WEF_TT_Competitiveness_Report_2013

2.2: Data Tables 14.04 Creative industries exports Exports of creative industries products as a share of world total in such exports. | 2011 or most recent RANK COUNTRY/ECONOMY VALUE RANK COUNTRY/ECONOMY VALUE 1 China ...........................................27.7 71 Ghana............................................0.0 2 United States .................................7.6 72 El Salvador1...................................0.0 3 Germany ........................................6.9 73 Nepal .............................................0.0 4 Hong Kong SAR ............................6.9 74 Guatemala .....................................0.0 5 Italy ................................................6.0 75 Mauritius ........................................0.0 6 India...............................................4.9 76 Luxembourg ..................................0.0 7 United Kingdom.............................4.3 77 Moldova.........................................0.0 8 France ...........................................4.2 78 Costa Rica.....................................0.0 9 Switzerland ....................................2.8 79 Madagascar...................................0.0 10 Netherlands ...................................2.0 80 Uruguay2 .......................................0.0 11 Belgium .........................................1.8 81 Tanzania ........................................0.0 12 Singapore ......................................1.6 82 Bolivia ............................................0.0 13 Canada ..........................................1.6 83 Kenya1 ..........................................0.0 14 Japan ............................................1.5 84 Cambodia ......................................0.0 15 Vietnam1........................................1.5 85 Namibia .........................................0.0 16 Turkey............................................1.4 86 Kazakhstan ....................................0.0 17 Thailand .........................................1.3 87 Qatar2............................................0.0 18 Spain .............................................1.3 88 Bahrain ..........................................0.0 19 Austria ...........................................1.3 89 Cyprus ...........................................0.0 20 Czech Republic .............................1.2 90 Albania...........................................0.0 21 Poland ...........................................1.2 91 Paraguay .......................................0.0 22 United Arab Emirates3 ...................1.2 92 Oman ............................................0.0 23 Taiwan, China ................................1.0 93 Ecuador .........................................0.0 24 Sweden .........................................1.0 94 Zimbabwe1 ....................................0.0 25 Korea, Rep. ...................................1.0 95 Macedonia, FYR ............................0.0 26 Malaysia.........................................0.9 96 Botswana ......................................0.0 27 Mexico ...........................................0.9 97 Armenia .........................................0.0 28 Denmark ........................................0.9 98 Jamaica1 .......................................0.0 29 Indonesia .......................................0.6 99 Barbados .......................................0.0 30 Ireland............................................0.5 100 Côte d’Ivoire ..................................0.0 31 Portugal .........................................0.3 101 Ethiopia..........................................0.0 32 Iran, Islamic Rep.1 .........................0.3 102 Nigeria ...........................................0.0 33 Russian Federation ........................0.3 103 Trinidad and Tobago1....................0.0 34 Romania ........................................0.3 104 Honduras2 .....................................0.0 35 Pakistan.........................................0.3 105 Yemen ...........................................0.0 36 Slovak Republic .............................0.3 106 Georgia1 ........................................0.0 37 Australia.........................................0.3 107 Kyrgyz Republic.............................0.0 38 Hungary .........................................0.3 108 Uganda..........................................0.0 39 Egypt .............................................0.3 109 Senegal .........................................0.0 40 Lithuania ........................................0.2 110 Mongolia4 ......................................0.0 41 Brazil..............................................0.2 111 Iceland ...........................................0.0 42 Greece...........................................0.2 112 Azerbaijan ......................................0.0 43 Panama .........................................0.2 113 Malawi ...........................................0.0 44 Slovenia .........................................0.2 114 Zambia ..........................................0.0 45 Finland ...........................................0.2 115 Guyana ..........................................0.0 46 Ukraine ..........................................0.2 116 Nicaragua ......................................0.0 47 Saudi Arabia1 ................................0.1 117 Montenegro ...................................0.0 48 Israel ..............................................0.1 118 Mozambique ..................................0.0 49 Estonia...........................................0.1 119 Burkina Faso..................................0.0 50 Philippines .....................................0.1 120 Venezuela ......................................0.0 51 Colombia .......................................0.1 121 Cameroon1....................................0.0 52 Chile ..............................................0.1 122 Mali1 ..............................................0.0 53 South Africa ...................................0.1 123 Suriname .......................................0.0 54 Norway ..........................................0.1 124 Rwanda .........................................0.0 55 Croatia ...........................................0.1 125 Benin1 ...........................................0.0 56 Bulgaria .........................................0.1 126 Algeria ...........................................0.0 57 Latvia .............................................0.1 127 Seychelles3....................................0.0 58 New Zealand .................................0.1 128 Gambia, The ..................................0.0 59 Argentina .......................................0.1 129 Guinea3 .........................................0.0 60 Dominican Republic .......................0.1 130 Burundi1 ........................................0.0 61 Peru...............................................0.1 131 Cape Verde1..................................0.0 62 Morocco1 ......................................0.0 132 Brunei Darussalam5.......................0.0 63 Bangladesh4..................................0.0 132 Mauritania5 ....................................0.0 64 Serbia ............................................0.0 n/a Chad..............................................n/a 65 Lebanon ........................................0.0 n/a Haiti ...............................................n/a 66 Sri Lanka .......................................0.0 n/a Lesotho .........................................n/a 67 Malta .............................................0.0 n/a Puerto Rico....................................n/a 68 Jordan ...........................................0.0 n/a Sierra Leone ..................................n/a 69 Bosnia and Herzegovina ................0.0 n/a Swaziland ......................................n/a 70 Kuwait2..........................................0.0 n/a Tajikistan........................................n/a Source: United Nations Conference on Trade and Development (UNCTAD), Creative industry database, Creative Economy Report 2012 0 5 10 15 20 25 30 1 2010 2 2009 3 2008 4 2007 5 2006 © 2013 World Economic Forum The Travel & Tourism Competitiveness Report 2013 | 469

© 2013 World Economic Forum

Technical Notes and Sources This section complements the data tables by providing 1.04 Visa requirements full descriptions and sources of all the indicators used for Number of countries whose citizens are exempt from obtaining the calculation of the Travel & Tourism Competitiveness a visa [= 1], able to obtain one upon arrival [= 0.70], or obtain Index 2013 (TTCI). an electronic visa [= 0.50] out of all UN countries | 2012 This variable is based on visitor visa requirements of all UN The number next to the variable corresponds to countries. The score refers to the percentage of UN countries the number of the data table that shows the ranks and whose citizens require a visa to enter the country. In compiling scores for all countries/economies on this particular the data, each country that requires no visa at all receives a indicator. “1,” each country for which it is possible to obtain a visa upon arrival receives a “0.70,” and each country for which it is possible The data used in this Report include the data to obtain an electronic visa (e-visa) receives a “0.50.” Those derived from the Executive Opinion Survey as well as countries for which a visa is required prior to departure would “hard” data from external sources. The latter represent receive a “0.” We first count the number of countries falling in the best available estimates from various national each category, and then we multiply each of these three figures authorities, international agencies, and private sources by the relative weight. Finally, the sum across these weighted at the time the Report was prepared. It is possible that scores produces the final score shown in the table. some data will have been revised or updated by national sources after publication. Source: World Tourism Organization Throughout the statistical tables in this publication, 1.05 Openness of bilateral Air Service Agreements “n/a” denotes that the value is not available, or that Index measuring the average openness of Air Service available data are unreasonably outdated or do not come Agreements [0 = most restricted; 38 = most liberal] | 2011 from a reliable source. This index measures the weighted average openness of all bilateral Air Service Agreements (ASAs) concluded by International PILLAR 1: POLICY RULES AND REGULATIONS Civil Aviation Organization (ICAO) signatories as registered in ICAO’s World’s Air Services Agreements (WASA) database (2010 1.01 Prevalence of foreign ownership update). The weights are the bilateral scheduled passenger traffic How prevalent is foreign ownership of companies in your taking place under each ASA. Regulatory data come from ICAO’s country? [1 = very rare; 7 = highly prevalent] | 2011–2012 WASA database and traffic data were obtained from IATA. weighted average Sources: World Trade Organization, based on ICAO and IATA data Source: World Economic Forum, Executive Opinion Survey 1.06 Transparency of government policymaking 1.02 Property rights How easy is it for businesses in your country to obtain How would you rate the protection of property rights, including information about changes in government policies and financial assets, in your country? [1 = very weak; 7 = very regulations affecting their activities? [1 = impossible; 7 = strong] | 2011–2012 weighted average extremely easy] | 2011–2012 weighted average Source: World Economic Forum, Executive Opinion Survey Source: World Economic Forum, Executive Opinion Survey 1 .03 Business impact of rules on FDI 1 .07 Time required to start a business To what extent do rules governing foreign direct investment Number of days required to start a business | 2012 (FDI) encourage or discourage it? [1 = strongly discourage FDI; This variable measures the median duration that incorporation 7 = strongly encourage FDI] | 2011–2012 weighted average lawyers indicate is necessary to complete a procedure with minimum follow-up with government agencies and no extra Source: World Economic Forum, Executive Opinion Survey payments. For further details, visit http://www.doingbusiness.org/ methodologysurveys/. Source: World Bank/International Finance Corporation, Doing Business 2013 1 .08 Cost to start a business Cost to start a business as a percentage of the economy’s income (GNI) per capita | 2012 This variable measures all official fees and fees for legal or professional services if such services are required by law. For further details, visit http://www.doingbusiness.org/ methodologysurveys/. Source: World Bank/International Finance Corporation, Doing Business 2013 © 2013 World Economic Forum The Travel & Tourism Competitiveness Report 2013 | 471

Technical Notes and Sources 1 .09 GATS commitments restrictiveness index (Tourism) 2 .06 Threatened species Index [0 = most restricted; 100 = most liberal] | 2006–2009 This index measures the extent of GATS commitments for tourism Threatened species as a percentage of total species services as classified by the GATS and in the four modes of the (mammals, birds, amphibians) | 2012 GATS. Each entry in the country’s schedule is assigned scores This variable measures the total number of Critically Endangered, based on its relative restrictiveness, using a criterion set out Endangered, and Vulnerable species as a percentage of total by Bernard Hoekman’s methodology. The results range from 0 known species for mammals, birds, and amphibians. (unbound or no commitments) to 100 (completely liberalized), with an intermediate value of 50 for partial commitments. A Source: The International Union for Conservation of Nature (IUCN), simple average of the subsectoral scores were used to generate Red List of Threatened Species 2012 aggregate sectoral scores (for the 12 main services sectors as classified by the GATS), the four modes scores, and market 2 .07 Environmental treaty ratification access and national treatment scores. Total number of ratified environmental treaties | 2012 Source: The World Bank Institute This variable measures the total number of international treaties from a set of 25 for which a state is a participant. A state is PILLAR 2: ENVIRONMENTAL SUSTAINABILITY acknowledged as a “participant” whenever its status for each treaty appears as “Ratified,” “Accession,” or “In Force.” The 2 .01 Stringency of environmental regulation treaties included are: the International Convention for the How would you assess the stringency of your country’s Regulation of Whaling, 1948 Washington; the International environmental regulations? [1 = very lax; 7 = among the world’s Convention for the Prevention of Pollution of the Sea by Oil, 1954, most stringent] | 2011–2012 weighted average as amended in 1962 and 1969, 1954 London; the Convention on Wetlands of International Importance especially as Waterfowl Source: World Economic Forum, Executive Opinion Survey Habitat, 1971 Ramsar; the Convention Concerning the Protection of the World Cultural and Natural Heritage, 1972 Paris; the 2 .02 Enforcement of environmental regulation Convention on the Prevention of Marine Pollution by Dumping of How would you assess the enforcement of environmental Wastes and Other Matter, 1972 London, Mexico City, Moscow, regulations in your country? [1 = very lax; 7 = among the Washington; the Convention on International Trade in Endangered world’s most rigorous] | 2011–2012 weighted average Species of Wild Fauna and Flora, 1973 Washington; the International Convention for the Prevention of Pollution from Ships Source: World Economic Forum, Executive Opinion Survey (MARPOL) as modified by the Protocol of 1978, 1978 London; the Convention on the Conservation of Migratory Species of Wild 2.03 Sustainability of T&T industry development Animals, 1979 Bonn; the United Nations Convention on the Law How would you assess the effectiveness of your government’s of the Sea, 1982 Montego Bay; the Convention on the Protection efforts to ensure that the T&T sector is being developed of the Ozone Layer, 1985 Vienna; the Protocol on Substances in a sustainable way? [1 = very ineffective—development that Deplete the Ozone Layer, 1987 Montreal; the Convention on of the sector does not take into account issues related to the Control of Transboundary Movements of Hazardous Wastes environmental protection and sustainable development; 7 = and their Disposal, 1989 Basel; the International Convention very effective—issues related to environmental protection and on Oil Pollution Preparedness, Response and Co-operation, sustainable development are at the core of the government’s 1990 London; the United Nations Framework Convention on strategy] | 2011–2012 weighted average Climate Change, 1992 New York; the Convention on Biological Diversity, 1992 Rio de Janeiro; the International Convention to Source: World Economic Forum, Executive Opinion Survey Combat Desertification in Those Countries Experiencing Serious Drought and/or Desertification, particularly Africa, 1994 Paris; the 2.04 Carbon dioxide emissions Agreement relating to the Implementation of Part XI of the United Emissions, metric tons per capita | 2008 Nations Convention on the Law of the Sea of 10 December According to the World Bank, carbon dioxide emissions are those 1982, 1994 New York; the Agreement relating to the Provisions emanating from the burning of fossil fuels and the manufacture of the United Nations Convention on the Law of the Sea relating of cement. They include carbon dioxide produced during the to the Conservation and Management of Straddling Fish Stocks consumption of solid, liquid, and gas fuels and gas flaring. In and Highly Migratory Fish Stocks, 1995 New York; the Kyoto the World Development Indicators, this indicator is labeled “CO2 Protocol to the United Nations Framework Convention on the emissions (metric tons per capita).” Climate Change, Kyoto 1997; the Rotterdam Convention on the Prior Informed Consent Procedure for Certain Hazardous Source: The World Bank, World Development Indicators Chemicals and Pesticides in International Trade, 1998 Rotterdam; (September 2012 edition) the Cartagena Protocol of Biosafety to the Convention on Biological Diversity, 2000 Montreal; the Protocol on Preparedness, 2.05 Particulate matter concentration (PM10) Response and Co-operation to Pollution Incidents by Hazardous Urban population–weighted PM10 micrograms per cubic meter and Noxious Substances, 2000 London; the Stockholm | 2009 Convention on Persistent Organic Pollutants, 2001 Stockholm; Particulate matter concentrations refers to fine, suspended the International Treaty on Plant Genetic Resources for Food particulates less than 10 microns in diameter (PM10) that are and Agriculture, 2001 Rome; the International Tropical Timber capable of penetrating deep into the respiratory tract and causing Agreement, 2006 Geneva. significant health damage. Data for countries and aggregates for regions and income groups are urban population–weighted Source: The International Union for Conservation of Nature (IUCN), PM10 levels in residential areas of cities with more than 100,000 Environmental Law Centre ELIS Treaty Database residents. The estimates represent the average annual exposure level of the average urban resident to outdoor particulate matter. PILLAR 3: SAFETY AND SECURITY The state of a country’s technology and pollution control is an important determinant of particulate matter concentrations. 3.01 Business costs of crime and violence Source: The World Bank, World Development Indicators To what extent does the incidence of crime and violence (September 2012 edition) impose costs on businesses in your country? [1 = to a great extent; 7 = not at all] | 2011–2012 weighted average Source: World Economic Forum, Executive Opinion Survey 472 | The Travel & Tourism Competitiveness Report 2013 © 2013 World Economic Forum

Technical Notes and Sources 3 .02 Reliability of police services PILLAR 5: PRIORITIZATION OF TRAVEL & TOURISM To what extent can police services be relied upon to enforce law and order in your country? [1 = cannot be relied upon at 5 .01 Government prioritization of the T&T industry all; 7 = can be completely relied upon] | 2011–2012 weighted How much of a priority is the development of the T&T industry average for the government of your country? [1 = not a priority at all; 7 = a top priority] | 2011–2012 weighted average Source: World Economic Forum, Executive Opinion Survey Source: World Economic Forum, Executive Opinion Survey 3.03 Road traffic accidents Estimated deaths due to road traffic accidents per 100,000 5 .02 T&T government expenditure population | 2007 T&T government expenditure as a percentage of total This indicator is estimated using fatal road traffic injury data. government budget | 2011 This measure includes expenditures (transfers or subsidies) made Source: World Health Organization, World Health Statistics 2012 by government agencies to provide T&T services such as cultural (e.g., art museums), recreational (e.g., national parks), clearance 3 .04 Business costs of terrorism (e.g., immigration/customs), and so on to visitors. To what extent does the threat of terrorism impose costs on businesses in your country? [1 = to a great extent; 7 = not at Source: World Travel & Tourism Council, Tourism Satellite all] | 2011–2012 weighted average Accounting Research 2012 Source: World Economic Forum, Executive Opinion Survey 5 .03 Effectiveness of marketing and branding to attract tourists How would you assess the effectiveness of your country’s PILLAR 4: HEALTH AND HYGIENE marketing and branding campaigns to attract tourists? [1 = very ineffective; 7 = very effective] | 2011–2012 weighted average 4 .01 Physician density Physician density per 1,000 population | 2009 Source: World Economic Forum, Executive Opinion Survey This variable measures the number of physicians in the country per 1,000 population. The World Bank defines physicians as 5.04 Comprehensiveness of annual T&T data graduates of any faculty of medicine who are working in the Number of data available [0 = no data; 120 = all selected country in any medical field (practice, teaching, research). indicators are available] | 2012 This indicator shows how many of the yearly data provided Source: World Health Organization, World Health Statistics 2012 by national administrations, on 30 different concepts from the UNWTO Compendium of Tourism Statistics, are available. It 4 .02 Access to improved sanitation covers the 2007 through 2010 period. The scores range from a Access to adequate sanitation as a percentage of total minimum of 0 to a maximum of 120, where 120 can be obtained population | 2010 by a country providing data for all the 30 concepts in all of the This variable refers to the percentage of the population with four years taken into consideration. at least adequate access to excreta disposal facilities that can effectively prevent human, animal, and insect contact with excreta. Source: World Tourism Organization Improved facilities range from simple but protected pit latrines to flush toilets with a sewerage connection. To be effective, facilities 5 .05 Timeliness of providing monthly/quarterly T&T data must be correctly constructed and properly maintained. Number of latest data available [0 = no data; 18 = data reported for all the periods considered] | 2012 Source: World Health Organization, World Health Statistics 2012 This variable shows the availability of two key T&T indicators (international tourist arrivals and tourism receipts) on a monthly 4.03 Access to improved drinking water or quarterly basis, covering the period from October 2011 to Access to safe drinking water as a percentage of total September 2012. The UNWTO has calculated the score of each population | 2010 country based on the data included in the October 2012 issue This indicator refers to the percentage of the population with of the UNWTO World Tourism Barometer by adding the number reasonable access to an adequate amount of water from an of months for which data on the international tourist arrivals are improved source, such as a household connection, public available to the number of months for which data on international standpipe, borehole, protected well or spring, or rainwater tourism receipts are available. Half weight has been applied to the collection. Unimproved sources include vendors, tanker trucks, lower of the two scores, so the scores range from a minimum of and unprotected wells and springs. Reasonable access is defined 0 to a maximum of 18 (the maximum number of period counts a as the availability of at least 20 liters a person a day from a source country can get is 12 for one measure and 6 for the other). within one kilometer of the dwelling. Source: World Tourism Organization Source: World Health Organization, World Health Statistics 2012 PILLAR 6: AIR TRANSPORT INFRASTRUCTURE 4 .04 Hospital beds Hospital beds per 10,000 population | 2009 6 .01 Quality of air transport infrastructure Hospital beds includes inpatient beds available in public, private, How would you assess air transport infrastructure in your general, and specialized hospitals and rehabilitation centers. In country? [1 = extremely underdeveloped; 7 = extensive and most cases, beds for both acute and chronic care are included. efficient by international standards] | 2011–2012 weighted average Source: The World Bank, World Development Indicators (September 2012 edition) Source: World Economic Forum, Executive Opinion Survey © 2013 World Economic Forum The Travel & Tourism Competitiveness Report 2013 | 473

Technical Notes and Sources 6 .02 Available seat kilometers, domestic 7.03 Quality of port infrastructure Scheduled available domestic seat kilometers per week How would you assess port facilities in your country? * For originating in country (in millions) | 2011 landlocked countries, how accessible are port facilities? [1 = This variable measures an airline’s passenger-carrying capacity; it extremely underdeveloped; 7 = well developed and efficient by is composed of the number of seats available on each domestic international standards] | 2011–2012 weighted average flight multiplied by the flight distance in kilometers. The resulting variable is an average of the total for all scheduled flights in a Source: World Economic Forum, Executive Opinion Survey week during January 2011 (winter schedule) and July 2011 (summer schedule). 7.04 Quality of ground transport network To what extent does your national ground transport network Source: International Air Transport Association, SRS Analyser (buses, trains, trucks, taxis, etc.) offer efficient transportation within your country? [1 = not at all; 7 = extremely well] | 2011– 6 .03 Available seat kilometers, international 2012 weighted average Scheduled available international seat kilometers per week originating in country (in millions) | 2011 Source: World Economic Forum, Executive Opinion Survey This variable measures an airline’s passenger-carrying capacity; it is composed of the number of seats available on each 7.05 Road density international flight multiplied by the flight distance in kilometers. Kilometers of road per 100 square kilometers of land | 2009 The resulting variable is an average of the total for all scheduled flights in a week during January 2011 (winter schedule) and July Source: The World Bank, World Development Indicators 2011 (summer schedule). (September 2012 edition) Source: International Air Transport Association, SRS Analyser PILLAR 8: TOURISM INFRASTRUCTURE 6.04 Departures per 1,000 population 8.01 Hotel rooms Number of departures per 1,000 population | 2010 Number of hotel rooms per 100 population | 2011 Aircraft departures are the number of domestic and international take-offs of air carriers registered in the country. Source: World Tourism Organization Source: Booz & Company, based on World Bank data 8.02 Presence of major car rental companies Index of presence of major car rental companies [1 = no 6.05 Airport density company is present; 7 = all the 7 considered companies are Number of airports with at least one scheduled flight per million present] | 2012 population | 2011 This indicator measures the presence of seven major car rental companies: Avis, Budget, Europcar, Hertz, National Car Rental, Source: International Air Transport Association, SRS Analyser Sixt, and Thrifty. For each country we count how many of these companies operate via an online research. 6.06 Number of operating airlines Number of airlines with scheduled flights originating in country | Sources: Individual rental car websites, online research January 2011 – July 2011 average Number of airlines with scheduled flights originating in country. 8 .03 ATMs accepting Visa cards Number of automated teller machines (ATMs) accepting Visa Source: International Air Transport Association, SRS Analyser credit cards per million population | 2012 6 .07 International air transport network Source: Visa To what extent does the air transport network in your country provide connections to the overseas markets offering the PILLAR 9: ICT INFRASTRUCTURE greatest potential to your country’s businesses? [1 = not at all; 7 = extremely well] | 2011–2012 weighted average 9 .01 ICT use for business-to-business transactions To what extent do businesses in your country use ICTs for Source: World Economic Forum, Executive Opinion Survey communicating and carrying out transactions with other businesses? [1 = not at all; 7 = extensively] | 2011–2012 PILLAR 7: GROUND TRANSPORT weighted average INFRASTRUCTURE Source: World Economic Forum, Executive Opinion Survey 7 .01 Quality of roads How would you assess roads in your country? [1 = extremely 9.02 Internet use for business-to-consumer transactions underdeveloped; 7 = extensive and efficient by international To what extent do businesses in your country use the Internet standards] | 2011–2012 weighted average for selling their goods and services to consumers? [1 = not at all; 7 = extensively] | 2011–2012 weighted average Source: World Economic Forum, Executive Opinion Survey Source: World Economic Forum, Executive Opinion Survey 7 .02 Quality of railroad infrastructure How would you assess the railroad system in your country? 9 .03 Individual using internet [1 = extremely underdeveloped; 7 = extensive and efficient by Percentage of individuals using the Internet | 2011 international standards] | 2011–2012 weighted average Internet users refers to people using the Internet from any device (including mobile phones) in the last 12 months. Data are based Source: World Economic Forum, Executive Opinion Survey on surveys generally carried out by national statistical offices or estimated based on the number of Internet subscriptions. Source: International Telecommunication Union, World Telecommunication Indicators 2012, December update 474 | The Travel & Tourism Competitiveness Report 2013 © 2013 World Economic Forum

Technical Notes and Sources 9.04 Fixed telephone lines PILLAR 10: PRICE COMPETITIVENESS IN THE T&T INDUSTRY Number of active fixed telephone lines per 100 population | 2011 1 0.01 Ticket taxes and airport charges A fixed telephone line is an active line connecting the subscriber’s Index of relative cost of access (ticket taxes and airport terminal equipment to the public switched telephone network charges) to international air transport services | [0 = highest (PSTN) and that has a dedicated port in the telephone exchange cost; 100 = lowest cost] | 2012 equipment. Active lines are those that have registered an activity This index measures the relative cost of access to international in the past three months. air transport services based on the level of airport charges, passenger ticket taxes, and value-added taxation. It reflects the Source: International Telecommunication Union, World costs associated with a narrow-body and a wide-body passenger Telecommunication Indicators 2012, December update plane arrival and departure at the major international airports in each country. Charges include landing, terminal navigation, 9 .05 Broadband Internet subscribers and passenger and security charges as listed in the IATA Airport and Air Navigation Charges manual. Ticket taxes applicable to Fixed broadband Internet subscriptions per 100 population | international travel were applied as described in the IATA List 2011 of Ticket and Airport Taxes and Fees manual. Per-passenger This refers to total fixed (wired) broadband Internet subscriptions charges were calculated by applying a 75 percent load factor to a (that is, subscriptions to high-speed access to the public typical seating configuration of each type of aircraft. Value-added Internet—a TCP/IP connection—at downstream speeds equal to taxes (VATs) were calculated based on an average ticket price or greater than 256 kb/s). for each country, applied to half of the departing passengers, because the VAT is normally charged only on itineraries originating Source: International Telecommunication Union, World in the country concerned. A higher score indicates a lower level of Telecommunication Indicators 2012, December update charges and taxes. 9.06 Mobile telephone subscriptions Source: International Air Transport Association, SRS Analyser Number of mobile telephone subscriptions per 100 population 1 0.02 Purchasing power parity | 2011 Ratio of purchasing power parity (PPP) conversion factor to A mobile telephone subscription refers to a subscription to a official exchange rate | 2011 public mobile telephone service that provides access to the public The World Bank defines the purchasing power parity (PPP) switched telephone network (PSTN) using cellular technology, conversion factor as the number of units of a country’s currency including the number of pre-paid SIM cards active during the required to buy the same amount of goods and services in the past three months. This includes both analog and digital cellular domestic market as a US dollar would buy in the United States. systems (IMT-2000, Third Generation, 3G) and 4G subscriptions, Official exchange rate refers to the exchange rate determined but excludes mobile broadband subscriptions via data cards by national authorities or to the rate determined in the legally or USB modems. Subscriptions to public mobile data services, sanctioned exchange market. It is calculated as an annual private trunked mobile radio, telepoint or radio paging, and average based on monthly averages (local currency units relative telemetry services are also excluded. It includes all mobile cellular to the US dollar). The variable shown is the PPP conversion factor subscriptions that offer voice communications. to market exchange rate ratio as reported by the World Bank’s World Development Indicator database. Source: International Telecommunication Union, World Telecommunication Indicators 2012, December update Source: The World Bank, World Development Indicators (September 2012 edition) 9.07 Mobile broadband subscriptions 1 0.03 Extent and effect of taxation Mobile broadband subscriptions per 100 population | 2011 What impact does the level of taxes in your country have on Mobile broadband subscriptions refers to active SIM cards incentives to work or invest? [1 = significantly limits incentives or, on CDMA networks, connections accessing the Internet to work or invest; 7 = has no impact on incentives to work or at consistent broadband speeds of over 512 kb/s, including invest] | 2011–2012 weighted average cellular technologies such as HSPA, EV-DO, and above. This includes connections being used in any type of device able to Source: World Economic Forum, Executive Opinion Survey access mobile broadband networks, including smartphones, USB modems, mobile hotspots, and other mobile-broadband 1 0.04 Fuel price levels connected devices. Retail diesel fuel prices, US cents per liter | 2010 According to the World Bank, this variable refers to the pump Source: International Telecommunication Union, World prices of the most widely sold grade diesel fuel. Telecommunication Indicators 2012, December update Source: The World Bank, World Development Indicators (September 2012 edition) 1 0.05 Hotel price index Average room rates calculated for first-class branded hotels for calendar year (in US dollars) | 2012 This index measures the average price, in US dollars, of first-class hotel accommodation in each country. The index is calculated by using the average room rate achieved by first-class hotels in each country over a 12-month period from January through December 2011, to mitigate the impact of any seasonality fluctuations. Data may refer to the 2009 or the 2007 period where the 2011 update is not available. Source: Deloitte–STR Global and Smith Travel Research Inc. © 2013 World Economic Forum The Travel & Tourism Competitiveness Report 2013 | 475

Technical Notes and Sources PILLAR 11: HUMAN RESOURCES 11.09 Business impact of HIV/AIDS How serious an impact do you consider HIV will have on 1 1.01 Primary education enrollment your company in the next five years (e.g., death, disability, Net primary education enrollment rate | 2010 medical and funeral expenses, productivity and absenteeism, The reported value corresponds to the ratio of children of official recruitment and training expenses, revenues)? [1 = a serious school age (as defined by the national education system) who are impact; 7 = no impact at all] | 2011–2012 weighted average enrolled in school to the population of the corresponding official school age. Primary education (ISCED level 1) provides children Source: World Economic Forum, Executive Opinion Survey with basic reading, writing, and mathematics skills along with an elementary understanding of such subjects as history, geography, 1 1.10 Life expectancy natural science, social science, art, and music. Life expectancy at birth in years | 2011 Life expectancy at birth indicates the number of years a newborn Sources: UNESCO Institute for Statistics; Organisation for infant would live if prevailing patterns of mortality at the time of its Economic Co-operation and Development (OECD), Education at birth were to stay the same throughout its life. a Glance 2011 Source: The World Bank, World Development Indicators 1 1.02 Secondary education enrollment (September 2012 edition) Gross secondary education enrollment rate | 2010 The reported value corresponds to the ratio of total secondary PILLAR 12: AFFINITY FOR TRAVEL & TOURISM enrollment, regardless of age, to the population of the age group that officially corresponds to the secondary education 12.01 Tourism openness level. Secondary education (ISCED levels 2 and 3) completes Tourism expenditure and receipts as a percentage of GDP | the provision of basic education that began at the primary 2011 level, and aims to lay the foundations for lifelong learning and This variable is the ratio of the sum of international tourism human development by offering more subject- or skills-oriented expenditures and receipts to GDP. International tourism instruction using more specialized teachers. expenditures are expenditures of international outbound visitors in other countries, including payments to foreign carriers Source: UNESCO Institute for Statistics for international transport. International tourism receipts are expenditures of international inbound visitors in other countries, 1 1.03 Quality of the educational system including payments to foreign carriers for international transport. How well does the educational system in your country meet the needs of a competitive economy? [1 = not well at all; 7 = very Sources: World Tourism Organization; International Monetary well] | 2011–2012 weighted average Fund, World Economic Outlook, 2012 Source: World Economic Forum, Executive Opinion Survey 12.02 Attitude of population toward foreign visitors How welcome are foreign visitors in your country? [1 = very 1 1.04 Local availability of specialized research and training unwelcome; 7 = very welcome] | 2011–2012 weighted average services In your country, to what extent are high-quality, specialized Source: World Economic Forum, Executive Opinion Survey training services available? [1 = not at all available; 7 = widely available] | 2011–2012 weighted average 1 2.03 Extension of business trips recommended When senior executives visit your country for the first time for Source: World Economic Forum, Executive Opinion Survey business purposes, how likely are you to recommend extending their trip for leisure purposes? [1 = very unlikely; 7 = very likely] 1 1.05 Extent of staff training | 2011–2012 weighted average To what extent do companies in your country invest in training and employee development? [1 = hardly at all; 7 = to a great Source: World Economic Forum, Executive Opinion Survey extent] | 2011–2012 weighted average 12.04 Degree of customer orientation Source: World Economic Forum, Executive Opinion Survey How well do companies in your country treat customers? [1 = generally treat their customers badly; 7 = are highly responsive 1 1.06 Hiring and firing practices to customers and seek customer retention] | 2011–2012 How would you characterize the hiring and firing of workers weighted average in your country? [1 = impeded by regulations; 7 = flexibly determined by employers] | 2011–2012 weighted average Source: World Economic Forum, Executive Opinion Survey Source: World Economic Forum, Executive Opinion Survey PILLAR 13: NATURAL RESOURCES 1 1.07 Ease of hiring foreign labor 1 3.01 Number of World Heritage natural sites To what extent does labor regulation in your country limit the Number of World Heritage natural sites in the country | 2012 ability to hire foreign labor? [1 = very much limits hiring foreign The World Heritage natural sites are those properties that the labor; 7 = does not limit hiring foreign labor at all] | 2011–2012 World Heritage Committee considers as having outstanding weighted average universal value. Source: World Economic Forum, Executive Opinion Survey Source: UNESCO World Heritage List, available at http://whc. unesco.org/en/list/ 11.08 HIV prevalence HIV prevalence as a percentage of adults aged 15–49 years | 1 3.02 Quality of the natural environment 2009 How would you assess the quality of the natural environment in HIV prevalence refers to the number of infections at a particular your country? [1 = extremely poor; 7 = among the world’s most point in time, no matter when infection occurred. pristine] | 2011–2012 weighted average Sources: The World Bank, World Development Indicators (April Source: World Economic Forum, Executive Opinion Survey 2012 edition); UNAIDS, Global Report on the Global AIDS Epidemic (2008 edition) 476 | The Travel & Tourism Competitiveness Report 2013 © 2013 World Economic Forum

Technical Notes and Sources 13.03 Total known species PILLAR 14: CULTURAL RESOURCES Total known species (mammals, birds, amphibians) in the 14.01 Number of World Heritage cultural sites country | 2012 Number of World Heritage cultural sites and Oral & Intangible This variable measures the total known species of mammals, Heritage | 2012 birds, and amphibians. The World Heritage cultural sites are those properties that the World Heritage Committee considers as having outstanding Source: The International Union for Conservation of Nature (IUCN), universal value. Intangible Cultural Heritage are those practices, Red List Threatened Species 2012 representations, expressions, knowledge, skills—as well as the instruments, objects, artifacts, and cultural spaces associated 1 3.04 Terrestrial biome protection therewith—that communities, groups, and, in some cases, individuals recognize as part of their cultural heritage. This This is a measure of the degree to which a country achieves intangible cultural heritage, transmitted from generation to the target of protecting 17 percent of each terrestrial biome generation, is constantly recreated by communities and groups within its borders. Therefore it is expressed as the average of in response to their environment and their interaction with nature the percentage of land protected by biome. It ranges between and their history, and provides them with a sense of identity and 0 and 17 percent. | 2010 continuity, thus promoting respect for cultural diversity and human This indicator is calculated by Columbia University’s Center for creativity. International Earth Science Information Network (CIESIN) by overlaying the protected area mask on terrestrial biome data Source: UNESCO World Heritage List, available at http://whc. developed by the World Wildlife Fund (WWF)’s Terrestrial Eco- unesco.org/en/list/ and http://www.unesco.org/culture/ich/index. Regions of the World for each country. A biome is defined as a php?lg=en&pg=00011 major regional or global biotic community, such as a grassland or desert, characterized chiefly by the dominant forms of plant 1 4.02 Sports stadiums life and the prevailing climate. Scores are capped at 17 percent Sports stadium capacity per million population | 2011 per biome such that higher levels of protection of some biomes This variable is calculated as the ratio of total seats for all major cannot be used to offset lower levels of protection of other sports stadiums in the country to the total population (in millions). biomes, hence the maximum level of protection a country can achieve is 17 percent. CIESIN uses time series of the World Source: Booz & Company, based on Worldstadiums.com Database on Protected Areas (WDPA) developed by the United Nations Environment Programme (UNEP) World Conservation 14.03 Number of international fairs and exhibitions Monitoring Centre (WCMC) in 2011, which provides a spatial time Number of international fairs and exhibitions held in the country series of protected area coverage from 1990 to 2010. The WCMC annually | 2009–11 average considers all nationally designated protected areas whose location This variable measures the average number of international fairs and extent is known. Boundaries were defined by polygons and exhibitions held annually in each country between 2009 and where available; where they were not available, protected-area 2011. Data on international fairs and exhibitions were obtained centroids were buffered to create a circle in accordance with the from the International Congress and Convention Association protected area size. The WCMC removed all overlaps between (ICCA), which includes meetings organized by international different protected areas by dissolving the boundaries to create a associations attended by at least 50 participants that take place protected areas mask. on a regular basis (one-time events are not included) and rotate between a minimum of three countries. Source: Yale University-CIESIN, Environmental Performance Index 2012, based on UNEP World Conservation Monitoring Centre Source: International Congress and Convention Association 1 3.05 Marine protected areas 1 4.04 Creative industries exports Exports of creative industries products as a share of world total Percentage of each country’s exclusive economic zone (EEZ, in such exports. | 2011 0–200 nautical miles) that is under protection by a marine This variable measures the share of the world’s total exports protected area (MPA) | 2010 of the following creative industries products: art crafts such The January 2011 version of the World Database on Protected as carpets, celebration articles, paperware, wickerware, yarn, Areas was used by the UNEP World Conservation Monitoring other; films; architecture, fashion, glassware, jewelry; music; Centre for a spatial time series analysis of protected area books, newspapers and other; antiques, paintings, photography, coverage from 1990 to 2010. WCMC considered all nationally sculpture, and other. Data were obtained from the UNCTAD’s designated protected areas whose location and extent is known. Creative Industries database and HS 2002 codes were used. They used polygons where available, otherwise they used buffered points. WCMC removed all overlaps between different Source: United Nations Conference on Trade and Development designations and categories, buffered points and polygons, and (UNCTAD), Creative industry database, Creative Economy Report dissolved the boundaries so as to create a protected areas mask. 2012 The time series was generated based on the date of gazetting of the protected areas. Dated and undated protected areas were used; protected areas with unknown year of establishment were assumed to have been established before 1990. A logarithmic transformation is applied to the scores in order to spread the data distribution. Landlocked countries are excluded in the calculation of this indicator. Source: Yale University-CIESIN, Environmental Performance Index 2012, based on IUCN and UNEP-WCMC The World Database on Protected Areas (WDPA) © 2013 World Economic Forum The Travel & Tourism Competitiveness Report 2013 | 477

© 2013 World Economic Forum

About the Authors Jennifer Blanke Roberto Crotti Jennifer Blanke is Chief Economist and Head of the Global Roberto Crotti is a Quantitative Economist and Manager Competitiveness and Benchmarking Network at the World with the Global Competitiveness and Benchmarking Economic Forum. Since joining the team in 2002, she Network at the World Economic Forum. His responsibilities has written and lectured extensively on issues related include the computation of a range of indexes as well as to national competitiveness and has edited a number of data analysis for various projects and studies. His main competitiveness reports, with a particular regional focus areas of expertise are quantitative research, forecasting, on Western Europe and sub-Saharan Africa. From 1998 macroeconomics, and public economics. Prior to joining the to 2002, she was Senior Programme Manager responsible Forum, he worked as an Analyst in the private consulting for developing the business, management, and technology and forecasting sector. Mr Crotti holds an undergraduate section of the World Economic Forum’s Annual Meeting degree in Economics/Economic Policy from Università in Davos. Before joining the Forum, Dr Blanke worked Cattolica del Sacro Cuore in Milan, Italy, and an MA in for a number of years as a management consultant for Economics from Boston University in the United States. Eurogroup, Mazars Group in Paris, France, where she specialized in banking and financial market organization. Terry Delacy Dr Blanke obtained a BA in International Relations from Terry Delacy is a Professor in Sustainable Tourism and Hamilton College, a Master in International Affairs from Environmental Policy at Victoria University, Melbourne, Columbia University, and an MA and a PhD in International Australia. He was previously Director of the Australian Economics from the Graduate Institute of International government’s established, national Sustainable Tourism Co- Studies (Geneva). operative Research Centre. Dr Delacy’s research area is in environmental policy specializing in sustainable tourism, Thea Chiesa most recently focusing on climate change and destinations Thea Chiesa is Director and Head of Aviation & Travel in the emerging green economy. He recently led projects Services at the World Economic Forum. She has a in Bali on developing a green growth 2050 roadmap and background in business development and strategic is currently leading projects in the Pacific on developing planning in the aerospace/telecom industry, having spent vulnerability/resilience frameworks for the tourism sector to nine years working with Telespazio as part of both Telecom adapt to climate change. Italia and Finmeccanica. She was part of the founding team of TVFiles SpA, an Italian telecommunications Dirk Glaesser startup offering satellite broadband services to the media, Dirk Glaesser joined the World Tourism Organization pharmaceutical, and 3G industries, where she held the (UNWTO) in 1997 as Sales and Marketing Representative. role of business development and was responsible for the He was appointed Chief of Publications in 2001 and, in relations with the European Union and the European Space addition, Chief, Risk and Crisis Management in 2007. Agency. At the Forum, she has developed an expertise Since 2007, he has supervised the UNWTO Consulting in the Travel & Tourism industry, having headed the Unit on Biodiversity and Tourism. Dr Glaesser has authored community for eleven years. Coupled with her background several publications, which have been widely translated. He in advanced communications systems, Ms Chiesa has received a PhD from the University of Lüneburg (Germany) developed a passion for the Travel & Tourism industry and and was awarded in 2001 the International Tourism has experience analyzing consumer trends. She is currently Exchange’s (ITB) scientific prize for his work on crisis working with key government and industry leaders in management. developing strategies and implementing innovative projects in the fields of T&T competitiveness, the future of travel and transportation industries, trade related to the transportation industry, and managing transportation risk. Ms Chiesa has a BSc in Management from Boston College and a Master in International Relations from Boston University. She is an alumna of the World Economic Forum’s Global Leadership Fellows Programme. © 2013 World Economic Forum The Travel & Tourism Competitiveness Report 2013 | 479

About the Authors John Kester Jürgen Ringbeck John Kester is Manager of the Market Trends and Jürgen Ringbeck is a senior Partner at Booz & Company, Marketing Strategies Programme at the World Tourism based in Düsseldorf. Dr Ringbeck is a well-recognized Organization (UNWTO, www.unwto.org), a specialized international expert working with leading industry players agency of the United Nations, in Madrid, Spain. He started such as airlines, tour operators, and railways as well as his career in the UNWTO Secretariat in January 1997 governments mainly in Europe, the Middle East, and and, since August 2006, he has been supervising the Asia. Since 2002, he has acted as a senior adviser to the team that carries out the activities with regard to short- World Economic Forum and leads the work of Booz & term and long-term trends in tourism and forecasting, Company as a strategic partner of the Forum’s Aviation, marketing, promotional techniques, and competiveness. Travel & Tourism group. Dr Ringbeck holds a diploma in Since its inception in 2003, he has been involved in the Mathematics from the University of Münster, Germany, development and compilation of the UNWTO World and he obtained a PhD in Economics from the University Tourism Barometer, a publication aimed at monitoring the of Osnabrück, Germany. Dr Ringbeck started his career short-term evolution of tourism. He has been in charge as an Assistant/Guest Professor in Management Science of the update of the long-term forecast Tourism Towards at the University of Toronto, Canada, and the University of 2030. On behalf of the UNWTO, he has participated in Osnabrück, Germany. From 1988 until 2001 he worked as the development of the Travel & Tourism Competitiveness a Strategy Consultant/Partner at McKinsey & Company. Index of the World Economic Forum since the first Travel & Dr Ringbeck is the author of numerous publications in the Tourism Competitiveness Report in 2007. Mr Kester holds a areas of management science, strategy, and operational Master in Social Science from the University of Leiden (the management, and has received several international awards Netherlands). for his academic work. Geoffrey Lipman Zachary Sears Geoffrey Lipman is Director of Greenearth.travel and Zachary Sears is a Senior Economist at Oxford Economics Gatetrip.com, former Assistant Secretary General of the in the Tourism Economics Division. He performs a broad UNWTO, former President of WTTC, and former Executive range of industry analysis, econometric modeling, input- Director of IATA. He is a Visiting Professor at Victoria output impact modeling, and report drafting, and also University, Melbourne, Australia, and at Oxford Brookes provides consulting services to public- and private-sector University in the United Kingdom. He is a member of clients. Prior to joining Oxford Economics, he was an the World Economic Forum’s Global Agenda Council on Economist and Regional Analyst at Moody’s Analytics. New Models of Travel & Tourism. Professor Lipman has Mr Sears holds a BA in Justice from American University lectured around the world and written widely on aviation, in Washington, DC; an MA in International Relations from tourism, and travel-related issues. He is a co-author of Saint Mary’s University in San Antonio, Texas; and an MS in Green Growth and Travelism: Letters from Leaders. He is a Community Development and Applied Economics from the creative and out-of-the-box thinker committed to the cause University of Vermont. of sustainable mobility and green growth. Rochelle Turner Julie Perovic Rochelle Turner joined the World Travel & Tourism Council Julie Perovic is a Senior Economist at the International (WTTC) as Research Manager in September 2012. Her Air Transport Association (IATA), with over six years of responsibilities include planning and conducting policy and experience in economic analysis and modeling. Within economic research studies that feed recommendations the Chief Economist Department, she is responsible for to governments as well as managing the relationship with analysis and evaluation of air transport markets, including WTTC’s economic research partner, Oxford Economics. Ms the suite of IATA Economics publications on airline industry Turner has a background in consumer and market research performance. Previously she worked as a consultant on a and has conducted research in or for the travel industry for variety of assignments, including macroeconomic strategy nearly 15 years. Prior to joining WTTC, Ms Turner was the development in emerging Asia, valuing economic benefits of Head of Travel Research at Which?, the United Kingdom’s transport safety in the Middle East, and a host of transport consumer organization. She holds a BA in Anthropology and infrastructure economic assessments in Australia. Ms and Economics from the University of Manitoba, Canada, Perovic received a BBA in Economics from the University and an MSc in Tourism Management from the University of of Louisiana and an MA in Economics from Wichita State Surrey in the United Kingdom. University (both in the United States). Paul A Whitelaw Timm Pietsch Paul A Whitelaw is a Senior Lecturer at the College of Timm Pietsch is a Senior Research Analyst of Booz & Business at Victoria University and the Centre for Tourism Company, based in Düsseldorf, and a member of the and Services Research, where he lectures in quantitative company’s global transportation group. As such, Dr Pietsch and computer-based hospitality management systems focuses on market assessments, competitive intelligence, in undergraduate and postgraduate programs. Prior to and trend analysis on an international basis. His main areas this appointment, Mr Whitelaw was Foundation Executive of expertise include Travel & Tourism and passenger and Director of the Centre for Hospitality and Tourism Research, freight transport across aviation, railways, and infrastructure also at Victoria University. Before joining academe in 1991, sectors in European and Middle East geographies. Prior to he enjoyed nearly 15 years of experience in various line and joining Booz & Company in 2005, he worked as a journalist executive positions in the tourism and hospitality industry. concentrating on passenger rail markets. Dr Pietsch holds He spent his childhood actively exposed to his family’s an MA and a PhD from Düsseldorf University, Germany. hotel, restaurant, and motel business interests. 480 | The Travel & Tourism Competitiveness Report 2013 © 2013 World Economic Forum

The World Economic Forum would like to thank the following organizations for their invaluable support of this Report. Airbus is a leading aircraft manufacturer with the most modern and comprehensive family of airliners on the market, ranging in capacity from 107 to 525 seats. Over 9,800 Airbus aircraft have been sold to more than 400 customers and operators worldwide and more than 6,400 of these have been delivered since the company first entered the market in the early seventies. As an eco- efficient enterprise Airbus provides leadership by delivering responsible solutions for a demanding world, so the aviation sector can continue to prosper with less impact on the environment. Airbus is an EADS company. BAE Systems is a global defence, aerospace and security company with approximately 93,500 employees worldwide and a primary focus on five home markets: the US, the UK, Kingdom of Saudi Arabia, Australia and India. The company delivers a full range of products and services for air, land and naval forces, as well as advanced electronics, security, information technology solutions and customer support services. In 2011, it reported sales of US$ 30.7 billion. The Bahrain Economic Development Board (EDB) is a dynamic public agency with overall responsibility for attracting inward investment into Bahrain, and is focusing on target economic sectors in which the Kingdom offers significant strengths. Key areas include manufacturing, ICT, and logistics and transport services. The financial services sector in Bahrain is particularly strong and the EDB supports in the continuing growth of the banking industry and key sub-sectors, including Islamic finance, wealth management, asset management, insurance and re-insurance. Bombardier is the world’s only manufacturer of both planes and trains. Looking far ahead while delivering today, it is evolving mobility worldwide by answering the call for more efficient, sustainable and enjoyable transportation everywhere. Bombardier is headquartered in Montreal, Canada. Its shares are traded on the Toronto Stock Exchange (BBD) and it is listed on the Dow Jones Sustainability World and North America indexes. In the fiscal year ended 31 December 2011, it posted revenues of US$ 18.3 billion. Booz & Company is a leading global management consulting firm, helping the world’s top businesses, governments and organizations. The founder, Edwin Booz, defined the profession when he established the first management consulting firm in 1914. Today, with more than 3,300 people in 60 offices around the world, the company brings foresight and knowledge, deep functional expertise and a practical approach to building capabilities and delivering real impact. Booz & Company works closely with its clients to create and deliver essential advantage. The independent White Space report ranked Booz & Company number one among consulting firms for “the best thought leadership” in 2011. © 2013 World Economic Forum The Travel & Tourism Competitiveness Report 2013 | 481

Acknowledgments Delta Air Lines serves more than 160 million customers each year on its industry-leading global network, with service to 319 destinations in 59 countries on six continents. Headquartered in Atlanta, Delta employs 80,000 employees worldwide and operates a mainline fleet of more than 700 aircraft. Embraer S.A. (NYSE: ERJ; BM&FBOVESPA: EMBR3) is the world’s largest manufacturer of commercial jets up to 120 seats, and one of Brazil’s leading exporters. Embraer’s headquarters are located in São José dos Campos, São Paulo, and it has offices, industrial operations and customer service facilities in Brazil, China, France, Portugal, Singapore, and the U.S. Founded in 1969, the Company designs, develops, manufactures and sells aircraft and systems for the commercial aviation, executive aviation, and defense and security segments. It also provides after sales support and services to customers worldwide. For more information, please visit www. embraer.com.br. Etihad Airways, the national airline of the United Arab Emirates, based in its capital, Abu Dhabi, made its first commercial flight in November 2003. Since then, the airline has grown faster than any other in commercial aviation history, currently serving 67 destinations in Africa, Asia, Australia, Europe, the Middle East and North America with a young and environmentally-efficient fleet of 57 aircraft. Etihad offers the highest standards of service and comfort on the ground and in the air with world-class cuisine, award-winning flat-beds in its premium cabins and the widest seats in economy, as well as more than 600 hours of on-demand in-flight entertainment. Its product and service portfolio has earned global acknowledgement and numerous awards including recognition as the world’s leading airline at the World Travel Awards for two consecutive years. Aligned with the Emirate of Abu Dhabi’s 2030 Plan, the airline plays a definitive role in the economic development of the emirate, in 2010, contributing USD 5.5 billion to its non-oil GDP and helping to generate and support a total of 93,200 jobs across the UAE. Etihad Airways has set its sights on flying 25 million passengers a year to at least 100 destinations by 2020. Hilton Worldwide is a leading global hospitality company, spanning the lodging sector from luxurious full-service hotels and resorts to extended-stay suites and mid-priced hotels. For 93 years, Hilton Worldwide has offered business and leisure travelers the finest in accommodations, service, amenities and value. The company is dedicated to continuing its tradition of providing exceptional guest experiences across its global brands. Its brands are comprised of more than 3,900 hotels and timeshare properties, with 650,000 rooms in 90 countries and territories and include Waldorf Astoria Hotels & Resorts, Conrad Hotels & Resorts, Hilton Hotels & Resorts, DoubleTree by Hilton, Embassy Suites Hotels, Hilton Garden Inn, Hampton Hotels, Homewood Suites by Hilton, Home2 Suites by Hilton and Hilton Grand Vacations. The company also manages the world-class guest reward program Hilton HHonors®. The International Air Transport Association (IATA), founded in April 1945, is the prime vehicle for inter-airline cooperation in promoting safe, reliable, secure, and economical air services. Today IATA represents 230 airlines comprising 93 percent of international scheduled air traffic. IUCN, International Union for Conservation of Nature, helps the world find pragmatic solutions to our most pressing environment and development challenges. IUCN works on biodiversity, climate change, energy, human livelihoods and greening the world economy by supporting scientific research, managing field projects all over the world, and bringing governments, NGOs, the UN and companies together to develop policy, laws and best practice. IUCN is the world’s oldest and largest global environmental organization, with more than 1,000 government and NGO members and almost 11,000 volunteer experts in some 160 countries. IUCN’s work is supported by over 1,000 staff in 60 offices and hundreds of partners in public, NGO and private sectors around the world. 482 | The Travel & Tourism Competitiveness Report 2013 © 2013 World Economic Forum

Acknowledgments Jet Airways is India’s premier international airline. One of the fastest growing airlines in the world, it currently flies to 47 domestic and 24 international destinations across North America, Europe, Asia, Africa and the Gulf. Jet Airways’ current fleet of 97 state-of-the-art wide and narrow bodied aircraft is also one of the youngest in the world, and includes 10 Boeing 777-300 ER aircraft, 12 Airbus 330-200 aircraft, 55 next-generation Boeing 737-700/800/900 aircraft and 20 modern ATR 72-500 turboprop aircraft. Headquartered in Bethesda, Md., Lockheed Martin is a global security and aerospace company that employs about 120,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration, and sustainment of advanced technology systems, products, and services. The Lufthansa Group, headquartered in Germany, operates in passenger transportation (passenger airline group), logistics, MRO, catering and IT services. Lufthansa, Austrian Airlines, SWISS and Germanwings, along with stakeholdings in Brussels Airlines, JetBlue and SunExpress, are engaged in the passenger transportation business. In 2011, the Lufthansa Group transported over 100 million passengers. Lufthansa, Austrian Airlines, Brussels Airlines and SWISS serve a total of 253 destinations in 103 countries on four continents via their Brussels, Frankfurt, Munich, Vienna and Zurich hubs. Marriott International, Inc. (NYSE: MAR) is a leading lodging company based in Bethesda, Maryland, USA with nearly 3,800 properties in 74 countries and territories and reported revenues of over $12 billion in fiscal year 2011. The company operates and franchises hotels and licenses vacation ownership resorts under 18 brands, including Marriott Hotels & Resorts, The Ritz- Carlton, JW Marriott, Bulgari, EDITION, Renaissance, Gaylord Hotels, Autograph Collection, AC Hotels by Marriott, Courtyard, Fairfield Inn & Suites, SpringHill Suites, Residence Inn, TownePlace Suites, Marriott Executive Apartments, Marriott Vacation Club, Grand Residences by Marriott, and The Ritz-Carlton Destination Club. There are approximately 300,000 employees at headquarters, managed and franchised properties. Marriott is consistently recognized as a top employer and for its superior business operations, which it conducts based on five core values: put people first, pursue excellence, embrace change, act with integrity, and serve our world. For more information or reservations, please visit our website at www.marriott.com, and for the latest company news, visit www.marriottnewscenter.com. Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defence and Security. Operating worldwide, the Safran group has more than 60,000 employees. Safran’s global presence enhances its competitiveness and allows it to build industrial and commercial relations with the world’s leading prime contractors and operators, while providing fast local service to customers everywhere. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets. Safran is listed on NYSE Euronext Paris and is part of the CAC40 index. Starwood Hotels & Resorts Worldwide, Inc. is one of the leading hotel and leisure companies in the world with 1,134 properties in nearly 100 countries and 171,000 employees at its owned and managed properties. Starwood is a fully integrated owner, operator and franchisor of hotels, resorts and residences with the following internationally renowned brands: St. Regis®, The Luxury Collection®, W®, Westin®, Le Méridien®, Sheraton®, Four Points® by Sheraton, Aloft®, and ElementSM. The Company boasts one of the industry’s leading loyalty programs, Starwood Preferred Guest (SPG), allowing members to earn and redeem points for room stays, room upgrades and flights, with no blackout dates. Starwood also owns Starwood Vacation Ownership, Inc., a premier provider of world-class vacation experiences through villa-style resorts and privileged access to Starwood brands. For more information, please visit www. starwoodhotels.com. © 2013 World Economic Forum The Travel & Tourism Competitiveness Report 2013 | 483

Acknowledgments Deutsche Lufthansa/Swiss International Air Lines serves 69 destinations in 37 countries worldwide (winter schedule 2012/13) from its Zurich hub and the Swiss international airports of Basel and Geneva with a fleet of 91 aircraft. As part of the Lufthansa Group and a member of Star Alliance, its mission is to provide quality air services that link Switzerland with Europe and the world. The World Tourism Organization (UNWTO: www.UNWTO.org), a United Nations specialized agency, is the leading international organization with the decisive and central role in promoting the development of responsible, sustainable and universally accessible tourism. It serves as a global forum for tourism policy issues and a practical source of tourism know-how. Its membership includes 154 countries, 7 territories, 2 permanent observers and over 400 Affiliate Members. A global payments technology company that connects consumers, businesses, financial institutions and governments in more than 200 countries and territories to digital currency. VisaNet, one of the world’s most advanced processing networks, is capable of handling more than 20,000 transaction messages a second, with fraud protection for consumers and guaranteed payment for merchants. Its services enable its financial institution customers to offer consumers more choices: pay now with debit, ahead of time with prepaid or later with credit product. The World Travel & Tourism Council (WTTC) is the global business leaders’ forum for Travel & Tourism. Its Members are the Chairs and Chief Executives of around 100 of the world’s foremost companies representing all regions of the world and all sectors of the industry. Travel & Tourism is one of the world’s largest industries, contributing US$5,834.5 billion to global GDP, 9.3% of the total in 2010. It also supports over 235 million jobs, and these are forecast to increase to just over 303 million by 2020. As the voice of the private sector, WTTC promotes the importance of the industry as a generator of economic growth, encourages public-private partnerships, and persuades governments to adopt policies that will enable the industry to thrive. WTTC’s extensive economic research provides public and private sector decision-makers with estimates and forecasts for the direct and total contribution of Travel & Tourism activity. The research identifies Travel & Tourism’s share of capital investment, exports, gross domestic product and jobs for 181 countries around the world. 484 | The Travel & Tourism Competitiveness Report 2013 © 2013 World Economic Forum

The fifth edition of The Travel & Tourism Competitiveness Report is released at time when the Travel & Tourism (T&T) industry is navigating through an economic outlook characterized by a fragile global recovery, high unemployment in many countries, macroeconomic tensions, and increased interconnectivity. Over the past few years, the industry has remained resilient and continues to be a critical sector worldwide, providing significant potential for economic growth and development. A growing national T&T sector contributes to employment, raises national income, and can improve a country’s balance of payments. The sector is an important driver of growth and prosperity and, particularly within developing countries, it can play a leading role in reducing poverty. The Travel & Tourism Competitiveness Report 2013 measures and analyzes the drivers of T&T competitiveness in economies around the world. Its main goal is to provide a useful tool for governments and business leaders in overcoming the obstacles to T&T competitiveness, thus allowing them to benefit fully from the sector’s development. The Report includes an analysis of the rankings of the Travel & Tourism Competitiveness Index (TTCI), which aims to measure the factors and policies that make it attractive to develop the T&T sector in 140 industrialized and emerging economies. It also features a variety of essays on key T&T issues by prominent industry thinkers. This year’s Report, published under the theme “Reducing Barriers to Economic Growth and Job Creation,” stresses the importance of addressing the many complexities that still face the industry and the difficulties that must be overcome to ensure strong sectoral growth going into the future. The topics covered in the analytical chapters explore issues such as how visa facilitation can play a relevant role in stimulating economic growth, the importance of policymakers leveraging local competitive advantages to thrive in a volatile environment, the impact of the tourism sector on employment creation, how the connectivity that the aviation sector creates sustains economic development, and the essential role of green growth in enhancing the resilience of the sector. The last part of the Report contains detailed profiles for the 140 economies covered, together with data tables for each indicator used in the Index’s computation. Written in a non-technical style, the Report appeals to a broad audience including policymakers, business leaders, and members of the academic community. As part of the series produced by the World Economic Forum’s Global Competitiveness and Benchmarking Network, the Report also brings together a range of leading experts in the field. The full version of the Report with Country/Economy Profiles and Data Tables is available at: www.weforum.org/ttcr. World Economic Forum 91–93 route de la Capite CH-1223 Cologny/Geneva Switzerland Tel.: +41 (0) 22 869 1212 Fax: +41 (0) 22 786 2744 [email protected] www.weforum.org © 2013 World Economic Forum