For many decision makers, economic factor are more influential than environmental factors in deciding how a particular natural resource should be used.
Potential economic benefits and costs of ecotoursim DIRECT BENEFITS Generates revenue and employment Provides economic opportunities for peripheral regions DIRECT COSTS Start-up expenses (acquisition of land, establishment of protected areas, superstructure, infrastructure) On-going expenses (maintenance of infrastructure, promotion, wages) INDIRECT BENEFITS High multiplier effect and indirect revenue and employment Simulation of mass tourism Supports cultural and heritage tourism Areas protected for ecotourism provide economic benefits INDIRECT COSTS Revenue uncertainties Revenue leakage due to imports and non-local participation Opportunity costs Damage to crops by wildlife
Direct benefits Generation of revenue and employment Ecotourism involves visitor expenditures and the creation of employment that is directly related to the sector. Provides economic opportunities for peripheral regions Nature tourism is one of the few service-sector activities that can stimulate sustainable development in peripheral regions
Indirect benefits High multiplier effect and indirect revenue and employment Indirect effects occur when, for example, a hotel uses tourist expenditures to purchase local food or pay its employees. Induced effects include the goods and services purchased locally by these employees with their hotel wages.
Indirect benefits Simulation of mass tourism Many mass tourists visit particular destinations because of the availability of diversionary wildlife-based attractions. Supports cultural and heritage tourism Ecotourism and cultural/heritage tourism are mutually supportive.
Indirect benefits Areas protected for ecotourism provide economic benefits Those benefits are: exploitation of biodiversity for pharmaceutical purposes Sustainable harvesting of seeds and other products Flood control Maintenance of water supplies
Direct costs Start-up expenses Include the purchase of land and establishment of infrastructure and services such as interpretation trails, visitor centers and parking facilities. On-going expenses include upkeep and maintenance of land and facilities.
Indirect costs Revenue uncertainties Those uncertainties are associated with inherent demand and supply side risks. (economic crisis, terrorism, diseases, natural disasters) Revenue leakage The magnitude of the multiplier effect is limited by the need to import various goods and services, which subsequently induces revenue leakage effect.
Indirect costs Opportunity costs - Income that is foregone by not using an area for a particular purpose Damage to crops by wildlife - indirect economic costs are realised when wildlife that is protected because of its ecotourism value causes damage to community assets such farmland and livestock.
SOCIO-CULTURAL IMPACTS Potential socio-cultural benefits and costs of ecotourism DIRECT AND INDIRECT BENEFITS Fosters community stability and wellbeing through economic benefits and local participation Aesthetic and Spiritual benefits and enjoyment for residents and tourists Accessible to a broad spectrum of the population DIRECT COSTS Cultural and social intrusion Imposes an elite alien value system Erosion of local control (foreign experts, in-migration of job seekers) Local inequalities and internecine disputes INDIRECT COSTS Potential for local resentment or antagonism Tourist opposition to aspects of local culture and lifestyle
Socio-cultural impacts Direct and indirect impacts Ecotourism revenue and employment fosters community stability and wellbeing, especially if these are accompanied by high degree of local control the ideal of alternative tourism. Soft ecotourism is accessible to anyone since it does not require special skills or equipment, can be relative inexpensive.
Socio-cultural impacts Direct costs Host societies cope with tourism by formally or informally differentiating between backstage space where local culture is retained for consumption within community and front stage space where a variation of local culture is provided for tourist consumption. Ecotourism incorporates peripheral areas into globalising world economy in which local control is inevitably eroded Ecotourism inevitably produces changes in a destination, and these can be negative if they involve the disruption of existing social relationships, as when a group is seen to derive too much benefit.
Socio-cultural impacts Indirect costs Local resentment towards ecotourism can occur in conjunction with resentment over the loss of homes and resources to protected areas or perceptions of inadequate compensation for these loses. Conflict and negative publicity can occur if there is incompatibility between local lifestyles and expectations and values of ecotourists. For example, hunting practices of local residents may horrify ecotourists with strong biocentric tendencies.
Literature: Weaver, D.: Ecotourism, John Wiley & Sons Australia, Milton, 2001.