Tourism Industry in Taiwan

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Tourism Industry in Taiwan
Due Date: December 11th, 2012
Contents
1.Introduction3
2.Overview of Tourism Industry Development History3
3.Recent Development4
4.Demand6
4.1 External demand (inbound tourism)6
4.2 Domestic travelers (local leisure)8
4.3 Price elasticity of demand10
5.Tourism Resources10
5.1 Five Major Regions11
5.2 Festival-Based and Event-Based Tours13
6. Supply14
6.1 Package tour14
6.2 Transportation16
6.3 Accommodation & Hotel Industry16
6.4 Government policies (Tourism Bureau)17
6.5 Concerns in supply-side issues of tourism17
7.Tourism as an Emerging Industry in Taiwan18
7.1 Introduction of Taiwan’s tourism policy towards tourists from mainland China21
8.Ecotourism in Taiwan22
9.Social and Economic Impacts23
10.Conclusion24

1. Introduction
Taiwan is the only East Asian island that is crossed by the Tropic of Cancer. Geographically, it is located at the point where the Asian continent meets the infinite Pacific Ocean, bringing it lots of unique natural landscapes as well as various kinds of plant and animal species, which brings Taiwan abundant opportunities to cultivate a prosperous tourism industry. Put in more detailed, Taiwan possesses many types of outstanding natural scenery such as the amazing Ali Mountain and Jade Mountain. Culturally, tourists can get the chance to know about the true traditional Chinese culture, especially during the tour of the well-known National Palace Museum which is one of the most famous museums in the world. Taiwan also has one of the world’s tallest buildings, Taipei 101. Moreover, famous for the bustling night-markets, Taiwan is also a nice destination to taste different kinds of delicious food while travelling. Actually, abundant in various tourism resources, it is now developing theme –based or festival- oriented tourism such as ecological travel like bird watching and theme travel like festival tourism. Therefore, although recently Taiwan’s economic situation continues to deteriorate: decline in export, negative growth in manufacturing, and increase in unemployment, its tourism sector seems to outshine the others, which becomes a highlight of Taiwan economy.

2. Overview of Tourism Industry Development History
Generally, Taiwan’s tourism economic development history can be divided into 4 stages as discussed below: * Early Stage:1948-1958
After the national liberation war, the government tends to have a protection policy both economic and social, and a more formal develop plan organized by the government came out in 1957. * Introduction Stage: 1959-1967

In this stage, the government deregulation of the tourism, and established a lot of organizations, as well as some important policies. * Growth Stage: 1968- 1985
Government opens the residents to travel abroad and in 1976, residents are permit to visit mainland. Both inbound and outbound tourists recorded high prices. * Maturity Stage: 1986-present
Playing a more and more important role in Taiwan’s economic, the tourism industry earned higher attention of the government. Started from 2002, the progress of mainland residents to visit Taiwan developed and in 2008, this visit formally launched. Consequently, mainland visitors weight quite heavy in nowadays.

3. Recent Development
As a result of the economic recovery starting from 2010 in Taiwan, tourism industry has benefited a lot from the improvements in the economic environment in 2011 demonstrated by the fast increasing number of trips among domestic tourists and arrivals. In addition, the number of visitors as well as domestic tourist expenditure has also been driven up by the economic recovery as the number of domestic trips increased.

Inbound Visitor Arrivals, 2001-2011|
Year| Total| Foreigners| Overseas Chinese|
| No. of
Visitors| Growth
Rate %| Index
(1991=100)| No. of
Visitors| Growth
Rate %| % of Total| No. of...
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