Tuesday, 17 January 2017

Role of Tourism in Nation Building


Tourism is extremely important for a country. The impact is so huge; it can make or break an Economy. When a Tourist arrives, he/she gives Bread and Butter to numerous people. There are many countries in the world which have less Tourism.  They focus on other industries for their survival, and often ignore the importance of Tourism. We recently posted 2 Blogs on increasing tourism in a country and city, where we discussed ways of enhancing tourism. In this Blog, we will tell you how a tourist gives employment to numerous people. We have divided the information industry wise for better understanding. Let’s get started…..

Hotel Novotel

1.  Hotels/Resorts: A Tourist needs accommodation services while travelling. If a Tourist stays in a Hotel/Resort, he/she contributes to the income of all employees.  They include everyone from Staff, chefs, Room service and the owner.

2.   Other Accommodations: If a tourist is not staying in Hotel/Resort, they stay at Guest Houses, Hostels, Guest Rooms, etc. The owner of these accommodations is benefited from this.

3.    Restaurants and Cafes: A Tourist stays at a place for a few days. He/she will visit Restaurants, Bars and Cafes for eating their food. This adds up to the income of the Restaurant owner and their employees. If the experience is good, people share this with other travellers. This is a great way of growth in the Food and Beverage industry.

4.    Public Transport: A Tourist will use a mode of Public Transport for commuting between places. Whether they use Metro, Bus, Taxi or anything else, they are contributing to its revenues.

A Busy Chef

5.   Tourist Attractions: Tourist Attractions include Monuments, Buildings, Palaces, Theme Parks, etc. Money is required for their maintenance and running. A Tourist visiting the place gives an entry charge, which directly contributes to their operations. Also, people working at these sights get their salaries from this money.

6.   FMCG Companies: Fast Moving Consumer Goods are used in all aspects of life. These goods are purchased by tourists, and also used by Hotels and Restaurants for giving services to them. FMCG goods may include Toothpaste, shampoo, Snacks, Groceries, etc.

7.   Shops and Retailers: The earnings of Shops and Retailers are increased by tourists. They get a new customer for their goods. This includes all Big, Medium and Small Retailers. Increase in their sales, increases demand from the manufacturer, giving revenue to them as well.

8.  Hawkers and Peddlers: Hawkers, Peddlers, Street vendors and Mobile Vans are all a direct beneficiary of tourism. Just like retailers, they get sales and new customers. They may be very small, but are an important part of an economy.


9.  Telecom Companies: Tourists avail services of Telecom companies to stay connected with their loved ones. They may use local SIM Cards, Wi-Fi Hotspots and Digital Services during their visit.

10. Banks and Forex: Many travellers use Credit and Debit cards abroad. This attracts service charge by the Local, as well as International Bank. Also, tourists approach Banks for Forex and Travelers cheques. These things help the Bank to have a piece of the cake.

11.Travel Companies: Travel Agents, Guides and Tour Companies are a major beneficiary of tourism. They help tourists in organising and planning their trip. They offer group and customized services at reasonable prices to tourists.

12. Airline and Railways: These are the modes by which a tourist travels to his/her destination. In fact, almost 40% of travel expenses are spent on this.  Having more passengers help these companies to operate efficiently, and create employment for staff.

Doha Airport

13. Airports/Railway Stations: A tourist spends money on shops and restaurants at airports/railway stations. More passengers mean more money earned by retailers and restaurants at these places.

14.  Government: Tax Rules differ from country to country. Taxes are imposed on almost everything. In all the above points, a small tax is also levied which goes to the Local Government. It helps the Government in running the Economy.

These are the people who directly earn from a Tourist. The indirect effect is very large. Directly or indirectly, it impacts the whole economy. Thus, Tourism is something which cannot be ignored. If you want to add your suggestions to this Blog, feel free to write in the Comment Box Below……

Travellers at Airport

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