Related Literature Review: Tourism Business And Economic Development

CHAPTER II

REVIEW OF RELATED LITERATURE

Tourism Business and Economic Development Tourism is an industry which has experienced a remarkable growth; moreover, it portrays even more potential growth for the many more years to come. (Riley, Ladkin, Szivas, 2002)

Importance of Education and Training in Skill Development Kraph (1961) concluded, in a pioneer paper, that tourism has a special role in developing countries, a role in which he determined in a series of imperatives wherein he mentioned: the capacity to internally provide several goods and services required, tourism social utility of investments: multiplier effect and employment generation, and balanced growth. Dwyr and Forsyth (1993) stated that the growth of labor intensive industry,

Jobs generated by tourism are spread across the economy in retail, construction, manufacturing and telecommunications, as well as directly in tourism companies (WTO, 1999). Mitchell and Ashley (2006) also point out that the most important pro-poor impact of tourism is the local employment generated by the industry. Also it employs more semi-skilled and unskilled labor. According to Shigeko Hattori (2013), director of Asian Development Bank, during the launch of the ADB (Asian Development Bank)-Canadian International Development Agency Technical Assistance on Improving Competitiveness on Philippine Tourism, "You need three factors to improve the tourism industry: transportation for traveling, the skills for tourism workers, and investments for tourist destinations." With the foreigners’ increasing interest for travel to the Philippines, Hattori said workers in the tourism sector should be well-equipped to welcome and attend to the visitors. In line with this said event, the Department of Tourism accepted a $7.1-million grant from the ADB and the CIDA (Canadian International Development Agency)

Moreover, speaking on the concept of competitiveness, DOT Secretary Ramon R. Jimenez, Jr. (2009) gave a statement during the Tourism Skills Forum held by the Department of Tourism. He stated that today, the industry has a very clear view of the regional and global challenges that our country faces and that they have formulated a simple but effective strategy for moving forward. The tagline of this strategy, “Competitiveness through people” means successful hospitality and tourism enterprises depend to a very large extent, upon the people who work in the businesses in all areas and all levels. Therefore, how they are recruited, how they are managed, how they are trained and educated, how they are shown their value and rewarded and how they are supported through courses and continuous learning and career development are vital considerations.” (DOT,