BX2091

Session 2:
Tourism as a System

Learning Outcomes
• Understand the basic concept of a tourism system
• Identify and evaluate the various individual elements of the tourism system and their relationships
• Define the term ‘tourist’ and describe three criteria that can be used to define tourists
• Appreciate the distinctions between generating, transit and destination regions in tourism
• Explain the term 'tourism industry’ and briefly describe its components

© James Cook University

BX2091:03 Tourism & Leisure Management
 Lecture Outline
• The Tourism System
• The Tourist
• The Generating Region
• The Transit Route
• The Destination
• The Tourism Industry
• External Environment
– STEEP factors

© James Cook University

BX2091:03 Tourism Management 2
A Systems Approach to Tourism
• What is a system?
A system is a group of interrelated, interdependent
and interacting elements that together form a
single functional structure.
(Leiper, 1995)
• Other characteristics of a system include:
– hierarchical nature (macro vs. micro)
– composed of subsystems (e.g. tour operators)
– flows & exchanges of energy (e.g. people, goods)
© James Cook University
BX2091:03 Tourism Management 3
INTERDEPENDENCE

© James Cook University

BX2091:03 Tourism Management 4
 Leiper’s Tourism System
• Five Essential Elements of A Tourism System:

2
1 A Generating Region
3
A Tourist A Transit Region

5 4
A Tourism Industry A Destination
© James Cook University
BX2091:03 Tourism Management 5
 Leiper’s Tourism System
• Leiper’s (1995) Model
Environments: human, sociocultural, economical, technological,
physical, political, legal, etc...

1. Departing Tourists

2. Generating 3. Transit route region 4. Destination

region region
1. Returning Tourists

5. Location of the Tourism Industry

© James Cook University

BX2091:03 Tourism Management 6
 Leiper’s Tourism System
• Leiper’s (1995) System with multiple transit and destination components

TR3
TDR3 TDR2

TR4
TR2

TGR TR1 TDS1

TDR1
LTR1 LTR2
TDS2
TGR Tourist generating region
TR Transit route LTRLocal transit route
TDR Tourist destination region TDSTourist Destination Site
© James Cook University
BX2091:03 Tourism Management 7
 Leiper’s Tourism System
• A systematic model for studying tourism (Leiper, 2004)
Tourist

Transit Generating
Route Region

Destination Industry
Region

© James Cook University

BX2091:03 Tourism Management 8
 Who are the Tourists?
1. Popular definitions…
– Positive and negative connotations…let’s discuss
2. Technical definitions…
– A traveler
– A visitor
– An excursionist/day tripper
– A tourist: a visitor who spends
at least one night away from home

© James Cook University

BX2091:03 Tourism Management 10
 1. The Tourist
Major Tourist Categories
Commuters
All travelers

Nomads

Tourists Non-tourists Active members of

armed services

Diplomats

Migrants
Stayovers Excursionists
Refugees

Routine trips
1 2 3 4
International Domestic International Domestic
stayovers stayovers excursionists excursionists Stopovers

© James Cook University

BX2091:03 Tourism Management 11
 1. The Tourist

Tourist terms used in your textbook Tourist terms used by the WTO

• Terms used by your textbook & WTO

 Tourists = Visitors
 Stayovers = Tourists
 Excursionists = Same-day visitors

© James Cook University

BX2091:03 Tourism Management 12
 1. The Tourist

Spatial

Temporal Purposive

© James Cook University

BX2091:03 Tourism Management 13
 1. The Tourist
Spatial Component
• International Tourists
– Inbound & Outbound
– Long haul & short haul
• Domestic Tourism
– Travel beyond a person’s usual environment but within their
usual country of residence
• Local
• Intrastate
• interstate
– Distance thresholds are normally applied to domestic tourism–why?
– Larger number of tourists, but…little known about domestic tourism-why?

© James Cook University

BX2091:03 Tourism Management 14
 1. The Tourist
Temporal Component
• Length of Stay
• Stayovers and excursions
• Transit passengers?
• WTO Thresholds
– international stayover tourist = max. of 1 year
– domestic stayover tourist = max. of 6 months

© James Cook University

BX2091:03 Tourism Management 15
 1. The Tourist
Purposive Component
• Leisure
• Visiting Friends and Relatives (VFR)
• Business

• Others
– Sport
– Spiritual & health
– Education

© James Cook University

BX2091:03 Tourism Management 16
 1. The Tourist
Purposive Component – Australian Context
Domestic International

2004 2008 2004 2008

Holiday/leisure 43% 50% 56% 38%

VFR 32% 30% 22% 17%

Business 20% 15% 16% 6%

Education - - 6%
Tourism Australia, 2004
Other 5% 5% - 39%

© James Cook University

BX2091:03 Tourism Management 17
 1. The Tourist
Purposive Component – Australian Context
• Top 5 Activities

INTERNATIONAL VISITORS DOMESTIC VISITORS

Shop for pleasure VFR
80% 39%
Go to beach (swim, surf, dive) Go to beach (swim, surf, dive)
57% 24%
Go to markets Pubs, clubs, discos
Tourism Australia, 2004
51% 23%
Pubs, clubs, discos Visit national parks
43% 12%
Visit National/ State Parks Other outdoor activities
© James Cook University
BX2091:03 Tourism Management 18
 1. The Tourist
Purposive Component – Multipurpose trips
• most trips involve multipurpose travel, which causes data
classification and analysis problems
• in Australia, departing visitors are asked to state their primary
and subsidiary travel purposes
– e. g., Primary - 3 day convention,
Subsidiary - 8 days pleasure & 3 days VFR
• further complication is that people
in the same group may have different
purposes for their trip

© James Cook University

BX2091:03 Tourism Management 19
 1. The Tourist
Major Tourist Categories
Commuters
All travelers

Nomads

Tourists Non-tourists Active members of

armed services

Diplomats

Migrants
Stayovers Excursionists
Refugees

Routine trips
1 2 3 4
International Domestic International Domestic
stayovers stayovers excursionists excursionists Stopovers

© James Cook University

BX2091:03 Tourism Management 20
 2. Generating Region
• Origin Community
– neglected component of the tourism system
– little research has been done on the impacts of tourism
on the origin community
• Government
– influence of the origin government on the tourism
system has also been largely ignored
– foreign travel advisory warnings for outbound citizens,
and consular services
• Intermediaries & marketing associated with the
distribution of tourism
© James Cook University
BX2091:03 Tourism Management 21
 3. Transit Region
• Some questions:
– Time wasted in transit or part of the experience?
– Can transit regions be destination regions?
– What about cruise ships – destination or transit?
• Impacts on transit route
• Impact of transit routes in destination regions
• Impact of Technology

© James Cook University

BX2091:03 Tourism Management 22
 3. Transit Region
• Figure 2.6 The evolution of the trans-Pacific travel system

© James Cook University

BX2091:03 Tourism Management 23
 4. Destination Region
• Focus of most Tourism Research
• Destination Communities
– Community impacts (positive & negative)
– Locals as an attraction + resource
– Local attitudes towards tourism
• Destination Governments
– requirements under which tourists can enter and leave country
– Implementation of pro-tourism policies to encourage growth
– establishment of tourism-related agencies – marketing & management
• Tourism Operators

© James Cook University

BX2091:03 Tourism Management 24
 5. The Tourism Industry
• Is tourism an industry?
– It does not have a SIC (Standard Industrial
Classification)
– It is not included in the International System of
National Accounts
– “An aggregate of businesses
that provide products and
services to meet the needs of
tourists” (Smith 1988)
– Who do we define as within the
industry?
© James Cook University
BX2091:03 Tourism Management 25
 5. The Tourism Industry
Give examples of Businesses that are
Directly Involved in Tourism in these sectors
• Travel
– Transportation
– Travel Services
• Hospitality
– Accommodation
– Food Services
• Attractions and Activities
• Retail Goods

© James Cook University

BX2091:03 Tourism Management 26
 5. The Tourism Industry
• Figure 2.8 Status of major tourism industry
sectors within the tourism system
Categories Origin Transit Destination
Travel retailers
Transport
Accommodation
Food & Beverage
Tour Operators
Attractions
Merchandisers

MAJOR MINOR NEGLIGIBLE

© James Cook University
BX2091:03 Tourism Management 27
 5. The Tourism Industry
• We are interested in:
– Sector characteristics (e.g. hotels, attractions etc.)
– How tourism businesses are managed
• Customer service
• HRM
• Finances & Budgets
• Operations
• Marketing
– What impacts the industry has on the local community,
destination, environment and tourists themselves
– How the external environment impacts on the industry

© James Cook University

BX2091:03 Tourism Management 28
 External Environment

Factors
• Social Change
• Technological Change
• Environmental Change
• Economic Change
• Political Change

© James Cook University

BX2091:03 Tourism Management 29
 Key Points
• Tourism can be conceptualised as a system of five interrelated
parts
• This system is influenced by environmental factors (STEEP)
• There is a need to clearly establish the meaning of the terms:
– “tourist”
– “tourism industry”
• Tourists can be described in terms of spatial, temporal or
purposive criteria
• Geographically, we can discuss tourism in terms of the
generating region, transit routes and destination regions.

© James Cook University

BX2091:03 Tourism Management 30
ourism & Leisure Management

© James Cook University BX2091:03 Tourism

& Leisure Management