The prospect of tourism growth in developing countries, where high levels of poverty exists has created enormous attention and interest in tourism as a tool for poverty alleviation. This is often referred to as ‘pro-poor-tourism’. Pro-poor tourism is broadly defined as a tourism development approach that generates net benefits for the poor (PPT partnership, 2004). This includes economic as well as environmental, social and cultural dimensions (Chok et al., 2007). Tourism is becoming a significant and growing economic sector in most developing poor countries (Scheyvens, 2009). It is an integral component of many sustainable development strategies. However, recent debates have arisen over the actual effect the tourism industry has within developing countries, and to what extent it actually helps the poor. Does pro poor tourism not simply offer another route for the wealthy world seeking business opportunities through tourism, or is it really a suitable and sustainable liberating option?
Tourism is regarded by a number of institutional stakeholders, like the World Tourism organization, government and development organization, as a major contributor to poverty alleviation (Hall, 2007). Proponents of pro-poor tourism highlight the benefits tourism offers to developing nations. Tourism can contribute to the well-being of the poor through generation of jobs, income-earning opportunities, and indirectly by infrastructure developments, opportunities to interacts with cultures, gain access to new markets, and encouraging conservation of natural and cultural assets. By enhancing local livelihood, tourism can enable communities to survive rather than seeing the out-migration of their youngest and brightest citizens (Schelyvens, 2009).
In countries where few other grow options exist tourism is believed to offer viable development options. The only sector that really demonstrates a continuous upward trend has been tourism (Scheyvens, 2009). Seeking positive outcomes for the poor requires close attention to demand, product quality, marketing, investment in business skills and inclusion of the private sector (Hall, 2007). This could lead to high dependence on foreign input and intervention.
Serious concerns exist about the recognition that tourism is a good strategy for alleviating poverty. Chok et al. (2007) argued that “ tourism is too often regarded as an economic, social and environmental cure-all.” There is a lack of convincing empirical proof to justify the claim that increased tourism development results in significant benefits for the poor. Scheyvens (2009) critically raises the following question related to pro-poor tourism:
“Can the interest of the poorest members of a society really be served by promoting expansion of a global industry that is founded on equalities, where individual businesses strive to meet the interest of the market, not the poor, and where elites often capture the majority of benefits of any development, which does occur?”
He stated that investors are there to make profits, not to serve the poor. “Why then should we assume that they might have some ethical commitment to ensuring that their business contribute to poverty alleviation?” (Scheyvens, 2009)
Tourism still allows wealthier people to benefit more than the poor. “The ‘fairly poor’ are more likely to receive benefits than the ‘poorest’, who lack the capital and skills to exploit economic opportunities, but are likely to suffer from the negative impacts on local resources” (Hall, 2007). A large part of the money that stays in a country goes to the already better-off: local hotel owners and tour operators who co-operate with international investors (Scheyvens, 2009). However, even if richer people benefit more than poor, but the poor still benefit, pro-poor tourism can be classified as pro-poor (Ashley et al., 2001).
Tourism can also place a heavy demand on limited resources, for example electricity and water. Furthermore, the cultural and social impacts of tourism growth in local communities need to be monitored and managed with caution as it can cause much environmental, socio-economic and cultural damage. (Scheyvens, 2009). One of the challenges related to tourism developments is that market forces cannot equitably allocate benefits and costs. Therefore the public sector need to interfere via policies that try to redistribute some of the excesses of a market led tourism industry (Meyer, 2009).
Hence, the question of how far tourism does and can contribute to poverty reduction often results in a discussion about the global impacts and wider political structures. I agree that these are definitely important discussions but it is unclear how these discussions support poverty reduction in practical terms. There is a lack of convincing empirical evidence to support the claims that tourism benefits the poor. Despite this, I welcome the approach of tourism as a potential tool for poverty reduction. Tourism should continue to be prioritized as a key development option for struggling economies.
Although tourism is a profit-driven business dominated by the private sector, it supports the thought that tourism offers better prospects for pro-poor growth than most other sectors. Tourism offers better labour-intensive and small-scale opportunities. Projects at a local level can be very beneficial to some communities and individuals. Their wellbeing should be central in pro-poor tourism efforts.
However, the bigger picture remains unfortunately a tremendous and complex problem. Tourism itself may bring immediate economic benefits to the poor, but it does not necessarily offer a longer-term solution to the challenge of poverty. National and international policies should not only address the needs of the poor, but also the causes of poverty. Chok et al. (2007) asserted that tourism is highly political and the values of powerful stakeholders greatly shape outcomes. Unless structural changes will be made the hopes for reducing poverty in many parts of the developing world remain poor indeed. Schilcher (2007) suggest that we may also need a shift in policy, from a focus on growth, to equity. Many will support the idea that we need to do something about the gap between rich and poor. But are we also willing to change our own lifestyles? I suppose more often we need a wake-up call about the uneven social and economic playing field in the world.
References
Ashley, C., Roe, D. and Goodwin,H. (2001) Pro-poor tourism strategies: Making tourism work for the poor. A review of experience. Pro-poor Tourism report no. 1, Overseas Development Institute for Environment and Development , Londan, and Centre for Responsible Tourism, University of Greenwich. Available at Http://www.propoortourism.org.uk/ppt_report.pdf
Chok, S., Macbeth,J., & Warren,C. (2007). Tourism as a tool for poverty alleviation: A critical analysis of “Pro-poor tourism” and implication for sustainability. Current issues in Tourism 10 (2&3), 144-165.
Hall, M. (2007). Pro-poor Tourism: Do ‘Tourism Exchanges Benefit Primarily the Countries of the South? Current issues in Tourism 10 (2&3), 111-118.
Meyer, D. (2009) Pro-poor tourism: Is there actually much rhetoric and if so, whose? Tourism recreation research 34(2), 197-199.
Pro-poor Tourism Partnership (2004). Pro-poor tourism; What is pro-poor tourism? retrieved October 29, 2010 from Http://www.propoortourism.org.uk/what_is_ppt.html
Scheyvens, R. (2009) Pro-poor tourism: Is there value beyond the rethoric? Tourism recreation research 34(2), 191-196.
Schilcher, D. (2007). Growth versus equity: The continuum of Pro-poor tourism and Neoliberal Governance. Current issues in tourism 10 (2&3), 166-193.
UNWTO (2007). Tourism will contribute to solutions for global climate change and poverty challenges (press release 8 March, 2007). Berlin/Madrid: UNWTO press and communications department.
Hey Suz,
great article and topic. I actually wrote my blog about the same topic and went into the same direction you went. However, your focus is more on the political influences than mine. I totally agree that despite all criticism and also obvious downsides this topic is still faced with it is worth to pursuit. As you also indicate at the end of your article, that consumers themselves are the problem, I totally agree with that. Even if powerful stakeholders would really want to help the poor and let them gain most benefits, there is still the end consumer that is even more powerful. If we as individuals don’t change the whole approach cannot be implemented the way it is thought to.
Interesting, I read both of your articles that have the same topic (Suz and Mareike). Both papers are well structure and very good. Now regardless of the direction of your views, I think you agree in the point that the consumers play an important role in fair tourism. However, then stakeholders in the developed world should create new traveling options that are less greedy and less superficial. Its a Tourism for profit planet. Its about lifestyles, and people seem not to care about our global village, but just to fulfill their own ego. We all play a small role in this topic.
I agree, David, that it’s a “tourism for profit planet” as you say. And yes, consumers are very powerful. But because they are so powerful stakeholders cant just create new traveling options without being certain that the consumer will buy them. We don’t only play a small role in this topic as you say, but a rather big one I would say. The change which has to certainly be supported by education and awareness-making has to come from the individual. Unless the individual is willing to change something, stakeholders offering new products will fail if no one consumes them!
Hi Suz,
I like your analysis of tourism and its impacts on the poor. I wonder as well if its wise for governments to invest in tourism as a tool for poverty-alleviation when they could be channeling the same resources and skills in perhaps other methods to ‘get more bang for their buck’ in terms of development.
I think least-developed nations should be weary of aggressively pursing this approach, as it risks costing more than it benefits especially if they don’t have the adequate infrastructure, funds or know-how to effectively manage tourism. It would be interesting to analyze how governments make the policy decisions of utilizing tourism for development and if its made for the right reasons.
Thank you all for your interesting comments. I agree with you Alex that tourism isn’t always the best solution to fight poverty. I think it depends much on the destination if pro-poor tourism should be a focus or not. Some destinations have also other resources and possibilities to generate jobs. When a destination chooses pro-poor tourism as their focus, it should be taken into account that the destination is still dependent on the global players in the industry, like the air-travel industry.
And even when tourism initiatives are successful in bringing economic development to poorer countries, it can still increase inequalities due to disproportionate spread of the economic gains. I think this is where the government policies a tremendous difference. However, this is often hard to realise due to corruption issues. It’s a very complex topic. Commitment of all stakeholders seems essential to make pro-poor tourism initiatives successful and like we mostly all agree, it should start with the individual.
What an incredibly interesting and well written article and indeed what a “tremendous and complex problem”. Like you end your comment: it should all start with the individual. Let me give you an example of a special hotel that I managed in 2009/2010. It’s call Hotel con Corazon and it is a very much for profit non-for-profit hotel in Nicaragua: all profits generated with the hotel are invested in local educational projects. In that way we hope to contribute to the development of the local community: both by generating work for the Nicaraguans as well as helping children with their education via de educational projects. On a small scale this helps the staff that works in the hotel to have a job, it creates additional demand for local suppliers, it invest in local education and it brings tourists into contact with the locals. However this is on such a small scale that the major inequalities in the world are not diminished by such an initiative. Even if there would be one hotel like that in every major city in the poorer countries it would not make a significant impact on the reduction of the inequality in the world. That inequality has always existed and will always exist. Human culture is build upon inequality. As an individual you can contribute on a small scale and in that way make a (potentially) huge impact on the lifes of (an) individual(s).
Dear Freek, Many thanks for your interesting comment! What a great example and initiative, Hotel con Corazon. I am currently working on a similar initiative, development of community-based tourism in Huandar, a village near by Cusco, Peru. It is a very small scale but therefore feasible and high impact project that will at least help one village to increase their livelihood. Unfortunately, like this community there are many more in the area that don’t have the necessary skills and connections to increase their living standards. Nevertheless, they more or less live the same like they did hundred years ago and they are still able to sustain. They have their own president, committees, rules and way of organizing their lives. Even when policies would focus more on helping the poor, I think the distance between grass roots people and government remains in many cases to big, literally and figural speaking.
I might be off to Nicaragua later this year. If so, I will definitely bring a visit to Hotel con Corazon. Keep up the good work!