Tourism can have both beneficial and harmful effects on local culture as a result of the use of culture as a tourist attraction and the direct contact between residents and tourists. Economic and Financial Analysis - For most destinations, economic development is the primary reason for tourism development. Tourism is viewed as a source of visitor expenditures which will benefit the local economy, creating spending and employment while increasing the standard of living of the local population. However, the economic perspective differs between the public sector or government and the private sector. For the public sector, the economic benefit for the local community is the most important concern. In the economic analysis for the public sector, the areas which are examined are the type of visitor and spending habits of the visitors, the products and services that the visitors seek, the importation costs and supply of goods required by visitors, the costs related to infrastructure development and maintaining an adequate work force with the required skills and training for the industry. The economic effects of tourism include changing work and consumption patterns, standards of living, and social roles and practices. For the private sector, financial risk and profitability are the primary concerns including the sources of capital for the planned project, extent of foreign ownership or control, wage rates for the local labor force, and availability of private sector funds for investment. Action Plan and Recommendations – The action plan is the final product of the planning process and will depend on the goals of the plan. It generally includes a summary and 151 CU IDOL SELF LEARNING MATERIAL (SLM)
analysis of all of the data used in the planning process and includes strategies, guidelines, recommendations, and schedules for development. Case Study: Master Plans for Effective Destination Management (Croatia) Croatia has emerged as a leader in terms of tourism development in Southeastern Europe. Two critical factors have been identified in the emergence of Croatia’s tourism industry. Firstly, the Croatian Government has taken an active role in developing a state level tourism strategic framework. The second factor of success is the production of tourism development master plans on a local level within the country, focused on achieving goals in the mid-term. Croatia’s tourism master planning process was initiated in 2000, and has incorporated four key principles: Local focus: Many localities situated on the Adriatic coast (the most important tourist region of the country) developed their own master plans; Stakeholder involvement: Local Master plans were developed with the involvement of a broad network of stakeholders through a series of workshops held in cities, towns and villages; Structure and focus: The master plans have focused on means by which competitiveness can be increased (e.g. Vision and positioning, product plans, investment plans and action plans); Pragmatic orientation: The master plans all have a highly pragmatic and implementation-oriented approach. The development of local level master plans has been identified as a key factor of success in building a competitive tourism industry in Croatia. Source: Cizmar and Lisjak 2007 10.6 SUMMARY It is clear that if a tourism destination is to succeed, good planning must take place. Planning is critical to the competitiveness and survival of a destination. Planning must take into consideration not only the economic and financial interests of the public and private sectors, but also the concerns of the residents of the resort destination and the visitors and their preferences. Destination planning involves a number of steps and activities that include designing, financing, developing, and marketing of a destination to attract the visitors. 152 CU IDOL SELF LEARNING MATERIAL (SLM)
It requires cooperation and commitment of a number of different segments including government and community leaders, architects, engineers, investors, economists, environmentalists, and others to ensure the sustainability of a destination. 10.7KEYWORD Destination ―small-scale financial services primarily credit and savings—provided to people who farm, fish or herd‖ and adds that it refers to all types of financial services provided to low-income households and enterprises. Destination Marketing- Destination marketing is a form of marketing, in which a destination is promoted to potential visitors, in order to increase the number of people that travel to that location. Destination planning-is a business plan for building and managing the visitor economy for your destination. ... It allows you to share this information with your stakeholders so that they can use it as a guide to manage and invest in the Destination. 10.8 LEARNING ACTIVITY 1.Define Destination Planning ___________________________________________________________________________ ___________________________________________________________________________ 2. State the Elements of Tourism ___________________________________________________________________________ ___________________________________________________________________________ 10.9UNIT END QUESTIONS A. Descriptive Questions Short Questions 1. What is tourism destination? 2. What are the elements of tourism destination? 3. What is planning? 4. Why is tourism planning important? 5. What are the levels of tourism planning? 153 CU IDOL SELF LEARNING MATERIAL (SLM)
Long Questions 1. What are the major elements of a destination plan? 2. What is tourism master plan for a destination? 3. What do you mean by primary and secondary destinations? 4. What are the characteristics tourism destinations? 5. What do you mean by management of tourism destination? B. Multiple Choice Questions 1. Tourism sector creates more _________ opportunities a. Job b. Fund raising c. Profit making d. Attractive 2. India needs to change its ____________ marketing approach to modern marketing approach for developing Tourism a. Planning b. Organizing c. Traditional d. Management 3. ___________ country in Asia is emerging as the leading tourist destination a. Indonesia b. Thailand c. China d. Nepal 4. The place at which a traveler terminates his journey is called ________________ 154 a. Destination b. Domestic Tourism c. Excursionist CU IDOL SELF LEARNING MATERIAL (SLM)
d. Mass tourism 5. Destination area must have __________ appeal to tourist a. Attraction b. Accessible c. Available d. Affordable Answers 1-a, 2-c, 3-c, 4-a, 5-a 10.10 REFERENCES Tourism Planning by Ramakrishna Kongalla, Assistant Professor at Assistant Professor, IITTM, Gwalior. http://www.forwardanalytics.com/industrial_research/New_Concept_Feasib ility_Research.html http://tourismplanningprofessionals.com/?page_id=60 http://www.mta.ca/uploadedFiles/Community/Research_and_creative/Resea rch_Office/Research_Ethics_Board/Ethics_considerations_for_international _research/Checklist%20of%20Considerations%20for%20Researchers%20C onducting%20International%20Research.pdf http://web.calstatela.edu/faculty/pthomas/BUS305/FeasibilityStudy.htm 155 CU IDOL SELF LEARNING MATERIAL (SLM)
UNIT - 11: PLANNING FOR TOURISM DESTINATIONS -II STRUCTURE 11.0 Learning Objectives 11.1 Introduction 11.2 Destination characteristics in General 11.3 Destination Competitiveness 11.3.1 Push and Pull Factors of Tourism 11.3.2 Factors Influencing Destination Planning 11.4 Summary 11.5 Keywords 11.6 Learning Activity 11.7 Unit End Questions 11.8 References 11.0LEARNING OBJECTIVES After studying this unit, you will be able to: To identify the major elements of tourism destination plan; To understand the concept of master or comprehensive planning in tourism development; To understand the importance of tourism destination planning; To understand the factors that influence the tourism planning process and To develop awareness about the destination selection process 11.1INTRODUCTION In today’s competitive global marketplace, a tourist destination tends to be seen no longer as a set of distinct natural, cultural, artistic and environmental resources, but as an overall 156 CU IDOL SELF LEARNING MATERIAL (SLM)
appealing product in a certain area: a complex and integrated package offered by a territory able to supply a holiday which meets the varied needs of the customers. Tourism destination is defined as ‘a package of tourism facilities and services, which like any other consumer product, is composed of a number of multi-dimensional attributes’. The more varied the tourism (service) products or tourism experiences are, the greater the number of individual service providers participating in the creation of a tourism value chain. Customers perceive a tourism destination as a whole, a fact which allows the providers in a destination to develop a joint tourism product which can, in itself, represent the attraction of a tourism destination. On the other hand, to achieve the social and economic objectives and to maximize the benefits from tourism, the ‘destination’ has to provide high-quality goods and services to satisfy the local, regional, and international customers. However, without knowing the customers’ most important needs and quality expectations, initiatives in this endeavor are based on guesswork. Therefore, destination authorities and managers have to identify those destination attributes that are the most important determinants of the customer satisfaction and positive post- purchase behavior. In the existing tourism literature, numerous studies can be found about the customer satisfaction and post purchase behavior topics. Conversely, research attempts are quite limited about the identification of the destination attributes for various market segments in the content of micro or macro level competitiveness. 11.2 DESTINATION CHARECTERISTICS IN GENERAL For any tourism and recreation activity i.e. holiday resort, tracking, ski, wind surf, paragliding, bird watching etc., destination choice is a critical issue. There have been several definitions of destination. One of them is, “places towards which people travel and where they choose to stay for a while in order to experience certain features or characteristics a perceived attraction of some sort”. On the other hand, destination is a focus of facilities and services designed to meet the needs of the tourists. For example, a country, city, town or an area could be called as a destination but also a cruise ship is accepted as a destination. Destination choice of the tourists has been of great interest to tourism scholars and many other studies could be added to this list. There are so many factors affecting destination choice process of a tourist. Generally, these factors are grouped into two categories called “push” and “pull” factors. Push factors indicate psychological factors; e.g. values, motives and personality as well as social factors; e.g. age, education, marital status. 157 CU IDOL SELF LEARNING MATERIAL (SLM)
Pull factors are destination related dimensions; these can contribute formation perceived attraction among tourists; e.g. distance, type of area, infrastructure, size of area, type of vegetation and activities in the destination. Also, it is accepted that pull factors (attributes) could be grouped as tangible and intangible attributes. Many destination competitiveness models have been offered so far that can be classified into three major categories: (1) Tourism destination resources and attractors; (2) Tourism destination strategies; and (3) Tourism destination environments. These variables were surface area, price, natural attributes, infrastructure, accessibility, programmed activities, reputation of the destination, restrictions of navigation, population of species, time of journey, entry prices, hotel size and services, parking areas and shops. 11.3 DESTINATION COMPETITIVENESS 11.3.1 Push and Pull factors Dann referred to a destination’s attributes as the ‘pull factors’. The pull factors (such as landscape, culture, price, service, climate etc.) can pull one to some of the tourism supply components such as attractions or destinations. In other words, the ‘pull factors’ can lead an individual traveler to select one destination over another once the decision to travel has been made. The ‘pull factors’ can be deemed as exogenous forces, which have been characterized in terms of the features, attractions, or attributes of a destination. Dann also examined the endogenous forces, which he named as ‘push factors’. The ‘push factors’ are viewed as relating to the needs and wants of a traveler, such as the desire for escape from their mundane home environment, relaxation, nostalgia, rest, prestige, knowledge, experience, and social interaction. Dann’s ‘push-pull framework’ provides a simple and intuitive approach for understanding tourists’ motivations for travel, and explaining why a certain tourist selects one destination over another. He indicated that “once the trip has been decided upon, where to go, what to see or what to do (relating to the specific destinations) can be tackled. Thus, analytically, and often both logically and temporally, push factors precede pull factors”. It means that push and pull factors can be deemed as relating to two different decisions made at two separate points in time. Tourists, firstly, are pushed by their needs and wants to make a decision of ‘whether to go’, and then are pulled by destinations’ attributes to make a decision 158 CU IDOL SELF LEARNING MATERIAL (SLM)
of ‘where to go’. Therefore, destination attributes are very important for a destination to be successful in attracting more tourists. 11.3.2 Factors Influencing Destination Planning Price Products are consumed by the form of a package. The total cost of a package plays a significant role in the selection of a destination for all but high-income tourists. There are two categories of price, namely, travel cost - relating to travel to and from a destination, and ground cost - relating to commodity prices within the destination. Both of the two categories of price can influence tourists’ decision making on destination selection. In fact, price, by itself, is meaningless to be attractive to tourists. Only when it is associated with a certain destination, or a tourism product, and their corresponding services and quality, it becomes an important attribute for tourists’ buying consideration. Price competitiveness is usually regarded as one of the most important attributes of competitiveness for a given destination. Studies by tourism researchers indicate the price sensitivity of travelers is high in certain markets. Culture In the past decade, the fast growth of cultural tourism has been leading to some researchers argue that cultural attractions have become the most important attribute, which motivates people to travel. The fast growth of cultural tourism is by two reasons. Firstly, the increasing affluence and disposable income has boosted tourism in general, and in turn boosted cultural tourism as well. Secondly, increasing levels of education have stimulated the demand for cultural tourism in particular. In other words, tourists are increasingly interested in the cultural aspects associated with a destination. Cultural tourism has become the mass market in tourism industry. The World Tourism Organization (WTO) asserted that the cultural tourism currently accounts for 37% of all tourists’ trips and that demand is growing by 15% per annum. Cultural tourism has already gained much attention from many national and local governments as well. In Bali (Indonesia), cultural tourism, which is the most important regional development policy, has been adopted by the provincial government of Bali. The South Korean government defined 1998 as the year of its historic and cultural tourism. As tourists are increasingly interested in culture, destinations are competing fiercely with each other to develop cultural attractions that will act as a ‘must see sight’ for tourists. Culture has 159 CU IDOL SELF LEARNING MATERIAL (SLM)
become one of the most important and attractive attributes for a destination to attract more tourists. Entertainment and relaxation A destination’s “entertainment attribute” can be found in many forms, such as outdoor activities, gambling, and nightlife. Tourists enjoy pursuing entertainment during their trip - even at museums and other cultural sites. A survey reports that 46% of respondents were pursuing for entertainment when they were visiting a cultural site. Entertainment has become an essential attribute of tourist destinations in their competition to attract visitors; more and more cities are profiling themselves as an Entertainment City”. In the United States of America (USA), entertainment destinations have been growing substantially over the past decade. Branson, Missouri, for example, is an entertainment destination, which has become the second-most popular tourist destination in the USA. The real reason why people travel is that they seek to escape from their everyday reality through the consumption of shallow and inauthentic experiences. People are weary of the drudgery of their everyday life. They travel for fun, entertainment, and relaxation. Thus, entertainment and relaxation could be significantly attractive attributes for a destination to satisfy travelers’ needs. Scenic Beauty Since the day when tourism became a mass market due to a number of people starting to enjoy travel, tourism has been defined as a “landscape industry”, and regarded as fully integrated with destinations’ environment. Tourists, especially those in holiday mood, would like to enjoy their destinations’ natural views and beautiful scenery. That natural vistas and appealing landscapes have always been key attributes in determining the tourism attractiveness of a destination. A representative survey of German citizens to evaluate the importance of certain destination attributes. The attribute – landscape, was found to be the most important even before price considerations. In a study of measuring the importance of destination attributes, they concluded that natural beauty and climate were of universal importance in defining destinations attractiveness. Thus, nature-based beautiful scenery could be deemed as a meaningful attribute for a destination to attract more visitors Pleasant Weather and Climate Weather can be defined as “the state of the atmosphere in a given place at a given time, and can be described by one particular weather station or for a specific area of the earth’s surface. By contrast, climate is the prevailing condition of the atmosphere deduced from long periods 160 CU IDOL SELF LEARNING MATERIAL (SLM)
of observation”. Both climate and weather can significantly influence tourists’ activities and behavior, just as they affect people’s routine lives as well. Climate and weather could become attractions in their own right and play a decisive role in tourists’ decision on destination selection. When tourists are thinking about buying a tourism product, they weigh up its different attributes, such as services, entertainment and price. The climate and weather are also evaluated in this process, as they could be deemed as the natural resources that usually form a part of the product. In the study of “the pull of tourism destinations”, found that the ‘warm climate’ appear to be a significant pull attribute, especially for those tourists who were interested in relaxing and getting a suntan. Climate acquires greater importance than the other attributes and is valued so positively when tourists decide to buy a tourism product. Accessibility Accessibility can be defined as the “relative ease or difficulty with which customers can reach the destination of their choice”. Tourists’ destination choice is often influenced by convenience. Given a choice between similar destinations, a tourist will tend to choose the more convenient one. Thus, destinations, which are more proximate, would be more likely to be accepted over destinations offering similar products that are less proximate. The accessibility of a destination is governed by a wide variety of influences, many of which may depend on much broader economic, social, or political concerns, such as regulation of the airline industry, entry visas and permits, route connections, hubs, landing slots, airport capacities, and competition among carriers. From this point of view, it is difficult to evaluate the accessibility of a destination, based on supply-side. Suggested that accessibility could be measured by the relative difference in the time, cost, distance, or effort required to access different destinations, based on demand-side. Accessibility might be an attractive attribute for a certain destination. Safety There are many attributes associated with a destination; safety is the major concern for tourists to make a decision on destination selection. Safety, tranquility and peace are necessary conditions for prosperous tourism; most tourists will not spend their hard earned money to go to a destination where their safety and well-being may be in jeopardy. It has been generally accepted that safety and security at a destination are critical determinants of its competitiveness. Elements of safety and security include political instability/unrest, probability of terrorism, crime rates, record of transportation safety, corruption of 161 CU IDOL SELF LEARNING MATERIAL (SLM)
police/administrative services, quality of sanitation, prevalence of outbreak of disease, and quality/unreliability of medical services. In this age of globalization, serious crime against tourists hits the international headlines around the world and can destroy the tourist destination in the short run. The 1992 Florida, USA, tourist murders, for example, generated considerable media attention and resulted in a significant decline of tourism. The travel and tourism industry is very sensitive to crisis events. After the terrorist attacks of September 11, the volume and pattern of tourism flows were affected and has not recovered from that event. Particular destinations, such as the USA and countries in the Middle East, are experiencing greater turndowns in visitors than others because of tourists’ safety and security considerations. Tourists’ perceptions of safety and security to a destination will have a significant effect on the destination’s image. Researchers have testified that the image of a destination can significantly impact on tourists’ destination choice. A good safety and security image can attract more tourists to visit a certain destination. Friendly approach of Local people Local people’s attitude toward tourists is a major social factor forming part of the macro- environment of a destination, which may influence tourists’ satisfaction with their trip and is, therefore, vital to the success of the destination. Local people’s attitude toward tourists is determined by how they perceive the tourism industry. Most residents of a certain destination may perceive tourism in a positive way due to its potential for job creation, income generation and enhanced community infrastructure. This may lead to a friendly attitude toward tourists. Alternatively, if most residents of a destination perceive tourism in a negative way due to the socio-cultural and environmental costs, local people’s attitude toward tourists will not be gracious. Residents’ support for tourism development can foster a competitive destination. Local people’s attitude toward tourists is very important for the long-term success of tourism in a destination. It is because if tourists are greeted with hostility in their destination, they are unlikely to visit the destination again. Services The services of a destination are important in tourists’ destination choice. In the eyes of many tourists, destinations function more effectively, when their services are in abundance. Thus, prosperity of a destination’s tourism is highly related to its provision of numerous ancillary services. In fact, tourism, by itself, can be deemed as a service industry. Services exist in the 162 CU IDOL SELF LEARNING MATERIAL (SLM)
whole processes of a tourist’s visitation, such as in transportation, shopping, diet, accommodation, and administration. Provision of reliable and responsive visitor services can significantly enhance a destination’s competitive advantage. Research shows that the range of services is the main attribute in growth or decline of most destinations. Generally speaking, services of a destination can be evaluated by its quality, especially the quality perceived by tourists. The perceived quality of services is vital for a destination, because it can significantly impact on tourists’ satisfaction with the destination. If a tourist receives low- quality services at a destination, and will be dissatisfied with the trip, the future re-visitation to the destination might be in doubt. On the other hand, a good quality of services received by a tourist may increase the perception of ‘trip-value’, and in turn, increase the tourists’ likelihood to visit the destination again and recommend the destination to other people. Thus, service is an important attribute for a destination to attract more tourists. 11.4 SUMMARY It is clear from the above discussion that price, culture, entertainment, relaxation, landscape, weather, accessibility, safety, local people’s attitude toward tourists, service and many more aspects can be termed as the destination’s attributes. All of them have affected and effect of the tourist’s experience and ultimately on the destination’s image. Analysis of different studies can give a list of commonly considered attributes, however, each destination is unique and carries own set of attributes. 11.5 KEYWORD Conservation: Can be broadly interpreted as action taken to protect, and preserve the natural world from harmful features of tourism while allowing for its ecologically sustainable use. Sustainability: Use of resources, in an environmentally responsible, socially fair and economically viable manner, so that by meeting current usage needs, the possibility of its use by future generations is not compromised Sustainable Tourism: Tourism envisaged as leading to management of all resources in such a way that economic, social and aesthetic needs can be fulfilled with maintaining cultural integrity, essential ecological processes, biological diversity, and life support systems. 163 CU IDOL SELF LEARNING MATERIAL (SLM)
Tourism Industry: Tourism Industry is an industry that would cease to exist or would continue to exist only at significantly reduced levels of activity in the absence of tourism. Tourism: The activities of persons travelling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes. Attraction: a natural or man-made facility, location, or activity which offers items of specific interest to tourists. – Carrying capacity: The amount of visitor activity that a site or destination can sustain. 11.6LEARNING ACTIVITY 1. Tourism plays an important role in economic development and creation of jobs in India. Explain ___________________________________________________________________________ ___________________________________________________________________________ 2. Discuss the role of Ministry of Tourism, Govt. of India in Tourism Development? ___________________________________________________________________________ ___________________________________________________________________________ 11.7UNIT END QUESTIONS A. Descriptive Questions Short Questions 1. Define Destination 2. Define destination competitiveness? 3. What are the push factors in tourism? 4. What are tourism resources? 5. What is accessibility in tourism? Long Questions 1. Explain the destination attributes in general. 2. What are the determinants of destination competitiveness? 164 CU IDOL SELF LEARNING MATERIAL (SLM)
3. Discuss the push and pull framework of destination. 4. What are the commonly attractive attributes of destination? 5. Explain the concept of destination image. B. Multiple Choice Questions 1. _________ is a very powerful pull marketing strategy for tourism products. a.Word of mouth b. Trade show promotion c. Sales promotion d. Exhibition 2. Tourism creates impact on _____ a. Individual b. Family c. Culture d. Community 3. Tourists destination is often influenced by _____ a. accessibility b. price c. airlines d. transportation 4. ______is the major concern for tourists to make a decision on destination selection. a. Price b. Airlines c. Beauty d. Safety 165 CU IDOL SELF LEARNING MATERIAL (SLM)
5. Social factor influencing the tourists is a. Local people’s attitude b. Price c. Airlines d. Beauty Answers 1-a, 2-c, 3-a, 4-d, 5-a 11.8 REFERENCES References book Western Ghats Ecosystem, DinanathTewari, Vedam Books. Ecotourism policy and planning, David A. Fennel, CABI Publishing. India, Sarina Singh, Lonely Planet The Andaman and Nicobar islands: A study of historical, Economy, society : From tradition to modernity, Shiva Tosh Das, Sagar Gill, A. and Williams, P. (1994), “Managing Growth in Mountain Tourism Communities”, Tourism Management. 15:212-220. GTZ (1999). Sustainable Tourism as a Development Option: Practical Guide for Local Planners, Developers and Decision Makers. Federal Ministry for Economic Co- operation and Development/GTZ (Deutsche GesellschaftfürTechnischeZusammenarbeit GmbH), Eschborn/Germany. Gunn, C. A. and Var, T. (2002), “Tourism Planning”. 4 thedn. London: Routledge Inskeep, E. (1991), “Tourism Planning: An Integrated and Sustainable Development Approach”. New York: Van Nostrand Reinhold. Keogh, B. (1990), “Public Participation in Community Tourism Planning”, Annals of Tourism Research. 17:449-465 166 CU IDOL SELF LEARNING MATERIAL (SLM)
UNIT - 12: DESTINATION LIFE CYCLE STRUCTURE 12.0. Learning Objectives 12.1. Introduction 12.2. Tourism Destination – Concept and Evolution 12.3. Destination life cycle 12.4. Summary 12.5. Keywords 12.6. Learning Activity 12.7. Unit End Questions 12.8. References 12.0LEARNING OBJECTIVES After studying this unit, you will be able to: Understand the concept and evolution of a tourist destination; Know the elements of a tourist destination; comprehend the meaning of tourist destination lifecycle; Various stages of destination life cycle; and Understand the implications of destination life cycle in tourism management. 12.1INTRODUCTION In the previous unit, we have learnt about tourism industry, its structure, components, linkages and integrations prevalent in this industry. In present unit we shall be discussing an important component of tourism phenomenon i.e. Tourist Destination. We shall be discussing about the concept of a tourist destination, how a tourist destination evolve over the period of time, what are the components of a tourist destination and destination life cycle and its implications in managing tourism. Every country has many cities, towns or villages but does the tourist visit every city, town or village of that country. What makes some locations more popular among tourists and some locations are not preferred by the tourists 167 CU IDOL SELF LEARNING MATERIAL (SLM)
12.2 TOURIST DESTINATION – CONCEPT AND EVOLUTION All the destinations are places but not vice versa. So what differentiates a “destination” from a “place”? A place can be defined as a separate geographical entity with distinct boundaries, when this place has an attraction which one or more segments of human populace consider worth visiting for reasons that may include but not limited to religion, leisure, pleasure, adventure, study etc. and also the place have available means to access and facilities for an overnight or more stay, then the place becomes a destination. Tourist Destination- place with some attraction, backed with accessibility and accommodation. In order for a place to become tourist destination two sets of interrelated activities are required. One being the local development of tourist facilities like accommodation, local transportation and other necessary tourism infrastructure, this aspect mainly deals with the supply side of the tourism phenomenon. The other being marketing efforts undertaken in the areas and locations of potential tourists, deals with the demand aspect. In a more technical sense, a tourist destination can be any place having natural or manmade attraction features, with accessibility and accommodation infrastructural facilities, attributes of host population supportive of tourists and known to adequate number of potential visitors to justify its consideration as an entity and identity. A destination can also be defined as a place or group of places to which tourists prefer to go and in which they stay as primary objective of their visit. Over the period of time the concept of a tourist destination has come over a long process from traditional concepts of a destination to emerging concepts via contemporary concepts i.e. visitor and developer’s perspectives. 168 CU IDOL SELF LEARNING MATERIAL (SLM)
The traditional concept Destination is a place where people spend or prefer to spend their holidays. The basic elements of traditional concept are place (the location, infrastructure, superstructure and development of tourism regions), the people (demographics of tourists and hosts, motivation, tourism intensity in terms of number of visitors, destination service personnel etc.) and the holidays (i.e. tourist holiday activities) Contemporary Concepts a) Visitor’s Perspective- An area so chosen by people to spend their holidays and the resulting impacts of their activities. Here the scope of the destination concept has been widened in relation to the traditional notion of place. Here the notion of choice has been incorporated which implies availability of alternative places and activities. Also it takes into account the ensuing impacts of tourism. The typical elements of this concept are area (city, wilderness, isolated regions, seaside, mountains, lakes etc.), choice (individual motivations, holiday companions, alternative areas and activities) and impacts (economic, socio-cultural and environmental) b) Developer / Manager’s Perspective - Managing the demand for tourism as well managing the impacts of tourism on destination. In this context, scope has been widened to include the management concept. Management of tourism demand on one side and management of tourism impacts on the destination on the other side. Concepts like carrying capacity, visitor expectation and resource protection helps in managing the fine balance between tourist expectations, tourism demand and consequences for the destination. C) Emerging destination paradigms Role of local community in tourist destination development, guiding and modifying tourist behaviours for minimisation of impacts, delivering unique destination experiences, synchronizing the public private partnerships and managing the conflicting interests of various stake holders are some of the emerging destination paradigms. As we know that in case of tourism product it is not possible to shift the destination from one place to another like in case of other products. So during peak time of the day or peak season of the year destination may be over occupied and in lean season it may be under occupied. Tourist destinations evolve over a considerably long period of time, normally. However, there may be sudden emergence of destination as well, for example in case of any strange natural / religious/cultural happening at any erstwhile non-descript place can turn it into a tourist destination provided it has basic tourist infrastructure. Increase in the 169 CU IDOL SELF LEARNING MATERIAL (SLM)
numbers of tourists make a destination healthy in terms of earning like hotels, taxies, travel agencies, guides etc., earn good money but it puts pressure on destination’s socio-cultural and physical environment too. Mass tourism or mismanaged tourism may result in problems like mass construction, traffic jams, over charging of large number of commodities, drug abuse, deforestation, host and guest conflicts etc among others. A planned destination can be the best for long term development where all stake holders get benefits for longer periods and guests enjoy the healthy tourism services at reasonable prices. For long run tourism growth, it is very important to develop a destination in well planned manner. Tourist destination planning therefore becomes an important dimension of overall tourism planning and management at a specific place. In the next sections we shall be discussing about the elements of a tourist destination and one very important concept i.e. destination life cycle. But before that, let us have a small quiz on what we have learnt so far. 12.3 DESTINATION LIFE CYCLE (TOURIST AREA LIFE CYCLE) 170 CU IDOL SELF LEARNING MATERIAL (SLM)
The notion of life cycle is borrowed from biological science wherein each living organism goes through specific phases during his existence, birth and death denoting the start and end respectively. Later, this concept has been applied in management and marketing realms, by way of tracking a product/service’s journey in terms of sales and profitability figures. Life cycle concept for tourist destination was introduced by Butler (1980) to explain the progress of a tourist destination over time. This progress is estimated with the number of tourists coming to a destination and their view about the destination. At the very beginning the numbers of tourist to a particular destination are very low but with the change in the time it grows up and at the end the destination loses its importance and tourist try to find out some near substitute. According to Butler (1980), Destination life cycle also known as Tourist Area Life Cycle i.e. TALC, a destination undergoes an evolutionary cycle of six stages as shown below Exploration Stage In the exploration stage, the destination is remote with a shy or unknown look, with little or no touristic development. During the exploration stage, there are a few adventurous tourists visiting sites with few public facilities. Prior to the beginning of tourism development, a settlement, perhaps a village, which is nature or agricultural orientated is present. A very limited number of businesses exist and that too provided facilities are used and owned by locals. The visitors or tourists are primarily attracted to the destination because of some natural features like silent nature, no mass tourism, village life, pleasant people, honest life etc. At this point, the destination only attracts a very specific type of visitor which can be termed as ‘all centric’. Tourists are controlled by lack of access and facilities. Because if there will be more tourist to that place all will not get the accommodation and ancillary facilities at a single time. There is lack of transport facilities at the beginning. There is only a road that connects the settlement with an urban center and some smaller roads for access to that particular place. Very few numbers of adventure tourists (explorers, all centric, thinkers, writers,) discover the destination for making themselves comfortable with limited resources but adequate time to perform their desire of learning and exploration, making their arrangements without the help of any professional tourism service provider and having limited impacts on the area because of their less number and limited desire from that destination. These tourists are welcomed by the locals as locals see them as a source of earning. In the starting explorers may stay in the accommodation of locals which they constructed for their own use, or in local’s fields by pitching up tents, or in any inn because 171 CU IDOL SELF LEARNING MATERIAL (SLM)
of non-availability of paid accommodation. Under the exploration stage, there are chances of non-availability of food and beverage services in newly explored destination but soon host communities learn about the benefits of tourism, and it leads to the development of that destination in terms of construction of accommodation, improvement in travel connectivity, improvement in the qualify food and beverage service and other travel related services. Involvement Stage Involvement means interaction between host and guests and exchange of ideas, money, services and many more. Under the involvement stage, visitors/ tourist from the congested city centers are fascinated by the calm and unspoiled landscape of the destination. They got the information about the new destination from those visitors who already visited the destination. Local entrepreneurs realize the economic significance of tourism and begin to provide facilities and services to tourists. Under this stage, people from different groups work together for the betterment of the tourism. With the increasing numbers of tourist, host community start to develop tourist facilitation centers like best category hotels, restaurants, entertainment centers etc. Under this stage, the host community finds out tourists as an opportunity for money earning. Some people from host community built a good hotel in comparison to the local standard. It can be termed as pioneer hotel and its opening represent as an event of joy because it capitalized the potential of tourism into reality. New restaurants specially designed for the tourists developed around the tourist’s destination. Some more jobs are created for the stakeholders and due to the demand of tourists leads to production of locally made articles, handicrafts, wines, clothing etc.,. With the increase in the number of tourists a seasonal pattern emerges at the host destination where during a particular time of the year tourists comes and enjoys. At this stage host community demands for the better transportation and infrastructure facilities from their respective government (Public sector). From the success of one entrepreneur, other people start the business of tourism. It is a kind of neighborhood effect where people influenced with the idea of other stakeholder which leads to increase in the number of accommodation, travel agencies, guides, commercial complexes, recreational activities and many others. As a result, the area of the destination expands to facilitate the tourist. Development Stage At the stage of development the number of tourists increases and at peak periods it is more than the size of the local population. Many locals appear to bear tourism unwanted effects 172 CU IDOL SELF LEARNING MATERIAL (SLM)
because of its substantial economic benefits. The increase in tourist arrivals is helped by the improvement of accessibility to the resort through the extension of the road network. Now in this stage, the work of tourism trade is not limited up to the hands of locals but it passes up to the national and international chains. Now, the destination becomes well known place among the tourists and most of its booking are done online. All these agencies are well known for providing high end quality services to the clients at any time of the day or year. Advertising of many available tourist products are on its peak as most of the stakeholders sell the same kind of product or with little bit difference. For stakeholders it is more profitable to sell their land for the construction of hotels, home stays, camping sites, recreation centres than doing their traditional activities like agriculture. Many outside agencies come to the destination for land, hotel, restaurant or any other infrastructure related to tourists use. Host community focuses on the construction at mass level for getting the monetary benefits from tourists. The number of workers increases and more residences are constructed to accommodate the imported workforce. Local agricultural and cattle production cannot provide the quantity and perhaps the quality of food demanded by enterprises and many food items are imported. As a result many outsiders came into the business of food and beverage and provide high end quality services to the tourists. With the increase of tourist arrivals, most traditional houses are converted for business purposes. At this stage, and the earlier stage of involvement, community initiatives for tourism and sustainable development strategies are most appropriate in order to guide the destination for the future development. Consolidation Stage With the increase in the number of tourists now destination reaches in the stage of consolidation. In this stage, one can see huge change in the destination. Stakeholders and other outsiders continue their infrastructure development work because day-by-day the number of tourist’s arrival increases. Due to the mass construction, availability of open space for the tourist starts shrinking day by day. Locals who are earning good amount from tourism try to carry on the activities at its regular speed. Local efforts are made to extend the visitor season and market area. They do large scale advertisement of their destination through various associations like hotel association, taxi operator association, guide association etc. Now the destination becomes a full fledge known destination among the tourists. With huge number of tourist arrival, many new accommodation of international standard are established at the destination. There may be 173 CU IDOL SELF LEARNING MATERIAL (SLM)
conflict between traditional architecture and newly adopted architecture. With the increase in the number of tourists the native of that region cannot get enough space for their day to day activities. The road network expands further in order to provide access to the accommodation establishments, businesses and residences. A major part of the local economy is tied to tourism, but native residents may find themselves excluded from major attractions. The rate of increase in the number of visitors declines, though total numbers are still on the rise and exceeds permanent residents during the peak season or during the year too. As a result of oversupply of hotel rooms and other tourist facilities, prices fall and the market cannot generate as much money as expected. The community perceives some negative effects and anti-tourist sentiment may emerge. The host community which is earning good money from tourism start to depends on tourism business only. There may be loss of tradition business because of tourism activities like loss of agriculture or horticulture yield, shifting of business from traditional to tourism, etc. There are chances that there may be lack of formal education too because host community earning good money from tourism hence no one want to jump in any other business or job where some special educational skills are required. In consolidation stage some good part of the destination are managed by the foreign tour operators only. In this stage almost all natives of the destination are engaged in any kind of tourist activity. Stagnation Stage Stagnation stage means a very little chance of future development of the destination. When any destination reaches at this stage, the tourism landscape becomes overriding and little scope is available for further expansion. The destination has become the centre of mass tourism and its capacity levels have reached or exceeded to the extent that it looses the local original quality that made it attractive in the first stage. Tourism related developments such as (accommodation, food and beverage, travel agency operation, money exchange counters, entertainment centers, shopping complexes, etc. at the destination and the nearby areas, as well as the increasing tourist activities have led to the degradation of the destination. Although the destination now has a well-established image among the tourists but it is no longer in fashion and overall destination turnover is high. Repeat visits (non active, non-adventurer) tourists dominate, but generally major promotional and developmental efforts are needed to maintain the number of visits. Now the destination becomes a centre of non-activities only as there is no up gradation in the tourist’s activities and there are very few chances of newer developments. Now amenities decline in value and 174 CU IDOL SELF LEARNING MATERIAL (SLM)
local ownership of tourist facilities increases as outsiders which are in business start quitting and jump to new destinations. Decline Stage If the tourist market continues to diminish and the destination is not able to compete with newer destinations, through the development of an artificial attractions which may result in decline. In this stage, the destination looses its charm and tourist find out some newer destination of same choice. Now, the destination needs innovative ideas for growth. Development of new tourist related activates can occur in this stage and tourists may feel fed up with already existed system. Now, destination is visited by very few tourists and that too on weekends or on some special occasions only. There are chances of two more events in the declining stage and these are: A) Stagnation (in declining stage) - Under this situation, the business of the area will be stand still for long term but the chances of this situation or stage is very less because each destination has a life and with the passage of time it will lose. So there is very less chances for the long term stagnation stage in any destination. But if the destination works on strict action plan like provision of adequate services to the tourists at reasonable rate, adopting purely traditional architecture (which is unique in entire region), limiting the number of arrival of tourist during the involvement and consolidation stage (like Bhutan Model of Tourism) this stagnation in declining stage can be stopped. B) Rejuvenation (in declining stage) - Under this stage, there are chances of reconstruction of the destination by adopting the new ideas and doing it by best available sustainable methods. But the chances are slightly low in comparison to stagnation stage. At the time of stagnation, any destination can do many practices like developing new tourism product, developing nearby area (but main centre must be the same), sustainable tourism activities for the long run growth of destination and many other. C) Declining (in declining stage) - Now if the destination has no option to retain the flow of the clients, the destination declines. Tourists walk away to a new destination and the present destination which is in declining stage can be visited weekly or very few tourists. Now the stake holders which are already engaged with the tourism business either move to new destination (whose chances are very less) or they will come back to their traditional business. 124 Concept and Impacts of Tourism But this model of destination development by Butler is not applicable or appropriate for each destination as Choy (1992) suggested that it is better to 175 CU IDOL SELF LEARNING MATERIAL (SLM)
treat each destination individually. Each destination has its own charm, it is a unique entity, and if authorities decide to control development and limit the construction of tourist facilities before the destination reaches the stagnation stage, the destination can live for longer time. 12.4 SUMMARY Destination life cycle tells about the different phases or stages of any destination. Destination is a place where tourist visit for leisure, learning, adventure, relaxation, or any other activity related to tourism Life cycle of any product represents the different stages of any product. According to Butler (1980), under destination life cycle, an area undergoes an evolutionary cycle of six stages. These stages are exploration, involvement, development, consolidation, stagnation and decline. Mostly all tourists’ destinations pass through all these mentioned stages. During exploration a new tourist’s destination emerges on the tourism map of any region; during involvement stage many resident of that destination starts tourists related avenues for money earning; during development stage many tourist visit the destination and sometimes these are more than the host population too; during consolidation stage, the arriving number of tourists reaches very high and very less area is there for future development, in consolidation stage the destination starts to lose its charm as there is no fascination in the destination for tourists and finally in declining stage the number of tourists to the destination becomes very less because tourist shifted to any other destination of their choice. Tourist’s destination life cycle find out the long term profitability of any destination by using it as a conceptual framework, as a tool for forecasting and as a guide to strategic planning and development. 12.5 KEYWORDS Destination: Destination is a place where tourist comes for the purpose of tourism. Product life cycle: It represents the different phases of any product which can be a normal product or tourism product. Destination life cycle: There are six stages of any tourism destination; there are exploration, involvement, development, consolidation, stagnation and decline. 176 CU IDOL SELF LEARNING MATERIAL (SLM)
Domestic Tourism: Travel within the country of residence. It comprises the activities of a resident visitor within the country of reference, either as part of a domestic tourism trip or part of an outbound tourism trip. Tourism Flows: The major movements of tourists from specific home areas to destinations. 12.6LEARNING ACTIVITY 1. What is destination life cycle ___________________________________________________________________________ ___________________________________________________________________________ 2. What are destination concepts ___________________________________________________________________________ ___________________________________________________________________________ 12.7UNIT END QUESTIONS A. Descriptive Questions Short Questions 1. Define Exploration Stage 2. What is Declining Stage 3. What is Forecasting 4. What is Consolidation Stage 5. What is Business Portfolio Long Questions 1. What do you understand by a tourism destination? 2. What is Destination life cycle? 3. Discuss the main stages of a Destination Life Cycle? 4. What are the emerging destination paradigms? 5. List few traditional and contemporary concepts in destination choice? B. Multiple Choice Questions 1. Initial stage of knowing a destination is called as 177 CU IDOL SELF LEARNING MATERIAL (SLM)
a. Involvement stage b. exploration stage c. development stage d. saturation stage 2. Consolidation stage is when there is ____tourists flow. a. Decrease b. Increase c. Drop d. Over flow 3. Stagnation stage means _____chance of future development. a. Less b. Huge c. No d. Decline 4. Diminish and the destination is not able to compete with newer destinations is a a. exploration stage b. development stage c. saturation stage d. decline stage 5. Tourism creates impact on _____ a. Individual b. Family c. Culture d. Community Answers 178 CU IDOL SELF LEARNING MATERIAL (SLM)
1-a, 2-b, 3-a, 4-d, 5-c 12.8REFERENCES References book Aswathappa, K. (2002). Human Resource Management. New Delhi: Tata McGraw- Hill. Dessler, G. (2012). Human Resource Management. New Delhi: Prentice-Hall of India. Rao, V.S.P. (2002). Human Resource Management: Text and cases. New Delhi: Excel Books. Decenzo, A. & Robbins P Stephen. (2012). Personnel/Human Resource Management. New Delhi: Prentice-Hall of India. Ivancevich, M John. (2014). Human Resource Management. New Delhi: Tata McGraw-Hill. Textbook references Mamoria, C.B. (2002). Personnel Management. Mumbai: Himalaya Publishing House. Dipak Kumar Bhattacharyya, Human Resource Management, Excel Books. French, W.L. (1990), Human Resource Management, 4th ed., Houghton Miffin, Boston. H.J. Bernardin, Human Resource Management, Tata McGraw Hill, New Delhi, 2004. Website http://www.slideshare.net/sreenath.s/evolution-of-hrm www.articlesbase.com/training-articles/evolution-of-human-resource- management- 1294285.html http://www.oppapers.com/subjects/different-kinds-of-approaches-to-hrm- page1.html 179 CU IDOL SELF LEARNING MATERIAL (SLM)
UNIT - 13: COMMUNITY BASED APPROACH FOR TOURISM PLANNING -I STRUCTURE 13.0 Learning Objectives 13.1Introduction 13.2 Community based tourism Planning 13.3Local benefits from community based participation 13.4Tips to develop community based tourism 13.5Community based tourism in Practice 13.6Public-Private partnerships 13.7PPP Roles and Modalities 13.8Conclusion 13.9Summary 13.10 Keywords 13.11 Learning Activity 13.12 Unit End Questions 13.13 References 13.0LEARNING OBJECTIVES After studying this unit, you will be able to: Describe nature Community based tourism Identify scope responsible tourism State the need for PPPs List the functions of PPPs 13.1INTRODUCTION Community-based tourism (CBT) is a form of responsible tourism that supports local communities and improves livelihoods. The tourism destination is managed by the local community members themselves. With general tourism, visits are often marketed and organized by private travel companies. 180 CU IDOL SELF LEARNING MATERIAL (SLM)
Community-based approach to tourism planning is a prerequisite to tourism development and sustainability while community participation in the tourism planning process is advocated as a way of implementing sustainable tourism. Community participation in many ways has become an umbrella term for a supposedly new genre of development intervention and an ideology in tourism planning, akin to the participatory planning ideologies in urban and regional planning. The diverse interests of the communities are incorporated in the tourism planning process, and it accords with the people’s right to participate in decisions that affect the any destination. The concept of community involvement in tourism planning is often talked about and moves nearer to the center of sustainability debate. Community-based tourism development may provide an opportunity for a sustainable tourism industry. Several advocates of participatory planning in tourism development have argued for an issue-oriented involvement of communities in decisions at an early stage in the decision process. Community participation, as an element of development is interwoven in the planning process. Community-based tourism is premised on the inclusion of local people in the development of the industry. In fact, its characteristics include local control of development, community involvement in planning, equitable flow of benefits, and incorporation of resident values. Community involvement in tourism can be viewed from two perspectives: in the benefits of tourism development and in the decision-making process. Employing a community-based approach to tourism development, based on a social learning/mobilization framework, can aid the implementation and sustainability of the development and seek greater community support with active participation as suggested in community-based tourism development planning. 181 CU IDOL SELF LEARNING MATERIAL (SLM)
13.2 COMMUNITY-BASED TOURISM PLANNING (CBTP) Model proposes that tourism planning should build from an awareness of community values and organizational needs to guide more locally-appropriate tourism development that fits with other community needs, initiatives, and opportunities. This brings otherwise established strategic planning and community development principles to tourism planning practices so that stakeholders (residents, operators. Government) can together guide a more sustainable and consistent tourism industry for communities, not at the expense of communities and local ecosystems. Community-Based 182 CU IDOL SELF LEARNING MATERIAL (SLM)
Tourism Planning (CBTP) relies on an initial and periodic community assessment process that harnesses the experience, expertise, desires, and support of local residents together with tourism operators and other stakeholders (government, organizations, and industry). Such assessment can generate an inventory of perceptions about tourism related changes (experiences, concerns, hopes, fears, and dreams). This “social or perceptual inventory” can complement other tourism resource inventories (infrastructure, services, attractions, biophysical features, and cultural features) for making more informed and accountable decisions while building organization and infrastructure capacity. Community involvement in planning and development is critical to the overall sustainability of tourism in the destination. Since resident perceptions and opinions on tourism development may be influenced significantly by changing variables, such as the scale (and nature) of tourism development and related employment opportunities, it can be inferred from these various studies that community participation has to take a form which is dynamic and active, in order to enable tourism planning and development to be adjusted as the economic, social and environmental perceptions change within the community. 183 CU IDOL SELF LEARNING MATERIAL (SLM)
There are several reasons why communities are actively involved in the planning process, as defined below: 1. Additional resources. 2. Government rarely has sufficient means to solve all the problems in an area. Local people can bring additional resources, which are often essential, if their needs are to be met and dreams fulfilled. 3. Better decisions and more appropriate results. 4. Local people are invariably the best source of knowledge and wisdom about their surroundings, and design solutions are more likely to be in tune with the local needs 5. Empowerment and community building; 6. Community involvement builds local people’s confidence, capabilities and skills to cooperate, and this process of working together creates a sense of community belonging. Collaboration for community-based tourism planning will require recognition of a high degree of interdependence in planning and managing the domain. A destination community has to ensure the presence of a requisite mass of attractions, suitable accommodation, and adequate transportation to be able to satisfy tourists. Facilities such as health services, entertainment, and restaurants are required, in addition to the hospitality and courtesy of the local residents. Tourism development that exceeds the carrying capacity of the economic, natural, and sociocultural environment will impact negatively on the overall tourism industry of the community, due to the close interrelations of the elements within the community’s tourism system. Hence, the stakeholders within the tourism planning domain should be aware of the high degree of inter-dependence with each other and with the natural environment 184 CU IDOL SELF LEARNING MATERIAL (SLM)
13.3 LOCAL BENEFITS FROM ACTIVE COMMUNITY PARTICIPATION. Participatory approach is to increase the involvement of socially and economically marginalized people in decision-making. Community-Based Tourism Planning (CBTP) promotes that the community should define their own—and the tourism industry’s—role. To accomplish this, a community needs to create opportunities for stepping back from tourism marketing and product development pressures. Then, stakeholders can evaluate their tourism experiences and local values while setting a direction for their own tourism development in partnership with other significant stakeholders. This community based approach is fundamentally linked with a “belief in human potential for favorable growth” which relies on community members having a positive view and understanding of their own potential. A destination community’s assets and resources, such as its infrastructure and recreational facilities, can be shared by its inhabitants, visitors, public, and private sector interests. Tourism development then takes on the characteristics of a public and social good whose benefit may be shared by the numerous stakeholders in the local destination. The local 185 CU IDOL SELF LEARNING MATERIAL (SLM)
authorities have the delicate task of juggling private sector interests with local resident needs and wants, in order to maintain the economic health of the community and ensure that development is sustainable. Government involvement in the development of tourism infrastructure often needs to be supplemented by external private capital for superstructure development (facilities and amenities) at the destination. Community-Based Tourism Planning 1. Introducing more “strategic” and “future” thinking or visioning to tourism development; 2. Relying on residents and community leaders as their own “experts” about community needs and desirable tourism influences; and 3. Providing opportunities to clarify community strengths, challenges, obstacles, and opportunities for social, economic, and ecological well-being. 4. Encouraging facilitating reflection about how a “destination” is also a “home” (for residents, flora, and fauna). Tourists are more likely to appreciate and return if they feel a “good fit” between aspects of “destination” and “home” rather than experiencing tourism as a source of tension or negative impacts 13.4 TIPS TO DEVELOP COMMUNITY-BASED TOURISM When developing community-based tourism according to the above-mentioned steps, there are more key aspects to remember and to pay close attention to. As said before, CBT is a sensitive form of tourism. Above all, it’s important that both the local community as the traveler enjoys the experience. 186 CU IDOL SELF LEARNING MATERIAL (SLM)
1. Connect with the local community The local community is the key element of your experience. Connect with them, build trust, and think about tourism together. What is unique about their culture and what are they willing to share? To what extent do they want to change their lives? Make sure to collaborate and to give them responsibility and a voice in the entire experience. 2. Train locals in tourism Interacting with travelers from different cultures can be a challenge for local communities. It’s important to learn communities how to communicate with travelers. How and which information to share and to make them feel welcome. Always use guides from the community itself as they will know all the ins and outs of the community. It will also ensure the profits stay in the community. 3. Create independency Community-based tourism is not developed for the sake of tour operators. Local communities want to improve their livelihood and build their own future. Construct cooperative ownership. The success rate of the tourism experience depends on the communities’ sense of ownership. Let them take care of their own tourism product and enjoy the benefits. 4. Include interactive elements In the experience economy trend, travelers request experiences to be entertaining, educational, imaginative and attractive. They are looking for experiences where they can 187 CU IDOL SELF LEARNING MATERIAL (SLM)
participate instead of only watching and visiting. Engage them in the local culture, have them do, try and taste things and give them a truly unique experience. 5. Think about the language Travelers are looking for experiences with interaction. Therefore, language is an important aspect for community-based tourism. How are your travelers going to communicate with the host? The best solution will be to have an English-speaking guide who is able to communicate with both the host as travelers in an enthusiastic manner. 6. Decide on the duration Most travelers will step out of their own comfort zone when doing a community-based tourism experience. Therefore, it’s important that your experiences are not too long and uncomfortable for the traveller. When you start with CBT, focus on (half) day experiences first. This way, travelers can ease into it and they are also easier to develop. 7. Ensure safety As travelers are entering an unknown area, they will trust upon the guide to keep them safe. It’s important that the guide is trained in emergency situations and also knows how to explain safety issues to the travelers. Thereby, hygiene and sanitation of the local community is also very important. Especially for experiences with food and in times of COVDID-19. 13.5 COMMUNITY-BASED TOURISM IN PRACTICE Tour operators come in all sizes and all have a different impact on tourism destinations. Among these tour operators, there are some inspiring businesses that completely focus on benefitting local communities. Their aim is to use tourism as a tool to create a better life and future for communities and to protect the environment at the same time. Be inspired by the following community-based projects that aim to benefit local communities by offering travelers a unique experience. 188 CU IDOL SELF LEARNING MATERIAL (SLM)
13.6 PUBLIC -PRIVATE PARTNERSHIPS PPP IN TOURISM PLANNING As tourism development has slowly shifted from the informal economy to public management, corporations have been actively lobbying the government for a larger role in the planning, implementation and evaluation of tourism activities. So far the government has consulted with private sector players and invited their representatives on planning boards and policy initiatives, through which the largest tourism companies have been able to influence government priorities. Now there is a major thrust toward formalizing this relationship and legitimizing it in ways that need to be probed. 189 CU IDOL SELF LEARNING MATERIAL (SLM)
In light of the importance placed upon public-private partnerships (PPPs) in the management of natural resources, development planning, and social services – erstwhile responsibilities of the government – this report interrogates the significance of PPPs for the future of governance. Specifically, the report aims to shed light on the implications of PPPs for democratic community control and for the much-touted power of tourism development for the poor Meanings, Motivations and Modalities Broadly, PPP refers to “an arrangement between the public and private sectors with clear agreement on shared objectives for the delivery of public infrastructure and/or public services.” Research Republic LLP (2008: 13) . The Department of Economic Affairs (DEA, 2008), Ministry of Finance, Government of India defines PPPs as: A partnership between a public sector entity (sponsoring authority) and a private sector entity (a legal entity in which 51% or more of equity is with the private partner/s) for the creation and/or management of infrastructure for public purpose for a specified period of time (concession period) on commercial terms and in which the private partner has been procured through a transparent and open procurement system. International agencies which have promoted PPPs use similar, functional definitions of PPPs. Public 190 CU IDOL SELF LEARNING MATERIAL (SLM)
Private Partnerships are defined as: “Arrangements where the private sector supplies infrastructure assets and services that traditionally have been provided by the government.” The International Monetary Fund (IMF, 2004: 4). Those that “are for services traditionally provided by the public sector, combine investment and service provision, see significant risks being borne by the private sector, and also see a major role for the public sector in either purchasing services or bearing substantial risks under the project” - The World Bank (2006: 13). “Long-term, contractual partnerships between the public and private sector agencies, specifically targeted towards financing, designing, implementing, and operating infrastructure facilities and services that were traditionally provided by the public sector” - The Asian Development Bank (ADB) (2006: 15). “Agreements that transfer investment projects to the private sector that traditionally have been executed or financed by the public sector. To qualify as a PPP, the project should concern a public function, involve the general government as the principal purchaser, be financed from nonpublic sources and engage a corporation outside the general government as the principal operator that provides significant inputs in the design and conception of the project and bears a relevant amount of the risk” The European Union (EU) (2010: 262) Although definitions of PPPs abound, five characteristics can be identified in common (Research Republic LLP, 2008). 191 CU IDOL SELF LEARNING MATERIAL (SLM)
1. First, they are based upon cooperative and contractual relationships between the government and the private sector intended to draw upon the strengths of the two sectors. PPP agreements are long-term in nature, typically extending over a 15 to 30 year period. 2. Second, PPPs can be distinguished from privatisation by the shared responsibilities between public sponsors and private providers throughout the project development and delivery, and often also in operation and maintenance. It is generally understood, however, that the government “remains ultimately responsible and accountable for the provision of high quality services that meet the public need” (Research Republic LLP, 2008: 14). 3. Third, PPPs are a form of procurement that allows private agencies a greater role in the planning, finance, building, operation and maintenance of public infrastructure and services than traditional procurement methods. Rather than starting with the question of how the government will deliver the necessary services within its means, PPPs begin with a focus on the desired service identified by the public sector and how the private sector can play a part in its delivery. Notes 218 4. Fourth, PPPs are praised for the ability of the public sector to transfer risks associated with the project, e.g. design, construction and operation, to the private sector which is perceived as better equipped to handle them, with the incentive of higher rates of return related to high standards of performance. This is seen to result in more economically efficient public projects and services. 5. Finally, PPPs allow the public sector to decide whether or not it is more cost-effective to own and operate assets directly than to buy these from the private agency which has been contracted to build the facilities or supply equipment. With flexible ownership intrinsic to PPPs, services may be bought by the government, for itself, as an input to provide another service, or on behalf of the end user. These five basic characteristics of PPP, which constitute a long term collaboration and transfer of risk and responsibility from the public to the private sector, need to be considered in a wider context of the Indian economy’s trajectory since the formal launch of the New Economic Policies in 1991. PPP represents another notch in the Indian government’s efforts to open up the economy to the private sector and foreign direct investment, while limiting its role to the bare minimum as facilitator of growth. As the very nature of PPP has grave implications for a democratic and accountable governance system, the following section 192 CU IDOL SELF LEARNING MATERIAL (SLM)
delves deeper into its associated roles and modes of functioning before turning to an examination of its strengths and weaknesses vis-à-vis community development. 193 CU IDOL SELF LEARNING MATERIAL (SLM)
13.7 ROLES AND MODALITIES A PPP generally comprises a public sector agency and a private partner, which may be a private company, a consortium of private interests, or a non-governmental agency (NGO). Typically, a consortium consists of contractors, maintenance companies, private investors or financiers, and consulting firms. The roles of each are as follows (Research Republic LLP, 2008): ➢➢ Public agency – (Purchaser) to specify the desired outcomes or outputs, and pay the private partner if the assets and services are delivered in accordance with the defined performance standards; ➢ Private partner – (Service Providers) usually come together as a ‘special purpose vehicle’ (SPV) to contract with the public agency and with subcontractors to design, construct, operate and maintain the facility. In order to achieve this, the SPV will need to raise the necessary capital (IMF, 2004); ➢➢ Private financiers – (equity investors and debt providers) provide the initial outlay either through equity stakes in the project or through loans from fund managers and other financial institutions; ➢➢ Consultants – (Project advisors) provide technical, legal or financial advice to the public agency in structuring the tender or to the private partner in composing a viable PPP proposal. In addition to these players, multilateral agencies have been playing instrumental roles in creating “effective enabling conditions for private sector participation” in public service delivery in India (ADB, 2006: 68). They have been doing this in collaboration with the Government of India (GoI) by disseminating research reports, conducting technical skills workshops and providing major funding. Early in India’s foray into PPPs, for instance, the World Bank (2006) interpreted country- level experience of PPPs and made several recommendations to improve India’s performance on the PPP front. Most of the Bank’s following recommendations have been executed by the GoI: to develop a policy rationale for PPPs; to adopt legal frameworks for the procurement, development and regulation of PPPs, especially at the state level; Information dissemination and guidance materials in terms of standard contracts and clauses to increase the confidence 194 CU IDOL SELF LEARNING MATERIAL (SLM)
of bureaucrats; Dedicated PPP units at the national and state levels; and additional resources for PPPs for the states from the central government. The Asian Development Bank (ADB) has similarly identified ‘key issues and challenges’ facing GoI in the support of PPPs. Specifically, it has called for a streamlining of appraisal mechanisms, land acquisition and environmental clearances. It considers the “[d]development of public sector capacity to prioritize, plan, appraise, structure, bid, and financially close PPPs remains the topmost challenge for mainstreaming of PPPs at the state as also the central level” (ADB, 2006: 68). In fact, over two-thirds of the ADB’s development aid to India, ostensibly for poverty reduction, in 2006-08 was focused on infrastructure development. With a multitude of players and a complex interplay of goals in relation to public services, there is no standard model of PPPs. Rather; PPPs are organized in different forms, some of the most common of which are described in the table below. PPP Schemes and Modalities A Design-Build (DB) Build-Transfer (BT) Build- The private sector designs Transfer-Operate (BTO) Design-Build-Operate and builds an asset, and then (DBO) Build-Operate-Transfer (BOT) Build-Own- transfers it to the Operate-Transfer (BOOT) government. The private sector may also operate it, and then transfers it to the government when the operating contract ends. The private partner may subsequently rent or lease the asset from the government for a specified period. B Wrap Around Addition (WAA) Lease-Develop- The private sector buys or Operate (LDO) Buy-Develop-Operate (BDO) leases an existing asset from the government, renovates, modernises and/or expands it, and then operates the asset 195 CU IDOL SELF LEARNING MATERIAL (SLM)
with no obligation to transfer ownership back to the government C Design-Build-Finance-Operate (DBFO) Design- These are variants of Design Build-Finance-Maintain (DBFM) Build-Own- Build-Finance-Operate Operate (BOO) Build-Develop-Operate (BDO) (DBFO) schemes. The Design-Construct-Manage Finance (DCMF) private sector designs, builds, finances, owns, develops, operates and manages an asset with no obligation to transfer ownership to the government. Although the PPP modalities are classified in three distinct sets above, they may in fact have overlapping features. A useful way of distinguishing the PPP schemes above is by a number of parameters such as: (1) ownership arrangements; (2) the role of government; (3) the extent Of private sector participation in public service provision; (4) the risks and responsibilities of each of the players. The figure below depicts the changing role of the state and the distribution of risk and responsibility with the increasing degree of private sector participation along a select set of PPP modalities. 13.8 CONCLUSION Tourism planning offer multidimensional approaches to the involvement of communities in tourism related activities at any destination and site and it appears that community involvement in tourism planning is desirable and necessary element for sustainable development. Similarly, community approaches of tourism planning provide substantial benefits to local population of destination. Proper policy and strategic planning can be carried out in order to maintain the sustainability of the tourism destinations of the area. This unit initially defines the basic concept of tourism planning. Relationships between tourism and community have also been discussed thoroughly in this unit. By focusing on the community based tourism planning, this unit provides a sound base for the Block 3 of Bachelor of Tourism Studies (BTS) Program highlighting Tourism Policy and Planning. 196 CU IDOL SELF LEARNING MATERIAL (SLM)
13.9SUMMARY Hu Tourism planning: a partnership approach: Tourism is a fragmented industry. Tourism planning/management therefore requires an extensive, consistent and effective public policy framework, co-ordinated between many parties (different departments in the local authority as well as other public, private and voluntary sector agents) through relevant partnerships and supported by sound background research, co-ordinated plans and monitoring at local and regional levels. Notes 255 Information needs for tourism planning: Tourism planning policy must be based on sound information at all levels. There is an already established need for more and better tourism data7 at a national level. However, there is a particular need for more localised research in relation to planning impacts at a sub-regional and local level. Man Resource Management (HRM) is the function within an organization that focuses on recruitment of, management of, and providing direction for the people who work in the organization. 13.10KEYWORD Community: A community is a group of people, often living in the same geographic area, who identify themselves as belonging to the same group. Destination: The geographic place to which a traveller is visiting for a trip. It may be defined as the farthest point away from home visited (distance destination), the place where the most amount of time was spent (main destination), or place the visitor thinks of the primary place visited (motivating destination). For ex., hotel, resort, attraction, city, region, or state. Government: In most parliamentary systems, this term refers to the entire executive branch of the state, or to the members of governments (usually termed “ministers” but occasionally called “secretaries”) selected by the legislature or appointed by the head of government to run the executive branch. Local community: Those people living in the immediate area potentially affected socially, economically, or environmentally by a tourism project. – Natural Attraction: Areas that exist in or are formed by nature which are not artificial, and can include cultural aspects and that has not been made or created by people. 197 CU IDOL SELF LEARNING MATERIAL (SLM)
Stakeholder: A person, group or organization that has interest or concern in tourism activities. Individuals or institutions (public and private) interested and involved in a process or related activities. Visitor: A visitor is a traveller taking a trip to a main destination outside his/her usual environment, for less than a year, for any main purpose (business, leisure or other personal purpose) other than to be employed by a resident entity in the country or place visited. 13.11LEARNING ACTIVITY 1. What is community based tourism ___________________________________________________________________________ ___________________________________________________________________________ 2. What is public-private partnership in tourism planning? ___________________________________________________________________________ ___________________________________________________________________________ 13.12UNIT END QUESTIONS A. Descriptive Questions Short Questions 1. Define Community based tourism? 2. What is CBT Planning? 3. Describe the strengths and weaknesses of Public Private Partnership (PPP). 4. Explain the institutional framework of Public Private Partnership (PPP). 5. Identify the typical need of human resource management in today’s competitive world. Long Questions 1. Define community-based tourism with suitable examples?Explain 2. The term tourism and community are closely interlinked. Discuss? 3. What is the rationale behind the Public Private Partnership (PPP)? 4. What are the policies and structures of Public Private Partnership (PPP)? 5. Write an essay on Public Private Partnership (PPP) of tourism in India B. Multiple Choice Questions 198 CU IDOL SELF LEARNING MATERIAL (SLM)
1. Community-based Tourism should improve the …………………..of life. a. quality of life b. style of life c. approach d. belief of life 2. The relationship between the communities and many forms of tourism is ………………. a. Agri Tourism b. mass tourism c. rural tourism d. Community based tourism 3. Before developing Community-based Tourism, it is necessary to build the capacity of the …………………….community a. Public b. private c. Local d. Regional 4. Funding refers to ________assistance. a. Agency b. not providing c. securing d. Lending 5. TFCI refers to 199 a. Tourism Finance corporation of India b. Travel finance corporation of India c. Transport finance corporation international CU IDOL SELF LEARNING MATERIAL (SLM)
d. Travel fund company in India Answers 1-a, 2-d, 3-c, 4-d, 5-a 13.13REFERENCES References book Hall, C.M. (2000), “Tourism Planning: Policies, Processes and Relationships” Harlow: Prentice Hall. Haywood, K.M. (1988), “Responsible and Responsive Tourism Planning in the Community”, Tourism Management. 9: 105-118. Jamal, T.B. and Getz, D. (1995), “Collaboration Theory and Community Tourism Planning” Tourism Research, Vol. 22, No. 1, pp. 186-204, 1995Murphy, P.E. (1985), “Tourism: A Community Approach”. London: Routledge. Pinel, D.P. (1998), “A Community-Based Tourism Planning Process Model: Kyuquot Sound Area, B.C.”, M.Sc. Thesis. University School of Rural Planning and Development. University of Guelph. April, 1998. Reid, D. (2003), “Tourism, Globalization and Development: Responsible Tourism Planning”. London: Pluto Press. 200 CU IDOL SELF LEARNING MATERIAL (SLM)
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