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TOMG 200 Tourism Management & Environment
Economic Impacts of Tourism Case Study:
The Eden Project, Cornwall, U.K.
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Economic characteristics of the tourism industry
Tourism brings economic benefits (TSAs)– Much needed foreign exchange– Generates employment– Improve social and economic benefits in a destination area, esp. if
remote from tourism flow (‘multiplier effect’)
But tourism not like other industries --- more complex– An invisible export industry
No tangible product– Tourists require supporting goods & services
Need infrastructure to access (airports, roads, IT networks) – Fragmented product
Many elements, not coordinated– Highly price- and income-elastic product– Perishable product
If a hotel room not booked one night then that income is lost– Subject to exogenous shocks
Currency fluctuations, politics, wars, SARS, terrorism, carbon tax– Seasonality puts pressure on resource
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Tourist Attraction Development: The Eden Project, Cornwall, U.K.
Entrepreneurial activity can stimulate new economic activity
Developed from the vision of one man – Tim Smit, owned by the Eden Trust (reg’d charity)
Located in a former china clay pit to illustrate how degraded environments can be regenerated
An example of sustainable development A living theatre of plants, people, places & possibilities
(“the 8th Wonder of the World”) Opened as a visitor attraction summer 2001 300,000 visitors in first 3 months of opening 80 million UK pound development Its development has caused some controversy (impacts)
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Visitor impressions of The Eden Project
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Eden: The Inside Story
Individual Discussion Question (1):- What makes a tourist attraction
successful?
- www.edenproject.com
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Required readings:
Chapter 3 of required text Chapter 1 in Garrod & Fyall (2011) – “This Other
Eden”
Useful resources:
Economic Impacts of the Rugby World Cup: http://www.3news.co.nz/Sporting-venues---what-we-get-for-our-buck/tabid/1356/articleID/226210/Default.aspx
Tourism Satellite Account (Economic Impact of Tourism Statistics) http://www.stats.govt.nz/browse_for_stats/industry_sectors/Tourism.aspx