Tourism's Impact on Society and Economy

This assignment delves into the profound influence of tourism on society, encompassing its economic ramifications, social transformations, and environmental considerations. Students are tasked with examining both the positive and negative consequences of tourism across various aspects of life, ultimately contributing to a nuanced understanding of this complex phenomenon.

Impact and Effect of Tourism

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1. Analysing tourism system and determining the tourism supply and demand....................1
TASK 2............................................................................................................................................2
Task 2 ..............................................................................................................................................3
2.1 Tourist and effect of tourism on country's economy........................................................3
2.2 Three basic Forms of tourism...........................................................................................4
2.3 Demographical element -Lelipers Model.........................................................................4
2.4 Different types of sectors associated with tourism industry.............................................5
Task 3...............................................................................................................................................6
3.1 Elements of supply...........................................................................................................6
3.2 Elements of Demand........................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
When it comes to tourism visitors are more concerned about the destination, activities,
Beauty of place, food etc. All these factors make place looks beautiful and all these
elements are used by visitors. Destination management may have great impact on the
attractiveness of destination. Even if all the precautions and prevention methods are
adopted by government can only prevent destination from being destructed but it can not
minimise the negative impact of tourism on community. Tourism has both positive and
negative effect on the environment as well as society. The report has focus on identifying
the positive as well negative effect of tourism on society.
TASK 1
1. Analysing tourism system and determining the tourism supply and demand
Tourism system consists of a group of interlink, interdependent, and interaction of three
basic variables these are visitors, demographic, destination, and tourism sectors that
together develop functional construction.
In present scenario Tourism is the leading and dynamic developing industry which has
high development ratio and growth rate. It has allowed UK government to form reserve of
foreign currency (Clarke, I. III, and et.al., 2009)
Tourism is the sector in UK which is supporting government in generating higher revenue
by imposing tax. Tour and travel industries are assisting country in economic and overall
development. It is acting as promoter and helping country to get recognisance from people
worldwide. Various trends in industry has provided country to grow. Infrastructural
development, new management system and education level has great effect on the industry
that contributes to social and economic development of destination as well as country.
Many big countries which have focus utilising profit that are being generated by tourism
industry in social welfare. Travel and tourism industry are contributing a lot towards
providing employment to various people in society.
Tourism is a wide term that covers the various factors that regulate the level of demand.
The scale, range and magnitude of demand for tourism products changes over a period. The

changes or advancement in requirement of tourism goods may occur due to the new
visitors or change in trends of society.
There are various factors have great effect on tourism industry these are According to
Leipers model these elements are Destination that includes visitor developing place, Transit
route region, and travellers destination region. Travellers generating region is much influenced
by Push factor. Demand for Visitor destination location is much effected by pull factors.
(Heung, Kucukusta and Song,2011)
TASK 2
Illustration 1: Tourism System
Source:(Impact of tourism on society , 2017)

Task 2
2.1 Tourist and effect of tourism on country's economy.
A tourist can be defined as the person who is leaving his or her home town to visit a
different place for a purpose of getting a experience of entertainment, shopping, visiting, having
fun etc. But the condition implies that he or she should return to his or her home town within 12
months. A tourist make use of a tourist activity, spend his or money and travel to some different
place. In simple word a Tourist is a person who spend his or her money for travelling to a
different place for at least two days just for an experience (Ghimire,2013).
Tourism is an important sector nowadays that has an impact on the development of
country's economy. The main impact of tourism are income and job generations
(Goeldner,Ritchie2012). Tourism has become a main source of welfare for some countries and
region. It is an important source for generation of foreign currency. Tourism helps in bringing
attraction of the people around the globe to visit a particular place that helps in development of
the hidden beauty of the world . This also helps in providing employment for people in abandon
parts of the world. Since 2010 tourism has been the most fastest growing sector in the UK in the
terms of employment. Britain has predicted that it may have tourism industry of worth over 257
billions by 2025. The GDP and the employment has been improved by the tourism industry. The
following diagram shows the increase in GDP and Jobs generated by the tourism industry in UK
( 2010 – 2013).
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2.2 Three basic Forms of tourism
* Domestic tourism – The domestic tourism is concerned with travelling within the country. This
does not require passport or visa or foreign currency. This form of tourism has a great scope for
the countries with large dimensions as compared to the smaller countries Domestic tourism
simply means to travel within the boundaries of a country. For example – travelling to a different
city or state (Volo,2010).
* Inbound Tourism – If a tourist from another country visit UK he is an inbound tourist for UK.
If a person travels to another country for more than 24 hours and less than 12 months for a
purpose of business, fun or visiting he is inbound tourist for country he or she is visiting. The
inbound tourism is beneficial for any country for revenue generation which helps in the
economic development of the country (Tung and Ritchie,2011).
* Outbound tourism – A person travelling to some other country and staying there for more than
24 hours but less than a year for leisure, business and other purposes than he or she is an
outbound tourist for his or her home country. Outbound tourism refers to the tourism of resident
visitors outside the economic territory of the country reference. This requires exchange of
currency to spend in the country the tourist is visiting. Outbound tourism is also a popular
tourism as people love visiting other countries around the globe (Raj and Griffin,2015).
2.3 Demographical element -Lelipers Model
The Leipers model have focus on mainly three regions these are Travellers generating,
transit route, and Tourist destination region. This model states that demand for Visitors
developed region is much influenced by push factor. While demand and supply Tourist
destination place is much effected by pull factors. This hypothesis aim at improving motivation
technique, developing positive influenced on consumer, changing patterns of visitors flow in the
country. Leiper Model believes that there is much requirement for planned tourism development.
It has been identified that Tourism have great impact on economy, social and cultural factors.
Push factor- This element intends to motivate travellers to travel and visit particular destination.
The various push factor elements are unemployment, poor safety and security, poverty, high
crimes rates etc. These factors have great impact on destination and demand as well as supply of
tourism good and services.(Jackson, 2008)
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Pull factors-Destination has the potential to attract travellers to visit. Some elements of Pull
factor are potential of employment, better service provision, Low crime rate, good food suppliers
etc. These variables have great positive impact on visitors and these elements have great
potential to attract travellers towards them.
Function of destination as a pull factor in market provide tourism opportunity to promote
tourism activity. This all variables help tour and travel company to attract wide ranger and type
of tourist by providing them good quality of products and services at reasonable price.
Tourist Generating regions- These are the places where travellers begins their trip .Generating
regions are the place for significant market of tourism business.
Transit Route Region -There are the region between Travellers developed place and Tourist
destination .This is the location where visitors stay for particular period for various reason such
as exploring beauty of destination, changing flights, rest after a long travel etc.
Tourist Destination location-These are destination for which travelling has been conducted. At
this location travelling activities are conducted. It is required by UK government to maintain ,
develop destination places in order to attract more visitors.(Litvin, Goldsmith and Pan, 2008)
2.4 Different types of sectors associated with tourism industry
Tourism industry is defined as organisation or business that assist travel industry to
promote their product as well as services in market. Leipers Model consider Tour and travel
sector as the amalgamation of various industries such as Hotel, restaurant, transportation, etc.
In travel generating there are tour operators and travel agents. These people provide various
services to customers like online booking., guide, etc., Destination region consist of hospitality
industry and transportation sector. Hospitality industry include hotels, restaurants. Villas, etc.
These sectors provides food and accommodation facility to travellers. Transportation industry
allow travellers to visit from one place to another through various transportation modes such as
road, rail, airways and cruise. They allow visitors to have memorable experience of tour. It
caters the needs of both business and pleasure travellers by delivering a wide range of
accommodation facilities. This the leading sector in tour and travel industry. Demand of
hospitality industry increases during traditional seasons and especially in holidays.
Visitors demand recreational and adventurous activities at destination. Entertainment
industry provides recreational and entertainment to visitors by conducting various activities at
destination (Mehmetoglu, 2014)
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All these industries interrelate with each other in order to deliver goods of industry and
transacting product. It provides travel and tourism industry to analyse and fulfil the various
demands of tourist (Middleton and Clarke, 2012)
Task 3
3.1 Elements of supply
A continent is considered as earth seven important division of land. Some of Continents
are North America, Asia, South America, Asia, Africa , Australia , Europe and Antarctica. When
identifying continent geographers consider all the islands that are associated with Continents. .1
The main components of tourism supply are as follows -
Natural resources – This includes ate area for use and enjoyment for the visitors for example –
climate, beaches, flora , fauna, landmarks etc.
Infrastructure – this consist all the underground as well as the surface level buildings and
structures for example water plants, gas plants , electricity plants airports, hotels, resorts etc.
Superstructure – These are the ground services provides to the tourists like airports , bandstands,
restaurants, shopping centres, malls etc.
Transportation and transportation equipments – these includes air plains, Trains , ships, taxis,
auto-mobiles and so on.
Hospitality resources – This includes the best weather or climate of a place which can be suitable
for hosting the tourists. For example Courtesy, welcoming nature of the business employees,
willingness to serve, politeness etc. It also includes the cultural resources of an area such as
music, drama and arts.
There are different countries and continents which supply tourism for their uniqueness. For
example some countries are famous for beaches tourist are attracted to those countries for
enjoying their holidays near the beaches like California is popular for beautiful beaches.
Tourism is most important countries like France because its the most visited country in the
world.
millions visitors in a year for the Paris region and 79 millions visitors for the whole France
country. 8 Billion euro revenue from tourism + 30 million euros from tax revenue. As the huge
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number of people visiting the country, the Tourism of the country should be well developed as
its so important for the economy of the country.
3.2 Elements of Demand
The categorisation of tourist is depended on visitors' behaviour. Typology serve as
outline to tour and travel company as it assist them to identify the needs and demand of
consumer and deliver services and products accordingly. Typologies aid business entity in
determine the nature, type and quality of goods that tour and travel organisation should offer to
consumer that have same behaviour or attitude towards industry. It is required by marketer,
managers and planners to consider these typologies while planning and developing tourism
management activities (Molz, 2012. )
Plog's Psycho centric Model-
This model has classified visitors into two major categories on the basis of curiosity and
personality to travel at particular destination. These categories are Allocentric and Psycho-
centric.
Allocentric- This typology are adopted by those visitors those are interested in adventure
activities and seeks to have new experiences. These people generally prefer outings and posses
self confidence in them. Allocentric approach encourages visitors to explore and experience the
culture of destination. Generally this type of visitors specify the region and prefer to make their
own travel arrangements.
Psycho-centric- These people are generally conservative, inhibited and unadventurous.
Travellers with this type of approach have less curiosity to travel at strange location .Such
visitors prefer to visit familiar destinations. Individual is much concerned about safety and
security. Such person expects same facilities and activities at different destinations.
Cohen Tourist Typology-
This model categorise visitors into four categories such as individual mass tourist,
organised, explorer and drifter. This Hypothesis is similar to the Plog model that have focus on
organising and categorising tourist into various categories.
Organised mass tourist- These visitors are attracted by various tour packages. This operator
guides tour operator in making effective decisions. This type of people enables local people to
identify positive as well as negative impact of tourism and allow them to make suitable decisions
(Moutinho, 2011.)
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Individual Mass tourist- In this type of Typology visitors have some control over time
allocations. Majors arrangements are being made by tour and travel operators. Individual mass
tourist allow domestic people to explore various employment opportunities. It allows local small
tour and travel industries to generate income that can be utilised for social and economic
development of country.
Explorer- Travellers generally plan their own trips and try to eliminate developed visitor
attractions. Visitor with this type of topology intends to mix with Domestic people but still want
to protect themselves from negative effect of environmental factors. This type of tourist allow
local people to identify various ways in order to protect themselves from negative effect of
macro environmental factors and enable society to grow.
Drifter- People with this type of typology generally prefer to plan their holiday independently.
These type of tourist generally avoid visiting at attractive destinations and prefer to interact with
domestic people of host country .This has great impact on society as these travellers encourage
local people to improve their living standard (Puzakova, Kwak and Rocereto,2009)
CONCLUSION
It has been concluded from report that tourist have both positive and negative impact on
social, economic, and environmental factors. It contributes a lot towards social development and
generating employment for domestic people. It has been concluded from project that various
factors haver great influence on the demand and supply of tourism products and services. The
study have successfully described the tourism system and its elements. There are various
determinants of tourism supply and demands. This industry has been considered as large
contributor to employment and economic development of country.
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REFERENCES
Books and Journals
Ghimire K., B., 2013. The native tourist: Mass tourism within developing countries. Routledge.
Goeldner C.,R. and Ritchie, J.B., 2012. Tourism: principles, practices, philosophies (No. Ed. 12).
John Wiley and Sons, Inc.
Raj, R. and Griffin, K.A. eds., 2015. Religious tourism and pilgrimage management: An
international perspective. cabi.
Volo, S., 2010. Bloggers’ reported tourist experiences: Their utility as a tourism data source and
their effect on prospective tourists. Journal of Vacation Marketing, 16(4). pp.297-311.
Tung, V.,W.S. and Ritchie, J.B., 2011. Exploring the essence of memorable tourism experiences.
Annals of tourism research, 38(4). pp.1367-1386.
Carver, P. and Byrd, J., 2008. Marketing a European experience to the less traveled. Journal of
American Academy of Business. 14 (1). pp. 131‐6.
Chang, H.H. and Chen, S.W. 2008, The impact of customer interface quality, satisfaction and sw
itching costs on e‐loyalty: internet experience as a moderator. Computers in Human Behavi
or, 24 (6). 2927‐2944.
Christou, P. E., Sigala, P. M. and Gretzel, P. U., 2012. Social Media in Travel, Tourism and Hos
pitality: Theory, Practice and Cases. Ashgate Publishing, Ltd.
Clarke, I. III, and et.al., 2009. Student intercultural proficiency from study abroad programs. Jou
rnal of Marketing Education. 31. pp. 173‐81.
Heung, V.C., Kucukusta, D. and Song, H., 2011. Medical tourism development in Hong Kong:
An assessment of the barriers. Tourism Management. 32(5), pp.995-1005.
Jackson, L., 2008. Residents' perceptions of the impacts of special event tourism. Journal of Pla
ce Management and Development. 1 (3). pp.240 – 255.
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Litvin, S.W., Goldsmith, R.E. and Pan, B. 2008, Electronic word‐of‐mouth in hospitality and tou
rism management. Tourism Management. 29 (3). 458‐468.
Mehmetoglu, M., 2014. Tourist or traveller? A typological approach. Tourism Review. 59 (3). pp
.33 – 39.
Middleton, t. C. V. and Clarke, J. R., 2012. Marketing in Travel and Tourism. Routledge.
Molz, J.G., 2012. Travel connections: Tourism, technology, and togetherness in a mobile world.
Routledge.
Moutinho, L., 2011. Strategic management in tourism. CABI.
Puzakova, M., Kwak, H. and Rocereto, J.F. 2009. Pushing the envelope of brand and personality
: antecedents and moderators of anthropomorphized brands. Advances in Consumer Resear
ch. 36. pp. 413‐420.
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