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Glossary of Terms
Abbreviation BDT ARR CAGR DAC F&B M2 MICE OCC RevPAR BD USD NLRA Taka Average Room Rate Compound Annual Growth Rate Dhaka Food & Beverage Square Meters Meeting, Incentive, Conference and Exhibitions Occupancy Levels Revenue per available Room Bangladesh United States Dollars Non-Last Room Availability Description
Abdullah Al Mamun – ID 08515030
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh
Abdullah Al Mamun – ID 08515030
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh
During the post-Second World War era, tourism demand has rapidly increased and tourism has become a worldwide phenomenon. Not surprisingly, this postwar boom has drawn the attention of many developing countries, and tourism as one of the growing industries of the world economy has enticed many entrepreneurs and governments of various countries to invest in the tourism industry without proper planning and preparation (Cevat Tosun and Dallen J. Timothy, 2001). Tourism is not associated with aristocracy. Today even ordinary persons can afford. With the passage of time, the tourism has become almost a part of our normal life. In the background of its growing popularity, tourism has become a mass phenomenon. It has grown to such dimensions that we consider it an important industry. The promotion of tourism as an industry serves multi-pronged interest, e.g. protecting our arts and culture, preserving our cultural heritage, interaction of different religion, exchange of views, and generation of foreign exchange and so on. It is against this background that albeit global tourism organizations like World Tourism Organization Pacific Area Travel Association. International Union of Official Travel Organization etc. have been active in developing tourism as an industry. Particularly for the developing countries, the tourism industry is considered as a bonanza. The conceptual exposition appears essential to study other dimensions of tourism marketing. This Market Research report has been compiled using a variety of information using traditional research methodology and reports by the Bangladesh tourism board and interviews with a variety of professionals, whom will remain nameless, from a variety of Hotels within the region. The main function of this report is to provide investment information for any developer in the Bangladesh whom wishes to invest in the Hospitality industry and especially the lucrative five star hotel markets in Dhaka.
Abdullah Al Mamun – ID 08515030
Lecturer. University of Information Technology & Sciences assigned me to study market research on the Hospitality Industry in Bangladesh.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Although there is a general lack of transparency within the industry due to its increasingly competitive nature all information present is as accurate as I can possibly achieve and all supplementary methods have been utilized to check the accuracy of the figures. • To analyze and interpret the demand and supply of a particular product/organization in a practical life scenario. my respected supervisor Mr. not in other parts of Bangladesh. Abdullah Al Mamun – ID 08515030 Page 4 .3 Scopes The report deals with the hotels in Dhaka city only. So hotels and guest houses that claim themselves. 1.2 Objectives of the report The objectives behind this report are: • To understand the practical implications and use of the skills and techniques learnt in theories of Economics. The scope of the report is also restricted to the accommodation providers whose service is at least of a three star category. know about the market conditions and gain an overall view about the hotel industry in Dhaka. and are perceived by the people. School of Business. to be of that level have been dealt with in this report. Nazmul Hasan. It is very hard to decide in Dhaka which hotels are actually of three star and above category in true sense because there are no particular standards. 1. 1. • To find out the different factors that affect demand and supply.1 Origin of the report In order to fulfil the partial requirement of the MBA program.
5 Limitations In preparing this report certain limitations were faced: • The report is completely based on the information revealed by the representatives of the different hotels.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 1. 1. There might be some scopes for manipulation and therefore the validity and reliability of the information can not be guaranteed. Sheraton and Pan Pacific Sonargaon. newspapers. Abdullah Al Mamun – ID 08515030 Page 5 . Different journals. reports and websites acted as the secondary sources of data. The primary method included direct interviews with the Sales and Marketing and Revenue managers of the relevant hotels like Westin. Radisson. This information was simply assumed to be correct. • Due to inexperience in the field there might have been some problems in the interpretations and analysis done. It just gives a rough idea. The methods used in making the projections might have been too simple and may not be a true representation of the actual situation.4 Methodology Both primary and secondary methods of data collection have been used in collecting the necessary information about The Westin Dhaka and the other hotels in the industry. • No accurate data for future projections of demand and supply was available.
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Chapter 2 The Hospitality Industry Abdullah Al Mamun – ID 08515030 Page 6 .
etc. All these have made international travelling both necessary and easy. The growth rate just keeps increasing every year. but also in the luxury hotel category. With each passing day interdependence and interaction between the countries of the world are Abdullah Al Mamun – ID 08515030 Page 7 . On line corporate travel booking. With the advance in technology new systems have developed. In future this growth is expected to increase only further. the more will be the demand of hotels for those people to stay in. Few more new five star hotels – Hilton. Intercontinental Hotel. higher than those for many other industries. Now is an era of globalization. The growth certainly came late but it has started at least. are just some of the examples. to cater to the accommodation needs of the increasing number of people visiting Bangladesh for travel and business purposes. a substantial number of other hotels of and above the three star standard.The Westin Dhaka. One of the main reasons behind this growth of the hotel industry is the growth of the travel industry in Bangladesh. the then Intercontinental Hotel. An industry which started off with only one five star hotel. there has been a huge growth in the small hotel and guesthouse sector. now has four five star hotels. and numerous guest houses of good quality. are scheduled to open up in the near future. The more is the number of people visiting a country. The whole world is today being considered a global village..0 The Hospitality Industry in Bangladesh Hotel Industry is one of the most important and promising industries in Bangladesh. and it is not only going to be in the small hotel and guest house sector. e-ticketing. Pan Pacific Sonargaon Hotel and Dhaka Sheraton Hotel. having a high growth rate. e-business. Radisson Water Garden Hotel. global distribution system. The main target markets for the hotels are certainly the foreign visitors to a country. The international travel scenario has proven very favourable for the hotel industry for the last few years. starting from 2000/2001. Though much growth has not taken place in the five star categories (there are still only four of them). especially in the last 8/9 years. One industry with which the hotel industry is closely intertwined is the travel industry. online hotel booking. and Holiday Inn.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 2.
A complete table showing the total visitors to Dhaka since 1990. mean good news for the worldwide hotel industry. signs of a recovery are emerging after one of the most severe slumps in recent history. let us see what in particular brought about this growth over the years. and will continue to present a lot of opportunities and scopes for the travel and hospitality industry in Bangladesh just like it does for any other country. The scene is especially rosy in the Asia Pacific region with its emerging business markets. Iraq war. Between 2010 and 2012 the forecasted annual average international passenger growth will be about 6%. At present about 20 airlines are operating flights to Dhaka. In tune with the rest of the world. is given later under the industry demand section. from all quarters of the hotel industry. Besides. The AsiaPacific region had the maximum contribution to this growth with a 20. the liberalization of the air services access. But after those poor years the international travel condition has already started improving. Global recession and SWINE flu . especially by the Asian governments has also created new opportunities for the expansion of the travel industry. SARS.3% over last year. along with the projections for the next few years. But much of this growth was actually a recovery from the fall in the last couple of years. terrorism. Certainly this growth has presented. Some hotels in America.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh increasing. Bangladesh has also attained substantial growth in International arrivals for the last few years. Hong Kong. Often the aircrafts come full. Abdullah Al Mamun – ID 08515030 Page 8 Quite obviously all these . the travel and hotel industry in Bangladesh has been growing as well.5% visitor increase. but do not leave full. It is true that in the last few years the travel industry did have to face a hard time due to the 9/11 attacks. The visitors to Bangladesh can be classified under two broad types: Business travellers and tourists. In 2009 the international passenger traffic grew 15. Though very insignificant compared to the performance of other Asian countries like India or China. Consequently hotel occupancy dropped to its lowest level in the past 30 years. Along with that. Mexico and some other countries even had to wind up due to lack of customers. As for now.
the country received an income of Tk.frequent travelling of foreigners. mainly because of the political situation as there were caretaker government was in power. representing a growth of 23. reform measures for structural change and involving private sectors in various forms have improved the business travel scenario.6% in 2007 to about 6.3% in 2008. In 2008 the G. is making huge investment in the infrastructure development projects like construction of bridges. Bangladesh has been enjoying the focus of world business community as an alternative and safer investment window in Asia. the business travel sector has seen some substantial improvement and development in the last few years. Bangladesh economy is comparatively less exposed to foreign currency risk. roads and highways etc. the Government of Bangladesh.6% in 2007. 2759 million from tourism in 2004 which is Tk. In the tourism sector there has been growth as well.D. All these have resulted in one thing for sure . Apart from this.P of the country has increased from about 6. Setting up of the EPZs one after another certainly means more and more direct foreign investments Besides.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Of these two. lots of foreign investments are being channelled in oil and as exploration.4% in 2006 to about 6. helping to boost the hotel industry in Bangladesh. Visitors to Bangladesh comprise mainly of businessmen and other foreign officials.68%. Due to the various restrictions on the country’s foreign currency transactions. The economy has survived strongly against the global recession and currency turmoil in the recent past. 528. According to Bangladesh Parjatan Corporation (BPC). with assistance of different international donor agencies.P of the country has decreased from 6. The G. Bangladesh has been experiencing a steady growth in the foreign direct investment (FDI). power development. In a whole the economy is growing quite fast. At present. etc.D.4 million greater than the previous year. Abdullah Al Mamun – ID 08515030 Page 9 . After opening up of the economy and conduction of a fair election in 1990. some other factors like shift of policy towards more liberation of trade and commerce. culverts.
one of the CEOs of BPC. political turmoil. The number of students are also increasing showing that more and more people are getting interested and specialized in this area. The government has always lacked the proper planning and policies that could have helped this industry develop to its fullest potential. inefficiency of The Bangladesh Parjatan Corporation. Government is giving more importance than ever before to this industry and has accepted it as a thrust sector. research and development is on the way to promote BPC as a tourist facilitator.Bazar and Chittagong has already been given to the private sectors. and above all. Mahbub. and more so. when we consider the fact that Bangladesh has the potential of achieving much more. BPC is also planning to lease out 150 Abdullah Al Mamun – ID 08515030 Page 10 . More training. Especially after the removal of the quota system the government is keen to develop the tourism and hospitality industry as an alternative to the garments industry. Government is currently thinking of a number of steps to encourage more and more tourists to visit the country. as said by Dr. 2009 Most importantly.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh But this growth is still insignificant. But recently the government seems to have started thinking about this issue. Government is taking various steps to support BPC at policy making levels. the government is now realizing that proper development of the tourism and hospitality sector is not possible without the involvement of the private sector. lack of safety and security. the negative image of Bangladesh in the eyes of the rest of the world – these are just some of the many reasons which are hampering the proper development of tourism in Bangladesh." Civil Aviation and Tourism Minister GM Qader told a view-exchange meeting at a city hotel on May 27. "The government in principle agreed to formulate a time-befitting Tourism Board Act and we want to enact such an act with the opinions of all stakeholders which will be acceptable to all and help promote the tourism sector. Lack of proper presentation and maintenance of tourist spots. Bangladesh Parjatan owned institute NHTTI (National hotel and tourism training institute) is improving day by day with affiliations with similar foreign institutes. Development of beaches in Coxs.
It’s a key market to be in. the present and future situation of the hotel industry in Bangladesh can be best summarized by a quotation of Ian R. In conclusion.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh acres of its land to the private sector for the development of various types of tourism facilities like amusement parks. There is a lot of potential in this region. Bangladesh has a lot of potential in tourism and hotel industry.” Abdullah Al Mamun – ID 08515030 Page 11 . Radisson Water Garden Hotel. golf course. There is an incredible amount of history here. especially the four premier propertiesThe Westin Dhaka. barrow said. etc. “South Asia will be the area of growth within the next 15-20 years. Pan Pacific Sonargaon Hotel and Dhaka Sheraton so that they can offer more reasonable and competitive prices. The government is also thinking of forming a NTB (National Tourism Board) which will contain representatives from both government and private sectors. former General Manager of Radisson Water Garden Hotel. a lot of key developments are taking place. If the government is actually able to carry out these plans then the future of the hotel industry in Bangladesh will certainly be much brighter. Bangladesh’s economy is also growing very fast. It is also considering reducing the tax burden on the hotels. the government is also thinking of easing the visa system and of introducing the system of visa on arrival for visitors. Besides.. Barrow. and most importantly international standard accommodation facilities. swimming pools. Explaining the reason for Radisson’s coming to Bangladesh.
concerns over climate change bringing travel restrictions in Europe. would they be able to retain the image of luxury and exclusivity so critical in attracting premium rate customers? Another key challenge is whether the region will be able to attract and develop a sufficiently skilled pool of human resources to service these developments. Whilst ‘Plan A’ is focused on an assumption of continued growth.1 Overcapacity and Resourcing The sheer scale of the newly announced developments coupled with those already underway raises the issue of whether the region is facing the risk of overcapacity.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 2. where will the human resource come from? Failure to attract sufficiently qualified staff could lead to service failures which would have a detrimental impact on the brand image of those properties.g. However. With occupancy levels running at over 70% and record revenues of US $145 per night in the first quarter of 2009 in Dhaka it is easy to see the motivation to construct further properties in the region. Abdullah Al Mamun – ID 08515030 Page 12 . security worries and pressure on business costs driving down travel budgets. With Middle East economies on the rise. the operators need to think clearly about ‘Plan B’ – e. what happens if they cannot attract the premium price customers at whom they are targeting the majority of developments? Would they be forced to lower prices and target a broader audience? If so. a number of external factors could serve to depress demand such as a possible recession in the US and Europe (currently happening).
whenever possible. while 38% said they had already stayed at an environmentally-friendly property. and 9% would specifically seek out environmentally-friendly establishments. certification and improvement system for sustainable travel and tourism’ . power.endorsed by 182 Heads of State at the United Nations Rio de Janeiro Earth Summit in 1992. they will seek ‘standards’ to rely on as guides to the most sustainable hotels to stay in – such as the Green Globe model – a ‘global benchmarking. operators and Local Authorities across the country are beginning to respond to the perception that travellers are becoming more concerned about the impact their vacations and visits are having on the environments they travel to. To stay at an environmentally-friendly hotel 34% said they would pay more money. Nearly 25% believe that air travel should be avoided.000 travellers worldwide found 40% consider environmentally-friendly tourism when making travel plans. Abdullah Al Mamun – ID 08515030 Page 13 . while 38% said would pay more to take an ecofriendly flight and 26% would pay a 5-10% premium. water and sustainability could have a potentially dramatic impact on the success of existing and recently announced hotel projects in the country hence the introduction of LEED (Leadership in Energy and Environmental Design) accreditation in Dhaka. As travellers become more alert to these issues. to help preserve the environment. 66% say environment friendly measures in travel are making a difference. An April 2007 Trip Advisor survey of over 1. Recent environmental issues raised in the region about waste.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 2.2 Rising Ecological and Environmental Concerns and the Growing Regional Response Developers.
Today. and 12% would pay a 10-20% premium. in 1972. "It is a wake-up call for all sectors of the travel industry to provide more green options". After liberation. many travellers do care about the environment and are willing to pay for it. Increasingly broad assessments will be made of the ‘whole life environmental footprint’ of the sector – for example considering every aspect of a hotel’s construction.Hotel Intercontinental. the Ministry Of Civil Aviation and Tourism of the government of Bangladesh maintains authority over the Dhaka Sheraton Hotel through Bangladesh Services Limited and Starwood Hotels and Resorts handles the management.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh When asked to specify how much they extra they would be prepared to pay for 'green' accommodation. A number of encouraging developments are now underway suggesting the region is paying more attention to environmental concerns. there was only one five star hotel in East Pakistan. the Bangladesh Govt. Sheraton’s prime competitor Pan Pacific Sonargaon Hotel (PPSH) entered the industry in 1982 with operations in full swing and with Japanese management company Tokyo Hotel International running the management of the hotel on profit sharing basis. planet polluting energy wastrels that they are often portrayed. adjacent to the diplomatic enclave and Abdullah Al Mamun – ID 08515030 Page 14 . Tokyo Hotels International will continue in managing the hotel until 2005. European communications manager for Tripadvisor says "This survey shows that far from being irresponsible. which had opened in 1966. Then in 2006 the newest five star hotel Radisson Water Garden Hotel entered the industry. waste and emissions. 25% said they would pay a 5-10% premium. took over its ownership.3 Industry Supply Scenario Before the liberation of Bangladesh.". by Presidential Order of 1972. resource usage. 2. located on the airport road. Ian Rumgay.
other hotels entered the industry. all with more or less three star facilities. Hotel Sunderban. music. Though many of them claim themselves to be a hotel. Westin guests stay in shape at Westin WORKOUT ® Powered by Reebok™. Each hotel offers renewing experiences that inspire guests to be at their best. Best Western La Vinci. And finally in 2007 the newest true five star hotel The Westin Dhaka entered the industry.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh upcoming blue chip commercial hub of Gulshan. First impressions at any Westin are fueled by signature sensory experiences of light.. These include Hotel Purbani. they better be called guest houses as they do not follow many of the regulations and requirements of a hotel. especially in the Gulshan and Banani area. cheaper accommodation. Baridhara & Banani and just 5km from the main international airport. and managed by Carlson Hotels and Resorts. But anyways. Basically the accommodation facilities in Dhaka can be classified into three broad categories: Abdullah Al Mamun – ID 08515030 Page 15 . But none of them were of the five star category. and more recently. In this way they are luring away a good number of the total visitors to Dhaka. The Westin Dhaka is a lifestyle brand competing in the upper upscale sector in nearly 30 countries around the globe. With the lapse of time. Hotel Orchard Plaza. and a couple more. and a convenient location. Royal Park. Grand Azad Hotel. in the last 7/8 years numerous guest houses have also sprang up. white tea scent and botanicals. Therefore. Westin revolutionized the industry with its famous Heavenly Bed ® and Heavenly Bath ® and launched a multi-million dollar retail program featuring these products. Westin is the first global brand to offer inroom spa treatments at every hotel and the first to go smoke-free in North America. Lake Shore. many of them do provide good facilities and services just like a 3 or 4 star hotel. The owning company is Shena Hotel Development Ltd. Besides. Hotel Lake Castle. Hotel Razmoni Ishakha. Hotel Sarina. they should also come in the list of good quality accommodation providers.
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh • • • Luxury Hotels ( five or four stars) Small hotels known as limited facility or boutique hotels Guest Houses As it has been mentioned before. Not only new hotels are opening up but existing ones like Sheraton and Sunderban have expanded their capacities. According to hotel experts the natural growth rate of the hotel industry is about at least 10% per year. If the guest houses are considered then the growth rate will be about 20-25%. The ‘others’ category in the chart represents other small hotels and guest houses. on an average) Total rooms available 1995 304 233 180 64 2000 304 233 180 120 51 107 2005 304 288 180 160 51 107 90 60 60 2006 304 288 180 160 51 107 90 60 60 204 2007 304 288 180 160 51 107 90 60 60 204 200 235 2400 (10×45)= 450 1231 (25×40)= 1000 1995 (60×40) (50×40)= =2400 2000 3300 3904 4339 Table: 2. having about 45 rooms each. and it can be considered that on an average each of them has about 40/50 rooms. there has been huge growth in the accommodation sector in the last few years. starting from 1995 (Considering the major hotels and Guest Houses).1 Abdullah Al Mamun – ID 08515030 Page 16 . The chart shows the rough increase in the number of rooms that has taken place in each five year interval. Total Rooms available in the Hotel in Dhaka Name of the Hotel Pan Pacific Sonargaon Hotel Dhaka Sheraton Hotel Hotel Purbani Hotel Sunderban Best Western La Vinci Grand Azad Hotel Hotel Sarina Hotel Lake Shore Royal Park Radisson Water garden Hotel Dhaka Regency The Westin Dhaka Others(Other small hotels and guest houses. Every street in Gulshan and Banani now has more than one of it.
2. and there are just too many of them. but their exact opening years are hard to specify. Abdullah Al Mamun – ID 08515030 Page 17 .Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh The graph below shows the increasing trend in the number of rooms available in the industry over each interval of five years. There has been constant opening of other small hotels and guest houses. In particular. indicating that the industry supply is increasing at an increasing rate.2 It can be easily seen from the graph that the increase in the time period 20002007 is much higher than that in the period 1995-2000. these are just some of the major ones. Obviously. Grand Azad Hotel opened in 1999. Trend in the number of rooms available 5000 4500 4000 3500 3000 2500 2000 1500 1000 500 0 Years Total number of rooms available 1 1995 1231 2 2000 1995 3 2005 3300 4 2006 3904 5 2007 4339 Years Total number of rooms available Fig. Hotel Lake Shore in 2003 and Dhaka Regency in 2007. Royal Park and Hotel Sarina in 2002.
and Oberoi Hotel etc.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh A rough estimation of the number of room nights available for the last five years is as follows: Number of room nights available Years 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Number of Rooms Number of Room Nights 1995 728175 2195 801175 2515 917975 2805 1023825 3100 1131500 3300 1204500 3904 1424960 4339 1583735 4450 1624250 4600 1679000 Table: 2. Among these were. Royal Park etc. Even if hotels like Regency. Central Sheltech Hotel. Though many of them claim themselves to be three or four stars. Airport Hotel. Anyways the services are good enough to satisfy customers. Abdullah Al Mamun – ID 08515030 Page 18 . the star quality hotel rooms in Dhaka are in short supply. Holiday Inn. Radisson. all others abandoned the idea and backed out. In the past years. Westin Dhaka. whether they are three stars or not. Pan Pacific Sonargaon and Sheraton still remain the only four hotels in this category. But the industry supply is expected to improve vastly in both quality and quantity as two new hotels are scheduled to open within the next four to five years. Grand Azad. except Radisson Water Garden Hotel and The Westin Dhaka. Hyatt Regency Hotel. are considered to be three/four stars. Hilton Hotel. Specifically in the five star sector there has been no growth at all and Westin.3 One thing to note at this point is that much of the growth that has been discussed so far is the contribution of small hotels and guest houses. The entire Dhaka is offering only about 1200 rooms of international standard. Sarina. Lake Shore. there were talks about building hotels in private sector. Unfortunately. it is very hard to specify which ones actually are of that category.
Number of rooms and room nights from 2005-2009 Year 2005 2006 2007 2008 2009 Number of rooms Number of room nights 3300 1204500 3904 1424960 4339 1583735 4450 1624250 4600 1679000 Table: 2. Once these two hotels start operating they will take the accommodation standards in Dhaka to new heights and add about 700 rooms in total to the industry supply. the supply of room nights can be found. Though it can’t be said with certainty when these hotels will exactly start operating. Not all are of equal standard and ultimately only the fittest will survive. the potential owners of guest houses are watching out for the forthcoming hotels and how they will affect the guest house and boutique hotel industry. there are already too many of them and are all competing among themselves for business. There are basically two reasons for that. So considering the growth of guest houses about 3 per year (5/6%). Holiday Inn is supposed to have 300 guest rooms while the Intercontinental is supposed to add a huge 396 to the lot. the growth rate is slower at present (5/6%) than it has been over the past few years and it is expected to be so in the immediate future. Secondly. It is shown in the following chart. Firstly.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Holiday Inn and Intercontinental Dhaka are two other international standard hotels which are currently under construction. and the entry of the two new hotels mentioned above. As far as guest houses and small hotels are concerned. perhaps it is not going to be before 2012/2013 according to industry experts. each with a capacity of about 40 rooms.4 Abdullah Al Mamun – ID 08515030 Page 19 .
this report treats the foreign travellers as the only market. In the year 2003 the increase was about 17%.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 2. The business and tourist arrival growth over the past five years has been about 10% per year on an average. In most cases they will have other stay options like a relative’s or friend’s house. Obviously Dhaka also has a plenty of visitors from other cities within the country. It is expected that the growth will continue to increase at a rate of about 15% in this decade according to Bangladesh Parjatan Corporation’s sources.4 Industry Demand Scenario In the industry overview section it has been mentioned that the number of foreign travellers arriving in Bangladesh has been increasing substantially over the last few years and is expected to do so even at a higher rate in the future. The foreign travellers act as the main target market for the hotel industry and an increase there means a growth in the demand for the hotel industry. The following table shows the number of foreign visitors arriving in Dhaka since 2003: Number of foreign visitors Year 2003 2004 2005 2006 2007 2008 Number of Foreign visitors 120782 128064 116389 113242 110475 126785 Abdullah Al Mamun – ID 08515030 Page 20 . in calculating the demand for the accommodation facilities in Dhaka. etc. coming for both business and plain visiting purposes. But the number of them staying in hotels is quite insignificant compared to the foreign visitors. Dhaka being the capital of the city and the centre of all facilities and business activities certainly is the destination of most of the visitors coming to Bangladesh. Statistics show that most of them will prefer staying in an economic hotel or guest house. So. company owned guest houses. Even those with no other options will rarely consider staying in a five star or luxury category hotel.
But in the last half of 2004 two incidents changed the scenario. But the majority of them will certainly stay in hotels or some good quality guest houses. contrary to its general increasing trend. First of all there was the flood.5 The increasing trend in the number of foreign arrivals can be clearly seen in the following graph. acquaintances etc.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Table: 2. The political unrest in the country following August 21 bomb attack in Awami League meeting had hit the Abdullah Al Mamun – ID 08515030 Page 21 . – 2. The second reason was even more serious.6 With this increasing number of tourists the demand for rooms for these people to stay in has certainly increased as well. Actually the predicted increase that year was even higher than the 17% of last year. It is true that not all of these people will stay over at night and may leave the same day. Trend in the number of foreign visitors arrivals 140000 120000 100000 80000 60000 40000 20000 0 Num ber of Foreign visitors Year Number of Foreign visitors Year 1 2 3 4 5 6 120782 128064 116389 113242 110475 126785 2003 2004 2005 2006 2007 2008 Fig. It can be noticed from the graph and chart that the number of arrivals in Dhaka actually had a fall in 2005. Also some of them may have other accommodation arrangements like company owned guest houses or the houses of some friends.
October and November are the strongest among the twelve months. Sonargaon and Sheraton are not falling much as well. January. But the good thing is that the occupancy rates of Westin. Global recession and SWINE flu. indicating that the market is growing fast and that they are being able to retain their share of the market. In Particular June. Then again last few years the travel industry did have to face a hard time due to the 1/11 situation. February. The supply has been increasing along with the demand. terrorism. SARS. Consequently hotel occupancy dropped to its lowest level in the past 30 years But Bangladesh has achieved significant growth both in the number of tourist arrivals and the amount of income from them during the first quarter (JanuaryMarch) of the current year (2009). nothing significant has happened to affect the occupancy of the hotels substantially for the last few years.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh struggling travel industry of the country hard. Why is then the occupancy not increasing? The answer lies in the ever increasing number of boutique hotels and guest houses. June. August including September is the low (soft) period of the year.772 against the total of 32. Radisson. 2. The first Abdullah Al Mamun – ID 08515030 Page 22 . A question might arise here. The number of visitors has been increasing.470 during the corresponding period last year. Room occupancy rate in five star hotels like Sonargaon. Except for the 1/11 incident. Iraq war. A large number of tourists shied away from visiting Bangladesh as they felt insecure here due to the latest violence sparking off political uncertainty. In fact supply is still much in excess of demand as certainly none of the hotels have 100% occupancy. The average occupancy rates of the hotels have remained quite constant over the years. Occupancy also varies at the Ramadan as it follows the lunar calendar. July and August remains weak historically. due to the rainy season associated with periodical floods. Sheraton and other private hotels went down drastically following the August 21 bomb attack. April.5 Hotel season in Dhaka Five star hotel market of Dhaka is historically buoyant in November in terms of occupancy and ADR. According to the statistics available from Bangladesh Parjatan Corporation (BPC) the total number of tourist arrivals into the country during the first three months of the year was 43.
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh
half of the December is very active and vibrant but afterward businesses slow down in sluggish mood.
Abdullah Al Mamun – ID 08515030
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh
2.6 Pricing Structure in the Hotel industry
• • • Hotel market in Dhaka has no integration on pricing. Hotels offer preferred corporate rates to clients based on their annual business volume production. Preferred corporate rates in this market are based on non-last room availability, a price that is common in Dhaka corporate hotels.
However most of the corporate customers are not singing the contracts on NLRA basis even though hotels are trying hard to enforce this contract system.
2.7 Five star Hotels SWOT analysis
2.7.1 DHAKA SHERATON:
Strength: • • • • • • • • Well known brand hotel. Newly built meeting venue to accommodate any of the guest needs Long experienced service system. Located at cities most VIP area. Dedicated and experienced associates Spacious meeting places including pre function areas. Well secured. Choice of restaurants 3 and bars 1 and close to government secretaries
Weakness: • • • • • Very old interior of the lobby. Poor renovation of large function halls. Old property, which made its customers monotonous One hour drive from the airport. Outside damage. Air, Sound pollution.
Opportunities: • • • For becoming an old property they can play with price. By renovating the property with modern technology Sheraton again can comeback. Starwood Preferred Planner guest loyalty program
Abdullah Al Mamun – ID 08515030
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh
Growing up MICE business at Dhaka. Prestigious brand to local people Near to the financial district. • Massive renovation work in Pan Pacific Sonargaon. Threats: • • • • • Traffic congestion Presence of Radisson water garden hotel and Westin, renovation of the hotel Pan-pacific Sonargaon Relocation of Business hub SPG loosing due to The Westin Dhaka. New Sonargaon Hotel after renovation.
• • •
2.7.2 RADISSON WATER GARDEN HOTEL
Strength: • • • • • • • Globally known brand new hotel, beautiful location. Dedicated entry to the ballroom Very close to the airport and business zone Free from traffic congestion. Extensive meeting facilities with two big ball rooms Choice of five food and beverage outlet. Beautiful landscape
Weakness: • • • Away from city center, thus guest needs to travel long on the busy road to reach to the workplace. Transportation facility is not good or limited for all types of guests. Inadequate suites to accommodate high profile delegation.
Opportunities: • • • • • Growing market. Growing up MICE business in Dhaka. Guest demand for new property new location Good safety security as owned by army Guest preference to stay near to airport
Threats: • • • Small hotels, convention centre nearby location Starwood preferred guest loyalty program Opening of the Westin Dhaka
Abdullah Al Mamun – ID 08515030
Starwood Preferred guest loyalty program Guest demand for new banquet venue Rate dilution with the opening of the Westin Dhaka to hold market share Abdullah Al Mamun – ID 08515030 Page 26 .Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh • • Strong competitors from nearby The Westin Dhaka. Strong relationship with government official. Lake shore. BGMEA and other business houses. Rate dilution with the opening of the Westin Dhaka to hold market share. World class renovation Closer to Petro-Bangla. Spacious Lobby New equipments Dedicated entry Good relationship with government Newly built recreational facilities. • Threats: • • • • Strong competition from other hotels.3 PAN PACIFIC SONARGAON HOTEL Strength: • • • • • • • • Strong support by Japanese guests. as Dhaka Sheraton. Sarina. Car Parking for 450 cars Renovated meeting rooms. Westin and Radisson Water Garden hotel.7. average age of staff is 45 years One hour drive from airport Opportunities: • • • Growing up MICE business in Dhaka. 2. Weakness: • • • Traffic congestion 25 years old employee.
Opportunities: • • • • • • • • Our competitors may be slow to adopt new technologies Starwood Preferred Planner There is opportunity to develop new style of catering service. Will stop unwanted person to enter for not having direct entry.4 THE WESTIN DHAKA Strength: • • • Westin is a new hotel with strong brand name. Growing MICE business at Dhaka. foreign missions and multinational companies. • • • • • • • • Weakness: • • • • • • • • Service experience Limited Car parking facility Less space at lobby Pillar’s inside the ballroom Entry of the function halls Small Pre function area.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 2. Unique meeting rooms. Located in the business area Impressive atmosphere of the ballroom with discreet high-tech installations. for being near to many big office it should be easier make them our client Guest demand for a new hotel Threats: • Three five star hotels nearby with different dimensional meeting facilities. VIP room. Has a reputation for world class service Location . Vertical building less space. such as LED lighting which changes colours and an integrated control panel Variety of setup options with new equipments Service culture of the Westin Brand Reservation system Less turbulence during political agitation. Near to airport New business hub Near to Embassies.7. Abdullah Al Mamun – ID 08515030 Page 27 .
Holiday Inn.3 PROSPECTS OF TOURISM INDUSTRY IN BANGLADESH Abdullah Al Mamun – ID 08515030 Page 28 .Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh • • Competition is increasing almost daily. convention centre at nearby location. with new entrants coming into the market as Regency international. Chapter . Many small hotels. Hilton.
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 3. The best period to visit Bangladesh is from November to March when a temperature ranges from 13. the world's largest mangrove forest and the habitat of the Royal Bengal tiger. 3. The hill districts are situated in the eastern fringes of the country reaching an average elevation of 660 meters. the United States. a new but minor source of foreign exchange earning. criss-crossed by the world's three mighty river systems. Annual rainfall ranges from 160 to 200 cm. In the south are the Sundarbans. Britain. The slopes and valleys are covered with virgin forests that are home to numerous flora and fauna.2 Tourism potential of Bangladesh Bangladesh is located conveniently on the east-west air-corridor making it a gateway to the Far East. some Tk 44. The climate of Bangladesh is sub-tropical with a hot and humid summer and a cool and dry winter. The land mass of Bangladesh is home to 120 million people.000 visitors per year. increasing numbers of tourists have visited Bangladesh.1 Tourism Despite its poor-country status. According to the Bangladesh Parjaton Corporation (Bangladesh Tourism Corporation).50 C. Tourism in the early 1990s amounted to some 49. west and north. and Japan-visited Bangladesh.6 million in foreign exchange was earned in 1986 from the tourism industry. It is endowed with resources and the potential for a Abdullah Al Mamun – ID 08515030 Page 29 .0 Introduction Bangladesh is situated on the north-eastern side of the South Asian subcontinent and is bordered by India in the east. namely the Padma.50 C to 26. the Jamuna and the Meghna and their innumerable tributaries. but by 2006more than 129. by a small part of Myanmar in the south-east and by the Bay of Bengal in the south. Bangladesh is mainly a flat alluvial plain. 3.000 tourists--mostly from India.
India is the top tourist generating country for Abdullah Al Mamun – ID 08515030 Page 30 . since its independence in 1971 following a devastating war of liberation. Bangladesh has gotten publicity about negative incidents like natural calamities. there has been encouraging annual growth in international tourist arrivals. mosques and temples. The Tea District of Sylhet in the far north-east of the country has prospects of tourism. The trend appears to have continued in recent years. Tour operators of the country are expected to intensify their efforts to bring in more groups and package tours. For three consecutive years up to 2006. as does the Sundarbans. the country has already begun development of a second sea resort at Kuakata. Shrines and holy places. In the south-east the country has a 120 km long beach of soft silvery sand. a half-day trip from the Sundarbans.km body of crystal clear water lying in sylvan shadows not far from where a dozen hill tribes follow their traditional life-styles. As shown in annex table 2 which shows the nationality of tourist arrivals. in the international media. It is expected that the growth rate would further increase in the coming years. The ranges of the hills clad in lush green thickets are treasured locations for eco-tourists and wildlife watchers. In order to develop tourist products. perhaps the world's longest. in a Riviera-like setting with crescentshaped low hills overlooking the Bay of Bengal. and this adversely affected international tourist flows to the country. particularly in the northern part of the country.3 General trends in inbound tourism Unfortunately. a large mangrove forest in the South which is home of the Bengal tiger.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh tourism industry. a 840 sq. 3. It is also expected that eco-tourists and special interest tourists will increasingly choose Bangladesh as one of their destinations. Statistics showing foreign tourist arrivals for ten years to July 2006 is presented in annex table 1. cyclones. remains of palaces of old principalities and archaeological sites of Buddhist monasteries. At the head of this terrain is Cox's Bazaar which is as romantic as its name is to the outside world. The Hill Districts to the north and north-east of Cox's Bazaar nestle the Kaptai and Rangamati lakes. are among the tourist treasures of Bangladesh. floods and epidemics.
12 2006 11341 8549 7791 12707 11209 11083 10951 7918 5872 8363 8434 9115 113242 -2.44 2008 13616 10758 8096 9144 10084 9729 10206 9231 7861 11491 11631 14938 126785 14. The amount might seem rather small. The annual growth rate over the last three years is noteworthy.76 Abdullah Al Mamun – ID 08515030 Page 31 .02 2005 13253 9458 10868 8920 10602 9096 9028 8752 8700 9385 7583 9534 116389 -9.70 2007 11179 8926 8280 7671 7701 8890 8815 10013 8627 10971 9641 9761 110475 -2. Though tourism has not assumed a significant role in the national economy yet. closely followed by United Kingdom and the United States of America. 3.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Bangladesh. Bangladesh monthly foreign tourist’s arrival from 2003-2008 Month January February March April May June July August September October November December Total Percentage change over previous year 2003 11972 8961 10091 9403 9940 11125 9758 10135 6429 9880 11057 12031 120782 2004 14521 12196 10720 9904 11106 10934 9645 7451 8816 10142 10091 12539 128064 6. Annex table 3 shows foreign exchange earnings from tourists and other travellers. it is hoped that tourism shall grow to contribute significantly to the national economy in the future. France and the Scandinavian countries appear to be positive.4 Foreign exchange earnings from tourism When considering foreign exchange earnings from tourism or tourism receipts. Trends for in bound tourism from traditional tourist market areas like Germany. Bangladesh can count on a "favoured nation" status with respect to tourist arrivals from Japan.
5 General policy and priorities of tourism policy The Government has recognized the importance of the tourism industry and declared the National Tourism Policy of Bangladesh in February 1992.61 2007 535 546 478 487 671 619 554 666 506 712 694 1124 7594 27. tourism shall be considered as an industry of due priority and this will be appropriately reflected in the annual five-year plans and development partners shall be apprised of this accordingly. Bangladesh Parjatan Corporation.1 Bangladesh foreign exchange earnings for tourists and other travelers 2004-2008 (Hundred thousand taka) Month January February March April May June July August September October November December Total Percentage change over previous year 2004 233 188 320 299 208 171 389 226 403 303 322 253 3315 2005 423 305 455 176 356 302 96 197 85 274 335 287 3291 .6 Tourism planning Abdullah Al Mamun – ID 08515030 Page 32 . PTS Division (statistics) Table – 3. In addition. Bangladesh Parjatan Corporation.0. 3.2 3. The Policy declared that it is possible to change the socio-economic 13 condition of the country through the development of its tourism resources.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Source: special branch.73 2006 458 744 700 425 523 359 375 491 445 398 516 510 5944 80.76 2008 667 693 697 654 667 773 682 1142 968 1006 1002 600 9552 25. PTS Division (statistics) Table – 3.78 Source: special branch.
The national development planning process has a Planning Commission at its head. approval and allocation. Development projects are initiated at the level of agencies. They are then channelled upward through the relevant ministries into the appropriate divisions and sections of the Planning Commission. The development planning of the country is done by annual development programmes (ADP) within a broader Five-Year-Development-Plan (FYP). 3. The administrative ministries concerned are authorized to approve (under recommendation to the Plan Commission) projects involving costs at a designated level. The nature of development planning in this sector. the Ministry of Civil Aviation and Tourism was created and brought three agencies together in the Ministry. For example. a district authority or even a local government institution. Projects involving costs beyond that level are recommended to the Planning Commission for consideration. means that various agencies and several ministries may be involved. infrastructure development like roads and highways may come within the purview of the National Department of Roads and Highways. Bangladesh Parjatan (Tourism) Corporation (BPC). Monitoring implementation of individual projects is also the responsibility of an organ of the Planning Commission.7 Specialized agencies for tourism development The state corporation. namely BPC. departments.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Tourism planning has remained largely a state-sector responsibility. the national flag carrier Biman and the Civil Aviation Authority. while concerned ministries oversee matters mainly through monthly ADP review meetings. Somewhat later. was established in 1973 and tourism has mostly been the subject of this state body ever since. local government bodies. divisions. while in certain cases such responsibility may devolve to a local body. Tourism development planning conforms to the national planning process. however. A process to Abdullah Al Mamun – ID 08515030 Page 33 .
Given the fact that tourism is so diverse and multi-dimensional. the National Tourism Policy of 1992 states that a multidimensional industry as tourism in its developmental activities at tourist spots and centers will involve programmes of work of various ministries and. With that end in view. because we want to develop this resort in a sustainable way. In order to implement the tourism policy. Cox's Bazaar Resort is among our major preoccupations. However. therefore. We are encouraged to develop the tourism resources of the Sundarbans. in view of the time that has passed since adopting the Strategic Master plan. 3. this industry will have to be developed by overcoming governmental dilatory processes through effective coordination at the highest level. Abdullah Al Mamun – ID 08515030 Page 34 . an Inter-ministerial Coordination and Implementation Committee has been formed with the Secretary of the Ministry of Civil Aviation and Tourism as the convenor.8 Tourism master planning Since 1988. Another priority is Kuakata.the second resort area of the country. Recommendations of the Master plan are now taken into consideration for preparing and implementation of individual projects. a National Tourism Council has been formed with the Prime Minister as the head of the Council and other relevant ministries participating. Projects for development and conservation of our archaeological sites are no less important for development of educational and cultural tourism. a review in order to update relevant matters is now under consideration. 3.9 Major tourism projects We tend to put major emphasis on certain tourist areas rather than individual projects.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh integrate tourism planning development through the Ministry of Civil Aviation and Tourism is already in place. the Government accepted and launched a Strategic Master plan for Tourism developed by the World Tourism Organization (WTO) in consultancy with MIS Pannel Kerr and Associates of the United Kingdom with UNDP funding.
white Chin Khyang. The island is dotted here and there with forested hills with the ancient Adinath Temple in its Abdullah Al Mamun – ID 08515030 Page 35 . Buddhist locality Red Chin Khyang. some 30 km. The sea side tourist township of Bangladesh boasting the world’s longest (120 km. And then for the time being the name was changed to Cox’s bazar.1 Cox’s Bazar Ancient name of Cox’s bazar was Bakolia. Himchhari A beauty spot in the solitude of the sea and the hills. Ramu is 15 km. Moheskhali An island in the Bay in the north wetern direction off Cox’s Bazar. from Cox’s Bazar. Inani is a quiet tourist hideout set out in the exuberance of nature. Kantajee 3. south-east from Cox’s Bazar along the beach. tample. rubber gardens. Ramu A small buddhist village. etc.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Other projects are Saint Martin’s island. Attraction include ancient Buddhist tample. Spots of Cox’s Bazar Inani Lovesome patches of beaches perched between the sea and the hills behind. Then the government of east india company appointed captain Hiram Cox as a superintendent. Part of the way on donkey or elephant back and the remainder afoot would be a rewarding memory. Burmese king Mon Waing attact cox’s bazaar in1784. down south along the sea-front from Cox’s Bazar.) beach sloping gently down into the blue water of the Bay of Bengal. Sonargoan. About 4 and a half km. Paharpor etc.9. Cox’s Bazar is one of the most attractive tourist spots of the country. Burdorban.
Abdullah Al Mamun – ID 08515030 Page 36 .Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh midst Fishermen’s villages and the Rakhyne villages are great attractions of the island. Sonadia This is a maiden island of Cox’s Bazar across the Bay. dry fish processing and colonies of the red sea crabs are attractions of the island. Under the wide open blue sky fishing community.
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Cox’s Bazar Tourist Map Abdullah Al Mamun – ID 08515030 Page 37 .
nature left to nature is the up and coming tourist hamlet of Kuakata with cool and kind holidaying kiss. Rising from the sea and setting into it of the crimson sun in a clam environment. Migratory birds in the winter season. the lowland lass of latachapli in the sea-facing south of Bangladesh is 70 km. Fascinating still more is the sight of the sun at dawn rising from the depths of the sea and sinking into the same at dusk which can be glanced from the same point. Fascinating name Kua(well). Fairs and festivals during ‘Rush Purnima’ and ‘Maghi Purnima’.2 Kuakata Kuakata. Unique customs and costumes of the ‘Rakhyne’ community. Here on the Bay. A fabled curative quality of well-waters of Kuakata is still a matter of “willing suspension of disbelief”. Abdullah Al Mamun – ID 08515030 Page 38 .9.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 3. Kata(dug) was perhaps given to it by the earliest Rakhyne settlers from kingdom of Arakan who landmarked the place by digging a well. Tourist attractions • • • • • • The long wide beach in typical nature setting. from the capital City Dhaka. Ancient Buddhist temple and the largest Buddha statue of Bangladesh. from Patuakhali District Headquarters and 320 km.
9.85 sq.1756. in the south is the Bay of Bengal and to the north there is sharp interface with intensively cultivated land.3 Sundarban The Sundarban is the largest mangrove forest of the world. the water-bodies and mangroves together support an eco-system at once unique and agile develop the Sundarban into a treasuretrove of biodiversity. River. In the east it is bordered by the Baleshwar river. Location Sundarban is situated in the south-west corners of Bangladesh. km. Criss-crossing and canals creeping around ten thousand islets swell and sink with the tide in the bay. The cluster of isles.km.00 sq. Forest-4016. Western borderline of the Sundarban abuts with the Indian portion of it. Area • • • Total area.5772. km. Canals and Channels.85 sq.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 3. Abdullah Al Mamun – ID 08515030 Page 39 .
It is the world’s largest mangrove formation on the Bay of Bengal.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Attractions The attractions of the Sundarbans are varied and many. barking deer. Wild unspoiled and unpolluted beaches are scattered here and there along the borderline of the Bay. Kotka. rhesus monkey. Sundarban Tourist Map Abdullah Al Mamun – ID 08515030 Page 40 . Important tourist spots Hiron Point. flap-shelled spotted turtles and green turtles. lizards. spotted deer. pythons. squirrel. Mandarbaria. wild boar. dolphin etc. Dubla Island. Royal Bengal Tiger. of the reptile species there are estuarine crocodiles. Kochikhali. Putney Island and Tinkona Island.
Martin’s Island but divided during tides.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 3. about 9 km.4 Saint Martin’s Island St. Chhera-dwip Chhera-dwip is a part of st. The local people call it Narikel Jinjira. There are 2 small dead lagoons and a stretch of marshy land in Dakshinpara. One can go to chhera-dwip by walking during low tide.9. Abdullah Al Mamun – ID 08515030 Page 41 . south of the Cox’s Bazar-Teknaf peninsular trip in the southernmost part of Bangladesh. Martin’s island is a small island in the northeast part of the Bay of Bengal.
winding pair of rivers named the Surma and the Kushiara both of which are fed by innumerable hill streams from the north and the south. Sylhet is the foremost tea granary of the country.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 3. A hilly region in mainly a plain country Sylhet lies between Khasia and Jaintia Hills in the north and Tripura Hills on the south. The orange grove of Chhatak with humming bees adds to the fairy-land aura of the region.9. Sylhet Tourist Map Abdullah Al Mamun – ID 08515030 Page 42 .5 Sylhet Sylhet. a land of devotion and nature’s bounties is in the north-east of Bangladesh. Forest around abound with innumerable birds species. The Sylhet vally is formed by a beautiful.
retiring room. Hazrat Shsh Jalal (R.). Monipuri dance Several tribes lives in the area each distinct from the other in their life and living. Madhabkunda attracts a large number of visitors every year.A. The Monipuri dance is known and appreciated every where. Shahi Eid Gha The Shahi Eid Gha was built on a hill by the Mughal Emperor Aurangzeb.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Tourist Attractions: The Shrine of Hazrat Shah Jalal (R. picnic and parking facilities for the visitors there.) Sylhet has been the believers destination down the ages. Madhabkuunda Famous for its fascinating waterfall. who is said to be a nephew of Hazrat Shah Jalal (R.A. Bangladesh Parjatan Corporation offers restaurant. At a short distance lies shrine of another great saint Hazrat Shah Paran (R.) Jaintipur Said to be the capital of an ancient Kingdom includes the Khasia and Haintia hills and the plains of Jaintia to this day hold the ancient aura of the kings and queens.A. Consecrated by the great Muslin saint.A. Handicrafts The exquisite pieces of Sylhet came furniture adorn many homes.)_ is said to have brought the message of Islam to the region. Abdullah Al Mamun – ID 08515030 Page 43 . Colorful cane handicrafts and souvenirs are the specialty of the area.
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Temple of Sri Chaitannya Dev The temple is revered as and ancestral place of famous vaishnava saint Chaitannya Dev. Srimongal is an up and coming holiday resort. Site of an annual fair takes place on a full-moon night in the Bangla month of Fulgun is a romantic event. Srimongal Famous for large tea gardens in smoothing and comfortable climate conditions. Abdullah Al Mamun – ID 08515030 Page 44 .
Abdullah Al Mamun – ID 08515030 Page 45 . Migratory birds. Over the period. natural beauties and stone collection enrich the significance of Bholagonj. was planned in 1922 by the Brithishers. Lawachhara Lawachhara the second largest artificial reservoir of biodiversity on 1250 ha area. it has become an abode of rich biodiversity and now it turned to Lawachhara national park.Jaflong Glimpse of the waterfall across the border inside India from Tamabil and stone rolling down the sides of hills or to the plains is a beholder’s delight. emanates the murmuring sound of douki river and allures the visitors. with eye-soothing view of Indian Meghalaaya hill in the northern side. Bholaganj Bholaganj near Companyganj.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Tamabil.
roaming around in the natural wilderness of these hilly districts. from Bandarban. Buddha Dhatu Jadi It is an attractive temple located at 300 ft. Meghla The Meghla tourist spot is situated at about 6 km. Chimbuk hill Chimbuk is a unique hill having 2000 ft. Ali’s tunnel is also situated here. high from the sea level. A beautiful hanging wooden bridge enhances the beauty of the spot. Here Sangu river give a thrilling experience in the lifetime. Tourist attraction: The panoramic view of Bandarban will surely allure tourists to extend their stay. Boga lake The Boga lake attracts tourist because of its scenic beauty but it is inaccessible by motorized transports. Bandarban has the unique privilege of having 2 highest peaks of the country. Alikandam There are numerous settlements of Murang and Khumi tribal people in the area. This hidden paradise away from the din and bustle of the world is called Bandarban. highest on a hill at Balaghata 2 km.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 3. There are many mysterious tales regarding this tunnel. near Chittagong -Bandarban highway.9. the Keokeradong and Tajingdong that measure up to 4000 and 4632 feet respectively. from Chittagong by metalled road through the green forest and the hills is tucked away quiet haven. Abdullah Al Mamun – ID 08515030 Page 46 .6 Bandarban Some 92 km.
Abdullah Al Mamun – ID 08515030 Page 47 . there are the water incessantly falls into the river Sangu for about 300 ft. high hill dazzling like pearl particles in the space creating an un parallel beauty of nature. Here.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Rijuk water fall This natural mighty water fall is situated at Ramu.
Anthropological museum of Bandarban where the history of the local tribal life is preserved. is a historical township situated about 25 km. Isha Khan. Abdullah Al Mamun – ID 08515030 Page 48 .Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Rajbari and Museum The historical Bohmang rajbari is situated in the Bandarban town. The walk to this spot will involve several ascents and descents along hillside.9.Ala. away from Bandarban. southeast of Dahka. Ancient and historical raj Khyang is situated near the royal place. Places of interest There are a number of old relice and architectural remains such as the tomb of Sultan Giasuddin Azam Shah.I.it is attractive and bears a long glorious history of several 100 years. 3. the single-domed mosque of Mograpara.Goladi mosque. tomb of Ponakai Diwana. Shaila Propat is a popular spot for tourists. Panam Nagar appears to be well protected by artificial canals all around. The museum authority has setup replicas of various tribal houses.7 Sonargoan The golden village of Bangladesh. tomb of Munna Shah Darbesh. the Masnad. had existed from the time of Pala and Deva king who had used it as their administrative town. Panch Pir Dargh and the single-domed squire mosque built by Sultan Jalaluddin Fateh Shah. Panam Nagar This ancient place in Sonargoan on the north of Dhaka-Chittagong highway at Mograpara point is said to have been the site of Hindu capital city of Sonargong. had also built his army headquarter here. It is generally belive that “subarnagram” the other name of the place. Shaila Propat Some 8 km.
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Neel-Kuthi in Sonargoan There is a building constructed by the English East India Company at Dalalpur in the vicinity of Panam of Sonargoan. only records tell us about the architectural design and character of the original building. Today. The original structure has almost vanished with the passage of time.it was initially meant for the purchase of Muslin and subsequently used for trading in indigo. It is situated a few yards north of Dalalpur Bridge on the eastern side of the road. about how the decorative treatments expressed the transposition from European architecture and blended with local motifs influenced by the Mughal architecture. Abdullah Al Mamun – ID 08515030 Page 49 .
Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 3. north of Dinajpur District town along the DinajpurTetulia Highway and on the eastern bank of the Dhepa river. The enhancement of the temple is outstanding and very delicate. Raja Prnnath built this monument in his ruling period between 1682-1722 and dedicated it to Lord Krishna and his wife Rukmini. Its outward decoration fascinated amateurs.8 Kantajee Temple Among the glorious late medival culture heritage of Bangladesh. The temple is located at Sundarpur Union.9. Kantajee Temple is the most expressive and magnificent monument. which is fully covered with terracotta ornamentation. tourists and art historians since its construction. The temple is still a living one where people worship and perform rituals every day. 21 km. Abdullah Al Mamun – ID 08515030 Page 50 .
west of Jamalganj Railway Station in Naogaon district and about 60 km. a small zoo and a rest house. has been excavated. Still now it bears the symbol of king’s palace which is north east part of Dinajpur town.9. zoo. Rickshaws.south of the Himalayas. to 15ft.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Tourist attraction near Kantajee Temple: Ramsagor Raja Ramnath had dug this Ramsagar (largest blue water tank) in 1755. The total area is picturesque view which attracts visitors 3. This 8th century AD archaeological find cover approximately an area of 27 acres of land. There is a Temple for the Hindus. auto rickshaws and micro-buses are available to reach here. surrounding 1200’ & deep is 36 ft. but some portion of it which is adjacent to the temple is still preserved nicely and decoratively. Ramsagar is 10 km. Swapnapuri is accessible through local bus or private transport. Rajbari King of Dinajpur was the most influential during the time of Mughal Emperor. The entire establishment occupies a quadrangular court measuring more than 500ft. away from Bogra town where the remain of the most important and the single largest known monastery. It is an attractive entertainment place for the tourists with green trees that comprises of lake.628. in height with an Abdullah Al Mamun – ID 08515030 Page 51 . and from 12 ft. ft. playground. the area if the Ramsagar is 3399’ 1. different types of rides of interesting game. 52km. Swapnapuri It is located on 150 acres of land at Aftabganj. south of Dinajpur district. an artificial zoo. far from the Parjatan motel Dinajpur. Later on the king palace was built on these properties. There are four Bang lows in Swapnapuri.a dream land under Nababganj thana.120 enormously. sq.9 Paharpur Paharpur is a small village 5 km. The Zamindari of Dinajpur was established from the properties of Hindu pious Brohmachari.
Except the western gallery. ornamental bricks and other clay objects. The architecture of the pyramidal cruciform temple is profoundly influenced by those of southeast Asia. inscription. the objects collected from Paharpur monastery and the western gallery is preserved for Abdullah Al Mamun – ID 08515030 Page 52 . Beside throwing light on the architecture and Buddhist religion in early medieval Bengal. It has been declared as a World Heritage Site by UNESCO. these are displaying findings collected from the neighbouring regions of Paharpur.] Paharpur museum This north facing building accommodates three galleries s around the central introductory hall. The antiquities of the museum include potteries. coins. The excavated findings have also preserved at the Verandra Research Museum at Rajshahi.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh elaborate gateway complex on the north. especially Myanmar and Java. the Paharpur excavations were extremely significant in terms of the history of sculptural arts in Bangladesh. There are 45 cells on the north and 44 in each of the other three sides with a total number of 177 cells.
4 PROBLEMS AND PROSPECTS OF TOURISM INDUSTRY OF BANGLADESH AND CURRENT STATE OF AFFAIRS Abdullah Al Mamun – ID 08515030 Page 53 .Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Chapter .
In 2004. With 1.Tourism business in Bangladesh. it was possible to say. tourism has not achieved the optimal level of development and status . in the somewhat patronizing tone sometimes adopted by representatives of donor organizations.0 Importance of the Tourism Sector in Bangladesh In the Bangladesh. The Bangladesh government and the Bangladesh Aid Group have taken seriously the idea that Bangladesh is the test case for development. early 1990s. In the late 1980s. In Bangladesh. and this is problem as well. The Government of Bangladesh first recognized tourism as an important industry with the framing of a National Tourism Policy in 1992. however. Bangladesh remained a favoured country for substantial commitments of new aid resources from a strikingly broad range of donors. In 1999.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 4. The total estimated disbursement for FY 1988 was estimated at US$1.2 per cent of GDP of the economy. Half of that total was for food aid and other Abdullah Al Mamun – ID 08515030 Page 54 . Since the.125 per cent of world total of over 800 million. as measured by yearly tourist arrivals. For a long time. Planned development of the tourist product is partly dependent on the socio-economic conditions of the country. Marketing of Bangladesh tourism abroad faces constraints created by inadequate funds and lack of knowledge.5 million in 2008 it constitutes about 0 ." Even in straitened times for the industrialized countries. the Governments of Bangladesh never had given adequate attention to the development of tourism sector. 2005). tourism was declared as a thrust sector in Bangladesh (Government of Bangladesh. that Bangladesh had generally been a "good performer. tourism contributed about 0.7 billion. an impressive total but just US$16 per capita. 4. 1 in every 19 jobs is generated by the sector. tourism became recognized as an important sector in Bangladesh.1 Problems and constraints regarding tourism industry Infrastructure development and the resources required for that purpose are major problems standing in the way of tourism development.
This indicates that our tourism is in a problem of proper guide line.” • Lack of government policy is also a problem for tourism industry. Problems in brief Despite occasional meetings and adoption of plans of action. resource-poor and overpopulated Bangladesh cannot achieve significant economic improvements on the basis of that level of assistance. not much real progress is noticed yet in promoting tourism in Bangladesh. The following reasons could be considered as impediments to development of tourism in the Bangladesh: • • Lack of transport links (air. Even with the greatest imaginable efficiency in planning and administration. • Complicated visa and border formalities are the most crucial factor that stands place. • Absence of effective coordination: This stands in the way of effective coordination among the relevant departments. not much easing out in this area is yet in • Government tax on hotel accommodation and food facility in Bangladesh is also not adequate. given that all of the countries offer somewhat similar tourist products and compete in the same markets in the world.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh commodities of limited significance for economic growth. An ADB report points out that “Hotel rates in Dhaka are high compared to neighbouring countries. rail. reflecting the high taxation imposed on hotels in Bangladesh. with publication of promotional materials and familiarization tours. Abdullah Al Mamun – ID 08515030 Page 55 . agencies and ministries in Bangladesh. The little seed money that the Bangladesh Tourism Fund has been established with can pump prime the initial take-off. Though discussions have taken place. • There has been a lack of funds and technical expertise. Lack of sincerity and political will to promote Bangladesh as a common tourism destination: This emanates due to competition between the countries for tourists. road and sea transport connecting major tourist destinations). in the way particularly of intra-regional tourism.
close to the world average for developing countries.2 PROSPECTS In examining the economy of Bangladesh. and education resources. a low standard of living. led by the World Bank. The government and people of Bangladesh are entitled to take some pride in the degree of success they have achieved since independence. and vulnerability to natural disaster. and longer term development goals as well. and inadequate government and bureaucratic structures. similarly can be proud of the role it has played in assisting this "largest poorest" nation to become a respected member of the family of nations. not significantly different from that of the majority of poor Third World countries. could be attained. Government policies had been effective in stimulating the economy. especially when one contrasts their success with the gloomy forecasts of economists and international experts. virtual absence of valuable metals. The average growth rate of economy had been a steady. These problems include overpopulation and inadequate nutrition. For that some foreign tourist fell into problem in their smooth and continue journey in Bangladesh. fertilizer. The picture of day-to-day and even year-to-year performance of the economy of Bangladesh is a mixture of accomplishment and failure. Yet the brief history of independent Bangladesh offers much that is encouraging and satisfying. wherever one turns the problems crowd in and threaten to overwhelm the analysis. health. The private sector had benefited from an environment of greater economic freedom and had improved performance in banking and production of jute. The World Bank. 4. land scarcity.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh • Corruption: Corruption is one of the major problems regarding tourism industry in Bangladesh. if unspectacular. Abdullah Al Mamun – ID 08515030 Page 56 . leader of the Bangladesh Aid Group. and frozen seafood. ready-made garments. described the country in 1987 as a success story for economic development and expressed optimism that the goals of the Third Five-Year Plan. Underlying problems that have threatened the young nation remain unsolved. 4 percent since the beginning of the 1980s. The international donor community.
These tourist spots also can eliminate the unemployment problem of Bangladesh. For the last three decades. So all of them have individual attraction for the tourist if some contractual work is done for easier movement. 4. 9. Specialist said that more than 30% employment could be increased if the government takes proper step for the development of tourism areas. tourism is the world's largest industry and a major source of employment and revenue. It has the ability to introduce Bangladesh with the people around the world. Thus the overall condition can be improved by proper utilization of tourism sector. but the expectations have not always been met. 5. we have been endeavoring to develop tourism. It also contributes towards conserving environment. The government of Bangladesh can earn a huge amount of revenue from this sector which can help Bangladesh to establish a healthy economic condition. Tourism industry can also help us to create a better image in the world. 7. All of them are special in their own character. Tourism industry may be turned into the major source of earning foreign currency for Bangladesh. The good news is that many high officials concerned with national development have recently come to understand the importance of tourism. 2. As a third world country in the world Bangladesh can promote its position through the proper utilization of tourism industry. It can also help Bangladesh in business purpose. Abdullah Al Mamun – ID 08515030 Page 57 . Bangladesh has a large number of tourist spot in its area. 3. If we can make a position in the 7 wonders through Cox’s Bazar and Sundarbans then the prospects of tourism industry in Bangladesh will be higher and higher. 6.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Some other prospects 1. 8. 10. Reams of paper have gone into writing about the prospect of tourism in Bangladesh in all the mediums of reporting. Apart from this.
communities that do not provide pleasant surroundings and a clean environment have a very hard time attracting business. Tourism cannot survive without a clean and safe environment. have a difficult time holding on to their local population. Tourism and economic development go hand-in-hand. Tourism. There are some statistics to justify this assertion. What are the essential ingredients of tourism? Here are a few of the essential points that tourism needs for its future growth in Bangladesh: No one wants to visit a place that is not clean or unhealthy. It is expected that by 2015 it will be providing some 269 million jobs. not only can produce employment but also can be a major source of renewable export. last year tourism alone produced over $6 trillion in revenue. Between 2006 and 2015. It provided jobs to around 221 million people globally. That means where ecologies are fragile.6 percent on an average per year. No matter what the attraction may be. a tourism centre that lacks good customer service and friendly people will fail. In the same way. These include revenue earned on spending by tourists in hotels and restaurants. young people and businesses. According to the World Tourism Council. but. however. Think about what makes a place a good tourism centre. pollution must be checked. that to be a renewable resource. communities that offer poor service not only do not attract newcomers. fares paid for transportation. in the end. tourism's growth rate is expected to be 4. In a like manner. numbers and activities must be tightly controlled. Tourism requires friendly people and good service. It must be noted.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Tourism is the world's largest industry. Tourism can add to the local economy in a variety of ways. especially for those who give more importance to facts and figures. etc. Abdullah Al Mamun – ID 08515030 Page 58 . tourism must be developed in a sustainable manner. and local cultures protected. conventions and meetings held. on a national scale.
many of them on farms. getting importance. These are the same factors that are essential to any community seeking economic development. Most of its heritage sites and international tourist spots are positioned around villages. natural beaches are.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Tourism requires good restaurants. hotels and recreational facilities. Bangladesh can be an ideal destination for community-based tourism. Bangladesh may rid itself of poverty. Community-based rural tourism is a must for the economic development of Bangladesh. the present time is suitable for considering the implementation of community-based tourism. historical places. For sustainable progress in poverty eradication. The concept of community-based rural tourism and its benefits are still unexplored. Now is the right time to think of rural tourism development. Sometimes rare plants or animal species are the main attraction. A European example of welldeveloped rural tourism is France. Development of rural tourism will have the following results: Abdullah Al Mamun – ID 08515030 Page 59 . more or less. Many farmers have developed camping sites on their farms. Camping and caravans are the most popular forms of accommodation in rural areas. through rural tourism. But rural tourism can turn into a booming sector for at least two reasons." Bangladesh has huge potential for tourism. all general attractions. the infrastructure of far-off and rural places will be developed. These are intended for education as well as recreation. and second. Bangladesh is a country of thousands of villages. Others prefer to invest in various kinds of short-term rental houses known as "gîtes. handicraft or historic buildings. First. Apart from rural tourism. Its earnings will act as a vehicle for the overall development of Bangladesh. sometimes traditional food. like archaeological sites.
Protection of indigenous rights and resources. People sell their community's best when there is a great deal to see and do in it. Tourists may infuse additional money into the local economy Abdullah Al Mamun – ID 08515030 Page 60 . concert halls. tourism industries have been especially open to giving disadvantaged groups around the world opportunities that have often been denied to them by other economic sectors. Promotion of indigenous culture and heritage. Since tourism is based on the appreciation of other cultures. Conservation of environment. when it is safe and secure. traditions. theatres and uniqueness. Human resource development. Such pride in one's nationality or community can become an important tool for developing the economy. Education and training for all. Tourism requires a great deal of construction work and provides large numbers of entry-level jobs. The quality of life can also be reflected in a community's museums. etc.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Increase in Gross Domestic Product. The government and community leaders may also want to take into account that tourism adds prestige to a community. Women employment. Tourism is an important economic development tool for emerging and minority communities around the world. People like to live in a place that others consider worthy of visiting. Community festivals. Development of rural livelihood. Poverty mitigation. handicrafts. Peace and happiness. Promotion of local cuisine. parks and natural settings all add to the desirability of a locale and its ability to sell itself to potential outside investors. and when customer service is not merely a motto but a way of life. Increase in local export. Development of river tourism and eco-tourism.
However. Bangladesh will be able to make the optimum use of its existing potential for tourism and. agencies and civil society bodies. Abdullah Al Mamun – ID 08515030 Page 61 . The policy identified tourism as a multidimensional industry and spelt out the necessity to have an effective coordination among various government As per the ministries. recommendation of the National Tourism Policy. it is urgently felt that the 1992 policy needs updating.3 National Tourism Policy Promotion of tourism in Bangladesh under the aegis of the government started in 1972. only two meetings of the National Tourism Council were held. Buddhist heritages and many eco-tourism sites. ancient archaeological sites. both the committees virtually remained dysfunctional. the government framed the National Tourism Policy in 1992. following independence of the country. a ‘National Tourism Council’ headed by the Prime Minister and an ‘Inter-ministerial Coordination Committee’ headed by the Minister of Civil Aviation and Tourism were formed. Until now. The main attractions of the tourism industry of Bangladesh are varied cultural heritages. Against this backdrop and emergence of private sector tourism industry. Unfortunately. most of those remained unimplemented.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh through shopping. In the Tourism Policy. thereby. status of tourism industry in Bangladesh was described. The National Tourism Policy undertook some initiatives for a vigorous promotion of tourism within and outside the country. further develop its economy. etc. the tourism industry can be an essential method for reinvigorating local economies. world’s longest natural sea beach. In nations where manufacturing is not developed. Sooner or later. 4. Recognizing the contribution of tourism to the socio-economic development of the country. aims and objectives were defined and implementation strategies were suggested. departments.
4 National Industrial Policy. (c) Tax exemption on capital gains from the transfer of shares. the inclusion of Ministry of Civil Aviation and Tourism (MoCAT) was proposed in the National Committee for SME Development. (d) Avoidance of double taxation in case of foreign investors on the basis of bilateral agreements. (h) Guarantee against Promotion & Protection Act 1980). As per the Industrial Policy. (f) Remittance up to 50% of the salary of the foreigners employed in Bangladesh and the facilities for repatriation of their savings and retirement benefits and personal assets at the time of their return. and (j) Reinvestment of repatriable dividend is treated as new foreign investment. which include: (a) Tax exemption on royalties. directives have been given to activate the tourism training institutes. Abdullah Al Mamun – ID 08515030 Page 62 . (b) Tax exemption on the interest of foreign loans. Promotion of tourism industry through public-private partnership has been indicated in both the National Tourism and National Industrial Policies of Bangladesh. 2005 The National Industrial Policy 2005 has recognized tourism as an industry and declared it as a “thrust sector”. (i) expropriation and nationalization of foreign private investment (as per Foreign Private Investment Provision for transfer of shares held by foreigners to local partners with the permission from the Board of Investment and the Foreign Exchange Control Department of Bangladesh Bank. (e) Exemption of income tax on salaries up to three years for the foreign technicians employed in the approved industries. Also in the Industrial Policy. (g) Facilities for repatriation of invested capital. profits and dividends. Inclusion of the MoCAT would play a positive impact on growing up small and medium size enterprises in tourism sector of Bangladesh. For development of human resource in this sector. have been offered various incentives to invest in foreign investors tourism industry.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 4.
and placed it under the Ministry of Civil Aviation and Tourism.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 4. BPC has been developing and creating various tourist facilities across the country. medium-term and long-term planning strategy for the promotion of tourism in Bangladesh. picnic spots. It has been entrusted with dual responsibility .promotion of tourism in the country as well as creation of facilities on commercial basis. the development program follows the same broad approach in allocating projects to short and medium-term programs. etc. fine arts and performing arts etc.) at different places of tourist attractions of the country in order to offer facilities to the tourists. and the medium-term extending into the following five year period. some increase in tourism activity in Bangladesh can be achieved through small-scale product improvements. The major product development strategies may be ‘River Tourism Product’. tourism centre. it has created 42 tourism units (hotels. Although. produced more than 24. duty free shops. in short term. major product initiatives will be required to achieve the growth targets. ‘Cultural Heritage (archeological sites. Since its inception. The Master Plan has envisaged a short-term. drinks corner.5 The Tourism Master Plan The Tourism Master Plan of Bangladesh prepared in 1988 with the assistance of UNDP/ILO has identified a number of hindrances of the tourism industry and suggested various ways and means for the growth of tourism in Bangladesh. As per Abdullah Al Mamun – ID 08515030 Page 63 . The short and mediumterm strategies are intended to be completed within a 10-year period.)’. Till to date. museums. It also runs a National Hotel and Tourism Training Institute (NHTTI). restaurants.6 Bangladesh Parjatan Corporation as National Tourist Organization (NTO) Bangladesh Parjatan Corporation (BPC) was established in 1972 through a Presidential Order no 143.000 trained manpower. ‘Forest and Wildlife’ and other products innovation. the shortterm referred broadly to the third and fourth national development plans. in the medium and longer term. Because of the constraints on public sector resources and possible caution on the part of the private sector to commit investment finance on tourism projects. motels. which to date. 4. historic buildings and monuments. ‘Village Tourism Development’.
the oldest archaeological site in the Southern Himalayas-Paharpur and world’s largest terracotta temple .8 SWOT Analysis of tourism industry in Bangladesh Strengths • • • People of Bangladesh are generally very hospitable and tourist friendly. • • Awareness about tourist attractions among the local community is increasing. the Sundarbans. Paharpur. Owing to lack of funds. cultural heritage and eco-tourism products like the world’s largest mangrove forest.like Cox’s Bazar. 4. Martin are not sufficient. Kuakata. Tourism and amusement facilities in some areas . 4. construction of tourism infrastructure cannot be undertaken. Sundarbans. Due to two-day holiday in the week.7 Infrastructure Though communication and transport system in Bangladesh is quite well established. and spectacular monuments and mausoleums of language movement and liberation war of the country. the trend of moving out for recreation has increased mainly among the middle class people of the society. Teknaf and St.Kantaji Temple in Dinajpur. Domestic tourism is increasing steadily. east to west.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh the privatization policy of Bangladesh government. Presently. Abdullah Al Mamun – ID 08515030 Page 64 . the infrastructure in the tourist places is yet to be fully developed. • The country possesses some unique archaeological sites. Communication and transport system has been developed from north to south. the capital city through private sector initiatives. Security is not that bad as often projected by electronic and print media. BPC has leased out as many as 11 commercial units to private sector on commercial basis. there are some tourism infrastructure in and around of Dhaka. the world’s longest unbroken sea beach in Cox’s Bazar (120 km).
No revenue budget for the promotion of tourism development in the country. • • As there are hundreds of rivers crisscrossing Bangladesh. • Government has formulated favourable foreign investment policy to attract overseas investors in readymade garments. Opportunities • It is easy to implement eco-tourism. Absence of a regular policy direction. • The country often suffers from image crisis. • There are some flaws in the law of categorizing the country’s hotels and restaurants. tourism products can not be protected or conserved. Bangladesh is located strategically in South Asia. which is there in many countries of the world. natural gas and petroleum sector and liberal policy for joint venture investment in tourism sector. Non-technical hands or institutions are involved in this process. and spiritual tourism. • Due to absence of a tourism law. Categorizing of the hotels and restaurants as Star or nonStar is not under the jurisdiction of the BPC. there is debate whether the Corporation should play the role of a mere NTO or a commercial organization or both. Frequent changes of officials in the BPC’s management and its line ministry. as the country possesses enough opportunity to develop these types of tourism. riverine tourism. leather goods. Absence of representation of civil society in the BPC’s Board of Directors. The country continues to remain as an unknown destination to the tourist generating countries. immense potentiality exists for development of riverine tourism in Bangladesh. Due to absence of proper policy direction. Also owing to absence of law. Abdullah Al Mamun – ID 08515030 Page 65 . the tour operators or tourism service providers can not be punished for any mishandling of tourists. BPC or the private sector can not receive any fund or loan from any quarter.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Weaknesses • • • • • On the role of BPC.
Bangladesh is the most over-populated country of the world. Continuous campaign against Bangladesh by certain quarters as a fundamentalist country is another obstacle. Abdullah Al Mamun – ID 08515030 Page 66 . which disrupts labour discipline.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Threats/Constraints • • Unstable political situation created a bad image abroad. • • • • Unholy alliance between the trade union and political leaders. Politicization of administration Trade Union Menace in the organization Rapid growth of population is another big problem. which should be taken as the biggest threat for development of tourism industry overseas. except the city state of Singapore.
5 FINDINGS AND RECOMMENDATION Abdullah Al Mamun – ID 08515030 Page 67 .Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh Chapter .
Kantajee Tample. as measured by yearly tourist arrivals. And in the 2005 it is developed and updated. 8.0 Findings 1. Kuakata. But yet it needs some additional change in the whole policy. though they want to do something but can’t. About 446421000 taka was earned from the tourism sector in Bangladesh in 2006. Tourism master plan of Bangladesh was formed in 1988. They have lack of resource and man power facility. A large number of tourists come to visit Bangladesh each and every year. 6. But now the world is more competitive in every sector. 2.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 5. Syllet. So. Sundarbans. Tourism industry of Bangladesh has a greater impact and prospect in the overall socio-economic condition of Bangladesh. Though these number can be increased through proper steps and policies. In the Bangladesh. Ramsagor. But it is not adequate with our spots. With 1 million in 2004 it constitutes about 0 . So it need some change to compete with the other country. 7. Sonargoan. 5. Abdullah Al Mamun – ID 08515030 Page 68 . tourism has not achieved the optimal level of development and status . and so on. Bangladesh Parjatan Corporation is the national tourism organization. 3. Saint Martin’s Island. 4. We can earn double or triple amount by taking proper policies. Notional tourism policy was formed in 1992.125 per cent of world total of over 800 million.Tourism business in Bangladesh. Bangladesh has a large number of known and unknown tourist spot around the country such as Cox’s Bazar.
11. Government has formulated favourable foreign investment policy to attract overseas investors in readymade garments. Bangladesh is a country of natural disaster. The country possesses some unique archaeological sites. Due to absence of proper policy direction. People of Bangladesh are generally very hospitable and tourist friendly. the infrastructure in the tourist places is yet to be fully developed. the world’s longest unbroken sea beach in Cox’s Bazar (120 km). the Sundarbans. Absence of a regular policy direction. cultural heritage and eco-tourism products like the world’s largest mangrove forest. Abdullah Al Mamun – ID 08515030 Page 69 . natural gas and petroleum sector and liberal policy for joint venture investment in tourism sector.Kantaji Temple in Dinajpur.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 9. The country continues to remain as an unknown destination to the tourist generating countries. leather goods. 14. 15. In 2007. The country often suffers from image crisis. the oldest archaeological site in the Southern Himalayas-Paharpur and world’s largest terracotta temple . Though communication and transport system in Bangladesh is quite well established. and spectacular monuments and mausoleums of language movement and liberation war of the country. 12. BPC or the private sector can not receive any fund or loan from any quarter. 10. 13. Sidr attacked our country and made a huge damage to the whole country as well as the tourist spots.
visits of groups comprising of tourist officials. with economy travel. Tourist facilities and products need to be developed with minimum ecological impact. training and exchange visits is of utmost importance for Bangladesh. etc. The good practices within Bangladesh in different areas. • Investment opportunities with liberal incentives need to be communicated to both national and international investors. • In the area of environmental management.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 5. • For learning lessons from other more successful groupings. opportunities for employment generation and income earning for the local communities are to be created. such as community-based resource Abdullah Al Mamun – ID 08515030 Page 70 . private sector entrepreneurs and journalists should be arranged. easing of visa formalities. training at different levels – from top management down to door boys – should be initiated at national and regional levels. • Human resource development for tourism through formal and informal education. Also. For the purpose. • The ministry of Tourism and National Tourism Organizations of the Bangladesh needs to be strengthened. • Quality of service needs to be improved. particularly the young generation of backpackers needs to be developed. • Eco-tourism and Buddhist Circuit tourisms should be grounded on the premise of poverty reduction of local communities. an integrated approach needs to be taken for ensuring sustainability.1 Recommendations • Budget tourism aimed at all age groups. dissemination of information and low-cost but comfortable accommodations.
pollution management. disaster mitigation.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh management. etc. need to be disseminated. Chapter .6 Conclusion Abdullah Al Mamun – ID 08515030 Page 71 . energy efficiency and conservation.
The reason behind this is just that the market demand is expanding so fast that it can provide good number of customers and occupancy for nearly all members in the market. All these add up to the total industry supply. and along with it is growing the hotel industry. Their business just continued as usual. Westin. The hotel industry in Bangladesh is a blooming one.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 6. the number of accommodation providers was also increasing. market share. with no substantive achievement even in any particular area. 8-10 other medium hotels like Purbani. individually and collectively. and most importantly. Radisson. They maintained their usual occupancy. Lake Shore and Sarina. Sheraton or Sonargaon. Bangladesh has potentials to harness. Radisson. The travel industry is growing rapidly. It is expected that the governments of Bangladesh. their sharply increasing trend of profit. will take vigorous steps to remove the barriers standing in the way. and about 50 guest houses and small hotels. Currently the industry comprises of four five star hotels. As the demand was increasing. for development of tourism sector.0 Conclusion It is evident from the above discussion that tourism worldwide including in the Bangladesh is an expanding sector. Abdullah Al Mamun – ID 08515030 Page 72 . Sonargaon and Sheraton. It is already a significant source of foreign exchange earning and employment generation in our country. So there is something for nearly everybody. Low levels of inter-regional tourism within Bangladesh need to be addressed. Bangladesh has many lessons to learn from other countries in the world. the progress in cooperation in this area in our region is quite slow. But it did not have much effect on the occupancy of the Westin. However. with lessons learned from other groups in the world.
1 Take away Before this report ends some important points to remember are listed below: • • • • The travel industry in Bangladesh is increasing at an average rate of 1012% per year. comparatively low price. Radisson. Abdullah Al Mamun – ID 08515030 Page 73 .Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 6. • The growth of these boutique hotels and guest houses has certainly snatched away some customers from Westin. many of the customers might have stayed in any of the four five stars. However these boutique hotels and guest houses have been able to gain popularity among the foreign travellers because of their good facilities and services. Sheraton and Sonargaon. and above all. • However people now have more choices and the two hotels must try to retain their market position and customer loyalty by improved services. In absence of close substitutes. good location. Much of the growth in the hotel industry has taken place in the boutique hotel and guest house sector. This is causing a subsequent growth in the hotel industry.
com/abstract=1337659 • Philip Kotler.html http://www. Hotel Management – Hotels and its operation Dubé. Mathews (2004). Cornell Hotel and restaurant Administration Quarterly.com/economies/Asia-and-the-Pacific/Bangladesh. • Jones. Marketing Management.. Opportunities of developing tourism industry in Bangladesh.hospitality.gov.nationsencyclopedia. 129-134. (1999). How hotel attributes deliver the promised benefits – guest perspectives on the lodging industry’s functional best practices (part II). A. International Journal of Hospitality Management vol: 22 pp. I. (1999). (2004). P.0 Bibliography Books and Articles • Borchgrevink. Web links • • • www. Perspective on the hospitality industry: an introduction to hospitality management. International Journal of Hospitality Management vol: 18. Cop.Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh 7. • Mohammad Shamsuddoha (2009). • • J. M.bd/ Reports and press releases • Department of Tourism & Commerce Marketing – various reports and press releases.bangladeshtourism.P. Dubuque. http://ssrn. Operational Issues and Trends in the Hospitality Industry. 2000 – 2009 Abdullah Al Mamun – ID 08515030 Page 74 . (2003). Oct • Holjevac. (1999). L. & Renaghan. C. 427-442. pp. A vision of tourism and the hotel industry in the 21st century.net http://www. Kendall/Hunt. Chapter – 6. 9th Edition. SWOT Analysis. A Journal of Hospitality Management. L.
PTS Division (statistics) Abdullah Al Mamun – ID 08515030 Page 75 .Market Research Thesis Report On The Tourism & Hospitality Industry In Bangladesh • Special branch. Bangladesh Parjatan Corporation.
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