Tourism brings financial benefit

To what extent do you consider tourism to be always a realistic solution to the communal and economic obstacles confronted by less developed countries?


Tourism brings economical advantage to the less developed countries, however, on the other side, there are a few negative impact to the less developed countries. Within the followings, tourism will be the primary subject to examine about is it a realistic way to help the less developed countries to develop.

The subject of Tourism

In historical conditions, travel and leisure activity is a related to new development and a business activity. Nowadays, travel and leisure industry is producing older than before, not only in monetary area, but also consider being in charge of the environment and societies. Gunn (1988) pointed out that tourism is not really a shut down system, he defined that tourism is a functioning tourism system which has interrelated components. Demand and Supply are holidaymakers and hosts. Demand includes the traveler market and comes with people's fascination with and ability to visit. Supply contains transport, services and information advertising and attractions. As tourism is a sizable system around the world, being in charge is important to the tourism industry.

The Characteristics of less developed countries

Less Developed Countries(LDCs) is seen as poor countries. World Loan provider and IMF statistics indicate both vast disparity in financial development between developed and less developed countries and the extent of the fiscal indebtedness.

LDCs always have the problem with growing society stresses and trade barriers, because of this, the economic development of LDCs are elusive.

LDCs can defined their quality by their Economic Range, it is rely on most important export plants and commodities, such as sugar, bananas, coffee, nutrients. LDCs have relatively low GDPs, it also pronounced inequalities in wealth and income as well as public status and have differences across an array of social and monetary indicators.

Less developed countries (LDCs) likewise have some Socio-historical Features. LDCs always have colonial or colonial-influenced background, such as borders may originate more for administrative convenience than ethnical appropriateness, and the proven of economic, historical, public and cultural linkages with major colonial or post-colonial power, including language. There are many different population groupings, like settlers and indentured laborers, since different teams of individuals living jointly, conflicting in legal or traditions dissimilar to be prevented.

Geographically, they are the ACP countries in Africa, Asia Pacific and the Caribbean. With the World Bank amount, it classifies Papua New Guinea as a low income country corresponding to its GNI. (Appendix 1)


"Development is ambiguous, as what constitutes development to one observer may be interpreted as a poor connotation by another "(Peter U, 2005). Development is broadly defined as a noticable difference of opportunity and standard of living.

Thus development is an incremental, long-term process, it is not immediate, and found in detailed sense with financial, socio-cultural and environmental procedures and issues related to tourism in less developed countries (LDCs).

Nature of tourism development in LDCs

Bryden (1973: 91) has indentified that there are 'tourism-country' and 'non-tourism country'. Gross local receipts (GTR) is some of income from exports of goods. Level means the travel and leisure arrivals and tourism receipts. The travel and leisure receipts come from high level of low-spending visitors, like mass travel and leisure and lower volume of high-spending holidaymakers.

LDCs' tourism developments sometimes are extraneously triggered. For example, there may be some demand from Germany outbound tourism, so the travel operations build-up a new path to Togo. The nature of the development has results for the industry is in relation to the five factors - level, type of travellers, facilities, business and cause market.

Revenue maximization is important in LDCs tourism development, to expected tourist population, the most important plan decision is by the government. By this reason, government will contain the largest capacity to influences the kind of tourist drive, such as room capacity to accommodate the tourists, control of the industry and the impact on the web host community.

Why LDCs need travel and leisure development?

As Less Developed countries have poor monetary structure, they want more incomes from abroad. However, there is some trade obstacles within LDCs, because of this, the most efficient methods that can directly earn foreign exchange is travel and leisure industry.

Tourism development can make possible economical income to the LDCs. Through the good likely to develop the travel and leisure industry, can brings much gain to LDCs, for example, employment rate increase by the travel and leisure related industry, transportation, attractions, services. There can be some culture exchange between local people and visitors, the society will become more civilize. The infrastructure development should be match with the travel and leisure industry, by this reason, it can help improvement the life quality to the LDCs individuals.

How travel and leisure development impact to LDCs?

There can't be only an ideal development in LDCs, although there are some positive effects, some negative impact will take place in quick succession.

The Multinational organizations (MNCs) always get the best point in time of the LDCs tourism developing process. As their Business Strategy is to make global profit maximization, they always prefer to make investments to the tourism developing job and earn money from overseas. LDCs government is much easier to negotiate for their development task because LDCs administration wants to obtain higher contribution for the united states. However, in a rush to build up the tourism industry may have bad impact. Monopoly will be happen in LDCs.

For the tourism development, it may damage the local economy. Some of the travel and leisure activities are seasonally, it isn't reliable for the local people's income. However, some residents may rely upon the tourism industry, if there are a few problems to the travel and leisure industry, it'll highly influence their income. As LDCs do not have stable political environment, if coup took place, the travelers will choose another destination, it will highly influence to the travel and leisure industry, the government cannot be dependency using one industry.

Dependency can course by vacationer purchase. Since LDCs do not have much resource, tourism purchase may link to leakages. For instance, even the destination does not have enough drinking water resources, vacationers who are in a hotel, don't have the quota of drinking water usage. Waste materials of drinking water resources may increase discord of the sponsor and tourist relationship.

Tourist and hosts romantic relationship also destruction by the travelers activities.

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