Tourism Network and Supply Components PDF

LESSON 4: TOURISM NETWORK AND SUPPLY COMPONENTS The travel industry is the composite of organizations, both private and public, that are involved in the development, production, and marketing of products and services to serve the needs of the travelers. (Gee and Makens, 1997)...

LESSON 4: TOURISM NETWORK AND SUPPLY COMPONENTS The travel industry is the composite of organizations, both private and public, that are involved in the development, production, and marketing of products and services to serve the needs of the travelers. (Gee and Makens, 1997) Businesses and corporations are regarded as components of the travel industry classified as: 1. Direct providers 2. Support services 3. Developmental organizations ❖ Direct providers Includes businesses that are associated with travel, such as airlines, hotels, restaurants, ground transportation, travel agencies and retail shops. These businesses provide services, activities, and products that are consumed and/or purchased directly by travelers. They represent the sectors of the industry that are visible to the travelers. ❖ Support services Lends support to direct providers. It includes specialized services such as tour organizers, travel and trade publications, hotel management firms, and travel research firms. It also includes basic supplies and services such as contract laundry and contract food services. Support services sell goods and services directly but not exclusively to tourists. ❖ Developmental organizations It includes planners, government agencies, financial institutions, real estate developers and educational and vocational training institutions. These organizations deal with tourism development which tend to be more complex and broader in scope than the production of daily travel services. The decisions and results of tourism development are more long-term in nature than the first two categories which deal more with operations. ❖ Tourism Supply Components 1. Natural Resources 2. Infrastructure 3. Superstructure 4. Transportation and transportation equipment 5. Hospitality Resources MACRO - FINALS Ellle ☺  ❖ Natural Resources Includes elements in an area for the use and enjoyment of visitors such as climate, landforms, terrain, flora, fauna, bodies of water, beaches, natural beauty and water supply for drinking, sanitation and similar uses. The physical characteristics of an area can be generalized as natural scenery, climate, and environment. ❖ Infrastructure - Consists of all underground and surface developmental construction such as water supply systems, sewage disposal systems, gas lines, electrical and communication systems, drainage systems and other constructed facilities such as highways, airports, rail roads, roads, drives, parking lots, parks, night lighting, marinas and dock facilities, bus and train station facilities and similar tourist service installations. ❖ Superstructure - The above ground facility services such as airport buildings, passenger traffic terminals, hotels, motels, resorts, restaurant, shopping centers, places of entertainment, museums, stores, and similar structures. ❖ Transportation and transportation equipment - Includes items such as ships, airplanes, trains, buses, limousines, taxis, automobiles, cog railways, aerial tramway, and similar passenger transportation facilities. ❖ Hospitality Resources Hospitality resources refers to the general feeling of welcome that the visitors receive while visiting a destination area. It is the way that tourist services is delivered by service providers. As well as the general feeling of warmth from the local population. Tourists will have a more enjoyable vacation if they feel welcomed by the host population and will certainly feel awkward and unhappy if they feel resented. Hospitality resources can be improved by training tourism personnel to be hospitable and encouraging positive feelings toward tourism and tourists by the general public. Include the cultural wealth of an area which makes possible the successful hosting of tourists. Examples are the welcoming spirit of tourist business employees, attitudes of the residents towards visitors, courtesy, friendliness, sincere interest, willingness to serve and to get better acquainted with visitors, and other manifestations of warmth and friendliness. It also includes the cultural resources of an area such as fine arts, literature, history, music, dramatic art, dancing, and shopping. Hospitality resources can be improved by training tourism personnel to be hospitable and encouraging positive feelings towards tourism and tourists by the general public. Hospitality training aims to motivate service providers to be hospitable in dealing with tourists. MACRO - FINALS Ellle ☺  It is assumed that providing more hospitable services will result in a more satisfied tourist who will be inclined to return and advertise to other potential tourists through word of mouth. To enable service providers to render hospitable services, it is necessary to change their present behavior. This change of behavior is brought about by a change in attitude and an increase in the level of knowledge. The three aspects of attitudes are toward self, toward others and toward the tourism industry. 1. Attitude toward self - If an individual’s self-esteem or attitude toward self is low, that individual will tend to behave in such a way that the feedback from others will confirm the low opinion of himself. - Hence, it is necessary to change the individual’s perception of self in order to improve his behavior. - If service providers can be made to believe that they and their work is important, their work and their actions towards tourist will reflect this feeling. 2. Attitude toward others - Service providers should be assisted in developing positive feelings toward fellow employees and tourists that will result in positive behavior toward the tourists. - This can be achieved by training the individual regarding teamwork and interdependence in getting the job done. 3. Attitude toward the tourism industry - A positive attitude of service providers towards tourists can be brought about only when employees are made aware of how important tourism is to their country, city and community. - By being aware of the amount of revenue, jobs, taxes generated and the dispersion the tourist dollar throughout the community, employees may become convinced of the economic and social significance of the industry of which they are a part. ❖ Community Awareness Programs Although the tourists is most directly affected by the degree of hospitality shown by service providers, the overall feeling of welcome within a community will also enhance or detract from the vacation experience. Residence of a destination area cannot be trained to act in a hospitable manner toward tourists, but a community awareness program can help develop a more positive attitude toward the tourists. The aims of the program are to build acceptance of tourism and to build an understanding of the tourist. MACRO - FINALS Ellle ☺ LESSON 5: TOURISM AND HOSPITALITY ORGANIZATIONS Since tourism is a diverse industry made up of many different segments, there is a need to interrelate and share information. This has led to the establishment of several public and private organizations at the international, regional national and even local levels Aside form the suppliers of services and facilities to tourists, there are also several tourism industry. These organizations influence and contribute to the smooth running of tourism industry. ❖ Classification of tourism organization National Regional International ❖ International 1. UNTWO or UNITED NATIONS WORLD TOURISM ORGANIZATION Located in Madrid, Spain intergovernmental technical body which deals with al aspects of tourism. Market research and statics is its most significant contribution. Provides international forum where tourism officials can discuss problems and exchange their ideas. Only organization whose activities covers all sectors of tourism on a world-wide basis. Ministers of tourism call for intra-governmental coordination to address visas and air connectivity held 08 Nov 2012 UNTWO calls for support to the Philippines held November 12, 2013 2. ICAO or INTERNATIONAL CIVIL AVIATION ORGANIZATION Adapts international standards and to recommend practices for regulating air navigations. Encourage the improvement of the art of aircrafts design and operation for peaceful purposes. 3. IATA or INTERNATIONAL AIR TRANSPORT ASSOCIATION Aims to promote safe, regular and economical air transport, faster air commerce and study problems connected with industry. Involves standardizing of tickets, process, airline air way bills, baggage checks and other documents. 4. WTTC or WORLD TRAVEL & TOURISM COUNCIL The only lobal forum whose members are the top decision makers in the travel whose members are the top decision makers in the travel and tourism industry. The 150 members are the CEO, President or Chairman of airlines, airports, hotels, cruise lines, travel agencies, tour operators and travel technology suppliers. The only body representing the private sector in all prats of the industry worldwide. MACRO - FINALS Ellle ☺  WTTC campaigns on three strategic priorities which it has identified as impending the successful development of Travel & Tourism bow and in the future – Freedom to Travel; Policies for Growth; and Tourism for Tomorrow. The WTTC retains a professional staff In its London office, under the leadership of President & CEO, David Scowsill. This organization is headed by board of executive directors, who have responsibility for guiding the work of the Council in the fulfillment of its mission. The World Travel & Tourism Council is a not-for-profit organization, registered as a UK company limited by guarantee. 5. D.O. or Development Organizations The World Bank (US) OPEC Fund for International Development (Austria) Asian Development Bank (Philippines) Islamic Development Bank (Saudi Arabia) ❖ Regional 1. OECD or ORGANIZATION OF ECONOMIC COOPERATION AND DEVELOPMENT Designed to achieve the highest sustainable economic growth and employment and raise standards of living of member countries Country Assistance Program Evaluation 26 194 June 2008 Philippines Country Assistance Program Evaluation: Increasing Strategic Focus for Better Results 2. PATA or PACIFIC ASIA TRAVEL ASSOCIATION Develops, promotes and facilitates travel in the Pacific Areas Early leader in recognizing the need for environmental ethics Initiated the PATA Code fir Environmental Tourism 3. CTA or Caribbean Tourism Association/ Organization Encourages and Assists in development of tourism throughout the Caribbean Area 4. APEC or ASIA – PACIFIC ECONOMIC COOPERATION Aims to establish coordination of national economies for the benefit of countries in the Asia- Pacific region Permanent Secretariat is located in Singapore, which serve as the coordinating body and central repository for all APEC documents 5. OAS or ORGANIZATION OF AMERICAN STATES Strengthen relations between American States by providing advisory services and training programs in many fields including tourism Philippines also is an observer to the Organization of American States MACRO - FINALS Ellle ☺  ❖ National 1. DOT or DEPARTMENT OF TOURISM Primary government agency charge with the responsibility to formulate tourism policies, plans and projects for the development of tourism as an engine of socioeconomic and cultural growth Spread the benefits of tourism to a wider segments of the population Ensure the safe, convenient and enjoyable stay and travel of the foreign and local tourists in the country. Tourism Slogan Visit Philippines WOW Philippines Pilipinas Kay Ganda It’s more fun in the Philippines (2012- present) 2. PCVC – TPB or TOURISM PROMOTIONS BOARD Formerly known as PCVC or Philippine Convention and Visitor’s Corporation It is an attached for agency of DOT which is primarily responsible for implementing an integrated domestic and international promotions and marketing program for the Philippines as tourism destination as well as for tourism investments 3. IA or INTRAMUROS ADMINISTRATION Sponsors, conducts and support festivals and cultural activities in Intramuros Give grant, contributions and donations for the restoration, repair and maintenance of historic structure of Intramuros. 4. NPDC or National Parks Development Committee Undertake and development of new parks Upgrade and maintain park facilities Facilitate private sector participation in appropriate aspect of park development and maintenance 5. PTA – TIEZA or TOURISM INFRASTRUCTURE AND ENTERPRISE ZONE AUTHORITY Formerly known as PTA or Philippine Tourism Authority Develop, manage and supervise tourism infrastructure projects in the country; the primary objective of encouraging investments in TEZ’s (Tourism Enterprise Zones) (50%) of the proceeds from travel tax collections shall accrue to the TIEZA (40%) goes to CHED provided that they shall give priority to tourism – related educational programs and courses (10%) share for the National Commission for Culture and the Arts MACRO - FINALS Ellle ☺  ❖ Other Philippine Tourism Organization PTAA or PHILIPPINE TRAVEL AGENCIES ASSOCATION Aims to foster unity in the travel industry and to promote the welfare of its member and the travelling public Uphold dignity and the ethics of the travel and tour businesses To cultivate friendly relations between the Philippines and other countries COHREP or Council of Hotel and Restaurant Educators of the Philippines Pursuit of higher level of excellence in hospitality education Keeping abreast with advances in hospitality management and technology Partnering harmoniously with stakeholders Commitment to the ideals of the teaching profession TESCU - UFTE or Union of Filipino Tourism Educators formerly Tourism Educators of Schools, Colleges, and Universities or TESCU, is a bona fide organization of Tourism Educators founded by Dr. Zenaida Lansangan-Cruz and duly registered with the Securities and Exchange Commission on January 9, 1993. UFTE has the following objectives: 1. to unite all colleges, universities, and schools with tourism programs with the end in view of training and developing their students for a productive and meaningful career in tourism 2. to promote a closer working relationship between educators and industry 3. to put out a journal which will publish research studies, articles, and up-to-date information with regard to the tourism industry 4. to encourage members to undertake research on the latest aspects of tourism to produce information, data, and new findings in order to bolster the country's tourism industry; 5. to sponsor lectures, seminars, workshops, conferences, and symposia on the various fields of tourism; and 6. to work with colleagues to advance the image and understanding of travel and tourism education within the larger arenas of the industry and the academic world. The association has three categories of members, namely: 1. Regular - those engaged in the teaching of tourism and other related courses. 2. Associate - those involved in tourism research, studies, and training 3. Institutional - institutions and organizations which are interested in promoting the goals of the association. The members are entitled to the following: 1. Participation in UFTE meetings, seminars, symposia, training programs, and conferences 2. Participation in educational programs, scholarship grants, and the like 3. Information exchange through newsletters and journals 4. Involvement in research 5. Awards and recognition for outstanding work in the field of tourism 6. Affiliations with other tourism organizations ❖ Summary The international character of modern tourism and the growing international agencies in various fields and the growing international agencies in various fields are shown in the growth of international cooperation and organizations in tourism. Some countries and regions have felt the need to band together to strengthen their perspective tourism programs. Countries that are often visited by tourist have established a national tourism office that regulates and promotes tourism activities (DOT) MACRO - FINALS Ellle ☺  ❖ International UNTWO or UNITED NATIONS WORLD TOURISM ORGANIZATION ICAO or INTERNATIONAL CIVIL AVIATION ORGANIZATION IATA or INTERNATIONAL AIR TRANSPORT ASSOCIATION WTTC or WORLD TRAVEL & TOURISM COUNCIL D.O. or Development Organizations ❖ Regional OECD or ORGANIZATION OF ECONOMIC COOPERATION AND DEVELOPMENT PATA or PACIFIC ASIA TRAVEL ASSOCIATION CTA or Caribbean Tourism Association/ Organization APEC or ASIA – PACIFIC ECONOMIC COOPERATION OAS or ORGANIZATION OF AMERICAN STATES ❖ National DOT or DEPARTMENT OF TOURISM PCVC – TPB or TOURISM PROMOTIONS BOARD IA or INTRAMUROS ADMINISTRATION NPDC or National Parks Development Committee PTA – TIEZA or TOURISM INFRASTRUCTURE AND ENTERPRISE ZONE AUTHORITY ❖ Other Philippine Tourism Organization PTAA or PHILIPPINE TRAVEL AGENCIES ASSOCATION HRAP or Hotel & Restaurant Association of the Philippines TESCU - UFTE or Union of Filipino Tourism Educators COHREP or Council of Hotel and Restaurant Educators of the Philippines AAHRMEI or Association of Administrators in Hospitality, Hotel and Restaurant Management Educational Institutions TIBFI or Tourism Industry Board Foundation Inc PHILTOA or Philippine Tour Operators Association, Inc. MACRO - FINALS Ellle ☺ LESSON 6: ENVIRONMENTAL IMPACTS OF TOURISM ❖ Types of Environmental Impact 1. Positive Impact Conservation of important natural areas Conservation of archeological and historic sites and architectural character Improvement of environmental quality Enhancement of the environment Improvement of infrastructure Increasing environmental awareness 2. Negative Impact Water pollution Air pollution Noise pollution Visual pollution Waste disposal problems Ecological disruption Environmental hazards Damage to archaeological & historic sites Land-use problems ❖ Environmental Policy Approaches Develop tourism in a well-planned and monitored manner. Use tourism as a technique for environmental consideration and maintenance of over-all environmental quality. Maintain moderate tourism growth. Physical planning technique allows efficient provision of infrastructure development. MACRO - FINALS Ellle ☺  ❖ Environmental Impact Control Measures Step 1: The environmental impact checklist is prepared Step 2: Each factor is evaluated in terms of possible type and extent of impact. Step 3: Get the total score ❖ Types of Socio – Economic Impact Positive Economic benefits Conservation of cultural heritage Renewal of cultural prides Cross-cultural exchange ❖ Socio – Economic Policies & Impact Control Measures Socio-economic Policies Develop tourism in a gradual manner. Use community development approach. Integrate tourism at whatever level and scale of development To Minimize Cultural Impact Control measures Socio-cultural programming Economic enhancement programming ❖ Traces of Economic Impact of Tourism Contribution to Gross National Product (GNP) Contribution to foreign exchange earnings Employment generation Multiplier effect Contribution to government revenues MACRO - FINALS Ellle ☺ LESSON 7: SUSTAINABLE TOURISM A tourism which leads to management of all resources in such a way that economic, social and aesthetic needs can be fulfilled while maintaining cultural integrity, essential ecological process, biological diversity and support life system. (World Tourism Organization) Aims to increase country’s income and employment , and to conserve the local ecosystems, without making a big impact on the natural, historic, cultural or social environment ❖ Principles of sustainable tourism Sustainable Tourism focuses on maintaining destinations for the use and enjoyment of future generations. The environment has an intrinsic value which outweighs its value as tourism asset. Its enjoyment by future generations and its long-term survival must not be prejudiced by short-term considerations Tourism should be recognized as a positive activity with the potential to benefit the community as well as the visitor. The relationship between tourism and environment must be managed so that the environment remains sustainable in the long-term. Tourism must not be allowed to damaged the resources, prejudice its future enjoyment or bring unacceptable impacts. Tourism activities and development should respect the scale, nature and character of the place and the host community. Adaptation to change should not be the expense of any of these principles. The tourism industry have the duty to respect the above principle and to work together to achieve their practical realization MACRO - FINALS Ellle ☺  ❖ Destination - is defined as tourist movement and its impact and significance. - The destination and its images attract tourists, motivate the visit and energize the whole tourism system. 4 Features of a destination 1. Cultural appraisal - visitors consider a destination based on its attractiveness and if it is worth their time and money to visit. - Destination should also offer new opportunities to maintain attractiveness. - Good design and management should be utilized to distinguish a destination from a home environment. 2. Inseparability of production and consummation - tourism is consumed where it is produced- visitors have to be physically present at the destination to experience tourism. - All destinations are perishable in the sense that when it is not used, the revenue is lost such as hotel rooms and airline assets. - Seasonality is a major problem of all destinations. (peak season, lean season) 3. Multiple use - destination amenities are used by residents and workers all year round, but there are also temporary visitors who used these amenities. - Multiple use of destination means that it is possible to classify business enterprises as to whether they depend on tourism only, on residents, or a combination of both. 4. Complementarity - The quality of each component of the destination and the delivery of the tourism service at these components should be uniform. Ex. To help tourist maximize their vacation and to retain guests/ customers. MACRO - FINALS Ellle ☺  ❖ Six A’s framework for analysis of tourism ▪ Attractions These could be natural, man-made, artificial, purposely built, heritage, or special events. They generate the visit to a destination. ▪ Accessibility Refers to the modes of transportation available to the guests to reach a destination ▪ Amenities These are services offered to the tourists in a destination. These may range from accommodation facilities, food and beverage, to retailing such as souvenir shops. ▪ Available packages These are packages pre-arranged by intermediaries and principals. ▪ Activities Pertain to all activities offered at the destination which the guests/customers can enjoy. ▪ Ancillary services Refers to marketing, development and coordinating activities in a destination provided to the consumer and the industry through a local board. Ex: Boracay – there is an organization called Boracay Tourism Board that consists of resort owners and operators who plan strategies on how Boracay can be sustained as a destination. MACRO - FINALS Ellle ☺  ❖ Carrying Capacity ▪ Refers to the maximum number of people who can use a site without an unacceptable alternation in the physical environment and without unacceptable decline in the quality of experience gained by visitors. ▪ Determining carrying capacity can be beneficial in quantifying the optimum level of accommodation and/or of further development. ▪ The identified carrying capacity can be useful as they can be bases in drafting regulations, in managing and controlling visitor flows to avoid congestion, and in designing and planning strategies regarding accommodation. ▪ 5 Types of Carrying Capacity 1. Physical Capacity - relates to the amount of suitable land available for facilities, and also includes the finite capacity of the facilities. This is the most straightforward measure of capacity. 2. Environmental or Ecological Capacity - pertains to the number of tourists that a destination could accommodate without causing damage to the environment or ecosystem. 3. Psychological or Perceptual Capacity - refers to the number of tourists a site could accommodate which when exceeded, visitors’ quality of experience may be significantly affected. 4. Social Capacity - this attempts to define levels of development which are acceptable to the host community residents and businesses. 5. Infrastructural Capacity - this involves the number of tourists that a site infrastructure can accommodate. MACRO - FINALS Ellle ☺