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Tourism

C H A P T E R. C H A P T E R. Tourism. 2. Current Characteristics. Characteristics… Year-round economic driver 10.6% of world GDP makes it world’s largest industry 7.8% of global workforce Support the creation of over 5.5 million jobs per year over next decade.

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Tourism

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  1. C H A P T E R C H A P T E R Tourism 2

  2. Current Characteristics • Characteristics… • Year-round economic driver • 10.6% of world GDP makes it world’s largest industry • 7.8% of global workforce • Support the creation of over 5.5 million jobs per year over next decade

  3. Current Characteristics • Characteristics (cont.)… • Leading producer of tax revenue • 8% of all jobs worldwide will depend on the industry

  4. Tourism Defined • Tourism… • Comprises activities of people traveling to and staying in places outside their usual environment

  5. Tourism Defined • Tourism (cont.)… • Not more than one consecutive year for leisure, business, and other purposes

  6. Definitions • Tourist… • A person who stays for more than one night and less than one year

  7. Definitions • Visitor… • A person who visits a country other than where they reside for not more than one year • Excursionist… • A person who travels to a site and returns the same day

  8. Can You Use These Categories to Define Tourism? • Tourism… • Geography • Ownership • Function • Industry • Motive

  9. First Age of Tourism • Pre-Industrial Revolution… • Phoenicians were first travelers • Trade was motivation • Romans also traveled • Most medieval travel was of a religious nature

  10. Second Age of Tourism • Railway age… • First railroad in U.S. built in 1830 • By 1869 transcontinental travel

  11. Second Age of Tourism • Railway age (cont.)… • AMTRACK created in 1971 • Rail travel is big in Europe and Asia

  12. Third Age of Tourism • Automobile Travel… • Production of automobiles began in 1891 • Almost 200 million automobiles are registered today

  13. Fourth Age of Tourism • Air Travel… • In 1903 the Wright brothers made their first flight • The first U.S. scheduled air service was in 1915

  14. Six Freedoms of Air Travel • Air Travel (cont.)… • Right to fly across another nation’s territory • Right to land in another country • Right to disembark passengers and cargo • Right to pick up passengers and cargo • Right to transport passengers and cargo • Right to carry traffic from a foreign country to the home nation and beyond

  15. Airline Deregulation • Air Travel (cont.)… • Change occurred in 1978 • Purpose is to allow a free market of competition (fare structures) • Change in companies and the way airlines are doing business

  16. Fifth Age of Tourism • Cruise Ships… • A floating resort • Has increased 800% from 1970 to 2000 • Most cruise ships sail under foreign flags

  17. Fifth Age of Tourism • Cruise Ships (cont.)… • Approximately 7 million Americans could/will be cruising each year

  18. International Organizations • International Organizations… • WTO - World Tourism Organization • http://www.world-tourism.org • IATA - International Air Transportation Association • http://www.iata.org • ICAO - International Civil Aviation Organization • http://www.icao.org

  19. International Organizations • International Organizations (cont.)… • WB - World Bank • OECD - Organization for Economic Cooperation and Development • http://www.oecd.org • PATA - Pacific Asia Travel Association • http://www.pata.org

  20. Domestic Organizations • DomesticOrganizations… • USTTA - United States Travel and Tourism Administration (defunct) • TIA - Travel Industry of America • http://www.tia.org

  21. State Offices of Tourism • State Offices… • PTC - Pennsylvania Travel Council • http://www.patravel.org • “Virginia Is for Lover’s” • “Ski Utah”

  22. City Offices of Tourism • City Offices… • CVB - Convention and Visitors Bureaus • http://www.libertynet.org/phila-visitor • Philadelphia CVB • Valley Forge CVB

  23. Economic Impact of Tourism • Economic Impact… • WTTC - World Travel and Tourism Council • Tourism is growing twice as fast as world GNP • Look up the current statistics on tourism • http://www.wttc.org

  24. Multiplier Effect • Multiplier Effect… • New money spent by tourists is then re-spent by hotels and restaurants in the community for goods and services =

  25. Leakage • Leakage occurs… • When money must be spent outside the community for goods unavailable within the community • Caribbean Islands… • Where do they get their milk, cheese, eggs, and meat?

  26. PromotersTravel Agencies • Travel Agencies… • Serve as a middle person • Agents use computer systems • Make money based on commissions • What does the future hold for promoters?

  27. Corporate Travel Managers • Corporate Managers… • Work within a large corporation • Can still work with travel agencies • Can also be the “meeting planner”

  28. Travel and Tourism Wholesalers • Wholesalers… • Consolidates services • Airlines • Other transportation carriers • Ground service suppliers • Tours • Sold to the public

  29. National Offices of Tourism • National Offices… • U.S. now has an NTO • Private organization • Examples of other NTO’s • Canada • Germany • Australia

  30. Destination Management Companies (DMCs) • DMC… • Service organizations • Meets the needs of their clients • They sell destinations • Meeting planners • Incentive companies

  31. Most Common Reasons for Travel • Travel… • Business • 20% • Leisure travel • 70% • Other • 10%

  32. Why People TravelBusiness Activities • Business… • Elastic • Non-seasonal • Conventions • SMERF

  33. Why People TravelLeisure Time • Leisure… • Experience new surroundings • Different cultures • Rest and relax • Visit friends and family • Sporting/recreation activities

  34. Why Will Leisure Travel Increase • Leisure (cont.)… • Longer life span • Flexible working hours • Early retirement • Greater ease of travel • Shorter, more frequent trips

  35. Social and Cultural Impact • Impact… • Tourism pollution • Cultural awareness • Higher levels of employment

  36. Eco-Tourism • Eco-Tourism… • Buzzword • Seeks to minimize the impact of tourism • Natural environment and native cultures

  37. Current Trends in Tourism • Trends… • Tourism will continue to rise by about 8% annually • Increased governmental recognition • More bilateral treaties • Shift from public to private sector

  38. Current Trends in Tourism • Trends (cont.)… • Increased internet bookings • Increased technology is a certainty • Ticket-less travel will increase • Increased corporate alliances/acquisitions

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