Podcast
Questions and Answers
What is a major benefit of tourism for South Africa?
What is a major benefit of tourism for South Africa?
- Loss of foreign exchange earnings
- Diminished infrastructure development
- Increased government revenue (correct)
- Decrease in GDP growth
Which of the following is NOT a benefit of tourism for households?
Which of the following is NOT a benefit of tourism for households?
- Infrastructure for local use
- Earning income through employment
- Creation of job opportunities
- Development of personal wealth without work (correct)
What type of opportunities does tourism stimulate in the socio-economic context?
What type of opportunities does tourism stimulate in the socio-economic context?
- Market stagnation
- Economic monopoly
- Consumer dependence
- Entrepreneurship development (correct)
What role does the government play in benefiting from tourism?
What role does the government play in benefiting from tourism?
What is a characteristic of the public-private partnerships in tourism?
What is a characteristic of the public-private partnerships in tourism?
Why are taxes levied on tourists beneficial to the local community?
Why are taxes levied on tourists beneficial to the local community?
Which sector primarily provides economic services in tourism?
Which sector primarily provides economic services in tourism?
What type of educational offerings are made available to develop tourism skills?
What type of educational offerings are made available to develop tourism skills?
Flashcards
Tourism's effect on GDP
Tourism's effect on GDP
Tourism boosts a nation's GDP by increasing economic activity through spending and investment.
Foreign exchange earnings
Foreign exchange earnings
Tourism generates income from foreign visitors, which strengthens a country's currency reserves.
Tourism's effect on infrastructure
Tourism's effect on infrastructure
Tourism development often leads to improvements in roads, hotels, and other facilities that benefit both tourists and locals.
Tourism job creation
Tourism job creation
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Tourism and SME development
Tourism and SME development
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Government benefits from tourism
Government benefits from tourism
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Infrastructure development for tourism
Infrastructure development for tourism
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Public-Private Partnerships
Public-Private Partnerships
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Informal tourism opportunities
Informal tourism opportunities
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Tourism taxes
Tourism taxes
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Study Notes
Tourism Benefits in South Africa
- GDP Growth: Tourism directly boosts South Africa's Gross Domestic Product (GDP).
- Government Benefits: Tourism stimulates government infrastructure development.
- Foreign Exchange Earnings: A key indirect benefit is the income generated from foreign visitors.
Household Benefits
- Employment: Tourism creates jobs, providing income for households.
- Infrastructure: Roads, hotels, and other infrastructure are built, benefiting both tourists and locals.
- Skills Development: Education and training programs in tourism and hospitality are developed. Learnerships and job opportunities are available.
- Job Creation: Many job opportunities for tour guides, travel agents, chefs, and other roles are created.
Business Benefits
- Infrastructure Provision: Government often provides basic economic and service infrastructure.
- Business Activities: Accommodation, transport, attractions, retail, and recreational businesses are stimulated.
- Informal Opportunities: Car rentals, arts and crafts sales offer additional business opportunities.
- Socio-economic Objectives: Tourism can promote entrepreneurship, Black Economic Empowerment, and Small and Medium Enterprise development.
- Public-Private Partnerships: A common approach combines public and private sector funding for tourism development.
- Financial Incentives: Governments offer grants, subsidies, loans, and tax breaks to encourage private sector tourism investment.
State (Government) Benefits
- Taxation: Governments collect taxes from tourists (VAT, excise, customs, etc.)
- Cost Recovery: Taxes help offset the costs of providing infrastructure and public amenities to tourists.
- Revenue Generation: Tourism contributes to the overall tax base through airport taxes, air ticket charges, and hotel room taxes.
Infrastructure Development
- Essential Infrastructure: Well-maintained physical and basic services are crucial for tourist destinations.
- Economic Infrastructure Focus: The Department of Tourism prioritizes economic infrastructure (corridors, partnerships).
- Tourism-Focused Development: Improvements focus on access to beaches, lakes, and rivers.
- Social Infrastructure Improvement: Improvements include ambulance services, medicine, and information services.
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