Tourism Management: Accommodation Development in Bali - Report

This report outlines the importance of accommodation development in Bali for enhancing tourist comfort and improving tourism activities. It discusses the rationale for developing accommodation as a tourism product, emphasizing market competitiveness and sustainability. The report also covers relevant legislation and policies issued by the Bali licensing authority that govern tourism accommodation, categorizing different sectors within the industry. It addresses concerns about sustainable tourism development, considering environmental, cultural, and economic factors, and highlights the role of accommodation in achieving broader tourism objectives. The report emphasizes the need for effective policy implementation to address challenges in the tourism sector, technological advancements in accommodation, and the importance of environmentally friendly management schemes to enhance competitiveness. Desklib provides access to similar solved assignments and resources for students.

Running head: Tourism management 1
Tourism Management and Development in Bali
Student’s name
Professor’s name
Institutional Affiliation

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Executive summary
The purpose of this report is to outline how the development of accommodation in the Bali
destination region is a paramount step as it improves the comfortability of the tourists as well as
ensuring improved tourism activities.
A rationale for developing accommodation as a product do exist as it ensures that market
competitiveness of such a product is fully adhered to in order to ensure that the product stays in
the market without being obsolete at a faster rate.
The Bali licensing authority has issued several laws and policies which help in the smooth
running of tourism accommodation as well as the explanation of the different categories of the
accommodation sector.
Certainty of a sustainable tourism development is being concerned by the accommodation as a
product by considering environmental, cultural and even economical sustainability.

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Table of contents
Contents
Table of contents..............................................................................................................................3
Introduction....................................................................................................................................4
1. Development of Tourism product.........................................................................................4
2. Rationale..................................................................................................................................5
3. Relevant legislation.................................................................................................................9
4. Sustainable Tourism Development.....................................................................................12
Conclusion....................................................................................................................................15
References.....................................................................................................................................16

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Introduction
Being a land blessed with many adorable features which attract millions of locals as well as
internationals as tourists, it lies on the prime location of tropical climate with a good topography
on the Indonesian part of the world. It has several attraction sites which include temples, forests
e.g. the monkey forests, beaches, ancient markets, museums in addition to arts and culture
1. Development of Tourism product
A product that is being marketed either by an institution or a nation to visitors for the purpose of
attracting them so as to make a visit, as tourists with an aim of both psychological and even
physical satisfaction, on such an institution or nation and to have an experience on such product
is what is termed to be a tourism product (Maria,2011). The major tourism product in this
instance is chosen to be an accommodation which is highly secured, on the Bali destination
region.
This destination region, Bali, has its location on the eastern side of an island called Java. Major
parts of this region experiences a good number of both local and international tourists who visit
several sites like the volcanoes (Agung and Batur mountains) wildlife, beauty sites and historical
sites of Bali. In Bali, for instance, a peak season for international tourism activities is being
experienced almost throughout the year because of the different attractions which include the
cultural Centres hence attracting many tourists from countries like Europe. Because of this high
turn-up of international tourists in the region a need therefore arises concerning the type of

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accommodations as well as the quality in terms of prestige and the security provision in the
destination region.
Accommodation provision in five-star guesthouses in addition to well-designed smaller hotels,
set-aside accommodations meant for families or just smaller groups and villas as well are what
this product engulfs. This product is meant to increase attractions and accessibilities. On
attraction, this product will improve the entire-stay period in which the tourists will stay in a
particular site of interest (Ferreira & Estevao,2009).
Due to the fact that security is a major critical concern, tourists prefer to be given a highly
secured accommodation in their sites of interests without having to travel long distances to have
accommodations in unsecured areas. So, therefore, this product will enhance stability of the
tourists in their destinations of interests as it enhances their prestige.
2. Rationale
The rationale for seconding the development of accommodation as a tourism product is that the
overall success as well as any development of the sites of interests for tourists are directly
influenced by both the quality and quantitative features of accommodation
supply(Murphy,2013).
Getting a clear view of the nation competitiveness in terms of tourism is a great factor of
consideration especially for the policy makers in the Bali region. This process is a challenge to
the most of the professionals in provision of the evidence needed to inform the process of
decision making. Multiple indicators of competition have been provided for the purpose of
addressing some of the particular aspects concerned with competitiveness. This has not been so
easy as them seems to be a deficiency in the overall framework for measuring competitiveness.

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This tourism product, accommodation, is one of the current advancement in the tourism sector
which has sought to address the gap that previously remained unsatisfied in terms of quality
provision to the tourists by contributing positively to the practical based measures of
competitive world.
Because the dynamic nature of the tourism sector in addition to the global economy, this product
has fully studied the market and identifies the problem which has to be solved to enhance the
quality and a secured stay of tourists in the destination region of Bali so as to reduce the gap by
observing the emergence of new trends in the tourism sector(Tussyadiah,2014).
This product has fully identified and organized its competitive ability in the Bali’s market and
are categorized into the following;
a. It measures the general tourism performance together with the impacts. Increasing the
value of tourism is the main objective of this product in order to exist in its competitive
nature for a longer period of time in the global market (Fernando & Long,2012).
b. It consistently monitors the destination’s ability of delivering quality services which have
a competitive advantage in the market either locally or internationally. It naturally acts as
a starting point to measure the destination’s competitiveness. A fair tourism environment
dynamic is the direct source for the destination’s competitiveness (Fernando &
Long,2012).
c. It provides a monitoring mechanism aimed at ensuring attractiveness of the destination
region. This is a great concept which entails an inter-connection with competitiveness
and the tourism experience quality (Ali, Ryu & Hussein,2016).

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d. It provides a description of the responsible policies and also the description of new
economic opportunities. The incentives which are offered on this product makes it more
competitive and increases its attractiveness.
Overnights in every component of accommodation. This product outshines the other products in
the market because of its tendency to have a higher percentage growth in terms of economic
measure.
Due to the improved labor productivity in the Bali destination region, this product has portrayed
a productivity evolution on the number of people being employed to work in this sector as well
as the productive potentiality in terms of growth rate. This is an indicator of competitiveness of
this product in the market (Volo,2012).
Visitor satisfaction. Because of the improved quality of accommodation in terms of comfort and
prestige, there is an improved customer satisfaction. This is due to the increased attractiveness
value of the destination region. This is the greatest attribute which measures the competitiveness
of the product.
Improved attractions site. This involves the elements which primarily belong to the destination
appeal. These are the fundamental reasons for the prospective visitors to choose a given
destination over the other. Because of the innovative nature and the creativity involved in the
development of accommodations to suit the visitors’ needs, this adds to the competitiveness
advantage of the tourism product (Komppula &Gartner,2013).
For effective contribution of the accommodation supply as a product towards the development
of the main objectives of tourism, logicality in developing accommodation segment ought to be
an element of destination region’s process of planning. The ability of the Bali destination region

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to plan and have a full control of this accommodation sector ensures that all the official policies
concerning the development of tourism have been successfully and timely achieved and this
ensures that the product outdo the threat of competitive nature. But its failure to plan means that
the official policies concerned with developing tourism sector cannot be met within the
stipulated period of time (Presas, Minoz &Guia,2011).
The enhancement of this product will ensure that there is a transformation of a small-attracting
site into a mass-market or even summer-sun destination region for the Western countries which
are majorly experiencing a winter season in their continent. This depends on the concentration,
quality as well as the quantity of the accommodation. Through the tourists spending on such
hotels, these hotels contribute greatly on the internal economies either directly or indirectly via
the consequent dissemination of such tourist’s expenditure to other sectors of the nation’s
economy as well as the betterment of the neighboring community or communities(Chang,2014).
There is a need for an effective and a suitable mechanism to implement the policies for
developing accommodation as a tourism product so as to redress the defies currently being faced
by the tourism sector.
The pattern in addition to the structure of this selected tourism product provides an increment in
capacities, innovations of technology as well as globalization to be driving force to ensure a
global presence for hotels for identification of new markets and broadening the market success.
This product characterizes the cornerstone for international as well as domestic tourists as it also
acts as a component for the overall tourist spend (Faullant, Matzler &Mooradian,2011).
A good accommodation embraces technology. As the world is encroaching towards the digital
era, many customers, who in this case are the tourists, are becoming more of transacting via

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electronic environment and therefore, there is an increased demand for the internet access of the
enterprise so as to book online or even make secure submission of payments. The internet
evolution is able to provide a platform for online booking. This is done via a central unit of
advance booking and the execution of an online marketing methodology and e-commerce for
aiding in interaction with the customers. This relationship can be promoted at the stage of
information-gathering, arrival stage through to the post-stay stage (Rageh &Melewar,2013).
This tourism product has a great concern to improve the shares in the market as well as
positively adjusting the profitability because of the unique experience provision of consumers
with an accommodation arrangement which is situated within a natural environment which is
ecologically fragile. Accommodation therefore adapts a management scheme which is meant to
be environmental friendly hence becoming more competitive.
3. Relevant legislation
Using the Tourism Master Plan (2012-2020), the revised policies of the plan for tourism
accommodation are incorporated here.
Regulatory bodies.
Accommodation as a tourism product has an operation which is multi-sectoral and all of its
establishments ought to portray a compliance with set of standards as well as meeting the
requirements needed on the codes of building, health regulations, fire risks and any other
specified regulations by any other relevant (Maria,2011).

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Establishment of these set of standards is done by different agencies or technical departments
which have powers that have been instituted in dissimilar laws as well as statutes. However, the
issuance of one particular license cannot pardon the holder of the license to have a compliance
with other obligations and laws that have been or will be imposed directly by other bodies or
even departments of a government (Tangeland & Aas,2011).
Using Bali as a tourist destination region, the following policies and local government laws are
applied to govern the accommodation;
The Licensing Authority of Bali enjoys the monopoly power of issuing licenses to
those running accommodation establishment in the country;
The planning Authority together with the ministry in charge of usage of land
have responsibility of enforcing a total compliance with codes of building, planning as well as
the laws governing the land use. It has roles together with functions which are well elaborated
under the various acts, especially the Civil Code of Bali
Environmental department. The responsibility of this department is to monitor
as well as compliance enforcement aimed at the protection laws/regulations of the environment.
Powers and functions of this department are very broad. They make decisions on the scope and
positions of reference for a project.
Fire and Rescue Agency. Its responsibility is directed towards the aspects of fire
safety for all the buildings which fall under the Fire Protection Act. Occupational health besides
the safety of food are under The Ministry of Health.

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Tourism Board of Bali. This board is formed by the Bali Tourism Board Act and it
is given a mandate to set the criteria, tourism standards establishment as well as to monitor the
service quality and comfortability of the guests.
Policy statement.
a. Policy 1
Bed capacity; the entire new accommodation formations are to be built basing on the study of the
carrying capacity having to take into account the location, dimension sites as well as the other
relevant related issues.
b. Policy 2
Category; there are 3 sub-divisions of accommodation licenses issued. These include;
 Hotel. It is a formation meant to provide lodging accommodations and the
occupant has to pay for it on a daily basis.
 Guesthouse. It contains rooms which are equal or less than 10.
 Self-catering establishment. It provides accommodations for hire to the
public and clients are provided with facilities to prepare their own food.
Also, it can be subdivided into;
a.one star
b. two star
c. three star
d. four star
e. five star

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policy 3
ownership/investment; accommodation establishment ownership or investment are based on the
number of keys and the minimum Bali’s share.
Policy 4.
Scope of license. Authority is given to hotels to operate restaurants under the same license
4. Sustainable Tourism Development.
This concept entails a balanced state of economic, cultural as well as social development
ensuring that the environment is not endangered in any way to ensure the enhancement of
a similar or higher level of the Bali region (Ferreira & Estevao,2009). In other terms,
sustainable development can be said to be that process which allows the act of
development to be undertaken without degradation of resources. This concept has been
based on majorly four principles which are;
 Environmental sustainability; this principle tends to be provide a
compatible development which ensures a well-maintained ecological
process, a diverse biology as well as biological resources
(Tussyadiah,2014).
 Social sustainability. This principle strengthens the identity of traditional
values through the provision of a compatible development.
 Cultural Sustainability principle. This principle aims at the provision of a
compatible cultural development with the people of the community way of

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living i.e. their cultural values. So the provision of accommodation as a
tourism product meets this core value of this principle (Tussyadiah,2014).
 Economic sustainability. This principle provides a cost-effective
development and a future-focused management of resources to help the
future generations
 Tackling risks and uncertainties with great caution. In cases where
impacts of environment are not known, the better choice to be preferred is
to cautiously proceed or to drop it at all up to an extent when the possible
impacts are determinable.
Planning of a sustainable development.
Planning for the development of accommodation as a sustainable tourism product entails
planning environmental preservations which include a multiple research tasks and analysis to aid
in making decisions concerning the direction of the development. These tasks are carried out to
aid in preventing intensive resource usage in particular areas (Maria,2011).
Soft strategies to aid in sustainable process of development are applied in the environments
which are characterized by modification for example the urban areas where there is nonexistence
of a natural environment which renders the protection being directed towards the environment to
be very irrelevant. This may also apply to mass degraded rural areas in which a significant
betterment on status quo part is a resultant feature of the tourism product development.
Accommodation products are some of the soft strategies, for instance the large hotels, can be
applied to emphasize on development as a component based on the considering the fact that they
fall under the support of tourism. However, this approach strongly contrasts other sustainable

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methodologies, accordingly the idea behind it is that any step of action ought to be avoided
especially if it involves unknown consequences (Pearce & Kang,2009).
The factors indicating a sustainable tourism are factors that can be measured and even monitored
for the purpose of changing a given phenomenon status and even undertakes the representation
of the gathering tools for the search of new information via which an information in existence
ought to be filtered (Maria,2011).
Monitoring of sustainable tourism
Implementation of a justifiable tourism development tends to promote various challenges that
hinder the determination of whether a given destination or accommodation as a product is
sustainable. This therefore encourages the accommodation’s managers to ask themselves the
reason as to why rare resources ought to be subjected to such a sustainability strategy. Active
process of monitoring sustainability is so much preferred as compared to inactivity which has an
impact of increasing the probability of unsustainability of the life cycle’s results. There is a
necessity for revealing a problem as well as identification of the appropriate solutions together
with the strategies for resolving (Rageh & Melewar,2013). Also, increment of the interests is a
great need to be given a more weight as it would give an estimate of the increased demand for
accommodation as a tourism product and its alternative for ensuring a consistent support on the
sustainability principle conventionally.
Choosing directions for development sustainability
The guidelines for accommodation as a tourism product development sustainability would help
in the determination of the directive effort as well as the provision of control mechanisms for
developing tourism sector (Murphy,2013).

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Conclusion
The development of accommodation as a tourism product in the Bali destination region should
be enhanced in order to increase the improvement of the prestige required by the tourists in this
region. Therefore, the Bali tourism Board has to adopt this product in order to increase and
improve the tourism activities in Bali.

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