ACCENT JOURNAL OF ECONOMICS ECOLOGY & ENGINEERING Available Online: www.ajeee.co.in Vol.01, Issue 08, December 2016, ISSN -2456-1037 (INTERNATIONAL JOURNAL)
1
GLOBALIZATION AND TOURISM Dr. Asha Rathore
Assistant Professor, Department of Geography, JNVU, Jodhpur 1 INTRODUCTION
There has been much talk of globalization. It can refer to variety of phenomena: politics, technology, consumer behavior, firm strategy, markets, trade flows and capital flows.
This paper intends to look into the phenomenon of „Globalization in Tourism‟
and determine its pros and cons.
Globalization is a process of interaction and integration among the people, companies and government of different countries , a process driven by international trade and investment and aided by information technology. It has increased the interdependence between different countries, economies and people.
Globalization not only involves giant corporations but also small and medium sized business together with family run firms.
Globalization has led to the creation and operation of global tourism market where destinations which are expected to compete on equal basis regardless of the country of origin.
Globalization has opened a whole new world of development and opportunities.
715 million people travelled abroad in 2002 and by 2020 this number is expected to increase by 1.6 billion. The
tourism turnover is 3500 million USD and accounts for 10% of global trade.
2 SIGNIFICANCE OF TOURISM
Tourism has become big business and is run by great trusts. It has become a popular leisure activity. Tourism is travel for pleasure – a holiday activity, travelling to and staying in a place outside the usual environment for a short term.
Tourism has become a popular leisure activity, it has both incoming and outgoing implications on a country‟s balance of payments. It has become a major source of income for many countries and effects the growth the source and the host countries.
Globalization has opened new opportunities for tourism development. It has facilitated growth in tourism through development in electronic technology, communication and transportation. The impacts of technology and internet have dramatically affected the tourism industry. Important demand factors for globalization are: increasing and wealth;
tourists are more experienced and knowledgeable.
Important demand factors for globalization are: increasing and wealth;
tourists are more experienced and knowledgeable.
ECONOMY
Horizontal and vertical integration strategies of tourism enterprises.
Foreign investment in hotels and tourist attractions (“global tourism markets")
Global players and strategic alliances (air companies, hotels, tour operators)
Global tourism management
Global competition of holiday resorts TECHNOLOGY
Global looking systems
Standard technologies in transport systems CULTURE
Global tourist : uniform traveller behavior
Creation of “global tourist village”
ECOLOGY
Tourism as “global syndrome of ecology problem”
Climate changes and their effects on destinations POLITICS
Increasing importance of international tourism organizations
Necessity for global coordination and regulation of passenger circulation
Sustainable development as quality and dominant idea
2 Tourism is one of the world‟s largest lucrative and multinational economic activities. It ranks among the top five export industries for 83% of countries. It involves the greatest flows of goods, services and people on the earth and is therefore the most visible expression of globalization. Globalization in tourism has taken many forms. Although the role of tourism is increasing globally but it is mainly concentrated in developed countries of North America and Europe.
The liberalization of air transport has given opportunities to private carriers, privatization and reconstruction of owned airlines. Examples are also there in the hotel and accommodation sector. There are many hotel chains which work on an international level and provide services to the tourists. Tour operators and travel agencies also entered the tourism sector as a result of globalization. In this day countries are giving attractive tag lines to attract tourists, for e.g. Malaysia- truly Asia; India- Incredible India; Amazing Thailand , truly amazes you; There‟s nothing like Australia. Tourism is an important even vital source of income for many countries. It brings large amount of income into local economy in the form of payment for goods and services needed by tourists. It accounts for 30% of the world‟s trade services and 6% of overall exports of goods. It creates opportunities for employment in service sector of the economy associated with tourism. The service industries which are benefitted from tourism include transportation services like airlines, cruise ships, taxi, cabs, hospitality services like hotels and resorts, amusement parks, casinos, shopping malls, music venues, theatre. In addition things brought by tourists including souvenirs, clothes etc.
Nowadays new kinds of tourist called experiential tourists have begun to develop new values of world views that stress the importance of family and ecology. It is hoped that travelling will be more about developing social relations, preserving natural resources, becoming educated and maximizing the quality of experience than about the quantity of products purchased. More and more tourists are giving importance to ethics, culture, morality and are becoming concerned about the planet, its resources and inhabitants all co-existing in peace. A new type of tourism is more soft,
responsible, green and sustainable tourism. It holds a great potential for future. However, rapid growth of tourism poses a threat to environment, social and international relations. Nevertheless we have to benefit from globalization in the following ways. World Tourism Organization should be made to accept the principles of economics, ecological and social sustainable development and this way contributes to the world becoming a better and more pleasant environment.
3 TOURISM IN INDIA
The tourism industry in India is substantial and vibrant and the country is fast becoming a major global destination .India‟s travel and tourism industry is one of the most profitable industries in the country, and also credited with contributing a substantial amount of foreign exchange .Airlines play an important role in the development of tourism industry, almost all flight services in the world fly into India. This facilitates economic growth, world trade, and international investment thus showing impact of globalization. Hotel industry, yet another major part of tourist industry contributes directly to employment, employing about 1.5 million people and indirectly facilitates tourism and commerce. A growing number business trips are made by foreigners to India in the IT sector and these tourist add a weekend break or longer holiday in their trip. Foreign tourists spend more in India than any other country in the world. The contribution of travel and tourism to GDP is expected to rise from 150 billion USD in 2014 to 330 billion USD in 2020. The growth in tourism leads to growth in employment.
4 CONCLUSION
Rapid growth of tourism poses a threat to environment, social and international relations. Nevertheless, we have to benefit from globalization in the following ways:
WTO should be made to accept the principles of economic, ecological and social sustainable development and in this way contribute to the world becoming a better and more pleasant environment.
Governments should boost the development and progress of tourism industry by investing in new tourism infrastructure, particularly in
3 underdeveloped regions and in this way help improve the positioning in the international market.
Since globalization has helped to create homogenous tourist resorts and erase local standards, tourism offer has to clearly differentiate from others and aim to be based on brands. Otherwise tourism may be too unrecognizable.
References
1. G.Ganpathy Subramaniam, Tourism Industry Aims Global Tie-ups to boost Brand India Times News Network, Chennai, December 8, 2003.
2. Prof. Nawab Ali Khan and Prof. M. Mushtaque Ahmed, Emerging Issues of Tourism Industry
in India under globalized Era. www.academia.
edu
3. John Paul E. Ezeani, Tourism Expert- Enugu State Tourism Board
4. N. Arunagiri, Asst. Prof., Impact of Globalization in Indian Tourism Industry, Vel Sri Ranga Sanku College (Arts and Science) Avadi.
5. Dr. Barbaressos Stelios, Sgouro Melisidone, Globalization and Sustainable tourism development: A Critical Review, Journal of Tourism Research
6. Prof. Larry Dwyer: Globalization of Tourism:
Drivers and Outcomes, School of Marketing, Australian School of business University of N.S Wales, Australia.
7. Vesna Peric, M.Sc, Tourism and Globalization, University of Primorska, Turistica- College of Tourism, Portoroz, Slovenia
