8/6/2019 Economic Impact of Events and Festivals

1/11

ECONOMIC IMPACT OF EVENTSAND FESTIVALS

8/6/2019 Economic Impact of Events and Festivals

2/11

Introduction

Fastest growing form of tourismMeans of drawing people to region having

seasonal tourist appealFixed length of events attract tourists whonormally will not visit the area

Indirect marketing of the whole region

8/6/2019 Economic Impact of Events and Festivals

3/11

Impacts

8/6/2019 Economic Impact of Events and Festivals

4/11

Economic Impacts

Positive negative

Increased expenditureCreation of employment

Increase in labour supplyIncrease in standard of living

Price increase during eventReal estate speculation

Failure to attract touristBetter alternative investmentInadequate estimation of cost

8/6/2019 Economic Impact of Events and Festivals

5/11

Tourism/Commercial

Positive Negative

Increased awareness of the region as atravel/tourism destination

Increased knowledge concerning thepotential for investment and commercialactivity in the region

Creation of new accommodation andtourist attractions

Increase in accessibility

Acquisition of poor reputation as aresult of inadequate facilities, improper

practices or inflated pricesNegative reaction from existingenterprises due to possibility of newcompetition for local manpower andgovernment assistance

8/6/2019 Economic Impact of Events and Festivals

6/11

Physica/Environmental

Positive Negative

Construction of new facilitiesImprovement of infrastructurePreservation of heritage

Ecological damageChanges in natural processArchitectural pollutionDestruction of heritageovercrowding

8/6/2019 Economic Impact of Events and Festivals

7/11

Social/Cultural

Positive Negative

increase in permanent level of localinterest and participation in types of

activities associated with eventstrengthening of regional values andtraditions

commercialization of activities whichmay be of a personal or private nature

modification of nature of event oractivity to accommodate tourismpotential increase in crimechanges in community structure

8/6/2019 Economic Impact of Events and Festivals

8/11

PSYCHOLOGICAL

Positive Negative

increased local pride and communityspirit

increased awareness of non-localperception

tendency towards defensive attitudesconcerning host region

cultural shockmisunderstanding leading to varying

degree of host/visitor hostility

8/6/2019 Economic Impact of Events and Festivals

9/11

POLITICAL/ADMINSTRATIVE

Positive Negative

enhanced international recognition of region and values

development of skills among planners

economic exploitation of localpopulation to satisfy ambition of political

elitedistortion of true nature of event to

reflect elite valuesfailure to copeinability to achieve aimsincrease in administrative cost

use of event to legitimate unpopulardecision

8/6/2019 Economic Impact of Events and Festivals

10/11

Conclusion

These factors are obviously beneficial forthe tourism industry, although the cost atwhich they are obtained must be justified.These impacts differ due to the size and scaleof the event ranging from a local communitybased event such as an art show to a mega-event, such as the Olympics.

8/6/2019 Economic Impact of Events and Festivals

11/11

Thank you

any questions ?????