How Does Tourism Affect Hong Kong?

In this piece of coursework, I pass on keep a diary of prime and second-string data and analyze them so that it gouge exc hold to me the circumstances which Hong Kong touring carry is facing and how it can be improved in the future. It withal explains the advantages and disadvantages which touristry summates to Hong Kong.How I did it? What information was needed?In my piece of coursework, I entrust use a mixture of pristine data such as questionnaires for tourists which I take designed and secondary data such as cuttings from newspaper and magazines. The questionnaire which I designed was used at hot tourist castions in Hong Kong such as the handbill, Tsim Sha Tsui waterfront, Stanley and the Star Ferry. My questionnaire was designed to get an impression of Hong Kong from a tourists point of view. The secondary data such as newspaper and internet articles which I watched explains to me the genuine state of tourism in Hong Kong.How does tourism excise Hong Kong econo mic onlyy?Tourism is unrivaled of the biggest industries in Hong Kong. In fact from research, Hong Kong is one of the most public undivided destinations for tourists in the world. Hong Kong relies truly heavily on tourism. Withtaboo tourism there wouldnt be Hong Kong. Each year, Hong Kong brings in to a coarseer extent than 10 million tourists. However, there are two advantages and disadvantages of the grand tourism effort in Hong Kong. fond approachs and BenefitsFirstly, tourism brings to Hong Kong two hole-and-corner(a) be eudaimonias, as healthy as social cost earns. Private cost are costs gainful by economic determinationing shamblers. Private benefit is benefit received by economic decision makers. br an otherwise(prenominal)ly costs and social benefits are costs and benefits associated with the society.* Private Benefit + External Benefit = Social Benefit* Private Cost + External Cost = Social CostYou can read besides Classifications of RestaurantsThis So cial Cost and Benefit graph distinctly shows the system of tourism. The common soldier cost of tourism is the bullion spent by the administration or orphic sectors to lure to a greater extent(prenominal) tourists into Hong Kong. This could mean kinding much landmarks and tourist attractions or improving the surrounding environment. On the other hand, private benefit is when bringing in more tourists, a higher(prenominal)er level of work level could be achieved as the companies would be frequently more likely co hire more labour to improve the companys service and efficiency to make more cash from the tourists.The external cost of tourism is resulted from the usage of Hong Kongs land to produce landmarks to attract sexual climax tourists. External cost of tourism also includes environment damage or loss of greenery. The external benefits of tourism is when the local companies improves their work in order to attract tourists, there would be a higher trite of bread and neverthelesster for the local residents.The opportunity cost of the tourism effort is the succeeding(prenominal) shell alternative. If land is not used up to create build landmarks for tourists, the next best more office be to build better schools for improved education.For the society, the get along benefit is the private benefit + external benefit, or in other words the social benefit. Only when the social benefit exceeds pass social cost provide the tourism industry be beneficial to Hong Kong. so, the parting of twain the government and private sectors is to decide to produce the practiced amount of go to make the tourism industry beneficial to Hong Kong.Circular Flow of IncomeA bankers bill flow of income could be suited to the tourism industry. In a circular flow of income diagram, it shows the flow of coin around the economy as it as passed between consumers and producers over time. The withdrawals from an economy is the bullion which is paid for goods and serv ices what are produced within the economy such as tax and savings. Injections are the government expenditures, investments or exports. sometimes in the short term, withdrawals might exceed injection, still if the injection in the long run is more than that of withdrawals, there will be economic growth. interior(a) IncomeThe tourism industry plays a large role in contributing to the national income of Hong Kong. It is researched that a tourist is more likely to happen more specie during their holiday weeks than any other week of the year. Therefore when tourists yap away Hong Kong, they tend to spend a large proportion of their savings all in the trim rebuke to Hong Kong. The income from the tourism industry is mainly contributed by hotels, restaurants, frolic parks, obtain, and tourist attractions. From research, in the year cc1, all(prenominal) tourist palavering Hong Kong spent an average of $4532HKD. This extra spending from tourists leads to a total addition to the g ross domestic product of Hong Kong. It also leads to more income by both private and public sectors. As more income is made by private sectors, the government would therefore tend to collect more tax revenue. They can use this money to spend of schools and colleges, hospitals, roads and many other services which would benefit us all. When the National Income per capita exceeds the number from the foregoing year, we say there is economic growth.Economic ontogenesisHong Kong, like any other economies grows from booms and suffers from slumps. But in the long term the economy continues to grow. During a boom, the standards of vivacious are high because the unemployment level is low essence everyone has a job to earn money. More money means more spending to satisfy peoples ask and deficiencys. However during a boom, there is also a high inflation rate and a high deficit for the balance of payment. In a slump, or in other words a box, the standards of living are low because of a hi gh unemployment level. little people are hired for services meat less people gift money to spend for satisfying their needs and wants. But on the other hand, the inflation level is low and there is also a low deficit for balance of payment.As you probably k this instant, the impact of severe acute respiratory syndrome on Hong Kong tourism industry has been greatly damaging. During the SARS period, Hong Kong headed into a slump, in other words a recession. When a recession occurs, there are many negative effectuate to the economy. For example, the standard of living might drop, demand for goods might decrease, high unemployment level, deflation and much more. From the graph below, it clearly shows that during April 2003 to July 2003, the average visitor arrival has dropped magnificently from a monthly average of 1,347,386 to 493,666. This was due to the Severe Acute respiratory Syndrome. Because the tourists were tried their best to avoid nearing not however Hong Kong but the As ian region as well where SARS was most devastating, there was a broad decrease in the tourism industry in the South East Asian Region. A portion less income was received by the local firms from tourists overture into Hong Kong. Even if tourists were to visit Hong Kong, they stayed for much shorter periods. However, the tourism industry as shown from below has begun to dancing back anterior than many expected.Attractions offered to Overseas VisitorsHong Kong has known to be The urban center of Life. But has Hong Kong lived to its reputation? Are tourists who visit Hong Kong satisfied by the attractions which Hong Kong has to offer?According to the primary data which I collected from my surveys at assorted tourist points. I have found out that most tourists like to visit attractions such as The Peak, Stanley and the Big Buddha located on Lantau Island. These are the iii most come out of the closetular attractions in Hong Kong. However, the list goes on. Whether its the museum s, great restaurants or the exciting nightlife, the Hong Kong tourism association tries their best to guarantee to offer a tourist an memorable bonk.Tourist Attractions Hong Kong provides fun-filled experiences for tourists. The top tourist attractions include* The Peak mainstay- The peak tower is definitely the place for tourists to visit if they want to take an overview of the magnificent infrastructures of Hong Kong. The Peak Tower has a wide range of restaurants and food outlets increase novelty shops where visitors can get a memento to preserve their memories of their exciting experience. A good imagination of reaching The Peak Tower could be pickings a ride on the Peak tramway where on the way up, a good overview of Hong Kong could be captured.* Stanley Market The Stanley Market is one of Hong Kongs most popular destinations for overseas visitors. It fulfills a tourists day with both fun-filled shopping and relaxation. The Stanley Market is an out-of-doored market wh ere souvenirs could be bought at a bargainable price.* The Big Buddha The Big Buddha is located on one of the out lying islands in Lantau. The Big Buddha statue weighs more than 220 tonnes and sits 24.6 meters high opposite the Po Lin Monetary on the hillside of Ngong Ping in Lantau Island.* sea Park oceanic Park is the one and only joint menagerie and amusement park in Hong Kong. Located in the southern part of Hong Kong, the Park exceeds more than 200 acre of land. Ocean Park provides a mixed experience of education and fun. Built in 1977, it was primarily to advertize animal preservation in Hong Kong. Very soon, it became very popular with both tourists and local residents developing into an amusement park. Overtime, the park has been renovated and updated with the top entertainment facilities.Shopping Hong Kong has large into the reputation for a shopping paradise. The shopping malls such as Times Square and Pacific business office provide tourists with famous designer la bels at a reasonable price. On the other hand the open-air market places such as Stanley and Temple bridle-path gives tourists a taste of the heathenish life in Hong Kong as well as providing memorable souvenirs which could be bought at a low price.Cuisine The international city of Hong Kong provides tourists with a rich variety of cuisines ranging from Asian dishes to Western buffets. You name it, Hong Kong has it. Restaurants are located everyplace in Hong Kong.* Lan yuan Fong Lan Kwai Fong is a very popular destination among introduction tourists as it provides many western style restaurants on with bars and nightclubs.* large Floating Restaurant The Jumbo Restaurant is the worlds largest floating restaurant. At anytime, the ship can hold up to 3200 customers and employed with more than tierce hundred staff members. At the Jumbo Restaurant, tourists have a chance to try the sea-food of which local residents would normally eat. abutting Cities The neighboring cities o f Hong Kong, including Macau and Shenzhen adds to a tourists to-do list during their visit to Hong Kong. Tourists can take advantage of the convenient shipping to and from these cities.What needs to be improved and how can this be do? What is be done already and how roaring has it been?Although Hong Kong already has sufficient top tourist attractions, in order for them to lure tourists into come once again, many things have to be done and improved. For example, improve the quality of the provided attractions or even to build new landmarks. In the gone few years, the Hong Kong establishment has imagened to develop quintette major tourism clusters in the territory with a view to enhancing the attractiveness of Hong Kong as a prime(a) tourist destination. The five tourism clusters cover a wide range of projects, which are at divers(a) stages of development. A number of kindlement projects are being carried out to give a facelift to the lively popular tourist areas includin g the Central and Western District, Sai Kung waterfront and chaplet Yue Mun. Other improvement schemes coming on bourgeon include those at the Tsim Sha Tsui Promenade, Stanley waterfront and the Peak. Visitor signage is being installed in all 18 districts to make Hong Kong more tourists friendly.A number of major projects are also low way. Phase 1 of Hong Kong Disneyland, Tung Chung Cable cable car and Hong Kong Wetland Park are all scheduled for intent in 2005. To enrich the heritage tourism products, the politics has awarded to the private sector the development right to sterilize and convert the former Marine Police military headquarters (MPHQ) change into a tourism-themed development.Planning work is being conducted for the development of the south-east Kowloon tourism node, the integrated arts, cultural and entertainment district at West Kowloon renewal and the preservation and conservation of the Central Police Station, capital of Seychelles Prison and the former Cen tral Magistracy compound into a heritage-themed development.The Hong Kong Government is also working with the Ocean Park in the strategic development image of the park, which will form the basis for the development plan of the Aberdeen Harbour tourism node. Also taking in the lead a Harbour Lighting Plan to enhance the night vista of Victoria Harbour with the use of modern, energy efficient technology.The promotion of tourism is not simply about bend of new facilities. The Government has not lost sight of the fact that Hong Kongs traditions, religious offering visitors a fascinating insight into Hong Kong and Chinese account by providing museums and otherThe HKTB also offers a nuance and lifestyle experience program called Cultural Kaleidoscope, alter visitors to try out tai chi and kung fu, or appreciate the arts of Cantonese opera, Chinese tea preparation, Chinese antiques and feng shui.With the building of the Worlds third Disney theme park right(prenominal) the United Sta tes, millions of people are sure to want to have a taste of the action. Tourists who have visited Hong Kong in one case already would probably come back again to visit this new theme park. This project would sure as shooting attract more overseas tourists to transit to Hong Kong. Mr. Donald Tsang, the financial secretary spoke of the many benefits to Hong Kongs economy from this Disneyland project.He describes the project as an infrastructure investment and he said it would cause returns not only for the government, but for ordinary people who are operating restaurants in Hong Kong. Our hotels will benefit. Our tourist industry will benefit. Our airlines will benefit. And all the retail shops will benefit as a result of more tourists coming to Hong Kong. The construction of the new Disney Land will definitely bring more tourists into Hong Kong by 2005. Although the Park is mainly aimed at mainland Chinese tourists rather than western tourists, mainland Chinese tourists already mak e up more than 85% of the total visiting tourist.The Hong Kong Government has also planned many campaigns recently after the SARS period to come along its economy. The campaigns included the Hong Kong Super channelize and the Harbour Fest. finished August and September, the Hong Kong government held a Super Draw campaign to encourage spending within both local residents and tourists. The draw allows a chance to prizes totaling up to $15 million. To enter the super draw, participants must spend at least $100 in three different areas dining, shopping and transport. For each $100 they spend, they will be given a stamp. A show of all three stamps will be suitable to enter the super draw.The second campaign which the government held after the SARS crisis was Harbour Fest. The Harbour Fest is euphony festival featuring both International and Local pop stars. The aim was to attract tourists to visit Hong Kong to watch this tempestuous music festival. It also tries to prove to people that Hong Kong is now SARs free and would rise again to be one of the top international tourist destinations.On July 27th 2003, the Hong Kong Stadium hosted a football curb between the top class English premier League team Liverpool and the Hong Kong National Football Team. succeeding(a) this event, the less than 2 weeks later, it again hosted another football match against the even more famous existing Madrid as the Government-sponsored mega-events of the Relaunch Hong Kong campaign.The Hong Kong Government has raised all these campaigns to prove that Hong Kong is now SARs free and is overt of hosting international mega events.ConclusionIn conclusion, the government has done a great job trying to shape up its tourism industry especially after the SARS epidemics. In the meantime, it has raised many campaigns and promoted Hong Kongs tourism in various ways. As most Hong Kongs economist predicted, the tourism industry in Hong Kong will hopefully bounce back to its original state by the end of 2003.