CHAPTER ONE

INTRODUCTION

Background to the Study

The importance of tourism as a tool for socio-economic development at the global, regional and

national levels has attained the recognition of most governments and academic researchers.

There is now the realization of the potential of tourism to contribute to the socio-economic and

social development of countries and most developing countries have come to acknowledge that

tourism is a key area for socioeconomic development, employment generation and positive

contributor to balance of payments. Thus, most developing countries regard the development of

tourism as a panacea to their socio-economic problems (Cooper, 2012). Tourism is a service

industry which involves people moving to an “alien” environment for the purpose of sightseeing,

recreation, business etc. for a period of not less than twenty-four hours but not more than a year,

without engaging themselves in any income earning activity at this destination (Cooper et al,

1998).

World Tourism Organization (2019) in one of its conferences defined tourism

as “the activities of person travelling to and staying in places outside their usual environment for

not more than one conservative year for leisure, business and other activities” (UNWTO,

2019).Goldner et al (2000) also defined tourism as “the phenomena and relationships arising

from the interactions of tourists, business supplies, host government and host communities in the
process of attracting and hosting these tourists and other visitors”. The different definitions given

above indicate that different groups and institutions see it from different angles. A developing

country may see it as the provision of goods and services at the destinations for consumption and

satisfaction of non-residents for the accrued residual benefits to the providers of the goods and

services. They therefore see it as a tool for solving their developmental problems. Developed

countries on the other hand undertake tourism primarily for leisure, recreations, intellect etc with

the socioeconomic aspect being a secondary issue. From this perspective it is clear that tourism

would not benefit developed and developing countries to the same extent, since each has it own

reason for developing it (Pearce, 1987).

Many developing countries have placed greater weight on tourism in their attempt to develop

their economies and as a result have put in place policies, strategies and activities to promote its

growth (Milne, 1990). It is believed that as the tourist travels to consume the tourism product,

income will accrue to the destination areas, leading to acceleration in the socio-economic

development of these areas. Some of the benefits that destination areas receive from developing

the tourism sector are:

First, as a result of the increased visitor expenditure, foreign exchange becomes available for the

host country to help improve their balance of payment situations. According to UNWTO,

tourism is the fastest growing industry in the world and it has been growing steadily at about 4%
annually (UNWTO, 2014). According to the World Travel and Tourism Council (WTTC),

tourism generated about $1,158.5 billion to the world economy in 2008. It rose to about $1, 70.6

billion in 2011 and then $2,364.8 billion (3.1% of total world GDP) in 2014 (WTTC, 2015). It is

expected to increase by 3.7% in 2015 and then an annual increment of about 3.9% for the next

decade (WTTC, 2015). In most countries, tourism is the largest or among the top 3 in terms of

commodity in international trade. For example, tourism was the leading provider of foreign

exchange for Fiji Islands with estimated earnings of about $137.4 million in 2013 (WTTC,

2015). This was followed by sugar, with estimated earnings of about $99 million. It is also the

leading source of foreign exchange for Kenya providing it with $149.5 million in 2013 and is

expected to grow by about

6.4% in 2015 (WTTC, 2015). Ghana celebrated “The Year of Return in 2019, which was linked

to the 400th anniversary of slaves landing in the United States to be the first recorded arrival of

enslaved Africans in the Americas. The then Minister of Tourism; Barbara Oteng Gyasi said the

Year of Return had injected about $1.9bn (£1.5bn) into the economy. And the Ghana Tourism

Authority told BBC News this figure was an estimate based on multiplying total visitor arrivals,

763,545 between January and September, by the average spend per tourist, $2,590 in 2019.

Tourism is an economic sector able to offer a significant contribution to the economic growth of

a region and to the labor market, and creates occupation opportunities directly and indirectly

through the supply of goods and the necessary services for tourist activities. The major benefit of
tourism for a region or country is economic as it provides an opportunity for job creation and

generation of revenue at international, national, regional and local levels. Tourism can also

benefit economies at regional and local levels, as money comes into urban and rural areas which

in turn stimulates new business enterprises and promotes a more positive image in an area

(Cooper et al., 1993).

Statement of the problem

For a tourism-based economy to sustain itself in local communities, the resident must be willing

partner in the process. Their attitudes toward tourism and perceptions of its impact on

community life must be continually assessed (Allen et al., 1988). One important reason to study

the socio-economic contributions to tourism is that they influence the local communities’

perceptions of tourism. Whether or not they have a welcoming attitude, for instance, might

become an important factor in determining success or failure in terms of attracting or retaining

more customers to the destination (Daye, 1997). The ability to define and quantify the various

impacts of tourism on the local communities helps to create effective strategies that avoid

potential conflicts between guest and host (Daye, 1997; Brunt & Courtney, 1999).It is well

recognised that tourism development generates both negative and positive impacts on the host

tourism area; therefore, there is the need to analyse and understand the impacts of tourism with

an orientation to reducing the negative impacts and reinforcing the positive ones. In Ghana,

adequate economic analysis of tourism has been carried out to determine its contribution to GDP,
however, little has been done to assess the socioeconomic contribution of Forts on host

communities. Thus, few studies have examined the socio-cultural impacts of tourism on host

communities. Against this limitation, the study sought to empirically assess the contribution of

Castle from the socio- economic perspective in host communities with specific focus on Cape

Cost Castle in the Central Region of Ghana.

Objectives of the study

The main objective of the study is to evaluate socio-economic contributions of cape coast castle:

Specifically, the study sought to

1. Analyses the environmental impact of cape coast castle on local community.

2. Assess the socio-economic benefits of tourism activities on the quality of life of residents.

3. Determine the level of participation by community members.

Research questions of study

The study seeks to answer the following questions:

1.What are the environmental impacts of cape coast castle on local community?

2.What are the socio-economic benefits of tourism activities on the quality of life of residents?

3.What are the level of participation by the community members?

Significance of the study

contributes to changes in the value systems, individual behaviour, family relationships, collective

lifestyles, moral conduct, creative expressions, traditional ceremonies, and community

organization. Several literatures have assessed tourism from most especially in relation to Castles

and it contribution to tourism. However, little empirical studies exist on the socio-economic

contribution castle. Thus, information from this study would be essential for making informed

decisions on planning, monitoring, marketing and evaluating programmes and activities of

tourism at district, regional and national levels. At the community level, it is expected that this

study would highlight the extent to which castle is contributing to tourism and the livelihoods of

the local community. On the academic front, the study would add to the non-existing stock of

literature on the socio- economic contribution of castle.

Scope of the Study

The researcher seeks to assess the socio-economic contributions of castle to the local community.

Limitations of the Study

Limitation of the study was respondents‟ unwillingness to answer the questionnaire. Other

limitations include money, time.

Organization of the Study

This study is made up of five chapters with each chapter focusing on specific aspect of the study.

Chapter one deals with the background to the study, the statement of problem, research questions

and objectives. Again, significance of the study, scope of the study is discussed. Chapter two will

review relevant literature related to the study. Chapter three focused on the methodology used in
the study; among the issues discussed are the research design, area of study, target population

and data collection instrument. Again, data collection procedures, sources of data and data

analysis were discussed. Chapter four also deals with the discussion and analysis of the data

collected. Chapter five relates to the summary of the study key findings, conclusion and

recommendations.