PRT 220 (001) Foundations of Tourism Test 1 Review

Test 1 review for North Carolina State University NCSU PRT 220 (001) Foundations of Tourism class

Tourism

The temporary movement of people to destinations outside their normal places of work and residence, the activities undertaken during their stay in those destinations, and the facilities created to cater to their needs.

Tourist

A voluntary, temporary traveler, with the expectation of pleasure from the novelty and change experienced on a relatively long and non-recurrent round-trip.

Inbound and Outbound tourism

What are the two types of tourism?

Internal tourism

Visits by residents and nonresidents of a country. It is the combination of inbound and outbound tourism.

Domestic tourism

Visits by residents of a country within the country. Recirculates money and allows tourists to learn about themselves. “Learn who we are.”

Inbound tourism

Visits to a country by nonresidents. Injects money and allows foreigners to learn about the nation’s culture. “Teach them who we are.”

Outbound Tourism

Visits by residents of a country to another country. Leaks money and exerts economic power on others.

$2.7 billion

The amount of money spent in the tourism industry

Food and beverage

What is the most common source of income for tourism, with over $695 million or 26.5% of the total income?

Tourism System

Population demands transportation, which supplies attractions and services, which gives information and promotion back to the population.

Examples of tourism as a tool for economic development

• Main street rejuvenation

• Economic innovation after end of extractive and manufacturing industries

• Monoculture vs Permaculture tourism

Examples of tourism as a tool to boost culture and heritage

• Creative tourism and stimulation of local arts scene

• Generate interest in heritages to justify conservation

Examples of tourism as a tool to protect the environment

• Economic impact of tourism justifies environmental conservation

• Educate and entertain (“edutain”) locals and visitors about the environment

Governments

Provide essential services and basic infrastructure. Can negotiate and make agreements with other nations on issues such as immigration or flying over and landing on other territory.

Tourism Organizations

Organizations responsible for the promotion, research, statistic monitoring, planning, resource protection, and infrastructure development of tourist regions.

Levels of tourism organizations

• World (ex World Tourism Organization)

• International (ex Asia Pacific Tourism Organization)

• National (ex US Travel Association)

• Province/State (ex South Carolina Dept. of PRT)

• City, County, or Tourism Region (ex Greater Raleigh CVB)

UN World Tourism Organization

The most widely recognized organization in tourism. It serves as a global forum to transfer tourism know-how, produce stats and research, as well as promote sustainability. It is made up of countries, seven territories and over 350 affiliate members representing aspects of the tourism industry.

Baecation

Going on vacation with a partner; results in intimate and special bonding

World Travel and Tourism Council

Goals: lobby governments to make tourism a priority; create awareness of the economic importance of tourism; reduce barriers to industry growth; move toward open and competitive markets

Members: Executives from all sectors of industry, including accommodation, catering, entertainment, recreation, and transportation

Pacific Asia Travel Association

• Enhances growth, quality, and value of tourism to their region; provides marketing, education and research opportunities

• Members: most national tourism organizations (NTOs) in the Asia Pacific region

European Travel Commission

• an association of NTOs, created in 1948 to promote Europe as a destination to long-haul tourism markets outside Europe

• has 32 members: NTOs of the European Union and others (croatia, macedonia, georgia, iceland, monaco etc)

• Goals are to attract 3rd country visitors and share practices and intelligence

US Travel

• National, nonprofit org. representing all components of the travel industry

• Active lobbying of for policies encouraging growth of travel and tourism within and to the US

• represents and advocates for its members, the tourism industry members that pay its membership fees

Brand USA

• Private-public partnership to promote USA

• Funded up to $100 million from ESTA fees and 100% cash match from industry

Turismo de Portugal

• Branch of the ministry of economy

• markets Portuguese tourism internationally

• incentivizes investment, innovation, resilience

• monitoring gambling

• training and certification

Visit NC

• priv. public org dedicated to market nc as destination to out of state visitors

• funded by public state dollars given by NC dept of commerce - job to spend funds effectively and bring in visitor spending

• used to be a branch of state govt but was “costly and slow”

• leverages county government and industry partner funding to pay promotions

Visit Raleigh

• county level destination management org like visitRaleigh are pub-private orgs funded by occupancy tax revenues with a goal to attract visigtors

Occupancy tax

• highly legislated

• destination promo

• tourism expenduitures

• funding of tourism related capital projects

• beach renourishment

• general fund revenue and other non tourism use

• lodging sector has great influence on budget

Gov. regulation in tourism related areas

Customs and immigration, liquor licensing, civil aviation laws

Govt fiscal policies

Currency exchange rates, foreign investment rules, taxes, grants, incentivres to investment

Actions as landowner or resource manager

provide or restrict access to attractions, enhance infrastructure and amenities

Local govt policies and regulations

Building codes, local infra. and zoning regulations

Constraints to transport

• congestion

• eco efficiency

• security

Types of air carriers

• major and regional airliens

• cargo carriers

• charter airlines

• heli

• military aircraft

Privatization

national airlines become private

deregulation

compettition determines routes and fares

low cost carriers

subsidized low services routes

alliances

complementary airlines

rail transportation

• fueled the birth of mass tourism

• fueled westward settlement of US

• travel more important abroad

Important rail dates

1800s: development of rail lines across US, subsidized by states but owned privately

Early mid 1900s: troubled times; trucks took cargo and cars took people

1971: Congressional Rail Passenger Service Act: Consolidated 20 passenger railroads into one owned by govt

Last 50 yrs: Amtrack loses money

Bus transport

Large sector worldwide, made up mostly of SMEs (small medium enterprises) including

• tour operator services

• inter-city travel

• event packaging

• overland

Car transport

Most common form of tourist transport

• value, convenience, independence, safety

Scenic routes (highways)

• specially designed road or waterway of natural or cultural interest

• route 66

• blue ridge parkway

Van life

• downshifting full time travel lifestyle

• digital influencers

Cruises

Bad record

• evade tax, poor working conditions, pollution

Floating all-inclusives - good value

corrupt host governments

Shared mobility

renting such as uber, lyft, spin, lyme

Accommodations

Required by all travelers except excursionists

One of the most capital-intensive and labor-intensive tourism sectors

Defines by:

• location

• facilities offered

• services offered

• pricing policy

• ownership/management

oldest commercial business: guest rooms → private dwellings

Modern accommodation

hotels and motels

• Hotel chains: numerous hotels merge to form chains, operate more efficiently with better quality

• Motel: motorist hotel (exterior access)

• Boutique hotels: hotels with unique environment, smaller # of rooms

guesthouses

• hostel, bed n breakfast, inn, cheap hotel

bed n breakfast

• private homes, family owned, <10 rooms

timeshares

• each purchaser allotted period of time

• collectively own resort with others

• “real property”

“Right to use” vacation interval

• developer owns resorts and you purchase an interval: largest is Group RCI and Interval International

Short Term Vacation Rentals STVR

• managed by property management agencies or owners or freelancers

• questionable impact on industry and host community

• airbnb, vrbo, booking.com, vacasa

camping and RV sites

cruises