Issues and Stakeholders in Tourism: Bangkok - Case Study Example

Tourism: Bangkok – Thailand Issues and Stakeholders in Tourism Case of Bangkok – Thailand Introduction In today’s busy and hectic schedule, the importance of tourism is of vital importance. People want to go for vacations with their families and loved ones to get an escape from their routine work life in order to enjoy or they simply want to explore nature. Sometimes the tourist spots are attractive enough, that tourists visit the place for various adventure purpose. To name there are various tourist places in the world that are famous and millions of tourists every year visit them. Bangkok, the capital of Thailand is one such place that is a famous tourist spot in the world (Berger, 2014). It should be noted that there are certain issues that are associated with the tourism industry. These issues ranges from economic, social, environmental to political and security issues. Bangkok is also facing similar challenges in the field of tourism; however, the government and stakeholders have taken some concrete steps over the past years, in order to maintain a sustainable and responsible tourism in the region. The purpose of this case study report is to highlight the debate over responsible and sustainable tourism in Bangkok, Thailand. Furthermore, the report will analyze the current issues in tourism in the region and the major stakeholders. The report will present SMART objectives for the tourism industry for the year 2019 for Bangkok, Thailand and will also suggest strategies and implementation plan based on these objectives. Responsible, Sustainable Tourism and Bangkok, Thailand Responsible tourism is relatively a modern term that has been coined in the 1990’s in the Kingdom of Thailand. It is because of responsible tourism that Bangkok has been able to minimize the negative aspects of tourism on the local communities and that the government and the Tourism Authority of Thailand (TAT) can maintain a balance between hosts and the tourists (TAT, 2014). Responsible tourism helps in promoting and developing environment, economic and social issues whereas it also minimizes the adverse impacts of tourism on these areas (Lin & Siriporn, 2012; Amnatcharoenrit, 2013). By adopting a responsible tourism, the government of Thailand was able to promote a sustainable income plan for their tourism industry. It has been witnessed that the tourism industry of Bangkok, Thailand has evidenced major issues in the past decades. To counter those issues, these steps and counter measures were taken by the government of Thailand and TAT. Since, the tourism sector is a flagship industry for the government of Thailand therefore it was quite essential for them to sustain it; however with the help of responsible tourism tactics the TAT and the government effectively attained the set goals and sustained the tourism industry and their economic, social, and environment development (Dorin-Paul, 2013). Background Thailand is among one of the most beautiful places for tourists to travel in the world. Bangkok is its capital and has most of the tourist attractions in Thailand. In the recent years, because of the effective strategies and implementations in the region, Bangkok has become one of the most visited places in the world and has the most responsible and sustainable tourism. It is surely because of the endless efforts of the government, people, and the stakeholders of Bangkok, Thailand (Higgins, 2009; Business Monitor International, 2014). However, there are certain issues that are associated with tourism in the country. These issues are mostly related with security and environment. According to a survey, Bangkok is among one of the most polluted cities in the world. The continuous protest in the country, particularly, Bangkok makes it difficult for the tourists to freely roam around because of the security concerns. However, the government of Thailand is addressing these issues so that it continues to serve and sustain its tourism industry (Dorin-Paul, 2013; Berger, 2014). Literature Review According to (Dorin-Paul, 2013), tourism industry has gained much attention over the past years. These alterations in the tourism industry are because of the sustainability and the environmental considerations. The purpose of the sustainability and responsible tourism is to ensure that the tourists are selecting right and secure tourists spots for themselves. Bangkok, Thailand is a famous and known tourist spot (Business Monitor International, 2014). According to the Thai Ministry, Department of Tourism in 2013 alone as many as 25 million tourists visited Thailand (Berger, 2014). 1 Current Issues in Tourism Lin & Siriporn (2012) stated that there are several issues that are related with tourism in Bangkok. It is known to be the most polluted cities in Asia. Furthermore it has been urged by many researchers that tourism is now becoming a volatile industry. For a city like Bangkok, which is densely populated, it has been evidenced that the local community and residents of the city who are using their homes and spaces as guest houses and motels are adding to these issues by not paying taxes as tourism is a heavily taxed industry. Every year million of tourists spend billions of dollars on tourism in other countries, which help in stabilizing the economy of that country (Berger, 2014). However, if the locals of Bangkok will not pay taxes to the government, this will ruin the overall tourism infrastructure of Bangkok as many tourists stays in these guest houses and motels (TAT, 2014). Since millions of tourists visit Bangkok every year, this has added to the problems of the city’s international airport and has tarnished its image. Management crises are increasing day by day as the travellers are increasing (Business Monitor International, 2014). Travellers are asked to report to the immigration desks three hours before the flight; this has certainly damaged the tourist friendly image of Thailand and many tourist now use alternative options to avoid the long queues at the airport of Bangkok, Thailand (Lefevre, 2012). Another major issue, which has created challenges for the tourism industry in Bangkok, is associated with security. The continuous protests and shutdown of the city have caused trouble for the tourists over the past few years whereas several bomb attacks are other trouble areas to focus (Gordon, 2014). However, despite of these threats and shutdown from the protestors, the government of Thailand and the Tourism Authority of Thailand (TAT) try their best to ensure safety of all tourists in order to sustain their tourism industry and to be responsible (TAT, 2014). Numerous countries have issued reports stating Bangkok as an unsafe tourist spot, however TAT has been emphasizing on the fact that it is safe for tourist and is issuing PR reports and other media reports etc. (Lin & Siriporn, 2012; Dorin-Paul, 2013). According to an article published in the New York Times, it was stated that the tourism industry of Bangkok and Thailand has been the target of such deadly and violent anti government protests. These riots have caused a damage of millions of dollars to the tourism industry of Bangkok (Higgins, 2009). However, in order to gain competitive edge over its neighboring countries in the Asia Pacific Bangkok, Thailand has to find ways to diminish these issues and add uniqueness in its tourism industry so that it may become sustainable and responsible (Berger, 2014; Dorin-Paul, 2013). Economic, Social, and Environmental Development in the Region Lin & Siriporn (2012) stated that in order to sustain the tourism industry the TAT has been adopting various effective techniques to make its tourism industry successful. Particularly the Thai government has also contributed great efforts towards the tourism industry. Various strategies and efforts are made by both the government and the TAT in order to enhance the economic, social, and environmental development in Bangkok as that will directly promote tourism and will have a positive impact (TAT, 2014; Moufakkir & Burns, 2012). Because of such developments, it has been evidenced that the number of tourists, in the recent years, visiting Bangkok has increased with an average rate of 7.51% annually (TAT, 2014). However, it should be noted that where on one hand the country has economically developed because of tourism, on the contrary, the environment of Bangkok, Thailand has been hit because of tourism, over the period of last ten year or so. For example, the beaches have been utilized for the purpose of tourism to build apartments, hotels, bars etc. destroying the natural beauty and the coast (Business Monitor International, 2014; Berger, 2014). When the government of Thailand faced the challenges regarding the tourism industry it came up with various strategies (as it has been aforementioned) for the spread of reliable tourism (TAT, 2014). All these developments were a part of the reliable tourism, which contributed for the sustainable economy of the country and a sustainable tourism industry as well. As, these developments have promoted the social and economical activities of the country as it has created jobs for the locals. The foreign exchange rate has also increased because of this reason (Berger, 2014; Business Monitor International, 2014). 2 Stakeholders in Tourism 400 In order to develop responsible and sustainable tourism in Thailand, numerous stakeholders have come forward to contribute their part in the tourism industry of Thailand (Berger, 2014). Since, the tourism industry of Thailand is a flourishing one therefore, many stakeholders are now coming forward to play their role. The government, which is also one of the major stakeholders, has allowed opening the tourism industry open for other stakeholders so that it may develop and become responsible and sustainable (Skipper, 2009). Some of the major stakeholders in the tourism industry of Bangkok includes the government of Thailand, Tourism Authority of Thailand (TAT), various hotels and other tourism related business in the country, business and tourism agents, travel agencies, Thai nationals, tourism agencies, etc. (TAT, 2014). All these stakeholders join hands together to promote techniques of sustainable tourism in Bangkok and in entire Thailand. In this way, the objectives of responsible tourism can be achieved and accomplished. It should be noted that the role stakeholders in the development of any tourism industry is quite essential. If the government wants to sustain its tourism on a longer run then it should support the stakeholders (Business Monitor International, 2014). Thailand, particularly Bangkok is a geographically diverse area and the tourism stakeholders depends on its geography. It has been observed that not every stakeholder in the tourism shows the same level of interest and responsibility towards the sustainability of tourism in Bangkok. On the other hand, a majority of stakeholders is more active than others regarding their tourism activities for the implementation of sustainable tourism in the region (Business Monitor International, 2014). According to the UNWTO, some other stakeholders in the tourism industry of Bangkok are tourism professionals, some known public authorities, while the press and media also act as responsible stakeholders (Business Monitor International, 2014). In case of sustainable tourism, the category of stakeholders can be divided into five parts including the goverment, tourists, host communities, business related to tourism, and other sectors. Every stakeholder plays a vital role for the sustainable tourism as they contribute their part and work within the framework through which the responsible and sustainable tourism can be achieved (Berger, 2014). Role of Host and Guests in Development and Tourism 400 For the purpose of attaining responsible and sustainable tourism, Dorin-Paul (2013) has asserted that customer loyalty is an important aspect of growth. It is due to the fact that it presents countless economic advantages to the tourism industry (Skipper, 2009). The role of host and guests both are of vital importance if a country wants to strengthen its tourism sector and wants to make it responsible and sustainable. The government of Thailand has focused on both of the areas and has catered them effectively (Dorin-Paul, 2013). Undoubtedly, the nature of Thai nationals is one of the major factors that attract millions of tourists from across the world every year to visit Bangkok and other places in the country. If the hosts will start treating the guests in an unpleasant manner then the chances of unsustainability in tourism are greater. The hospitality industry of Thailand has been practicing the strategy of developing positive relationships with their customers so that they may make them their loyal customers and can retain them (Business Monitor International, 2014; Berger, 2014). Similarly, studies have shown that guests who are overwhelmed by the treatment and nature of the host of the Thai locals and the Thai tourism industry are likely to visit the place again and again. Even after the disastrous Tsunami that killed more than 60,000 innocent lives in the region, many visitors decided to visit the place as their favorite tourist spot (TAT, 2014). Most of the studies also show that, a majority of times customer satisfaction is not the major reason behind customer loyalty. These gaps are sometimes filled by other reasons including commitment, communication, reputation, and trust. These factors stand out as important elements, which leads to strong relationship between host and guests (Business Monitor International, 2014). It is important to note that responsible and sustainable tourism is almost impossible without establishing healthy relationships between the hosts and guests. If hosts and guests are not willing to contribute their part towards the sustainability of tourism, then it will become difficult for the Thai government to attain its goals and objectives easily. Therefore, it can be said that the role of hosts and guests in the development of tourism is as important as the economic and social development, as without it, the process will become slow and almost impossible to proceed (Business Monitor International, 2014). 3 SMART objectives for 2019 on the Basis of Analysis of (1) and (2). Although it has been noted that the tourism sector of Thailand has jumped to the world’s top tourists destinations. After New York, Paris, and London, Bangkok is ranked at number 4th at cross border spending with an average total of 14.3 billion $ for the year 2013. It has been named as ‘Worlds’ Best City’ by ‘Travel + Leisure’ Magazine and has received millions of tourists, with 15.98 million in 2013 alone. However, keeping in mind the past record of and the critical conditions of the city and the adjoining areas, there should be some objectives that may address these issues on a longer run (Business Monitor International, 2014; Dorin-Paul, 2013). The recent riots and protests issues, airport management, taxation policies, hosts and guests relationships etc. all need to be focused while designing strategies and objectives. These objectives should be planned in an effective manner and should be based on the SMART approach i.e. they should be specific, measureable, achievable, relevant, and time bound. The SMART objectives are presented for 2019 i.e. five years from now (Dorin-Paul, 2013). The tourism industry of Thailand is a key industry and despite all of the social and political uncertainties, it has successfully been able to come to front and become responsible and sustainable in terms of tourism. Since, the number of tourists visiting Bangkok, Thailand is increasing every year, therefore, it can be predicted that it will double if effective and sound policies are implemented and practiced in the country (Higgins, 2009). The recent political conditions have been limited to the city centers and adjoining areas only this suggests that the rest of the country stays unaffected by the riots and protests (Higgins, 2009). Furthermore, the economic strength of the neighboring countries such as India and China will also provide a boost to Thailand to outsource its tourism market in the coming years. The SMART objectives for 2019 are mentioned as under: 1. The government and TAT should focus more and more on its tourists destination spots following a responsible tourism scheme and following all the legal economic, social and environmental approaches so that it may attract more and more investors from around the world. 2. The government should ensure that no riot or any other unpleasant event takes place in the country however even if it happens, it should provide safety for the tourists. 3. It should make the most of the economic strength of its neighboring countries, i.e. India and China and should utilize it in developing a healthy responsible tourism sector. 4. Various protection plans should be structured and implemented by the government and TAT to not only safeguard the life and property of the tourists, but to ensure safety to the environment and cultural heritage sites; as many eco-tourism sites are under danger and can be exploited or can be degraded. 5. By 2019 the government should ensure a well-developed transport and accommodation infrastructure as it has limited the amount of tourists in recent years. 6. The government should ensure that all the Thai nationals who are using their homes as guesthouses and motels should pay taxes to the government. 7. The tourism agencies should also provide flexible vacations / holiday plans so that it may compete with its neighboring low budget tourist countries such as Myanmar, Vietnam etc. 8. A new airport in Bangkok, and other major cities should be built by 2019 so that the management and visa / airport / customs processing duration can be reduced. 9. The train network of the Bangkok and Thailand is in avid need of investment as it is a primary source of travelling from and within Bangkok to the rural areas of the country. Many major hotel groups, which have their presence in Bangkok, are planning to expand their business in the country, therefore the government should also focus on how to effectively structure strategies, which appeal both the investors and the tourists in the coming years. Both inbound and outbound travels are forecasted to increase by 2019 (Berger, 2014). The value of hotels, apartments, restaurants etc. is likely to increase by the coming years; therefore, the government should also apply applicable taxes on this sector as it will help the government economically. According to a rough estimate, the number of hotels and restaurants by 2019 in Thailand will be around 11,000. However, the future of tourism industry in Thailand, particularly in Bangkok seems quite promising (Business Monitor International, 2014). 4 Strategies to achieve the SMART objectives. The SMART objectives have been presented keeping mind the present issues of the tourism industry of Thailand and the how the government can maintain the responsible tourism and sustain its economy by implementing on those objectives. However, in order to be implemented, these objectives need a strategy and a proper scheme. In this way the SMART objectives will be successfully achieved. The major role in designing strategies is of the government and the TAT. The government and the Tourism Authority of Thailand should formulate flexible strategies that may allow new investors and businesses from around the world in Thailand. When these investors will start investing in Bangkok or in other parts or Thailand, then the government can collaborate with them in order to improve the tourist spots keeping in mind the eco-tourists factor in mind. Furthermore, the government can also collaborate with the government of neighboring countries in order to inter-promote their culture and tourism industry. The collaborations can be made with the local and international airlines that may present special packages to the tourists that are travelling to Thailand. Moreover, the government to overcome the issues of violence in Thailand should adopt standard strategies. Various operations can be conducted so that the militants could be punished / jailed etc. Thailand should try to develop healthy relationships with its neighbor i.e. India, China, Malaysia, etc., so that it can bid for future upcoming events. The event can be of any kind ranging from entertainment to sport to award ceremony etc. This will automatically attract millions of tourists from across the world. This strategy will also help for making the tourism industry of Thailand, responsible and sustainable. Furthermore, a sustainable tourism development plan should also be included in the strategy to attain the SMART objectives. The basic purpose of this plan will be to expand the size of the tourism market, to increase the loyalty of tourists (i.e. increasing the rate of repeating customers), and to improve and enhance the image of Thailand and it’s overall reputation. Feasibility report should be created now, so that the government may start working on the funds and investments that are required for making the new airport and train system in Bangkok, and other cities of Thailand. Moreover, the government of Thailand can also take help from other government and advisors in order to improve their overall infrastructure of responsible tourism (Amnatcharoenrit, 2013). It has been witnessed that the present system can be stated as responsible tourism and sustainable tourism as well but the government should be ready and should design strategies and policies through which it may ensure a brighter future for the country as it is the major source for the economic development in the country (Amnatcharoenrit, 2013). Which stakeholder is suitable for which strategy and how it can be implemented and achieved. Keeping in mind the responsible and sustainable tourism, then (Dorin-Paul, 2013) stated that government is a major stakeholder when implementing strategies. It monitors and allows all major strategies that are being practiced in the country (Berger, 2014). However, in the case of Thailand, the TAT is also one major stakeholder that will help in the implementation of the strategies. The strategies that involve collaborations with investors, neighboring countries, airlines etc. are suitable for government and TAT and should be designed and implemented by them only. The strategy is going to take time to fully implement as it is a long process therefore the SMART objectives will also take time to reach their desired goals (Business Monitor International, 2014). Some strategies also include stakeholders such as investors and tourism professionals as the government has to take their help to accomplish these objectives. However every stakeholder play certain role in every strategy as it has been discussed earlier that all stakeholders are important elements of the tourism industry and without them it is impossible to sustain a responsible tourism industry (Business Monitor International, 2014; Dorin-Paul, 2013). Findings It was revealed that despite of the political and economical unrest in the country, Thailand has been able to maintain a responsible and sustainable tourism industry. It is listed at number fourth in the world. There are certain issues associated with Thailand, particularly Bangkok but the government and TAT has successfully overcome them and implemented responsible tourism plans and strategies in order to expand their tourism industry. The tourism industry of Thailand has a brighter future and if right policies and SMART objectives are effectively implemented with the help of sound strategies then it will be able to meet its set goals. Conclusion Thailand is a small country located in Asia Pacific. After studying relevant material, researches and studies on the tourism industry of Thailand it can be concluded that Thailand has successfully utilized its tourism industry in an effective manner and has come to the forefront. It stands out with other European countries in the world when it comes to the places visited by most travellers every year. It has been tagged as the most World’s Best City by the Travel + Leisure magazine for three consecutive years. There are certain stakeholders involved in the tourism industry of Bangkok and Thailand in general. These include the government, the Tourism Authority of Thailand, tourism professionals, agencies, the Thai nationals etc. The Stakeholders also play a major role in the tourism industry and maintaining a responsible and sustainable tourism in Thailand. Studies show that the past decade has raised various concerns for the tourism industry of Thailand particularly Bangkok. Numerous riots, protests, and other security issues have overtaken the region that has caused trouble in the area diverting the tourists. Furthermore some other issues such as the traffic and mismanagement at airport, tax, etc. have also caused problems for the tourism industry in Thailand. The government of Thailand despite of all these issues and problems has successfully implemented the responsible tourism and sustainable tourism plan, which includes the economical, social and environmental well being of Thailand. For this reason, it has been included in the worlds favorite tourists spots for the past three to four years. However, it should be noted that these issues may arise again in the future therefore, the government of Thailand should be ready and should develop strategies and policies in order to address them immediately so that it may not harm their tourism industry as it is one of their major economic industry as well. List of References Amnatcharoenrit, B., 2013. Thailands tourism future remains bright amid economic gloom. [Online] Available at: [Accessed 8 May 2014]. Business Monitor International, 2014. Thailand Tourism Report. Thailand Tourism Report., (2), pp.1-62. Berger, A.A., 2014. Thailand Tourism. New York: Routledge. Dorin-Paul, B., 2013. Sustainable Tourism and Its Forms - A theortical Approach. Annals of the University of Oradea, 22(1), pp.759-67. Gordon, S., 2014. Bangkok open for business for tourists despite shutdown threats from protesters. [Online] Available at: [Accessed 7 May 2014]. Higgins, M., 2009. Problems, and Deals, in Thailand. [Online] Available at: [Accessed 8 May 2014]. Lefevre, A.S., 2012. Bangkok airport problems threaten tourist-friendly image. [Online] Available at: [Accessed 8 May 2014]. Lin, L.-C. & Siriporn, M., 2012. Importance-Performance Analysis of Bangkok as a City Tourist Destination. Consortium Journal of Hospitality & Tourism, 17(1), pp.24-46. Moufakkir, O. & Burns, P., 2012. Controversies in tourism. Wallingford: Cambridge. Skipper, T.L., 2009. Understanding Tourist-Host Interactions and theirInfluence on Quality Tourism Experiences. Ottawa: Wilfrid Laurier University. TAT, 2014. The Tourism Authority of Thailand (TAT). [Online] Available at: [Accessed 8 May 2014]. Read More