Impacts of the Australian Exchange Rate

This research report explores the impacts of the Australian exchange rate on the number of tourists visiting Sydney from Nepal. It discusses how the weak Australian dollar has made Sydney a more affordable destination for tourists, leading to an increase in tourism-related industries and employment opportunities. The study also includes data analysis and ethical considerations in conducting the research.

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IMPACTS OF THE AUSTRALIAN EXCHANGE RATE
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Title: Research on the Impacts on Tourists Arrival in Sydney from Nepal
Introduction to problem statement and purpose of study
Tourism is the deed of going to another place away from to spend time leisurely, relaxing
and visiting the different places in that place. It also includes business reasons, education and
visiting friends and relatives. Tourism always involves paying for services and goods received by
the tourists and also paying for the places they visit. Money got from tourism is used by the
particular country in many ways, it may be used in development and infrastructure. Sydney in
Australia is the leading tourist destination for those who visit Australia for tourism. In 2012 there
were 10.5 million visitors and 4.3 million of them stayed within the city. The local community of
Sydney benefited directly from the tourists who stayed within the city. $1 billion dollars was
spent by them in shopping and another $2.8 billion spent in the hospitality industry excluding
already paid online accommodation fee. Most sites that attract tourists in Sydney are; Sydney
Opera house, Darling Harbor, Sydney Harbor bridge, Harbor Cruises from Circular Quay and
The Rocks. In 2018, there were 4.05 million international visitors and 10.67 million domestic
visitors. That means the numbers went up leading to a particular aspect being favorable. The
exchange rate of any country determines the number of tourists visiting that country. The
researcher in this report presents how the exchange rate of the Australian dollar has affected the
number of tourists streaming into Sydney from Nepal.
The number of tourists in Sydney Australia has been increasing for the past few years and
the number is expected to rise even more. The main reason found to bring the increase of tourists
is the weak dollar of Australia. The weak dollar enables the tourists to spend less in travelling
and also to spend in buying products and services. With the affordable rates large families are
able to come for holidays in Sydney. When rates are normally not friendly the number of family

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members tend to be reduced and even when they come, they do not stay for long since money is
needed every day as a tourist. Most of the tourists go to Sydney for leisure while some are found
to go visit those studying there (Plummer, 2019). There has been an increase of number of
students of Nepal studying in Sydney. A lot of Nepalese has preferred to study in Australia with
a number of 51, 334 being allowed by the government to study in Australia. Many cite the good
quality of education, the work-study wages which is higher compared to other countries which
enables students to pay their tuition with much ease and the peaceful environment offered to
student foreigners.
With increase of tourists to Australia has also caused an inflation in the tourism industry.
The increase of tourists has promoted industries such as transport, education, restaurants and
local businesses. Such businesses have evolved to change the lives of the local people in Sydney.
The tourism industry has boomed in Sydney especially the cruise ships. There has been an
increase in them lately. Two hundred and sixty-five ships docked the Sydney Harbor in
2012/2013. A study done by the City of Sydney in 2015 found that the impact caused by the
Cruise ships on the economic sector generated a total of $350 million in 2010/11 and is expected
to rise further in 19/2020 to $1.1 billon. The transport industry has benefitted from the influx of
tourists because of the many travels done by the tourists to different destinations.
Employment sector is also not left behind. Due to the exchange rate of the Australian
currency that has led to an increase of tourists from Nepal there has also been an increase of jobs
offered. The tourism industry has offered 486, 000 j0obs to the locals of Sydney. 171, 100 locals
were employed directly in hotels, transport systems, beauty and spa saloons, bars, translators,
take away services, retailers, and accommodation. Increase in employment has improved the
lifestyles of the people of Sydney.

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In 2018, more women toured Australia compared to men. Approximately 4.8 million toured
Australia compared to men. This means businesses that were mostly for serving women like
saloons and the hair industry had an increase in its sales.
Research design
The researcher chose to use interviews as a way of getting data. This is because it was a good
way of gathering data from the Nepalese which gave the researcher an assurance of the true
picture. The researcher conducted the interview of three ladies and three men all from Nepal.
The research was done in Sydney to find out from those who had actually went for tourism how
they found it and if they found the Australian Dollar Exchange was favorable and if they would
come back again. The research done took place between April and May 2019. The six Nepalese
were interviewed through a series of questions. A problem qualitative research was done so that
the impacts of the Australian Dollar exchange may be known precisely. The researcher also
focused on explanatory research because a lot of knowledge was needed and furthermore
because this particular kind of research has not been done extensively (Yousaf, 2019).
Data collection methods
The researcher used interviews because interviews gives a full detailed information that is
required. This is because the interviewer can ask the interviewee all the questions need for
clarification (Griffiths, 2010). The researcher can be able to determine whether the information
the interview giving is true or not by looking at the facial expressions. Although questionnaires
would have been used too, they normally do not give instant answers and only give brief answers
which may lock out some important information. The one filling the questionnaire may also not
be truthful.

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Qualtrics survey
The researcher in the Qualtrics survey used open-ended questions in order to get freely all
the answers they were receiving without feeling pressure. Open-ended questions give room to the
researcher to get more information. The researcher was able to get a better understanding of the
area of study. These kinds of questions allow the respondent to give an answer in relation to their
feelings and expressions.
“how much did you spend as airline transport?”
“how much did you spend on food and accommodation”
“did you find the Australian Dollar Exchange rate friendly?”
“would you come back to Sydney for tourism in the future?”
“how do you find the tourism industry and services in Sydney?”
“how do you find the rate exchange here in Sydney compared to that of Nepal?”
“how do you think the rat exchange has affected the tourists from Nepal?”
“why do you prefer Sydney Australia to other places?”
Sample selection
The researcher used probability sampling selection. The data required was expected to be
precise and that is why probability sampling was chosen. The advantages of probability sampling
are; it is easy to use presentation is normally accuracy. Cluster random sampling was done
because of its convenience with the research. A group of three people from each gender were
selected to represent the girls and gents. The Nepalese citizens who were in Sydney were the

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ones who took part in the research. The Nepalese citizens who loved to travel were the target
population. It is from them that the researcher found answer concerning the impact of exchange
rates on tourism.
Data analysis techniques
Data analysis is the act of geographically or statistically representing raw data. The
researcher chose to use scatterplots to display the data. One of the advantages of scatterplots is
that it shows the difference between two variables. The data was presented in terms of pie charts
so that it would be easy to analyze it. Pie charts have the advantages presenting the data visually
as a representation of the whole data (Ben-Tovim, Asnash, Hoter, and Microsoft, 2009). They
also can carry multiple data sets and these sets can be divided further.
Ethical considerations
A lot of people who are normally being interviewed for information always fear to be
seen publicly giving information or having to answer really private questions. The researcher
obtained the necessary document from the local government in order to continue with the
research. Without the documents then the research would not have gone to its completion, the
authorities would not have taken it lightly. The risk of the Nepalese was taken care of. They did
not have to be seen publicly giving information If they did not want too. Most of the interviews
were held within closed doors for their safety. Private questions were not asked, the questions
remained within the scope of the research. The taboos of the particular area were not defied so
that the interviewers would be confident in what they said. The interviewers were kept
anonymous too. This was done by not taking their personal addresses, email addresses, phone

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numbers and their full names. The collected data was then stored in a flash drive after a
compilation was done. The collected data was kept away from the eyes of any other people apart
from those intended.
REFERENCES
Ben-Tovim, Y., Asnash, L. and Hoter, D., Microsoft Corp, 2009. System and method for
interactive grouping of pie chart slices. U.S. Patent 7,583,266.
Plummer, F. (2019). International tourisms flock to Australia to spend big on weak dollar.
[online] The New Daily. Available at:
https://thenewdaily.com.au/life/travel/2019/01/13/australia-international-tourism-figures/
[Accessed 29 May 2019].
City of Sydney (2015). Tourism - City of Sydney. [online] Cityofsydney.nsw.gov.au. Available
at: https://www.cityofsydney.nsw.gov.au/business/build-your-skills-and-knowledge/
business-research-and-data/business-in-your-sector/key-industries/tourism [Accessed 29
May 2019].
Yousaf, M. (2019). Explanatory Research Definition, Explanatory Research Types, Comparison,
Advantages, disadvantages. [online] ScholarshipFellow. Available at:
https://scholarshipfellow.com/explanatory-research-definition-types-comparison-
advantages-disadvantages/ [Accessed 29 May 2019].

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Griffiths, M.D., 2010. The use of online methodologies in data collection for gambling and
gaming addictions. International journal of mental health and addiction, 8(1), pp.8-20.