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1. SOCIO-CULTURAL

1.1. Economic Leakage

1.2. Dilution of Culture and Local Customs

1.3. Increased Crime

2. Destruction of Habitat

3. The tourism industry can heighten environmental awareness among tourists and locals. Tourism can contribute to the conservation of unique areas and habitats (eg by paying admission fees into national parks).

4. Exploitation

4.1. Accommodations may adopt environmentally friendly practices and blend in with the natural environment.

5. ECONOMIC

5.1. Increase in Foreign Exchange

5.2. 3) Infrastructural Development

6. Provision of tourist infrastructure may require the clearing of large areas of forested land (eg clearance of large areas of rainforests in Genting Highlands to build resorts, hotels, theme parks).

6.1. Seasonal fluctuations - heavy rains during monsoon months result if fewer tourists in Malaysia during Nov – Feb; - summer months may result in drop in tourists in many ski resorts in Hokkaido and Europe – thus seasonal unemployment occurs

6.1.1. Without proper management and control, such large scale deforestation can have devastating effects on the natural environment (destruction of habitats, soil erosion, landslides, water pollution..).

6.1.2. Increased Carbon Footprint

6.1.2.1. Excessive and Wasteful Consumption

7. Indirect Revenue is created when tourists spend on goods and services (accommodation, food, souvenirs or pay for services)

8. 2) Government Revenue

9. Tourism industries stimulate the local economy through the construction and improvement of tourism infrastructure (eg airports, hotels..)

10. Helps to rejuvenate and strengthen cultural events, festivals and arts and crafts which may otherwise gradually disappear due to a lack of local interest.

11. ENVIRONMENTAL

11.1. Tourism development has increased the demand for natural resources (water, energy, farm products). Excessive consumption of natural resources by tourists can put a huge amount of pressure on such resources and lead to shortages.

12. Identification of pristine natural sites conserved as national parks and wildlife reserves is often driven by tourism.

13. POSITIVE IMPACTS

13.1. SOCIO-CULTURAL

13.1.1. Preservation of Culture and Local Customs

14. NEGATIVE IMPACTS

14.1. ECONOMIC

14.1.1. Seasonal Unemployment

14.2. Increased Congestion

14.3. ENVIRONMENTAL

14.3.1. Underuse of Facilities

14.3.1.1. Vandalism

14.3.1.2. Shortage of Services

14.3.2. Pollution and Littering

15. However, tourism in LDCs has failed to produce large economic benefits. (-) This is due to a large portion of tourism receipts being lost as leakages. Leakages refer to the amount of tourist expenditure that does not stay in the local economy of the host country. Economic leakages occur when money spent by tourists leaves a destination in the form of imports, profits, and wages of foreign workers. Many tourism businesses such as hotels, cafes and restaurants in LDCs are owned by foreigners and so revenue remitted to home country Also LDCs imports wine, beef, exotic fruits for tourists consumption – thus revenue flows out of country

16. Direct Revenue is created when tourists pay taxes (e.g airport tax) and when employees of tourism-related businesses pay income taxes. Taxes collected from: -income of people working in tourism employment (eg travel agents, hotel chambermaids..) -company taxes collected from tourism elated businesses (eg travel agencies, airlines..) -levies on tourists (eg airport exit taxes..) -taxes and levies on the goods and services (eg GST) paid by the tourists

17. Tourism is vulnerable to the stability of the global economy as fewer people travel during economic crisis, eg 1997 Asian economic crisis Natural disasters may also lead to a dip in tourist arrivals, eg the 2004 Indian Ocean Tsunami and 2011 Japan earthquake

18. Tourism is one of the top five export categories for as many as 83% of countries and is a main source of foreign exchange earnings for at least 38% of countries.

19. Conservation of Natural Environments

20. h