Tourism in the Developing Countries - Case Study Example

A CASE STUDY ON TOURISM IN THE DEVELOPING COUNTRIES Submitted to (INSTRUCTOR’S NAME) (INSTITUTION NAME) (ADDRESS) November 5th, 2010 By (STUDENT NAME) (INSTITUTION NAME) Table of Contents Table of Contents 2 EXECUTIVE SUMMARY 3 Tourism in Kenya 5 Tourism in Botswana 6 Tourism in Ghana 7 Conclusion 9 Recommendations 9 EXECUTIVE SUMMARY In the sub-Saharan Africa, tourism is one of the main sources of the regions development. In the region, the tourism sector contributes more than 9 percent of the regions total GDP. However, in the sub-Saharan Africa, the tourism sector had declined as a result of the global economic crisis in 2008. It is expected that by the end of 2010 the sector is set for a rebound. Endeavors to promote a sustainable tourism sector in the region have resulted to development of hotels, recreational facilities, infrastructure upgrade and expansion of the existing facilities. The main research methodology that the researcher has relied on is the use of secondary sources. These sources include government reports of the selected countries i.e. Kenya, Botswana and Ghana, the Previous Case studies of the countries in the region, online book libraries such as Google books and Google scholars. Kenya, Botswana and Ghana have been selected by the researcher to represent other developing countries. They have natural resources as their main tourist attractions. However, tourism in the developing countries is being faced by some challenges. They include political instability, poor infrastructure, poverty, poor facilities and lack of better planning. These challenges can be solved through some of the recommendations that the researcher has made. They include proper strategic planning of tourism development, establishment of tourism development funds, seeking international assistance, institutional reforms and encouraging domestic participation in tourism development. Policy reform is another recommendation that the researcher feels will help in upgrading tourism in the developing countries. This will improve political stability and the tourists will prefer these destinations. INTRODUCTION The term tourism refers to where an individual or a group of individuals spend one or more nights travelling away from their residential homes. In essence, the travel is actually an enormous flow of people with diverse languages, backgrounds, religions and culture interacting under a combined description of being tourists. According to the UN 1993 statistical commission, people travel for business, leisure among other reasons. The tourists can be oversea or international tourist (e.g. a resident of US staying one or more nights in South Africa); regional tourists (a visitor from South Africa spending one or more nights in Botswana); a domestic resident (a resident of a nation, USA, travelling within the nation). The world development report 2000/2001 stated that a half of the world’s population lives on less than 2 dollars a day and that a fifth of the global population lives in less than a dollar a day. As these numbers continue to decrease in other regions such as pacific and East Asia, the number continues to increase in most developed countries. While acute income poverty escalates in many developing nations, they have also realized a significant growth in international tourist receipts and arrivals. In almost all developing countries which hold the greatest population of the world’s poor tourism is very significant. In addition, it is the leading source of earning if the international fare receipts and international tourist receipts are combined (WTO, 1999, p13). In the sub-Saharan Africa, tourism is one of the main sources of the regions development. However, in the sub-Saharan Africa, the tourism sector had declined as a result of the economic crisis. It is expected that by the end of 2010 the sector is set for a rebound. In the region, the tourism sector contributes more than 9 percent of the regions total GDP. Endeavors to promote a sustainable tourism sector in the region have resulted to development of hotels, recreational facilities, infrastructure upgrade and expansion of the existing facilities. This essay explores various tourism sectors within the sub-Saharan Africa in an effort of developing a case study of tourism in the developing countries. Three countries have been selected randomly for the case study and they are Kenya, Botswana and Ghana. The findings of this research will be generalized as facts relating to tourism within the developing countries. METHODOLOGY The purpose of this Research paper is to develop a case study on tourism in the developing countries. The main research methodology that the researcher has relied on is the use of secondary sources. These sources include government reports of the selected countries i.e. Kenya, Botswana and Ghana, the Previous Case studies of the countries in the region, online book libraries such as Google books and Google scholars. The researcher will thereafter analyze the gathered information through logic. After collection and analyses of the information, the researcher will then generalize the finding as a true representation of the sub-Saharan countries. Finally, recommendations will be made concerning the way forward in improving the tourism sector in the developing countries CASE STUDIES Tourism in Kenya The Kenya political and social economic stability in the 1970s combined with the country’s policy for foreign investments through concessions of taxes led to the improvement in the tourism sector in between 1970 and 1980 (Kareithi, 2003, p. 5). Consequently, the tourism arrivals shifted from 51000 in 1960 to 1 million in 1990. The country’s total revenue increased from K£ 27 million to K£ 1 billion. This surpassed the combined income that was realized from tea and coffee. In early 1990s, it became one of the main destinations that the tourists preferred in Africa. It received more than 6% of the total arrivals made by the tourist in the continent (Kareithi, 2003, p. 5). The sector recorded a substantial contribution to the national GDP. It also generated both direct and indirect jobs (Government of Kenya, 1993). It was the expectation of the government that this positive trend would be maintained. When the country shifted from one party political system to multiparty system the number of arrivals increased again to more than 1 million in 1997. However, between 1997 and 1998, there was an abrupt decline of the total number of tourist arrivals. Between 1999 and 2000, the trend improved and this was attributed to the increased marketing strategies, political stability and media coverage In Europe. This was followed by a drastic decline and the most affected area included the country’s coast region which experienced over 50% decline, the Amboseli, Maasai land and Maasai Mara. There were various reasons that led to this decline. To start with, in that period, the international development agencies minimized the financial support to the country because the government failed to meet the required donor demands for good governance. This resulted to the failure of the government to meet the tourism and security expenditure leading to dilapidation of infrastructure and unprofessionalism in security. There was also poor planning during the expansion of tourism between 1970 and 1990. As a result of this poor planning, and haphazard development, there is congestion in the national parks and animal orphanage in the southern of that country. Concurrently, the neighboring countries within the region such as Tanzania, Botswana and Zimbabwe opened tourism industries. This offered competition to the Kenyans’ poor tourism products. The increasing negative image affected both the tourists and the investors leading to the decline in the maintenance of the tourism facilities and quality of services. Again, to worsen the situation, the government has been experiencing deficits in its budgets; El nino rains damaged the nation’s major roads. Finally, the political instability in 2008 reduced the tourist arrivals with more than fifty percent. Tourism in Botswana For the last 30 years, Botswana has emerged to be one of the most impressive tourist performers in the sub-Saharan Africa. It is rated fourth in relation to gross domestic product in the southern Africa. The economy of Botswana relies mostly on mining of diamonds which gives a competitive advantage to the tourism sector. On the other hand, tourism has played an important role with the main attraction sites including wildlife and natural resources which includes Chobe river Plains and Okavango Delta. In the national economy of Botswana, tourism has played a significant role. It accounts for five percent of the main GDP and eight percent of the non-mining GDP (Botswana Department of Tourism, 2004). Through comparison, the tourism sector is more significant to Botswana than it is to other tourists’ destinations such as South Africa. The sector is specifically well suited as the best sector for economic diversification. Both in Botswana and abroad, the participants in the industry agree to the fact that the country has unique and abundant resources which gives it an immediate advantage in the sector. The barriers in the industry are relatively low because the entrepreneurs require a limited capital to enter into the industry (Botswana Department of Tourism, 2004). However, for the past three years, the tourism sector in Botswana has been realizing a decline in the number of tourist arrivals. Among the reasons that has led to decline include: global events such as SARS, September 11 terror case, Iraq war; the economic regression of the major markets of Botswana such as Germany and United states; political instability in Zimbabwe which is its immediate neighbor and lack of adequate strategies which has made the country to focus majorly on “High cost- low volume tourism” which has made Botswana to be viewed as an expensive destinations. There are implications for such declines on creation of jobs, foreign exchange and economic growth. Tourism in Ghana In Ghana, since 1980s, the tourism sector has received a significant attention in the country’s economic development strategy. Over the past few years, the tourist arrivals and tourism expenditure have increased as both private and public sector expand. The government of Ghana established a ministry of tourism in 1993 as a way of showing its commitment to the development of tourism sector in the country (Ghana Tourist Board, 1999 p.13). Ghana has been noted to have improved from the 17th position to 18th position among the twenty best earners of revenue from tourism in Africa (WTO, 1999). The international tourism arrivals in the country have increased from 114,000 to 348000 (from 1988-1998 respectively) at 20% annual growth rate. In Ghana, behind cocoa and mineral exports, tourism is the third largest contributor of foreign exchange in the country. Nonetheless, there are some of the challenges that the tourism sector experiences in Ghana. The first challenge is that the required human capacity in implementation of the country’s tourism development plan is poorly coordinated with a multiplicity of private and public sectors and at regional and local levels. The second challenge is the dilapidation of the infrastructure, poor facilities, poor marketing and delivery of services. The third challenge is the access of Ghana through air transportation from the international markets. The tourists’ arrivals in the country depend on its accessibility from main international tourist generating countries such as the European carriers. The final challenge is low level of awareness of the importance of tourism in the nation which has led poor community participation and support in tourism development (Ghana Tourist Board, 1999 p.17-20). Analysis of the major findings From the case studies above, there are some issues that can be generalized. To start with, from the three countries in the case study (Kenya, Botswana and Ghana) are among the most preferred tourist destinations in the region. It has also been crystal clear that the tourism sector is one of the major contributors of foreign exchange in those countries. The main tourist attraction within the region is wildlife and natural resources. To start with Kenya, the main area of attraction is Mt. Kenya, Maasai Mara, Amboseli the Maasai Cultural community (Jimmy A. Sutton Consulting, 2010). In Botswana, the attraction include Okavango Delta, Kalahari desert, Khama Rhino sanctuary Gemsbok National park and Tuli Block (Venues.com, 2010) In Ghana, the attractions include kosmobo & Volta Lake, Beaches, Castles and Forts, Wildlife protected Areas & national Parks, National Museum among others. Tourism can really do well in the developing countries but as it is evident from the case studies, there are number of challenges that have led to the decline of the tourism arrivals every now and then. The first major challenge that these and other developing countries are experiencing is poor infrastructure. This is manifested through dilapidated roads, inaccessibility of these countries from the main overseas markets (e.g. Ghana), poor facilities such as the hotels. This has made the tourists to avoid the developing countries as their main destinations. Secondly, these three (Kenya, Botswana and Ghana) and other developing countries are in their revolution stage. This has resulted to civil wars which have inhibited the tourists from exploring the countries. Examples of such countries that have experienced civil wars for the last 10 years include Kenya, Uganda, Zimbabwe, Ivory Coast, Sudan, and Togo among others. Political instability creates fear among the tourists. This makes them to choose other destinations where they feel that they are safe. A country might be politically stable but it can be affected by the political instability within its neighbors e.g. the political instability in Zimbabwe affected the tourist arrivals Botswana. The other major challenge of the tourism sector in the developing countries is the economy. With a valid example of Kenya, it was evident that these countries experience deficits in their annual budgets. This implies that they have to rely on international support of which they have to meet the donor demands. This pulls the tourism sector of these countries for it is the main reason why the tourism facilities and services are poor. It has also been proved that Kenya and Botswana have had poor planning of the tourism sector. This is a real representation of how the situation is in the developing countries. When these countries formulate their tourism development strategies, they leave some gaps which they come to affect them in future. For instance, in Kenya, it has been found that there is congestion in the national parks and animal orphanages in the southern part of the country. This is a result of poor planning between 1970 and 1980. The final challenge that needs to be addressed in the developing countries such as Ghana, Kenya Botswana and other sub-Saharan countries is the lack of community participation in tourism development. As manifested in the case of Ghana, most developing countries fail to create awareness on the importance of tourism on the nation’s development. This results to the failure of the members of the society to embrace tourism and go ahead to cutting trees, mining and poaching wildlife which is among the backbone of the economy of these countries. Conclusions and Recommendations Conclusion To a varying extent, the majority of developing countries have a viable and significant tourism potential but its development has been hindered by a number of factors which includes political instability. If more developed countries realize political stability and institutional reforms, tourism will play a major role in diversification of economy, mainly in the sector of export with reverence to employment generation and foreign exchange earnings, together with other expected social, economic, and environmental benefits. Using the case of Kenya, Ghana and Botswana, this research has helped in the identification of the existing gaps and has recommended how they can be filled to rejuvenate the tourism sector in the developing countries Recommendations In order to succeed in tourism development in the developing countries, the above stated challenges have to be met. The following recommendations have been proposed. To start with, the developing countries should formulate a financing plan with reverence to general infrastructure, tourism attractions, tourism facilities, marketing and quality tourism service delivery. This can be achieved through funding from the countries government, establishing a tourism development fund, getting international assistance from the donors and attracting the investment from the private sector in the tourism industry. The second recommendation hinges on formulation of good policies that encourage the development of the tourism sector. The formulation of better strategies will ensure better marketing and provision of quality services to the tourists. Constitutional, policy and institutional reforms can to a great extent reduce the political instability. When these countries achieve the political stability, the tourists will consider these destinations as safe for exploration. The third recommendation to the developing countries is to have proper planning when it comes to tourism development. Proper planning involves setting of goals and objectives that the tourism sector needs to achieve in relation to attraction of more tourists. Planning reduces congestion in the national parks and it also ensures the provision of better services to the tourists. Other recommendations are diversification and development of products which includes development and improvement of mega-tourism resorts, human resource development, cultural preservation and environmental protection and proper monitoring and evaluation of the existing tourism organizations. Works Cited Botswana Department of Tourism. Botswana: Arrivals of non-resident Tourists by Country of Residence, 2004. Internal Fact Sheet. Gaborone. Ghana Tourist Board. Tourism Statistical Fact Sheet on Ghana, 1999. Ghana Tourism Board, Research Department. Accra: Ghana Government of Kenya. Economic Survey, 1993. Nairobi: Government Printers Jimmy A. Sutton Consulting. Tourist Attractions in Kenya, 2010. Retrieved 4th November 2010 from http://www.travour.com/tour-to-kenya/tourist-attractions-in-kenya/ Kareithi, S. Coping with Declining Tourism, Examples from Communities in Kenya. 2003. University of Luton. UK. Venues. Botswana Tourist Attractions, 2010. Retrieved 4th November 2010 from http://www.sa-venues.com/regions/botswana_tourist_attractions.htm WTO. Tourism Marketing Trends: Africa 1989-1998, 1999. Madrid : WTO Commission for Africa. REFERENCES Beard, Alan and Carvel, Richard. 2005. The handbook of tunnel fire safety. London: Thomas Telford Publishing, p. 233 Dunn, Vincent. 2001. Structural Fire Spread. Working Fire. Retrieved 2nd March, 2010 From http://www.workingfire.net/misc7.htm UC Davis. 2005. Fire Suppression: How we Fight Fires. Retrieved 1st March, 2010 from http://fire.ucdavis.edu/supression.htm Read More