Brexit's Impact on Australian Tourism Industry: A Tourism Plan for Overcoming the Challenges

TOURISM PLANNING AND
ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
Brexit affects Australian tourism.....................................................................................................1
Background......................................................................................................................................2
The rationale of the tourism plan.....................................................................................................4
Increasing travellers’ attraction...................................................................................................4
Easy access to visa.......................................................................................................................4
Overcome impact on the Australian economy.............................................................................5
The scope of the tourism plan..........................................................................................................5
In the tourism industry.................................................................................................................5
Overseas collaboration.................................................................................................................6
Global competitiveness................................................................................................................6
The growth of the Australian economy.......................................................................................7
The process of the tourism plan.......................................................................................................7
Setting objectives.........................................................................................................................7
Stakeholder engagement with possible solutions........................................................................7
Implementation............................................................................................................................8
Revision.......................................................................................................................................8
Changes in tourism plan..............................................................................................................9
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
The tourism sector of any country depends upon the server aspect of the host country as
well as the trading partner countries (Low, 2016). In the same manner, the Brexit creates the
considerable situation for Australian tourism industry (Rumbens, 2016). In this context, the
present report is based in the impact of Brexit on Australian tourism industry. With the help of
several studies, the impacts have been analyzed and understand the importance of minimizing the
impact. In this regard, a tourism plan is recommended to overcome the impact of Brexit on the
tourism industry. It further increases the sustainability of tourism sector with the involvement of
key stakeholder as government and industry representative.
Brexit affects Australian tourism
The political stability of the country affects the business of dependent countries as well as
the country’s economy (Yeung, 2017). In this regard, the Brexit has the huge impact on the UK
economy as well as Australian tourism industry because in Australia around 9% tourists came
from the UK that’s why it is the key source market for Australian tourism sector (Wykes, 2016).
Owing to this, the Brexit createsthe direct impact on the Australian economy. However, the
variation in UK GDP has the great impact on the dependent overseas market. Further, the
downturn in the financial income of UK public forced them to prevent travel plans. Owing to
this, the Australian tourism industry negative influence by the lower growth of UK GDP. In this
regard, the political stability accelerates the economic growth of a country (Ramadhan et al.
2016). Furthermore, the lower pound value imposes UK people to lower investment in visitation.
Therefore, the political condition of the UK creates the significant impact on the Australian
tourism sector and forced to downturn.
The tourism is the fastest growing industry in Australia has significantly contributed to
the Australian economy. In this context, it contributes in Australian GDP with 3% of total GDP
and gives 4.3% employment to Australian public (Turner, 2018). Thus, the Brexit
hasconsiderable for the Australian economy. Further, it creates the barrier in the revenue
generation for tourism sector of Australia.
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Background
The Brexit influenced the relationship between the Australia, EU and UK. In the present
time, Australia has been establishing a free business contract with EU and wants to establish
another contract with the UK (Rumbens, 2016). Owing to this, the regulations may vary when
Australia wants to export and import goods from the EU and UK. However, the EU and the UK
are the key business partner for Australia (Taylor, 2018). Further, both EU and UK caused the
decline in the Australian trade export share in 2016 with 6.1%which significantly affected the
Australian economy (Rumbens, 2016). In this regard, Brexit has influenced the trade relationship
with the UK and creates business uncertainty which needs the specific attention of regulatory
authority so that suitable strategies can be framed so as to look into the issue. Furthermore, in the
Australian tourism, Brexit creates the issue for lower consumer attention, poor employment and
consumer mindset for higher saving. All these issues create the barrier in the Australian tourism
growth.
At the same, UK work as a gateway in creating an entrance for Australian business firm
into other EU member countries (Australian Institute of International Affairs, 2018). Thus, it
influenced the trading relation with other EU member countries. Therefore, the Brexit construct
the negative impact on every Australian industry which has import and export trade with EU and
UK. Moreover, the Brexit influenced the global competitiveness of the Australian tourism
industry. This is because older marketing strategies will not enough for new political and
business environments of Britain (Yasarata et al. 2010). Therefore, the Brexit influenced those
issues of Australian businesses which are imperative for maintaining the global competitive
edge.
In the present time, every countrytargets to take independent decisions in several contexts
like trade agreements with other countries (Low, 2016). Further, they avoid the interference of
other countries and groups in their decision and in relation with other countries. This gave rise to
Brexit so that UK could operate freely and form the relationship with other countries which are
not included in EU. However, currently, EU regulations are followed by the UK in every context
which might not be effective or favourable in every context (Taylor, 2018). Owing to this, Brexit
would be helpful for the UK to set up their independent trade policies and does not rely on one
EU policies. Although, members countries also provide benefit for several nations in term of
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