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1© 2009 by Nelson Education Limited.. 2© 2009 by Nelson Education Ltd. The Tourism Industry Chapter 1

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Page 1: 1© 2009 by Nelson Education Limited.. 2© 2009 by Nelson Education Ltd. The Tourism Industry Chapter 1

11© 2009 by Nelson Education Limited.© 2009 by Nelson Education Limited.

Page 2: 1© 2009 by Nelson Education Limited.. 2© 2009 by Nelson Education Ltd. The Tourism Industry Chapter 1

22© 2009 by Nelson Education Ltd.© 2009 by Nelson Education Ltd.

The Tourism IndustryThe Tourism Industry

Chapter 1Chapter 1

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© 2009 by Nelson Education Ltd.© 2009 by Nelson Education Ltd. 33

ObjectivesObjectives

Discuss the importance of the tourism Discuss the importance of the tourism industry to Canada and globally.industry to Canada and globally.

Identify factors that influence the growth of Identify factors that influence the growth of the tourism industry.the tourism industry.

Explain the tourism industry’s impact on Explain the tourism industry’s impact on economics and cultureeconomics and culture

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ObjectivesObjectives

Discuss leisure as a concept that affects the Discuss leisure as a concept that affects the tourism industry.tourism industry.

Describe the building blocks of services.Describe the building blocks of services. Discuss how geography influences the Discuss how geography influences the

tourism industry.tourism industry. Name areas of knowledge that are important Name areas of knowledge that are important

to the tourism professional.to the tourism professional.

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A Definition of TourismA Definition of Tourism

Traveller – a person on a trip anywhereTraveller – a person on a trip anywhere Visitors – same day or tourist (overnight Visitors – same day or tourist (overnight

stay)stay) Domestic travel – within 80 km of home for Domestic travel – within 80 km of home for

any purposeany purpose Domestic tourism – more than 80 km of Domestic tourism – more than 80 km of

home (not for remuneration)home (not for remuneration)

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The Forms of TourismThe Forms of Tourism

DomesticDomestic InboundInbound OutboundOutbound InternalInternal NationalNational InternationalInternational

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Reasons for the Growth of TravelReasons for the Growth of Travel

Political StabilityPolitical Stability Economic ProsperityEconomic Prosperity Technological ImprovementsTechnological Improvements Increase in Leisure TimeIncrease in Leisure Time More Senior CitizensMore Senior Citizens More Two-income FamiliesMore Two-income Families

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Growth of Travel ImpactsGrowth of Travel Impacts Economic ImpactEconomic Impact

– Employment, corporate profits, tax revenue, and Employment, corporate profits, tax revenue, and revival of depressed areasrevival of depressed areas

Cultural ImpactCultural Impact– Eases tensions and promotes understandingEases tensions and promotes understanding

Environmental ImpactEnvironmental Impact– Fosters values that support natural, social, and built Fosters values that support natural, social, and built

environmentsenvironments Employment ImpactEmployment Impact

– Employment, human resource development and Employment, human resource development and employee retentionemployee retention

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The Eight SectorsThe Eight Sectors

TransportationTransportation AccommodationAccommodation Food and BeverageFood and Beverage Meetings, Events, Meetings, Events,

and Conferencesand Conferences

AttractionsAttractions Adventure tourism Adventure tourism

and Recreation, and and Recreation, and EcotourismEcotourism

Travel TradeTravel Trade Tourism ServicesTourism Services

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Tourism as a ProductTourism as a Product

Tangible ProductsTangible Products– Products that can be seen or touchedProducts that can be seen or touched– Food and beverages for exampleFood and beverages for example

Intangible ProductsIntangible Products– Products that cannot be seen or touchedProducts that cannot be seen or touched– A flight on an airplane, a stay in a hotel room, A flight on an airplane, a stay in a hotel room,

relaxing on the beach, etc.relaxing on the beach, etc.

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Tourism as a ServiceTourism as a Service

Employees serve Employees serve customerscustomers

Employees are Employees are professionalsprofessionals

Special attitude Special attitude between the between the employee and the employee and the customer – the customer – the host/guest host/guest relationshiprelationship

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An Explanation of ServiceAn Explanation of Service IntangibilityIntangibility

– Creating the impression of tangibilityCreating the impression of tangibility

InconsistencyInconsistency– Establishing industry wide standardsEstablishing industry wide standards

InseparabilityInseparability– Service is the productService is the product

InventoryInventory– Services not sold cannot be held in inventoryServices not sold cannot be held in inventory

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The Building Blocks of ServiceThe Building Blocks of Service

Consumer of ServiceConsumer of Service

Pre-Purchase StagePre-Purchase Stage

Consumption StageConsumption Stage

Post-Purchase StagePost-Purchase Stage

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Post-Purchase StagePost-Purchase Stage

Guest Contact PersonnelGuest Contact Personnel– Walt DisneyWalt Disney– Service FailuresService Failures– Reaction to CustomersReaction to Customers

Staff EffectivenessStaff Effectiveness– Human errorHuman error– TrainingTraining– Support of EmployeesSupport of Employees

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Managing the Service Managing the Service EnterpriseEnterprise

EmpowermentEmpowerment

EnfranchisementEnfranchisement

Customer Loyalty SystemsCustomer Loyalty Systems

Service QualityService Quality

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Leisure and RecreationLeisure and Recreation A definition of A definition of

leisureleisure

Who is attracted to Who is attracted to leisure servicesleisure services

Who provides Who provides leisure servicesleisure services

A definition of A definition of recreationrecreation

The benefits of The benefits of recreationrecreation

The relationship The relationship between recreation between recreation and leisure and and leisure and tourismtourism

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Why Do People Engage in Leisure Why Do People Engage in Leisure ActivitiesActivities

RelaxationRelaxation

Active EnjoymentActive Enjoyment

Passive EnjoymentPassive Enjoyment

ReleaseRelease

RecuperationRecuperation

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Leisure ParticipationLeisure Participation

RepertoireRepertoire

MotivationMotivation

AttitudesAttitudes

SatisfactionSatisfaction

ConstraintsConstraints

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The Ps of MarketingThe Ps of Marketing

ProductProduct

PricePrice

PlacePlace

PromotionPromotion

PackagingPackaging

PartnershipsPartnerships

PersonnelPersonnel

PositioningPositioning

ProgrammingProgramming

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The 4 Rs of Service MarketingThe 4 Rs of Service Marketing

RetentionRetention

ReferralsReferrals

RelationshipsRelationships

RecoveryRecovery

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The United Nations & TourismThe United Nations & Tourism

UNWTO purposeUNWTO purpose Global Code of EthicsGlobal Code of Ethics Tourism Enriches CampaignTourism Enriches Campaign The WTO and the UNThe WTO and the UN UNWTO climate change reportUNWTO climate change report Government PromotionGovernment Promotion Government RegulationGovernment Regulation

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New US/Canada Border RulesNew US/Canada Border Rules

WHTI – definition and purposeWHTI – definition and purpose

Phases of border rules changesPhases of border rules changes

NEXUSNEXUS

CANPASSCANPASS

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Geography and TourismGeography and Tourism

DestinationDestinationGeographyGeography

LocationLocation

CulturalCultural

PhysicalPhysical

System System GeographyGeography

PhysicalPhysical

CulturalCultural

LocationLocation

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Realities of Tourism/Hospitality Realities of Tourism/Hospitality PositionsPositions

Work weekendsWork weekends Evening shiftsEvening shifts Pay rate low to begin withPay rate low to begin with Employees begin at minimum wageEmployees begin at minimum wage Pace of workPace of work PerksPerks

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Tourism Requires the Basics of Tourism Requires the Basics of BusinessBusiness

CommunicationsCommunications Information ManagementInformation Management AccountingAccounting Financial ManagementFinancial Management Human Resource ManagementHuman Resource Management