Table of Content

1. Introduction……………………………………………………………………..2

2. The definition of urban tourism…………………………………………………….2

2.1 Urban tourism………………………………………………………………………………..2

2.2 Malaysia……………………………………………………………………..3

2.3 Singapore……………………………………………………………………….4

2.4 The situation in Malaysia and Singapore………………………………………………….4

3. Comparative methods……………………………………………………….5

3.1 SWOT Analysis……………………………………………………………………………...5

3.2 Lesson-drawing…………………………………………………………………………….6

3.3 How SWOT and Lesson Drawing Applies to Urban Tourism……………………….6

3.4 Rationale for Comparing Malaysia and Singapore.

4. Comparison of urban tourism in Malaysia and Singapore………………6

4. Malaysia SWOT………………………………………………………………………………7

4.2 Singapore SWOT……………………………………………………………………………8

5. Conclusion…………………………………………………………………………..9

6. Reference…………………………………………………………………………..1

1. Introduction

In this report, the lessons from the class would by drawn to investigate the current trends in

urban tourism across two countries Malaysia and Singapore. Both the countries chosen for

investigation belong to the developing world, where urban tourism has gained strategic

importance for the economic growth of the nations. The purpose of the study is to gain deep

insight into differentiating factors between the two countries, in terms to urban tourism. The

report initially introduces the basic concept of urban tourism and its role in developing the

economy. Secondly, the report would present facts and data, along with the background, of the

two tourist destinations being surveyed. In order to fulfill the purpose of the study, the

understanding of various comparative methods is critical. The report would discuss in detail the

comparative methods like benchmarking, lesson-drawing and SWOT. All three comparative tolls

would by them employed to compare the trends in urban tourism in the selected tourism

destinations. The study would conclude with an informative and comprehensive discussion upon

the findings from the three comparative analyses and the final observation.

2. The definition of urban center

Urban tourism is defined as the development of tourist centers and other entertainment areas

within an urban center which has the appropriate infrastructure and technology. The urban

destination offers the tourists as systemized and organizes system for entertainment (Law, 1992).

Usually an urban center or destination is a metropolitan area which inhabits at least 1 million

people. However, an urban center necessarily needs to have some historical and cultural

elements in order to keep the tourists attracted to the city. Even a small city of historical

importance can be turned into a destination of urban tourism by adding some infrastructure and

high-end technology to it.

2.1 Urban Tourism

Tourism is not only restricted to visiting historical palaces, in today’s era, a tourist is looking out

for more. In fact, most people want to take a break from their busy schedules and go on a

vacation to some luxury hotel, where they can relax and enjoy. Such type of tourism preferences

has given rise to a new way of tourism, Urban Tourism. It pertains to the tourism related

activities that take place within the city or an urban center. In fact, in present times, many

countries and states give utmost priority to their development as urban centers, since urban

tourism contributes significantly to the economic welfare of any nation (Hamzah, 2002).

2.2 Urban tourism in Malaysia

Located in the Southeast Asia, Malaysia is known worldwide for its beautiful scenery which is

equally complemented by high-class and luxurious facilities. Malaysia has gradually become the

one-stop destination for all kinds of tourist activities. From sight-seeing to scuba diving, and

from luxury resorts to casinos, a tourist can have all goodies in one plate. Urban tourism in

Malaysia developed in two stages. Initially, after Independence in 1957, development took over

the whole city and the demographic view of Malaysia began changing. The second stage started

after 1990, when the government realized that tourism, specifically urban tourism, holds the

potential to generate significant revenues and expand the economy of the nation (Law, 1992).

2.3 Urban tourism in Singapore

After its political freedom, Singapore’s sole objective has been to transform itself into a modern

city which offers the best of all facilities to its tourists. As a nation, Singapore has become a

model of multi-diversity where people from all races and cultures are given equal opportunities

to relax and enjoy. Singapore, under the influence of globalization, has become a world-class

city which conserves its heritage along with offering leisure and entertainment activities like

resorts and casinos. Singapore is fast becoming people’s most preferred destination for tourist

activities. The tourism board in Singapore is continuously on a look out for finding new and

potential avenues to better the tourist activities offered here (Law, 1992).

2.4. The situation of urban tourism in Malaysia and Singapore

According to the ASEAN Travel and Tourism Competitiveness Report 2012, Singapore leads the

fore front when it comes to the no. of inbound tourists travelling to this beautiful nation.

According to the facts and figures, almost 23.5 million international tourist came to Singapore,

out of which almost 76% tourists quoted it as their favorite destination for urban tourism.

Malaysia ranked second to Singapore, as reported by the The ASEAN Travel and Tourism

Competitiveness Report. According to the fact, almost 19.5 million international tourists visited

this world-class destination for entertainment and holidaying. Approximately 88% tourists were

quoted saying that Malaysia is the world’s best destination for urban tourism.

3. Comparative Methods

The comparative approach of analysis is relatively new in the tourism industry. However, with

the growing emergence of tourism as an industry which generates huge revenues for the nation,

comparative methods like SWOT analysis and Lesson Drawing are the best to analyze the

situation of urban tourism in countries like Malaysia and Singapore. The comparative approach

is definitely a more recognizable method for analyzing the tourism industry since more and more

people have beginning to value the results produced by comparative methods (Kozak, 2002).

3.1 SWOT ANALYSIS

SWOT Analysis or the Strength, Weakness, Opportunities and Threats Analysis is one of the

most commonly used tool of comparative studies. This approach is based on identifying the

external and internal factors that are favorable or unfavorable for a specific project or condition.

In this study, we would conduct a SWOT Analysis to get a deep insight into the internal and

external factors that affect urban tourism in Malaysia and Singapore (Baum. 1999).

The internal factors of SWOT Analysis include the strengths and weaknesses of tourism in

Malaysia and Singapore. While analyzing the strengths, attributes like core strength of tourism,

the cash and financial resources and the quality of services and products, are taken into

consideration (Kozak, 2002). While analyzing the weaknesses, attributes like higher costs of

development, lack of management skills, weak systemization and organization, are taken into

consideration.

The external factors of SWOT Analysis include the opportunities and threats faced by the urban

tourism sector in Malaysia and Singapore. While analyzing the opportunities, attributes like

diversification opportunities, competitiveness, market growth, new services and products are

taken into consideration (Nash, 2003). While analyzing the threats, attributes like increase in the

competition, availability of substitutes and low or minimal market growth are taken into

consideration.

However, SWOT analysis is the most commonly followed method of comparative study, it also

comes along with a few pitfalls. The danger of over-generalization is definitely high in the

SWOT analysis since the list of strengths, weaknesses, opportunities and threats is not logical or

based on evidence. Thus, SWOT Analysis is most suitable for presenting an overall view of the

situation but does not offer a precise solution on conclusion.

3.2 Lesson-drawing

A very effective technique since many decades, lesson-drawing is also suitable for analyzing the

situation of the urban tourism industry in Malaysia and Singapore. Basically, the method of

lesson drawing refers to the learning from the experience of others. However, the process of

lesson drawing does not assure that the lessons learnt would be desired or practical. In order to

make the approach of lesson drawing meaningful, it is critical that the selected cases must have

significant similarities (Nash, 2003).

3.3 How SWOT Analysis and Lesson Drawing Applies to Urban Tourism

SWOT Analysis is would enable the tourism boards in Malaysia and Singapore to identify their

strengths and couple them with opportunities to increase the avenues of urban tourisms. In

addition, a SWOT Analysis of the competing nation would help in identifying its weaknesses

and thus, attract more tourists by offering a better deal. The tourism boards of both Malaysia and

Singapore can learn from the results of lesson drawing about where they are lagging and where

they have great potential to capitalize on the available market (Kozak, 2002).

3.4. Rationale of comparison between Malaysia and Singapore

To make any comparative analysis successful, it is extremely critical that we have a very strong

rationale behind the two chosen cases. In fact, in terms of urban tourism, the existence of robust

rationale becomes even more important (Lennon et al, 2006). Urban tourism is all about the

organized entertainment an urban center (nation/city/state) offers to its tourists. Now, if we

choose two destinations which do not have demographic similarities, it is obvious that the

comparison would be meaningless since it would not be able to present a clear picture. In this

report, we chose Malaysia and Singapore for the comparative analysis of urban tourism, because

both these nations are amongst the most sought to urban tourism destinations in the world. Both

Singapore and Malaysia are old ports and have seen similar development after their

Independence. Secondly, both Singapore and Malaysia bank on urban tourism as their highest

economy generation industry. Thirdly, both Malaysia and Singapore offer almost similar tourist

deals and hence face severe competition from each other.

4. Comparison of urban tourism in Malaysia and Singapore

For comparison between the urban tourism in Malaysia and Singapore, first we will present the

result of the SWOT Analysis and then apply the “Inspiration” technique of lesson-drawing to

present a comprehensive conclusion.

4.1 SWOT analysis of urban tourism in Malaysia

Strengths of Malaysian tourism-:

1. A steady increase in the number of international inbound tourists. This shows that more

and more tourists are getting attracted by the deals and packages offered by the Malaysia

tourism industry (Lennon et al, 2006)..

2. The preservation of heritage sites of great historical significance gives Malaysia an edge

over the other countries like Singapore. For a state to be a world-class center of urban

tourism, it is critical that it offers tourists activities other than hotels and casinos (Kozak,

2002).

3. Malaysia is amongst the most culturally diverse country of Southeast Asia. It is true that

Malaysia is truly Asia, since even after development and advancement, the state has

managed to preserve its culture. This gives Malaysia a distinct appeal to the urban

tourists (Lennon et al, 2006).

Weaknesses of Malaysia Tourism-:

1. The first weakness of Malaysia tourism is that the Government policies are not very

tourist friendly.

2. The airport and public transport facilities in Malaysia are slightly slower as compared to

other countries like Singapore (Hall & Page, 2002).

3. Although globalization has had its effects, Malaysia still lacks behind when it comes to

technology and infrastructure.

Opportunities of urban tourism in Malaysia-:

1. The opportunities of urban tourism in Malaysia includes its capacity to offer low-cost

accommodation and other deals to the tourists (Kozak, 2002).

2. The urban tourism in Malaysia can capitalize on its natural assets like beautiful beaches

to attract more number of tourists (Lennon et al, 2006).

Threats of urban tourism in Malaysia-:

1. Malaysian urban tourism industry faces severe threat from the fact that it is vulnerable to

severe cases of swine and bird flu’s. The lack of proper methods to curb these ailments

has increased apprehensions amongst the tourists (Hall & Page, 2002).

4.2 SWOT Analysis of Singapore Urban Tourism

Strengths of urban tourism in Singapore-:

1. The Government in Singapore understands the significance of its urban tourism industry

and offers strong support to its tourism board by providing grants and making favorable

policies.

2. As a transit point for long flights, Singapore attracts many tourists as a place where they

can refresh and relax in the midway journey (Lennon et al, 2006)..

3. The urban tourism industry in Singapore is continuously witnessing a steady growth in

the number of international tourists. This directly hints at the fact that the economy of the

nation is increasing and so is the tourist infrastructure.

Weaknesses of urban tourism in Singapore-:

1. Singapore is a city-state and hence does not have a geographical advantage over countries

like Malaysia, since it does not offer many natural tourist attractions. This considerably

reduces the number of tourists who are on a look out for natural scenery as well as luxury

2. Singapore also lacks behind when it comes to historical and cultural elements. In a race

for building hotels, malls and resorts, Singapore has considerably lost its historical and

cultural heritage. Thus, it does not have much diversity to attract the tourists (Lennon et

al, 2006).

3. The demolition of Budget Terminal in the Changi Airport would considerably reduce the

incoming tourist traffic.

Opportunities of urban tourism in Singapore-:

1. With the aviation sector being liberalized, Singapore has the huge opportunity to become

a business and leisure sector for a large number of working professionals who are always

on a look out for economical ways of mixing work with pleasure.

2. The latest development of luxury resorts like Marina Bay Sands and Sentosa carries great

potential to attract tourist who earlier went to countries like Malaysia.

3. The youth-centered development in Singapore presents an opportunity to capitalize on

the increasing trends of vacations at urban destinations amongst the youth.

The threats for urban tourism in Singapore-:

1. Singapore’s urban tourism industry is greatly threatened by its vulnerability to

international crisis like swine and bird flu. Many people avoid Singapore only because

they are scared of catching chronic infections.

2. Many other countries, like Malaysia, offer similar urban tourism deals at lower costs.

This can considerably reduce the number of international tourists

4.2 Lesson Drawing – Malaysia and Singapore.

For lesson-drawing approach, the attributes to be considered were the private and public sectors

of both countries, the funds and policies of the government, the leadership and co-operation

amongst the people, the marketing approach and the sight-seeing interactions and infrastructure

(Pearce, 2003).

From the lesson-drawing in Malaysia, it was learnt that-:

1. Malaysia is country which has the natural sight-seeing attractions along with man-made

wonders like The Petronas Twin Towers. This makes it a highly preferred destination for

urban tourism.

2. Apart from natural sight-seeing, Malaysia also offers a great cultural diversity to people

who are on a look out for an overall luxurious experience.

3. However, the Malaysian tourism board needs to work hard on improving the

technological infrastructure to attract the tech-savvy youth of today (Jansen-Verbeke,

1996).

From the lesson-drawing in Singapore, it was learnt that-:

1. Singapore is one of the most advanced city-state in the Southeast Asia, which makes it

the most preferred destination of the youth to conduct their business along with being a

high-end shopping destination (Hall & Page, 2002).

2. Singapore offers the international tourists a luxurious and leisurely vacation, the quality

of services provided is extremely high and the standards met are much above the

expectations of the tourist.

3. The Singapore urban tourism board needs to promote sustainable urban tourism where

the preservation of heritage sites is of utmost importance.

5. Conclusion

Through the comparative study of two urban tourism destinations, Malaysia and Singapore it was

examined that urban tourism is fast becoming the strongest economy generating sector for many

developing countries. For becoming a destination of urban tourism, it is not only important to

have the desired infrastructure, it is also necessary to offer the tourists some heritage and cultural

sight-seeing elements. Thus, sustainable urban tourism is the optimal way to capitalize on the

ever-increasing market of urban tourism.

6. References

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Law, C.M. (1991). “Tourism as a focus for urban regeneration.”

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page=facts_figures on 24-07-2013