...Introduction While much of the focus may be on the United States, the recent financial crisis has impacted countries around the world and Italy appears to be one of the hardest hit in Europe. After decades during which the Italians as well as the international industrial, agriculture and financial sectors raked huge profits without investing anything in innovation and competitive interventions, now companies are claiming the state rescue and support. According to initial estimations made at the OIV (International Organization of Vine and Wine) Italy, the world's second-biggest wine producer after France with an output of about 4.5 billion liters per year, had in 2009 a decrease in domestically demand, price and export which reflects the effects of the world economic crisis. Average price of Italian wine dropped 20 percent last year with ordinary wine prices plunging 25 percent and special denomination quality wines losing 13 percent. In 2009, Italian wine sales to export markets, the United States and Britain, fell 7 and 10 percent respectively hammered by the crisis and advance of rivals from Chile, Argentina, South Africa, Australia and New Zealand, according to UIV estimates based on data from Italy's statistics agency ISTAT (Istituto di Servizi per il Mercato Agricolo Alimentare). Tourism can be an important resource for an economy and Italy is the fourth highest tourist earn and fifth most visited country in the world, behind France (76.0 million), Spain (55.6 million)...
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...SPAIN: FROM ECONOMIC CRISES TO TOURISM COMPETITIVENESS José Francisco Perles-Ribes* (corresponding autor) (jose.perles@ua.es) Ana Belén Ramón-Rodríguez* (anar@ua.es) Antonio Rubia-Serrano** (antonio.rubia@ua.es) Luis Moreno-Izquierdo* (luis.moreno@ua.es) *Department of Applied Economic Analysis, University of Alicante ** Department of Financial Economics and Accounting, University of Alicante Faculty of Economics and Business Sciences University of Alicante Campus San Vicente del Raspeig 03080 Alicante Tel: 96 590 36 09 Fax: 96 590 93 22 Corresponding author details: José Francisco Perles-Ribes (jose.perles@ua.es or jfperles@gmail.com) Particular adress: Urb. Manzanera 13-R 03710 Calpe (Alicante) Tlf: +34 635 617 159 SPAIN: FROM ECONOMIC CRISES TO TOURISM COMPETITIVENESS Abstract: This paper considers the influence of economic crises on Spain’s tourism competitiveness. This competitiveness is measured by its share in world tourism. Analysing a period of forty years, the permanent effects of temporary or structural economic crises on competitiveness are observed. Furthermore, it identifies the economic transmission mechanisms operating and links them to the most relevant explanatory models of tourism destination competitiveness. The main conclusion obtained is that the effects of shocks on competitiveness are not neutral and that the negative effects are more persistent in highly intensive crises. This effect works through two basic transmission mechanisms: the...
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...here are conflicting views on how the global financial crisis is affecting medical tourism. The view expressed by organisations such as the Medical Tourism Association is that the "...with the economy and the credit crisis, more people are waking up and paying attention (to medical tourism)." The harsh reality may be somewhat different. BusinessWeek reports that "...in some medical tourism hotspots, formerly booming hospitals are seeing empty beds." The MD of Parkway Hospitals in Singapore, "expects the foreign patient numbers to stabilise after dropping 10 per cent". Whether the credit crunch encourages more people to consider travelling abroad for treatment remains to be seen. People are short of cash, unable to borrow and are delaying expenditure on house purchases, cars and other major expenditures. Healthcare is not immune to this. Although in the last global recession, healthcare was less affected, the likelihood is that people who might have considered medical tourism may decide to postpone their expenditure. Areas likely to be affected most are those “non-urgent”, discretionary treatments such as cosmetic surgery. In countries where medical tourism is influenced by waiting lists, patients may decide to hold out for free treatment in their own country rather than go for the paid for, immediate treatment available elsewhere. In the USA, the story may be different, as the financial crisis puts pressure on health insurers and employers to find ways to cut rising healthcare...
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...facing the world today, from the present financial crisis to the change in the world’s climate. A financial crisis is applied broadly to a variety of situations in which some financial institutions or assets suddenly lose a large part of their value (Wikipedia, 2009). Climate change, on the other hand, is described as the buildup of man-made gases in the atmosphere that trap the sun’s heat, causing changes in weather patterns on a global scale (Enviro- glossary). Larger countries are not the only ones that have been affected by these two issues, as smaller islands have also been affected. One such country is the small island state of Grenada. Developing countries and developed countries are all inter-connected, in that, any effect whether positive or negative on the economies developed countries affects the economy of developing countries. The first and second world countries have felt the ‘thump’ of the global financial crisis which have caused an increase in the rate of unemployment, decrease in consumer demand and spending and investments into developing markets. “The current global financial crisis is having an adverse impact on our country and on the performance of its economy” (Hon Tillman Thomas, 2009). The financial crisis has forced the Grenadian government to focus on ways to boost the economy from within, spending excessive amounts of money on stimulation packages for the economy. Unfortunately, because of this same crisis, investors have withdrawn their funds...
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...1.0 Introduction to Brazil Tourism Industry In Brazil, tourism is a key to the economy development of several regions of the country. This statement was further supported by Slob B. & Wilde J. (2006), in their published journal entitled ‘Tourism and Sustainability in Brazil’, regardless of anywhere in the world, tourism, indeed; is the fastest growing industry and it contributes the world economy with a gross output of over US$7 trillion, employing 11% of globe’s workforce, forming 11.5% of global GDP. While in Brazil, White (2006) found that the industry contributes 3.2% of the total country revenue in year 2005. According to World Tourism Organization (WTO), due to the devaluation of American Dollar against the Brazilian Real has made a favorable trend in International tourist arrival to Brazil to grow dramatically in 2007 and in early 2008. In spite of this, statistic in Table 1 shows that revenue had risen from USD 4.3 billion in 2006 to USD 5.7 billion in 2008. Table 1 Brazil International Tourism Arrivals 1995-2011 Year | International tourist arrivals (x1000) | Annual growth (%) | Total revenue (millions USD) | Annual growth (%) | 1995 | 1,991 | - | 972 | - | 2000 | 5,313 | - | 1,810 | - | 2003 | 4,133 | - | 2,479 | - | 2004 | 4,794 | 16.0 | 3,222 | 30.0 | 2005 | 5,358 | 11.8 | 3,861 | 19.8 | 2006 | 5,019 | -6.3 | 4,316 | 1.1 | 2007 | 5,025 | 0.1 | 4,953 | 14.8 | 2008 | 5,050 | 0.5 | 5,780 | 16.7 | 2009 | 4,802 | -4.9 | 5,305 | -8...
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...Introduction | 2 | Financial Subprime Mortgage Crisis Causes | 3 | Introduction & Background to the Situation of the Egyptian Economy prior to the Global Financial crisis | 10 | Financial Subprime Mortgage Crisis Impacts on Egypt | 13 | The Egyptian Economy & the crisis | 21 | The Conclusion & Solutions | 23 | The References | 27 | The Introduction In the second half of 2008, the world economy went through a serious financial upheaval that sparked off in the United States and spread to Europe and the rest of the world. The negative consequences of this financial crisis had bitten the Egyptian economy in many fields. Egypt’s growth rate witnessed setbacks and may have posted its slowest annual growth in half a decade in 2008–2009 as the global crisis hit revenue from tourism, migrant labor remittances, the Suez Canal, export revenues, and investment. The severity of the crisis and its uncertainties demonstrated the need for urgent action to restore financial stability, lead the economic recovery and secure a sustainable future for the country. This paper therefore critically discusses the current global financial crisis and its impact on Egypt. It presents an overview of the Egyptian economy prior to the crisis, followed by an assessment of the depth and impact of the crisis on sectors of the Egyptian economy. Additionally, the paper highlights the actions taken by the Egyptian government to weather the effects of the crisis and concludes with some...
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...Vietnam tourism has experienced a rapid development for last decade and we would like to discuss changes in the major indicators such as tourist arrival and receipts, contribution to GDP and employment. In 2002 the total number of tourist arrivals was 2,6 MN and after 10 years, this number increased by 3 times 6.8 MN. From 2002 to 2012 several fluctuations were registered: In early 2003, tourism experienced impact from 2 incidents: the American–Iraqi conflict and the Severe Acute Respiratory Syndrome epidemic in Asia. In East Asia tourist arrivals dropped dramatically. SARS crisis scared tourists away from Vietnam, thousands of foreign tourists canceled their tours and that reflected in low.value of total tourist receipts, which was 1.4 bn. In 2006 tourist arrival rose to 3.58 MN and there were several reasons caused this change: tourism policies like Tourism Law and national action plan were implemented. Vietnam simplified visas policies, offered new tours and organized cultural events and festivals. In 2007 total arrivals reached 4,17 MN and value of tourism receipts 3.75 bn, However. due to the result of the financial crisis, the developing rate started to slow down . 2009 was a tough time for Vietnam. Financial Crisis and A/H1N1 virus discouraged tourists from travelling. From 2008 to 2009, the total number of arrivals has dropped by 600 000 and total tourism receipts reduce by 7 MN. This has been a significant decline in recent years. Situation has slightly...
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...Unlike its neighbors, the city and the UAE as a whole, has developed into a diverse economic state that has become a center for business and tourism. Although the city was built on the oil industry, it is the city’s current model of business that has driven its economy. Many of the city’s main revenues come from tourism, real estate, and financial services. Typically overlooked, it is Dubai’s economic development strategy that has kept the city profitable and growing. Dubai’s economic development strategy has implemented many strategies that the government believes will help ensure long term stability and sustainability. One tactic the government has developed is the implementation of free zones. These free zones have been designed to contribute to Dubai’s growth and development. One main item is involved with these zones however—the legal status of the companies within these zones. These companies are treated as foreign companies operating outside the UAE. Most sales of the companies located in these zones are exported without any tax being imposed. Owning a company in a free zone allows for 100% retention of profits (Reed). The free zones in Dubai include financial centers, media centers, and technology centers. Dubai has also taken up a large investment in the real estate sector. This has allowed Dubai’s construction and tourism industries to boom, and in result, have diversified the city’s economy. One other economic development strategy Dubai has developed is the...
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...and putting many people in unemployment environment. Depressed housing prices made many homes worth much less than the mortgage value therefore some owners chose just walk away instead of pay their mortgage. The housing sector is one of the most important chains in the economy. After the housing market crash, the economy could not run as usual because this chain had a big impact in the United States economy. Therefore the other fields and sectors ruined by the circumstances. Briefly, the domestic crisis started to change the consumer behaviors. People reduced their spending and that effected the volume of the import and export. As we know United States does import goods and services in many fields which means the country has foreign trade almost with the whole world. The consumer demand for any product, accept food and medicine went to down due to economic crisis. Unfortunately, this action started to give hard time to the suppliers from all around the world. So the economic crisis in the United...
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...Assignment about the importance of hospitality management in global market Subject: English Submitted by: Miss Christina Lecturer of English department Submitted to: Mithu Ahmed ID NO: 13300016 To All students of kolej gemilang Methodology: (1) Internet (2) Books (3) Shit-paper (4) Myself Hospitality industry is a huge sector of global market in this era. Hospitality industry makes our life more comfortable, more enjoyable, and more flexible. It is also a great helper of world economy. Importance of hospitality management in global market: There are many importance of hospitality management in global market. I write down below in my own opinion. (1) Remove Unemployment (2) Economic aspects (3) Education aspects (4) Safety Life Unemployment (or joblessness) occurs when people are without work and actively seeking work. The unemployment rate is a measure of the prevalence of unemployment and it is calculated as a percentage by dividing the number of unemployed individuals by all individuals currently in the labor force. During periods of recession, an economy usually experiences a relatively high unemployment rate. According to International Labor Organization report, more than 197 million people globally are out of work or 6% of the world's workforces were without a job in 2012. Here Hospitality management...
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...economic activity of the Dominican Republic. In 2014 tourism revenues was, directly and indirectly, 16% of the country’s GDP. Furthermore, according to the Minister of Tourism, this sectors represents 49% of overall foreign investment in the Dominican Republic. However, the strong dependence in Tourism is an economic issue for the Dominican Republic because of its variable nature, given there is too many factors that the country can’t control making it vulnerable and in need to diversify its economy while making this important sector resilient....
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... Oliul Islam (352949) Table of content 1. Introduction 2. The Recession 3. The Recession * Poor risk management * Over reliance on the Bull market * Trade Imbalance and debt bubbles * Lack of Transparency * Misguided information from the rating agencies 4. Effects on global trade * Trade and Industrial production * Unemployment * Financial market * Travel * Insurance * Small business lending * Pollution 5. Global responses 6. Policy recommendations 7. Risks 8. References Introduction In 2008, the world experienced a major financial crisis which was rooted from the US housing market; moreover, many economists considered it as one of the great recession since the Great Depression in 1930s. After posing a huge affect on the U.S economy, the financial crisis expanded to Europe and the rest of the world. In this paper, I will analyze the impact of the recession on the global trade, the results of it and the risk and opportunities that came along with it. The Recession In April 2009, the world economy appeared to be in a free fall. Global trade between the countries had decreased 15.8 percent over the last two quarters of 2008 and the first quarters of 2009. This global trade collapse had...
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...in the Gulf of Mexico. The explosion involved a loss of hydrostatic control of the well and failure of the blowout preventer equipment that allowed the release and ignition of hydrocarbon. The explosion claimed 11 lives and 205 million gallons of oil spilled into the surrounding ecosystems which made it the largest accidental oil spill in the history of the petroleum industry. In response to the crisis, BP created its “Gulf of Mexico Restoration” website as a form of crisis management to protect and repair its reputation. BP’s “Gulf of Mexico Restoration” website uses these three strategies to try to repair its reputation: highlighting current financial data and reports to show the accurate compensation contributions BP has given to the Gulf; displaying videos with images that de-emphasize the damage by focusing on restored areas and statistics showing how the Gulf has restored business continuity; and uses powerful headers and sub-headers titled to portray optimistic restoration objectives. To restore its reputation, BP's "Gulf of Mexico Restoration" website provides current financial data and reports that show the donations BP has given to the Gulf to prove its strong commitment to helping the affected areas. Effectively communicating its use of compensation as a reputation repair strategy, BP provides public data reports updated as of September 30, 2013 under the sub-heading “Compensating the people and communities affected”. This report shows the disbursement of the $8.2 billion...
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...considerations. Having an understanding of the food and beverage sector within Novotel Hotels in the Sydney Metropolitan area and the challenges it faces is important, in this selected case study it not only is effected by the Hospitality industry but also the tourism industry as well. Both these industries have felt hard and negative impacts from the global financial crisis and have definitely had an impact on our case study. This business research report identifies the need to evaluate the relationship between a decline in international tourist, the change in food and dining trends and the revenue of Novotel in the Metropolitan area. The research follows the deductive research method. For the purpose of this report the hypothesis is Novotel food and beverage sector in Sydney metropolitan areas is making a loss and losing customers because of the global financial crisis. The research was conducted through a mixture of qualitative and quantitative research methods including; the report samples the primary research methods such as sample questionnaires, observational research and interviews. The secondary research methods mainly included personal communication and researching the hospitality databases, tourism and Australian Bureau of Statistics Website. Table of Contents Executive Summary 1. Research Questions 4 2. Literature Review 5 3. Conceptual Framework 7 4. Methodology and Research Instruments 9 4.1 Research Methods 11 4.1.1 Sample...
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...its trade performance, mainly the exports. In addition we identify the elements of the Greek competitiveness and the results of the fiscal consolidation that Greece is undergoing. Having analyzed the definition of the comparative advantage and the data concerning Greece’s reforms we proceed in identifying Greece’s comparative advantage mainly in four different sectors. Firstly we identify the key factors making the touristic sector extremely profitable for the Greek economy; secondly we analyze the commercial shipping sector then the strategically position of the country and finally the competitive rates in which Greece seems to gain ground. Keywords: comparative advantage, competitiveness, internationalisation, entrepreneurship, financial crisis. 1 Contents: 1. Historical and literature review. 2. Greece – Country Analysis: Reforms and fiscal consolidation. 2.1: Economic Structure and Performance of Greece. 2.2: Elements of Greek Competitiveness. 2.3: Fiscal Consolidation and its results. 2.3.1: GDP growth rate & Consumer Price Index. 2.3.2: Strong austerity measures and their results. 2.3.3: Driving down the deficit – Rebounding Greece 3....
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