MKT01906: International Tourism in Melbourne - Case Study Analysis

This case study examines international tourism in Melbourne, Australia, exploring its historical development, significant contributions to the GDP, and factors contributing to its attractiveness, such as man-made and natural sites like the MCG, Great Ocean Road, and wildlife attractions. The analysis includes international tourist visitation trends, highlighting the economic benefits and challenges like rising costs of living and congestion. It further investigates the impacts of tourism on Melbourne, including economic development, employment opportunities, and negative consequences such as increased population, strain on hospitality services, waste accumulation, and environmental degradation. The study identifies key destination development issues, including aviation and hospitality challenges, and proposes solutions for sustainable tourism growth. The assignment is based on the MKT01906 course and incorporates relevant academic sources to support the analysis.

Running head: TOURISM IN MELBOURNE
Tourism in Melbourne
Name of the Student
Name of the University
Author Notes:

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Table of Contents
Introduction................................................................................................................................2
Historical development..............................................................................................................2
International Tourist Visitation..................................................................................................3
Destination Attractiveness.........................................................................................................4
Impact of Tourism activity on Melbourne.................................................................................5
Destination Development Issues................................................................................................6
Aviation..................................................................................................................................6
Hospitality..............................................................................................................................7
Tourism Policy...........................................................................................................................7
Conclusion..................................................................................................................................8
REFERENCES.........................................................................................................................10

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Introduction
In the recent years Australia has been attracting considerable amount of attention from
international tourists. Interest is generated towards the leisure industry of the country for
varied reasons and Melbourne has been identified as one of the most popular tourism spots in
the country. Tourism has had favourable contributions to the economy of the country as a
result of which the tourism industry of the city is being heavily stressed by the government.
The paper will discuss, implication of international tourism, the success factors, the impact of
tourism on Melbourne and key issues that are associated with development of tourism in the
location.
Historical development
Tourism has always played a vital role in helping the sustainability of the economy of
Australia. It was found out that the tourism industry of Melbourne contributed over 70% of
the growth of the GDP of the country as a whole. Melbourne can be considered a city that is
gifted with both natural and manmade sites that attract tourists. The vast diversity in the man-
made and the abiotic components of the destination has generated the high amount of interest
that the destination is subject to. The MCG or the Melbourne Cricket Ground, the 2-hour
river cruise, the Great Ocean Road tour, Philip Island, Werribee Open Range Zoo, Yarra
Valley and many more destinations make the city a favourable tourist destination. The city
has been able to recognise the advantage that they experience as a result of the highly diverse
collaboration of man, flora and fauna.
With rise of tourism in the city there has been rise in the number of world class
accommodation facilities in the form of 5 star and 4-star hotels to accommodate tourists and
travellers from all over the globe. The rapid rates of the establishment of growth of the
tourism industry in the city has boosted the attractiveness of hospitality industries in the area.

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Hence, this the collaborative sum generated by the tourism and the hospitality industry has
considerably contributed to the GDP of the country as a whole. Luxury is an aspect that has
been heavily marketed and associating the luxury aspect within the regular nature of
operations in the industry determines the effectiveness of the industry in terms of generating
favourable returns through which the industry can support the economy of the country as a
whole. Furthermore, it should be recognised that the tourism industry has been able to
generate considerable amount of employment. It has been found that the rate of
unemployment has decreased after the local government started emphasising on tourism.
Hence, the nature of the tourism industry can be deemed to be sustainable in nature as it not
only helps in development of the GDP of the country but also helps in providing employment
of opportunities to the multicultural population of Melbourne.
International Tourist Visitation
As a result of the diverse competency of the city in terms of tourism, it can be opined
that the country has not only attracted tourist from different parts of Australia but from
different parts of the world. As a result of this, it has been found that the standards of living
in the city is no the verge of rise. Coupled with high standards of living comes high cost of
living. The latter has taken place in Melbourne where the rise of international tourist interest
in the city has resulted in the rise of prices of commodities and amenities that are sold in the
area. While this implies that the revenue inflow is likely to increase, it comes with loss of the
wellbeing of the locals living in Melbourne. The locals of the city are having to cope with the
rapid rates of inflation that the city has experienced as a result of the rapid rate of expansion
of tourism in the said location. Furthermore, it has been found that the city is getting
congested day by day as a result of tourism industry. As per statistical data derived from
National Tourism Development Satellite, it has been found that there has been growth of
around 10.1 % in the GRP of Melbourne in 2015 to 2016 as compared to the year preceding it

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(Ross 2016). The total GRP flow from the country was estimated to be around A$ 15.3
billion as compared to the economy of the region which was a 10% growth from the past
couple of years. The inflow from the tourism industry contributed about 2.8% the gross GRP
of the nation (Ross 2016).
Destination Attractiveness
Melbourne is a city that has generated high amounts of interest due to the highly
attractive nature of the city. It can be said that the aspect that makes a city attractive is the
complete experience that is provided to the tourist. Experiences for all age groups, good
visuals, an array of delicious cuisine and natural beauty and wildlife diversity are the factors
that come into the consideration while deciding on whether a spot is favourable for tourism or
not. There are various reasons behind the success of Melbourne as a favourable tourist
destination.
Melbourne is a city that has been able to achieve the perfect balance between man-
made and natural beauty. The city is home to great architecture, some of the greatest
examples are the Melbourne Cricket Ground, the Flinders Street Station, a perfect
collaboration between man and nature in the form of St. Kilda and much more (Welch 2013).
It can be said that I people visit the city they will naturally develop a favourable perception
about the country as a whole. Melbourne is one of the most likely cities that the tourists arrive
on when they are on a trip to Australia. Thus, the natural diversity and beauty of the city
helps in attracting tourist to be a part of Tourism Australia. Apart from the highly acclaimed
architecture of the city, the city is renowned for the close link it has to wildlife (Davis et al.
2015). If visiting Australia, it is encouraged by the local government and national tourism
board that the latter should engage in two activities. One is safari and the other being
engaging with the sea shore. One can be witness to the widest variety of animals in jungle

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safaris and relax by swimming with dolphins and surfing. The cuisine and live music
complete the experience from which maximum utility is provided to the diverse tourists
across the country.
Impact of Tourism activity on Melbourne
It is evident that one of the most evident impacts of tourism in the city has been the
economic development that the country has been subject to. The most evident impact that
tourism has had on the country is the rates at which the city has been developed. As
mentioned before, the development of the city has been coupled with high cost of living.
Melbourne is considered as a beautiful city, however, the high prices that have resulted due to
the rise in the cost of living in the country as responsible for the development of unrest
among the locals. The high prices that are come with development of the city has been also
responsible for the rise population in the country. Employment has been generated in the
country which is a sustainable cause that the industry has been able to contribute to.
However, as a result of the same, the country has been subject to high rise in the population
count. Population has been identified as a negative impact of the industry among various
advantages that are offered by the industry. The city has been able to bolster their
competency in terms of development of businesses that are similar to the hospitality industry
(Whitelaw 2013). The latter has helped in terms of boosting the competency of the economy
of the country. It must be noted that just as tourism has had a positive effect on the economy
of the city, it is taking a toll on the quality of the service. Due to heavy rush in the 4- and 5-
star hotels throughout the city, there has been immense stress and pressure on the individuals
associated with the said industry. This posses a threat to the quality of service that is being
provided to the international guests which is leading to the reason behind unfavourable
impression that the latter might have on the city.

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Apart from such issues, there has been issues associated with the accumulation of
excess amount of wastage and garbage. Even through environmental sustainability is an
aspect that has been highly marketed, the outcomes of the city in terms, waste produced is
inevitable. There are safaris and numerous live events that are carried out by the tourist.
Amidst the activities, there are various unfavourable action such as dumping of garbage in
the ocean and litter in the wild has been found to be taking place and has been identified as a
crucial hindrance caused by the tourism industry in the country. Moreover, it has been
identified that the number of personal vehicles that are being hired by the international
tourists are high. This is leading to more vehicles on the streets as a result of more vehicles
on the road. Thus, in an indirect way tourism in the city is leading to degradation of the
quality of the abiotic components in and surrounding the city.
Destination Development Issues
It must be identified that they key to development of resolution for the betterment in
the tourism industry can be supported by identification of problems that pose possible threats
to the smooth nature of operations of in the industry. It has been found that the lack of
destinations that are catered to by the international flight operators is leading to a hindrance
ion attracting the international tourists. Yet another issue that is the one associated with the
quality of the service offered in the hospitality sector can cause possible threats to the smooth
nature of operation in the industry. The following sections will discuss regarding the same;
Aviation
There are major steps that is being constantly taken by the government of the country
along with the local government to boost the effectiveness of conversion in terms of tourism
in the area. It has been recognised that in order to satiate the stakeholders associated with the
tourism industry, there should be innovation that must be incorporated into the general nature

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of operations in the industry. The government of Melbourne has been able to identify that
incorporating innovation the airlines industry can help in bolstering the inflow of tourists in
the city. Thus, along with the companies associated with the aviation industry, the
government has been able to form favourable relation with various spots on the global map.
The initiative aims to develop maximum number of links throughout the globe that is likely
to bolster the success that the tourism industry is subject to.
Hospitality
Melbourne has been recognised as one of the most visited places in Australia and in
the world collectively. This results in high amount of stress on the members associated to the
hospitality sector. As a result of the latter, the quality associated to that of 4-star and 5 star
hotels have declined, the fall in quality of the service and accommodation offered in the
hospitality industry are not being able to meet the expectations of the international tourist that
is thus, lowering the propensity of the international tourist to come back to the location if
they had a chance to. Hence, there has been rise in motives from the part of the tourism
industry of the city to construct increased number of luxurious hotel and villas in the area and
couple the same with good quality service. However, the environmental impact of the same
should be checked with the help of sustainable initiatives that cater to the needs of the
environment.
The main motive and concern of the government and the collective tourism is to
mitigate a possible negative impression in the international market. The usage of social media
and the expanse that ist can reach helps in spreading word of mouth at rapid rates. Hence, in
order to avoid any unfavourable outcomes, the initiatives are being taken.

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Tourism Policy
There are various policies that have been developed by the country in order to boost
the effectiveness of the tourism industry. The sustainable development policy has been highly
prioritised in Australia and has displays the concern of the county for the betterment of the
tourism industry as well as considerable amount of attention to the nature. Melbourne being
one of the most popular tourist destinations in the country has been highlighted time and
again as a result of which it has been opined that the structure of tourism taking place in the
city should bolstered by collaborative efforts from the people and the government as a whole.
It has been opined that the structure of tourism in the city can be bolstered by
structuring the industry as a whole. The latter is likely to help in terms of development of a
systematic impact on the industry as a whole. On top of the agenda is to bolster the
effectiveness of the industry in terms of the transportation system associated with the industry
and the accommodation facilities. It is a key motive of the city to commence the construction
of more facilities such as resorts and possible tourist attractions such as theme parks, casinos
and others. The aim of the company is to cater to the needs associated with the development
of the industry in terms of infrastructure and investment. In the past there has been issues
associated with the development of infrastructure of the Melbourne National Park. It was
found out that the loss of the industry was due to the lack of funding of the park. According
to the organisation, it has been opined that the national park could receive possible support
from private sectors. While the various procurements are being carried out in the industry, the
it can be said that the attention is being paid to sustainability. Environmental sustainability
has been prioritised by the government of the area, as a result of which it can be said that the
nature of operations to be carried out in Melbourne related to procurement and development
is to be characterised by high degree of affiliation towards the environment. Thus, the policy
is concerned with extensive link between the environment and the structuring.

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Conclusion
On a concluding note, it can be said that the tourism industry of Australia is
spearheaded by Melbourne. The city has been recognised as one the most visited cities on
earth. Furthermore, huge number of tourists are attracted towards the city as a tourism spots
due to the diverse assimilations of leisure activities and tourist spots in the area. Tourism has
helped in bolstering the economy of the country as a whole. It has generated employment,
however has resulted in the increase of population and stress on the hospitality sectors. Thus,
sustainable development policies have been adopted to boost the competency of the tourism
in Melbourne.

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REFERENCES
Char-lee, J. M., Becken, S., & Watt, M. 2016. Learning through a cluster approach: lessons
from the implementation of six Australian tourism business sustainability programs. Journal
of cleaner production, 111, 348-357.
Davis, S., Abbasi, B., Shah, S., Telfer, S. and Begon, M., 2015. Spatial analyses of wildlife
contact networks. Journal of the Royal Society Interface, 12(102), p.20141004.
Miller, D., Merrilees, B. and Coghlan, A., 2015. Sustainable urban tourism: understanding
and developing visitor pro-environmental behaviours. Journal of Sustainable Tourism, 23(1),
pp.26-46.
Ross, G., 2016. Heritage lost or fortune found: issues and dilemmas concerning tourist
development within local communities. eTropic: electronic journal of studies in the
tropics, 5.
Tourism.australia.com 2019. [online] Tourism.australia.com. Available at:
http://www.tourism.australia.com/content/dam/assets/document/1/7/2/c/6/2009238.pdf
[Accessed 9 Sep. 2019].
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[Accessed 9 Sep. 2019].
Welch, M., 2013. Penal tourism and a tale of four cities: Reflecting on the museum effect in
London, Sydney, Melbourne, and Buenos Aires. Criminology & Criminal Justice, 13(5),
pp.479-505.

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Whitelaw, P.A., 2013. Leadership Up The Ladder: The construction of leadership styles in
the hospitality industry. Journal of Contemporary Issues in Business and Government,
The, 19(1), p.65.