MACRO: FINALS Flashcards
The tourism and hospitality industry generates income within a destination country
Income
the sum of all income in a country.
National Income
The most common method for estimating the income generated from tourism and hospitality is by determining the___________ for a destination.
multiplier
The most common method for estimating the income generated from tourism and hospitality is by determining the multiplier for a destination.
National Income
The total revenue of a country is referred
National Income
are means of estimating how much extra income is produced in an economy as a result of the initial spending or injection of cash
Multipliers
In general, the tourist industry offers more employment opportunities than other economic sectors.
Employment
is generated as a result of providing goods and services directly to tourist.
Direct Employment
consists of those positions that are associated with other tourism-related activities but are used by both the local resident and the tourist.
Indirect Employment
refers to people working in positions only peripherally related to tourism and hospitality, but generated because of it
Induced Employment
is an accounting of flow of goods, services, and funds in and out of the country during a given period.
Balance of payments
Once an area has become economically successful, businessmen and government agencies may be influenced to invest in tourism and hospitality and other industries in that area.
Investment and Development
This is known by economists as an accelerator concept
Investment and Development
Tourism can drive up prices for goods and services, making them less affordable for local residents.
Inflation and Land values
Increased demand for land raises property values, benefiting some but creating financial burdens for others.
Inflation and Land Values
Developing countries often face losses as they import goods, services, and technology to support tourism. Profits and wages may also flow back to foreign investors, reducing local economic gains
Economic Leakages
Many tourist regions experience low returns on investment because of seasonal fluctuations in demand.
Seasonality
The seasonality of demand is reflected in hotel occupancy rates. Many hotels experience greatly reduced revenues during the off season. Nevertheless, most hotels prefer to remain open all year round to secure as much revenue as possible.
Seasonality
Accommodation investments are not the only ones with a low rate of return; tour operators also face similar problems.
Seasonality
some destinations have made themselves vulnerable to changes in tourist demand by becoming overdependent on tourism and hospitality for their livelihood.
Overdependence on Tourism and Hospitality
Tourism is highly susceptible to changes from within and outside the industry.
Overdependence on Tourism and Hospitality
This type of visitor is interested in being an active participant observer among the population.
Explorer
Also known as the “jet-setter” are a type of tourist who is few in number
Elite
He can afford to pay well for unusual vacations. His arrangements are either made by a travel agent or maybe pre planned.
Elite
This tourist adapts well to simple accommodations and services provided for the occasional guest.
Offbeat
This tourist loves sub-exotic cultural sites, and unusual or primitive sites as long as he can quickly and safely return to more familiar surroundings and groups.
Unusual Tourist
This is a visitor who looks for the amenities of Western societies in hotels and other travel-related facilities.
Incipient Mass Tourist
He is a mixture of both a pleasure seeker and a business traveler.
Incipient Mass Tourist
He comes from the middle class. He arrives at a destination with other tourists.
Mass Tourist
There is a diversity of tastes among them and their attitude is “You get what you pay for”.
Mass Tourist
The _____________ comes “en masse” with others of his kind creating an extremely high amount of business and receiving a high degree of standardization in services and products.
Charter Tourist
Tourism and hospitality change the traditional forms of employment which results in the lowering of the status of agricultural workers, migration of the population, and the breaking up of families.
Changes in the Social Structure, Behavior, and Roles
Prostitution and criminal activities.
Community Problems
Consists of tourist behaviors that can be considered socially and economically inappropriate.
Negative Demonstrative Effect
Defined as the occurrence of change in a culture, _________ is an event where a culture adopts other cultures’ practices, technology, language and values
Acculturation
It happens when cultures become more alike. Both are inherently different but is similar in some ways due to their constant exposure with each other.
Cultural Convergence
helps promote a better unity and understanding among different cultures, nationalities and social groups.
Intercultural Communication
This also promotes a better understanding between tourists and the hosts
Intercultural Communication
not only benefit the local area but they also determine the future of tourism and hospitality.
Conservation and preservation of the environment