Public Sectors Role in Tourism

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Public sector has an influence in tourism business. To begin with, it is essential to outline the main policy instruments used by governments in order to manage tourism. Youell (1998, pp 44-46) states, that: "public bodies influence tourism sector either directly, through ministry with responsibility for tourism and the NTO, which include: provision of infrastructure, information services and creation of tourist attractions and facilities. Or, indirectly, through foreign policies and legal controls, which are: provision of favorable economic climate, establishment of tourism policies within which the commercial sector of tourism industry can operate successfully, co-ordinating, promotional and regulatory role in tourism provision, and conservation of the physical and socio-cultural resources that attract tourists to destination." Additionally Cooper at al (2005, p 514) points out that: "governments use demand and revenue management in order to influence demand in the industry by: marketing and promotion, information provision and network development, pricing, controlling access to the destination, safety and security. Supply and cost management are operated by environmental control, building regulations, market regulations, market research and planning, taxation, ownership, education and training and investment incentives." In England, for example, according to Department of National Heritage (1997), tourism sector was beneficial after the opening of the Channel Tunnel, which now provides the country with 60% of the overseas visitors, providing industry with additional consumers and income. Department of Culture Media and Sport (2005) states, that there are support structures, created by government, which act as strategic drivers of economic development in their region, moreover they maintain balance between the needs of visitors and the needs of environment. Also, tourism receives significant public support – nearly 300 million pounds across the UK, more than...
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