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SUSTAINABLE DEVELOPMENT IN RURAL INDIA THROUGH TOURISM

SUSTAINABLE DEVELOPMENT IN RURAL INDIA THROUGH TOURISM. Chinmaya Kiran Vadali. Athidhi - Enjoy, Enrich. Vision: To showcase and promote the best of authentic Indian traditions through premium hospitality destinations

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SUSTAINABLE DEVELOPMENT IN RURAL INDIA THROUGH TOURISM

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  1. SUSTAINABLE DEVELOPMENT IN RURAL INDIA THROUGH TOURISM ChinmayaKiranVadali

  2. Athidhi- Enjoy, Enrich • Vision: • To showcase and promote the best of authentic Indian traditions through premium hospitality destinations • Ensure holistic development by preserving cultural diversity and through eco-tourism • Harmonizing with surroundings and enhancing the quality of life by harnessing local creativity

  3. Context of CINE • Sustainable development is a three step process • Seed Development (May or may not be innovative) • Irrespective of sustainability, basic needs like food, shelter and clothing NEED to be fulfilled. • INNOVATION • Innovation is expressed in cases where existing processes are sub-optimal • Sustainability • Achieved by harnessing local resources and culture

  4. The idea: • Cottage style resorts made with reinforced local material • In villages (Pochampalli, Zainabad, Guruvayoor and so on) • Closer to natural assets like waterfalls, forest reserves etc. in about a 100 mile radius. • Promoting local culture in all respects • Architecture (design, construction) • Food, hospitality and Entertainment • Employee base • Eco tourism • Value Proposition: • Unique get away from city life • Exposure to exotic traditions and culture • Nature’s embrace, meeting PEOPLE http://www.desertcoursers.net/resort.htm

  5. Existing resources and shortcomings • Government owned resorts • Few destinations • Fewer accommodations • Bureaucratic hassles in improving • Only the already well-known products promoted • Leave a lot to be desired http://www.exploreruralindia.org/

  6. Continued… • Private accommodation – homestay tourism in Sikkim • Dedicated space in home for tourists’ stay: Source of income for local families. • Not scalable model • House etc. are necessary investments before families can earn • Culture promotion is not organized. • Resorts like Zainabad Resort: • Precedent for our model but very few in number http://www.nivalink.com/sikkim/homestay.html

  7. Operating Model • 4 eco-friendly resorts (initially) spread across India to cover all tourist seasons • Focusing 4-5 day packages • Less than 100 km from prominent tourist spots, close to traditional villages • Local architecture (Mud houses etc.) with basic modern amenities and necessities (W/C, Purified Water, optional A/C, power outlets, emergency phones, discouraging mobiles & internet), no plastic zones, alternate energy, rainwater harvesting • Managers recruited centrally, local villages form the employee base • Local cuisine, entertainment, arts & crafts • Complementary nature walks and tours • Company owned sales offices, exclusive online/telephone booking, promotion through social networking sites and liaising with government • Sales personnel for corporate marketing • Offering vocational training to villagers in off-season (hospitality, horticulture, cooking, crafts etc.)

  8. Revenues and Costs Sources • Three key sources of revenue: • Holiday package sales • Sales of local art, handicrafts etc. at resorts and at branch offices (boutiques) • Massages and art- of- living packages • Key Costs: • Infrastructure depreciation • Initial Capital investments • Advertisement and promotions • Employee base (in branches and at resorts) • Resort maintenance and vocational training related expenses • Raw material costs (for food, utilities, massages etc.)

  9. Revenue Estimates (INR)

  10. Costs & Profit Estimates

  11. Profit Estimates

  12. References: • http://www.exploreruralindia.org/ • Government of India initiative for rural tourism • http://rbh.in/Home/thrust_areas/rural_tourism.aspx • CII conference about promotion of rural tourism • http://www.desertcoursers.net/resort.htm • Zainabad resort (hosted ERI- an IIMA elective) • http://www.nivalink.com/sikkim/homestay.html • Sikkim home-stay resources

  13. Thank You

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