The Philippine Tourism Industry Analysis
THE PHILIPPINE TOURISM
INDUSTRY ANALYSIS
I. SCANNING OF THE EXTERNAL ENVIRONMENT
A. OPERATING ENVIRONMENT
1. ECONOMIC INDICATORS
Income, employment, balance of payments and investments are all the positive impacts of the tourism industry. The industry generates income through salary, wages, loan and interest. The amount spent by tourists though their currency in the accommodation, food and beverage and other tourism services and products,once they visited in our country, becomes our tourist receipts. Tourism brings new money into the economy. Tourist money is returned to the local economy as it is spent over and over again. As shown in the multiplier effect, the salary that an employee receives from the business can be used for his daily expense, others will go to his savings, while part of his earnings will go to tax. The tax will go to the government to carry out its plan in developing and constructing infrastructures and superstructures beneficial for both the tourist and the residents. If service providers can provide a very satisfying experience for the tourist together with the help of other sectors indirectly providing the business, then we can expect more visitors to frequent our country. In any part of our country, once an area has become economically successful, more businessmen and government agencies may be influenced to invest in tourism and other industries, which is known as the accelerator concept. Because of this, we can expect more job opportunities in the sector.
Balance of payment in the flow of services and funds in and out of the country for a given period of time is another economic impact. When a foreign tourist goes to our country and spends using his currency, we are creating export in our country. Similar when a Filipino spends his Peso in another country where he visits, we our creating import for our country. If our country pays more money than it receives, it has a deficit in its balance of payments. If it receives more
INDUSTRY ANALYSIS
I. SCANNING OF THE EXTERNAL ENVIRONMENT
A. OPERATING ENVIRONMENT
1. ECONOMIC INDICATORS
Income, employment, balance of payments and investments are all the positive impacts of the tourism industry. The industry generates income through salary, wages, loan and interest. The amount spent by tourists though their currency in the accommodation, food and beverage and other tourism services and products,once they visited in our country, becomes our tourist receipts. Tourism brings new money into the economy. Tourist money is returned to the local economy as it is spent over and over again. As shown in the multiplier effect, the salary that an employee receives from the business can be used for his daily expense, others will go to his savings, while part of his earnings will go to tax. The tax will go to the government to carry out its plan in developing and constructing infrastructures and superstructures beneficial for both the tourist and the residents. If service providers can provide a very satisfying experience for the tourist together with the help of other sectors indirectly providing the business, then we can expect more visitors to frequent our country. In any part of our country, once an area has become economically successful, more businessmen and government agencies may be influenced to invest in tourism and other industries, which is known as the accelerator concept. Because of this, we can expect more job opportunities in the sector.
Balance of payment in the flow of services and funds in and out of the country for a given period of time is another economic impact. When a foreign tourist goes to our country and spends using his currency, we are creating export in our country. Similar when a Filipino spends his Peso in another country where he visits, we our creating import for our country. If our country pays more money than it receives, it has a deficit in its balance of payments. If it receives more