Tourism is the fastest growing industry in the world and plays a vital role in the economic development of a country. Many countries of the world stay alive upon the tourism sector. In this globalization era, third world countries in progress tourism to development their economy, keep contribution to world peace, reduce shortage level and develop human resource and culture.
Directly or indirectly, large account of people is involved in the tourism sector. It includes areas like transportation, somewhere to stay, food, ticketing, guide, boating, rafting, trekking, preservation of the tourist sites etc. Host provides all necessary services and facilities to the guests. The guest pays for all these services. Hence, the tourism generates considerable benefits for the people of the origin place of the tourist as well as people on destinations.
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By developing the infrastructures in various tourism related activities enables better movement services from one place to another for either incoming or outgoing tourists. One of the primary motives for developing a country like ours is to promote tourism destination for foreign tourists. It helps to get the foreign exchange.
A good amount of foreign reserve helps to maintain a country’s balance of trade. Apart from the balance of trade in the country, it also generates employment opportunity for the jobless youth. In this way they get their livelihood and the income is generated for their continued existence and well being.
General Impacts
- Generating Income and Employment: Tourism in India has emerged as an instrument of income and employment age group, poverty improvement and sustainable human development. It contributes 6.23% to the national GDP and 8.78% of the total service in India. Almost 20 million people are now functioning in the India’s tourism industry.
- Source of Foreign Exchange Earnings: Tourism is an important basis of foreign exchange salary in India. This has favorable impact on the stability of payment of the country. The tourism industry in India generated about US$100 billion in 2008 and that is expected to add to US$275.5 billion by 2018 at a 9.4% annual growth rate.
- Preservation of National Heritage and Environment: Tourism helps protect several places which are of historical importance by declaring them as heritage sites. For instance, the TajMahal, the QutabMinar, Ajanta and Ellora temples, etc., would have been decomposed and destroyed had it not been for the efforts taken by Tourism section to preserve them. Likewise, tourism also helps in conserving the natural habitats of many scarce species.
- Developing Infrastructure: Tourism tends to encourage the development of multiple-use infrastructure that benefits the host community, including various means of transports, health care facilities, and sports centers, in addition to the hotels and high-end restaurants that cater to foreign visitors. The development of infrastructure has in turn induced the development of other directly productive activities.
- Promoting Peace and Stability: Honey and Gilpin (2009) suggests that the tourism industry can also help promote peace as well as stability in increasing country like India by providing jobs, generating income, diversify the economy, shielding the environment and promote cross- cultural awareness. However, key challenge like adoption of regulatory frameworks, mechanism to reduce crime and corruption, etc. must be address if peace-enhancing profit from this industry is to be realized.
Typology of Tourism Impacts
Understanding that tourism growth may result in many and complex impacts suggest those local elected officials, the tourism industry and community citizens need to work kindly and carefully to plan for its growth and development. Planning can help generate an industry that enhances a community with minimal costs and disruptions in other aspects of community life. Having broad community involvement and embracing different perspectives during planning helps recognize and resolve concern that would or else create problems later.
The impacts of tourism can be sorted into six general categories:
Economic Impact
Tourism increases employment opportunities. Other jobs, ranging from low-wage entry stage to high-paying professional positions in management and technical fields, generate income and raises usual of living. Particularly in rural areas, the diversification created by tourism helps community that is possibly dependent on only one industry. As tourism grows, extra opportunities are created for speculation, development and infrastructure spending
Tourism often induces improvement in public utilities such as water, sewer, sidewalks, lighting, parking, public restrooms, litter control and landscaping. Such improvement benefit tourists and residents the same. Likewise, tourism encourages improvements in transport communications resulting in upgraded roads, airports, public shipping and non-traditional transportation.
Tourism encourages new elements to join the retail mix, increasing opportunity for shopping and adding healthy competitiveness. It often increases a community’s tax revenues. Lodging and sales taxes most remarkably increase but additional tax revenues include air travel and other transportation taxes, business taxes and fuel taxes. New jobs generate more income tax revenues. When considering the economic impacts of tourism, it is essential to understand that tourism business often include a significant number of low-paying jobs, often at minimum wage or less. These jobs are often regular causing under-employment or unemployment during off-seasons. Labour may be imported, rather than hired locally, especially if particular skills or expertise is required, or if local labor is unavailable.
Some tourism-related businesses are volatile and high-risk ventures that are weak. Greater demand for goods, services, land and housing may boost prices that in turn will increase the cost of living. Tourism businesses may claim land that could have higher- value or other uses.
Additionally, non-local owners and corporations may export profits out of the community. The community may have to generate money (possibly through increased taxes) to maintain roads and transportation systems that have become more seriously used. Similarly, if additional infrastructure (water, sewer, power, fuel, medical, etc.) is required, additional taxes may also be needed to pay for them.
Environmental Impact
Areas with high-value natural wealth like oceans, lakes, waterfalls, mountains, unique flora and fauna and great scenic beauty attract tourists and new residents (in-migrants) who seek emotional and spiritual connections with nature. Because these people value nature, selected natural environment are preserved, protected and kept from further natural decline.
Lands that could be residential can generate income by accommodating the recreational activities of visitors. Tourist income often makes it possible to protect and restore historic buildings and monuments. Improvements in the area’s appearance through cleanup or repairs and the addition of public art such as mural, water fountains and monuments (part of making a community ready for tourism) benefit visitors and residents alike. Tourism is generally considered a “fresh” industry, one that is based on hotels, restaurants, shops and attractions, instead of factories.
Socio-economic importance of tourism development
In 2013 foreign trade profits from the tourism business worldwide are 1.4 trillion US dollars, about 4 percent enhanced than in the former year. Tourism is the major business in the world nowadays. The tourism business share of the entire worldwide manufacture is about 5991.90 billion US dollars that is 9.1 percent of whole world manufacture. Roughly 2 per cent of the GDP arise from the tourism sector.
Moreover, tourism industry plays a vital role by forming the socio- cultural growth in the destination, education, progress, and peace. As a result, human values, behaviour, good lifestyle, etc. are established. For many developing countries the tourism industry works like “Life Blood”. Moreover, tourism activities are the supply of joy for people by bringing comfort and leisure opportunity. People know each other gather experience and make friends with people and harmony can produce through tourism. The government has to give special importance to the industry to continue its development.
Meanwhile, creating employment opportunities in the tourism industry has taken place as the biggest sector. Moreover, the activities of this industry run to every corner of the country create employment opportunities for rural people as well. As a result, the benefits of these industries also create equal opportunity of income between rural and urban people.
The rural people’s service prospects will be created by the development of tourism industry helping the low employment opportunities in Bangladesh. The quality of life is improved if tourism industry generates properly. The development of tourism industry and the development of tourism destination are helpful for local people by creating small business opportunity and forming many more options. Moreover, the ties and friendship between the people of the world rise by tourism.
Services
Tourism creates opportunities to develop new facilities and recreation amenities that would not otherwise be viable in a community. Tourist expectations can upgrade service by local shops, restaurants and other commerce operators. Tourist traffic in a community creates an opportunity for upgraded fire, police, and medical protection that also benefits residents. Traditional services may be compulsory out or relocated due to competition with tourist interests. Supply shortage may occur temporarily, seasonally or chronically. Water, power, fuel, and other shortages may be experienced with increased pressure on the infrastructure.
Positive
- Increases accessibility of recreation services and opportunities.
- Better standard of armed forces by shops, restaurants and other commerce
- Improves quality of fire defense.
- Improves quality of police protection
Taxes
Increased retail activity from restaurants and tourist shopping will add state and local sales tax revenue. Lodging tax revenue to the city (or state) should increase since travelers account for virtually all lodging tax. Improved tax burdens to expand infrastructure and public services will be passed on to property owners through increased property taxes.
Positive
- Additional state and local sales tax revenue.
- Lodging tax revenue to city (or state)
Community Attitude
Visitor interest and satisfaction in the community is a source of local pride. Seeing visitor interest makes local residents more appreciative of local resources that are often taken for granted. As tourism develops, local residents will enjoy more facilities and a greater range of choices. Tourism activities and events tend to make living in a place more interesting and exciting.
However, sensitive tension and population divisiveness can occur over tourism development, pitting tourism supporters against non-supporters. Also, pressure between residents and tourists can occur. People will often feel stressed over the new, increasingly hectic community and personal pace of life. They may claim the result is no better than before or perhaps even worse. Where society is part of the tourist attractions, over-amplification of cultural traits and conception of “new” cultural traits to satisfy tourist tastes may create a phony culture.
Populace may experience a sense of exclusion and alienation over planning and development concerns. They may feel a loss of control over the community’s future as “outsiders” take over establishment and new development. Hotels built in monolithic cubes or restaurants with standardized franchise designs might clash with local standards and disrupt the aesthetic appearance of the community, damage unique community character, and spread sameness.
Positive
- Heightens satisfaction in community
- Greater gratitude of local resources.
- More facilities and variety of choices available.