chapter 10 forces shaping tourism

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The Tourism System 6 th edition Kendall Hunt Publishing Company Chapter 10 Forces Shaping Tourism Robert C Mill and Alastair M Morrison © 2013 1 © 2013 1 PART 3 Part 1. Destination: Planning, Developing, and Controlling Tourism An identification of the procedures that destination areas follow to set policies, plan, control, develop, and cater to tourism, with an emphasis on sustainable tourism development. Part 2. Marketing: Strategy, Planning, Promotion, and Distribution An examination of the process by which destination areas and tourism businesses market services and facilities to potential customers with an emphasis on the effective use of promotion and distribution channels. Part 3. Demand: The Factors Influencing the Market A consumer behavior approach to market demand emphasizing the internal and external influences on travelers including needs, motivation, and perception, the alternatives to travel, the marketing by tourism organizations, and the process by which travelers make buying decisions. Part 4. Travel: The Characteristics of Travel A description of major travel segments, travel flows, and modes of transportation used. DEMAND © 2013 Chapter 10 Forces Shaping Tourism Photos courtesy of Tourism Malaysia

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PowerPoint slides for The Tourism System 7th ed. by Robert C. Mill and Alastair M. Morrison, published by Kendall/Hunt, 2012.

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Page 1: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 1

© 2013 1

PART 3

Part 1. Destination: Planning, Developing, and Controlling

Tourism An identification of the procedures that destination areas follow to set policies,

plan, control, develop, and cater to tourism, with an emphasis on sustainable

tourism development.

Part 2. Marketing:

Strategy, Planning, Promotion, and Distribution

An examination of the process by which destination areas and tourism businesses market services and facilities to potential

customers with an emphasis on the effective use of promotion and distribution channels.

Part 3. Demand: The Factors Influencing the Market

A consumer behavior approach to market demand emphasizing the internal and

external influences on travelers including needs, motivation, and perception, the alternatives to travel, the marketing by tourism organizations, and the process

by which travelers make buying decisions.

Part 4. Travel: The Characteristics of Travel

A description of major travel segments,

travel flows, and modes of transportation used.

DEMAND

© 2013

Chapter 10

Forces Shaping Tourism

Photos courtesy of Tourism Malaysia

Page 2: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 2

© 2013

Contents Examines certain key factors that affect people’s travel

and leisure-time decisions: Culture Availability of time Demographics Life cycle stages Personality

Photos courtesy of Tourism Malaysia

© 2013

Purpose Having examined the external environment of specific types of tourists, students will be able to suggest appropriate types of vacations for them.

Photos courtesy of Tourism Malaysia

Page 3: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 3

© 2013

Learning Objective 1: Cultural Background and Travel Decisions Explain the effects of cultural background on travel decisions.

Photos courtesy of Tourism Malaysia

© 2013

The Effects of Culture on Travel

Individuals are part of a larger group, which influences their decisions.

Understanding culture and sub-cultures is essential to understanding the behavior of tourists from different places of origin.

Photos courtesy of Tourism Malaysia

Page 4: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 4

© 2013

Culture and Society Cultural values give individuals rules for behavior. Cultural values develop certain attitudes and

perceptions. Culture values influence how people evaluate the

world. Cultural differences can impact the level of satisfaction

that tourists have with a destination. Cultural differences can cause difficulties in social

interactions.

Photos courtesy of Tourism Malaysia

© 2013

Culture and Social Groups Groups have roles or standards of behavior peculiar to

each group Vacation role? People enjoy “being themselves” on

vacation Roles are learned through socialization Innovators are frequently opinion leaders;

“mass follows class” External factors influence culture

Photos courtesy of Tourism Malaysia

Page 5: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 5

© 2013

Analyzing a Culture Culture varies along four main dimensions (Hofstede,

1985): Individualism vs. collectivism Masculinity vs. femininity Large or small power distance Strong or weak uncertainty avoidance

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© 2013

Analyzing a Culture Country Clusters 1. More Developed Latin 2. Less Developed Latin 3. More Developed Asian 4. Less Developed Asian 5. Near Eastern 6. Germanic 7. Anglo 8. Nordic

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Page 6: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 6

© 2013

Analyzing a Culture (Louden & Britta, 1979) Determine:

Relevant motivations in the culture Characteristic behavior patterns Broad cultural values relevant to the product Characteristic forms of decision making Appropriate institutions for this product in the

minds of consumers Evaluate:

Promotion methods appropriate to the culture Appropriate institutions for product

Photos courtesy of Tourism Malaysia

© 2013

The U.S. Culture U.S. Culture is varied There is not one culture, but four, based on generation

divisions: Veterans (1922-1943) Baby Boomers (1943-1960) Gen Xers (1960-1980) Nexters (1980-2000) (aka Generation Y)

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Page 7: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 7

© 2013

Learning Objective 2: Effects of Time on Travel Decisions Explain the effects of time on travel decisions.

Photos courtesy of Tourism Malaysia

© 2013

The Effect of Time on Travel Availability of time affects travel decisions. Financial ability and desire to travel are not enough if

the traveler has no time.

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Page 8: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 8

© 2013

The Effect of Time on Travel Spending Time Time is spent on maintenance activities It is also spent on work Leisure time: the rest of the day:

Inner-directed; time for the self Over the last few centuries, U.S. leisure time has

increased Discretionary time decreases after a person has a

family, and increases once the children leave the home

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© 2013

Historical Development of Leisure Time

1900: Work week about 60 hours; today about 40 hours.

Paid vacation time varies by country. Most European countries have 18 to 25 paid weekdays off. U.S. and Japan have only about 10.

Workweek in France now pegged at 25 hours. Although workweeks have decreased; leisure time has

not.

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Page 9: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 9

© 2013

Leisure Time Divisions

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Weekdays

Weekends

Holidays

Leisure

© 2013

Learning Objective 3: Effects of Socio-Economics on Travel Decisions Explain the effects of socioeconomic background on travel decisions.

Photos courtesy of Tourism Malaysia

Page 10: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 10

© 2013 Photos courtesy of Tourism Malaysia

The Impact of External Factors on Vacation Purchases

© 2013

Socioeconomic Background Age

Younger and older people have more free time Younger people choose more adventurous

vacations, while older people travel farther Older travelers value restfulness and historical

interests

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Page 11: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 11

© 2013

Socioeconomic Background Generational Influence Matures: born before 1945

Duty Hunting for a bargain Strong family and community ties

Baby Boomers: born between 1946-1964 Seek less traditional excursions

Generation Xers: born between 1965 and 1978 Savvy, because they have seen uncertain economic

times Generation Y: born between 1978 and 2000

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© 2013

Socioeconomic Background Income Inhibiting force on travel decisions High income associated with high education and more

household earners Personal disposable income is income left after taxes Highest recreation expenditures are by couples under 40

without children Travelers of different income levels do different things while

on vacation: high income: reading, bridge, fencing, squash, chess; low income: television, dominoes, bingo

Photos courtesy of Tourism Malaysia

Page 12: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 12

© 2013

Personal Income Distribution

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© 2013

Socioeconomic Background Gender Women take part in slightly fewer leisure activities than

men Women are more involved in cultural activities, and they

prefer to travel for these reasons: a) to rest/relax; b) for friends; and c) for social reasons

Men generally prefer outdoor recreation, and playing and watching sports

Women souvenir buyers choose colorful or culturally-themed souvenirs

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Page 13: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 13

© 2013

Socioeconomic Background Education More educated travelers

Participate in outdoor activities Activities that require interpretation: plays,

concerts, art museums, etc. Less educated travelers

Often spend more money than the more-educated travelers

Seem to equate spending money with fun

Photos courtesy of Tourism Malaysia

© 2013

Time Phases in the Family Life Cycle

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Page 14: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 14

© 2013

Life Cycle Stages Travel behavior varies depending on life stages Singles partake in a wider variety of activities outside

the house than married people do Married people don’t do the same things singles do

because of the presence of the spouse, not because of the nature of the activity

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© 2013

Life Cycle Stages Presence of Children Less travel, more leisure time at home, and few new

leisure activities Family vacation

Decisions are made jointly by husband and wife Childless vacation

Wife is more likely to make decisions Children

Leisure activity fads are easy to start College-aged children are more likely to take risks

on new activities

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Page 15: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 15

© 2013

Life Cycle Stages Empty Nesters After children leave the home, the parents’ travel

preferences switch from car to bus, plane or boat Usually empty nesters don’t think of extended air

travel to foreign countries Fear is the main barrier for empty nesters who want to

travel Packaged tours may alleviate this fear

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© 2013

Life Cycle Stages Ideal Vacation Trip by Life Cycle Young Free, 18 to 34 with no children Young Families, 18 to 34 with children Middle Frees, 35 to 54 with no children Middle Families with lower incomes, 35 to 54 with children

and incomes of less than $50,000 Middle Families with higher incomes, 35-54 with children and

incomes of $50,000 plus Older Frees with lower incomes, 55 and older with no

children and incomes less than $50,000 Older Frees with higher incomes, 55 and older with no

children and incomes of $50,000 and more

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Page 16: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 16

© 2013

Life Cycle Stages Barriers to Leisure Enjoyment Not being sure what activities to be involved in Not knowing what’s going on and what’s available Not being sure how to use available resources Difficulty in planning and making decisions Not having anyone to do things with Not being at ease in social situations Difficulty in carrying out plans

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© 2013

Learning Objective 4: Effects of Psychographics on Travel Decisions Explain the effects of psychographic background on travel decisions.

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Page 17: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 17

© 2013

Personality People may view a vacation as an extension of their

personality Traits

People express interests in certain things, which makes it simple to guess at the activities they would enjoy

No strong connection between traits and travel choices is yet established, however

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© 2013

Personality Types Introverts

Do not seek the company of others Rarely choose to participate in outdoor recreational

activities Extroverts

Enjoy the company of others Generally enjoy outdoor recreational activities

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Page 18: Chapter 10 Forces Shaping Tourism

The Tourism System 6th edition Kendall Hunt Publishing Company

Chapter 10 Forces Shaping Tourism

Robert C Mill and Alastair M Morrison © 2013 18

© 2013

Psychographics and Lifestyle Psychographics – the development of psychological

profiles of consumers based on lifestyles Venturers

Prefer to travel to more adventurous, less peopled areas

Generally traveled more as a child Wealthier, self-confident

Dependables Prefer tour groups and developed areas Travel less than venturers on the whole

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THE TOURISM SYSTEM

© 2013

Chapter 10

Chapter Summary Highlights

Vacation choices are influenced by, and often constrained by various factors: (a) the culture of which people are a part; (b) significant events that helped shape their values; (c) time available; and (d) demographic and psychographic factors

Early attempts to explain vacation behavior using demographics alone have been found to be incomplete.

Developments in paid vacations have enabled people to take a vacation Advances in technology have influenced how far people can go with the

amount of free time they have.

Photos courtesy of Tourism Malaysia