Tourism and Hospitality
Develop a Plan to Describe and Explain how you would revitalise the economy of Clipper Bay
Read the following information about the town Clipper Bay, and refer to the questions on the next page to guide your assignment .
Clipper Bay is a small settlement of 5000 people located on the tip of a peninsular. Being situated by the sea and at an area with particularly abundant marine life, the economy of the town has always revolved around fishing and other businesses that support this industry.
The town is located at the foot of a series of hills and within easy access and view of a beautiful beach. Further along the beach are also a cluster of unique limestone caves with numerous rock pool formations within. As the town has a small population, the built up area only occupies a small portion of the land just off the beach, with a stretch of forest bordering the town. The land around the town is infertile for any form of agriculture. Also, geographically, the land is rather flat and would be easy to develop. The town is also served by 2 roads; a narrow, 2 way coastal road and a second less developed road that comes over the nearby hills. A new highway is being built further inland, presenting an opportunity for increased accessibility.
The population of Clipper Bay consists of families with multiple generations. First generation settlers started up the town and were the original fishermen. They have had a generation of children who carried on
this business. Those children have now birthed a third generation who
are reaching adulthood, and who are starting to get involved in the livelihood of fishing. The town is also well known for fresh and tasty seafood, cooked by the women folk, who are also highly skilled in weaving
. Each summer, the town hosts a festival to mark the beginning of the
fishing season. The festival is characterized by customary and heritage linked religious and cultural rites and a week long feast.
As the rest of the country modernizes and diversifies the scope of economic activity, the local government at Clipper Bay are considering their options.
The town has been granted a budget of $50m to invest in the revitalisation of the local economy.
You have been appointed as the ‘Chief Planner’ of Clipper Bay. Your objectives are to develop the economy of the town in a ‘sustainable’ manner, taking into account socio–cultural and environmental elements as well.
Develop a plan to describe and explain how you would revitalise the economy of Clipper Bay.
Your plan must include:
A description of how you would approach determining the best way to revitalize the economy by consultation with the relevant parties
The use of comparative advantage, CBA or ROI analyses to clearly identify an
industry to support economic revitalisation of the town
Assume that tourism has been selected as the preferred industry to be developed.
Explain a sustainable approach to tourism that you would adopt
Describe examples of infrastructure, superstructure and each component of the suppliers in the tourism stakeholder model that fit sustainable tourism that you have adopted.
Discuss potential economic advantages and disadvantages of developing tourism at Clipper Bay.
Discuss potential socio–cultural advantages and disadvantages of developing tourism at Clipper Bay.
Discuss potential environmental advantages and disadvantages of developing tourism at Clipper Bay.
Ensure that your answers make reference to the theory that you have learnt in this program .
Pay attention to the information given about Clipper Bay; facts about the place and the people residing there. Your answer should reflect a good level of understanding and analysis of the information given.
should follow good academic writing by having a structure; you should have an introduction, a main body containing your arguments, followed by a conclusion.
You are required to consult and fully reference a
MINIMUM of 8 references e.g., book; WWW;journal article from the full
text databases; current affairs magazine; newspaper etc.)
Tourism and Hospitality
With recent allocation of $50 million to the revitalization of the local economy Clipper Bay, the office of ‘Chief Planner’ of Clipper Bay was approached to develop proposals and plans that would not only inject fresh blood into the economy but also reinvigorate the existing industries and community of Clipper in general.
The plan would cover issues ranging from development and use of land, public welfare, and the architectural design of the urban environment, protection and use of the environment, water, and the infrastructure traversing the Clipper Bay area, including communications, product distribution networks, and transportation (Brouder, 2014).
A lot of factors need to be put into consideration when determining the best course of action to follow in revive the economy of Clipper Bay; The most important is the welfare of the community at Clipper Bay. After all, the project is about the uplifting well-being of the locals. The conclusions presented by this plan were arrived at after lengthy consultations with Clipper Bay residents from various walks of life. The insights gained painted a clear picture of the community’s history and aspirations while helping our team develop tailor-made solutions for Clipper Bay (Hall & Richards, 2003).
The town’s people’s vision for their respective economic activities would prove influential in highlighting areas to addressed by the economic stimulation program based of the most strategic and urgent.
The development of infrastructure is critical to both incentivize new businesses while adding value to the existing commercial activities. This will require economic stimulants such as hotels, casinos, resorts, festivals and celebrating the unique local cuisines. Most of the locals felt that a long-term solution would involve trading what is unique about Clipper Bay for what the rest of the world has to offer. The recurrent needs were placed high on the priority to form the backbone of the suggestions presented on the plan. The model was also reinforced by ideas from other towns from other parts of the world that have undertaken such initiatives in the past.
The aims of the consultations are to ensure intelligent and economic spending of public funds for achieving the welfare of the inhabitants in respect of amenity, convenience, and health. It will also ensure a smooth transition into the future by predating the needs of a growing society and putting measures to satisfy the demands an increasing population (Leslie, 2012).
Internal Economy Overview
The business community expressed a keen interest in the project, expressing their excitement to the news. Top among their desires were the expansion of the roads to facilitate increased mobility for people, goods, and services. Connecting the hill road to the highway being built in the hinterland will also link the town of Clipper Bay to the world. The rest of the world will now easily able to access Clipper Bay, so will the residents of Clipper Bay. Key amongst the stakeholders to be consulted include; fishermen, the business community, religious leaders, government authorities as well as long-time natives of Clipper Bay.
The Fishing Industry has been the lifeblood of Clipper Bay for generations. However, most people felt that the economy needed to wean itself from the increasingly capricious seas. Fish production continues to stagnate as transport remains problematic as trucks have to make a long journey to deliver the fish. The road passing over the hill would reduce the time fish trucks use to connect with the highway. The town government was also urged to purchase at least four refrigerated trailer trucks to provide subsidized freight service for the resident fishermen.
The vast tracts of unused land surrounding Clipper Bay need to be put to good use. Since, imposing agriculture on the soil would be a long shot, another approach is to be sought to develop the land. Developing real estate presents the best alternative. Hotels for accommodations, as well as seaside villas that could rented out during the summers.
Other suggested housing developments include; a marine park to showcase the diverse species of marine life found off the shores of Clipper Bay, a water games resort, establishing a 4-star hotel as well as the upgrading of the town square to accommodate more people during the Clipper Bay Fishing Festival. The scenic views that surrounds Clipper Bay will be developed and advertised as tourist sites where visitors can enjoy the majestic panoramas before venturing into the town to explore high octane activities. Visitors will flock to Clipper Bay for a taste of its brilliant climate, jaw-dropping natural wonders and world-class entertainment.
External Market Analysis
Tourism is one of the world’s fastest-growing industries. In 2015, The Travel and Tourism Economy contributed roughly US$7.2 trillion to the global GDP, representing 9.8% of global GDP. The sector employs 284 million people or 1 in 11 jobs in the worldwide. The Tourism Sector GDP is forecast to grow by 3.3% in the year 2016. IN Australia, tourism injected 3.8% to the GDP while employing over 700,000 people in the same period. Domestic tourism the most important part of the tourism industry, amounting to over 73% of the total visitors.
The recent past has witnessed a steady rise in the number of people willing to take a vacation trip. The solid performance of the sector is contributing to economic growth and job creation in many regions of the world as well as in Australia. As the quality of life increases, people have the more expendable cash to spend nowadays. The emergence of social media in the recent past has also revolutionized the tourism industry.
The convergence of these factors and proposal to commit $50m to the revitalization of the local economy of Clipper Bay presents the residents with a golden opportunity to create a unique ecosystem of businesses that tap into this phenomenon. Tourism has always been humanity’s favorite pastime. It, therefore, is a critical facet of the economy that should be developed to draw both local and international tourists.
More tourists visit New South Wales than any other State and Territory in Australia for holidays, business excursions, and family engagements or events. Last year 3.1 million international visitors and 79.3 million domestic visitors arrived. The large and affluent local population is also an ideal market. This situation provides a rich opportunity for both existing and new businesses in tourism. According to a report released by Tourism Australia for the year 2014/2015, Tourism rakes in over $25.1 billion to the New South Wales economy and employs 7.1% of the workforce (Yearbook of tourism statistics, 2015).
It, therefore, seems prudent to invest in tourism as it has proven over time to be a shrewd investment. Many travel destinations that have maintained their unique and freshness in the offering have maintained their popularity over the years. Creating a world-class tourist destination at Clipper Bay will not inject the much-needed verve instantly into the local economy, the effects will continue reverberating for years.
The target is to have at least 10,000 tourists visiting Clipper Bay each year. Should each speech an average of $1,000 then it would translate into roughly $ 10 million per year. In five years, the original investment capital will be recouped.
Sustainable Tourism in Clipper Bay
Based on the prevalent socio-economic factors in Clipper Bay, tourism emerges as the strongest candidate to revitalize the local economy. Community participation in developing an ideal travel destination is highly recommended as a way of implementing sustainable tourism.
The diversity of businesses involved in planning and developing a magnetic travel destination requires the deployment of a competitive model that takes advantage of the relationships among the crucial stakeholders involved in devising and integrating value-added tourism products and services. The model should economize on resources while maintaining an advantageous market position in relation to competitors.
The development of Clipper Bay as a tourist destination must be steered by practical and efficient management with a particular emphasis on a sustainable customer base. Thus, destination management for Clipper Bay will emphasize on establishing a symbiotic relationship between the client base and the target that is Clipper Bay. The mutually advantageous deal should that provide an exceptional long-term benefits to the destination travel consumer audience (Ritchie & Crouch, 2003). It is critical for Clipper Bay development plans to be responsive to market needs while preserving environmental integrity for the industry to maintain a long-term economic viability.
Since time immemorial, the target image and destination character are the biggest determinants of its success in luring tourists. Establishing a favorable and longstanding emotional connection between the target customer and Clipper Bay will ensure the satisfied visitors to Clipper Bay will want to come back again and again while still evangelizing to others about the wonderful experience at Clipper Bay.
Implementing Sustainable Tourism in Clipper Bay
To upgrade Clipper Bay into a reputable tourist destination, infrastructure needs to be put in place in order to facilitate the running of the enterprise. The infrastructure upgrades will cover the vital sectors that prop commerce. Communication, roads, tourist attractions, marketing efforts and a host of other channels have to be established to bring the dream to life.
The road passing through hills will have to be upgraded to enable tourists reach Clipper Bay by road. An airstrip will also be prepared in one of the flat fields outside town to allow airplanes carrying tourist to land. With the transport infrastructure smoothly running, getting in and going out of Clipper Bay will be a painless process (“Sustainable tourism, justice and an ethic of care: toward the Just Destination: Journal of Sustainable Tourism: Vol 22, No 1”, 2016).
Travelers need to be given a reason to not only come to Clipper Bay but to also stay. Tourist attractions need to cater to and accommodate diverse interest of the expected visitors who will hail from a myriad of backgrounds. A marine park would be the ultimate addition to the Clipper Bay community. Given the abundance of marine life in the waters around Clipper Bay, it would be product to create attractions where activities can not only scuba dive, snorkel but also watch animal and plant life from aquariums. Water sports will also be introduced. Surfing, paragliding, water skiing and other exhilarating Aqua games.
Accommodation and catering is paramount to the success of tourism in Clipper Bay. The town’s housing capacity services will need to be upgraded to hold the expected number of tourists. Up to 3.000 visitors at any given time. This will require massive investment in a 3 or 4 star hotel. Its construction may be funded jointly by private investors. The Availability of free land around Clipper Bay will ensure the hotel gets a vantage point. Locals will also be encouraged to create alternative accommodation services for tourists who may prefer to board with a resident.
The Clipper Bay festival will be rebranded and expanded to create an even more compelling spectacle for tourists. Funds will be availed to the organizers of the show so that they can factor it in in creating a bigger show for the tourists.
Tourism operates through low and high seasons. The peak season occurs during the holidays an opportunity the Clipper Bay community could capitalize. The Clipper Bay festival will also be subject to an extensive media coverage to increase its visibility to the outside world.
Through a carefully targeted marketing campaign, the delights available Clipper Bay will be explored in-depth in a series of provocative TV and radio commercials. A massive social media campaign showcasing the charm and natural beauty of Clipper Bay as well as other areas of attractions will be rolled out.
Potential Economic Advantages
Tourism will provide direct jobs to the community of Clipper Bay, with locals acting as tour guides or hotel housekeepers. Indirect employment will increase through other industries including agriculture, food production, and retail.
Visitors’ expenditure inject money into the local community, therefore, increasing the GDP of the Clipper Bay. With earning from tickets, accommodation, souvenirs, food amongst others, the local economy will receive a boost the money circulation (Dhiman, 2016).
Economic diversification is essential to Clipper Bay where the economy is heavily reliant on fishing. Developing tourism will also reinvigorate other related industries which would get an opportunity to serve the same tourists.
Improving infrastructure such as airports, roads, retail, medical and real estate have the potential to benefit the local community at Clipper Bay and can aid economic development by facilitating heightened trade and better flow of goods and services.
Levies collected from tourism will be used for environmental conservation purposes thus ensuring it remains pristine and conducive for human, plant and animal habitation. By allocating substantial funds to environmental conservation efforts, Clipper Bay will create a sustainable industry that will benefit the community well into the future.
Tourism will expose the culture, natural wonders and activities on can find at Clipper Bay to the world. The natives will also be able to interact with people from different cultures across the country and worldwide.
Tourism requires massive cash injection to create satisfactory attractions for tourist to see. This requires a lot of studies to identify the target consumer. With cut throat competition in the field, it is becoming harder to woo tourists to your destination.
In Clipper Bay, tourism might overwhelm the existing infrastructure. This will lead to inconsistent a poor quality services thus negatively impacting the very industry.
The residents of Clipper Bay may also lose their privacy to throngs of tourists whose curiosity in their way of life may feel intrusive and sometimes even rude (Goodman, 2016).
Should tourism take off and succeed at Clipper Bay, the local government might also decide commit more funds to the expansion of the tourism economy at the expense of other important departments.
Tourists may also lead to price inflation amongst the locals especially in cases where the demand for certain items supersedes the supply. The native would hike their prices in response further fueling this vicious cycle (“Sustainable Tourism Development: A Critique: Journal of Sustainable Tourism: Vol 11, No 6”, 2016).
Though tourism is touted to create more jobs, they would be seasonal, depending on peak travel seasons. This scenario might be virtually nonexistent during the off peak season.
Building more infrastructure might dilute Clipper Bay’s natural beauty. As more people venture into Clipper Bay, more land and resources will be needed to cater for their welfare. This may speed the rate of depletion of the locally available resources.
Hall, D. & Richards, G. (2003). Tourism and sustainable community development. London: Routledge.
Brouder, P. (2014). Tourism and Sustainable Community Development in Northern Sweden. Östersund: Etour, Mid Sweden University.
Leslie, D. (2012). Responsible Tourism. Cambridge, MA: CAB International.
Dhiman, M. (2016). Opportunities and Challenges for Tourism and Hospitality in the BRIC Nations. Hershey: IGI Global.
Goodman, P. (2016). The Advantages and Disadvantages of Tourism. Soap Boxie. Retrieved from https://www.google.com/search?newwindow=1&espv=2&rlz=1C1AVNE_enKE710KE710&q=ADVANTAGES+OF+TOURISM&spell=1&sa=X&ved=0ahUKEwiQxc_I9rLPAhUHuI8KHTXkAywQvwUIGygA&biw=1278&bih=934
Yearbook of tourism statistics. (2015). World Tourism Organization; Madrid.
Ritchie, J. & Crouch, G. (2003). The competitive destination. Oxon [etc.]: Cabi Publishing.
Sustainable tourism, justice and an ethic of care: toward the Just Destination: Journal of Sustainable Tourism: Vol 22, No 1. (2016). Journal Of Sustainable Tourism. Retrieved from http://www.tandfonline.com/doi/abs/10.1080/09669582.2013.786084Sustainable Tourism Development: A Critique: Journal of Sustainable Tourism: Vol 11, No 6. (2016). Journal Of Sustainable Tourism. Retrieved from http://www.tandfonline.com/doi/abs/10.1080/09669580308667216