Current issues of tourism markets bringing about innovative improvements in business value for such product development and tourism resources


 


 


INTRODUCTION/BACKGROUND

            Accordingly, one of the most important developments in the tourism markets is the growing attention for service quality from such customer’s perspective. This is the consequence of the increase of the degree of dominance of the customer in the service process. This degree of dominance is high if the customer can dictate his/her demands to the service provider and is low if the service organization can dictate its demands. The latter often occurs if the service provider has specific knowledge or know-how, or if he has the power to put the customer in dependent position. There is ample growth and encouragement issues pointing to the tourism ways as these issues involve addressing some of its economic perspective that stresses changes in its market conditions which affect people’s motivation to travel and the factors which influence their ability to do so, for example increased leisure time and disposable income, improved technology and travel organization (Cited from, Pearce 1995), as in tourism‘s ability to generate income, jobs and corporate profits, bring in foreign exchange, boost tax revenues, diversify the economy and aid regional development (Cited from, Pearce 1989).


            The successful integration of tourism development into such destination should make the development more acceptable to local residents and existing resource users than when tourism development is imposed in a segregated and unrelated manner. Successful integration can also be a much more efficient process. To most planners, developers and managers efficiency is a goal to be achieved, and steps and processes which speed the process of completion and acceptability of development are to be welcomed. The one importance is, the fact that successful integration can avoid problems that could otherwise materialize later in the operational phase of development through achieving synergy and even symbiosis with other existing activities and resource processes rather than competition (Cited from, Butler 1993).


            In the real world very few economic or social-cultural activities are equal in priority. There is normally constant state of competition or at best uneasy alliance between activities in most communities, some being in the ascendance and others stagnating or being in decline. In many parts of the world in which tourism has been introduced, traditional primary activities have had long established priority, both in terms of economic importance and because of the intricate links with cultural patterns and behavior. Tourism is often seen as being in direct competition with these traditional activities and in such situations integration rather than imposition is essential if development is to be successful. Thus acceptance may be difficult if tourism is not carefully and appropriately fitted into the existing systems. This situation is often compounded by the fact that in the case of large-scale tourism developments, ownership and control of these developments commonly lies outside the local community, and the element of external control can make acceptance of such development much more problematic (Cited from, Sofield 1996). Lack of appreciation of local preferences, patterns of activities and priorities can exacerbate such tourism market situations (Cited from, Berno 1996). These market issues may be not so much how feelings towards tourism develop over time, but whether there are opposing views at any time. There need to be policies and practices in communities to determine views towards development and to enable the community to decide what type and scale of development can be accommodated in the community before development occurs (Sofield and Birtles 1996), If such processes are in place and operational, then integration of the appropriate type of development should be much more easily achieved.


            Globalization has transformed the tourism product over time from domination by mass tourism to a diversified industry catering more for the individual needs of travelers. Globalization has transmitted these ideas and practices worldwide, thus making the tourism industry more diversified and putting pressure on developing countries to create targeted, niche markets. Competition has become stronger and is based increasingly on diversification, market segmentation and diagonal integration, which involves the merger and conglomeration of related business activities. An important source of tourism revenue is now based on identifying, developing and promoting niche markets. New niche markets are constantly being identified in an attempt to diversify the industry further. The changing consumer preferences of international tourists constitute another aspect of globalization that is creating new challenges for developing countries. Providers of tourism services now try to gain a competitive advantage by catering for the individual needs of travelers. Tourists are actively changing the pace and direction of the tourism industry as they become more experienced travelers and change their behavior and values. The increased travel experience, flexibility and independent nature of tourists have been generating demand for better quality, more value for money and greater flexibility in the travel experience. The new tourism also reflects demographic changes as well as changing lifestyles, thus creating demand for more targeted and customized holidays since travelers now belong to a number of different lifestyle segments. The changing values of tourists are also generating demand for more environmentally conscious and nature-oriented holidays, which means that tourism providers have to pay more attention to the way people think, feel and behave. In recent years, the niche market has become more important factor in the tourism industry, reflecting the need to diversify and customize the industry and ensure product sustainability. The main niche markets hold great potential and are developing rapidly. The transformations that have created new tourism put pressure on basic ways of doing business and on government strategies and plans for national tourism development.


 


 


 


 


LITERATURE REVIEW

 


To many people, tourism is important source of foreign revenue providing employment in restaurants, airlines, airports, hotels and tourism attractions. In addition to their economic impact, tourists can also influence the host country’s cultural and social environment. The tourism industry impacts on civil society in a number of ways: it can lead to social and political activism seeking to balance the positive and negative impacts of tourism; local residents and foreign tourists may be politically socialized through tourism and that process inevitably re-defines local identities and civil spaces; and the influx of tourists can lend support to the political regime in the destination country, such that tourists may eventually be treated by the government as if they are part of its constituency. These issues are explored in further detail below.  Besides the economic benefits of tourism, there are other ways that the industry affects the host society. Problems related to traffic and parking, pollution, wear-and-tear of heritage sites and price inflation may irritate and infuriate the local population (Van der Borg et al. 1996). Aspects of the host society may also be commoditized and touristified; mass tranquilization, for instance, debases the value of local handicrafts (Cohen 1988). The social impact of tourism however, is not necessarily negative. Attempts to create balance between the positive and negative impacts are often underpinned by ideological and political considerations (Ooi 2002a). While tourism businesses and researchers agree that balanced approach is needed, there is still no specific agreement as to what constitutes balanced strategy (Chang 1997; Jenkins 1997; Leheny 1995; Newby 1994; Teo and Yeoh 1997). Attempts to balance these impacts emerge from negotiations amongst tourism stakeholders, residents, industry, cultural institutions, tourism attractions, tourists, politicians, and others–resulting in different destinations coming up with their own version of “balanced” tourism development. Civil society may emerge to challenge state-sponsored tourism plans and be engaged in the negotiation process but the amount of space that civil society has differs across host societies. The role of marketing in tourism industry is to manage or manipulate sales customer purchasing behavior on an orderly, continuous, regular basis, in order to utilize the maximum level of available, inseparable capacity and to generate extra or marginal sales that contributes revenue at minimal additional cost.


Middleton and Clarke (2001) identify three propositions about marketing in travel and tourism that are relevant to all the forms it takes: In the context of opportunities and constraints arising from the business environment of major global market, products in tourism are designed, adapted and promoted to meet the long-run needs, expectations and interests of prospective customers. This is the common ground with all forms of consumer marketing, and the cornerstone of all marketing theory; Service products generally have particular characteristics of inseparability and perish ability, which call for diverse application of the traditional marketing mix variables. This is the common ground with the developing theory of services marketing as distinct from marketing goods. Marketing in tourism is shaped and determined by the nature of the demand for tourism and the operating characteristics of supplying industries. The forms of promotion and distribution used for travel and tourism products have their own particular characteristics, which distinguish their use in comparison with other industries.   


Identification of in-depth knowledge of certain tourism marketing issues


Innovating and improving tourism services

Tourism has become a global industry and is widely considered to be one of the fastest growing industries, if not the fastest growing industry in the world (WTTC, 1995). It ranks as the largest industry in the world in terms of employment and ranks in the top two or three industries in almost every country on nearly every measure (Mowlana and Smith, 1993). Thus, tourism industry has become a major contributor to the gross national product of many nations, with marketing tourist destinations and its products becoming a widely recognized practice for both public and private sector organizations. It provides general models, concepts and techniques for strategic marketing but there is no academic analysis of their application to the marketing of a country as a tourist destination. It is important to distinguish between strategy to improve design quality and a strategy to improve the quality of service delivery. The process of improvement and innovation in Service Company is a continuous process. To improve this process managers must know what to do, how to do it and know the appropriate methods. Certain methods and techniques are more appropriate for improving the service delivery system such as continuous collecting and analyzing the delay time of flight departures and the waiting time on the phone, analyzing complaints, mystery shopping, etc. Other methods further innovation: e.g. brainstorming, brain writing, lateral thinking, mind mapping. In this article we will discuss three methods that further innovation of the service concept as well as incremental improvement of service delivery.


Amicably, market contribution to tourism maybe undervalued by policy makers and practitioners leading in misunderstanding of nature and value of marketing discipline designed for the powerful innovation within the tourism industry (March, 1994). Several authors have noted the lack of detailed work in relation to strategic issues in tourism marketing and distribution processes which require a more rigorous analysis of contextual factors (Bagnall, 1996; Chon and Olsen, 1990; Faulkner, 1993a,b). Indeed, there seems to be a need to emphasize a more strategic approach to international travel and tourism, so that, for instance, a competitive advantage can be established in overseas markets (Boyd et al., 1995; Go and Haywood, 1990; Mazanec, 1994; Papadopoulos, 1987, 1989). Similarly, other authors have argued that the marketing concept is based on a “long-term commitment” to the satisfaction of travelers’ needs and motives (Haywood, 1990) and for a more strategic approach to marketing instead of relying on operational measures such as marketing communication (Faulkner, 1993b). There are three approaches to strategy that may be used by the tourism industry. The consumer-oriented approach dominates most current discussion of international marketing strategies. Another approach focuses on competition (Porter, 1980, 1990). However, these two approaches may be insufficient for they neglect the role of intermediaries in travel and tourism. Hence, a third approach to strategy, the trade-oriented orientation of intermediaries’ desires, problems and demands needs to be investigated. Although each of these three approaches to strategic marketing will be discussed in turn below, they should not be regarded as alternatives, for they may be integrated into an overall strategy.



The consumer-oriented approach


Undifferentiated strategic marketing focuses on the average expectations of target markets: marketing efforts concentrate on the common interests of the target segments’ needs and behavior rather than their variances. In contrast, differentiated strategic marketing aims to identify the characteristics of diverse consumer groups through the use of marketing instruments directed at specific targets in order to create and implement a marketing approach and program that suits particular segments’ needs and expectations (Kotler et al., 1994). The extent of differentiation will vary depending on prevailing market conditions (1993).


The competitor-oriented approach


The next approach to strategy concentrates on competition. The tourism industry is undergoing a period of rapid change and uncertainty, with new technologies and more experienced consumers being some of the opportunities and challenges facing the industry. The role of a competitive marketing strategy is to develop, maintain or defend the position of an organization. Public and private travel and tourism organizations may either strive for an overall cost/price leadership, or differentiate themselves to gain a product quality leadership. Furthermore, a concentration on market niches may lead to a successful strategic position (e.g. Day, 1990; Toyne and Walters, 1993).


 


 


As a tourism market becomes more mature it will continue to segment itself (Brett, 1992). With greater maturity, niche marketing approaches appealing to particular segment seem to become the focus of, in particular, travel and tourism organizations (Jefferson, 1995). In addition, airlines and intermediaries may specialize in sectors other than package holidays, that is, potential niches such as eco-tourism may become more important. However, charter packages may also become increasingly popular due to their low cost, such trend suggesting the growth of the mass tourism market (Australian Tourist Commission, 1994a).


The trade-oriented approach


The third approach to strategy focuses on intermediaries and appears to be particularly relevant to the travel and tourism industry. The distribution of travel and tourism products/services is a most important activity along the tourism chain (Poon, 1993). There are two main considerations which need to be distinguished: first, the degree to which organizations become involved in organizing and structuring the overseas distribution channel, and second, organizations’ reactions and responses to marketing and distribution strategies of intermediaries in overseas markets. As a result of organizations’ activeness or passiveness with regard to these two considerations, four trade-oriented strategies are possible: bypassing, co-operation, conflict, or adaptation (for example, Meffert and Kimmeskamp, 1983).


Developing ample scenarios

 


 


Consideration of innovative business sectors


 


CASE STUDY IDENTIFICATION The situational case of Japan 

 


Accordingly, Japan’s development for their tourism industry will need to recognize further substance of tourism factors and avoid those issues at risk concerning stakeholder organizations specifically, the Japanese government and its affiliated partners and support agencies for promoting better tourism milieu for the good of the Japanese society. Tourism adhere composite sectors that encompass variety of policy making related for example to tourism travel and its accommodation achieving the ideal economic capital as there plays vital role in regional revitalization. Thus, Japan’s regions can possibly be revitalized through policy execution and resolving issues thus, presenting unique features to visitors as well as provide Japanese residents with incentive to develop pleasing communities that the people can be proud of.


Presentation of Arguments


There is the potential for such Japanese stakeholder management as executed by such organizations that surrounds the concept of ideology and have such tourism policy implications within the stakeholder society. There are then evidences concerning Japan’s tourism planning in lieu of providing perspectives the value of the stakeholder groups and its approach in helping to keep and maintain enough balance and effectiveness among Japan’s tourism activities and its environment as well as social issues, challenges and policy development concerns (Cited from, Johnson, 1987 and 1995). Thus, the ideal role of tourism relations is duly critical in showing casual relationships with regards to the tourism development issues of having justifiable assessment of its policies in due factors and impact underlying such stakeholder organizations for ample marketing management of Japanese tourism processes. Ideally, Japan tourism has intended to be viewed as simple way of sight seeing through culture respect and appreciation and that Japanese tourism has received less priority as compared to some areas of industrial activity in terms of improving industry environment that involve tourism policies and systems geared towards a stronger sense of the country’s tourism development (Cited from,  1998). Aside, Japan’s tourism will then, contribute to regional growth as well as global understanding as imperative because interacting with such organizations and people as well as participating in policy decision matters will help foster stakeholders’ fulfilment and solidarity of acquiring positive issues.


 


 


 


Discussion of Findings/Outcomes

 


The issue pointing to sustainable tourism markets in lieu to such promotion of amiable tourism, it is vital that people will need to avoid destructions of the environment and the creation of commercially oriented resorts, and that we focus instead on the preservation of the natural environment and historical heritages. This is what is meant by sustainable tourism. This can make an important contribution in areas ranging from the promotion of human interaction between urban dwellers and people in rural and fishing communities to the revitalization of mountain villages. However, the unlicensed provision of accommodations for large numbers of unspecified guests is breach of the Hotel Business Act in Japan, so it would be necessary to run such schemes on membership basis. While doing everything possible to conserve scenic areas and other resources, we also need to review all the regulations that affect green tourism.



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