Chapter 2

International tourism:

Different people define international tourism in different ways. One way to look at
international tourism is in the context of domestic tourism. In the simplest sense,
domestic tourism refers to people traveling within their country. In contrast, international
tourism refers to people traveling outside their country.
The international tourist industry of a country may be defined as the sum of domestic
activities that directly support the consumption of goods and services of foreign tourists
in the country. Definition of the international tourist industry is dependent on the
definition of international tourists, which in turn can be based on a narrower definition of
non-residents. That is, tourists should include:
• Persons visiting the country for less than one year, specifically for purposes of
recreation or holiday, medical care, religious observances, family affairs,
participation in international sport and cultural events, conferences and other
meetings, study tours and other student programs, as well as persons in transit to
another country;
• Foreign students remaining for more than one year.
• Crew members of foreign vessels and aircraft docked in the country or on lay-
over;
• Foreign business travelers who are in a given country for less than one year;
• Employees of international bodies who are on a mission of less than one year;
• Nationals who are residents of other countries who come back for visits of less
than one year.
International tourism is much more than simply traveling beyond the borders of one’s
own country. It encompasses all the services required for the tourist-including those in
the country of origin, the destination, and any stops made en route. Companies other than
airlines or cruise lines are involved. It integrates many public, private, and government
agencies including airport authorities, border and customs agencies, harbors and ports,
and public transportation systems.

Importance of international tourism

The World Tourism Council estimates that travel and tourism provides employment for
nearly 220 million people world wide (that's one in thirteen workers) and is responsible
for over 9% of world wide capital investment. In the year ended June 2009, there were
1,045,000 visitors to the Fraser Coast. Of these 67% were intrastate visitors (706,000),
14% were interstate visitors (142,000) and 19% were international visitors (197,000).In
the same period 4,449,000 visitor nights were spent in the region. Domestic and
International tourism contributed in net terms approximately $8 billion to the Queensland
economy. Tourism generates $3.7 billion annually as an export earner, second only to
coal exports.
Multiplier Effect
A tourist dollar is a new dollar injected into the local economy. A percentage of this new
dollar is spent in the community by the recipient and this dollar is spent and re-spent
creating a multiplier effect. The more new tourist dollars entering a local economy and
the longer the percentage is retained locally, the greater the economic benefit.
Employment Opportunities
Tourism is a labor intensive industry and creates many job opportunities, especially for
young people and part-time and full-time workers. In the tourism hospitality and
recreation industries alone there are 50 categories of employment and approximately 200
classifications of occupations.
Diversification
Tourism can provide diversification, making the local economy less reliant on a
traditional base e.g. agriculture and mining. This is particularly significant for regional
rural communities.
Opportunities for Business
Tourism creates opportunities for the establishment of new products, facilities and
services and expansion of existing businesses which would not otherwise be justified
solely on the resident population.
Preservation of the Environment and Heritage
Tourism highlights the need for proper management and, through effective policies and
planning, can ensure that the environment, heritage and inherent character of an area are
preserved. Other features are-
• Fosters conservation and preservation of natural, cultural and historical resources.
• Encourages community beautification and revitalization.
• Could be considered a clean (environmentally friendly) industry.
Increased spending
Increased spending in the community generated from visitors or tourism businesses can
directly and indirectly promote the viability of local businesses.
Infrastructure
Infrastructure including parks and other public spaces can be developed and improved
both for visitors and local residents through increased tourism activity in a region.
Social Importance
Community identity and pride can be generated through tourism. A positive sense of
community identity can be reinforced and tourism can encourage local communities to
maintain their traditions and identity. Some other social benefits are-
• Brings in outside dollars to support community facilities and services that
otherwise might not be developed.
• Encourages civic involvement and pride.
• Provides cultural exchange between hosts and guests.
• Encourages the preservation and celebration of local festivals and cultural events.
• Facilities and infrastructure developed for tourism can also benefit residents.
• Encourages the learning of new languages and skills.
• Tourism related funds have contributed towards schools being built in some areas.
The Catalyst for Residential Development
In many places visitors who initially traveled to particular areas as tourists, have
relocated to those areas to become residents and acquire a better quality of life.
Improved Transport Services
Tourism can stimulate the establishment of new and improved transport services to and
within a regional area.
A Broader Social Outlook
Tourism provides the opportunity for residents to interact with other people and cultures
and brings new ideas into the community.

Travel Flows

The following table shows the top ten tourism destinations according to the number and
percent of tourist arrivals in each country during 2006.

Arrivals (millions) Percent Percent

2006 change change
rank Country 2005 2006 2005/2004 2006/2005
1. France 75.9 79.1 1.0% 4.2%
2. Spain 55.9 58.5 6.6 4.5
3. United States 49.2 51.1 6.8 3.8
4. China 46.8 49.6 12.1 6.0
5. Italy 36.5 41.1 -1.5 12.4
6. United Kingdom 28.0 30.7 9.2 9.3
7. Germany 21.5 23.6 6.8 9.6
8. Mexico 21.9 21.4 6.3 -2.6
9. Austria 20.0 20.3 3.0 1.5
10. Russian Federation 19.9 20.2 0.2 1.3
Source: World Tourism Organization (WTO).
Travel flow affects two things which are described in below:

Popular destinations:
In many countries, all people visiting-no matter how long they stay-are counted as
foreign arrivals and usually called visitors of excursionists. Regardless of counting
techniques, the countries at the top of most lists can be identified. Within Europe, the
strong leaders are Spain, Italy, and France.
The United States dominates the Americas as both a point of origin and a destination for
international travelers.
Another important travel pattern to note is that, popular destinations countries are not
always strong sources of inter national travelers.

Travel receipts and expenditures:

A slightly different picture emerges when tourism receipts are compared to general travel
volume. It is one thing for a country to have large numbers of tourists. It is another to
have them spend large amounts of money during their stay. The amount of money spent
worldwide on international travel is estimated at approximately $200 billion, excluding
airfares. Of course, most countries want people to spend their money freely while
traveling.
The biggest spenders are tourists from West Germany, the United States, the United
Kingdom Japan, and France. Each of these countries has a standard of living which
allows travel and expenditures on-
• Hotels,
• Tours,
• Food &
• Shopping.

Between 1983 &1987 West Germany, Japan, and the United Kingdom experienced
significant growth in tourist expenditures. During the same period, Japan displayed the
most dramatic growth-with spending up nearly 50%.

International travel is subject to another important variable: currency exchange rates. As

exchange rates fluctuate, so does the cost of travel –and the feelings of travelers.

The international tourist:

International tourist means who moves for international travels. Being an international
tourist he requires time, money, health, and an interest in travel, especially in terms of
exploring other countries. In addition, a number of other things must be in place. The
policy and procedures of both the home and destination country also influence the
international travel sense. Tourist needs passports, exit and entry visas, currency, and
transportation.
 Typical international traveler in different nations:

The U.S. international traveler:

Americans like to travel outside their country. On a yearly basis, some 41 million
travelers depart from the United States. A recent survey suggests that about 71% of all
Americans over 18 have beyond U.S. borders. The countries visited most often by
Americans are their neighbors: Canada (49%), and Mexico (34%). Twenty-six percent of
people surveyed report having been to Europe, while 19% report visits to the Caribbean.
In the United States, international travel experiences correspond to education, income,
age and gender. Among Americans, 86%of college graduates have visited another
country compared to 62% of Americans with high school diplomas of less. A related
finding shows that the higher the income, the higher
the likelihood that the person has visited a foreign country. 84% of adults with incomes
of$50,000 or more have traveled abroad, while only 59%of those with incomes of less
than $10,000 have traveled abroad.
The majority of u.s. international travelers take trips for personal reasons such as visiting
friends(11%)or family (21%) or simply to vacation (61%) . only 3% traveled abroad for
study, while 28% traveled for business; 4% report traveling to attend conventions. These
percentages add up to more than 100% because people travel for several reasons at the
same time. Finally, it is interesting to note that only 10% of international travelers are
going overseas for the first time. For the most part, foreign travel appears to be a familiar
activity.
Travel groups are generally small in size. Most people travel alone or as part of a family.
About 13% mix business with a family trip. In this profile, the average income of the
U.S. overseas traveler is more than $50,000. The median length of stay is 11 days. The
typical overseas traveler spends about $ 1000 during the course of a trip.

Foreign arrivals to the United States:

In many ways, foreign travelers to the United States resemble their American
counterparts.
The majority are taking holiday or visiting family and friends. About the same percentage
of foreign travelers are in the united states on business or to study. Foreign travelers
appear to be a bit more adventurous than Americans since a larger percentage are first-
time visitors. Like U. S. travelers. Foreign guests rely on a travel agent for air travel
arrangements, hotel accommodations, and general travel information. This suggests that
travel agents play a very strong role in providing travel services around the world.

While in the United States, the foreign traveler uses a range of transportation modes.
About half use domestic airlines; a third arrives in New York City. The
Median number of nights a foreign guest stays in the United States is 11. The most
popular destinations are: cal8ifornia, New York, Florida, Hawaii, & Washington, D.C.
foreign visitors can be expected to spend about $1,300 per visitor, or an average of $ 63
per visitor per day.
The European international traveler:
The profound changes in Eastern Europe that began in 1989 make it clear how strong the
desire to travel to other countries has become. Across a range of countries- Netherlands,
Spain, Portugal, Hungary, and France- the proportion of citizens who take holidays
increases with the level occupation and income, and diminishes with age. These
characteristics are similar to those reported for the
U. S. population. Some studies reveal that Europeans from large urban areas tend to
travel more than their rural counterparts. It could e that rural populations are older or
have less income-both barriers to holiday tourism. Language is also an important variable
to consider when examining international tourism.
One study of five European countries, conducted in 1986, indicated that many Europeans
have the desire and resources for long-distance travel and would consider a trip to the
United States and Canada. The following paragraphs outline several key results from
these studies:

1. In 1986, only 5% of those surveyed from the United Kingdom and 23% of the
Swiss had participated in or desired to take a long- distance trip. By 1989, the
percentage of people with such experiences or desires had increased dramatically.
Although the second study did not include Italy or Switzerland, it can be assumed
that their percentages increased as well.
2. Within the long- distance travel market, European tourists have made or are able
to make more than one such trip over a three-year period.
3. Europeans are avid travelers. The market for shorter, cross- the–border trips in
and throughout Europe is quite large- larger than that reported for long–distance
trips.
4. Finally, being able to make a long-distance trip to the United States and actually
doing it may be entirely different things.

Across Europe, a sizable number of people take vacations. Northern Europeans are
more likely to travel than southern Europeans. This is particularly true for
international travel.
Activity preferences are complemented by the features that overseas travelers rate as
important. Climate, friendly people, value for the money, personal safety, and
hygiene were all rated high by the international traveler. Marketers must consider
such features and benefits when promoting an overseas destination.

Travelers of the Far East:

The residents of the Far East are known to enjoy international travel and exploration.
Like other tourists, citizens from Japan, South Korea, Taiwan, Hong Kong,
Singapore, Thailand, and Indonesia travel primarily within their own region.
However, to a growing extent, people of the Far East are now traveling worldwide.
Far East travelers represent about 26% of the foreign arrivals (excluding Mexico and
Canada) in the United States each year.As a destination, the Fareast offers exotic
vacation opportunities that range from lush and lavish to the rugged and rural. From
time to time, the instability of the region seriously affects travel patterns and flows.
Japan: an emerging market
Japan is a dynamic force in the international travel market. Historically, the Japanese
market has grown at a rapid and steady pace. Over the last 20 years, japans volume of
international travel has swelled. From the mid- 1960s to about 1981, the number of
Japanese traveling overseas grew from approximately 100,000 to more than 4 million.
The purposes for international travel by the Japanese have also changed. As the Japanese
economy blossomed throughout the 1960s, travel was primarily for business. From the
mid-1960sthrough the early 1970s, travel for both business and pleasure grew
dramatically then tapered off in lat 1970s. During this time of expansion, travel for
pleasure increased in relation to travel for business. In 1964, tourism represented only
19% of all international travel. By 1981, tourism had increased 83%, a percentage which
remains just as high today. This evolution of travel patterns is common in many markets
as business travelers open the way for the pleasure market.
Destination preferences have also shifted. From the early 1970s to the early 1980s, the
number of Japanese traveling to other Asian countries decreased while travel to North
America and Oceania increased. They have the financial resources for travel. And people
want to travel.
To manage and encourage the demand for international travel, the Ministry of Transport
in Japan developed the Ten Million programs- an administrative program designed to
promote overseas travel by Japanese residents.
The Ten Million programs encourage Japanese to stay longer and enjoy their
international travel. The program also works with the governments of other countries to
help make travel to those countries easier and more enjoyable. Promotional campaigns
are well coordinated for each target destination; services at all destinations are
specifically tailored for Japanese tours. The Japanese government and private sector
interests have a large stake in promoting the volume of international travel among
Japanese residents.
The Japanese Traveler, in 1989 alone, the three million Japanese visitors to the United
States represented the third largest group- behind Canada and Mexico.
Cultural differences can usually explain the travel spending patterns of the Japanese.
Among the Japanese, the tradition of “omiyagi” dictates that gifts be purchased for family
and friends while abroad. This means that a significant amount of time and money is
devoted to shopping.
In addition to their preference for shopping, the Japanese also like to sample the food, see
the sights, and take photographs. Urban areas, with their amusement parks and museums,
often attract the Japanese. They also like to visit the national parks, not so much to hike
and camp as to view the scenic beauty. Few Japanese (19%), compared to other overseas
visitors (36%), come to the United States to visit friends or relatives.
As do some Europeans, the Japanese like to tour and experience resort vacations in the
United States. The ability of the continental United States to manage and address the
Japanese and other foreign markets still requires cross-cultural training and preparation.
Tourism 2020 Vision

Tourism 2020 Vision is the World Tourism Organization's long-term forecast and
assessment of the development of tourism up to the first 20 years of the new millennium.
Essential outcomes of the Tourism 2020 Vision are quantitative forecasts covering a 25
years period, with 1995 as the base year and forecasts for 2010 and 2020.

Although the evolution of tourism in the last few years has been irregular, UNWTO
maintains its long-term forecast for the moment. The underlying structural trends of the
forecast are believed not to have significantly changed. Experience shows that in the
short term, periods of faster growth (1995, 1996, and 2000) alternate with periods of slow
growth (2001 to 2003). While the pace of growth till 2000 actually exceeded the Tourism
2020 Vision forecast, it is generally expected that the current slowdown will be
compensated in the medium to long term.

UNWTO's Tourism 2020 Vision forecasts that international arrivals are expected to reach
nearly 1.6 billion by the year 2020. Of these worldwide arrivals in 2020, 1.2 billion will
be intraregional and 378 million will be long-haul travelers.
The total tourist arrivals by region shows that by 2020 the top three receiving regions will
be Europe (717 million tourists), East Asia and the Pacific (397 million) and the
Americas (282 million), followed by Africa, the Middle East and South Asia.
East Asia and the Pacific, Asia, the Middle East and Africa are forecasted to record
growth at rates of over 5% year, compared to the world average of 4.1%. The more
mature regions Europe and Americas are anticipated to show lower than average growth
rates. Europe will maintain the highest share of world arrivals, although there will be a
decline from 60 per cent in 1995 to 46 per cent in 2020.