BTEC HND Unit 7: Sustainable Tourism Development in Philippines Report

This report provides a comprehensive analysis of sustainable tourism development, using the Philippines as a case study. It begins by exploring the role of stakeholders, including local residents, tourists, and the government, and their significance in successful tourism planning. The report then delves into the advantages and disadvantages of public/private sector partnerships in tourism, examining aspects such as shared risks, increased productivity, and cost reduction, while also considering potential limitations like labor shortages and reduced government control. The report further examines tourism development planning at national, international, and site levels, emphasizing the importance of interactive planning systems and methods for measuring tourism's impact. Additionally, the report investigates the concept of sustainability in tourism, analyzing factors that may hinder sustainable development and different stages in planning for sustainability. The report highlights the environmental aspects of tourism and concludes by offering recommendations for future sustainable tourism practices in the Philippines.

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................2
TASK 1............................................................................................................................................2
1.2.................................................................................................................................................4
TASK 2............................................................................................................................................6
2.1.................................................................................................................................................6
2.2.................................................................................................................................................7
2.3.................................................................................................................................................7
TASK 3............................................................................................................................................8
3.1.................................................................................................................................................8
3.2.................................................................................................................................................8
3.3.................................................................................................................................................8
TASK 4............................................................................................................................................9
4.1.................................................................................................................................................9
4.2...............................................................................................................................................10
4.3...............................................................................................................................................10
TASK 5..........................................................................................................................................11
5.1...............................................................................................................................................11
5.1...............................................................................................................................................13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................16

INTRODUCTION
Tourism industry now-a-days has become very competitive and earning higher revenues.
It is contributing to a high extent in the economic stability of a nation. In order to survive in the
long run, firms in tourism sector are now required to run their activities in a sustainable manner.
It means all operations are needed to be run in an environmental friendly way so that the nature
as well as society would not get hampered. For the same, government has imposed many laws
and legislations that this sector needs to follow (Sustainable tourism, 2015). Apart from that,
along with running business activities in an environmental friendly way, it is also important that
all working practices will be carried out ethically, that is, in a fair and transparent manner.
In the present report, all concepts and aspects related to sustainable tourism will be
understood with reference to the given Philippines case study. There will be discussion on
different ways in which stakeholders of firms can get benefitted from the planning of tourism
development. Also, a study will be made on the factors that may prevent/hinder sustainable
tourism development. Along with that, current issues associated with tourism development in a
developing country and an emerging destination where the impacts of tourism are different will
be compared and recommendations for future development of tourism in these chosen
destinations will be made. Apart from that, many other concepts will also be understood in
relation to sustainable tourism with reference to Philippines case study.
TASK 1
It is a fact that stakeholders always play a significant role in making a business
successful. They are the people in tourism firms by whom services and practices are managed.
As per given Philippines case study, for the tourism sector of this nation, stakeholders are the
most important assets. Demand for travel and tourism is influenced and get affected by these
people only. Philippines tourism industry has many stakeholders however, the major one are
local residents and government as well as audiences/tourists. Without the efforts of these people,
demand of customers in tourism industry cannot be maintained. Being the important stakeholders
of Philippine tourism industry, it is their responsibility to increase number of visitors in the
nation (Gjerald and Oggard, 2010). Thus, in order to keep the demand of tourism business of
Philippine high, industry is required to involve these stakeholders in the planning process by
inviting their suggestions and views with respect to different aspects of tourism so as to finalise
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the decision. With the help of this, planning procedure would prove to be effective and smooth
that will render positive results in the interest of nation. Some of the major stakeholders of
Philippines tourism industry are stated as below: Local residents: People who live inside the nation since a long time are the residents over
there. They are the individuals who have maximum information about their nation and
thus, when they would get involved in the planning process of tourism industry of
Philippine for bringing sustainable activities in business, it will prove to be highly
advantageous for the nation. The Philippine tourism industry tourism made a promise to
the nation that it will increase the employment and income opportunities for citizens
living there especially for Filipinos that reside at seaside and rural parts of country (Our
Sustainability Purposes, 2016). Thus, if planning for sustainable tourism will be done in
this country, it will help these stakeholders in raising their standard of living as they
would get employment and education opportunities.
 Customers/tourists: They are the most important stakeholders without whom tourism
firms in Philippine cannot survive as these people only lead firms to earn profits and run
their business activities. However, if tourists would not come If people would not come
to visit the nation, then tourism industry of Philippine will not be able to earn and thus,
without inflow of money, economy would start getting decline. Therefore, it can be said
that customers are the sole element for the survival of tourism business (Swarbrooke
and Horner, 2012). This is the reason; to offer sustainable tourism is important now-a-
days as destinations where there tourism is not being run in a sustainable manner, people
do not desire to visit there. Thus, by emphasising on the current trends and need of
tourists, planning process for sustainable tourism can be effectually done. Through the
same, they would become willing to visit the place and feel pleasure over there (Uysal
and Williams, 2013). Customer are very important in making a business success. If
people avoid visiting a new destination then tourism company will be affected by it. So
tourism company need to provide a different attractive services to its customer, it
encourage them to visit a new place. Further tourism company also need take its
customer at new destination. If a tourism company not took its customer to a new
destination then they may avoid travelling which can affects company profitability.
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 Government: Apart from that, government is also a major stakeholder of Philippine
tourism industry and if it is not taken with due consideration, firms in this sector may
have to face severe consequences. Regulatory authorities of nation impose many rules
and regulations for tourism industry that the firms need to follow to run in a smooth way
as if these restrictions will be ignored, organisations will have to pay for the same. Apart
from that, with the support of government only, visitors can travel from different places
and visit Philippine (Cruz, 2010). For that, they need to comply with all formalities stated
by government of nation. In case if tourism industry of Philippine wants to bring some
specific modifications in it, it needs to take proper permission from the ruling bodies of
country. Thus, for sustainable tourism, when government will permit the industry, it can
bring suitable and specified changes. However, not only the industry but government also
gets benefitted from the same as through making required developments, economy will
be able to earn in an attractive manner that will be advantageous for regulatory authorities
of nation as well (Dempsey and et.al., 2011).
1.2
In tourism industry of Philippine, several private and public firms are operating. They are
running business activities in their own way. These firms are making tourism services available
to the tourists in such a way that they would repeat their visits and influence others also for the
same. In public sector firms, facilities offered by government like transportation and
accommodation are included that provide convenience to the customers. While, in private sector
firms, amenities such as hotels, restaurants and transportation are included (Stakeholders and
public private partnerships role in tourism management, 2013). These firms are privately owned,
that is, single owner are there who formulate policies and make employees react accordingly. In
the present scenario, tourism companies of both the sectors are getting merged so that their scope
of business can be increased along with enhanced profits and market share. Through this way,
these firms are serving customers with high quality services as after getting merged, their
resources get increased which they can effectually use (Abu and et.al., 2012). However,
public/private sector tourism planning partnerships have some limitations as well. Some of the
advantages as well as disadvantages of this partnership is stated as below:
Advantages:
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 Shared risks – With public/private sector tourism planning partnerships, the overall risk
gets reduced as it is shared in between both the entities that have merged together. It
results in increasing the profits of business at low risk. Thus, with the help of this, higher
revenues that will can be gained by the economy of Philippine. Increase in productivity – Public/private sector tourism planning partnerships will play a
significant role in increasing the productivity of entire industry as resources of firms will
get increased that will make it possible to run business activities at a larger scale (Elliott,
2012). Therefore, it will result in maximizing profits at low cost in the tourism sector of
Philippine. Decrease in costs – In this partnership, major advantage is gained by the private firms as
it will save the cost of construction of infrastructure, projects and maintaining services
that government will bear.
 Increased productivity – Also, partnership in between public and private tourism firms
lead to increased productivity as all resources of the organizations get combined by
which functioning gets smooth and fast (Loorbach, 2010).
 if both private company and public company work together then it have a great benefit
that is company may not need to bear loss also it may be divided in both equally.
Furthermore, by working together they can make a innovative products and services for
the customer.
Disadvantages: Problem of shortage of labor and political risk – In tourism development planning,
political environment of the nation proves to be highly influential by imposing different
rules and regulations time to time. If political stability is not there in the nation then
overall operations of business will get affected. In Philippines, there are strict labor laws
because of which sometimes, firms in tourism industry have to face the issue of shortage
of labor with which their operations get affected.
 Reduced government control – With public/private sector tourism planning partnerships,
government control over public sector firm gets reduced. Thus, decision making power of
government also decreases which for few reasons serve as a limitation in tourism sector,
there are many benefits that regulatory authorities of Philippines give to public sector
firms (Rogers, Jalal and Boyd, 2012).
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 Poor/low quality – In case public/private sector tourism planning partnerships would get
failed, it will highly affect the tourism business. It is because; it will result in reduced
profits due to which firms have to compromise in the offered quality of services. With
declined quality, tourism industry of Philippine will get negatively affected number of
international tourists who want quality services will get dissatisfied and therefore,
number of visitors will be reduced ultimately.
 Overuse of resources – Apart from all limitations, the most common issue with the
merger of public and private tourism firm is that when resources will increase, it will lead
to wastage of the same. Ultimately, natural and cultural environment of Philippines will
get harmed (Schagatay, 2011).
TASK 2
2.1
Several features are there that are involved in tourism development planning at different
levels as per the given case study of Philippines. In accordance with the given case, planning is
needed to be done government in such a way that the demands of tourists coming in the nation to
visit can be made highly satisfied. Thus, according to government norms and policies, tourism
department has been divided as per the tasks allotted to different team members (Bhattacharjee,
2008). The different levels to which tourism development takes place is national, international
and at the site. In case of Philippines, development planning will become successful when
visitors coming in the nation will have a perception about country that it is safe and secured. It
will increase the profits of industry as when they feel to be safe in visiting the nation, they enjoy
much and repeat their visits.
National level – At national level, when development planning is done for tourism in
Philippines, it becomes important for the management of firms that they will coordinate with
large regions of country. Different policies are needed to be made in relation with tourism sector
by the government (Abu and et.al., 2012). As per these policies, visitors should be treated as the
people of Philippines only and must not be discriminated as any level.
International level – Apart from that, at international level, tourism development is done
at bigger platform. In order to attract the visitors of many nations towards Philippines,
government will require to do development planning in a manner that visitors would feel happy
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and secured. For the same, at first, it is important to maintain a healthy and positive relations
with other nations as then only, people from there can be attracted. It is nectary that for
attracting as visitor, government take some action so that people like to visit. Further company
can also take a few step in and planned it in a effective manner.
At the site level – It states that in Philippines, to do development planning at the site level,
necessary infrastructure will needed to be developed. Apart from that, proper facilities like
effective transportation, hotel accommodations and restaurants will also be required to get
developed so that visitors will have a great experience from the tourism over there (Ashworth
and Page, 2011). All these things are necessary to be provided to visitors to offer them
convenience as well as pleasure.
2.2
Interactive planning is the process in which lays emphasis in involving the participation
of all the stakeholders in the decision making aspects. Be keeping such factor in mind Philippine
frames strategy by taking into account the aspects of its stakeholders namely customers,
government, investors, local people etc. Through this, higher authorities of tourists become able
to develop suitable strategic and policy framework which directly contributes in the growth and
development of society (Mihalič and et.al., 2016). Thus, to the gap between the actual and
desired offering government authority of Philippines has introduced feedback system.
In this, by taking feedback from the customers tourism companies would become able to
evaluate and identify the preferences of both existing and potential customers. In this way,
interactive planning process is high significant which enables company to make suitable or
necessary changes in their offerings (Waligo, Clarke and Hawkins, 2013). Along with this, it also
helps government and tourist companies in making proper allocation of the resources in various
activities. For instance: By making interaction with the companies and customers government
authority of Philippines has been identified that they need to make focus on the development and
maintenance of historical aspects.
Along with this, it also indicates the tourism department to exert control on the pollution
related activities. This in turn provides government with clear indication to make focus on the
employment of high tech aspect to overcome the issue of pollution (Lee, 2013). All these aspects
clearly present that by involving the stakeholders in planning process higher authority of
Philippines would become able to take highly effective decisions. Along with this, it also helps
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government in designing and implement the suitable tourism plan to the great extent (Hall and
Williams, 2013). Thus, it can be said that aspects and process of interactive planning helps
government authority in getting the desired level of outcome or success.
Tourism company can take a feedback form tits customer and on basis of it changes can be
made. It will attract the customer if they get a services and products according to there taste and
preferences. Further it can be made a new and innovative products and services so that customer
may not get disappoint.
2.3
Different ways are there by which the tourist impact on country can be identified. There
are both; positive as well as negative effects of the same due to which it is important to formulate
appropriate strategies. Through these strategies, positive effects can be encouraged while
negative implications can be minimised. Effects can be assessed by measuring the economic
prosperity and checking the environmental condition as well as implications on society. Methods
of measuring the same are as follows: Economic measures - According to this, comparison of income of local people can be
made before and after the season in which tourists visited the nation. With the help of
this, level of profit that local residents have earned from tourism activities in Philippines
will be known (Bhattacharjee, 2008). Further, nation will also be able to assess that
whether development has proved to be positive for nation or negative. For this purpose,
generally, the STEAM model is taken into consideration through which quantitative
impact of tourism on the local residents can be easily measured.
 Environmental measure - EIA (environmental impact assessment) is another method
which government of Philippine can adopt as through this, environmental effects of
tourism can be evaluated. This helps to know whether the tourism activities of
Philippines are damaging the environment or safe to be run (Edgell Sr, 2016). In case if it
is found that the environment is getting adversely impacted than this technique also
suggests different ways by which corrective actions can be taken and environment can be
protected. Environmental auditing is one of the ways by which damage to the coastal area
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can be minimized through tourism activities take place by the firms in this sector of
Philippines (Cheng and Wu, 2015).
If environment is harmed then destination will be destroy and no tourist will like to visit
there. It is a responsibility of a travel and people who live near a destination area to not harm the
environment. Further wastage should be recycle and environment should be keep neat and clean.
TASK 3
3.1
Enclosed in poster
3.2
Enclosed in poster
3.3
Enclosed in leaflet
TASK 4
4.1
In the modern era, a situation such as conflicts of interest of different stakeholders has
emerged as a very big threat for growth and development of any country’s economy. According
to the provided case scenario of Philippine, president is looking forward for the growth of
tourism in the country. For this purpose, she has visited different places/destinations and also
posted different pictures during the same. However, the conflict among stakeholders raised when
she posted a pic with touching the corals as it has shown that tourism in this nation is not
responsible as strict rules for saving natural beauty of country are not there (Mowforth and Munt,
2015). Tourism industry of Philippine is built upon the most fragile of natural and cultural
environments where the most minor human actions can destroy the site’s resources. Thus, to
protect the same, it is important for government of nation to take strict actions. For resolving the
conflict of interest of stakeholders, challenge of sustainable tourism development was needed to
be taken by the regulatory authorities of Philippine (Bramwell, 2015). This is the reason;
government has now recognised the need to adopt new development approaches so that such
type of tourist products can be made that are environmentally sensitive and economically viable.
Also, for resolving the conflict of interests to ensure the future wellbeing of a developing tourism
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destination, national bodies of Philippines are planning to implement ICM (integrated coastal
management). With the help of this, environment of coastal area can be protected so that its
natural look can be maintained and visitors will find it interesting (Schaper, 2016).
As per the given case reference of Philippines, major reason behind conflict was that the
coastal areas were getting negatively affected due to actions of visitors. However, it is important
to be preserved by government as for the people living over there, it is their livelihood. Apart
from that, government is focusing on coastal management programs so that visit of eco-tourism
can be stimulated that will support local community as well as the accredited organisations. In
addition to this, there is one more conflict of interest found in between the investors and wild life
authorities (Wells and et.al., 2016). Conflict was about improper behaviour and disturbance in
local culture and habits as through intensive development and emerging hotels, livelihood of
people living in forests is getting negatively affected. Privatization is also one of the conflicts of
interest among stakeholders to ensure the future wellbeing of Philippines as a tourist destination
as due to this, revenue level of local people is getting reduced to a high extent (Mihalič and et.al.,
2016). To solve this conflict, government has to fulfil the promise that it has made to the local
residents of nation that is of providing increased employment and income opportunities so that
they would not get dissatisfied with changes taking place in tourism industry.
4.2
It is important for tourism industry of Philippines to maintain a proper balance in between
the supply and demand. For the successful tourism development, there is need of keeping a
balance in in between what tourism firms are offering in terms of their products and services and
number of tourists coming in the nation. As Philippines is a developing country, limited
resources are there which are required to be preserved effectually. For the same, forecasting
about number of visitors that will be visiting the nation in the future should be done prior their
visit (Lee, 2013). Through this, government will have the time to provide proper amenities with
the help of which demand of tourists will be met in the manner they desire. Government of
Philippines has made many arrangements so as to maintain a proper balance in between the
demand and supply of tourism sector (Waligo, Clarke and Hawkins, 2013).
Apart from that, local people of nation also play a significant role in meeting the demand
of tourism industry as with the help of forecasting, they have an idea about the investment they
can make in developing hotels. Thus, as per expected demand, investment is made by residents
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of Philippines in infrastructure of nation so that tourists would not find any issue while their visit
to this country. If the demand of tourists would not be met effectually, adequate revenue will not
be earned by the industry that will be a loss for them. In Philippines, government is providing
effective transport and communication facilities so as to offer high customer convenience (Hall
and Williams, 2013). If there would not be a proper balance in between demand and supply of
tourism products and services, it will affect the profits of firms operating in this industry of
Philippines.
Demand refer to how much quantity of products and services need to by a buyer. A
quantity of demand is depended on amount of product consumer is willing to buy. While on
other hand supply is referred to how much market can offer to its customer. In a tourism when
demand decrease and supply not change then it affects the Philippine and lower the equilibrium
price. Further the development of tourism is shaped by the demand of tourism at Philippine. By
tourism opportunities this demand for tourism can be shaped easily. This tourism opportunities is
a mix of attraction. For the success of tour package for particular destination at Philippine it is
necessary to deliver a quality product which is based on sustainable principles. Apart from that,
the effective or actual demand in tourism sector is a people who are actually travel at a point of
time. When price of product rises then all other thing is equal, then suppler will offer more for
selling but increase in price can affect demand. There are different components of supply that are
infrastructure, attraction, superstructure etc. in infrastructure it includes telecommunication
tansport and accommodation. For balancing the supply and demand at Philippine it is necessary
to increase the supply and when demand is high. There is some positive implication on balancing
a supply and demand in toursim sector. At the time when both are balanced then it will benefit
Philippine country and it helps in economic growth.
4.3
Enclave tourism refers to development of one specific area in such a way that tourists
would not have to go to visit other places as they would find the developed piece of land very
interesting. In order to keep the visitors highly satisfied with the services offered and render them
a good experience, enclave tourism in Philippines tourism industry will play a vital role. As per
the given case of Philippines, government is focusing on enclave tourism, that is, development of
coastal areas, so that tourists can be attracted by offering amenities like swimming, scuba diving,
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club, etc. (Gjerald and Oggard, 2010). However, with enclave tourism, some moral and ethical
issues came into existence like few of the areas are getting affected in terms of their profit like in
ship and cruise industry in which revenue is declining because of the emergence of this concept.
Apart from that, profit of many hotels is also getting declined as maximum visitors desire
to stay in the hotels that are nearby to the developed place. Therefore, it is important that
regulatory authorities of nation should provide accurate information about the destination to the
tourists so that they will have an exact idea about the place and would not feel to be cheated after
coming over there (Swarbrooke and Horner, 2012). Also, they should be given with fair and
transparent information about the services of hotels that will be offered to them as per mentioned
in their package. In addition to this, in some cases, according to policies of hotel, management is
not responsible for the health and wellbeing of tourists. In case of Philippines tourism industry, it
should not be there. Firms should make proper safety policy that will help in increasing the trust
of people towards nation. Furthermore, being the coastal region, it is important for firms that
they make the tourists aware with the risks that may occur and precautions to be taken (Uysal
and Williams, 2013). All these measures will help in creating a positive and strong image of
Philippines as a tourist destination that is loved by tourists.
TASK 5
5.1
It can be stated that every nation has its own set of cultural values and belief which plays
very important role in influencing the activities and practices related to tourism. Furthermore, the
laws, rules and regulation of nation also effects tourism practices to a great extent and therefore,
needs to be taken into consideration in the best possible manner (Cruz, 2010). In terms of
emerging and developing nation in field of travel and tourism, Vietnam can be considered as one
of the most popular country in the world. The comparative analysis between Philippine and
Vietnam is carried out below in table as:
Basis of comparison Philippines Vietnam
Environmental It can be stated that the
population of Philippine is
increasing at a very good pace
and this has resulted in
In terms of Vietnam, it can be
expressed that over the last few
years, there has been a rapid growth
in travel and tourism industry of the
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