Analysis: Natural Calamities' Impact on Tourism Business Environment

This report delves into the effects of natural calamities on the tourism business environment, focusing on the multifaceted impacts on various stakeholders. It examines the government, local communities, investors, and the transportation sector, highlighting the challenges and disruptions caused by natural disasters like floods. The report further explores the specific problems that arise, including supply chain disruptions, communication barriers, and damage to infrastructure. Through this analysis, the report underscores the importance of effective disaster management strategies and the need for stakeholders to mitigate the negative consequences of natural calamities. The report concludes by emphasizing the responsibility of business associations and governments to ensure the effective management of natural calamities.

Tourism business environment

Table of Contents
INTRODUCTION ..........................................................................................................................3
Affects on stakeholders...............................................................................................................3
Problem occurred due to the natural calamities .........................................................................5
CONCLUSION ...............................................................................................................................5
REFERENCES ...............................................................................................................................7

INTRODUCTION
Natural calamities are events that take place on their own. They can cause a lot of
problem to human life as well as business. This is important for the society to analyse the factors
involved in treating natural disasters effectively. There are different stakeholders that get
affected by natural calamities taking place within nature (Alexander, 2017). The following report
includes discussion on the effect of stakeholders due to flood that took place in the country. The
stakeholders included in this file are government, local communities, investors and
transportation. Natural disasters are catastrophic events that result from processes that occur
without human intervention. These adverse events include avalanches, landslides, earthquakes,
and volcanic eruptions. Floods, tsunamis, blizzards, and wildfires belong to this category as well.
It is worth noting that the occurrence and intensity of natural disasters vary from country to
country. Natural disasters have a significant impact on the economy and the businesses in more
ways than one.
Affects on stakeholders
Government: It has been said that one of the most essential stakeholder of a country or
any kind of business organisation is the government or legal authorities of the company. These
are the stakeholders which are highly influenced by any kind of natural calamities (Hyndmanand
Hyndman, 2016) . Impact of such kind of natural calamities might be negative in nature as due
to loss to the infrastructure facilities, overall living standard of individuals might get affected.
This as a result affect the overall economic system of the country. In order to reduce the negative
impact of such issues there are various methods which need to be used by the higher authorities
of the country. With the help of effective planning and action plans, government of the nation
can reduce the negative impact in an effective manner and within given time period. Along with
this, they need to tackle such situation in a calm manner and provide security measures to the
individual when they need some help (rouri, , Nguyen. and Youssef, , 2015). Along with this,
government need to develop on some strategies and focus on developing preventions and plans
for contingencies in advance.
Local communities: Another most essential stakeholders includes local communities
which are the one who highly affected by the natural calamities in a negative manner. They are
the one who are the individuals living within the nation and generate economy for the country

(Al-Rousan, Rubenstein, and Wallace, 2015). Floods and natural calamities highly affect the
social, economic and environmental areas of the country. There are various negative impact
which get affected by the situation. Some of these situations are loss of human life, destruction of
crops, damages to the property, loss of livestock and many more. All these damages might affect
the whole economic system of the country. In order to avoid or reduce the negative impact of the
natural calamities, different types of strategies might be use by the higher authorities. There must
be effective infrastructure of the state so that they can effectively flow the water from one place
to another (Karim, and Noy, 2016). Along with this, individuals are the one who might suffer
from the loss of property, life and crops, therefore it is essential for the government to pay some
specific amount of funds to the suffered people. Along with this, it is very essential for the
individuals to secure their lives at the time of calamities.
Investors: Natural calamities can posses a negative impact on all stakeholders in a
organisation (Moutinho and Vargas-Sanchez, 2018). In present situation if we talk about
investor they will be impacted as they are ones who are investing their financial resources in a
organisation. If there is more profit earned by a organisation then investors get affected in a
positive way as they are able to earn high returns., on other hand, if any natural calamity like in
present scenario there has been high situation of floods which has lead to wastage of all resource
and has disrupted overall functioning of the organisation (Becker, 2016). There is loss of
damage of infrastructure which leads to destruction taking place in the whole country for a very
long period of time. There us reduction in purchasing power of all individuals in a country this
will lead to increase in vulnerabilities and all organisations and brand getting impacted in a
negative manner. All this leads to losses being suffered by investors as there are no more chances
that there will be nay returns which can be expected in coming period of time (Guizzardi and
Stacchini, 2015). There are also situations which leads to migration of people and this has
economic impact on whole country in a negative manner (Moutinho and Vargas-Sanchez,
2018) (Becker, 2016). This creates a situation that there are no positive chances of returns and
whole money which has been invested by investor with a view of earning of profits gets
destroyed and there is lot of destruction which is taking place in the overall economic
environment.

Transportation: Floods tare natural disasters which cause lot of problems in a economy
and this leads to huge losses which are suffered by people (Alexander, 2017). Along with this
economy of the country also has to suffer a lot in case of transportation this is one aspect which
gets affected in most way as there is a case of transportation problem as during heavy floods this
infrastructure is fully damaged. This leads to stoppage of connectivity between people,
organisation and everything gets affected (Guizzardi and Stacchini, 2015). This is most
disruptive impact which is caused because of floods. All mediums of transport such as road
transport, rail transport all such mediums gets stopped (Hyndmanand Hyndman, 2016) . There
are many complex problems which are associated with this factor such as there can be huge
psych social effects of floods as people get affected and they are traumatize for a longer duration
of time. The loss of connectivity leads to more loss as people are not able to reach to safe places
or to have access to food, fresh water. All such acts leads to huge impact on commercial
activities and personal activities in the affected area of floods (rouri, , Nguyen. and Youssef, ,
2015). There are many times situations where people can save themselves if they move to safer
places but they are not able to reach them because of no transportation facilities which are
available.
Problem occurred due to the natural calamities
Supply chain disruptions – It is very important for success of the company to have
reliable and efficient supply chains (Al-Rousan, Rubenstein, and Wallace, 2015). This can be
explained with an example that it is important to have proper supply of milk in order to make
cheese and other milk related products.
Communication barriers – Such barriers are resulted from panic and loss of
communication infrastructure (Karim, and Noy, 2016). Hysteria is occurred due to the business
continuity plans as each and every segment is involved in saving lives of individuals.
Damaged buildings – There is great loss to the buildings and infrastructure by the
occurrence of natural calamities. It is important for people to mainly focus on managing the
construction work and analysing the work done.
CONCLUSION
It has been analysed from the above report that stakeholder are negatively affected by
natural calamities. They have to face different problems when such situations take place. Human

life and non living things are affected by natural calamities. It is responsibility of business
associations and government to ensure that they are managing the natural calamities management
effectively. There are different problems that is faced by people due to the natural calamities
such as supply chain disruptions, communication barriers and damaged buildings. The different
stakeholders that face problem due to the natural calamities are Government, Local
communities, Investors and Transportation.

REFERENCES
Books and Journals
Alexander, D.C., 2017. Natural disasters. Routledge.
Hyndman, D. and Hyndman, D., 2016. Natural hazards and disasters. Cengage Learning.
Arouri, M., Nguyen, C. and Youssef, A.B., 2015. Natural disasters, household welfare, and
resilience: evidence from rural Vietnam. World development, 70, pp.59-77.
Al-Rousan, T.M., Rubenstein, L.M. and Wallace, R.B., 2015. Preparedness for natural disasters
among older US adults: a nationwide survey. American journal of public
health, 105(S4), pp.S621-S626.
Karim, A. and Noy, I., 2016. Poverty and natural disasters—a qualitative survey of the empirical
literature. The Singapore Economic Review, 61(01), p.1640001.
Moutinho, L. and Vargas-Sanchez, A. eds., 2018. Strategic Management in Tourism, CABI
Tourism Texts. Cabi.
Becker, E., 2016. Overbooked: The exploding business of travel and tourism. Simon and
Schuster.
Guizzardi, A. and Stacchini, A., 2015. Real-time forecasting regional tourism with business
sentiment surveys. Tourism Management, 47, pp.213-223.