Business of Tourism
Essay Question
Analyse and discuss the benefits and drawbacks of a demand-led vs. supply-led understanding of the tourism system.
According to the United Nations World Tourism Organisation, often identified by many as the UNWTO (Lickorish & Jenkins, 1997), define the term ‘Tourism’ as “the activities of persons traveling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes” (Tuberkugurlu, 2012). The term ‘supply and demand’ is often recognised in economics, According to Gans, King and Mankiw (2012) they refer to supply and demand as the difference in individuals behaviour when they interact with another individual in competitive markets, this broad definition can support and help emphasise the factors influenced by supply and demand within the tourism industry. Supply and demand is widely understood as distinctively different concepts, and is often examined separately. However the two terms are always in one form or another strongly connected and is often described as having a complimentary relationship towards the tourism system, as well as other industries throughout the world. The essay will analyse the differences these two concepts pose within the tourism system, with each independent concept being thoroughly evaluated, in relation to the beneficial factors, as well as the drawbacks and disadvantages of the concepts, followed by an in depth investigation covering the strong interconnectivity and relationship the two separate concepts have in conjunction with one another within the tourism system.
A detailed analysis of the tourism industry is said start with the basic understanding of three fundamental elements. Within the three components, two are said to influence and interact with the marketplace directly which refer to the terms demand and supply. Consumer conduct, which is related to ‘demand’, focuses on the ‘purchaser(s)’. In regards to the tourism industry it will
Analyse and discuss the benefits and drawbacks of a demand-led vs. supply-led understanding of the tourism system.
According to the United Nations World Tourism Organisation, often identified by many as the UNWTO (Lickorish & Jenkins, 1997), define the term ‘Tourism’ as “the activities of persons traveling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes” (Tuberkugurlu, 2012). The term ‘supply and demand’ is often recognised in economics, According to Gans, King and Mankiw (2012) they refer to supply and demand as the difference in individuals behaviour when they interact with another individual in competitive markets, this broad definition can support and help emphasise the factors influenced by supply and demand within the tourism industry. Supply and demand is widely understood as distinctively different concepts, and is often examined separately. However the two terms are always in one form or another strongly connected and is often described as having a complimentary relationship towards the tourism system, as well as other industries throughout the world. The essay will analyse the differences these two concepts pose within the tourism system, with each independent concept being thoroughly evaluated, in relation to the beneficial factors, as well as the drawbacks and disadvantages of the concepts, followed by an in depth investigation covering the strong interconnectivity and relationship the two separate concepts have in conjunction with one another within the tourism system.
A detailed analysis of the tourism industry is said start with the basic understanding of three fundamental elements. Within the three components, two are said to influence and interact with the marketplace directly which refer to the terms demand and supply. Consumer conduct, which is related to ‘demand’, focuses on the ‘purchaser(s)’. In regards to the tourism industry it will