This case study focuses on the international tourism system of Kathmandu Valley, Nepal, from the perspective of Australian students. It analyses tourist visitation, attraction, issues, and impacts on the host community. The positive and negative impacts of tourism on the environment, socio-cultural aspects, and economy are discussed. The study also identifies and analyses issues related to tourism and destination development at the location. Finally, the study concludes with policy implications to achieve sustainable tourism outcomes for the destination.