Glossary

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A

AcidificationThe process of increasing acidity or becoming acidic, p206.

Additionality When new products or facilities are introduced if they add to the total value of tourist spend then they are said to provide additionality as opposed to displacement, p527.

Advanced passenger train Introduced in the UK in 1979 to provide fast intercity rail transport, p473.

Advanced purchase excursion fare Early booking of tickets often results in lower ticket prices also known as APEX fares, p481.

Advertising Advertising includes any paid form of non-personal communication through the media which details a product that is identifiable, p665.

Agenda 21 The programme action plan that came out of the 1992 Rio Summit. It was given the title Agenda 21 because of the 21 chapters dealing with a wide range of aspects relating to sustainable development, p196.

AIDS Acquired Immune Deficiency Syndrome, p239.

Air traffic control The system that directs the movement of aircraft in time and space, p469.

Air traffic movements Data on air traffic routes and runway utilisation, etc, p471.

Alternative tourism Has a wide variety of meanings and was put forward as a response to the excesses associated with mass tourism, p281.

Anthropology of tourism The study of tourism with respect to socio-cultural, linguistic and archaeological issues, p227.

Authenticity This term is generally used to show that something is original and honest, that it is what it appears to be, p35.

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B

Backpacker hostels Inexpensive accommodation facilities for backpackers, p395.

Balance of payments The balance of payments refers to the balance between foreign exchange spent and received in an economy, p180.

Barriers to entry Devices designed to prevent new companies from entering an industry. The barriers may be through production secrets, scarcity of resources or through the high price of inputs, p310.

Biological diversity The number, range and abundance of species living within a common environment, p200.

Boutique hotels Small unique hotels that are distinguished by their level of personalised service and individual style, p407.

Brand A name, a symbol, term or design or a combination of these, p647.

Brand extensions or stretching The extension of product range under a single brand, p363.

Brokerage fees Fees paid to brokers or intermediaries for their services, p510.

Budget hotels Value hotels for guests on a limited budget, p407.

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C

Capitalism A social system based on individual rights where goods and services are produced and exchanged with minimal government interference, p299.

Charter flights See charter services.

Charter services A system of conditions over a finite period that relates to levels of service and frequency of flights in order to secure capacity, p485.

Click and mortar agencies Established businesses with physical outlets engaging in e-commerce (internet trade), p435.

Commercialisation and bastardisation The change made to an event, skill, craft or ritual to make it more attractive to tourists, p226.

Commodification The transformation of non-commercial relationships into commercial relationships, p504.

Communism A society where the people are responsible for resource allocation, production and distribution. Essentially classless and without a need for government, p299.

Comparative advantage Where the opportunity cost of producing a specific good or service is less that it is in another country then the former is considered to have a comparative advantage in the production of that good or service. Is used as a justification for international trade, p160.

Computerised Reservation System Software that handles inventory, prices and schedules, etc, p515.

Conservation Managing environmental resources in a way that optimises their contribution to the quality of life, p197.

Consortia A combination or group formed in order to undertake a venture that would be beyond the resources of a single individual/company, p388.

Consumer satisfaction The extent to which a company's business efforts matches or exceeds the expectations of the consumer, p552.

Cost–benefit analysis This type of analysis is used in project appraisal to determine the monetary value of costs and benefits (to a community) relating to a project (such as an airport extension, highway, new sewage treatment plant) to see if they are worthwhile, p162.

Customer needs Customer-felt state of deprivation, p552.

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D

Delphi analyses An iterative panel method of analysis where the panel members do not meet, p248.

Demand determinants The factors that influence the scope and nature of travel, p114.

Demonstration effect Influencing the behaviour, dress and attitudes of people through demonstration/imitation and interaction, p233.

Destination image An individual's awareness of a destination made up of the cognitive evaluation of experiences, learning, emotions and perceptions, p62.

Destination management organisation A destination-based organisation tasked with the responsibility of coordinating and managing destination activity including planning and promotion, p725.

Destination Management System Also referred to as destination databases, destination marketing systems and visitor information systems. No clear definition exists but they are there to provide a comprehensive information system for a destination, p515.

Developing countries Countries that are defined to be low- or middle-income countries by the World Bank, where living standards are thought to be low relative to high-income countries. Although there is no precise definition there are thought to be more than 125 countries with populations in excess of 1 million that have these characteristics, p152.

Development strategies Approaches and plans designed to bring about the desired growth and development of tourism or an economy, p196.

Direct marketing Direct marketing is direct communication with pre-selected target groups in order to obtain an immediate response or build closer relationships, p670.

Direct sell The absence of intermediaries . Therefore the product is sold directly from the supplier to the tourist, p427.

Disaggregation The degree to which the various productive sectors of the economy are broken down (e.g. SIC 2, 3 or 4 digit levels of disaggregation), p170.

Discretionary incentives Incentives normally linked to conditions, such as job creation in depressed areas can also take the form of discretionary grants, p528.

Disintermediation A reduction in the amount or value of transactions that are distributed through intermediaries, p427.

Displacement Displacement refers to the amount of current revenue that is displaced by a new development. For instance, if a new five-star hotel is built in Quebec and 50% of its business is attracted from existing five-star hotels in the city then there is a 50% displacement rate, p161.

Distribution (system) Mix of channels used to gain access or means by which a tourism service is made available to the potential buyers of the product, p672.

Distributive trade Distributive trade refers to all companies involved in the distribution of goods and services. The United Nations Standard Industrial Classification (SIC) incorporates distributive trade under heading 6 (i.e. 6.1 wholesale trade, 6.2 retail trade, 6.3 hotels and catering), p164.

Diversification The broadening of the economic base by the development of different industries, and/or A strategy to achieve company growth by means of starting up or acquiring new businesses outside the existing company products or markets, p154.

Domestic tourism Domestic tourism is the activity of people visiting destinations within their own country's boundaries, p5.

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E

EC European Community, p478.

Ecological system A collection of interconnected living beings (including humans) and the system in which they co-exist such as the earth's surface, p200.

Economic dependence When the costs and revenues of one country, company or project depend upon that of another, p157.

Economic recession A decline in economic activity (GDP) that persists for at least two quarters, p154.

Eco-tourism Nature-based tourism that attempts to minimise its environmental impact, p281.

E-intermediaries e-intermediaries and emediaries are intermediaries that offer streamlined intermediation services across the Internet, p437.

Elasticities of supply and demand This is the responsiveness of supply and demand to changes in prices (price elasticity) or income (income elasticity), p174.

Empirical studies Studies that are based on experience, experiment or observation, p197.

Environmental Action Programmes Environmental policies and strategies, p211.

Environmental auditing A management system designed to mitigate environmental impacts, p209.

EU Package Travel Directive A directive to protect consumers who purchase travel packages in the EU, p446.

Eutrophication The process whereby water becomes enriched with plant nutrients and this replaces the oxygen, p206.

Exogenous change in demand A change in final demand brought about by changes outside the economy in question, p168.

Externalities The external economic effects that are not taken into account within the normal market place. Can be positive (benefits) or negative (costs) and are associated with the production or consumption of goods and services, p476.

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F

Feudalism The social system that was prevalent in Europe in the eighth century onwards. Seen by some as control of a state by an entrenched minority for their own benefits, p299.

Fixed costs Those costs that do not vary with the volume of output, p313.

Flagship The chief or major one of a group, e.g. flagship attraction or hotel, p347.

Focus groups A method of undertaking collective interviews that explicitly uses the group's interaction to generate results, p248.

‘Footloose' attractions Attractions that can be located almost anywhere where there is sufficient space, i.e. not dependent upon a specific natural resource or factor, p359.

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G

GATS The General Agreement on Trade in Services. An attempt by the World Trade Organisation to liberate the trade in services in the same way that the GATT did for trade in goods, p153.

GDP Gross domestic product. GDP is a key indicator of an economy's performance and is based on the total value of goods and services produced by a country within its economy, p152.

Global distribution system Computer databases used by intermediaries to book tourism products, p711.

Global warming The rise in the world's temperature due to the greenhouse effect, p755.

Globalisation Globalisation is a term that refers to the process of increasing economic and communication connectiveness that has occurred over the past half century. Global markets replacing national and regional markets, e.g. capital markets, p153.

GNI Gross national income is the value of all income earned by residents of an economy whether it is earned within or outside of the national boundary (see GNP ), p157.

GNP Gross national product. The value of all goods and serviced produced by a national economy. It differs from GDP by including the goods and services produced outside the national boundary, p157.

‘Grand inspiration' attractions Attractions that are developed as a result of an individual's dream, p360.

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H

Hallmark events Hallmark is generally a sign of quality, authenticity or distinguishing feature therefore a hallmark event is intended to make the destination distinctive in some way, p350.

Hedging A strategy that is implemented to reduce risk. An example would be for a business to take up a position in a futures market that is opposite to that held in the cash market so that risks are reduced, p445.

Horizontal integration The merging of two or more businesses that are operating at the same stage of the production process, p340.

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I

Imagescape The medium or background in which people feel they live, p357.

Inclusive tours The package tour, p427.

Indigenous development Economic development that occurs as a result of changes within the country, p504.

Inflation A persistent increase in the general price level over time resulting in a decrease in the purchasing power of a unit of currency, e.g. dollar, p157.

Information communication technology (ICT) Digital tools used for business functions and processes, p703.

Infrastructural investment Investment in infrastructure such as roads, airports, water supply and communications, p248.

Input–output model A general equilibrium approach to measuring the effects of a change in final demand on the rest of the economy, p159.

Inseparability The service product is often produced and consumed simultaneously, p575.

Instant purchase prices Product is purchased at the time that the transaction takes place even though this may be well in advance of the dates of the trip, p481.

Institutionalised or mass tourism A constant stream of large numbers of tourists to destinations., p229.

Intangibility The tourism product cannot be easily demonstrated, assessed or tested prior to purchase, p574.

Integrated marketing communication Integrated marketing communications is the process a company adopts in order to integrate and coordinate its messages and media to deliver, clear reinforcing communication, p671.

Integration The combination businesses that are at the same or different stages of a process or distribution channel, p427.

Intermediaries Companies or individuals that act as brokers or middlemen between the tourists and the suppliers (travel agents, tour operators), p422.

International tourism International tourism is the activity of people visiting destinations outside their own country's boundaries, p5.

Intersectoral linkages The purchase and sale of goods and services between the various sectors of an economy – representing intermediate demand, p152.

Invisible export The export of a service as opposed to a visible export which would be a tangible good. International tourist receipts are exports, p152.

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J

 

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K

Key informants People able to provide collective and important viewpoints and opinions, p248.

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L

Leakages Leakages refers to money that drops out of circulation within the local economy either by being saved or being spent on goods and services from outside the economy, p161.

Less developed countries Countries defined to be so according to a variety of indicators such as income, literacy, life expectancy etc, p513.

Lifetime value The measurement of the total worth to the organisation of its relationship with a particular identified customer over a period of time, p564.

Limits of acceptable change The acceptable level of change that an environment can suffer without irreversible degradation, p270.

Linear homogeneity in production This is the assumption that all companies within a single sector are making the same product/service in the same way and that there are no economies of large-scale production so that the next unit of output will require exactly the same proportion of inputs as the previous unit of output, p173.

Load factor The measure of business and the indicator of efficiency for transport systems and is generally expressed as the percentage of available seats that are occupied on the journey, p485.

Loss leader A good or service sold at less than market price in order to attract consumers, p386.

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M

Marginal cost The incremental cost of producing one more unit of a good or service. Governments tend to intervene in the marketplace for market goods by providing subsidies or directly providing them so that the consumption of such goods and services is increased, p368.

Marginal propensity to consume The amount of each additional unit of income that an individual is likely to spend, p170.

Market failure The inability of a market system to truly reflect the social costs and/or benefits associated with transactions. An example being the over-consumption of non-priced elements in the production process, such as the environment. In such cases, the market fails to find an efficient solution to the distribution, p354.

Market or catchment area The area in which goods and services take place. Markets can also relate to the characteristics of potential purchasers and sellers such as specific segments of population, p347.

Marketing concept The marketing management philosophy that places the satisfaction of the needs of the target market as a central guiding goal, p555.

Marketing mix The combination of product, price, place and promotion marketing tools that a company decides upon in order to affect consumer behaviour, p545.

Marketing plan A detailed company approach to the selection of target groups and the formulation of a marketing mix to achieve marketing objectives and financial targets, p609.

‘Me too' attraction developments The development of an attraction on the basis of the evidence that it has worked before therefore it will work again, i.e. it ignores market saturation and displacement, p359.

Mega-events Mega is a prefix that means one million. A mega-event is generally considered to be a large-scale event that has global publicity and or is associated with large-scale impacts, p351.

Merit goods Goods that are deemed to have a greater value to society than is reflected in their market price, p364.

Mission statement A short statement as to the main purpose or major goal of the organisation in relation to the wider environment, p618.

Monopolistic power The ability of a business to determine the price of the goods/services produced (to some extent), p311.

Multinational agencies Agencies that operate across national boundaries such as the United Nations Development Agency, p504.

Multiplier analysis An economic technique for estimating the impact of tourism on the local economy, p151.

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N

National air carrier The airline that carries the national flag, the state airline, p518.

National Tourist Organisation The tourist authority for a state/country, p503.

New product development The introduction of a good, service or idea that is perceived by customers to be new, p628.

New tourist A tourist is experienced, aware of opportunities and empowered, p766.

‘New version' attractions Modern-day interpretations of classic attractions, e.g. from fairgrounds to theme parks, p360.

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O

OECD Organisation for Economic Co-operation and Development. A collection of 30 member states that use the organisation as a discussion forum to further their aims for a free market system, p196.

Off-peak The periods when travel and tourist activities are in less demand. Often associated with discounts to attract business, p463.

Online travel The acquisition of information and the purchase of travel-related services from businesses selling on the Internet, p434.

Operating account An account for day-to-day operations of the business, p439.

Opportunity costs Opportunity cost is what a country, company or individual has to forego in order have something, p160.

Overrides Extra commission paid by airlines, hotels and other suppliers for volume bookings, p437.

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P

Paid holiday entitlement The practice of employers providing employees with time off for pay, p115.

Peak The prime period of demand, p462.

Perceived risk The interpretation of the seriousness of economic, physical, performance and pyschological aspects related to decision making, p578.

Peripheral areas Areas away from the centre or the core, p227.

Perishability A characteristic of service products implies they cannot be easily stored for future sale, p340.

Personal selling Personal selling is an attempt to gain benefit through face-to-face or telephone contact between the seller's representative and those people with whom the seller wants to communicate, p667.

Polluter should pay Philosophy that supports the view that the costs of cleaning up pollution should be borne by those who create the pollution, p372.

Preservation Not using or limiting the use of resources so as to preserve them for future generations, p197.

Price The amount of money charged for a product or service based upon what a consumer is willing to give up in return for the benefits delivered, p653.

Price competitive Where small changes in the prices charged for a product may result in sales being won by a rival business, p311.

Primary data New data gathered by the researcher for the purpose of the study, p317.

Product A package of problem solving services and tangible attributes formulated to satisfy a need or want, p644.

Product differentiation Making the output of a business distinctly different from the output of competitors, p310.

Product life cycle A term borrowed from biological sciences that refers to the way that a product evolves over time, p428.

Project appraisal Project appraisal involves a collection of instruments that can be used to determine the financial viability (such as the internal rates of return) of a variety of projects, p162.

Promotion Descriptive term for the mix of communication activities that tourism organisations carry out in order to influence those publics on whom their sales depend, p662.

Property management system A computerised system for integrating all elements of hospitality information and management, p719.

Pro-poor tourism Tourism strategies designed to alleviate poverty, p26.

Protectionism The opposite to trade liberalisation – the imposition of tariffs or quotas to stop imports, p311.

Psychographic analysis A way of categorising tourists according to their attitudes, values, behaviour and beliefs, p230.

Public or collective good A public good is one that everyone feels the benefits of and from which no one can practically be excluded and in non-rival in consumption. Collective goods have similar qualities but exclusion is possible, e.g. television broadcasts started as collective goods but have largely moved into the private sector domain – this movement does not detract from the ‘collective' qualities they possess and there is no suggestion that the private market achieves an efficient allocation, p354.

Public relations Public relations is non-personal communication that changes opinion or achieves coverage in a mass medium and that is not paid for by the source, p669.

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Q

Quality assurance The system which assures the end customers receive a level of service of which they will be satisfied, p582.

Quality control The checks against standards set to ensure the organisation achieves its quality objectives, p582.

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R

Regional disparities The differences between regions with respect to specified variables such as income, employment etc, p506.

Repatriated (income) Repatriated income is that income sent home (out of the economy) by foreign workers or companies, p176.

Resource allocation The way in which resources are allocated across different uses in an economy, p181 .

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S

Sales promotion Sales promotion involves any activity that offers an incentive to induce a desired result from potential customers, trade intermediaries or the sales force, p666.

Same-day visitor A person on a brief recreational trip, not exceeding 24 hours at the destination, p13.

Scheduled services Transport systems that operate according to strict conditions relating to frequency and scheduling, p485.

Seasonality The temporal fluctuations of tourism on a daily, weekly, monthly or annual basis, p133.

Sectoral linkages Sectoral linkages refer to the transactions (sales and purchases) that take place between companies in a single economy, p169.

Segment A submarket of consumers who have been chosen as a target group and are marketed to differently to other subgroups, p546.

Segmentation The process of identifying the most appropriate submarkets for the company's or destination's offer, p553.

Service industries Companies that produce output in the form of services rather than goods, p225.

Service product The formulation of an activity or benefit which is essentially intangible in nature and does not lead to the ownership of anything, p574.

Sex tourism Defines the specific motivation of tourists to go on holiday for the purpose of engaging in short-term sexual relations, p239.

Simultaneity of production Where the production of a service and its consumption occur at the same instant, p307.

SMEs Small and medium-sized enterprises. (Medium – no more than 250 employees; small – no more than 50 employees and micro – no more than 10 employees.) Turnover or balance sheet restrictions also apply, p214.

Social cohesion The way in which society can work together as opposed to social divisions normally associated with gaps between the rich and the poor, p506.

Social net benefits The result of deducting social costs from social benefits. Adding the term social to benefits and costs means including a broader range of factors than purely financial ones, p353.

Socialism A system of social organisation whereby the state government takes responsibility for resource allocation, production and distribution, p299.

Socio-economic groups Categorising people into groups by resorting to demographics (age, sex, occupation etc.), p232.

Sponsorship Sponsorship is the material or financial support of a specific activity, normally but not exclusively sport, education or the arts, which does not form part of the sponsor organisation's normal business, p670.

Stagnation A time period in which there is either little or no economic growth, p152.

Stakeholders The groups of businesses, residents, governments and tourists who have a stake in the development of tourism, p259.

STEP analysis An analysis of the environment based upon factors of society, technology, economics and politics, p122.

Strategic planning A planning approach to ensure a fit between the environment, the competencies and resources of the organisation and its changing marketing opportunities, p610.

Strategic rail authority The UK's public sector strategic specifier, providing industry leadership, p470.

Structural adjustment Policy of increasing privatisation and trade liberalisation intended to help countries generate greater wealth and reduce poverty. Has been criticised for inducing economic decline and endangering the welfare of the economically vulnerable, p504.

Subsidiarity The assignment of political power to the smallest units of government, p506.

Supply constraints When one sector reaches or comes close to full productive capacity it will not be able to respond fully to a further increase in demand for its output, p172.

Sustainable development Development that meets the needs of the people today without compromising the ability of future generations to meet their own needs, p260.

Sustainable tourism development As sustainable development but relating specifically to the tourism industry, p264.

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T

Target market A set of buyers selected as sharing similar needs or characteristics so that a company can organise a marketing mix to serve them, p643.

Tariff structure The nature of the tariffs associated with imports, p319.

Tied agency A tied agent can only deal with the product or service of a single company, p449.

Tiger economies The term within this book is used to refer to the East Asian tiger economies and includes Indonesia, Hong Kong, Malaysia, Singapore, South Korea, Taiwan and Thailand. The term ‘tiger' relates to the aggressive policies of the countries towards achieving rapid growth, p154.

Time-share An ownership system that facilitates individuals ‘owning' a specific period of time or percentage share of an holiday or vacation club, p394.

Total quality management An organisation-wide process and system of ensuring that all activities carried out adhere to pre-agreed quality standards, p581.

Total tourist experience The combined stages of preplanning, the purchase, the journey, the visit/ and perhaps stay, the return journey and overall reflection on the activity, p556.

Tourism product market The combination of market trends and supply-side initiatives, p779.

Tourism Satellite Accounts A set of accounts to show the total value to an economy of domestic and international tourism, p151.

Tourism system Leiper's (1979) description of a three-part system of tourist-generating region, transit region and tourism destination region set within social, economic and environmental contexts, p9.

Tourist satisfaction The rating that tourists' give to their experience while on holiday, p269.

Tourist tax Taxes specifically levied on tourists generally through businesses that deal with tourists. Can be entry taxes, hotel taxes or other specific tourism industry-based tax, p523.

Trade deficit Trade deficit is where a country's expenditures on imports of goods and services are greater (in value terms) than the receipts from the export of goods and services, p157.

Train de Grande Vitesse TGV (literally, high-speed train ) holds the highest speed record for a train on any national railroad, p472.

Travel propensity The penetration of travel activity within a given population, p41.

Typologies Classifications, p227.

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U

UIP United International Pictures.

UNEP United Nations Environmental Programme, p199.

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V

Value added Value added is the amount of monetary value added to a good or service by a company before it is offered for sale, p161.

Vertical integration When the same business owns establishments that are operating at more than one stage of the production, selling and delivery process, p427.

VFR Visiting friends and relatives (tourist motivation), p242.

Visiting friends and relatives VFR tourist motivation, p242.

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W

‘Wonder' attractions Attractions based upon some unique natural or artificial feature, p360.

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X

 

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Y

Yield management Management system that optimises the yield (returns) from a project, p368.

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Z

Zone of tolerance A customer will tolerate a range of standards in an area between desired and adequate rather than have one set standard of assessment, p592.

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