ECO332 Assignment: Government's Impact on Australian Tourism Industry

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This report examines the significant impact of the Australian government on the nation's tourism industry. It highlights the substantial growth in visitor numbers, from 2.5 million in 1992 to 6.7 million in 2014, with contributions from countries like China and India. The report emphasizes the government's role in business growth, including funding shortfalls in national parks and the need for private investment to enhance infrastructure and innovative practices. The aviation policy and the liberalization of access to major cities like Melbourne, Brisbane, Sydney, and Perth are also discussed. The report further analyzes the influence of government policies and strategies, such as Tourism 2020, designed to enhance competitiveness and resilience, aiming for $115-$140 billion in annual visitor spending by 2020. It also covers destination marketing, major event support, border processing, tax concessions, and funding for research and development. The government's investment in marine tourism, zoos, and sanctuaries is also highlighted, along with the preservation of Aboriginal heritage. The report concludes by emphasizing the positive changes in the Australian tourism industry due to these marketing campaigns.
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0AUSTRALIAN TOURISM INDUSTRY
Australian Tourism Industry
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1AUSTRALIAN TOURISM INDUSTRY
The impact of Australian government on the tourism industry of the country
The land of Australia has become a central place for the tourism industry. It is clearly
visible that the industry has undergone huge development over the past two decades. There is a
significant hike in the number of visitors which has risen to 6.7 million as found in the year 2014
from 2.5 million in the year 1992 (Australian Government-Productivity Commission). It has
been found that China, India have contributed remarkably in the supply of visitors to Australia.
On the other hand, the number of visitors from the countries like United States, Japan and United
Kingdom. The country has increased the business of the tourism industry by their innovative and
adapting nature.
In terms of business growth, the government of Australia has an important role to play.
The country national parks have been facing some funding shortfalls, due to tired infrastructure.
Hence, there is a need of more private investment in order to heighten the funding source and
tourism related innovative practices. The aviation policy of Australia has proved to be a bigger
support for the country (Mason). Hence, it is thought that if the access to the major gateway
cities of the country like Melbourne, Brisbane, Sydney and Perth is liberalized, the benefits
would surely increase. The Australian community and the international tourism industry of the
country will be equally privileged by it. The international visitors are attracted more by the
international destination marketing and the support for the major events.
The Australian Tourism industry has been found to be highly influenced by specific
government policies and strategies. The Tourism 2020 is one such strategy that designed by the
Australian Trade and Investment Commission (Austrade) and Tourism Australia. This strategy
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2AUSTRALIAN TOURISM INDUSTRY
has been designed to establish the competitiveness and resilience of Australian tourism industry
addressing some essential factors that governs the supply of the tourism services such as labor,
Investment, tourism and supply related infrastructure. It is provisioned that by the year 2020, the
goal of achieving a strong economic status by the visitor spending annually between $115 - $140
billion. It has been found that Tourism 2020, is the outcome of a policy process that began in the
year 2008 (Pc.Gov. Au). The intention was to establish a tourism strategy that would be of a long
term to mitigate the issue of international tourism decline of Australia. The robust governance
arrangements, transparent government funding allocation processes, commonwealth procurement
rules, efficient strategic planning, suitable risk management are among the best qualities of
Tourism Australia. Since the inception of Tourism 2020, there is a moderate growth visible at the
end of year 2016 (Australian Government-Productivity Commission).
Another effective government involvement in the international tourism industry of
Australia is the destination marketing. It is the process by which the operator of a particular
destination is brought together in order to promote that destination as a whole in order to
fascinate the guests. In the Australian context, major events are produced for which the
government is responsible that undeniably brings huge benefits for the businesses and the
industry as well(Australian Government-Productivity Commission). There are some government
policies to that are not completely but have a remarkable impact on the international tourism
industry of Australia.
The government plays a major role in the border processing because there is a major
percentage of visitors which prefers airlines to arrive in Australia. The government must look
into the aspects such as visitor attraction, accommodation, infrastructure in the transports and
invest where necessary to achieve bigger benefits. One of the most effective destination
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3AUSTRALIAN TOURISM INDUSTRY
marketing campaigns is tax concession. This is an effective step taken by the government of
Australia to increase the number of visitors per year and subsequently enriching the tourism
industry of Australia. Another support from the government is funding for the research and
development. The recent growth in the popularity of Marine Tourism has enabled the Australian
government to invest in the coastal areas of the country such as Melbourne and others (Biggs et
al.).
The government has also supported the zoos and sanctuaries such as the Adelaide ZOO,
Melbourne zoo, Monarto zoo that has completely changed the declining scenario of the
Australian tourism industry (travelweekly.co.uk.). It has radically increased the number of
arrivals most of which include the scientists coming for their research purpose. It enhances the
grandeur of the country and most importantly government also holds policies to preserve the
unique heritage of the aboriginal community their culture. It has been staying a central place of
attraction for people of abroad countries. The Queensland Tourism Industry Commission reports
that these events have supported Australia to receive $880- $1071 million of revenues. Such
marketing campaigns have definitely changed the face of the Australian tourism industry and
there is clearly visible improvement in this industry.
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Reference
Australian Government-Productivity Commission. Australia's international tourism industry,
2015.
Biggs, Duan, et al. "Marine tourism in the face of global change: The resilience of enterprises to
crises in Thailand and Australia." Ocean & coastal management 105 (2015): 65-74.
Mason, Peter. Tourism impacts, planning and management. Routledge, 2015.
Pc.Gov.Au, 2018, https://www.pc.gov.au/research/completed/international-tourism. Accessed 14
Nov 2018.
travelweekly.co.uk. "{{Metatags.Other['Og:Title']}}". {{Metatags.Other['Og:Site_Name']}},
2018, http://www.travelweekly.co.uk/articles/316559/queensland-to-align-in-uk-with-tourism-
australia. Accessed 14 Nov 2018.
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