Question

In: Economics

Associated with the basic or generic characteristics common to all services, one particular feature that is...

Associated with the basic or generic characteristics common to all services, one particular feature that is relevant to marketing of travel and tourism services is “the complexity and interdependence of tourism products”. It is thus said that Tourism is a national agenda. Discuss the components of tourism in relation to a country as a destination highlighting the coordinating role of government agencies.

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Expert Solution

In tourism, promotion means careful planning of activities used to communicate products and services viz. brochures, billboards, and newspaper advertisements etc. Potential customers get information through promotion that positively influences what they think of a product and convinces them to use its services. Effective tourism promotion requires high levels of skill to respond to increasingly sophisticated market needs. By considering the significance of tourism, both the Central and the State governments initiates various policies to encourage people’s participation in tourism development including Panchayati Raj Institutions, local bodies, cooperatives, non-governmental organizations and enterprising local youth to create public awareness and to achieve a wider spread of tourist facilities. However, attention will be focused on the integrated development of identified centres. Further the government provides linkages and synergies in the policies and programs of all concerned departments/agencies by establishing effective co-ordination mechanisms at Central, State and District levels. The focus of national policy is to develop tourism as a common endeavour of all the agencies vitally concerned with it at the Central and State levels, the public sector undertakings and the private sector.

Tourism is a multi-sectoral activity and the industry is affected by many other sectors of the national economy. The State has to, therefore, ensure intergovernmental linkages and co-ordination. It also has to play a pivotal role in tourism management and promotion. The specific role of the government includes: (i) Provide basic infrastructural facilities including local planning and zoning arrangements. (ii) Plan tourism development as a part of the over all area development strategy. (iii) Create nucleus infrastructure in the initial stages of development to demonstrate the potential of the area.(iv) Provide the required support facilities and incentives to both domestic and foreign investors to encourage private investment in the tourism sector. (v) Rationalize taxation and land policies in the tourism sector in all the States and Union Territories and in respect of the land owned by government agencies like railways. (vi) Introduce regulatory measures to ensure social, cultural and environmental sustainability as well as safety and security of tourists. (vii) Ensure that the type and scale of tourism development is compatible with the environment and socio-cultural environment of the area. (viii)Ensure that the local community is fully involved and the benefits of tourism accrue to them. (ix) Facilitate availability of trained manpower particularly from amongst the local population jointly with the industry. (x) Undertake research, prepare master plans, and facilitate formulation of marketing strategies. (xi) Organize overseas promotion and marketing jointly with the industry. (xii) Initiate specific measures to ensure safety and security of tourists and efficient facilitation services. (xiii)Facilitate the growth of a dynamic tourism sector.


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