potential Market

According to World Airline Report (2008), In 2008 the Revenue passenger kilometreswas about 355,243. For 2009 the Revenue passenger kilometres was about 313,469.Although, the revenue was decrease about 11.8% (Figure, 2). However, it was huge revenue for the airline idustry within Asia Pacific. On the othe hand, in 2009 the amount of passengers was abot 75,363,000 and in 2008 the amount of passengers was about 84,586,000 (Figure, 2), and decrease about 10.9%. However, it can prove that the Asian market still have a large demand of the aviation industry.

3. 1 China

Base on the World Tourism Organisation Report (2004), About 108 million foreign visitors travelled to China, and 18 percent increase from 2003 and a 10 percent increase from 2002.Foreign tourists who stayed at least overnight reached 41 million, up 24 percent from 2003 and 11 percent from 2002.

Moreover, foreign exchange revenue from tourism reached 25 billion US dollars, a 47 percent increase from2003 and a 25 percent increase from 2002. In addition, the number of domestic tourists will reach 930 million.Domestic tourism revenue isexpected to exceed 400 billion Yuan, 5.9 percenthigher than that of 2003 and 3.1 percent higher than that of 2002.

3.2 Hong Kong

On the other hand, in 2004, Hong Kong obtained over 21.8 million tourist arrivals, representing an increase of 40.4% as compared to 2003.Moreover,the strong performance of the tourism industry was mainly attributable to the spectacular growth of the Mainland arrivals, especially after the implementation and continual expansion of the Individual Visit Scheme which covers residents of Beijing, Shanghai Guangzhou, under the auspicesof the Close Economic Partnership Agreement(CEPA) with Mainland China.

During 2004, over 12.2 million Mainland tourists visited Hong Kong,with over 4.2 million travelling under the Individual Visit Scheme. Meanwhile, other major overseas markets also exceeded pre-SARS level andare growing healthily.

3.3 Japan

According to World Tourism Organisation Report (JNTO) international visitors to Japan in 2004 (January to December) is estimated to be 6.1million tourists, up 17.9% from last year.

Base on World Tourism Organisation Report (2004), the total number of Japanese travellers to Republic of Korea in 2004 was 2.4 million tourists and it exceeded the same figure in 2002. This is attributed to the popularity of Korean TV dramasinJapan.The total number of Japanese travellers to China in 2004 (January to November) was 3 million.

The total number of Japanese travellers who went to Taiwan, province of China and Singapore was 890,000 and 598,000 respectively. Both figures exceeded 2003 figures when SARS was an issue, but did not reach the figure of 2002.

4. Low Cost Carrier Contribution in China

According to Civil Aviation Administration of China Report, In 2007, GDP reached 24.6619 trillion yuan, an increase of 11.4%, the fifth consecutive year growth rate of more than 10%.

Base on the CAAC report, over the last five years Chinese civil aviation has seen a rapid growth, averaging 20 % annual growth rate. In 2007, the completion of the total

Transportation turnover 36.53 billion ton-km, passenger turnover 279.17billion person- kilometers, passenger transport volume of 190 million passengers, cargo and

Mail turnover 11.64 billion tonkm, cargo and mail transport volume of 4.019 million tons, respectively, compared with 19.5% last year17.8%, 16.3%, 23.5%, and 15.0% (Figure 1,3)

Low cost airline to complete a total turnover of 1.85 billion ton-km, an increase of 216.9 percent, accounting for 5.1% of the industry, an increase of 3.2 percentage points (Figure 2)

4.1 Low Cost Carrier Contribution in Hong Kong

By the Census and Statistics Department report (2008), In the first quarter of 2008, Hong Kong’s GNP increased by 6.5% over a year earlier to $427.3 billion at current market prices. The Gross Domestic Product (GDP), estimated at $409.3 billion at current market prices in the same quarter, recorded a 9.6% increase during the period. Compared with GDP, the value of Hong Kong’s GNP was larger by $18.0 billion in the first quarter of 2008, representing a net external factor income inflow of the same amount, and equivalent to 4.4% of GDP in that quarter.

Moreover, Hotel occupancy across all categories of hotels in January 2009 was 79%, eight percentage points lower than in January 2009. The geographic locations with the highest occupancy were Yau Ma Tei/Mong Kok, where hotels recorded average occupancy rate of 85%. The average achieved hotel room rate across all hotel categories was HK$1,117, 10.3% lower than in January 2008.

4.3 Low Cost Carrier Contribution of Japan

According to Department of National Accounts Economic and Social Research Institute Cabinet Office, the report of Quarterly Estimates of GDP (2009), the GDP offirst quarterly was about 521,560 trillion yen, and in 2008 the GDP of first quarterly was about 569,139 trillion yen. Moreover, for the private consumption between 2008 and 2009, the amount of privateConsumption in 2008 was about 312, 069 and in 2009 was about 303,639 trillion yen.

5The Drawbacks of Low Cost Carrires

Base on the analysis of China, Hong Kong, and Japan, although low cost carrires canIncrease the econmoic level of these three regions. However, for the econonmic point of view, when the Gross Domestic Product getting increase, the cost of living will also getting increase. Becase of the inflation problem for the goods and products, people may not affordable to purchase the goods and products. Morover, it will also occurthe unequal income distribution, that means rich guy can get more rich and poor guy will get more poor.On the hand, when the demand of low cost airline increase, that mean the demand of air traffic will increase too. For this issue, it may occur the overcrowding for the airport. The capacity of the airport a limit, if too many flight come to the airport, it may occur the congestion of air traffic, the congestion of runway and apron and increase the accident rate of air traffic.

Moreover, air traffic accounts in a sizeable way in the emissions of carbon dioxide – the most credited international estimates go from a minimum of 3% to a maximum of 10%. However, Aviation accounts for 2% of man-made global carbon emissions, and with current global demand for the aviation industry increasing, it is predicted to grow to 3% by 2026.

6. Conclusion

To sum up this report, after the analysis of the development of low cost Airline in Asia, all of the evidents and data can prove that low cost Airline a continue contribute the Asian regions such as China, Hong Kong, and Japan. Airline Industry is one of the key transports within Asia, the government of these regions, need to pay atttention to develop and control.

But for the further development of Low cost airlines within Asia, there are some barrires will affect the expansion of Low cost carriers. The first one is the deregulation issued, China and Japan are more restrict their sky policy such as Chinese government will restirct the route of the flight and the price stucture of the air ticket, because the government will more protect the local airlines.

Second, China and Japan are lack of secondary airport. For China areas, all of the major airports are main airport. If low cost carrires want to entry this market, they can not redcue the operation cost and can not compete with the regional airlines.

Thrid, Hong Kong aviation market was monopoly by Cathy Pacify; the Oasis Hong Kong was a good example to prove that if the market was monpoly by a large airlineCompany, they can not survive. The last one is the fuel cost issue, although the international crude oil prices have recently fallen from the peak of US$70-odd to US$50-odd. However, the fuel cost is one of the major cost of airline companies. If the crude oil prices return to peak of US$70-odd or higher, the lost cost airline can not survive with this issue. Therefore, for the further development of Low cost carrires these kinds of issue are necessary to concern and may to have greater negotiation of all the countries to discuss all these issues.

Lost World Of Tambun: Theme Parks In Malaysia

The philosophy of marketing needs to be owned by everyone from within the organization. Marketing focuses on the satisfaction of customer needs, Marketing is not only much broader than selling, it is not a specialized activity at all It encompasses the entire business wants and requirements. Future needs have to be identified and anticipated. The marketing concept is a philosophy. It makes the customer, and the satisfaction of his or her needs, the focal point of all business activities. It is driven by senior managers, passionate about delighting their customers.Marketing is not only much broader than selling, it is not a specialized activity at all It encompasses the entire business. It is the whole business seen from the point of view of the final result, that is, from the customer’s point of view. Concern and responsibility for marketing must therefore permeate all areas of the enterprise.This customer focused philosophy is known as the ‘marketing concept’. The marketing concept is a philosophy, not a system of marketing or an organizational structure. It is founded on the belief that profitable sales and satisfactory returns on investment can only be achieved by identifying, anticipating and satisfying customer needs and desires.

INTRODUCTION OF Q1;

Lost World of TambunTheme Parks in Malaysia

The latest attraction from Sunway City Ipoh in Tambun, the Lost World is a new water theme park in Perak set to provide you a fun-filled adventure for friends and family! Nestled among lush greenery and limestone hills, the Lost World has a host of exciting activities to keep you coming back for more.

Question 1:
Your role:

You are required to select a theme park of your choice. You are required to determine their organizational structure, products, markets, and competitors.

Introduction

As part of your research, you will need to define the structure of the franchise and the product that is being offered to the consumer.

Content

You are required to analyze:

Their market strength

Their zone of natural expansion

Brand positioning and marketability of their brand

Suggest steps to improve their sales and profits

Suggest how they can take their business to a global scale

Summary

Conclude your research by summarizing all the above and provide a final solution on how the theme park may thrive in a completion market place.

All cost for the event and portfolio must be self funding. Olympia College will not be responsible for any cost or any unforeseen circumstances occurred during this event.

Answer Q1

As part of our assignment, I have chose the Lost World of Tambun theme park as my choice for doing my assignment. From my own research, there is five main elements which make up this world of adventures which is as stated in the structure belowaˆ¦

Jungle Wave Bay
CLIFF RACER
Tiger Valley
Water park

Hot Springs & Spa

FIVE ELEMENTS

Water Park

An exquisitely beautiful Waterfall Beach Garden & exhilarating water rides in the theme park for everyone at the water park and where the water beach garden were the biggest wave pool in Malaysia where the waves could swell up to 3 feet high. At there, you could find a absolutely perfect landscaped beach which surrounded by 20 feet twin waterfalls with two rivers flowing into the pool. There is also a musical body wash as a refreshment before to the caption of Sandy Bay.

Explorabay, a kids – only zone which is specially designed for kids while Cliff Racer are intend for a adult and youth. And of course, the longest inflatable tube ride in Malaysia, Tube Raiders which is the family – favourite giant slides while Adventure River is more on relaxing water ride.

Cliff Racer

Sail through the jungle canopy in an old mine cart after a drop from dizzying heights; just like in the old Wild Wild West movies! The park is perfect for those family escapades. Be sure to bring spare clothes for a change after a whole day’s fun on the numerous water slides and water games. The park also plays host to a few tigers and albino tiger cubs and visitors can witness the tiger feeding times between 11.30am to 5pm every day. The park is open everyday except Tuesdays (school/public holidays excluded) from 11am – 6pm. One can have a cocktail at the Rum Jungle Bar between 6pm – 9pm every night. Entrance tickets start at about RM25 per adult and RM 19 per child (children under 90cm gets free entrance). The park also offers special food, entrance and rides packages.

Lost World Hot Springs & Spa

As the latest supplement for the visitors to enjoy the inimitable feel of the hot spring, the water in the hot spring come from a natural source, and this is a sanctuary for the visitors to relax and enjoy and to experience hygienic and rejuvenating hot water. Besides, there are many other elements which are catered for the visitors presenting the ultimate relaxation experience

Tiger Valley

There are feeding tigers show and their handles at play in the tiger valley. You can learn abit about how the tigers are cared through the valley’s educational program where you will be able to get close and personal with one of these exquisite tigers.

Lost World Petting Zoo

Visitors can take a walk on the wild side and The Petting Zoo allows the public to touch, feel, feed and play with the animals; giving those looking for a more personal encounter, a closer perspective.

Body
Market Strength

So many words packed into one, the Lost World of Tambun, where providing an action – packed with exciting adventures with the most sensational rides and glamour in Ipoh, Malaysia. A 60 million Ringgit theme park which located in this historical town of Ipoh, in the middle of the North – South corridor in Perak; and is set in the inborn landscapes of Ipoh, surrounded by exquisitely breath – taking limestone features.

The Lost World of Tambun has its own market strength just like the other theme park as well. As my research all over these theme parks, The Lost World of Tambun is the best theme parks if compared to all the competitors around within the northern region in Ipoh example like Bukit Merah. They has providing a variety services which provides leisure, relaxation, enjoyment as well as entertainment. Moreover, the price are quite reasonable for the services they are providing.

As another market strength, Lost world of Tambun is the only theme park with natural hot spring and the water come from natural source and the thermal water in the pool are not recycled. Furthermore, they got a formation of the stand alone rock formation – 10 storey building within the theme park. Based on the 4Ps, place, people, promotion and products, Lost World of Tambun had provides all these 4Ps if compared to other competitors as their market strength.

Place

800 parking spaces provided

Good transportation

Natural & pleasant landscape

People

Good services

Caring from staffs

Friendliness from staffs

Promotion

Invite international performance during parties; beach party

Promote online through hot websites; facebook, etcaˆ¦

Promote through travel and tour agencies for packages

Product

Water Park

Amusement Park

Lost World Hot Springs & Spa

Tiger Valley

Lost World Petting Zoo

Zone of Expansion

For your information, Lost World are exposed to the nature. Therefore, it has ample of natural resources around and within the park. As for the future expansion, they should take this advantage to make more for its zone of natural expansion usage from the natural sources. Currently, they are building a hotel of themselves which are rated as 4 – 5 star grades; visitors like foreign visitors do not need to look for other accommodations and can just stay inside the Lost World of Tambun’s Hotel which are surrounded by natural source. Besides, they are also upgrading the hot spring & spa section. As their future expansion, it could build up a monorail system for the overall accessibility within the theme park itself; visitors are able to travel from the theme park back to the hotel after explorer.

Moreover, wide natural resources in their theme park which enable them to have their own cave which creates jungle tracking and cave exploring experience for customers. They should expand more on dry rides in did of only focus in wet rides as there is already a lot of wet rides. This will enable the visitors to have more choices during their explorer and will not feel boring.

Brand positioning and marketability of their brand

A great theme park which have its own nature and gave us a refreshing feeling when you are living in a hectic lifestyle; a way to expose yourself to the nature. Besides, it is a time for every member in a family to spend their time together and have fun in Lost World of Tambun. This is a way for family bonding to happen. Moreover, we can spend our time with our friends during holiday at there for entertainment and leisure. And of course, it is a good place for a couple to have a great day.

What are they famous for? Their natural resources and it located in a historical place in Ipoh with natural thermal water sources. They are also considered as ‘under the umbrella of Sunway Groups’ which lead them to success because Sunway group had prove themselves in Sunway Lagoon.

Steps to improve their sales and profit

In order to improve their sales and profit, they should depend on the economy scale which is reduce their cost in order to get more people. Besides, it’s also depends on how they generate their profit through the existing products. They can also provide more new family packages and teenage packages. Another step to improve their sales and profit is to extend business hour for dry parks and more events should be organize example like beach party. International performances should be invite example like super junior, wonder girls and big bang in order to attract more visitors. And of course, special rates for senior citizen should be apply and toys should be given to kids to show that the management is caring enough even to every single matter.

How they can take their business to a global scale

Extend their business to global scale, they can deal with the travel and tour regencies for packages and brings the tourism to Lost World of Tambun and let them recognize it and bring back this information back to the country. Moreover, they can have a deal with a country ambassador to promote their theme park in their own country and to attract foreign investment example like an big organization and this will lead them to develop another branch in their country by the help in modal from the organization; targeting hot weather country like india. Besides, it should have a deal with large organization to have a big retreat ( international conference ). And of course, the lost world management should also advertise their theme park through hot websites example like facebook.com, youtube.com, twitter.com and etcaˆ¦

Conclusion

In any business success, marketing always plays a key part. You have to make a good relationship with your customers. You need to work out how you will reach and win new customers and make sure that they will be happy and remain satisfied of the services you are providing them. You need to always review and keep on improving everything you do to stay ahead of the competition.Although marketing plays an important role, it will not guarantee sales unless by doing it with a laid out plan. A well-researched and logical plan is important to have a better chance of building a long-term profitable relationships. A marketing plan will serve as a reference or your basis to execute a marketing strategy. By laying out plans, it will set out a clear objectives and explains how you will achieve them. You can define your business well if you have a written document that details the necessary actions to achieve your marketing goals. A marketing plan is considered a part of an over all business plan.

London underground

London UndergroundPROBLEMS IN STRATEGY

London Underground is a vital public asset and a cornerstone of London life. It is the single most important part of its public transport infrastructure. It carries three million trips per weekday, including the journey to work trips of 35% of those who work in central London. The Underground now carries approximately the same number of passengers as the entire National Rail Network in the UK and generates over ?1.1 billion in fares revenue and other income annually. London Underground is vital to London’s world city function and is the backbone of the transport system serving the central area. It is fundamental to passenger transport for London business and tourism, with over 90% of tourists using the Underground during their stay in London. The Underground is essential for access to London jobs, shopping and leisure activities. As this system is so big, it got lot of problems in its strategy.

1. London Underground should be transferred to Transport for
London without further delay

The Transport Strategy sets the framework for the city’s integrated transport system, of which the London Underground is a vital part. The Mayor has had regard to national policy. However, in order to facilitate the implementation of the Strategy, in particular to achieve integrated transport across all modes in London, it is proposed that London Underground should be transferred to Transport for London (Tfl) without further delay.

2. The Underground’s chronic problems of unreliability and
Over crowding

Passengers require a quick and reliable service without the current high levels of failure and delays. Service unreliability is a severe barrier to travel in London and addressing this, together with overcrowding and inadequate capacity for current and projected growth is an urgent priority. This Service should be secure and safe; its capacity must be increased by brining the system to a state of good repair and long term through the extension of network.

Overcrowding is now experienced across the Underground network, particularly at peak times, and most noticeably on sections of the Central, Piccadilly, Victoria and Northern Lines. Large parts of the network carry more passengers than the ‘planning standard’ (broadly a maximum of one person standing for each sitting across the whole peak hour) allows – in some cases more than 25 per cent above (see figure 1 on current crowding, and figure 2 for 2011 projections without Transport Strategy actions). In the short term, making the trains run more regularly through more efficient operations and improvements to the existing network will, in itself, increase effective capacity but this will not be sufficient to cater for the expected growth in Underground usage and the problems of overcrowding will get worse. To meet this rising demand, additional, new capacity must be provided.

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Figure 1: Underground crowding in 2001, AM peak (07.00-10.00)
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Figure 2: Projected Underground crowding in 2011 without Transport Strategy, AM peak (07.00-10.00)
3. Service delivery

The Underground’s performance falls significantly below what is required. It is grossly overcrowded and unreliable. Overcrowding is extending through a longer proportion of the day and delays are becoming more frequent and of greater duration. Due to inadequate investment and maintenance over many years, equipment failure – of signalling, power supply, escalators and trains – has become common. As a consequence, many of the London Underground’s quality of service indicators are falling. The immediate task must be to improve the worst performing lines, and then raise the overall standard. Whilst most lines are operated to capacity in the peaks, in some cases peak capacity has fallen. Had the system been properly maintained greater peak capacity would be available. They will need to take account of its demand of night time maintenance.

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Figure 3:- Reliability: percentage of scheduled Underground kilometres operated

London Underground estimates that 60 per cent of delays experienced by passengers on the Underground (measured as total passenger minutes lost in delays of two minutes or over) are caused by infrastructure and rolling stock failures. One estimate (Chantray Vellacott DFK’s ‘London Underground Disintegration Index’) is that breakdowns of service due to such causes increased by one quarter between 1997 and 1999 and have now stabilised at that level. Such failures are largely attributable to insufficient investment. In addition, even new infrastructure such as the

Central Line and the extended Jubilee Line is not delivering planned service frequencies and reliability. Additional investment will be needed to put this right, which must be better managed than has been the case previously.

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Figure 4: Peak period train cancellations due to train, signal
and track failures, December 1999 to November 2000
4. Escalator and lift failures

Escalator and lift failures are another major cause of delay and discomfort to passengers. In 1999/2000 one in twelve escalators was out of order at any one time. While major works are needed to improve the quality and expand capacity of stations, there is an urgent priority to tackle the unreliability of existing assets. Too many lifts and escalators are out of service and basic maintenance of assets has been neglected. Tackling these problems is an urgent priority

5. Financial Problems

Most of the Underground’s underlying infrastructure is nearly a 100 years old. In refurbished system maintenance expenditure could be substantially higher than in recent years, in the near term, since declining levels of Government grant have meant that, despite steeply rising fares, a considerable backlog of works has built up. These works have not been detailed and costed. Major improvements to the existing system, as well as extensions to the network, will require additional funding. If this is not available, progressing these works would have to be funded from the ‘standard’ budget at the expense of expenditure on the rest of the network.

If we compare World City Metro fares, we will see that, In London, to cope with the reduction of Government grant, prior to 2001, Underground fares have been increased above the rate of inflation every year since 1988 – rising overall by one-third. As figure 4C.5 shows, London Underground fares are now twice as high as Paris and Tokyo, and a third higher than New York and Berlin. In short, the burden of funding has been shifted on to passengers. But while London Underground’s fares revenue has increased substantially, from ?637 million in 1993/4 to ?1,058 million in 1999/2000, this rise has not been enough to provide for the Underground’s necessary investment given the decline in Government grant.

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Figure 5: WorldCity Metro fares
London Underground’s proposed Public Private Partnership

The Mayor is conscious of the legislative requirement that he must have regard to the need to ensure consistency between the Strategy and the Government’s national policies. He has had proper regard to this need in formulating his proposals for the funding of the Underground.

The Mayor recognises that the proposals on how to rehabilitate the London Underground are a departure from the way in which London Underground Ltd (LUL) has proposed to implement the particular kind of Public Private Partnership (PPP) for the Underground set out.

Plan to rehabilitate and modernise the Underground

Under the plan proposed by the Commissioner and adopted by the Mayor, TfL would be directly responsible for the planning and management of a broad programme of upgrade and improvement, whilst reaching out to private firms to carry out specific, discrete responsibilities.

Through managerial reforms and professional recruitment, TfL will strengthen the project and programme management capabilities of the Underground. TfL will then be able to properly evaluate and effectively monitor the performance of private sector contractors working on its capital programme pursuant to long term contracts for services.

6. Stations, interchange and parking at stations

It is vital that the programme of station modernisation and refurbishment is realistic and properly prioritised so that the stations most in need of renewal are modernised first. At a number of locations, such as Victoria and Tottenham Court Road, major station works are needed to deal with congestion, the general increase in usage and/or particular increases that will arise from the proposed cross-London links. Additional action is needed to encourage interchange away from congested central area stations to interchange hubs which are further out and less busy.

Overcrowding is not, of course, the only reason that additional train services or station improvements are needed. Providing the passenger with a better service all rounds is important. Interchange is a key part of many Underground journeys and physical interchange difficulties will be addressed at many stations by new build or refurbishment schemes. Interchange does, however, need to be looked at across the network and in terms of interchange in its widest sense. Tfl is currently working on an interchange agenda to be published in 2001. This will assess interchanges, identifying the minimum standard of facility required in each category, and identify priorities for improvement.

Tfl and the London boroughs will look at the wider issue of access to stations and their integration with their catchment areas by improved access from feeder modes, including walking, the most common means of access to the Underground, and cycling, and the provision of safe and secure street environments. With the exception of some ‘end of line’ stations, most parking at London Underground stations is generated from the local catchment. There is relatively little spare capacity at London Underground stations and limited opportunity for increasing the amount of station car parking provided. London Underground has used pricing policy to bring about maximum utilisation of station car parking. In some instances, this has encouraged parkers to travel further to make use of available space. Parking provision at London Underground stations should take into account the wider park-and-ride policy.

7. Accessibility of stations and trains

The Underground has been planned and operated with little consideration of the accessibility of stations and trains to disabled people. Consequently, on most of the Underground network, staircases and escalators (and the lack of lifts) preclude independent access for wheelchair users and represent a barrier to many other people with reduced mobility. Added to this, the interface between the platform and the train often forms a further barrier. The Jubilee Line Extension between Westminster and Stratford is the only part of the London Underground that has, in principle, been built to be fully accessible. London Underground plans to install raised sections of platforms or ‘humps’ to achieve level access to at least one door of the train at stations where step-free access already exists or is proposed. There are also a number of measures planned that are designed to make it easier to use the Underground system, such as real-time information, visual and audio information on the trains, improved handrails, better lighting, and more flexible train layouts. There are proposals for providing a core network of stations with step-free access, and a timetable for implementation will be developed by Tfl.

8. Security and Safety

The Underground has a good safety record. The Underground must, however, retain its high standards and safety must stay at the top of the Underground’s priorities. The major injury rate increased by 85% between 1995 and 1998. A key feature is injury to people trespassing or causing damage to the railway. The Underground must continue to ensure the system is as secure as possible from trespass and vandalism.

London Underground is continuing to investigate methods of improving air quality on the system particularly by reducing dust emissions. Personal security at stations, on platforms, on trains and in car parks and areas around stations, is a significant concern to many customers, particularly women. The journey outside the station, to car parks, bus stops and home is often of particular concern. TfL will work with the boroughs and other agencies to bring forward programmes to improve the environment around stations. Many women are afraid to use the Underground alone at night. Passenger surveys indicate that increased staff presence would be the most welcome response to these fears. This should include additional British Transport Police officers. Greater use of CCTV, improved lighting and alarms on stations and surrounding areas could also be effective. More taxis and private hire vehicles at stations for t he final leg of the journey can encourage the use of public transport.

9. Extending the network

In the peaks, the possible upgrades of the existing Underground network will only achieve an 08% or less increase in capacity between 2001 and 2011. Over the same period passenger demand is predicted to rise by 17%. Upgrading the existing network alone will be insufficient to cater for the increased demand. As figure 2 shows, if the Strategy is not implemented, peak overcrowding on the Underground is predicted to get worse. In 1981/2 the Underground only had to cope with 541 million passenger journeys a year, whilst in 2000/01 the figure was 970 million. To address overcrowding, there is an urgent need to expand capacity. In the first instance, this will be achieved by the rehabilitation and modernisation of the existing system. In the longer term, this requires a substantial programme of investment in new lines and hence additional capacity.

Amongst the proposed newlines/services, which are being developed in partnership with theStrategic Rail Authority (SRA), are:

the East London Line Extensions – to be taken forward working with the SRA. This will extend the line north to Dalston where it will connect with the North London Line, and south to connect with the National Rail Network in south London; • CrossRail – a high-capacity east-west rail link which the Strategy proposes should link the City to Heathrow serving Paddington, Bond Street, Tottenham Court Road, Farringdon and Liverpool Street and connected to the National Rail Network at both ends serving Thames Gateway in the east; • the Hackney-SouthWest Line – taking a route between Victoria and Dalston, via Piccadilly Circus, Tottenham Court Road and King’s Cross and extending through Hackney to the north east and to the south west linking with other Underground and/or National Rail services.

Modelling work undertaken in conjunction with the preparation of the Strategy indicates that these schemes will attract passengers from both the Underground and National Rail Networks. The system will provide sufficient overall capacity to accommodate the growth in demand for projected peak hour rail travel in central London only if the major schemes proposed by the Strategy are implemented.

The following principles will be taken into account in developingand maintaining a programme for funding and improving the
Underground

In order for it to ensure a safe, efficient and reliable service, Transport for London (Tfl) must have unified management control over the system and all private sector contractors servicing the system.

The Underground has suffered from a long period of under-investment in its infrastructure, the extent of which is not currently known with an adequate degree of certainty. Tfl will ascertain it promptly. • A sound public transport system is one of London’s most essential infrastructure assets and the sole objective should be to deliver a safe, efficient and reliable service at the lowest possible cost to fare paying passengers and to taxpayers.
Real increases in fares should not be relied upon to support the additional capital investment required.
The Greater London Authority should use its authority to rise new revenues to provide additional funding to the Underground.
The Government should provide the Underground with a stable level of annual grants, resulting in reduced costs due to greater efficiencies.
The securitisation of London Underground’s revenues is an efficient and economical means of financing, which is widely accepted both in the UK and internationally.
Direct financial penalties imposed on the contractor providing or refurbishing a capital asset and the potential additional sanction of immediate dismissal are the most effective devices to minimise Tfl’s exposure to risk.
The prime responsibility of the Mayor and Tfl in relation to the Underground is to promote and encourage safe, integrated, and efficient facilities and services that meet the requirements of the Transport Strategy.

The Mayor and Transport for London will seek to combine the best features of public sector oversight and management with the competitive drive of the private sector to rebuild and refurbish the Underground over 15 years.

Recommendation for Quality of service

London Underground passengers want the following:

They want to experience the minimum delay in waiting fortrains. This involves a higher proportion of the scheduled service being operated, and the service that is operated running more regularly and reliably.
They want to experience the minimum delay on trains. Far too many hold-ups occur to passenger journeys caused by failure of stock, signalling and other equipment, and through the unavailability of staff or poor staff management.
They want reliable escalators, lifts and other assets.In 1999/2000 one in twelve escalators were out of service at any one time.
They want less crowded trains and to travel in reasonable comfort. Far too much of the network is ‘very crowded’ or ‘crowded’ and forecast to get worse without action.
They want less crowded, more attractive and easy to use stations.This includes ease of movement within stations, especially interchange stations and the availability and quality of facilities at stations.
They want to feel secure when using stations and trains.Surveys show passengers, and particularly women, value security highly and particularly welcome CCTV, staff and British Transport Police presence and help/alarm buttons. Attention must also be paid to access journeys, as it is often the journey to and from the station and the areas around stations that passengers fear most.
They want easy to understand information to hand on services, fares and local amenities.
They want better all round access to stations and trains.All passengers benefit from the removal of barriers that preclude independent access for wheelchair users – the provision of step free access to stations and trains
They want a clean Underground with graffiti and litter-free stations and trains and areas around stations. (The Underground will need to seek to reduce, reuse and recycle waste and recycle products in keeping with the objectives of the Mayor’s Waste Strategy.)

Live Interpretation of Heritage

Historic Sites, Museums and Galleries
Live interpretation of Heritage
Introduction

Over the past few decades heritage and culture has become an important part of people’s life, especially in respect of their leisure and tourist activities (Boyd 2003, p.1). This is particularly true in the case of tourism, where the historical demand for tourist and leisure activities have waned in favour of those filled with more cultural elements. There is an increasing desire to visit historic sites, museums and galleries in an attempt by the individual to learn more about their heritage and those of other cultures and social groups. At the same time, today’s heritage visitor has become more discerning about the manner that these venues present heritage experience to them (Boyd 2003, p.2). In essence therefore, heritage can be seen to relate to historical events and settings and the visitor wants to experience those historical experiences as an almost physical event.

However, despite the numerous researches and survey results that supports this change in the visitor demand, there is still evidence that a number of heritage sites, museums and galleries are failing to react positively to these findings (Black 2005, p.10), which in many cases has resulted in a drop in visitor numbers at these venues. This situation can have serious consequences, especially for those heritage sites that rely upon entrance fees to bridge the gap between state funding and the running costs of the venue. Even where this not the case, for example where government funding is used to provide free admission, such venues are still accountable to the state and need to prove that their establishment is delivering to the needs of the public, which a reduction in visitor numbers will not achieve. In an effort to address this problem the last two decades have seen an increase in literature related specifically to the manner in which heritage is displayed and portrayed to the visitor, creating a new discipline under the general title of heritage interpretation.

Heritage interpretation relates equally to the understanding of the site or objects displayed for the visitor and the motivation determinant and needs of that visitor (Blockley and Hems 2006, p.1). Until recently, most academics agree that heritage interpretation has been the least developed aspect of the venue’s promotion to the visitor (Boyd 2003 and Blockley and Hems 2006). Interpretation forms and integral part of the visitor experience and will influence the experience that they take away from the visit (Boyd 2003, p.193). Therefore, it follows that understanding what motivates a visitor or group of visitors will enable the museum, gallery or heritage site to be better able to display and promote their product (ibid 2003, p.64). For most visitors that motivation will be to gain pleasure and learning from the object or activity being displayed.

In most cases, as Blockley and Hems (2006, p.10) suggest in their research the motivation for the visit is to fulfil the individual’s need for pleasure and leaning and if the heritage venue or object does not achieve this the visitor will leave dissatisfied. In fact, the visitor has come to expect to be greeted with visual views, and animated displays when visiting heritage sites (Dicks 2003, p.17). Thus it is essential for the venue managers to ensure their destination and its contents meet these requirements.

One aspect of interpretation that has come to the fore in the minds of the visitor during recent years, and an area that academics agree is an essential part of interpretation, is the level of interaction that exists between the visitor and the heritage venue or object. A recent development in this respect is the increasing use of various forms of live interpretation within the heritage display and other venue activities, and it this area of interpretation that will form the focal point for this study.

Live Interpretation

Live interpretation of heritage is the most direct form of interaction between the visitor and the artefacts and events that are being exhibited at heritage sites and venues. Visitors and tourists today expect to see live heritage and cultural displays rather than inanimate objects displayed in empty or one dimensional building and display boxes. For example, visitors to industrial museums have come to expect to be treated to visual and moving displays of historical machinery and even to feel the experience through a living example of the society of the time (Dicks 2003, p.29).

The process of live interpretation can be delivered in a number of formats. One early example of live interpretation was achieved by allowing the visitor to interact with working models, which enabled them to better interpret the processes that were involved with that models operational purpose. As the process of interpretation continued to evolve, these working models were enhanced by the inclusion of audio and visual interpretation methods, which research indicated were perceived to be more rewarding for the visitor than written text material, such as leaflets and books (Boyd 2003, p.231). The use of information and communication technology is another area of live interpretation that can prove effective, through a process of interactive involvement or displaying films and holographic images (Atkinson 2007). As Atkinson (2007) report further explains, by using ICT it is possible for the heritage site management to be able to “personalise and tailor exhibits and experiences to the individual or specific group’s needs.

However, today the most direct form of live interpretation is deemed to be that which involves physical face to face interaction between the visitor and a representative or group of representatives directly involved with the heritage site, either on a voluntary or employed basis (Blockley and Hems 2006, p.184), which most researchers identify as an interpreter. As these author’s point out “face to face interpretation is seen as the best form of enlivening the visitor experience” and certainly make them consider that it is time well spent. One important aspect needs to be mentioned in respect of the actions of the interpreter. This relates to their level of competence and degree of competence. As Boyd (2003, p.195) explains, “Whilst live interpretation is deemed the most effective form of interaction between visitor and the heritage object, poor quality in live interpretation is worse than nothing.”

However, the degree to which the “interpreter” brings the heritage experience to life will depend upon the venue and its content. For example, they can range from the inclusion of a tour guide to costumed characters who re-enact the history and culture that the heritage site is promoting. This degree of variation and the appropriateness for the heritage venue will be further addressed in the following sections of this study.

Museums and Galleries

A number of researches have been conducted with the intention of discovering how much time visitors spent in museums and to what extent the format and display of the exhibits influenced the length of visit. One such survey, conducted for the research carried out by Boyd (2003, pp.77-78) found that there was a point of time at which visitors interest in the exhibits began to wane and the inclination to “head for the exit” began to dominate their thought processes. This was especially found to be true where the interpretation of the exhibits relied solely upon the basic strategy of display. For example, unless the visitor has a specific historical or academic interest in the specific artefacts being displayed within the venue, which only relates to a small segment of the population, after a while one exhibit, be that a painting, vase or another kind of inanimate object, all began to look alike to the visitor. At that stage the pleasure and learning gained from the experience began to deteriorate.

There still exists the purist view that will argue against the introduction of live interpretation has no place within museums and galleries. Their reasoning is that the visitor should be allowed to interpret the exhibit free from the influence of what those who hold this opinion perceive to be external interference. However, although as stated previous this might be relevant for those who have a dedicated reason for visiting the museum or galleries it was becoming apparent to the mangers of these venues that this was not concurred with by the majority of visitors upon whom these museums and galleries depended. Therefore, remedial and innovative action was seen to be required if the decline in visitor numbers was to be reversed.

It became apparent that some of the key qualities that visitors expected to experience from viewing a particular exhibit were clarity, poignancy, attractiveness together with a dynamic presentation (Boyd 2003, p.224). However, in the case of many visitors it proved difficult achieve the satisfaction of many of these qualities unless the object or exhibit was appropriately interpreted in the first place. This did not mean that the museums and galleries had to introduce moving or highly interactive interpretation process for all of their exhibits. In many instances it was simply a question of introducing a tour guide (Dicks 2003, p.171). This would involve employing a person who had sufficient knowledge and experience about the exhibit to be able to provide an appropriate interpretation, which the visitor could consider and come to their own informed opinion. An example of where such a tour guide is frequently used is in the Royal heritage. Often professional interpreters are used to bring the heritage to life, as is the case with the royal palaces (Blockley and Hems 2006, p.45). To maintain the dignity of these historical sites it would be inappropriate to introduce some of the more technological based live interpretation methods, such as videos, films and other gadgetry. In such cases therefore, the tour guide will be employed to act as the face-to-face interactive interpreter. The heritage visitor or tourist would not expect any greater level of interpretation in such delicate and reverent historical surroundings, and the same reasoning would be applied to heritage sites of religious significance, such as historical churches and cathedrals.

Nevertheless, there are other museums and galleries where the more proactive and interactive live interpretation methods are useful in improving the visitor experience. Providing visitors with a method that allows personal live interpretation, for instance by using computer generated informational processes that explain the origins of the object or gives more information relating to its original use and purpose, can enhance the benefits that the visitor receives from viewing the object. Another method that is being used more frequently within the museum and gallery environment is to make the object or artefact live by introducing information and communication technology process that allow it to move and react (Atkinson 2007, p.7). Black 2005, p.264) promotes the increased use of files within the museum, arguing that this manner of interpretation is more likely to enable the visitor to experience the object as a living thing, thus creating a psychological connection. One area of museums where these methods have proven to be particularly successful is in the field of natural science. For example, presenting the dinosaur animal generation in an interactive and live interpretation method provides the visitor with a better idea of the size, power and a concept of the physical damage that such creatures could cause.

Another recent development within the museum sector of heritage is the evolution of the open-air museum (Boyd 2003, p.224). Because of the difference of the environment for the exhibit, these venues have developed an interpretation process that is far more focused on its live element. In effect the visitor can almost touch a living exhibit and, through the detailed live interpretation process, is transported back to the historical times during which the object was created. In fact, by the use of costumes and special effects often in these cases the visitor will feel as if they have had a personal connection with these events.

Research has shown that, where museums and galleries have adopted some of these live interpretation measures within their venues, and to provide a better understanding of the exhibit, this has resulted in a positive effect on the length of a visitor’s stay (Black 2005, p.257). Furthermore, it has also had a positive impact in that visitor numbers have seen improvement in many instances.

Historic sites

As Jane Malcolm-Davies (2003, p.1) mentions in the introduction to the process of using costumed robes for live heritage interpretation, historic sites are finding it increasingly difficult to survive in the competitive environment of the leisure and tourism industry, not least because of the reduction in government funding, but also because of the impact of competing sites. As a result they have to resort to new and innovative measures for interpreting theirs sites in a manner that will increase visitor numbers. To stand out from the crowd and gain a competitive advantage that will lead to an increase in visitor numbers, live interpretation of the heritage value of these sites often has to resort to making the historical event come alive, a process that is most commonly referred to as re-enactment.

These live interpretation events can take a number of forms. Some of the best known would be the re-enactment of historical civil wars, with authenticity attempted in every aspect of the actor’s costumes and equipment, accompanied by the realistic noise of battle. In other cases, the event might involve a live reconstruction of a home or village as the actors perceived it to be in historical times. Alternative versions of these occur where industrial processes, plants, and retail business environments are re-created to resemble how it might have looked in yesteryear. In a number of cases there is an invitation for the visitor to join in with the experience, creating for them a unique memory of the occasion.

However, as with the use of live interpretation developments in museums and galleries, there has been some intense disagreement inn the past between academics and members of the historical heritage groups regarding the use of re-enactment and the use of costumes, with the opponents considering it to be fake (Sansom 1996, p.134). Indeed, many of those who hold this opinion consider this approach little more than theatrical nonsense. It is probably partly because of this reaction that it took until the latter part of the 1980’s before heritage sites began to employ “paid, permanent, costumed staff as an integral part of their daily interpretation” activities (Hicks 1994, p.9).

The difficulty was that, before the employment of professional interpreters or “actor” there could be said to be some truth in the opposing argument. However, to the extent that these objectors delayed the introduction of a more professional approach to the live interpretation, it could be said that they contributed to the poor standard of interpretation that previously existed. In his dissertation thesis in 1990, Robershaw (1990, p.31) found from his research into the situation with regard to costumed interpreters that whilst it had the cosmetic effect of creating a more realistic atmosphere, this was not at that time communicated to the visitor. The same author quoted other literature that, like his own, concluded that visitors were demanding that the historical site managers should deliver a more “interactive experience”, which was clearing not happening at that time. It was also argued that because of the educational leanings, the resultant experience lacked any element of fun and entertainment.

The remarkable thing is that, since the introduction of live costumed and professional methods of interpretation (Sansom 1996, p.122 and Malcolm-Davies 200, p.9), this element of interaction and increased in the value of entertainment and fun has become more evident. The improvement has led to a situation where it has been found to the level of recall and understanding that is experienced by the visitor. Most academics, including Black (2005, p.117) and Dicks (2003, p.49) are now firmly of the opinion that historic and cultural sites that adopt the live approach to interpretation and encourages interaction with the visitor, even to the extent of re-enacting historic events, do find that it leads to an increase in visitor numbers. Furthermore, it leads to a greater degree of satisfaction of their need for enjoyment and learning.

The proponents of live interpretation for historical sites argue that these re-enactments, especially now that they are more professional in nature, can be considered to be displaying an improved and closer depiction of the actual event, and therefore should be viewed as being more authentic. Furthermore, they will also argue that these events are serving to deliver to the main demands of the visitor, in that they provide a much greater depth of learning, whilst at the same time satisfying the visitor demand for them to include an element of fun and entertainment.

The managers of these historical sites will also argue that, the inclusion of live interpretation and re-enactment within the promotional element of the destination, such moves are also serving the objectives of the destination, which are a) to remain self-sufficient in terms of funding and b) to assist the destination in achieving a competitive advantage over other similar destinations. They would further argue that the reported visitor number increases for the industry sector as a whole, and many of the destinations individually, support their choice of interpretation methods.

Conclusion

As has been mentioned in the introduction section of this research, over the past few years there has been increasing pressure exerted upon the managers of historic sites, museums and galleries to become self sufficient and accountable for the value achieved as a result of the limited resources provided to them from the public purse. It is natural that, in order to meet these conditions, the managers of these sites have been forced to consider a more innovative solution to promoting their destinations (Dicks 2003, p.122). An increasing number have turned to the use of live interpretation as a means of providing a resolution to the problems they have been facing.

In the past there may have been some merit to the argument raised by opponents to live interpretation. These might have been justified especially where those elements of this process went as far as the inclusion of costumes and re-enactment. This justification can be linked with the lack of professionalism that existed at that time. However, in most cases that position has changed and the introduction of professional actors, directors and costume designers have dramatically improved this element of live interpretation.

However, in the final analysis of the appropriateness of these methods of live interpretation it is the results produced that determine their success or failure. When one poses the question whether the adoption of these new approaches to interpretation have had the desired effect in terms of increasing the numbers of visitors being seen at historic sites, museums and galleries, the external researches studied by the author all support a positive response. Similarly, looking at it from the viewpoint of the other main stakeholder, the heritage visitor, the question to be asked is whether “live” interpretation promotional methods have improved their enjoyment of the experience and is more completely meeting their demands and needs. Here, again, current research and survey results confirm that this is the case. In fact, as Hunt (2004, p.387) states in his detailed research on heritage and interpretation., “acting the part has now become almost essential, as most visitors have come to expect it!”

In conclusion therefore, it is found that live interpretation is more effective as a method of education and learning, and as a means of visitor entertainment, than has been the case with most of the other methods of destination promotion adopted by historic sites, museums and galleries in the past. It is therefore recommended that those destinations that have yet to adopt these methods, and are experiencing difficulty in meeting financial or public accountability standards, should seriously considered following the example of the many institutions that have benefitted from live interpretation.

Bibliography

Atkinson, S (2007) The value of information and communications technology in natural heritage interpretation Scottish Natural Heritage. Retrieved 8 August 2008 from: http://www.snh.org.uk/pdfs/publications/commissioned_reports/ReportNo218.pdf

Black, G (2005). The Engaging Museum: Developing Museums for Visitor Involvement. Routledge, Abingdon, UK

Blockley, M and Hems, A (eds) (2006). Heritage Interpretation: Theory and Practice. Routledge, Abingdon, UK

Boyd, S and Timothy, D (2003). Heritage Tourism. Pearson Education, Harlow, UK

Dicks, B (2003). Culture on Display. Open University Press. Maidenhead, UK.

Dray, C (1999). History as Re-enactment: R.G. Collingwood’s “Idea of History”. Oxford University Press. Oxford, UK

Hicks, D. (1994). The use of living history events at historic sites and buildings, master’s thesis, Nottingham Trent University, Nottingham, United Kingdom.

Hunt, S.J (2004). Acting the part: ‘living history’ as a serious leisure pursuit. Leisure Studies, Vol.23, No.4, pp.387-403

Malcolm-Davies (2003). Borrowed Robes: The educational value of costumed interpretation at historic sites. Retrieved 8 August 2008 from http://www.esade.es/cedit2003/pdfs/malcomdaviesjm.pdf

Robertshaw, A. (1990). Acts of imagination. Museums journal, Vol. 3, pp.30-31.

Ransom, E. (1996). Peopling the past: current practices in archaeological site interpretation. In Archaeological displays and the public: methodology and interpretation (McManus, P. Ed.), pp.118-137, Institute of Archaeology, London’

Literature Review On The Government Of India Tourism Essay

The government of India has been concentrating more on the development of tourism since the last few years as this sector has been identified as one of the largest growing sector with immense foreign exchange earnings. The ministry of tourism is the national executing agency for the development of tourism initiative in India. This agency has given priority to the development of tourism in rural sites initially. The focus of rural tourism is to provide quality holiday experience to domestic and international visitors to rural sites of India in which home stays/farm stays are provided with certain hosting criteria.

A wide variety of tourism opportunities exist throughout rural India and is continuously growing as increasing number of local entrepreneurs have been identifying new ways to market previously untapped local resources and attractions, and bring tourist into their area. Rural tourism is well suited to small scale rural enterprises. Many remote areas in India like Mokokchung (Nagaland), Lachen (Sikkim), Konaseema (Andhra Pradesh), Kumbalanghi ( Kerala) and Pranpur(Maddhya Pradesh) are ideal locations for nature based activities like eco tourism, adventure sports etc.

The study focuses on the characteristics of Home stays and also attempts to investigate the overall satisfaction of homestay owners in terms of Economical, Environmental and Socio -Cultural challenges and benefits of homestays. The area chosen for this study was Kerala, a small state in South India.

Kerala is a beautiful state located in the southern part of India. The state Kerala known as ‘God’s own country’, also referred as the ‘spice garden of India’ [Ponmelil]. The state is blessed with tremendous lush greens which include paddy fields, tea estates, plantation covered hills, palm lined beaches, thick jungles and enthralling lakes, rivers and waterfalls. The major cultivations in Kerala are coconut, rubber, cardamom, pepper, rice, cashews and ginger.

Kerala is considered as the most peaceful state in India which is famous for its hospitality and rich in culture. The people of Kerala are warm and friendly. The state is also remaining as one of the most advanced and educated states in India with a high literacy rate. The quality of life and the achievements of social developments in this state were exceptional. The state Kerala has understood the importance of education and has given first priority for that. There are a number of well organized national and international schools, colleges and professional institutions in Kerala that were managing by government and private organisations.

The state was formed in 1956 when the three provinces called Travancore, Cochin and Malabar were joined together after India got independence in 1947. The capital of Kerala is Thiruvanthapuram. The capital city is famous for beaches, IT parks, palaces and pilgrim centers. Kerala is a multi religious state with Christians, Hindus and Muslims. Kerala is bordered by Karnataka in the north and Tamilnadu in the south. Malayalam is the official language of Kerala and ranks 8th among the 15 major languages in India in terms of the number of speakers. Kerala is famous for arts and crafts. The traditional and major art forms in Kerala are Kathakali, Theyyam, Koodiyattom, Bharathanatyam and Mohiniyattom.

The climate of Kerala is tropical and humid with an average maximum daily temperature of 36.7 C and minimum of 19.8 C. The winter season is from December to the end of February and the summer starts from February till May and then the monsoon begin.

Tourism in Kerala

Kerala has emerged as the most acclaimed tourist destination in India. The back waters, beaches, hill stations, wildlife, waterfalls and the diverse flora and fauna makes the small state a unique destination for tourists. During the last couple of years the government of Kerala has given immense importance for the growth of tourism sector as this sector plays a vital part in the economy of the state and the country. The small state Kerala, has been branded as one of the sought after destination in the world. The government plays an important role for the marketing and promotional activities to make Kerala a branded destination. Kerala is the first state in India to be accorded the status of partner state of the World Travel and Tourism Council [WTTC] in 2002.

Kerala, located on the southern most tip of India, is hot and trusted tourism brand in India these days. The Satellite Accounting Research conducted by World Travel and Tourism Council [WTTC], states that Kerala’s travel and tourism demand is expected to grow by 11.6% [WTTC] per annum over the coming decade and is recorded as the highest growth rate in the world.

The God’s Own Country [Kerala], is famous for its attractive destinations and tourism initiatives. The dramatic increase in the number Indian middle class and global promotion campaigns by the tourism department contributed to the increase in tourist traffic to this small Indian state with 38,863 square km and a population of 32 million [True Knowledge, 2010].

Tourism Policy in Kerala

Responsible tourism is a new initiative promoted by the government of Kerala to ensure the participation of important stakeholders in a responsible way. Homestay tourism is one of the best initiatives to implement responsible tourism by ensuring participation of important stakeholders in a local community.

“Responsible tourism is a leisure activity implementing practices that are respectful of natural and cultural environment and which contribute in an ethical manner to the local economic development. It therefore favors the tourist awareness concerning his own impacts on the local territory and makes him an actor of his consumption” [cited in eveil network].

The state of Kerala decided to take on responsible tourism initiative at four pilot destinations. These destinations are Kovalam, the famous beach in south Kerala, Kumarakom, the back water destination in central Kerala, Thekkady, a hill resort in central Kerala and Wayanad, a historic/hill resort in Northern Kerala. Responsible tourism committees at various levels formed to initiate activities with focus on triple bottom line – Economical, Social, and Environmental.

The priority was given on economic area. Demand assessment of hotel products were done to ensure the sufficient supply of products from local area. Panchayats (Local governing bodies) were involved in this process of seed distribution, procurement of crops and sale of procured items to hotels. This local production- procurement -supply process has significant importance in responsible tourism initiative to stimulate grass root level economic development.

The major portion of the revenue generated through the responsible tourism flows to key stakeholders in local communities. Hotels and resorts operating in local community procure products from local production-procurement- supply network. This initiative will strengthen the bond between local community and hotel/resort operators. Ultimately, the economic well being of the society helps local bodies to focus on other two major initiatives of the responsible tourism – social and environmental factors.

Economic well being helps local societies to reduce social inequality by retaining major part of tourism revenue in local area. Moreover the socio -cultural exchange between the host community and the visiting tourists is beneficial for both the groups. Some of these advantages are sharing of various food cuisines, customs, geographical knowledge and trends in dress patterns. Then it’s the third bottom line – environmental factor. This is one is most affected by the growth and development of tourism in Kerala. The responsible tourism ensures participation of all stake holders in environment initiative. Efficient use of energy, water, and waste water management, protection of flora and fauna, all comes under environment initiative.

Kerala state is planning to expand responsible tourism initiatives to other tourist destinations after revising the success of the pilot program.

http://www.keralatourism.org/images/rt-impacts-in-the-Social.jpg

Sustainable Tourism

Sustainable tourism is a traditional framework to develop tourism that relates to shareholders in the tourism industry. Tourism supply chain, tourism attractions, local communities, and governments are the main actors involved in the provision of sustainable tourism. Each tourism attraction has to be concerned about the limits of tourism activities. These limits are the carrying capacity of an area, which is the capacity of the area that can be used for tourism activities without degrading the environment, culture, and the interactive harmony among sectors of the economy, group of people, and individuals (Manning and Dougherty, 1995, p. 29). In addition to carrying capacity, impact assessment and evaluation of the ecosystem must be performed periodically. In addition, tourism attractions should play a big role in tourist education, which may come in forms of environmental education and developing sustainable tourist behaviors. In terms of local participation, in principle, the tourism industry creates high levels of income generation and distribution. The local members are major participants in the development of sustainable tourism as community based tourism. The multiplier effect, which means that tourism creates job and investment opportunities for the local communities; it means that the goods and services that are offered to the tourists are produced locally and are not imported (Inskeep, 1991, p. 131).

The present view on tourism development is that tourism has to be sustainable; it has to generate economic benefits such as income and employment but should in the meantime aim at conservation of environmental and cultural heritage. Sustainable tourism is tourism that focuses on the impact of large numbers of tourists on the destination. The basis for sustainable tourism is the UN’s definition of sustainability: to meet the goals of the present without destroying the ability of future generations to meet their own needs. Based on this definition, the goal of sustainable tourism can be determined as protection and preservation of the environment for future generations. To achieve this goal the number of tourists coming to destinations must be kept within the limits of the predetermined carrying capacity while environmentally friendly strategies are trying to minimize the damage to the environment caused by tourism. Sustainable tourism deals with the question how to gain economic benefits from tourism while causing minimal damage to social, cultural and physical environments. It is clear in the UN’s definition of sustainable tourism that it is important to determine the carrying capacity of the destination. Carrying capacity concerns the optimum number of visitors that can be accommodated in a destination area before damage occurs and before a decline in the visitor’s experience. However, the interpretation of this understanding is complicated.

There are many existing definitions of carrying capacity. Carrying capacity is defined as “the maximum number of people who can use a site without an unacceptable alteration in the physical environment and without an unacceptable decline in the quality of experience gained by visitors” (Mathieson and Wall, 1982, p. 21). O’Reilly (1986) pointed out that too large numbers of visitors have great impact not only on the physical environment but also on the social cultural and economic aspects. O’Reilly does not give one overall definition of carrying capacity. He instead talked about the economic carrying capacity, the physical carrying capacity and the social carrying capacity. He described economic carrying capacity as the destination’s ability to absorb tourist’s activity without destroying local activities. The physical carrying capacity is defined as the limit of the destination beyond which environmental problems will arrive. Social carrying capacity is the level of tolerance of the host population for the presence and the behavior of the tourists (O’Reilly, 1986, p. 256).

The definition of carrying capacity in Martin’s and Uysal’s study is “the number of visitors that an area can accommodate before negative impacts occur, either to the physical environment, the psychological attitude of the tourists or the social acceptance level of the hosts” (Martin and Uysal, 1990, p. 329). In determining the carrying capacity of the destination, not only the impact of the number of tourists on the physical environment should be considered, but also the impact on the socioeconomic and cultural environment (Inskeep, 1991, p. 142). He stressed that “establishing carrying capacities is based on the concept of maintaining a level of development and use that will not result in environmental or social cultural deterioration” (Inskeep, 1991, p. 144). The existence of many definitions makes it clear that there is no unanimous understanding of the concept of carrying capacity. It is however generally accepted that carrying capacity deals with the volume of visitors and visitors’ activities in relation to the possible negative impacts on the physical, socio-cultural and economic environment.

To achieve sustainable tourism, it is essential to determine the maximum number of visitors that a destination can accommodate without destroying the destination image of the tourists. However, levels of crowding are not the same for all destination areas. For instance, beaches intended for relaxation can have smaller number of visitors than beaches developed for beach-tourism. A park used for nature reserve should have a lower density than the park used for amusement (O’Reilly, 1986, p. 257). Martin and Uysal (1990) stressed that carrying capacity is different for each lifecycle stage of the destination. For example, in the exploration stage there will be little impact on the social level but because there are not many facilities only a few tourists can be accommodated. The carrying capacity in this lifecycle stage is determined by the physical carrying capacity. In the stagnation stage, many tourists can be accommodated but the local community becomes less friendly to the tourists.

The carrying capacity in this stage is determined by the psychological and social carrying capacity. Despite the difficulties in measuring the carrying capacity of a destination, Inskeep (1991) provided general measurement criteria, which he divided into 2 categories;

the indigenous physical and social economic environment

the tourism image and tourist product

Measurement criteria for carrying capacity in relation to the indigenous environment are shown as follows:

Physical carrying capacity

Acceptable level of visual impact and congestion

Levels at which ecological systems are maintained before damage occurs

Conservation of wildlife and natural vegetation

Acceptable level of air, water and noise pollution

Economic carrying capacity

Level of tourism that provides optimum overall economic benefits

Level of tourism employment for the local community

Socio cultural carrying capacity

Extent of tourism development that can be absorbed without damage to the socio cultural lifestyle and activity of the community

Level of tourism that can maintain cultural monuments, arts, belief systems, customs and traditions without negative effects

Infrastructure

Adequate availability of transportation facilities and services

Adequate availability of water supply, electric power, sewage and solid waste disposal and telecommunication

Adequate availability of community facilities and services related to health and public safety

The indigenous physical and socioeconomic environment means that no damage should be done to the physical environment; no socio-cultural and economic problems should be created for the local community and a proper balance between development and conservation should be maintained.

Maintaining tourism image and tourist products means determining the maximum number of visitors that a destination can accommodate without destroying the destination image of the tourists. If the numbers of visitors exceed the limits of the carrying capacity, the destination’s attractions are destroyed. The destination will then decline in quality and popularity.

Measurement criteria for carrying capacity in relation to tourism image and visitor satisfaction are the following:

Physical carrying capacity

Overall cleanliness and lack of pollution

Lack of congestion of the destination environment and at tourist attractions

Attractiveness of landscape, including quality and character of architectural design

Maintenance of ecological system and flora and fauna of natural attractions

Economic carrying capacity

Cost of the holiday and “value for money”

Socio cultural carrying capacity

Intrinsic interest of indigenous communities and culture

Quality of local art, cuisine and cultural performances

Friendliness of residents

Infrastructure

Acceptable standard of transportation facilities and services

Acceptable standard of utility services

Acceptable standard of other facilities and services

For the development of sustainable tourism, carrying capacity management is a planning and management tool which helps to specify goals and objectives in tourism development. Rose [1984, 45 cited in Gunn, 2002] argues that “Planning is a multidimensional activity and seeks to be integrative. It embraces social, economic, political, psychological, anthropological and technological factors. It is concerned with the past, present and future”. The demand and supply side are the two strong elements of tourism. Tourism plan was prepared in 1991 [UNDP and WTO, 1991] to provide the basis for rectifying existing problems and a logical framework for the expansion of tourism.

Tourism carrying capacity is also a part of planning process. Coccossis and Mexa [2004 p.75], states that “the approach for defining tourism carrying capacity and the emphasis in its measurement may change or shift overtime in order to reflect changes to a system’s structure and dynamic as well as changes in management goals and priorities, in visitor’s values and expectations, and so on. Carrying capacity is not a fixed value, instead it acts as a guidance for tourism sustainability”. Figure 2.1 shows the challenge of tourism carrying capacity assessment [Coccossis and Mexa, 2004].

It can only be successful if all the stakeholders understand and agree to achieve the same goals. The government should issue clear and strict policies which can be understood and supported by all the government agencies like National Tourism Development Board and the ministries related to tourism. The private sector (hotels, shops and tour operators) and the local community should be involved in determining the tourism carrying capacity of their specific location; they must decide together how much damage they will tolerate in their specific location (Getz, 1983, p. 262). A proper understanding of how carrying capacity management works is essential for a successful application. All the stakeholders should understand the advantages and disadvantages of the different ways to limit the number of tourists. The number of tourists can be limited by pricing policies such as in Bhutan and Galapagos, Ecuador where tourists have to pay considerable fees to enter the country and to visit the destination (Reinfeld, 2003, p. 32). The pricing policy is meant not only to limit the number of visitors but it is a tool to select the type of visitors. People who can afford the high fees are considered high quality tourists.

Another way is restricting the number of tourists and the minutes that each person can stay at the destination as in China or closing certain areas for tourists during special events like on Koh Samet in Thailand. Establishing buffer zones where private commercial activities are prohibited like in India, is yet another way of limiting the number of tourist in the attempt to develop sustainable tourism. It is important that all the stakeholders understand that the carrying capacity management which includes limiting the number of visitors, is aimed at preserving the environment in order to guarantee sustainable tourism. If some of the stakeholders do not participate in applying carrying capacity management, because for instance they think about economic benefits on the short run, the goal of carrying capacity management and thus sustainable tourism cannot be achieved.

However, carrying capacity as a management tool does not always give the desired results. This is not surprising, because tourism planners and managers have to deal with three different carrying capacities: the physical, the socio-cultural and the economic carrying capacities. The thresholds for the different capacities may not be the same. For instance, tourism development may be beneficial in economic terms but very damaging in the socio-cultural and environmental aspects. There is another reason why the results are not as good as they should be, namely: the seasonality of the tourism industry. The seasonality makes it complicated to use the concept of carrying capacity as a planning tool. The maximum level of the destination’s carrying capacity will be reached only in peak periods and not during the low season. Planners and managers must decide if they are going to develop accommodation, services and infrastructure to meet the demand in the peak periods although much of the capacity will not be used outside the peak period (Inskeep, 1991, p. 147). Another complication in using carrying capacity as a management tool in the development of sustainable tourism is that destinations in different stages of the lifecycle have different capacity thresholds (Martin and Uysal, 1990, p. 329). Moreover, carrying capacity management is not static; it changes from region to region, with constantly changing limits determined by a combination of environmental thresholds, investment options and management policies.

Identification of issues

Socio-cultural component SCC

Political-economic component PEC

Physical- ecological component PhEC

Broader context

(i.e.Trends/ prospects, national strategies of tourism development)

Analysis of the system Physical, ecological, socio-cultural, political-economic, institutional characteristics

Analysis of tourism development. Type and level of tourism development, flows activities, tourist product, existing restrictions etc.

Assessment: identify problems, threats, risks, issues and concerns, conflicts and opportunities

Definition of critical factors: identification of bottlenecks and constraints

PhEC SCC PEC

Definition of indicators, thresholds and desired levels

PhEC SCC PEC

Formulation of goals and objectives/definition priorities

Impact assessment of the various options

PhEC SCC PEC

Elaboration of alternative courses of actions (options)

Selection of preferable option

Definition of total carrying capacity on the basis of key critical factors

Strategy formulation

TCC policy measures

Implementation

TCC indicators (final list)

Monitoring and evaluation

PLANNING FOR TOURISM DEVELOPMENT TCCA

Planning for tourism development and TCCA

Figure 2.1

If tourists consume imported goods and products, the local communities do not benefit much. It will be the foreign producers who will benefit because the revenues are shipped out of the country. The tourism activities in the communities generate income and employment and support local communities directly in improving their standard of living. In addition, the local residents are the tourism planners in their communities. This tourism management results in spreading the economic benefits fairly among the communities both revenue and employment, as a multiplier effect on the local communities. Consequently, the sustainable tourism development pays attention to community involvement and environmental conservation. It brings benefits to the community such as improved living standards that strengthen the capacity in the community. This leads to sustainability and to a tendency of a new tourism pattern. This new pattern emphasizes the awareness of environmental conservation and local participation which leads to the emerging of the principle of community based tourism (CBT) in the tourism industry.

Community Based Tourism

Community based tourism (CBT) is “tourism that takes environmental, social and cultural sustainability into account” (REST, 2005). CBT concept is useful for community tourism management and it aims to increase awareness of tourists to conserve natural resources and to learn about community and local ways of life.

Community based tourism aims to increase and improve participation by stakeholders for the reasons outlined under rationale. The ability of local people to participate actively depends on economic, social and political relationships as well as on ecological and physiographic factors found in any particular area.

Community based tourism aims to achieve the following objectives:

Community based tourism must contribute to increase and/or improve conservation of natural and/or cultural resources, including biological diversity, water, forests, cultural landscapes, monuments, etc;

Community based tourism must contribute to local economic development through increasing tourism revenues and other benefits to community residents, and to an increasing number of participants;

Community based tourism must have a level of participation towards self-mobilization.

Community based tourism has a responsibility to the visitor to provide socially and environmentally responsible products.

Community based tourism will increase community involvement in conservation and development. It generates widespread economic and other benefits and decision-making power to communities. These benefits act as incentives for participants and the means to conserve the natural and cultural resources.

Home stay Tourism

Home stay is one type of tourism that promotes interaction between host families and visitors. It will function as a guideline for management on natural resources and cultural preservation and distributes income to local residents, preventing leakage of the economy out of the community.

In addition, the framework to develop and promote tourism is concerned about environmental conservation and sustainable tourism principle. Homestay tourism is based on sustainability of tourism; therefore it is necessary to investigate the overall satisfaction of tourists with homestay services. There are many different patterns in tourist behaviors and lifestyles, depending on their own traditions and cultural backgrounds. This means that there is a wide range of tourist demands in the destinations. Therefore, the result of the study is useful information to improve quality of homestay tourism in the tourism industry

Hatton (1999) indicated that homestay was one pattern of tourism in which the tourists have to stay with the host in a community, where they will be involved in activities such as cooking, wedding ceremonies and seeing the community’s performance. Home stay or participatory rest houses within the community have the following objectives: it is an activity where the community and people in the community are the owner of the project and who receive benefits from these tourism activities. Home stay tourism is an important driver of learning, exchange and strengthening value of community and it is also conservation of environment and cultural preservation.

The Tourism Authority of Thailand (1999) defined that homestay tourism was developing tourism in rural areas, in order to bring benefits to the community. This homestay tourism is a new form of tourism based on ecotourism such as trekking. Homestay responds to the tourists’ needs properly and emphasizes quality more than quantity; it also develops cultural value and ecosystems. The community would have a definite participation in each operation such as controlling the number of tourists visiting in area and providing information to visitors.

Aunnop Bunchan (2001) stated that homestay is the rest-house based on community participation; that the price of staying is low and that the tourists have to stay with the host. The homestay visitors are interested in locals’ life styles and they are able to spend time in this area. The tourists will learn about culture, local ways of life and they are able to stay more than one night. The hosts will develop their houses, based on indigenous culture and serve tourists with activities as cleaning the toilets and bedrooms. The hosts have to treat the visitors as members of the family and involve them in activities and share experiences.

Apinan Buahapakdee (1999) pointed out that homestay was a pattern of ecotourism that focuses on tourists learning locals’ life style in the community, study and stay with villagers in the community. As described above in various concepts, homestay is a pattern of community

participation in tourism management. Homestay visitors are able to stay with the hosts in the community and they aim to study locals’ traditional culture. Tourists are aware of the importance of environmental conservation and cultural preservation. They have to respect the community’s tradition. Moreover, the hosts have to be involved with tourists in the same way as they are with family members. Homestay activities are concerned with learning the life style in the community. As for staying overnight, the tourists should agree with the homestay concept before visiting and taking part in activities in the community. In other words, Kerala, homestay is one pattern of the tourism industry that arranges tourism to obtain the following objectives.

To develop awareness and understanding among the tourists regarding the environment and the economy

To enhance experience and value to the tourists or visitors

To improve quality of life for local residents

To maintain the value of traditional culture and the quality of the environment

In Kerala, Homestay tourism provides a unique experience for the tourists. Foreigners preferred to stay in local houses like thatched huts, small cottages and tree houses to experience the local life. The main aims of homestays are to learn and experience different culture and tradition for both the host and the guest. Literally homestays are home away from home.

The department of tourism divided the homestays into three categories according to the quality of the service providing by the Homestay owner’s. They are Diamond House, Gold House and Silver House. This status has subtitled accordingly to meet the criteria’s demanded by the tourism department.

However, the benefits of Homestay operators are very important. They can earn additional income apart from their regular household income. They will get financial support from the government for renovating houses and moreover they can use Kerala tourism brand as a marketing tool [keralatourism.org]