Economy of a Developed Country and Tourism

Running head: ECONOMY OF A DEVELOPED COUNTRY AND TOURISM
Economy of a Developed Country and Tourism
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1ECONOMY OF A DEVELOPED COUNTRY AND TOURISM
Table of Contents
Introduction:...............................................................................................................................3
Developed economy:..................................................................................................................4
Government Influence:...............................................................................................................7
Tourism Development:...............................................................................................................8
Local impacts and business development:...............................................................................10
Conclusion:..............................................................................................................................12
References:...............................................................................................................................13

2ECONOMY OF A DEVELOPED COUNTRY AND TOURISM
Introduction:
The modern business world is observed to be significantly facing the impact of the
varying economy. The business entrepreneurs are seen to search for the sustainable business
opportunities and in doing so, they are facing the need to identify potential field of business
that will enable them the desired growth. Under such situation, the increment in the tourism
business is having a genuine impact on the modern day entrepreneurs as it is seen that the
concerned business industry is associated with significant growth and improvement over the
years (Sharpley & Telfer, 2014). The concerned business sector is considered as one of the
few industries which faces significantly less strict rules and regulation from the part of the
government due to the number of benefits that it offer to the regional society like the
economic development, the generation of the employment, the exchange of the culture,
tradition, language and the societal values (Chou, 2013).
However it is seen that the modern tourism industries and the growth of the business
associated with it, are notably dependent on the regional and the national economy of that
region. The various aspects of the national economy like the GDP, interest rates, foreign debt
on the nation, the value of the currency of that nation and the life style of the people of the
nation have great potential to influence the business (Webster & Ivanov, 2014). The variation
in the status of a country from developed to developing or vice versa is observed to affect the
tourism business in a significant manner as that has great influence on the intention of
purchasing of the people of that region. The paper is focused in the elaboration of a
developed economy in the form of Singapore with a precise focus on the various important
aspects of the economy like the GDP growth, interest rates, foreign debt, value of the
currency and the personal wellbeing of the people of the nation. Apart from this, the paper
evaluates the tourism development in the mentioned country and the contribution of the

3ECONOMY OF A DEVELOPED COUNTRY AND TOURISM
national government in that as well. In addition to this, the paper identifies a specific location
in the country and discusses regarding the actions that are needed to be taken in order to
develop the tourism business of that location.
Developed economy:
The definition of the developed country is observed to be significantly influenced by
some of the criteria in the modern business context. The tag is observed to be dependent on
the income per capita and the countries with high GDP that is the gross domestic product are
considered to be the developed countries (Stylidis & Terzidou, 2014). Apart from this, one
major aspect in the evaluation of the status is seen to be the industrialization where the
nations with the tertiary and quaternary sectors of the industry are seen to be considered as
the developed country (Boukas & Ziakas, 2013). Apart from these two, another important
aspect for the measurement of the development of a country’s economy is observed to be
with the Human Development Index or HDI (Bhuiyan, Siwar & Ismail, 2013). This
comprises with the economic measure, the literacy rates, the national income and the amount
of resources that a country is observed to have. Depending on the above mentioned criterions,
the chosen country for the paper is Singapore.
The factors that indicate the stage of development for the chosen country, Singapore,
is the high national income of 52600 US dollars per capita for the country in the year 2017
(Mof.gov.sg, 2019). Along with that, the country is seen to be at the 37th place in the list of
nominal GDP and at 39th in the PPP GDP rank. The GDP of the country in the year 2018 is
349.7 billion US dollar in nominal and in PPP, which is 554.9 billion US dollars
(Statista.com, 2019). Apart from this, the significant decrement in the rate of the
unemployment of the country is seen to be only 2.1% in the year 2017 (Mof.gov.sg, 2019).
The government is able to manage the inflation rate to only 0.4% in the year 2017