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Elements of Supply and Demand Three primary factors influence the level of nature and heritage tourism demand: overall tourism growth, the growth in specialty travel, and increasing awareness of and concern for the environment. Each of these factors is in turn influenced by a number of elements. The rapid growth of specialty travel is fueled by some of the same factors, but there are a number of additional explanations: the boom in outdoor recreation and the new interest in health and fitness, for example.
Tourism and GDP The tourism sector in the Latin American and Caribbean countries contributes significantly to GDP earnings, though this contribution is not reflected in the domestic income and product accounts of most countries. In the Bahamas, tourism accounts for about one-third of GDP, and most sectors of economic activity are directly or indirectly linked to it.
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In Barbados, tourism is the leading economic sector, accounting for 15 percent of the GDP in In Jamaica, the tourism contribution to GDP was Not all tourism receipts are retained within the economy. In fact, there is an outflow of foreign exchange for some of the goods and services consumed by visitors, as well as for capital goods invested in tourism and for payments abroad. These needs are also dependent on the availability of substitutes for imported products and on the qualitative level of the tourist supply in each country.
Tourist Income Multiplier and Value-Added The tourist income multiplier tim is a coefficient that expresses the amount of income generated by a unit of tourism expenditure. Value is added when a product is developed, processed, refined, or marketed in a manner that allows it to be sold at a higher price than the prices of the raw materials, services, and components bought for its production.
Countries with large domestic agricultural sectors supplying tourist consumption are well positioned to achieve higher levels of value-added in the tourism sector. It describes how income generated by the sector is distributed. The analysis can be undertaken at a spatial and at a functional level. At the spatial level, tourists prefer to travel in regions with little industrial development. They also tend toward areas of little agricultural value. For these reasons, tourism can become a dynamic force in regional economies. Within a country, tourism demand originates in urban concentrations where the highest incomes are found.
Internationally, a portion of the tourism consumption by developed countries occurs in developing countries, favoring the process of international income redistribution. At the functional level, the income generated tends to favor employment, which is estimated to contribute more to the total value-added of the industry than other factors do, because so much of tourism involves personal services. It has been estimated that, worldwide, tourism directly or indirectly supports sixty-five million jobs, including hotel managers and staff, taxi drivers, tour operators, and shop attendants, among others.
Secondary employment is generated in agriculture, industry, handicrafts, and services. Tourism compares favorably with other economic activities as a generator of both employment and income, both directly and diffused through the economy. The same investment would create only sixteen new jobs in the petroleum industry and fifteen in metallurgy. According to the CTO, the 77, hotel rooms in fifteen Caribbean countries equaled 88, jobs, or almost 1. Hotels account for about 75 percent of tourism employment distribution, transport, finance and insurance, and entertainment make up the other 25 percent.
Every room in a three- or four-star hotel in Venezuela generates one job, according to the IDB; for five-star hotels, each room creates 1. According to the OAS study, one job generated by a hotel generates one more job elsewhere in the tourism trade and two in the rest of the economy; thus one job generates an estimated three others. The tourism sector, particularly hotels, can play an important role in attracting foreign investment and providing training for nationals.
Many tourism ventures include foreign equity participation and technical knowledge about the construction and operation of hotels. The former represents a mobilization of international financial resources, which can be regarded as a desirable substitute for foreign borrowing. Outside management can be used to train large numbers of nationals who would not otherwise have access to training. Furthermore, tourism provides a stimulus for the development of other ancillary businesses catering to tourists.
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An illustration of this can be found in Mexico, where foreign companies are seeking investment opportunities in the tourism sector because it is perceived to be less sensitive to trade agreements than, for example, manufacturing. The funds are being used to develop four resorts on Margarita Island, where approximately 60 percent of all tourism projects under development are located.
Tourism activity in the Caribbean does not usually require sophisticated technology, and can absorb more personnel without skilled training than other industries. Tourism offers developing countries the possibility of diversifying their export earnings, particularly given that i traditional exports are subject to price fluctuations and ii there is a trend toward reducing the administrative, monetary, and border formalities that affect international tourism mobility.
The tourism sector has the capacity to recover foreign-currency investments in a very short period of time.
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The World Tourism Organization WTO estimates, for instance, that a medium-class beach hotel in a developing country will earn back in one year the entire foreign exchange required to build and equip it. In the case of tourist vehicles, such as buses, this period is even shorter. Import factors vary from 3 to 10 percent of total tourist receipts in Mexico, Venezuela, and Colombia. This jumps to about 30 percent in Jamaica and more than 40 to 50 percent in the smaller Caribbean islands.
Where the amount earned exceeds the amount paid to provide the product - a positive net balance of payments - tourism development merits strong consideration. The OAS estimates that to produce a unit of value of Jamaican currency in the tourism sector, 0. This figure is smaller than in any other sector except mining. By contrast, the industry sector imports 73 percent of its inputs.
Table 5 shows the contribution of the tourism attractions found in Bwejuu Village and its impact. Plate 8. Mangrove swamps attraction in Bwejuu Village. Table 5. Contribution of the tourism activities in Bwejuu Village. The study shows different actors involving in tourism activities in Bwejuu Village. Their roles and involvement are presented hereunder.
The study revealed that Government of Zanzibar is a central actor in promoting tourism sector. It plays a great role of management, coordination and supervision of tourism sector in Zanzibar in view to developing and enactment of Tourism policy, legislations and Plans. It also supports local communities to participate in tourism sector and ensure tourism benefits all people.
On the other hand, the Government plays a significant part to ensure a conducive environment for all actors involving in tourism activities. The study found that the Government participated actively in tourist hotels attraction to collect hotel levies and registration but it fails to compile and keep tourist records on tourist arrivals and receipts in the Village. The Government faces with the problems of shortage of staff at Village level to enforce laws related to tourism activities, world economic crisis, and shortage of funds for tourism marketing and promotion and poor infrastructures.
These problems limit to attract more tourists and increased government revenues. These included tourist hotels, diving and snorkeling, sailing boats as well as coral reefs and lagoons attractions. At this category of actors, it was observed that both functional participation and self-initiated mobilization were predominant. It has revealed that the main roles played by tour operators in tourism activities included transportation, booking for accommodation and catering, excursion, entertainment arrangement, as well as marketing and promotion of tourism activities.
In performing their duties, tour operators are facing the following constraints that are cancellation of booking by tourists, global economic crisis and security concerns. Travel agents are crucial actor for developing tourism sector. The study found that the travel agents involved actively in tourist hotel and mangrove swamps attractions in Bwejuu Village.
They participate in through both by consultation and for material incentive to execute their tourism activities. The roles played by travel agents in daily basis are transportation, booking and reservations, air ticketing as well as tourism marketing and promotion. In doing their roles, the study observed that travel agents encountering the challenges of competition and postponement of bookings. Tour guide was another important area of tourism sector found in this study. The study revealed that tour guides participated in the hotels, historical development of the Village settlement, seaweed farming and mangrove swamps.
Their participation was reflected in form of both information giving and consultation. In this study, it was observed that tour guides were constraint by the climatic changes and security concerns. The study revealed that Villagers and Individuals were also central actor in tourism sector in their locality. The study found that the villagers were involved in and benefited from all eight tourist attractions found in the Village. These tourist attractions included hotels, beach, seaweed farming, historical building archives, diving and snorkeling, sailing boats, coral reefs and lagoons as well as mangrove swamps.
Their participation cut across all levels from passive to self mobilization active.
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They play a great role in control, implementation, monitoring and evaluation. The study found that the villagers were faced with the challenges of education, infrastructures, culture, and poverty level. Generally, study revealed that local communities in Bwejuu Village participate in different tourist activities.
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This has contributed to employment opportunities to majority of residents. In general, the area of implementation and operationalization of tourism attractions has a great implication in improvement of the livelihood of the villagers since it provides the best room for the actors and villagers in particular, to get jobs and hence generate incomes for their participation.
The study revealed that tourism industry is of great importance to sustain community livelihoods in the settlement. The following contributions were earmarked. The study revealed that tourism attractions in Bwejuu Village have been a source of employment for local communities, both women and men of different age groups in Bwejuu Village. The study results indicate that there is. Table 6. Levels of community participation in tourism sector in Bwejuu.
This is an indication that tourist hotels attraction is cornerstone for jobs creation and earnings. This, therefore, has an implication that earnings from employment sustain livelihood of the poor because people are able to meet basic needs and relative needs. One villager said that 3 :. It was observed that some respondents spare time to send their family along the beach for relaxation and recreational activities. This implies that there is good relationship between community participation and improved livelihood since recreational activities increased day to day in the Village.
Table 7. Distribution of areas of participation in tourism attractions. Table 8.