02 Handout 1 PDF - The Scope and Sectors of Tourism
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This document provides an overview of the different sectors within the tourism industry. It details accommodation, food and beverage services, attractions, transportation, travel trade, and meetings, incentives, conventions, and exhibitions (MICE). The document is part of a larger course, possibly in a business or tourism program.
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TH2107 The Scope and Sectors of Tourism Scope and Sectors of the Tourism Industry Tourism is composed of enterprises that have created millions of jobs over the years. The following are the s...
TH2107 The Scope and Sectors of Tourism Scope and Sectors of the Tourism Industry Tourism is composed of enterprises that have created millions of jobs over the years. The following are the scope and sectors of the tourism industry (Tuazon-Disimulacion, 2016): Accommodation – This sector provides an enormous variety of accommodation types to suit a wide range of visitors/travelers. It is a place to sleep that provides amenities and facilities for the temporary use of a tourist or traveler. It ranges from luxury five-star hotels that offer facilities and services such as 24-hour room service, gyms, and swimming pools to one-star hotels that offer essential amenities, facilities, and services only. Accommodation includes hotels, motels, bed and breakfast, resorts, villas, pension houses, cottages, and vacation houses. Food and Beverage Service – This sector can be broadly defined as the process of preparing, presenting, and serving food and beverages to customers. It also contributes greatly to the economy of a country and the hospitality industry. It keeps growing as people still develop innovative methods, techniques, and dishes. It involves various establishment types suited to different people’s tastes, from fine dining restaurants to quick service. The job opportunities in this sector are quite vast and include packaging, preparing, transporting, and serving food and beverages. Examples of establishments in this sector are restaurants, cafés, coffee shops, bars, and clubs. Attractions – This sector refers to the facilities visited by tourists at a tourist destination. Attractions are located at a destination attracting tourists for different purposes such as entertainment, education, and leisure. It can be privately owned by entrepreneurs or publicly owned by the government. Attractions can be categorized as either natural (beaches, mountains, forests, and rivers) or man-made (monuments, malls, and buildings), which must be maintained. Other examples of attractions are waterfalls, lakes, mangroves, theme parks, zoos, museums, picnic grounds, gardens, farms, casinos, and sanctuaries. Transportation – This sector provides the medium for the actual movement of travelers, which can be through air, water, road, and rail. Transportation is directly connected with lifestyle and has become an essential part of modern societies. This sector represents personal travel, as well as the movement of trucks carrying goods and providing services. It includes airlines, airports, car rental, motorcoach, cruise, ferry, rail, and bus. Travel Trade – This sector is comprised of people and companies that resell travel products and services they have bought and/or reserved from other parties. Workers in this sector are usually the middlemen in the transactions between the tourism sectors and their clients. Its components include travel agencies or online travel agencies (OTA), tour operators, and destination marketing organizations (DMOs). It encompasses making reservations for accommodations, transportation, tours, food and beverage services, and attractions in one (1) tour package. Meetings, Incentives, Conventions, and Exhibitions (MICE) - This sector refers to a fast-growing segment of the tourism industry dedicated to planning, organizing, booking, and facilitating conferences, seminars, and other events. It is a huge source of income for the industry due to the high-value-spending potential of delegates, exhibitors, and host organizations. It includes the following: o Meeting – It refers to any occasion where two (2) or more people come together with a common agenda to discuss. o Incentive – It refers to the rewarding of employees for their quality of work and performance. o Convention – It involves the gathering of delegates, representatives, and members of an organization for a common purpose coupled with activities happening simultaneously. o Exhibition – It is an event that promotes new products, services, and materials to attendees that may be potential customers. 02 Handout 1 *Property of STI [email protected] Page 1 of 6 TH2107 Government – This sector comprises elected people responsible for creating, facilitating, and enforcing laws to ensure the safety, security, and rights of the people and organizations under them. The role of the government also extends to tourism, which is evident in the following items: o Plan and Facilitate Tourism – This involves devising policies, planning, and creating safety regulations for tourism development. It includes the generation of guidelines and objectives for the growth and management of tourism, both in the short and long run, and devising strategies to achieve set objectives. o Control and Supervision of Tourism – This role is performed to prevent disastrous events, ensure orderliness, maintain quality standards, and help match supply and demand, protecting tourists and other parties involved in the tourism industry. o Direct Ownership of Components of the Tourism Industry – There are some parks, airlines and airports, galleries, museums, historic sites, streets, highways and railways, buses, harbors and ferries, subways, hotels, resorts, swimming pools, golf courses, and even liquor stores owned by the government. These are used to facilitate the development of the tourism industry. o Promote Tourism to Home and Overseas Markets – This involves producing and distributing maps, charts, and tourism literature, operating information centers, advertising, and organizing sales promotion and public relations activities directed at home and overseas markets. It attempts to increase tourism growth by effective marketing, concentrating its publicity on less popular attractions or geographical regions, and doing more promotional work during the off-season. Tourism Organizations Tourism organizations play a huge role in the large-scale tourism industry. These organizations are involved in tourism policy planning, control, and education. For instance, travel formalities are administered by consulates and departments in charge of immigration, border security, and customs. There are also departments responsible for monitoring, licensing, and regulating major tourist businesses like hotels and travel intermediaries. Additionally, the design and provision of career training in different schools also depend upon the support from the government. The following are some tourism organizations locally and internationally: Local Tourism Organizations Department of Tourism (DOT) – It is the primary planning, programming, coordinating, implementing, and regulatory government agency in developing and promoting the tourism industry, both domestic and international, in coordination with attached agencies and other government instrumentalities. It shall instill in the Filipinos the industry’s fundamental importance in the generation of employment, investment, and foreign exchange. The following are the different agencies attached to the department (Tuazon-Disimulacion, 2016): o National Parks Development Committee (NPDC) – It provides fully developed and well-maintained parks for the wholesome recreation and socio-cultural education of the Filipino people for the enrichment of the country’s national identity and heritage through a partnership with the community, government offices (GOs), and non-government organizations (NGOs). o Intramuros Administration (IA) – It is responsible for the orderly restoration and development of Intramuros as a monument to the Hispanic period in Philippine history. It ensures that the general appearance of Intramuros conforms to the Philippine-Spanish architecture of the sixteenth to the nineteenth century. o Philippine Commission on Sports Scuba Diving (PCSSD) – It provides the standard basic dive rules to all levels or kinds of divers, regulate scuba sports and technical diving in the country, and ensure the safety of the sport through the formulation of policies in coordination with the Office of Tourism Standards and Regulations, including the regulation of the accredited scuba sports and technical diving establishments. 02 Handout 1 *Property of STI [email protected] Page 2 of 6 TH2107 o Philippine Retirement Authority (PRA) – It is a government-owned and controlled corporation created under Executive Order No. 1037, signed by former President Ferdinand E. Marcos on July 04, 1985. PRA is mandated to develop and promote the Philippines as a retirement haven to accelerate its social and economic development, strengthening its foreign exchange position while providing further best quality of life to the targeted retirees in a most attractive package. o Nayong Pilipino Foundation – It is mandated to promote, encourage, and initiate research and development projects and activities in social sciences, humanities, social and amelioration, and allied fields. Its purpose is to formulate a comprehensive social welfare program for the upliftment, improvement, and amelioration of the social and economic conditions of the unfortunate needy members of society. It also avails maximum utilization of the members' potentialities in the solution of the country’s problems. This organization encourages and facilitates the active participation of the domestic and foreign sectors in furnishing financial, technical, and other forms of assistance for the Foundation’s social welfare programs. o Duty Free Philippines Corporation (DFPC) – It is authorized to establish, operate, and maintain duty and tax-free stores at all international airports and seaports, selected hotels, tourist resorts, and commercial or trading centers throughout the country. o Tourism Infrastructure and Enterprise Zone Authority (TIEZA) – It is a Government-Owned and Controlled Corporation (GOCC) responsible for implementing policies and programs of the DOT pertaining to the development, promotion, and supervision of tourism projects in the Philippines. TIEZA’s main tasks include building tourism infrastructure, designation, regulation, and supervision of Tourism Enterprise Zones (TEZs; a TEZ is a tract of land to be developed into a tourism complex to host tourism enterprise facilities and services within the property), operation and management of TIEZA assets, and the collection of the Philippine travel tax. o Tourism Promotions Board (TPB) – It is responsible for marketing and promoting the Philippines domestically and internationally as a major global tourism destination, highlighting the uniqueness and assisting the development of its tourism products and services, with the end in view of increasing tourist arrivals and tourism investment. Specifically, it shall market the Philippines as a major convention destination in Asia. To this end, it shall take charge of attracting, promoting, facilitating, and servicing large-scale events, international fairs and conventions, congresses, sports competitions, expositions, and the like. Department of Environment and Natural Resources (DENR) – This is the primary agency responsible for the conservation, management, development, and proper use of the country’s environment and natural resources, specifically forest and grazing lands, mineral resources, including those in reservation and watershed areas, and lands of the public domain. It is also responsible for the licensing and regulation of all natural resources as may be provided for by law to ensure equitable sharing of the benefits derived therefrom for the welfare of the present and future generations of Filipinos. National Economic Development Authority (NEDA) – It is the country’s premier socioeconomic planning body and is highly regarded as the authority in macroeconomic forecasting, policy analysis, and research, developing consensus, and setting agenda for inclusive development. National Ecotourism Development Committee (NEDC) – This serves as the policy-making body for ecotourism and is chaired by the DOT and co-chaired by the DENR. It is composed of the secretaries of the following departments: Tourism, Environment and Natural Resources, Interior and Local Government, Trade and Industry, Finance, National Economic and Development Authority, Education, Culture and Sports, and representatives from the private sector and non-government organizations. Its function is to formulate and develop a national ecotourism strategy, policies, guidelines, and program to promote and develop ecotourism in the country. 02 Handout 1 *Property of STI [email protected] Page 3 of 6 TH2107 International Tourism Organizations Association of Southeast Asian Nations (ASEAN) – It is an organization of 10 Southeast Asian countries that promote cultural, economic, and political development in the region. The member countries are Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam. It aims to accelerate the economic growth, social progress, and cultural development in the region and promote regional peace and stability by abiding by law and order among the member countries. It promotes active collaboration and mutual assistance in the economic, social, cultural, technical, scientific, and administrative fields. ASEAN aims to aid each other in the form of training and to collaborate more effectively for the greater utilization of their agriculture and industries. In addition, it maintains close and beneficial cooperation with international and regional organizations with similar aims and purposes. Asia Pacific Economic Cooperation (APEC) – This is a regional economic forum established in 1989 to leverage the growing interdependence of the Asia-Pacific region. APEC's 21 members aim to create greater prosperity for the region's people by promoting balanced, inclusive, sustainable, innovative, and secure growth, and accelerating regional economic integration. Its mission is to build a dynamic and harmonious Asia-Pacific community by championing free and open trade and investment, encouraging economic and technical cooperation, enhancing human security, and facilitating a favorable and sustainable business environment. Its initiatives are to turn policy goals into concrete results and agreements into tangible benefits. International Union for the Conservation of Nature (IUCN) – It is a membership union uniquely composed of government and civil society organizations. It provides public, private, and non-governmental organizations with the knowledge and tools that enable human progress, economic development, and nature conservation to take place together. Its mission is to influence, encourage, and assist societies throughout the world to conserve nature's integrity and diversity and ensure that any use of natural resources is equitable and ecologically sustainable. United Nations World Tourism Organization (UNWTO) – This is the United Nations agency in charge of promoting responsible, sustainable, and universally accessible tourism. It also promotes tourism as a driver of economic growth, inclusive development, and environmental sustainability and offers leadership and support to the sector in advancing knowledge and tourism policies worldwide. The organization prioritizes mainstreaming tourism in the global agenda, improving tourism competitiveness, promoting sustainable tourism development, advancing tourism’s contribution to poverty reduction and development, fostering knowledge, education, and capacity building, and building partnerships. United Nations Educational, Scientific and Cultural Organization (UNESCO) - It seeks to build peace through international cooperation. It has a unique role to play in strengthening the foundations of lasting peace and equitable and sustainable development. In 2011 UNESCO embarked on developing a new World Heritage and Sustainable Tourism Programme. Its mission is to facilitate the management and development of sustainable tourism at World Heritage properties by fostering increased awareness, capacity, and balanced participation of all stakeholders to protect the properties and their Outstanding Universal Value. Its vision is for the World Heritage and tourism stakeholders to share responsibility for conserving the common cultural and natural heritage of Outstanding Universal Value and sustainable development through appropriate tourism management. World Travel and Tourism Council (WTTC) – It is the only global body that brings together all major players in the travel and tourism sector, enabling them to speak with one (1) voice to governments and international bodies. It works to raise awareness of travel and tourism as one (1) of the world's largest economic sectors. Its mission is to maximize the travel and tourism sector's inclusive and sustainable growth potential by partnering with governments, destinations, communities, and other stakeholders to drive economic development, create jobs, reduce poverty, security, and understanding in the world. Cruise Lines International Association (CLIA) – This is the world's largest cruise industry trade association, providing a unified voice and leading authority of the global cruise community. On behalf of its members, 02 Handout 1 *Property of STI [email protected] Page 4 of 6 TH2107 affiliates, and partners, the organization supports policies and practices that foster a secure, healthy, and sustainable cruise ship environment, promoting positive travel experiences for the cruise passengers. The CLIA community includes the world's most prestigious ocean, river, and specialty cruise lines, a highly trained and certified travel agent community, and widespread industry stakeholders, including ports and destinations, ship development, suppliers, and business services. Pacific Asia Travel Association (PATA) – It is a not-for-profit association internationally acclaimed for acting as a catalyst for the responsible development of travel and tourism to, from, and within the Asia Pacific region. The Association provides aligned advocacy, insightful research, and innovative events to its member organizations such as governments, state and city tourism bodies, international airlines and airports, hospitality organizations, educational institutions, and travel industry companies in the Asia Pacific and beyond. PATA’s strategic direction is to build business for its members, provide valuable insights, forecasts, and analysis to help members make better business decisions, and take a lead position on travel industry issues that need to be addressed. World Wildlife Fund (WWF) – This is the world’s leading conservation organization that works in various countries and is supported by numerous members in the United States and worldwide. Its unique way of working combines global reach with a foundation in science, involves action at every level from local to global, and ensures the delivery of innovative solutions that meet the needs of both people and nature. Its mission is to stop the degradation of the planet's natural environment and build a future in which humans live in harmony with nature by conserving world’s biodiversity, ensuring that renewable natural resources are sustainable, and promoting the reduction of pollution and wasteful consumption. Its goals are to create a climate-resilient and zero-carbon world, powered by renewable energy, to double net food availability and freeze its footprint, to conserve the world’s important forests, to secure water for people and nature, to safeguard healthy oceans and marine livelihoods, and to protect the world’s important species. Career Opportunities According to the Philippine Statistics Authority (PSA), employment in tourism-related industries was estimated at 5.71 million in 2019, higher by 6.5 percent compared to 5.36 million in the previous year. This explains the high demand for tourism-related jobs as more are being produced because of the increase of tourists/travelers every year. The table below are possible career opportunities when pursuing this career path: Sectors Career Opportunities Hotel general manager, front desk manager, reservations agent, Accommodation group sales representative, concierge, and housekeeper Restaurant manager, food attendant, barista, bartender, Food and Beverage Service receptionist and hostess Theme park manager, ride operator, attractions attendant, ticket Attractions sales officer, translator, and dealer Airline operations manager, flight attendant, ground crew, Transportation reservations agent, and ticketing agent Travel agency owner, tour operator, travel agent, reservations Travel Trade agent, ticketing agent, tour guide, tour escort, and translator Meetings, Incentives, Director of events operations, production supervisor, event Conventions, and Exhibitions organizer/planner, marketing officer, and sales representative. (MICE) Senior tourism officer, tourism planner, researcher, project Government development officer, liaison officer, protocol officer, and visa officer Table 1: Career List Source: Principles of Tourism 2, 2016 02 Handout 1 *Property of STI [email protected] Page 5 of 6 TH2107 References: APEC. (n.d.). About APEC. Retrieved May 21, 2021, from https://www.apec.org/About-Us/About-APEC.aspx ASEAN. (n.d.). About ASEAN. Retrieved May 21, 2021, from https://asean.org/asean/about-asean/ Carino, C. E., & Beltran, M. P. (2013). The hospitality industry: An introduction. Manila: Mindshapers Co., Inc. CLIA. (n.d.). About CLIA. Retrieved May 21, 2021, from https://cruising.org/en/about-the-industry/about-clia Department of Budget and Management. (2018). National parks development and committee. Retrieved May 21, 2021, from https://www.dbm.gov.ph/index.php/performance-management/agency-profile/14-performance- management/901-department-of-tourism-national-parks-development-committee-dot-npdc#mandate Department of Budget and Management. (n.d.). Intramuros Administration. Retrieved May 21, 2021, from https://www.dbm.gov.ph/wp-content/uploads/OPCCB/opif2009/dot-ia.pdf Duty Free Philippines Corporation. (n.d.). Duty Free Philippines Corporation. Retrieved May 21, 2021, from https://dutyfree.gov.ph/ Exec. Order No. 111 (1999), O.G. (1999, June). Executive Order No. 192 (1987), 83 O.G. (1987, June). Food and beverage services - basics. (n.d.). Tutorialspoint. Retrieved May 21, 2021, from https://www.tutorialspoint.com/food_and_beverage_services/food_and_beverage_services_basics.htm Hupano, M. (2015, February 23). Travel and trade sector. Prezi. https://prezi.com/xuomtfzqx12j/travel-and-trade- sector/ Knowles, H., & Westcott, M. (n.d.). Chapter 7. Travel services. BCcampus. Retrieved May 21, 2021, from https://opentextbc.ca/introtourism/chapter/chapter-7-travel-services/ Lau, C. (2016). Meetings, incentives, conventions and exhibitions. Retrieved May 21, 2021, from https://www.edb.gov.hk/attachment/en/curriculum-development/kla/pshe/references-and- resources/tourism/MICE_English_2016.pdf Lim, R. D. (2012). Principles & scopes of tourism. Mindshaper Co., Inc. Merriam-Webster. (n.d.). Accommodation. In Merriam-Webster.com. Retrieved May 21, 2021, from https://www.merriam-webster.com/thesaurus/accommodation National Economic and Development Authority. (2021, June 21). About NEDA. https://www.neda.gov.ph/about-neda/ Nayong Pilipino Foundation. (n.d.). Mandate. Retrieved May 21, 2021, from http://nayongpilipino.gov.ph/mandate/ Personal, Social and Humanities Education Section Bureau. (2013). Tourism and hospitality studies. Retrieved May 21, 2021, from https://www.edb.gov.hk/en/curriculum-development/kla/pshe/references-and- resources/tourism/index.html Philippine Retirement Authority. (n.d.). About PRA. Retrieved May 21, 2021, from https://pra.gov.ph/mandate-vision- and-mision/ Philippine Statistics Authority. (2020). Share of tourism to GDP is 12.7 percent in 2019. Retrieved May 21, 2021, from https://psa.gov.ph/tourism/satellite-accounts/id/162606 The Tourism Act of 2009, R.A. No. 9593. (2009, May). TIEZA. (n.d.). Tourism infrastructure and enterprise zone authority. Retrieved May 21, 2021, from https://tieza.gov.ph/ Tourism Promotions Board Philippines. (n.d.). Mandate. Retrieved May 21, 2021, from https://www.tpb.gov.ph/about/mandate/ Tuazon-Disimulacion, M. A. (2016). Principles of tourism 2. Books Atbp. Publishing Corp. United Nations Educational, Scientific and Cultural Organization. (n.d.). Sustainable Tourism UNESCO World Heritage and Sustainable Tourism Programme. Retrieved May 21, 2021, from https://whc.unesco.org/en/tourism/ United Nations Educational, Scientific and Cultural Organization. (n.d.). UNESCO in brief - mission and mandate. Retrieved May 21, 2021, from https://en.unesco.org/about-us/introducing-unesco 02 Handout 1 *Property of STI [email protected] Page 6 of 6