Development of Tourism's Sector in the Face of Scarce Economy

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Development of Tourism's Sector in the Face of Scarce Economy The Discourse Volume 06 Number 01 January - June, 2020 Development of Tourism’s Sector In The Face of Scarce Economy Dr. Qadar Bakhsh Baloch Professor/Director, Institute of Business Studies and Leadership Abdul Wali Khan University, Mardan [email protected] Dr. Syed Naseebullahshah Department of Management Sciences, Abasyn University Peshawar [email protected] Dr. Muhammad Irshad Department of Management Sciences, Abasyn University Peshawar [email protected] Fiaz Mehmood Qamar PhD Scholar, Institute of Business Studies and Leadership Abdul Wali Khan University, Mardan [email protected] ABSTRACT This study was conducted to evaluate the attributes responsible for development of tourism sector in the face of scarce economy of Pakistan. Tourism sector of Pakistan was considered population of the study and data was collected through survey questionnaire. A total of 500 questionnaires were distributed amongst the targeted participants and 428 questionnaires were received back completed in all respect. Different validity and reliability tests were conducted. After the confirmation of the data reliability and validity, a Confirmatory Factor Analysis was conducted to evaluate the good fitness of the model. Regression assumptions tests were conducted to examine the data normality, multicollinearity, auto-correlation and homogeneity and found within the acceptable range. Multiple Regression analysis was conducted to evaluate the relationship between service quality, security situation, professionalism, infrastructure and promotion efforts and tourism development. The result indicates a significant positive association between service quality, security situation, professionalism, infrastructure and promotion efforts and tourism development. For development of tourism sector in Pakistan government must provide conducive security proof environment to tourists, best quality services by professionally train employees. Invest a Baloch, Shah, Irshad & Qamar 75 ISSN: 2521 - 5337 The Discourse Volume 06 Number 01 January - June, 2020 handsome amount on tourism infrastructure and made great promotion efforts to attract sizeable tourists for economic development. Keywords: Tourism, Service quality, security, infrastructure, professionalism & Promotion efforts INTRODUCTION In today’s fast growing economy, tourism sector has considered the most incredible contributor to the national economic. Studies found tourism sector is sustainable contributor to socioeconomic growth (Baloch, 2007; Hwang & Lee, 2019; Wakimin et al., 2018). Tourism’s plays a significant role in economic growth. The tourism development emphasized the visit of particular destination without impairing the local society/community with leaving strong positive impact on society and national economy (Tang, 2011). The development of tourism sector has found positive association with national economic growth particularly contribute to gross domestic product (GDP) and provides employment opportunities as well (Manzoor et al., 2019; Qamar&Baloch, 2017). This sector is bunch of sub-sectors that includes; restaurants, hotels/inn, transportation, food and beverages and other allied service providers. The development of tourism sector intervene the development of allied sectors like construction, capacity building, public services and education etc. According to Pham (2018), tourism sector assists to provoke foreign remittances/exchange and mitigate the gap pertaining to imbalances of trade and alleviate trade deficit. According to Baloch(2007),for national economic development the concretive measures are very essential to up-left tourism sector that attract sophistication number of tourists. Though, national economic development is largely contingent on the constructive influence of tourism sector (Pham, 2018; Njei, 2018). Taken into total, the development tourism sector significantly spillovers the development of inter-connected sectors (Banerjee et al., 2015a). The inter-related sectors with tourism sector comprised transportation, accommodations, entertainment, leisure, and nourishment and shopping. Tourism is the purposeful visit with family, friends and/or colleague to a specific destination for business, and / or recreation etc. (Hwang & Lee 2019; Peeters& Dubois, 2010). Globally tourism sector has developed for considerable contribution to national economy. Pakistan is blessed with rich tourism potential due to strong culture, history, geographical location and sessional change. Pakistan has numerous prominent tourist destinations at Swat, MalamJabba, Behrain, Kalam, Shangla, Balakot, Kaghan, Naran, Ayoubia, Murree, Chitral, GilgitBaltistan, Hunza, and Neelam valleys, other mountainous ranges, and historical and archaeological sites. Moreover Pakistan is offering diverse recreational opportunities for tourists that includes, trout fishing at GilgitBaltistan glacial water, Swat rivers, also traditional Polo tournament at Shandur, rock climbing, paragliding, and Baloch, Shah, Irshad & Qamar 76 ISSN: 2521 - 5337 The Discourse Volume 06 Number 01 January - June, 2020 trekking in northern areas, Jeep and camel races at Cholistan desert, Wild Boar hunting, and crabbing in the Arabian Sea. However, Pakistan tourism sector is not yet matured and developed to attract local and foreign tourist to sophisticatedly contribute in national economy. Research study revealed various factors are responsible for the development of tourism sector in order to attract sizeable tourists. Although tourism has been promoted over the years due to potential contribution to GDP, however an exclusive attention is required for tourism development in the face of scarce economy (Sharpley, 2009). Problem Statement: In the history tourism sector is starring source of creating employment opportunities and growth of national income (Malik et al., 2010). Hwang and Lee (2019), state that Korea economic growth and development is due to the increase in elderly tourism. Geographically Pakistan is blessed with remarkable landscape starting from high mountain range in north, Arabian Sea in the south and plains deserts in the center. The eyes catching natural beauty Pakistan includes northern area and Khyber Pakhtunkhwa. Historical Pakistan is richest piece of land on the earth coupled with hospitable peoples that generous to local and foreign tourists (Diplomat 2020). According to Conde Nast Traveller hailed Pakistan as “adventure traveller must-visit country”. Moreover, for the year of 2020 best holiday places Pakistan has ranked No 1 in the list of top-20 (Diplomat 2020). In the year 2019, Forbes ranked Pakistan the top-10 coolest places of visit. The British Backpacker Society has declared Pakistan the world’s third best potential adventure destination for 2020 and one of the friendliest countries on earth (Diplomat, 2020). Pakistan is nourished with tourism destination and adventure but tourist attraction ratio as meager as compared to blessing. Pakistan tourism sector is not yet matured and developed to attract local and foreign tourist in order to contribute in GDP. In this regard, till date no empirical study has been conducted to examine the development of tourism sector in the context of Pakistan. This article evaluates the factors of tourism development in Pakistan in order to contribute in national economic growth and create employment opportunities. The research objectives set for the article are: 1. To identify the factors of tourism sector development. 2. To determine the impact of identified factors on tourism development. LITERATURE REVIEW Pakistan is one of the most tourism potential country due to its varied/diversified weather condition and range of temperature exist amidst -20 degree centigrade to -50 degree centigrade. Al-Khattab and Aldehayyat (2011) reported that though, in Pakistan the tourism sector has not achieved a considerable attention due to carelessness and unhinged situation pertaining to law/rule and order and extremism. Literature claim that tourism's developmental play vital role in the national economic growth in several ways (Sharpley, 2009; Qamar&Baloch, 2017). Lodging can be considered as an industry which Baloch, Shah, Irshad & Qamar 77 ISSN: 2521 - 5337 The Discourse Volume 06 Number 01 January - June, 2020 assumes real part in the development of tourism (Kotler&Armstrong, 2011). Literature claimed that tourism has symbiotic association with national economic development (Zhang, 2015). Further Webber (2001) state that tourism is one of the most prominent factor of that probably affect the volatility exchange rate of a country, so that the most considerable product of expense of foreign holiday comprise the expenditure at holiday destination so-called place of tourism. According to Wang (2009) the foreign exchange rates are most dominant factor of inbound tourism. In the history of tourism the classical economic theory demonstrates that high demand of tourism include goods price, marketing and promotional activities, accommodation cost and destinations political situation greatly affect foreign tourism (Croes, 2000; Uysal& Crompton, 1984). Research study revealed various factors are responsible for the development of tourism sector in order to attract sizeable tourists. According to Khan et al., (2020) in the context of Pakistan bunch of factors are responsible for development of tourism sector these includes, security, infrastructure, service quality, natural beautification, attitude of the people, Education, and destination image etc. Service Quality and Tourism Service
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