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Travel and Tourism Final Exam
Terms in this set (102)
Which of the following is true regarding aggregate demand for international pleasure travel?
international travel expenditures are price-sensitive
The best method of forecasting tourism demand is:
Delphi and mathematical models used together
Which of the following is not a viable method for forecasting tourism demand?
crtical path analysis
tourism is the backbone of the economy of Nirvana. The industry is given top priority by the government that recognizes the high stakes involved. Given only data on annual arrivals of tourists to Nirvana, which method of projecting future demand should be recommended?
Visitor days as a measure of demand is:
visitor analysis times the average length of stay
Which of the following is true when measuring demand through tax collections?
We must separate taxable purchases by tourists from similar purchases by local residents
Which is the most meaningful measure of demand?
Demand for tourism is income elastic because:
tourism depends on discretionary income
Seasonal fluctuations in demand are a problem in most areas. A recommended method of leveling out demand is to:
increase multiple-use possibilities
Which of the following does not directly affect the demand for travel to a particular destination?
the income level of the host region
When we consider demand in tourism, what do we mean?
It is people willing and able to buy at a schedule of prices
What is meant by elasticity of demand for travel?
A cut in price means more revenue generated than at the higher price
From the standpoint of general recognition of tourism's importance in an area, which measure of demand is the most meaningful ?
amount of money spent in the area
To turn potential tourism supply into actual supply, the first obstacle to overcome is:
the lack of inadequacy of access routes
How do we match the supply of hotel rooms with demand?
by application of a mathematical formula based on factual data and estimates concerning visitors
Which of the following statements about Task Analysis is true?
Supply factors for development are essentially rigid
Bungalow-type accommodations, built mainly of natural materials and to modern standards of comfort and safety, will be acceptable to:
a large segment of the market
A number of systems for grading and classifying hotels are in use throughout the world. According to your text, which system is the most satisfactory?
the 5 star system
A resource use problem that nearly always occurs when planning to increase tourism supply is whether to:
-limit the resource to a single use or develop it for multiple use
-develop the resource as a single season destination or for multiple season use
-develop natural resources that are near large concentrations of population or those that are far from population centers
-develop natural resources through private enterprise or through the government sector
In what way is the tourist business similar to any other type of business or industry?
it needs reliable methods of measuring results, observing trends, and forecasting needs
All decisions pertaining to the management of the hotel should begin with the:
cutomers and guests
Why has the automobile reached such predominance in travel?
it is very convenient
Which of the following is true regarding jet air travel?
it is the most comfortable way to travel long distances
Which of the following is NOT one of the commonly recognized operating sectors of the tourism industry?
The superstructure of a tourism destination includes those facilities that:
are constructed primarily to support tourism visitation and visitor activities
Environmental policy is best defined as:
preserving the future environment first and economic returns second
The most devastating economic result(s) of environmental degradation is/are:
loss of interest by the potential ecotourist
-environmentally friendly travel
-a tool for conservation
-ecologically responsible tourism
Which of the following is not a core indicator of sustainable tourism?
Capacity standards are important, thus:
with adequate supervision and controls, they may be exceeded occasionally
Ecotour companies should:
obtain maximum goods and services from local people
A building site for a new lodge should be:
integrated with the surroundings
As a developer you wisely advise your architect to design the building:
using indigenous designs
Guest appeal and beauty of development is:
enhanced by preserving the environment
Establishing the optimum capacity destination will depend upon the:
-the size of the attraction
-welfare of the plants and animals
-satisfaction of the visitors
-the resources preservation
Which of the following is NOT a generally accepted principle for achieving sustainable tourism?
Ensure tourism destinations are located in national parks
Which of the following approaches is not always considered when formulating a sustainable tourism development plan?
involve persons with disabilities
Carrying Capacity of a tourism destination is best defined as:
the ability of the destination to support different levels of tourism
Which of the following statements best defines the Global Sustainable Tourism Council (GSTC)?
A global initiative dedicated to promoting sustainable tourism practices around the world
Which of the following do you believe is the best description of a core indicator of sustainable tourism?
Measures that focus on what managers need to know most to reduce the risk of inadvertently making decisions that danger the natural and cultural environment on which tourism depends
The guiding principle of ecotourism is:
Benefits of ecotourism
Which of the following is true of touristic expenditures?
They benefit all citizens in the community
What reason can be given for the importance of price stabilization for tourist purchases?
rising prices automatically tend to reduce the volume of demand
One of the major induced (or indirect) effects of tourism economically is on:
income (the multiplier)
The optimum price for a hotel room would be one that:
The "rippling" or "multiplier" effect of tourist spending ultimately:
increases the economic impact of tourist spending
Which of the following is true?
-multiplier occurs because the amounts intially spent are re-spent a number of times during the year
Tourism is an "invisible" export because:
tourism constitutes non-merchandise transactions
One of the major induced (or indirect) effects of tourism economically is on:
income (through the multipler)
Visitor expenditures ultimately benefit:
all businesses which receive tourist expenditures
Tourism from Brazil to the U.S.
is an export for the U.S.
Which of the following is not an economic benefit of tourism?
may cause changes in patterns of family life
Tourism development is usually viewed as bringing with it positive economic results. However, there are potential negative economic results to be considered. Among these negative economic results are:
inflationary pressure, overdependence on tourism and environmental costs
Demand for tourism in general is thought to be income:
If the demand for aircraft seats is elastic over a narrow range of prices, an increase in fares (within that range) would result in:
a decrease in total revenue
a factor in tourism based on the fact that tourism improves knowledge and better understanding of other people
concerned with people learning about each other's way of life
meant by being hosted by a local person who is familiar with the local culture, customs, and interests and engaging in a planned program of activities
What should local museums establish?
-a unique and difficult to replicate image for the destination
What aspects of a destination's culture is more likely to attract visitors to a destination?
-history of the destination
-the paintings, sculptures, and attractions of the destination
-the way food is grown, processed and eaten
-music and dance of the destination
the science of understanding the society, social institution, and social relationships
a type of tourism practiced by low income groups or those who would not be able to meet the cost without social intervention
a term used for travelers to visit attractions and destinations
Impact of mass tourism
related to the site or destination's 'carrying capacity' that defines the limits of usage of social, ecological, and economic resources
Four extreme categories related to the travel preferences of international tourists:
-desire for relaxation vs activity
-desire for familiarity vs novelty
-desire for dependence vs autonomy
-desire for order vs disorder
western and eastern standards
for developing countries to attract tourists or mass tourism, they must meet these without removing any barriers to the entire country
directed to places that are identified with death and suffering such as Battle fields, Historical monuments, museum artifacts, and dungeons and jails
defined as hosting by local resident who is familiar with his or her field of interest and engage in a planned program or activities
based on factual data we are able to predict and match the supply of hotel rooms with demand
the procedure used in matching supply with demand which includes:
-identification of present demand
-a quantitative and qualitative inventory of existing supply
-adequacy of present supply with present demand
-examination of present markets and socioeconomic trends
-forecast of tourism demand
-matching supply with anticipated demand
Tourism supply components
-Sprit of hospitality and cultural resources
Creation of supply
involves financing; all supply components should match demand at any given time, therefore supply factors for development are essentially rigid
data on demand
vital to any tourism organization, supplier, finance source, developer or prospective developer
-number of visitors (arrivals)
-means of transportation by visitors to arrive at destination (modes)
-length of stay and type of accommodation used
-amount of money spent by visitors (expenditure patterns)
What is considered the most meaningful?
amount money spent (tourist expenditures)
propensity and resistance
demand for travel to a particular destination is a function of the propensity of the individual to travel and the reciprocal of the residence of the link between origin and destination areas
What are the measures of demand?
the number or visitors arriving times average length of stay
Simple regression analysis
method used to determine the best fit line to data, also includes two variables (IV, DV)
multiple regression analysis
similar technique to simple regression, instead of 2 variable, 3 or more are regressed which results in more comprehensive and accurate projections
What is the best procedure for forecasting demand?
a combination of statistical methods and the Delphi technique
-has direct and indirect effects to the local community
-benefits the industry but also the citizens/residents of the community
"injection" of tourist spending in a defined destination
produces an improved balance of payments (for a country due to expenditures by foreign tourists), investment stimulation, increased tax revenues, inflationary pressure, increased sales of goods and services, increased employment, and the various economic multipliers
in international trade, amounts which are spent by the population of an area or state for imported goods and services plus local funds which are saved in financial institutions but not loaned to another spend
What are multipliers?
-An economic benefit to local economies when tourist expenditures are injected into the local community
-such funds are spent and represent a number of times before the stimulation ceases
the amount of the multiplier depends on how much money is spent in a year by tourists and the extent of the
the most commonly used multipliers in tourism
tourism economic effects:
-direct effects-provides a living for the owners and managers and creating jobs for employees
-indirect effects-income(The multiplier impact-visitor spending circulates and recirculates)
import and export
-tourism from Japan to the U.S. is considered as a tourism export for the U.S., and Tourism import for Japan
Why is tourism policy essential?
it sets guidelines that provide a frame work for decision-making and support tourism development, benefits to all stakeholders within a destination
Local stakeholders in a given region
includes the residents, municipal national governments, environmental groups, visitors, tourism operating sectors, DMO, cultural, social, and health education groups
Philosophy of tourism development
a vision, a set of tourism objectives and constraints, supporting supply and demand development strategies, and a DMO development strategy
a set of initiatives pertaining to facility, event and program development that is designed and aligned toward a destination's tourism vision
What tourism sectors of the economy and society need to be aware of tourism policy or have significant impact on the success of tourism policy?
Local tourism industries, hotel/resort attractions, entertainment industry, and restaurants
What is the most devastating economic results of environmental degradation?
the loss of interest by the potential ecotourist
environmentally friendly travel, a tool for conservation, and ecologically responsible tourism
the condition of tourism, requires a balance of social, environmental and economic efforts to support positive change locally to globally
core indicator of sustainable tourism
includes site protection, stress, waste management, and development control
important with adequate supervision and controls, they may be exceeded occasionally
Establishing the optimum capacity destination
depends upon the size of the attraction, welfare of the plants and animals, satisfaction of the visitors as well as the resources preservation
General accepted principle for achieving sustainable tourism
-to take a holistic perspective
-address both global and local impacts
-promote sustainable consumption
-pursue multi-stakeholder engagement
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