LESSON 3 MIDTERM Flashcards
It depends on factors such as local governance structures,
inter-community relationships and partnerships with NGOs
and Tour Operators
Community-based ecotourism
(cbe) enterprise
Often take the form of a structured or loosely-aligned
cooperative in which members of the community hold
active roles in providing with accommodations, food, crafts,
transportation, or guide services.
Community-based ecotourism
(cbe) enterprise
These enterprises can be structured in various ways ,
which should be explored in the planning process in
order to identify the best fit for the community and
prevalent conditions.
Community-based ecotourism
(cbe) enterprise
Often have problems understanding and attaining the
level of quality needed to satisfy international tourist.
Community-based ecotourism
(cbe) enterprise
This partnership stracture
reduces the risk that a tourism venture will fail,
given their knowledge of product quality
standards, their experience in operations
management and their established marketing
network
PRIVATE SECTOR
CONCESSIONS
The disadvantage of this structure is the more
revenue is likely to leave the area and these
owners may capture much of the profit
themselves and create economic leakages by
importing food, supplies, staff, and building
materials from outside the community.
10
PRIVATE SECTOR
CONCESSIONS
It is the best way to encourage ecotourism may
be to partner with the community. TRUE OR FALSE
FALSE (PRIVATE SECTOR)
They Work further for the conservation of the
protected area and foster sustainable
community development. 11
NGO
This structure should be approached with great
caution.
Must have access to the capital and training
required to provide ecotourism services.
Must have the legal authority to operate a
business.
NGO ECOTOURISM
ENTERPRISES
The objectives of private sectors are more closely match to those
of a host community. T or F?
FALSE (NGO)
NGO ECOTOURISM
ENTERPRISES can be a risky. T or F
TRUE
Desirable form of ecotourism enterprises
involves partnerships between communities,
NGOs and private businesses.
Potential partners
Profit margins or the size of an
operation need to be considered
when selecting a partner. T or F
TRUE
Give the four CHALLENGES OF THE
ECOTOURISM BUSINESS
Marketing Cost
Profit Margins
Risk Management and Legal Considerations; and
Competitive Environment
It is important for NGOs to be aware of these various intermediaries in the distribution
channel and the functions they perform
Marketing Cost
NGOs do not have a profit mandate but must at a minimum cover their cost. T or F
TRUE
Type of
Company that the
proprietor holds all assets
and debts
Sole Proprietorship
Type of
Company that Easy to establish, little
government regulations
and owner maintains
complete control
Sole Proprietorship
Type of
Company that Owner faces unlimited
personal liability for all
business debts and law
suits
Sole Proprietorship
Type of
Company that capital is Contributed by the
individual proprietor
Sole Proprietorship
Type of
Company that a
business entity created by
tow or more co-owners
General Partnership
Type of
Company that Strength through
cooperation and less
government regulations
General Partnership
Type of
Company that Partners may be
personally liable for
business debts and
liabilities
General Partnership
Type of
Company that the capital is Contributed by partners
General Partnership
Type of
Company a business
entity created by two or
more co-owners with
protection
Limited Liability
Partnership
Type of
Company that Strength through
cooperation and provides
protection to partners
against debt and law suit
liability
Limited Liability
Partnership
Type of
Company More difficult to establish
and maintain and Subject
to greater government
regulation
Limited Liability
Partnership
Type of
Company that has an
agreement between two
or more organizations to
participate in a business
project
Joint Venture
Type of
Company that cons is Diversified control could
lead to unresponsive
decision making and more
difficult to establish and
maintain
Joint Venture
Type of
Company that capital is Contributed by the
participating organizations
Joint Venture
Type of
Company that a
business entity with
separate tax and legal life
from shareholders
Corporations
Type of
Company that Provide owners protection
from debts and liabilities
and sale of shares can
attract large investments
Corporations
Type of
Company that More government
regulations and reporting
rules
Corporations
Type of
Company that Capital is from Sales of shares (stock) to
stockholders
Corporations
Type of
Company that a
business entity
democratically
controlled by
participating members
Cooperatives
Type of
Company that Pools of resources to
greater empower
members and Members
maintain democratic
control
Cooperatives
Type of
Company that Unattractive to outside
investors and diversified
control could lead to
unresponsive decision
making
Sale of shares to
members
Cooperatives
Type of
Company that the capital is came from Sale of shares to
members
Cooperatives
Is often the first step towards formalizing a joint venture
or partnership agreement
Memorandum of
understanding
It is a legal document that outlines which entities will be
party to the agreement, their individual responsibilities
and the intent of partnership
Memorandum of
understanding
