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Tourism Leakages - Dissertation Example
Pages 4 (1004 words)
Name: Instructor: Task: Date: Tourism leakages Most countries have benefited from tourism economically due to foreign exchange. However, some countries have not highly benefited from the venture. This is because of the high expenditures that these countries incur due to the demands of the tourists…
However, due to other factor like tourism leakages a country can experience serious economic crisis. This is because, the growth of tourism industries results into high demand for the imported goods that are more expensive than the locally processed goods. Bhattacharya (131) indicates that goods, which are provided internationally, leave the local community with a very small portion of the earnings. This problem affects mostly the developing countries. These leakages thus diminish the positive influences of tourism to a country (Bhattacharya 131). Countries that are developed benefit more that developing countries in tourism. This is because such countries lack industries to process goods that tourists need. UNEP indicates that a government ensures that the positive effects of tourism are maximized by reducing the tourism leakages. For this to happen, Governments especially in the developing countries should promote the ownerships of tourism resources by the local communities. In most cases, the governments have favored the ownership of the tourism resources by the private sectors or the foreigners. Consequently, a recognizable percentage of the tourism resources belong to the foreign investors. Therefore, the local communities benefit less from the tourism revenues due to the leakages of tourism profits. ...
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