Trends, Systems, and Impacts of Tourism in Australia and Globally

Q1: Trends identified in relation to global and Australian tourism
In a rejoinder to the contemporary economic, political and social realities, the contemporary
trends in relation to global and Australian tourism include:
a) Continued progress: 4-5% growth in the global travel sector; 4.4-6.5% growth in
Australian tourism.
As projected, tourism will be one of the largest of industries in the world by 2020. Currently, it is
the largest industry in Australia and the third in the United States behind automotive sector and
food stores. According to reports from the World Travel and Tourism Council, tourism
accounted for about 10% of the global GDP and employed nearly 230 persons (Seliverstova, 2016,
p. 56).
b) Time poverty
World’s population suffers from time poverty; this generally means that many people have
insufficient time to do what they want at any given time. Most Australians and Americans work
an average of nine hours full weeks annually as compared to other nations. Because people have
less free time, there is intense competition for the rare leisure hours. As the museums continue to
extend, the number of attendance is decreasing since people are held up in other duties.
c) Delicate consumer buoyancy affecting travel decisions
Consumers’ analysis of the current status continues to grow to more adverse, signifying that the
economy remains trapped in low gear. Upfront, the economic position of the consumer is so
depressing that Expectation Index has got to a new all-time low.

Other trends are high-ceilinged fuel costs affecting every feature of travel- a huge challenge for
the travel industry, disaster & catastrophe preparation such as terrorism, weather, natural
disasters, Avian Flu and youth sports among much more (Giampiccoli, 2015, p. 683).
Q2: Making use of the tourism systems discussion
A complete tourism system entails interdisciplinary perspective on structures, roles,
environmental issues as well as management. The sector has three fundamental concepts in its
model, and they are related but distinct. The concepts include tourist, tourism and tourism
industry. Tourism as a system is defined in terms of its constituent components that are classified
as i) human element, ii) geographical elements, and iii) industrial element (De Noronha et al.,
2011, p. 233). Whole tourism systems are individuals, places, and institutions that interact in
specific functions when tourism takes place. It has five elements; at least a tourist, one tourist
creating a place, destination location, transit route and at least one tourism industry.
Tourism, as discussed above, is adapted from the model that was made by Neil Leiper. It focused
on the spatial elements. In a system, all divide sections work together to make the system operate
perfectly. A system, therefore, has parts which consist of interconnected elements and influence
each other to do tourism work as required. Tourism has a system that includes components
(companies, tourists, and destinations), interconnected (supply and demand) and external
environment such as political, economic and social factors (Chang et al., 2015, p. 59). Tourism
as an industry include all activities of the organizations and facilities that are made to provide
service and more particularly specific needs and wants of the people regarded as tourists. The
services range from accommodation transport to attraction sites as well as sporting activities.

Q3: Impacts of tourism: matrix
Tourism is developing and developing at high speed. It is developing faster than the global
economy. Tourism has several economic impacts and contributes substantially to sales, jobs, tax
income and revenue in an area. The most direct impacts on benefits take place within the main
tourism industry such as accommodation, amusements locations, transportation, and retail trade
(Madsen & Jie, 2010, 325). The major motivation for a location to encourage itself as a tourism
destination point is the projected economic development or increase in the area. The expected
economic improvement comes along with other negative and positive effects on the people and
environment within a given area. According to reports from the World Tourism Organization,
nearly 680 million people toured a foreign nation in 2000, spending amount more than 478
billion US Dollars.
Direct, Induced and Indirect impacts
A typical economic impact examination tracks flows of money from tourism expenditure, first to
business and government agencies where tourists use up their money and then to other
businesses such as supplying products and services to the businesses related to tourism activities,
households (people working in the tourism sector) and to government through different taxes and
charges on the tourism businesses (Hughes & Shields, 2007, p. 192).Therefore, direct effects
include production changes connected with immediate effects in tourism expenses; indirect
effects are the changes the come as a result of various re-spending on the tourism industry while
induced effects are the changes that come through economic activities from households spending
of revenue earned directly as a result of tourism expenditure.

Question 4
In Australia, tourism is an essential component of the country’s economy. In the financial year
2016/2017, tourism contributed 49.7 billion Australian dollars to the Australian GDP. This
translates to an increase of 6.1% growth from the previous year and the income from tourism has
been increasing for the last three years. Compared to national economic growth for the last three
years, tourism is growing at a relatively higher rate. The industry employees close to 600
thousand employees, some of whom are part-time employees and others work full-time. The
Australian tourism industry comprises of domestic and international visitors who visit various
popular destinations in the country. Some of the significant points of interest in the tourism
sector include the coastal cities of Melbourne and Sidney as well as unique Australian wildlife.
Tasmanian wilderness, Uluru, the world’s largest reef (Great Barrier Reef), and Gold Coast are
some of the other favorite locations in Australia.
Currently, domestic tourism contributes the highest percentage in the tourism industry as it
represents 73% of the total GDP from tourism. According to the report released by Australian
Bureau of Statistics in 2015, the number of visitors visiting Australia increased by 2.2% and this
trend is expected to continue for the next five years. In March 2017, there were 872, 400 visitors
arrivals in the country which is a 13% increase from the numbers recorded for the same period
the previous year. For the year ending March 2018, the total number of visitor recorded reached
9 million which is 7.7% increase from the previous year. Most of the visitors come from China,
India and South Korea.
Question 5