Chapter One:
Introducing the World’s
Largest Industry, Tourism
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
Learning Objectives
Understand and explain the basic definition of tourism
Identify the major participants and forces shaping the tourism
industry
Explain the historical factors that encouraged the development
of tourism
Explain the impact of physical, human, and regional geography
on tourism activities
Explain why tourism should be studied from marketing,
management and financial perspectives
Identify future challenges and opportunities facing the tourism
industry
Discuss career prospects in the tourism industry
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
Services and Tourism
Service and Tourism go hand in hand
Growth rate of services sector faster than any
other
Tourism is the leader in the production of new
jobs
Tourism has developed an important part of
the economic foundation of many countries
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
What is Tourism?
“Tourism is the temporary movement of
people to destinations outside their normal
places of work and residence, the activities
undertaken during their stay in those
destinations, and the facilities created to
cater to their needs”
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
A Tourism Model
Dynamic and interrelated nature of tourism
The traveling public (tourists) are the focal point
(heart) of the model
Tourism promoters link the traveling public with the
suppliers of services
Tourism suppliers provide the services that tourists
need when they travel
External forces affect all participants in tourism;
tourists, promoters and suppliers
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
The History of Tourism
Early travelers migrated for food and hunting
Phoenicians, Olmecs, early Chinese traveled for trade
and military control
The Empire Era
Affluent population with time and money to travel
Safe and easy travel
Widely accepted currencies
Widely used languages
Legal system which protects personal safety
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
The History of Tourism, continued
The Middle Ages (5th to 14th centuries) and the
Renaissance Era (14th to 16th centuries)
Transportation and safety declined
Less acceptance of currencies and less knowledge of
common languages
Some travel by crusaders to Holy Land
Marco Polo’s historic travels in the late 13th century
Increased interest in travel for commerce and pleasure
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
The History of Tourism, continued
The Grand Tour Era (1613 to 1785 A.D.)
Trend of luxurious travel started by wealthy English
Developed as a status symbol and spread
throughout Europe
Goal was to experience the “civilized world” and
study the arts and sciences
These travels often lasted for several years
Growth in travel for business reasons
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
The History of Tourism, continued
The Mobility Era (1800-1944)
Growing economic prosperity
Increase in systems, modes, and speeds of travel
(roads, railroads, steamships)
Thomas Cook developed tour packages for mass
travel
Invention of automobile and airplane expanded
freedom to travel
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
The History of Tourism, continued
The Modern Era (1945 to present)
Paid vacations introduced in the early 1900’s made leisure
travel possible for working and middle classes
Millions of people were introduced to international travel
during World War II
Postwar prosperity made mass ownerships of automobiles
possible
Advent of jet travel shortened travel time
Time, money, safety and interest in travel led to unparalleled
growth of tourism
Development of mass tourism
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
Bringing Tourism into Focus
Typical reasons for travel
Vacation and leisure trips
Visits to friends and relatives
Business and professional trips
Host community affected by tourism
Can study tourism from a variety of perspectives
Wide variety of questions relating to tourism need to be
answered
Technology having unprecedented affect on tourism industry
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
Geography Describes the
Traveler’s World
Physical geography- study
of natural features of region
Human geography- study
of a region’s cultures and
peoples
Regional geographycombination of physical and
human geography
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
Studying Tourism from Business
Perspectives
Marketing
Management
Finance
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
Tourism’s Challenges and
Opportunities
Encourage growth of tourism as it creates jobs and
brings money into the community or country.
It also serves an important need for the consumer.
May change social structure
Unplanned tourism can lead to excessive demands of
transportation, public services and degrade the
environment.
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
Where do you fit in?
Projected to remain the world’s largest
industry.
Travel and tourism sales will grow at a rate of
4.1% a year through the year 2020.
Have the choice of working in a really fun
place!
Cook: Tourism: The Business of Travel, 3rd edition (c) 2006 Pearson Education, Upper Saddle River, NJ, 07458. All Rights Reserved
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