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CU-BBA-SEM-III-Basics of Tourism- Second Draft-converted

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service sector, despite the fact that it is largely unrecognised as such in some of these countries. • The development of the tourism industry has been aided by changing people's lifestyles and the opening up of the economy. Travel barriers have been torn down, allowing free trade to flourish. Tourists' focus is turning away from existing destinations like Europe and toward new destinations like Asia and the Pacific. Tourism has evolved into a multi-faceted industry that includes shopping, recreation, entertainment, and education. Changes in consumer behaviour, the economic power of source economies, new destinations, and political realignments all contribute to new travel trends. • Traditional tourism resources (sun, sand, sea, faith, leisure, vacation, etc.) are being replaced by non-traditional resources such as alternative tourism types and business tourism in the new tourism industry. 8.4 KEYWORDS • Seasonal Tourism: Tourism according to season and for less than one month. • Roving Tourism: Tourism in which travel component is more as composed to stay component. • Winter Tourism: Tourism in winter months. • Summer Tourism: Tourism is summer months. • Recreational Tourism: involving recreational actinides 8.5 LEARNING ACTIVITY Visit Health Tourism Centre and understand the services they offer Visit / Enquire about Eco Tourism Spots through Travel agency and understand the importance of the Eco Tourism Spot. ___________________________________________________________________________ ____________________________________________________________________ 151 CU IDOL SELF LEARNING MATERIAL (SLM)

8.6 UNIT END QUESTIONS A. Descriptive Questions Short Questions 1. What are various non-traditional tourism forms? 2. Identify some unexplored places in your vicinity, and how tourism can be developed at these places. 3. What is seasonal Tourism 4. Compare traditional tourism with the current tourism, 5. Define tourism industry. Long Questions 1. What are the traditional tourism resources? 2. List some areas of diversification in tourism industry? 3. Highlight some factors which are responsible for change in tourism. B. Multi Choice Questions 1. What is domestic tourism a. Travel for less than one day in your own country b. A business trip overseas c. Travel involving an international stay away from home d. Travel within your own country. 2. Which of the following phrases best describes ecotourism 152 a. Rural tourism b. Nature based tourism with an educative element c. Tourism in the natural environment d. Tourism to exotic natural locations CU IDOL SELF LEARNING MATERIAL (SLM)

3. Which one of the following is a part of adventure tourism a. Swimming b. Bowling c. Bunger jumping d. Chess 4. Recreation is a a. Product b. Service c. Privilege of a tour operator d. Privilege of a tour guide 5. The term tourist itinerary has to identify the ------ a. Location b. Destination c. Place d. Area Answers 1- d, 2 – b, 3 – c, 4 – b, 5-b 8.7 REFERENCES • McIntosh et.al. (2004). Tourism Principles. USA: Prentice Hall Publication. • Mill and Morrison. (2011).Tourism System. USA: Prentice Hall Publication. • Negi, Jagmohan. (1990).Tourism and Travel Concepts and Principles. Kolkata: Gitanjali Publishing House. • Kamra, K.K. and M. Chand. (2006). Basics of Tourism: Theory operation and practice. New Delhi: Kanishka Publication. 153 CU IDOL SELF LEARNING MATERIAL (SLM)

• Bhatia, A.K. (1991).International Tourism. Ludhiana, Punjab: Kalyani Publications. • Seth, P.N. (1999). Successful Tourism Management (Vol 1 &2). New Delhi: Sterling Publishers 154 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT 9: PRESENT SCENARIO OF THE TOURISM INDUSTRY Structure 9.0 Learning Objectives 9.1 Introduction 9.2 Global Tourism 9.3 Regional&National Tourism 9.4 Summary 9.5 Keywords 9.6 Learning Activity 9.7 Unit End Questions 9.8 References 9.0 LEARNING OBJECTIVES After studying this unit, you will be able to: • Describe nature of present scenario of the tourism industry • Identify scope of present scenario of the tourism industry • Benefits of present scenario of the tourism industry • Process of present scenario of the tourism industry 9.1 INTRODUCTION Tourism is one of the largest industries in the world. The industry is unique in many ways and has a complex structure and interrelationship among various components. Tourists visit the destination, which is a crucial component of tourism industry and the visit generates different types of impacts. The usage of the destination by the tourist is, hence, has lot of importance and relevance in the socio-economic context of a region. 155 CU IDOL SELF LEARNING MATERIAL (SLM)

Hence, getting an idea about the structure of tourism industry, components of it, the nature of interrelationship among the industries, use of the destination by the tourists and the consequent effects on the economy in and around the destination, etc. is crucial for a beginner in tourism studies. This unit has been designed with that aim. 9.2 GLOBAL TOURISM Travel and tourism is the largest industry in the world, employing millions of people in national and regional economies. According to the World Tourism Organization, tourism is one of the top five export categories for 83% of countries, especially in Europe, the Middle East, and the Americas, and is the primary source of foreign exchange in one out of every three developing countries. Small island nations usually have the highest ratios of tourist receipts to GDP. Despite the fact that a substantial portion of gross tourism receipts (50-70%) \"leak\" out of these countries to pay for imported tourism inputs, the net receipts to GNP ratio remains much higher than in larger countries. The truth remains that tourism is more than just one industry; it is a conglomeration of many. Every 10 seconds, a new work is created in the travel and tourism industry around the world. One out of every nine people works in tourism, and one out of every ten people on the planet is a traveller, according to forecasts. Travel is predicted to rise 50 percent faster than every other field of global employment. • According to WTTC (World Travel and Tourism Corporation) analysis, between 2001 and 2011 • World Travel & Tourism is projected to produce US$6,201.5 billion in economic activity • (Total Demand) in 2005, rising to US$10,678.5 billion in nominal terms by 2015. • Travel & Tourism Demand is expected to grow by 5.4% in 2005 and by 4.6% per annum, in real terms, between 2006 and 2015. • Global Gross Domestic Product will increase from 10.7 per cent to 11 per cent; • Global employment contribution will increase from 207.1 million to 260.4 million or 9 per cent of total global employment; • The global value of tourism related exports will increase from US$ 1,063.8 billion to US$ 2,538.3 billion or 12.8 per cent of global export value; and 156 CU IDOL SELF LEARNING MATERIAL (SLM)

• Global capital investment in tourism will increase from US$ 657.7 billion to US$ 1,434 billion or 9.3 per cent of global investment. 9.3 REGIONAL & NATIONAL TOURISM Drivers of Tourism Growth The continuation of global growth has undoubtedly been a major factor. The extraordinary strength of emerging markets and developing economies in general, especially in Asia, was maintained. Meanwhile, in continental Europe, and especially in Germany, economic growth has accelerated. International tourism appears to be on track for another year of above- average growth, thanks to rising disposable income and factors such as the continued creation of low-cost airlines that make travel accessible to a larger portion of the population. Present Trends in Global and Indian Tourism Industry • With increased technology, the world will see the advent of rapid transportation systems all over the world in the coming years. • As a result of new information technology, there is a greater need for tourism. • During the last decade, the demand for low-cost hotels has continued to grow. • Areas of Interest Tourism is rapidly expanding. Theme parks, adventure tourism, and casinos are all attracting increasing numbers of visitors. • In order to entice return guests, the hotel industry places a premium on providing personalised service. • Quick vacations are becoming a more common characteristic of modern lifestyles as more people opt for shorter trips. People can now enter far-flung destinations even quicker thanks to increased transportation frequency and network. • One of the most significant changes in the global tourism industry is the growing number of mature travellers. The Baby Boom generation (those born after WWII) would retire, resulting in an increase in ethnic, cultural, and heritage tourism. Senior citizens are following the same trend and taking more and more trips. • Environmental concerns are becoming more prominent in the hospitality industry, and more green hotels are emerging. Guests who stay in green hotels save millions of gallons of water and avoid the release of tonnes of detergent. The number of ecotourists is rapidly growing as 157 CU IDOL SELF LEARNING MATERIAL (SLM)

environmental awareness grows among the general public. According to a study, 34 million Americans either took a nature-based holiday last year or intend to do so this year.• The early years of this millennium are marked by major social and economic shifts that have changed the way customer behave. Stimulated by increased knowledge, information and buying power, these shifts are creating aspirations or better life styles. • Single Holiday Tourists are one of the newest developments in global tourism. As opposed to group travel, single travellers tend to travel alone. Every year, the number of single women travelling to India increases by 6 to 8%. • Managing visitors' needs will become more complicated for service agencies in the immediate future as the number of visitors to a popular destination grows. As a result, the number of mergers, acquisitions, partnerships, and cooperative agreements has risen. • Non-governmental organisations (NGOs) are becoming increasingly involved in heritage protection and restoration around the world. • Hotel properties will build or transform their hotels into spa resorts based on Ayurvedic and other rejuvenating concepts in order to tap into the domestic and international health tourism markets. • International hotel chains are booming in India thanks to the idea of franchising. In India, all foreign players are looking for land. • Branded hotels from around the world are coming to India. Leading international corporations have expressed interest in the region. • Business travel accounts for around 12% of the global travel industry's total revenue. By 2010, the Indian business travel industry is expected to reach $1 billion, according to industry estimates. • Following Singapore's lead, a slew of amusement and theme parks are springing up across India's major cities. • Golf has been identified as a priority area for tourism growth, and the Indian Department of Tourism is collaborating with major golf courses to attract potential golf tourists. Future of Tourism Industry 158 CU IDOL SELF LEARNING MATERIAL (SLM)

Tourism is a trillion-dollar industry that is still rising around the world. It employs more people than every other industry, and it contributes significantly to the economies of nearly every country on the planet in a world made smaller by a travel-conscious society. The tourism industry's sustainability is dependent on the preservation of the planet's natural and cultural ecosystems. As a result, with proper planning, tourism can be an important environmental protector. According to the World Tourism Organization, international tourism will double by 2010, reaching approximately one billion visitors per year. While this rapid development will bring many benefits, it will also place a great deal of pressure on tourist destinations such as beaches and mountain resorts, small islands, historic city centres, and picturesque villages. Actively preventing the loss of these tools is in our best interests. International arrivals are expected to exceed 1.56 billion by 2020, according to the World Tourism Organization's Tourism 2020 Vision. In 2020, 1.2 billion people will travel intraregional and 0.4 billion will travel long distances. Total tourist arrivals by region indicate that Europe (717 million tourists), East Asia and the Pacific (397 million), and the Americas (282 million) will be the top three receiving regions by 2020, followed by Africa, the Middle East, and South Asia. East Asia and the Pacific, South Asia, the Middle East, and Africa are expected to rise at rates exceeding 5% per year, compared to a global average of 4.1 percent. Europe and the Americas, which are more developed, are expected to rise at a slower pace than the rest of the world. Europe will continue to have the largest share of global arrivals, but it will drop from 60% in 1995 to 46% in 2020. 9.4 SUMMARY • With its aura of foreign glamour, suspense, and romance, the travel and tourism industry is fascinating. It must respond to a variety of social, political, economic, and legal environments due to its global reach. Travel is also a company, and as such, it requires certain skills and a sophisticated understanding of the world from its employees. The travel and tourism industry, like any other company, must fit its offering to potential buyers. • \"THE WORLD\" is the world's largest market. Please accept my apologies for the cliché, but that is our business. There is no denying that today's society will be impossible without tourism as a source of revenue. 159 CU IDOL SELF LEARNING MATERIAL (SLM)

• The economic practise of offering visitor facilities encompasses a wide range of activities. To put it another way, tourism refers to the activity of visiting or travelling for fun or leisure, as well as the business of guiding or managing visitors. 9.5 KEYWORDS • Social Tourism – Tourism activities of poor people sponsored by government. • Self-Financing Tourism – Paying for our tourism activities. • Long Haul Tourism – Tourism for longer duration and covering long distances. • FIT – Free Independent Traveller • GIT-Group Inclusive tour 9.6 LEARNING ACTIVITY 1. Understand and study the impact of Tourism in the Post COVID 19 Era. ___________________________________________________________________________ ____________________________________________________________________ 2. Impact of Covid 19 on Tourism Service Providers ___________________________________________________________________________ ____________________________________________________________________ 9.7 UNIT END QUESTIONS A. Descriptive Questions Short Questions 1. Define National Tourism 2. Explain about International Tourism 3. What is Regional Tourism 4. Differentiate supply and demand. 5. What is tourism demand? 160 CU IDOL SELF LEARNING MATERIAL (SLM)

Long Questions 1. How would you explain tourism supply, supply chain and components of tourism supply? 2. What are unique characteristics of Tourism Demand and Supply? 3. How do you measure Tourism Demand and what are the various methods of measurement? B. Multi Choice Questions 1. Thomas Cook is famous for: a. Having achieved the first solo transatlantic flight b. Having organized the first package tour c. Having organized the first luxury cruise d. Having founded the Holiday Inn hotel chain 2. Eco-Tourist is interested to visit a destination where there is a. Rich wildlife wealth b. Unique wildlife species c. Relatively unspoilt natural environment d. Dense forest 3. Tourism that consists of travelling to relatively undisturbed or uncontaminated natural areas with specific objectives of studying , admiring, and enjoying the scenery and its wild plants and animals as well as any existing cultural manifestations a. Wild life tourism b. Rural tourism c. Eco tourism d. Adventure tourism 161 CU IDOL SELF LEARNING MATERIAL (SLM)

4. According to definitions of the tourist what is the maximum allowable length of stay in destination before you cease to be counted as a tourist a. 1 month b. 1 year c. 6 month d. 1 day 5. ------------ tourism involves people travel within the country a. domestic tourism b. international tourism c. inbound tourism d. outbound tourism 6. -------------- tourism is the time when an individual can do what he likes to refresh a. international tourism b. leisure tourism c. recreational tourism d. None of these Answers 1 – b, 2 – c, 3 – c, 4 – b, 5-a, 6-b 9.8 REFERENCES • McIntosh et.al. (2004). Tourism Principles. USA: Prentice Hall Publication. • Mill and Morrison. (2011).Tourism System. USA: Prentice Hall Publication. • Negi, Jagmohan. (1990).Tourism and Travel Concepts and Principles. Kolkata: Gitanjali Publishing House. • Kamra, K.K. and M. Chand. (2006). Basics of Tourism: Theory operation and 162 CU IDOL SELF LEARNING MATERIAL (SLM)

practice. New Delhi: Kanishka Publication. • Bhatia, A.K. (1991).International Tourism. Ludhiana, Punjab: Kalyani Publications. • Seth, P.N. (1999). Successful Tourism Management (Vol 1 &2). New Delhi: Sterling Publishers 163 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT 10: INTERDISCIPLINARY APPROACH TO TOURISM Structure 10.0 Learning Objectives 10.1 Introduction 10.2Linkages of Tourism with other subjects Viz. History, Sociology, Geography, Management and Economics. 10.3Summary 10.4 Keywords 10.5 Learning Activity 10.6Unit End Questions 10.7 References 10.0 LEARNING OBJECTIVES After studying this unit, you will be able to: • Describe nature of Interdisciplinary approach to tourism • Identify scope of Interdisciplinary approach to tourism • Benefits of Interdisciplinary approach to tourism • Process of Interdisciplinary approach to tourism 10.1 INTRODUCTION The tourism industry deals with tourists as customers, the money they spend, and the tools available to provide different products and services that aid in the composition of the tourism product. This industry is known as the \"smokeless industry\" because, unlike other industries, it is non-polluting and invisible. The tourism industry is a highly diverse amalgamation of numerous industries spanning numerous fields. 164 CU IDOL SELF LEARNING MATERIAL (SLM)

A system, such as the one shown below, may be used to propose a simple structure for the tourism industry. Figure 10.1 Tourism Industry Tourism is a broad industry that encompasses a variety of interconnected businesses. Transportation (air, water, and surface), Accommodation (Hotels, Motels, and Supplementary Accommodations), Travel Companies (Tour Operators/ Travel Agents), Recreation and Entertainment Institutions, Handicrafts industry, and the provision of the many goods and services demanded by tourists are just a few examples. Surprisingly, most of the component industries are involved in a variety of commercial and non-commercial activities in addition to offering tourist services. Tourism's etymological roots can be traced back thousands of years. Tourism has a direct association with travel, which has traditionally been dependent on military, religious, and trade-related travels. Tourism has evolved into a multi-dimensional industry with economic, sociological, cultural, political, environmental, and spatial dimensions, as well as numerous actors. 165 CU IDOL SELF LEARNING MATERIAL (SLM)

Tourism has been increasingly recognised as a human activity, an industry, and a driver for economic growth and development over the years. The tourism industry, like any other, takes energy from the economy, adds value, and creates marketable goods. The only difference is that, unlike a manufacturing industry, no tangible product is produced. As we discussed in the previous lesson, the product in this case is intangible and has a joint or composite existence. Auxiliary (specific) and ancillary (general) industries are also impacted by the tourism industry. Tourism is currently experiencing a rapid transformation into a new sector, with far- reaching implications for organisations in the travel and tourism industry in particular, as well as import consequences for developing and developed countries in general, as the tourist dollar becomes increasingly important. There are several forces at work in this industry that are causing change. People used to travel mostly for business and religious purposes, with leisure travel reserved for the wealthy. Company, leisure, faith, community, visiting friends and family, education, and health are just some of the reasons why people travel nowadays. The modes of transportation have become more diverse and quicker, and as they have, new travellers have emerged and people have travelled longer distances. Another significant factor driving business development is the globalisation and growth of the middle class, as well as an increase in their disposable income. The travel industry is inherently dynamic and difficult to handle. This is due to three factors: their process form, cost structure, and business characteristics. Most operations are a mix of customer processing operations, material processing operations, and information processing operations in terms of process. There are a variety of cost models dependent on service provision, food, lodging, sightseeing, airfare, and so on. Forecasting and packaging are two important market characteristics. New tourism is a transition from current tourism to future tourism, characterised by: • Diverse tourist items • Customer segmentation • Improved tourism encounters • A push for organisations that are diagonally interconnected and • Administration of the tourism industry 166 CU IDOL SELF LEARNING MATERIAL (SLM)

The tourism industry is beginning to take on newer dimensions, as evidenced by simple and obvious manifestations. A variety of factors have contributed to the emergence of this new practise, including the tourism industry's system of new information systems, airline industry deregulation, environmental constraints, technological compensation, evolving customer preferences, leisure time, job habits, and income distribution. The economics of modern tourism vary significantly from those of old tourism. From machine gains to segmented markets to planned and personalised vacations, the tourism industry is now focusing on sustainability and competitiveness. The new visitors are more concerned about environmental preservation and show greater consideration. There has been a turn toward ecotourism, green tourism, rural tourism, farm tourism, sustainable tourism, and other forms of modern tourism, with endless opportunities for profit. Today, competitive strategies for success are needed for survival. The industry players must keep up with new techniques and trends. To achieve a competitive advantage, market players and participants must: • be customer-friendly; • be quality-conscious; and • develop new and improved goods • add value in a meaningful way. Furthermore, some main values must be integrated into the policy system in order for tourism destinations to be successful. Some of these are • be environmentally sensitive, • make tourism a leading sector, • strengthen the distribution channels in the market place, • encourage private sector participation. Tourism is now responsive to the environment as well as the residents of the region or area; it is also sustainable, and it has the ability to turn the economies of tourism-dependent and vulnerable areas into viable entities. Tourism is undergoing revolutionary change, and a new form of tourism is rapidly evolving. Flexibility, segmentation, and diagonal convergence are 167 CU IDOL SELF LEARNING MATERIAL (SLM)

all features of new tourism. Information technology and changing market demands are driving this trend. Today, this industry is capable of producing a complete value-added and wealth-generation scheme. The objective today is 'tourism should be planned in a manner that it benefits the community as a whole, has benefits for the locals, and optimizes the expectations of the tourists besides taking care of the environment.' Several definitions have been forwarded for tourism. The World Trade Organization states that tourism is “the activity of people who travel to places outside their customary surroundings and stay there for leisure, business or other purposes for no longer than one year without interruption”. The Mathieson and Wall offer a matching one to the WTO: “Tourism is the temporary movement of people to destinations outside their normal places of work and residence, the activities undertaken during their stay in those destinations, and the facilities created to cater for their needs”. Webster Dictionary advocates that: “The term tourist is derived from the word tour ‘meaning’ a circular trip usually for business, pleasure or education during which various places are visited and for which an itinerary is usually planned”. • The concept was established by the International Association of Scientific Experts in Tourism (AIEST) and includes five key characteristics: • Tourism is the product of people travelling to and staying in different places. • Tourism has two parts: the journey to the destination and the stay, which includes activities at the destination. The journey and the stay take place outside the normal place of residence and work, so that tourism give rise to the activities, which are distinct from those of the resident and working population of the places, through which tourists travel and in which they stay. • The movement to the destination is transient in nature, with the goal of returning within a few days, weeks, or months; and • Destinations are visited for reasons other than settling down permanently in the places visited. 168 CU IDOL SELF LEARNING MATERIAL (SLM)

10.2 LINKAGES OF TOURISM WITH OTHER SUBJECTS VIZ. HISTORY, SOCIOLOGY, GEOGRAPHY, MANAGEMENT AND ECONOMICS According to the definition of Ministry of Tourism, Government of India (GOI) Tourism is a composite industry, consists of various segments, which can produce a wide range of products and services. The various segments which form the tourism industry complete in all respects are known as the linkages of tourism industry or tourism interface. All industries have become increasingly competitive in recent years, and the travel industry is no exception. As a result of this rivalry, travel agencies and tour operators have been forced to look for ways to become more competitive and profitable in this region. Since tourism is not a standalone product, it is made up of components from other industries, such as airline seats, hotel rooms, transportation, culture, and so on Basically, the tourism sector, as well as cultural and entertainment organisations. Such connections are essential for the tourism industry to meet the various needs and demands of visitors. The tourism linkages and their effect on the travel industry are listed below. Accommodation, lodging, travel agencies/tour operators, and entertainment organisations have played a pivotal role in the tourism industry, while others play a supporting yet significant role. They are, in a sense, creating demand for travel, accommodation, food, shopping, entertainment, and other tourism-related activities. All types of lodging, including camping and caravanning, as well as all types of food and beverage facilities are included in accommodation; transportation includes airline, train, road, and sea travel; and shopping includes all types of retail purchases, including souvenirs, arts and crafts, clothes, and other products. Tourism associations provide an opportunity to solve tourism industry problems and pursue tourism business ethics; banking and insurance firms provide financial and insurance services; and tourism associations provide an opportunity to solve tourism industry problems and follow tourism business ethics; Tourism educational institutions provide/supply the appropriate type and standard of human resources to operate and manage the travel industry professionally. Since the different constituents of tourism participate in one way or another and to varying degrees in delivering a complete tourism product experience to visitors, linkages play an important role in the travel industry. Creation of touristic infrastructure, promotion of destination attractions, economies of scale, reduced prices, lower price, recognise and expand untapped tourist potential, conservation and security of heritages, enhanced bargaining capacity, socio-economic development, 169 CU IDOL SELF LEARNING MATERIAL (SLM)

promotion of sectoral destination and tourism organisation are the key benefits of linkages in tourism. Tourism encompasses the entire range of transportation, accommodation, food service, and other activities relating to and serving the visitor, and it can also be described as people taking trips away from home. All travellers visiting foreign countries, whether for fun, company, or a combination of the two, are considered tourists. Just anyone who is establishing a new residence in a foreign country and will be receiving a salary and paying taxes in that country is exempt. A tourist is anyone who travels outside of their home country. Many people already work for three or four days a week on average, or they take six months or a year off to meet educational or leisure goals. Tourism is regarded as a vital trend in the life of nations due to its direct impact on national societies' social, cultural, educational, and economic sectors, as well as their international relations. The structural approach to tourism research takes into account the numerous intermediaries and institutions that carry out tourism-related activities. The institutional approach focuses on organisations such as travel agencies. This research will look into the organisation, operating methods, challenge, costs, and economic position of travel agents who purchase services from airlines, rental car companies, hotels, and other sources. The product approach entails investigating a variety of tourism items and how they are manufactured, sold, and consumed. The study and airline seat, for example, how it is made, the people involved in buying and selling it, how it is funded, how it is marketed, and so on. This technique can be repeated for rental vehicles, hotel rooms, meals, and other visitor facilities to get a complete picture of the situation. Unfortunately, the product method is too time consuming, preventing the student from easily grasping the basics of tourism. In business tourism, the historical approach is not commonly used. It entails an evolutionary examination of tourism practises and institutions. It looks for the reasons for developments, their development or decline, and interest changes. In the microeconomic or private section, the managerial approach is firm focused, focusing on the management activities required to run a tourism enterprise, such as planning, analysis, pricing, advertising, control, and so on. It's a common approach that incorporates (picks up) ideas from various approaches and disciplines. It is important to understand the management strategy. Products evolve, organisations evolve, and culture evolves; as a result, managerial goals and practises must 170 CU IDOL SELF LEARNING MATERIAL (SLM)

evolve to keep up with developments in the tourism world. Interdisciplinary approaches encompass(include) almost all facets of our culture. Cultural tourism is included in these approaches, which necessitates an anthropological approach. Since people act differently and travel (journey-excursion) for various reasons, a psychological approach is needed to determine(decide) the most effective way to promote and sell tourism items. We find that political institutions are involved and that a political science approach is needed because visitors cross borders and need passports and visas from government offices, and because most countries have government-run tourism development departments. Legislative bodies, as well as the general public, pay attention to every business that grows into an industrial behemoth that affects the lives of many people. Passenger transportation is another choice, given the value of transportation. The truth is that tourism is so vast (huge), complex, and multifaceted that it necessitates a variety of approaches to studying the area, each geared toward a slightly different goal. Tourism studies interdisciplinary existence, as well as their reciprocity and mutuality through many social sciences. The inbuilt linkages in tourism industry are as follows: 1. Accommodation industry. 2. Transport industry. 3. Travel agencies and tour operators. 4. Tourism organizations and associations. 5. Ministry of tourism. 6. Ground operators. 7. Shops and emporiums. 8. Insurance companies. 9. Food and beverage organizations. 10. Ministry of external affairs. 11. Entertainment organizations. 12. Tourism and hospitality management educational institutions. 13. Banking companies. 14. Postal and telecommunications. 171 CU IDOL SELF LEARNING MATERIAL (SLM)

15. Cruise industry. Need of effectiveness in linkages of tourism industry The above discussed linkages form the basis of effectiveness in tourism industry and vice- versa. • During recent past, all business is becoming competitive and tourism is no exception. • Competition leads to necessity of perfection. • Clientele is much more aware than past. • Increased in the graph of disposable income and thus increase in no. of tourists. • Need to develop tourism in sustainable manner. • In the travel sector, the constituents of the tourism industry are interdependent not only in terms of their businesses, but also in terms of developing marketing strategies. • All the services provided by the linkages have a direct impact on the product of the tour operator. Significance / Importance of Linkages • All the linkages of tourism industry are not equally important but they vary according to their role in operation. • Some of the linkages such as: Transport industry, Accommodation, Ground operators, Tour operators etc. are more important and must be kept on first level in the management process. Distribution of linkages Simple way to distribute components is according to their importance and distribution structure should be follows: • Numbers of levels. • Intensity at the various levels. • Types of intermediaries at each level. Benefits of various components for the industry and in general • Development of touristic infrastructure. 172 CU IDOL SELF LEARNING MATERIAL (SLM)

• Promotion of destination’s attraction. • Circulation of money. • Reduced cost. • Identify and develop untapped tourist potential. • Conservation and protection of heritage. • Improved negotiating power. • Socio-economic development. • More employment opportunities. Human Geography Many people enjoy the thrill of discovering new cultures through languages, foods, drinks, goods, arts, and crafts that are unique to each area. Simply being in a different location and participating in daily activities can be an adventure in itself. An understanding of human (cultural) geography provides specific types of information that can enhance any tourism experience. The rest of the image, which can be captured and explained through maps, is created by human geography, which includes people and economic activities. Culture, as expressed through language, religion, dress, foods and beverages, and other customs, plays a critical role in the popularity of many tourism destinations. Other factors such as politics and economic conditions can also play an important role in the ease of travel, especially across international boundaries. Governments can encourage or discourage tourism through passport and visa requirements as well as through policies relating to taxation or the ease of currency exchange. English, for example, is the most widely spoken language in the developed world, but it is not spoken in all places. Chinese, French, Spanish, Russian, Japanese, Hindi, and a variety of other languages may be spoken in other areas. Although this may establish a language barrier for others, it may open doors for others who offer translation or tour services. Travelers may become conscious of cultural values and religious expectations through human geography, avoiding social blunders. In some countries, it is common practice for businesses to close on certain days and times because of accepted cultural norms or for religious reasons. For 173 CU IDOL SELF LEARNING MATERIAL (SLM)

example, all commercial activity ceases in many Middle Eastern countries during designated prayer times. Regional Geography The level of tourism interest and activity in a specific area often depends on a combination of both physical and human geography that comes together, making certain locations more attractive than others. It may be curiosity or a combination of natural as well as developed features and attractions that meet visitor wants, needs, and expectations. A valuable framework for researching the physical and human geography of a geographic area or place is regional geography, which provides a straightforward way to organise a variety of information. Locations near major population centres, for example, typically generate high levels of tourism activity due to proximity to well-developed transportation networks. Climate also influences the level and type of tourism activity. Factors such as time of year, geographic location, and proximity to major bodies of water all contribute to demand. This may explain why the most popular tourist destinations in Europe can be found along the Mediterranean Sea and in Asia around the South China Sea. We can see a similar pattern in the India Subcontinent as well. Geography provides a foundation to help us understand why people visit or fail to visit certain areas, but we also need to learn how to meet their needs efficiently and effectively as they travel. The three primary interrelated business functions— marketing, management, and finance—add the structure to our foundation, providing many of the tools necessary to plan and meet current and future needs of travellers. Let’s look at how these business functions work together in the tourism industry. Tourism in Action Geographic Information Systems (GIS) An enormous challenge to any business in the tourism industry is managing information. Who are the many different guests of the business? Where do they come from? What do they have in common and how do their needs differ? What time of year do they come and how long do they stay? What qualities and services do we have or need to develop to fit visitor lifestyles? The questions are endless and so is the amount of data generated by the answers. 174 CU IDOL SELF LEARNING MATERIAL (SLM)

As introduced in this chapter, the ability to segment markets and serve them profitably is a critical component to competing successfully in the global tourism industry. So how do you put all the data into clear, easy-to-use information and put it into the hands of people to use it? One answer is to use a GIS for presentation and spatial data analysis (information linked to geographic location). A geographic information system (GIS) is a set of computerised resources that includes both hardware and software. Geospatial information systems (GISs) are used to capture, store, retrieve, transform, and view spatial data. GIS can be thought of as a combination of computerised mapping and database management systems. To put it another way, something that can appear on a map can be fed into a machine and compared to anything else on the map, and anything on the map can have layers of data and information attached to it. GIS is a powerful technology and its potential uses are endless. GISs are now being used to locate park and recreational facilities, to generate site specific economic and environmental impact information on tourism activities, and to track tourist movement so as to evaluate and optimize tourist flow and refine tourism product offerings. Management Management furnishes additional tools and techniques to serve visitor needs successfully. Management, just like marketing, is essential to the continued success of all organizations, both public and private. The study of management provides a unified approach to planning, organizing, directing, and controlling present and future actions to accomplish organizational goals. As our model depicts, economic, political, environmental, sociocultural, and technological forces affect all tourism organizations and play a key role in the development of strategic plans. Managers need to understand each of these forces and how they will impact decisions as they plan for the future. Basically, management is the common thread that holds any organization or activity together and keeps everyone moving in the same direction. For example, managers working for the Forest Service must decide how many people can comfortably use a campsite and when and where new campsites should be built. Government planners and administrators must make decisions about the desirability and necessity of new or expanded highways, airports, and shopping facilities. Restaurant managers must decide how many employees are needed to provide high-quality service and, at the same time, make a fair profit. Resort managers must decide whether or not to expand and what level of service to offer. Think back to that trip you 175 CU IDOL SELF LEARNING MATERIAL (SLM)

were asked to plan earlier in the chapter, and you will begin to see how all of the management functions must fit together to have a successful experience. The process might go something like this. After you mentioned the possibility of renting a cottage at the beach to enjoy some sun, surf, and sand, several of your friends asked if they could go with you. The first management function used in putting this trip together is planning: where to go, how to get there, and how many will go. Once these decisions are made, the next function used is organizing. You are using the organizing function when you assign someone to search the Web for more information and decide who will make reservations, who will buy food and refreshments, and who will call everyone to make sure each person shows up on time on the day of departure. The next logical step you would use in putting together your trip would be the directing function. You are directing as you answer questions and coordinate all of your planned activities. Finally, you will use the controlling function. You are controlling as you check maps, directions, itineraries, and reservations to ensure the success of your trip. Although the activities may be more complex, managers in all tourism-related activities are constantly going through the same types of processes. Finance Studying tourism from a financial approach provides a basic understanding of how organizations manage revenues and expenses. To continue operating and providing services, tourism organizations must strive to generate revenues in excess of expenses or effectively and efficiently use the financial resources they have been allocated. Even non-profit and government organizations are being called on to generate more of their own funding and to gain better control of their expenses. By definition, a business is an organization operated with the objective of making a profit from the sale of goods and services. Profits are revenues in excess of expenses. They are used as a common yardstick to represent financial performance and are the ultimate measure of financial success. However, some tourism organizations such as governmental agencies, museums, visitors and convention bureaus, and hotels associations may be classified as non- profit. Even though they may not technically operate with a profit motive, most still strive to generate revenues in excess of expenses. For simplicity, we will use the generic term business in our discussion of financial concepts. 176 CU IDOL SELF LEARNING MATERIAL (SLM)

A popular language must be spoken in order to use and communicate financial data. Accounting is the term for this language, which is also known as the \"language of business.\" Accounting is a discipline that collects, measures, and communicates financial data to a variety of stakeholders, including investors, creditors, administrators, and front-line workers. Accounting information serves a number of functions, one of which is to include data that can be used to make informed decisions. Internal and external financial reports are the two major types of financial reports. Internal financial reports are used for those in charge of a company's day-to-day activities. Individuals and organisations with a financial interest in the company but are not involved in its management use external financial reports. To determine financial performance, three basic building blocks are used: 1. Sum of the margin (the amount of each sales dollar remaining after operating expenses have been deducted) 2. Changing of the guard (the number of times each dollar of operating assets has been used to produce a dollar of sales) 3. Use of leverage (the extent to which borrowed funds are being used) When these three factors are added together, the result is return on investment (ROI), which is a metric for benefit. The ability to operate profitably is critical to tourism organizations because they are typically faced with low margins, high turnover, and the need to use leverage (other people’s money). Since margins are so low for most tourism service providers, many segments of the industry are adding convenience charges on to their service offerings to improve profitability—for example, airlines charge for food, entertainment, and specific seat reservations; hotels charge for early check-outs on reservations, spa and gym access; cruise lines charge for specialty restaurants on-board; As tourism service providers search for profitability, these lists will only continue to grow. Economic Approach This method can be used to create a framework for evaluating tourism and its effect on a country's economy and growth. Tourism has been closely studied by economists, who concentrate on supply, demand, balance of payments, foreign exchange, expenses, growth, multipliers, and other economic factors because of its relevance to both domestic and global economies. This method can be used to analyse tourism and its effect on a country's economy 177 CU IDOL SELF LEARNING MATERIAL (SLM)

and growth. Tourism has been closely studied by economists, who concentrate on supply, demand, balance of payments, foreign exchange, expenses, growth, multipliers, and other economic factors because of its relevance to both domestic and international economies. The economic approach to tourism planning is the second method of planning (industry-oriented approach). It's a strategy for promoting economic growth and development in a destination, as well as attracting tourists through marketing and promotion. The economic approach places a greater emphasis on the economic effects of tourism. The most efficient and successful use of tourism to generate revenue and jobs for regions, cities, and countries as a whole The main advantages of this planning strategy are that it focuses primarily on the economic impacts of tourism and that it expects tourism production can become a key driver of economic growth. It follows by creating jobs, generating foreign exchange earnings, contributing to government revenues, stimulating or improving infrastructure spending, and contributing to the local economy, the country's economy would be boosted. However, there are some flaws in this strategy, such as the fact that it ignores environmental issues. Because of social problems, there is a lack of attention paid to the environmental and social consequences of tourism. Another flaw would be the high levels of tourist satisfaction as a result of tourism growth, as well as the lack of knowledge about positive attitudes toward tourists in host communities. The sustainable tourism approach is a form of tourism planning that combines economic, environmental (physical/spatial), and socio-cultural (community) planning methods. This strategy aims to provide long-term and stable livelihoods while minimising resource depletion, environmental deterioration, cultural disruption, and social instability. It also cares about inter- and intra-generational equity, which means that in order to achieve sustainable sustainability, we must consider not only the preservation of ‘environmental capital,' but also the preservation and enhancement of social capital. It also considers inter- and intra-generational equity, which means that in order to achieve sustainable growth, we must consider not only the preservation of “environmental capital,” but also the preservation and enhancement of “social capital.” As a result of these, important ecological systems will be preserved, future generations will be able to use resources and experience the same conditions as they do now, human heritage and biodiversity will be protected, and economic benefits will be improved to promote 178 CU IDOL SELF LEARNING MATERIAL (SLM)

sustainable tourism. It also benefits the communities by increasing job prospects and raising the standard of living. Overprotecting resources is one of the sustainable approach's flaws, since it prevents visitors from enjoying or being happy with their overall tourism experiences. Furthermore, implementing a sustainable tourism approach can lead to tension between the public and private sectors as a result of differing viewpoints and perspectives on long-term planning. The public sector may want to protect and preserve the environment, while the private sector may want to gain more economic advantage by focusing less on long-term tourism benefits. As it involves collaboration and coordination between industry and destination managers, as well as the need to raise customer and producer awareness, a sustainable tourism strategy may be difficult to achieve and has been often criticised for its conflicting objectives that have never been achieved. Governments that rely on tourism for a significant portion of their income invest heavily in the country's infrastructure. They want an increasing number of visitors to visit their country, which necessitates the provision of secure and advanced facilities. As a result, new roads and highways are built, parks are expanded, public spaces are improved, new airports are built, and probably better schools and hospitals are built. Infrastructures that are both safe and creative allow for a seamless flow of products and services. Furthermore, local residents profit from opportunities for economic and educational advancement. Tourists and locals engage in cultural exchanges as a result of tourism. Foreigners are normally attracted to exhibitions, seminars, and activities. Registration fees, gift purchases, exhibition room sales, and media copyright sales are all popular sources of benefit for organising authorities. Furthermore, foreign visitors contribute to the cultural diversity and enrichment of the host nation. Foreigners benefit greatly from tourism because it allows them to learn about a new world, but it also provides many opportunities for locals. It enables young entrepreneurs to launch new products and services that would not be viable if they relied solely on the local community. Furthermore, citizens reap the benefits of tourism that takes place in their own region. 179 CU IDOL SELF LEARNING MATERIAL (SLM)

Comprehensive planning is needed for effective tourism development in the Central Highlands destination area, which includes a structured approach and sequence of steps as discussed above. Furthermore, there are still a number of issues to consider when it comes to tourism planning for destination growth, especially in terms of the complexities and issues that tourism planners may face. It takes a proactive role in the tourism planning process, assisting and encouraging the implementation of high-quality growth. Tourism planning includes a wide number of organisations or people, including stakeholders, the government, and operators. Feasibility, publicity, product growth, advertising, forecasting, and strategic planning are some of the types of planning they do. The following are the key steps in the planning phase for the growth of tourism in the Central Highlands of the Region as a tourist destination. Feasibility, marketing, product growth, advertising, forecasting, and strategic planning are only a few of the types of planning they do. The following are the key steps in the planning phase for the tourism growth of the Region's Central Highlands as a tourist destination. These goals could be met by collaborating with a variety of community groups and organisations. The types of goals to be achieved and the extent to which tourism is discussed in planning are determined by how long the group has been interested in tourism and how important tourism is to them. Since the Central Highlands region is still in the early stages of tourism growth, priorities that can be pursued include establishing organisational frameworks and gathering data to gain a deeper understanding of the community's tourism system. Then, at a later stage in the process, more precise goals can be set. The second step is to recognise tourism as a mechanism by dissecting it into three subsystems: tourism capital, organisations, and the sector. This relates to how the group in the destination area plans its efforts against shared goals and aims to accomplish specific goals by balancing available resources. Programmes that cater to the needs and desires of visitors, as well as determining the availability of resources to support them and provide opportunities for tourism growth. For example, climate, scenery, and a favourable geographic location are natural resources that can be used and made accessible to tourists in the Central Highlands. The availability of infrastructure (roads, lodging, water and electricity utilities) as well as human resources (having a viable labour force) are both very small. Furthermore, the community must identify and list all of the public and private sectors that oversee or organise 180 CU IDOL SELF LEARNING MATERIAL (SLM)

tourism activities in the destination. Finally, the destination must determine which tourism market segments or types of tourists it wishes to attract and serve. In addition, after the second phase, the tourism planning process moves on to the step of generating and assessing alternatives. Brainstorming is needed to generate alternate development and marketing options to achieve the goals. There are two parts to evaluating tourism growth and marketing options: feasibility analysis and impact assessment, which determines whether it is possible to do so and consider the positive and negative effects of tourism development. Implementation, tracking, and assessment are the final crucial phases in a tourism strategy. Since the plan's goals have been established, it must be enforced through a series of concrete measures that the group must embrace and create, with clearly specified roles and timetables. The plan's execution can then be tracked and reviewed to see if it is achieving its targets and objectives. Changes in priorities, business dynamics, and unintended consequences all need plans to be changed over time. The ability to serve both visitors and host communities is thus the most important aspect of effective tourism planning and growth. Tourism, on the other hand, should serve the community first, as tourism growth is closely organised and funded by the destination's local population. The vast expansion of tourism capital is the result of millions more people travelling and seeking personal benefits from their experiences. The numerous activities that tourists participate in when visiting a tourism destination are a significant and growing part of the tourist industry, as they help to improve tourism in a destination and provide tourism benefits in a variety of ways. As a result, it is now widely acknowledged that preparation is needed for tourism to grow and be managed in a controlled, organised, and sustainable manner in order to maximise the benefits derived from tourism. Using this method, all tourism creation can be designed in a planned manner. It helps tourism to support the host community economically, socially, and environmentally, while any negative effects from tourism can be reduced. Furthermore, tourism planning can be difficult due to a number of major problems, complications, or challenges that tourism planners may face while attempting to plan tourism. Furthermore, the complexity and rapid growth of tourism has made it impossible for planners to implement even the most basic research results and suggestions for better tourism. The future of tourism planning in terms of key issues and challenges in the region, which include 181 CU IDOL SELF LEARNING MATERIAL (SLM)

a lack of awareness of the need for planning, a lack of systems planning, weak organisational integration, and a lack of tourism literacy. The first problem is a lack of awareness of the need for planning. This leads to a lack of clarity or various perceptions about tourism planning, which is seen as an unnecessary impediment to market-driven growth. To boost tourism growth, investors and developers can see an opportunity to create various types of attractions or tourism-related places in the destination. Then tourism promoters generally believe that all growth is good because it creates more jobs and economic benefits while also attracting more visitors. However, while tourism development can help the economy, the lack of understanding about planning ignores the fact that tourism growth has negative consequences, such as increasing demand for new investment to construct more attractions, which can lead to increased pollution and a deterioration of the natural landscape. The high volume of visitors in the destination may have lowered the quality of life in the region, forcing long-term residents to relocate. As a result, new planning strategies are needed, and planners must deal with the constantly changing climate as a result of tourism development. The lack of system preparation is the second problem. The majority of tourism planners have modelled the functioning tourism structure, which consists of two key drivers of tourism: demand and supply. Transportation, attractions, facilities, information, and promotion are the five major supply-side components. They are all interconnected, subject to travel demand, and necessitate planning that takes into account consumer dynamics as well as land and resource physical characteristics. Many external factors, such as government policies, competition, community engagement, entrepreneurship, labour, economy, cultural, and natural resources, have a significant impact on the supply side. This perspective on tourism runs counter to the industry's and, in particular, the business sector's mentality. Understanding tourism as a framework, as well as how and component of tourism interacts with one another, is critical. Poor organisational integration is another problem in tourism planning, in which there is a lack of coordination and integration between different and separate organisations (such as hotel, restaurant, attraction, and airline organisations in the business tourism sector) established in tourism planning. The lack of organisational mechanisms has a wide impact on tourism. Many current tourist organisations need to improve their contact in order to achieve mutual benefit and aid better understanding of change. Finally, there is a lack of tourism 182 CU IDOL SELF LEARNING MATERIAL (SLM)

awareness, which means that within the tourism industry, neither parties are very knowledgeable about their roles and operations. However, when it comes to the full sense and value of tourism, there is still a lack of understanding among developers and managers. Due to a lack of tourism awareness, the community is ill-equipped to plan their communities in the best interests of tourism while also protecting the local way of life. Another problem or complication in tourism planning is the worldwide explosion of ecotourism, as well as acculturation and rapid evolutionary shifts in many aboriginal societies. Native populations (non-industrial foundation) may face the conundrum of introducing visitors to their cultural uniqueness while also encouraging them to migrate to new industrial societies. As a result, it will be difficult for them to prepare for tourism growth that could bring economic benefits while also balancing the need to preserve their cultural heritage and acculturation. Tourism is very important to the Central Highlands Region as a key driver of economic growth or development tool, and tourism developers or planners involved in the tourism planning process should ensure that its potential development is sustained. There are a number of guiding principles that can be used to help with tourism planning, including unique policies that need to be implemented for the Central Highlands of the country. Tourism policies included in a strategy should seek to optimise the benefits of tourism by ensuring that growth can contribute to its full potential. Then there's the issue of integrating construction with its surroundings in terms of design and layout such that the facility or service can work properly and to prevent unintended consequences like activity disruption. In order to prepare such policies, planners must understand a number of important factors, including market demand, environmental impact, transportation and accessibility, functional link, regeneration benefits, and labour supply, all of which can vary for different tourism developments. For example, when it comes to labour supply, the quality and quantity of labour will vary from one area to another. In general, tourism planning aims to locate new construction where there is a labour shortage and to support the local community through a variety of work opportunities. There may be a lack of planning system if there isn't enough synergy between the two key drivers of tourism, demand and supply. Since both elements are interdependent, the limited supply in the destination, which includes limited infrastructure, accommodation, natural and 183 CU IDOL SELF LEARNING MATERIAL (SLM)

human resources, as well as tourist attractions, will not be enough to meet the high tourism demand. Furthermore, the bulk of the island's population is made up of minority groups who tend to be wary of outsiders. because it necessitates their adaptation to industrial societies, and they must determine which areas of the community will be shared with tourists, as well as how the community will reap the benefits. Because they must interact with tourists, this will result in a change in culture as a result of cross-cultural interactions. 10.3 SUMMARY • Considering the aforementioned factors, it is reasonable to conclude that the travel industry's linkages, or constituents of the tourism industry, are dependent on one another not only in terms of their businesses, but also in deciding their marketing strategies. A travel operator, for example, would be able to package a tour with the assistance of the transportation sector, the lodging sector, tourist attraction destination organisations, and so on. As a result, all tourism facilities have a direct effect on the tour operator's product. • Also, it is imperative that the tourism planners/policy makers and even tour operators must take into account the interdependence of the various linkages of the travel industry while formulating tourism plans/polices and designing, developing and promoting tour packages. 10.4 KEYWORDS • Receptive Tourism – Tourism through which foreign exchange money is earned. • Passive Tourism – Tourism through which money flows out of country. • Mass Tourism – Tourism in great volume -lot of people • Eco Tourism – Ecology friendly tourism. 10.5 LEARNING ACTIVITY 1. Ask several people of different ages, occupations, and genders to describe tourism to you. Note the differences in their descriptions. List those things that are common in their descriptions as well as some of the distinct differences. 184 CU IDOL SELF LEARNING MATERIAL (SLM)

___________________________________________________________________________ ____________________________________________________________________ 2. Use your favourite search engine to find three sources of maps. Prepare a list including Web addresses showing the types of maps available and the information contained on these maps. ___________________________________________________________________________ ____________________________________________________________________ 10.6 UNIT END QUESTIONS A. Descriptive Questions Short Questions 1. Highlight some important alternative tourism forms, which are popular in India. 2. What is the need of effectiveness between the linkages in tourism industry? Describe with the help of suitable examples. 3. Write short note on cultural and adventure tourism. 4. What do you understand by linkages of tourism industry and tabulate the various linkages of tourism industry? 5. State the different categories of tourism. Long Questions 1. Define tourism and discuss the concept of tourism. 2. Draw a table of various forms of tourism. 3. Discuss the concept of Alternative Tourism. B. Multi Choice Questions 185 1. Travelling for the purpose of learning about cultures or aspects of cultures is a. Ethnic tourism CU IDOL SELF LEARNING MATERIAL (SLM)

b. VFR c. Mass Tourism d. Cultural tourism 2. The period of revival of art and culture in Europe in the 14th to 16th centuries is known as a. Industrial Revolution b. Grand Tour c. Renaissance d. None of these 3. Tourism is economically significant because it generates ----------------and --------------- a. Happiness and Satisfaction b. Income and Employment c. Health and Safety d. None of these 4. IATO was established in the year a. 1962 b. 1958 c. 2000 d. 1982 5. The administrative head of the ministry of tourism 186 a. Union minister of tourism b. Chief minister of tourism c. Tourism secretary CU IDOL SELF LEARNING MATERIAL (SLM)

d. None of these 6. Who is act as the director general of tourism a. Tourism minister b. Secretary of tourism c. Chief Minister d. None of these Answers 1 – d, 2 – c, 3 – b, 4 – a, 5-b, 6-b 10.7 REFERENCES • McIntosh et.al. (2004). Tourism Principles. USA: Prentice Hall Publication. • Mill and Morrison. (2011).Tourism System. USA: Prentice Hall Publication. • Negi, Jagmohan. (1990).Tourism and Travel Concepts and Principles. Kolkata: Gitanjali Publishing House. • Kamra, K.K. and M. Chand. (2006). Basics of Tourism: Theory operation and practice. New Delhi: Kanishka Publication. • Bhatia, A.K. (1991).International Tourism. Ludhiana, Punjab: Kalyani Publications. • Seth, P.N. (1999). Successful Tourism Management (Vol 1 &2). New Delhi: Sterling Publishers. 187 CU IDOL SELF LEARNING MATERIAL (SLM)

UNIT 11: DEMAND AND SUPPLY IN TOURISM Structure 11.0 Introduction 11.1 Learning Objectives 11.2 Introduction 11.2 Concept of Tourism Demand and Supply with its Significance 11.3 Summary 11.4 Keywords 11.5 Learning Activity 11.6 Unit End Questions 11.7 References 11.0 LEARNING OBJECTIVES After studying this unit, you will be able to: • Describe nature of Demand & Supply in Tourism • Identify scope of Demand & Supply in Tourism • Benefits of Demand & Supply in Tourism • Process of Demand & Supply in Tourism 11.1 INTRODUCTION The term tourism product is a unique concept in the parlance of tourism. It satisfies some specific needs of the customer (tourist). Out of the Six P's of marketing, the first P (Product) assumes greater importance because it is something that provides a service of some kind. So, all the products, gadgets, equipment, etc. deliver services to tourists. The word product generally refers to any tangible commodity or item produced in a factory or other production units. Tourism as a product is, however, not a single item or entity. It is a combination of several products, services and attractions. Selling tours is similar to selling 188 CU IDOL SELF LEARNING MATERIAL (SLM)

dreams as tourists’ intent to buy, temporarily an environment including unique climate and geographical features along with intangible benefits like luxury services, hospitality atmosphere, heritage, etc. The tourism product is thus both a physical as well as a psychological experience aimed to transform dreams into reality and imagination into experience. In this unit we shall study the demand and supply side of Tourism. What is Tourism Product? The tourism product is an amalgamation of many components or packages. The main components of the tourist product are attraction of destination, including its image in the tourist’s mind, facilities at the destination, accommodation, catering, entertainment, recreation and accessibility of the destination. Amenities and facilities for tourist include clean comfortable accommodations, restaurant, picnic sites, and entertainment outlets like theatres, musical shows, gambling establishments, sports and swimming. Accessibility is a crucial aspect of the visitor experience. It has to do with the mode of transportation used to get to the tourist's preferred destination. It is measured by the distance between a tourist's home and the destination. The choice of a destination is influenced by the environment, beaches, springs, spas, and monuments. Aside from these, the type of food, drinks, and entertainment centre are all important factors to consider. Each destination has something unique to offer. Modern tourism is a by-product of speedy modes of travel. Availability of printed material and faster mode of transport have also helped. The advent to mechanized transport and road, sea and air transport have made the distribution of goods easier even to every nook and corner of the world. Mass communication like telegraph, telephone and printed material have helped the manufacturers to market disposes their products with competitive spirit in large quantities. Tourism product consists of tourist attraction and it can be natural or manmade. While scenic beauty, attractive landscape, flora and fauna, beaches and water bodies, sand dunes, etc. form natural attractions, momentous like Taj Mahal, Gateway of India, Khajuraho Temples, etc. are examples of man-made attractions. These attractions, along with the tourist facilities, make people to visit such locations and give rise to different forms and types of tourism. 189 CU IDOL SELF LEARNING MATERIAL (SLM)

The ideal tourism product is a package consisting of various physical and psychological elements, which provides the best possible experience and satisfaction to the tourist. It would consist of: - • An environment of peace and stability • An assurance of safety and security • A friendly host society • An industry which provides the requisite services • Absence of extortion and hostility • Accessible tourist attractions • An integrated system of functional physical infrastructure including:- • International accessibility • Internal transport system including wayside amenities • Hostels and restaurants • Entertainment and recreational facilities • Shopping and communication facilities • Well preserved monuments with tourist amenities • Basic amenities like drinking water, toilets, snack bars, etc. at the tourist sites. 11.2 CONCEPT OF TOURISM DEMAND AND SUPPLY WITH ITS SIGNIFICANCE. Tourists, right through their course of travels and stay en route and while at the destinations devour a range of elements of tourism product, e.g. goods, facilities/amenities and services, which are put away in different ways. What a tourist buys at a destination is the \"experience\" he gets from the accommodations, transportation, food, information, and other services he uses, as well as the tourist attractions he visits. The tourism commodity can be narrowly classified into the following categories from the standpoint of ease of discernment: 190 CU IDOL SELF LEARNING MATERIAL (SLM)

I Tourist Oriented Products (ToPs): These are products and services such as transportation, lodging, food, entertainment and leisure facilities, and a variety of travel trade services that are produced primarily for the use of visitors with the expectation of a direct economic return. II Resident Oriented Products (RoPs): As the name implies, these are the utilities, facilities, and security services (police, etc.) that are not only important and essential for the residents of the destination area, but also for visitors. III Basic Tourism Products or Background Tourist Elements (BTOs or BTLs): BTOs are both natural and man-made tourist attractions. Since the diversity and uniqueness of a destination's BTOs is crucial to its success. As a result, these are referred to as fundamental tourism goods. Since these goods do not engage in a direct sale-purchase transaction, the term Background Tourist Elements (BTLs) has been coined to describe them. Whatever is transacted as a tourist destination can be entirely attributed to the presence of BTLs. In reality, BTLs can be thought of as \"tourist materials\" or \"input\" - the raw material of the tourism industry that is converted into products of offer or \"destinations\" through human efforts. Since human resources play such an important role in tourism, from identifying potential resources to planning tourism products (destinations), executing plans, and finally delivering quality services, the tourism industry is often referred to as a \"people's industry.\" Category Criterion Consideration Natural Resources Landforms Snow peaks, black mountains, valleys and Physical & Landscape gorges, glaciers, green slopes, natural caves. Resources Water Bodies Natural deserts, sea beaches, islands and other Climate unique land features. Outstanding sun- rise and sun-set scenes. Panoramic views/ vantage points. Rivers takes, waterfalls, sea waters, hot and cold water springs. Amount of sunshine, temperature, rainfall, humidity, snowfall, wind speed and direction, climatic comfort / Discomfort index. 191 CU IDOL SELF LEARNING MATERIAL (SLM)

Biotic Resources Wildlife Unique, varied, rich wildlife mammals, birds, Vegetation fish’s reptiles, butterflies, coral reefs etc. Dense/varied forests, grasslands, high Altitude meadows. Unique or rare plants, plant of special aesthetic, medicinal or aromatic values. Manmade Religious Artistic Religious centres, Religious observances etc. Resource and Performing arts, music and musical Instruments, Architectural classical and folkdances, folk theatre, Other Distinctive handicrafts. local features Local architecture, art galleries, museums. Fair and Festivals Native and ethnic cuisines, folk dress, Objects of History settlement patterns, socio-cultural values, Leading traditions etc. Organisations and Institutions Special land use patterns Recreational and Sport facilities Rafting, canoeing, kayaking, ballooning, skiing, Shopping conductive to health, sailing, golfing, mountaineering etc. Facilities rest and Tracking, picnicking, camping, health resort, (Recreational and tranquillity Shopping fishing, bird watching etc. Shopping facilities facilities. Souvenir and gift shops, handicraft shops, have both product Night time groceries, etc. and resource Recreation (Night Theatres, cinemas, light and sound programmes value) Life) etc. Education facilities Botanical gardens, aquariums, zoos, etc. Infrastructure above Efficient transport, electricity, safety, health, minimal communication, accommodation facilities etc. tourist quality Table 11.1 Criterion Consideration Tourism Product Development 192 CU IDOL SELF LEARNING MATERIAL (SLM)

The great challenge in tourism industry is to achieve a match between product and the market. The tourism product is very different from the product that we buy and use ordinarily. The difference is largely due to the fact that tourism products are concerned with consumer's experience as well as the way these products are delivered to the customers. The tourism products at destination comprise all those attractions, facilities and services used or visited during a stay. It also comprises of everything that happens to visitors; everything they experience. Figure 11.1 Tourism Product Development When all the objective components of a tourism product go hand in hand with subjective components, the visitor gets the feeling of welcome and friendliness. It is an established fact that tangible elements alone cannot guarantee satisfaction. It is also supported by the way tourists are treated at destination, i.e., whether there exists a harmony in events or situations which tourists experience at destination. This very fact will determine how well the product is accepted and it can also generate repeat business. Thus, while designing tourism product you must take into account all these peculiar characteristics of tourism products. Besides other consideration, you must evaluate beforehand several factors which may include: • The scale and type of development. Sustainable development shall favour small scale developments that minimize impacts and encourage incremental 193 CU IDOL SELF LEARNING MATERIAL (SLM)

• The kind of tourism activities (Eco-tourism, heritage tour) facilities, attractions that will be included in the desired site plan. Tourism products to be developed which ideally be based on competitive analysis, market research, ecological assessment and community needs and issue analysis. • Approaches that minimize negative impacts through design, land use, planning, zoning and management should be considered. • Development of project financing strategies that focus on local control and minimize economic leakage from community. • Tourism vision statements and goals that are communicated to commercial and other stakeholders of the sites to be included in the planning. • Policies that allow room for future growth and alteration in the plan and the sites themselves. Here, one must take note of the five product levels mentioned by Philip Kotler. Level-1 Core Benefit: This is the fundamental service or benefit being brought by the customer (Wildlife). Level-2 General Product: When the marketer converts the core benefit into basic version of the product it is termed as generic product (National parks, Sanctuaries). Level-3 Expected Product: Customer generally expects a set of attributes and conditions while making a purchase and if the marketer meets these expectations it is termed as expected product. Level-4 Augmented Product: When a product is developed with such additional services or benefits which make it distinctive from other products, it is termed as an augmented product. Level-5 Potential Product: This indicates the possible evolution of the augmented product in future. This is where organization searches for new ideas and ways to satisfy customers and at the same time make their product something unique or different. At each of these levels are associated certain factors like: • Basic design, i.e., the size or facilities or say the quantity and level of service. • Presentation, i.e., the standard of service to be offered and maintained -- something very important is tourism. 194 CU IDOL SELF LEARNING MATERIAL (SLM)

• Range, i.e., what all is to be included in the product or covered in the service. • Brand, i.e., association of the name which is well known or associated with high level of customer satisfaction. • Image, i.e., a reputation earned by the product. • Warranties, i.e., an assurance of a particular level and quality of service. • Consumer protection, i.e., assurance of damage claim in case of failure of or sub-standard service. • Eco-friendly, i.e., care for geology and environment conservation. The travel and tourism product is a package of various components like: • Destination attractions. • Destination facilities and services. • Accessibility of the destination. • Image of the destination. • Experience of the destination. • Attitudes of the locals or host population. • Price to the consumer, and • Overall experience of the tourist. Segmenting the target market and understanding customer’s preferences and motivations (which constantly change) is the key to design the tourist product. Tourism product designing Development Tourism product is peculiar because of its characteristics. Therefore, your considerations while designing and developing tourism products tend to be different from those of general products. Tourism product is a term that covers all the attractions and services, which can be sold to visitors. This product is so diverse in its nature that tourists just visit a town area, an island or an event rather than the whole country. Some tourists may purchase Bali as a 195 CU IDOL SELF LEARNING MATERIAL (SLM)

product rather than Indonesia, Phuket rather Thailand, Wimbledon Championship in London and not a holiday in UK. This clearly illustrates that tourist products (destinations) may be an integrated product, or well-appointed product or this may just be a theme- based destination with other related services. Whatever may be the nature of destination/tourist site its product components would remain the same, e.g., built and natural attractions, tour and packages, services for travellers, like shopping, restaurants, accommodation and other recreational activities. It is true that under normal conditions natural attractions cannot be thought of as a product but when we talk about eco-tours in a national park, this becomes a product. The heritage architecture of a community is not a product, but its interpretation through a guided tour can be seen as a product. It is therefore; important to note that you shall not consider only the tourist attractions as a product, but rather visualize the destination is its totality as the community’s livelihood. The result, therefore, shall be an authentic community tourism product that will be attractive for travellers promising hospitable and unique experience: As tourism learner you must consider the following issues related to tourism product designing development: • Crucial elements of tourism product designing • Design product/site plan • Branding • Image • Product life cycle • Product feasibility study, and • Financing. Crucial Elements of Tourism Product Each destination has its own unique product mix, based on its resources, values, needs and preferences. Tourism products can be designed and developed taking these factors into account. While designing any destination product(s) you should not only analyse the available resources for tourism product but should also try to establish and interpret the interrelationship between destination designing and motivations. To develop an attractive and sustainable tourism product you are advised to consider the following elements: 196 CU IDOL SELF LEARNING MATERIAL (SLM)

• Choose authentic themes which reflect the local culture(s) and environment human relationships. • Keep development in scale with community and environment. • Ensure that development also meets community needs (i.e., through joint use) • Develop attractions that are attractive and competitive in long run, not faddish. • Require strong community support; don’t impose new ideas on an unreceptive population. • Avoid imitating successful ideas from other places, you must acknowledge that success comes from strong local commitment and enthusiasm, and therefore, act in this direction. • Chose themes which help position the destination products within sustainable development principles. • Consider sports; many competitions and fun events can be held using existing facilities. • Inform all visitors of tourism plans, goals and management approach. • Ask local clubs, associations and businesses to generate meetings and conventions to the extent permitted by infrastructure; and • Provide high quality experiences. You will have to take a decision whether you are developing a unique product, a normal product which is better than others, or a commonly available product. Designing Product / Site Plans This is an important issue in visitors/attractions management so as to provide a product which can satisfy the needs of tourists. Every destination needs a design plan for developing attractions and facilities. This should include management of visitor’s flow, parking and access to the attractions. Site design should be compatible with local heritage and life-style in order to maintain a sense of harmony and enhance local architecture and culture. Site planning here refers to the specific location (or citing) of buildings, their physical interrelationship, and characteristics of the national environmental setting. Site planning also includes the location of roads, parking areas, landscaped and open space areas, footpaths and recreational facilities, all of which are integrated with the building location and are consumed by tourists along with main products. The grouping of buildings, such as accommodation and 197 CU IDOL SELF LEARNING MATERIAL (SLM)

their relationships to amenity and recreational facilities is of important concern in site planning. The type of grouping depends on the density and character of the development derived as related to the natural environment. There are several types of specific standards that are applicable to the controlled development of tourist facilities at the tourist destination. These standards typically include the following areas: • Density of development • Heights of buildings • Setbacks of buildings from amenity features, shorelines, roads, lot lines, and other buildings • Ratio of the building floor area to the site area • Coverage of the site by buildings and others structures • Parking requirements. • Other requirements, such as for landscaping and open space, public access to amenity features, signs and utility lines • Local styles and motifs • Roof lines • Use of local building materials • Environmental relationship, and • Landscaping design. However, you must note that a destination, as a product, will always be a mix of different product lines of various departments, length and widths. Branding Just like consumer products, many tourism products are also given brand names. As you know, brand names are given to a product to ascertain its identity, which many a times couples with promotional activities assisting manufacturers to persuade the customers to buy that particular product. In tourism particularly, many customers observe brand loyalty because they know that they are purchasing an experience or a dream. They need to bank heavily on reliability parameters or standards of product manufacturer’s background or previous success record. However, this factor these days is replaced by borrowing an 198 CU IDOL SELF LEARNING MATERIAL (SLM)

established name, i.e., franchise system. For example, if you are having a five-star hotel, you have the option of entering into franchise agreement with brands like intercontinental, Hilton, Spectrum, Holiday Inn, and more, to assure your customer a higher standard of service. The same may be true of an airlines or an agency. This makes not only the entry of your product easy but it also assures higher level of satisfaction among your users. Resorts, Golf Courses, National Parks etc. are all branded. Image Why does a tourist choose \"Place 'X' as his/her destination in comparison to place 'Y' \". An important factor in one's decision making for purchase of a holiday is no doubt the image of the destination. The image of the destination is the way in which it project itself and the way it is viewed by its markets due to variety of factors, such as political stability, security, variety of attractions, air connectivity, and currency value and so on. As has already been mentioned, in a particular country, one particular site enjoys a better image that makes a large number of tourists visit it rather than the whole country, e.g., Bali in Indonesia or Phuket in Thailand, Varadero in Cuba and so on. On the contrary, in other cases it is a combination of sites/tourist destination which establishes a great image of the country among tourists, e.g., in India tourist prefer to have on their itineraries Golden Triangle (Delhi-Agra-Jaipur) or Emerald triangle of South (Bangalore-Mysore-Madurai). Several destinations the image earned by them is due to their natural resources and location. For example, Switzerland enjoys an image of winter destination. Mauritius is popular as a destination for honeymooners and Singapore for shopping. However, India is lucky enough to enjoy an image of all season destinations. In short, image is an overall idea, the association which a place, service or product has. If the image of your product is positive, tourists may buy and enjoy it whereas if the image is negative, tourist may prefer to stay away from it. You must remember that image is built up not Product life cycle The concept of Product Life Cycle was first used by Levitt (1965) when stated that every product, after it is introduced, grows, matures, levels out and then declines. This holds true for all the products whether it is leisure tourism product or a consumer product. Every product has a life span. In its life cycle there comes a stage when it needs re modelling in some or the other ways to retain its appeal for customers. In other words, at the decline stage of your products actions/strategies are required to rejuvenate it to further extend its life. 199 CU IDOL SELF LEARNING MATERIAL (SLM)

11.3 SUMMARY Tourism product is of vital importance in tourism industry. It is a combination of both tangible as well as intangible elements. Travel and tourism product is a package of various components such as destination attractions, facilities, services and overall experiences of the tourist. The ideal tourism product consists of various physical and psychological elements which provide the best possible experience and satisfaction to the tourist. In this unit we have studied the tourism product in detail. We have discussed the types of tourism product, tourism product development and components of tourism product designing development 11.4 KEYWORDS • Product - A product is a good or service which can be bought and sold. • Brand image - “Brand image” refers to the set of beliefs that customers hold about a particular brand. These are important to develop well since a negative brand image can be very difficult to shake off. • Product Life Cycle - The Product Life Cycle refers to the succession of stages a product goes through. • Commodity - A commodity is anything for which there is demand, but which is supplied without qualitative differentiation across a given market. • Tourist Destination - A tourist destination is a city, town or other economical area which is dependent to a significant extent on the revenues accruing from tourism. 11.5 LEARNING ACTIVITY Examine & Identify : Travelers are attracted to countries such as India, Australia, Canada, England, France, and the United States to participate in tourism activities. However, they have typically avoided countries such as Afghanistan, Iran, and Pakistan. Why are tourists attracted to some countries while they avoid others? ___________________________________________________________________________ ____________________________________________________________________ 200 CU IDOL SELF LEARNING MATERIAL (SLM)


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