THE SUSTAINABLE LIVELIHOODS AND TOURISM INTERSECT: GENDER, POWER STRUCTURES AND LOCAL MARKET VENDORS IN AGUAS CALIENTES, PERU

by

Jennifer L. McGowan

Submitted in partial fulfilment of the requirements for the degree of Master of Arts

at

Dalhousie University Halifax, Nova Scotia March 2010

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Appendices Copyright Releases (if applicable) Dedication

To my parents who have taught me the true meaning of sacrifice and open, unconditional love. I am forever thankful for the morals and love they, and my entire extended family as well, have instilled in me. They will be with me, always.

And to my brother; I know he's on the cusp of something great.

iv Table of Contents Table of Figures vii Abstract viii List of Abbreviations Used ix Acknowledgements x Chapter 1: Introduction 1 Purpose and Objectives 6 Significance of Study 7 Methodology 8 Data Recording Procedures 10 Ethical Considerations 15 Limitations 16 Overview of Chapters 19 Chapter 2: Literature Review and Theoretical Framework 20 Theoretical Framework: Sustainable Livelihoods and Power Relations 24 Tourism and Sustainable Development 25 Sustainable Livelihoods and the Sustainable Livelihoods Approach 27 Tourism, Power and Development 34 Local Participation and Power 34 Theories of Power 36 Gender Power Relations 40 Development and Empowerment 40 Feminist Anthropologies: Gender in the Latin American Context 44 Chapter 3: Peruvian Tourism, Aguas Calientes and the Artisan Market 47 Peruvian Development and Tourism 47 Tourism in Aguas Calientes 49 The Artisan Market 53 The Municipal Government of Aguas Calientes and the Market 55 Market and Social Organization 57 Chapter 4: Women, Power, and Changing Livelihoods 61 The Sustainable Livelihoods Approach 62

v Livelihoods in the Past 64 Vulnerability Context 66 Livelihood Assets •. 69 Contemporary Livelihood Strategies 70 Livelihood Goals 73 Power Relations and Livelihoods 75 Transforming Structures and Processes 75 Power Relations and Constraints on Livelihoods 77 Forms of Resistance Already in Existence 83 Chapter 5: Conclusion 85 References Cited 91 Appendix A: Letter of Introduction 99 Appendix B: Verbal Consent Script 100

vi Table of Figures

Figure 1: Map of Aguas Calientes, Peru 3 Figure 2: The Sustainable Livelihoods Framework 29 Figure 3: Relationship between Sustainable Development, Rural Development, and Tourism 30 Figure 4: The Sustainable Livelihood Framework for Tourism 31 Figure 5: The Mercado Artesanal de la Municipalidad Distrital de Machupicchu 56

vn Abstract

This thesis addresses two central questions: Can tourism positively contribute to sustainable livelihood goals for marginalized populations? How has the introduction of tourism in semi-rural areas interacted with livelihood priorities over time? In order to attempt to answer these questions, this thesis, using livelihoods and power based approaches, analyses the case study of the small tourist town of Aguas Calientes, Peru (near Machu Picchu), and specifically its artisan market, through a series of interviews with market vendors in the Fall of 2007. This research indicates that unequal political, economic and social power structures and relationships within the market setting and the interacting surrounding area are currently restricting livelihood choices and access to tourism benefits. For greater equality in tourism to occur, change will need to be initiated in large part by those benefiting the least from tourism.

Key Words: sustainable livelihoods, tourism, power, Peru, market vendors, Machu Picchu

viii List of Abbreviations Used

APT Anti-Poverty Tourism CBC Center Bartolome de las Casas (Andean Research and Study Centre) CBT Community Based Tourism CIA Central Intelligence Agency CIDA Canadian International Development Agency DFID United Kingdom Department for International Development ENAFER Empresa Nacional de Ferrocarriles del Peru FDI Foreign Direct Investment FIM The Independent Moralizing Front (Frente Independiente Moralizador) USD International Institute for Sustainable Development IMF International Monetary Fund INRENA Peruvian National Institute of Natural Resources (Institute Nacional de Recursos Naturales) NGO Non-Governmental Organization PPT Pro-Poor Tourism SAPs Structural Adjustment Programs SLA Sustainable Livelihoods Approach SLFT Sustainable Livelihood Framework for Tourism ST-EP Sustainable Tourism as an Effective Tool for Eliminating Poverty STLA Sustainable Tourism Livelihoods Approach UNDP United Nations Development Programme UNESCO United Nations Educational, Scientific and Cultural Organization UNWTO United Nations World Tourism Organization (aka WTO) WB World Bank WCED 1987 World Commission on Environment and Development WTTC World Travel and Tourism Council

ix Acknowledgements

If it were not for the love, help and support of so many people, this thesis would not exist.

First off I would like to thank my supervisors, Dr. Marian Binkley and Dr. John Cameron.

Dr. Binkley, your support and example, both academic and personal, helped inspire me to finish this work. I appreciated your tough, concise and yet extremely approachable style of both writing and teaching, and I will forever (at least attempt!) to look at the verb "to be" in a new light.

Dr. Cameron, your support during my field work and especially at the ending stages of this research was phenomenal. I am always in awe of how much you do and am inspired by how much you do truly care about both your students and your work.

I would also like to thank all those that helped me and worked with me in Peru, including the Casa Campesina hostel of the Center Bartolome de las Casas (CBC) Andean research and study centre, the fifteen women I interviewed in the market, Martin and Mariella Bernasconi, and anyone else whose kind actions, however small, helped me find my way during my stay.

Thank you to Nicole and Marian and everyone else in the International Development Studies Department as well. Nicole and Marian you were so very helpful every step of the way! The Department is lucky to have you! Everyone in the Department has helped make my time here at Dalhousie fun, interesting and rewarding.

And finally, of course, thank you so much to all my friends and family. None of this would have been possible without the love and support of all of you. I am very lucky to have each and every one of you in my life and I only hope I can be as giving and supportive for each of you as you have been for me. Where would we be without the help, love and support of others?

x Chapter 1: Introduction

In 2009, tourism and travel employed over 236 million people and generated over US$5.4 trillion globally (WTTC 2010). With the aim of tapping into this multi-billion dollar industry, less developed countries around the globe are increasingly promoting themselves as tourist destinations in the global market place.1 In the realm of development, tourism has been touted as a means toward economic development and poverty elimination by both the governments of developing nations and development agencies alike.2 But how do the local populations in these countries experience and benefit from tourism? Do the supposed economic benefits of tourism actually reach the populations that need more livelihood options and support? And if local populations are not benefiting, especially economically, in proportion with the number of dollars being spent on travel, why are these communities not gaining as much benefit as they perhaps could and should? With the aim of investigating these and other related questions with the help of a real world case study, this thesis investigates the effects of tourism on the lives and livelihoods of women market vendors (known as vendedores in Spanish) in the tourism market near the major tourism attraction of Machu Picchu, in Aguas Calientes, Peru. In gaining a better understanding of the impacts of tourism on the livelihoods and lives of vendedores in the artesanal market in Aguas Calientes, this thesis discerns possible reasons why the women are not benefiting as much from tourism as they could be and highlights ways in which increased positive impacts from involvement in tourism could be achieved for these women vendedores and their families.

1 The terms 'less developed countries' and 'developing countries' are used here to describe countries that are generally accepted as being less able to provide for the basic necessities of all their citizens as compared to other 'more developed countries'. In reality, however, the distinctions between the 'have' and the 'have not' areas are not always as easy to define, and in every country, whether considered 'more' or 'less' developed, there are multiple examples of inequality and poverty. The goal of categorization here is to highlight the trend of less stable economies turning to tourism promotion as an economically driven development strategy. Development agencies might include local and international non-governmental organizations, multi-lateral agencies, such as the United Nations or World Bank, or even less formal community organizations.

1 The term 'sustainable development' is widely used in development and, more recently, tourism literature as one possible solution to the issues of poverty and underemployment. According to Judith Cukier (2003), when tourism is used as a means toward sustainable development, it should generate positive socio-economic changes without jeopardizing the future of ecological and social systems upon which we all depend. This idea of tourism as a development tool has been used explicitly in the development plans of various countries in the hopes of attracting foreign investment and foreign exchange (Mowforth and Munt 2003). These countries see tourism as a 'passport to development' that will allow them to enter the global market place (Simpson and Wall 1999: 283). Yet only recently has the topic been discussed explicitly by tourism and development professionals, especially in terms of sustainable development. As stated by Binns and Nel, "Questions must be asked concerning the costs and impacts of tourism, and whether it truly can be an empowering development strategy for the host community, from which it can derive sustainable long-term benefits" (2002: 236). Not surprisingly, the government of Peru is no exception to this trend of promoting tourism as a means toward economic development and poverty alleviation. Considered a middle-income country by the UK's Department for International Development, in 2006 44.5% of Peru's population of 28 million people lived in poverty (mostly indigenous people) and a fifth lived in extreme income poverty (DFID 2003; Quijandria 2001; CIA 2009). Since the early 1990s, the Peruvian government, with the assistance of the World Bank, has invested in tourism infrastructure and encouraged foreign companies to do the same through the liberalization of the economy (Desforges 2000; Operations 2002). Machu Picchu and the surrounding area, including the town of Aguas Calientes (also referred to as Machu Picchu Pueblo), receives over 400,000 tourists a year and is one such area the government has targeted for tourism growth (Chavez 2004), (see Figure 1). The main industry in Aguas Calientes is tourism and many residents in the town could claim indigenous origins.3 However, the town has also reached a crisis point in

3 Claiming indigenous identity and indigenous rights focused social movements have only gained prominence in the past few decades, due in part to stigma and a focus instead on class based struggles in the past. Please see Yashar (2005) for further information.

2 terms of the negative ecological, economic and social impacts of tourism. Much of the current tourism infrastructure is foreign owned, including the British owned train that brings tourists to Machu Picchu. Water and sanitation infrastructure is almost non­ existent, and pollution and erosion are rapidly increasing (Chavez 2004). As stated by Chavez, "Conflicts.. .emerge as local residents are not integrated into a tourism economy that is driven mostly by external firms and professionals" (2004: 4). Therefore, it is important to understand the local community's perspective on tourism, since they are confronted with the negative impacts on a daily basis and should, from a development and poverty alleviation perspective, ultimately be the ones benefiting from tourism development in the area.

Figure 1: Map ofAguas Calientes, Peru

(Etzold2010)

Unfortunately, some Peruvian government officials continue to see indigenous people as a hindrance to economic development. As stated by Garcia, "Indigenous peoples in Peru (and elsewhere) have been and continue to be associated with

3 underdevelopment and poverty and presented as "archaic obstacles" to the development of "modern" nations" (2005: 4). This view holds these communities responsible for their own poverty while ignoring the structural causes, such as a lack of adequate access to education or employment opportunities that create inequality and the resulting economically impoverished states of these indigenous regions. One way greater understanding of another can be achieved is through the sharing of stories. Mitchell's (2006) book entitled Voices From the Global Margin; Confronting Poverty & Inventing New Lives in the Andes illustrates the importance of storytelling and ethnographic research as one means to help provide a forum for marginalized people to have their stories potentially heard by a global audience, creating a potential space for greater cultural understanding and the dissipation of negative cultural biases. Spradley further describes the importance of ethnographic methods: Ethnography offers all of us the chance to step outside our narrow cultural backgrounds, to set aside our socially inherited ethnocentrism, if only for a brief period, and to apprehend the world from the viewpoint of other human beings who live by different meaning systems.. .it is a pathway into understanding the cultural differences that make us what we are as human beings. Perhaps the most important force behind the quiet ethnographic revolution is the widespread realization that cultural diversity is one to the great gifts bestowed on the human species (1979: v).

Stories can be powerful tools in disseminating information and encouraging deeper learning and understanding. As stated by Frederick: Stories.. .are a way to access the learning that's already inside and then to make connections to larger themes and patterns...the synergistic interplay of affect and cognition depends on replacing prior embedded mental images or on unlearning prior misconceptions and errors.. .deep learning, therefore, depends on the brain processing first emotionally and then making reasoned connections.. .emotional experiences enhance critical thinking; mind, body, and feelings are all involved in a holistic process of learning (2004: 2).

The emotions that can surface after reading a story about the poverty and inequality that daily touches the lives of indigenous people in Peru is more likely to cause the reader to shift their perceptions of the current economic world order, as opposed to just reading statistics on poverty in Peru. The personal connection that can be felt through descriptive narratives can lead to deeper understanding and compassion, both of which are needed to encourage change.

4 The results of this study will add to the small but fast growing base of tourism and development literature, focusing on the importance of tourism as part of livelihood strategies around the world. This work also focuses on the important roles power and gender play in the interactions between stakeholders involved in both the formal and informal aspects of the tourism industry.4 Unfortunately, as stated by Mowforth and Munt (2003), "subservience" characterizes much of the tourism found in the global south, regardless of the form it takes (44).5 Tourism developments that lead to unequal development, exploitive practices and feelings of powerlessness have become the norm for many of the residents of 'host' countries. But does this really have to be the case? Can tourism be designed and managed in a way where all interested parties can benefit? For many of the women I interviewed, selling items in the tourist market helps to support their families. Their husbands typically work either in Aguas Calientes as construction workers, in the municipal government, in tourist businesses, or as migrant workers in other cities, returning to their families for periodic visits. A few of the men are artisans whose work is sold by their wives in the market. These women's lives revolve around their families and the market. It is a space to work, socialize and exercise their desire to exert more power and control over their lives. For some families, it is also a space where many generations of women work. Unfortunately, the market is also a space where power and control are exercised over the women by the various levels of the Peruvian government, tourism companies and tourists alike. Power is also exercised between the women and their various market associations as well. The women are not the only ones working in the market; men are present as well. But when it comes to the power structures within the market, the women appear to be the predominant players. As I walked around looking for people to interview, for example, I tried to obtain the opinions and hear the stories of the men who work in the market, but I was always instead referred by the men to their wives whom they worked alongside. The

4 In the global South, approximately 2/3 of employment in tourism is in the less regulated informal sector, including employment such as street and market vendors, informal guides and rickshaw drivers (WTTCb 2010: 3). 51 use the term global south here as a descriptor similar to developing country. Better/alternative descriptors of a group of countries that possess a higher incidence of poverty are yet to be found.

5 women were the ones who knew about the market; it was a woman's space, and a woman's domain. Therefore, this research focuses on the lives and livelihoods of the women who work in the tourist market in Aguas Calientes, Peru.

Purpose and Objectives As discussed earlier, the purpose of this research is to gain a better understanding of the impacts of tourism on the livelihoods and lives of vendedores in the artesanal market in Aguas Calientes, Peru, to discover possible reasons why the vendedores are not benefiting as much from tourism as they could be and possible ways in which more positive impacts could be achieved from tourism for these women vendedores and their families. The central objectives of the research project were to assess and understand the significance of the impacts of tourism in Aguas Calientes and the connection to the livelihood priorities of local populations; to explore possible ways livelihood priorities might be obtained/gained through tourism, and why tourism may not be currently meeting these priorities; and to further enhance tourism and development theory to better incorporate livelihoods theory, local voices and perceptions and the concepts of power theory and gender research. In order to realize these objectives, this research focused on the following core questions: Can tourism positively contribute to sustainable livelihood goals for marginalized populations? And how has tourism impacted the livelihoods of those living in high traffic semi-rural tourism centres such as Aguas Calientes? More specifically this case study investigates how the growth of tourism has influenced the livelihood choices of those living in Aguas Calientes (especially those connected to the Mercado Artesanal) and their perceptions of how tourism is and, possibly more importantly, should be benefiting them, as well as identifying the barriers that they feel prevent them from receiving further benefits. Other questions include: • What are the development needs of the residents of Aguas Calientes and does tourism have the potential to meet these needs?

6 • What are some of the impacts of tourism in Aguas Calientes, especially concerning the women in the market (positive and negative impacts on, gender, the environment, infrastructure and social structures)? • What do local people actually want in terms of infrastructure, training, business opportunities and the level of their involvement in tourism planning and decision making? • What are the livelihood priorities/goals of residents in Aguas Calientes and what role does tourism play in those? • Does the presence of tourism affect livelihood priorities in Aguas Calientes? • Have livelihood priorities changed over time? Why or why not? • How should tourism be managed in the future and what roles do local residents want/hope to play? • Finally, can tourism be used as a means toward achieving livelihood goals, greater gender and class equality, sustainable development and ultimately poverty alleviation in Aguas Calientes?

Significance of Study This study comes at a time when the negative impacts of tourism are increasingly recognized by travelers, locals and academics alike. Unfortunately, governments continue to promote tourism as a main attractor of "development" and foreign investment, often at the expense of local populations and the natural environment. Little academic research addresses the connections between power, gender, tourism and livelihoods, and even less exists when connected to tourist markets in Peru. This study brings together ideas from a wide variety of sources and places itself in the grey academic and practical space between politics, development studies, livelihood research, economic development, tourism research, and the analysis of social power relations. It is also both a descriptive and prescriptive study. It places responsibility on all actors and stakeholders involved in tourism development and operation to see the - bigger picture. There is a need for consensus on how tourism should exist in less developed areas that involves the participation of local communities and ensures that more positive impacts of tourism ventures are reaching those that need them most.

7 Methodology

"The truth about stories is that's all we are " (Thomas King 2003).

I began my research in Peru in the Fall of 2007 with a destination, Aguas Calientes, and an idea that I wanted to investigate the impacts of tourism on the residents of this town situated so close to the 'mega' tourist attraction of Machu Picchu. Beyond that I was fairly open to see what would happen and where the research would take me once in the field. As is probably the story of many researchers out in the field, my two and a half months (69 days total) there were filled with many serendipitous occurrences that allowed my research to move forward, countered with many unexpected road-blocks that forced me to adapt quickly to the new circumstances and to come up with new strategies that would allow the research to continue. In the end, with most road-blocks removed or at least adapted to, I interviewed fifteen women vendedores out of a total of approximately 200 vendedores (interview #1; see a description of the interview coding process in the 'Data Recording Procedures' section) who worked in Aguas Calientes' local Mercado Artesanal de la Municipalidad Distrital de Machupicchu. Their stories and opinions are what make up the foundations of this research. I first came to know about the town of Aguas Calientes and the large influence tourism had on the town through a colleague who had lived in Peru for over a year and had witnessed some of the negative impacts of tourism while visiting the area. After researching more about the area and tourism in Peru in general, the town revealed itself as a logical case study of tourism in Peru since it is so dependent on and impacted by the largest tourism destination in the country, Machu Picchu. Utilizing a qualitative approach, my research employed aspects of narrative, case study and ethnographic research techniques, focusing on interviews, observations and information gathered in Peru as the core of my research. Qualitative approaches focus more on the values and opinions of participants, as opposed to the more scientific fact and statistical focus of quantitative research techniques. As stated by Family Health International (n.d.): The strength of qualitative research is its ability to provide complex textual descriptions of how people experience a given research issue. It provides information about the "human" side of an issue - that is, the often contradictory

8 behaviours, beliefs, opinions, emotions, and relationships of individuals. Qualitative methods are also effective in identifying intangible factors, such as social norms, socioeconomic status, gender roles, ethnicity, and religion, whose role in the research issue may not be readily apparent (1-2).

One of the most influential and inspirational examples of both ethnographic and narrative based research that I have encountered is the work of Ricardo Valderrama Fernandez and Carmen Escalante Gutierrez. Their research follows the life stories of two Peruvian Quechua speakers, Gregorio Condori Mamani and Asunta Quispe Huaman, as translated into English by Paul H. Gelles and Gabriela Martinez Escobar in Andean Lives. In weaving together the histories of Gregorio and Asunta, the resulting narrative provides a detailed and emotional account of both the beauty and brutality that characterized their lives (Gelles and Escobar 1996). In terms of narrative research, Creswell states that it is, "...a form of inquiry in which the researcher studies the lives of individuals and asks one or more individuals to provide stories about their lives" (2003: 15). In my own research, although my relationship was not as long nor did it include as strong a personal connection between myself and the people I interviewed when compared to other narrative researchers such as the work of Fernandez and Gutierrez as found in Andean Lives, I have tried to gain a better understanding of the lives and livelihoods of the women I interviewed through their stories. In ethnographic research, researchers study a group of people as they go about their regular lives over a prolonged period of time by collecting primarily observational data. The process is fairly flexible and typically evolves contextually in response to the realities encountered in the field (Creswell 2003: 14). It is, at the very basic level, a means, "...of trying to understand a culture from the insider's perspective" (Northey, Tepperman and Russell 2005: 86). For my research, I was not able to spend a long enough time in the field with the women I interviewed to categorize my study as full ethnographic research. Nor was I deceptive about the purposes behind my existence in the community, as is the case in some examples of ethnographic research (see Northey, Tepperman and Russell 2005: 88). However, my desire to understand a situation from the insider's perspective, as well as a focus on the participant's lives and stories, does connect to some ethnographic research techniques.

9 Data Recording Procedures Case studies involve a researcher exploring an event, activity, program, process or individuals in depth, bounded by time and activity, collecting detailed information using a variety of data collection techniques (Creswell 2003: 15). In exploring the case study of the women in the market in Aguas Calientes, many techniques were used, including secondary literature and document reviews, participant observation and semi-structured (digitally recorded) interviews. In the interviews I aimed to understand the past and current livelihood priorities and goals of the women vendors and to better understand how tourism has, currently does and ultimately, should fit within these desired livelihood outcomes, as well as their personal understanding and interpretation of the larger global structures that influence tourism and development in Peru. Ethnographic and narrative semi-structured interview techniques best suit this research, since the main goal was to ascertain the opinions and stories of the local residents as to the connections between their livelihoods, tourism and inequality, and to better understand the context of these opinions and narratives. As opposed to asking the same specific questions to each participant, my assistant Martin and I, grouped ideas for questions under themes and areas that I wanted to discuss with the women. The flow of the conversation along with the themes I wanted to leam more about dictated the questions asked during the interviews, as opposed to following a strict questionnaire format, that would not allow for as much spontaneity, openness and flow in their story telling. As stated by Spradley, "Rather than studying people, ethnography means learning from people" (1979: 3, emphasis by original author). I would also add it means listening to people. By utilizing ethnographic and narrative techniques, I have also attempted to minimize my cultural and personal assumptions and biases in the interpretation and analysis of this research. Once all of the interviews were collected, translated and transcribed, I was able to pull out themes, patterns and categories that guided the formulation of conclusions about the impacts of tourism on livelihoods and gender relations in the region. When I arrived in Aguas Calientes I spent the first few days wandering around the town trying to gain a sense of place from my surroundings in the hopes of narrowing down my research focus into a manageable project. I quickly came upon Aguas

10 Calientes' local Mercado Artesanal de la Municipalidad Distrital de Machupicchu (the local tourist market) and, after exploring both the town and market further, decided it would be the perfect case study for investigating the impacts of tourism in the town, as well as more generally the possible effects tourism may have on livelihoods and the overall ability of tourism to help alleviate poverty. During one of my initial visits I formally let the local municipal government know, through a formal letter and meeting with a government official, that I was in town aiming to conduct research (see Appendix A). From those initial visits, I returned to Cusco where I had established my main base of operations within the Casa Campesina hostel of the Center Bartolome de las Casas (CBC) Andean research and study centre. I decided that my next step would be to secure a research assistant to help with my interviews and translating process. Since I had limited financial resources, I decided the best way to find an educated and yet less expensive research assistant with both Spanish and English skills would be to visit local language schools and hire an English student who could then use the experience to build up their resume, creating what I hoped would be a win-win situation for both the student and myself. I visited the Instituto Cultural Peruano Norteamericano de Cusco, a language school in Cusco, and was, through the recommendation of an English teacher at the school, Mariella Bernasconi, able to hire my research assistant Martin A. Miori Bernasconi. Martin was a business student at a local university and grew up in a multilingual household (since both of his parents had lived in the United States of America for over twenty years). With his own connection to University education and his ability to speak both Spanish and English fluently, I thought he was a perfect candidate to help me with my research. After negotiating and securing Martin's services, we traveled back to Aguas Calientes and began conducting interviews with the women who worked in the market. After a few initial road-blocks (discussed further in the limitations section) we were able to secure fifteen interviews that ranged in length between ten minutes to 1.5 hours, the average interview lasting between twenty to twenty five minutes. The interviewee selection was done randomly (by walking around the market and speaking with whoever was interested in speaking with us) as well as through snowball sampling techniques and

11 was, of course, restricted to those willing to participate. Snowballing, also known as chain referral sampling ".. .is considered a type of purposive sampling. In this method, participants or informants with whom contact has already been made use their social networks to refer the searcher to other people who could potentially participate in or contribute to the study" (Family Health International n.d.: 5-6). The use of snowball techniques was helpful in gaining the trust of my subjects by way of introductions through friends or family. In my case, the first real contact that 'snowballed' into further interviews came unexpectedly at La Casa Campesina Hostel in Cusco where I had been staying. I befriended a woman who worked there and chatted with her almost daily. One day, after I had just returned from a preliminary visit to Aguas Calientes, I began to tell the woman who worked in the hostel in Cusco more about my research and my interest in the handicrafts market there. Her response was I should talk to her mother and sister who both happen to work in the tourist market in Aguas Calientes! She proceeded to give me their contact information and said she would let them know about my return visit to the town. Another chance connection to a vendor in the market occurred in Aguas Calientes itself. Under the recommendation of some fellow travelers I met on the train to Aguas Calientes, I headed to a hostel further up the hill toward the hot springs. It appeared to be a family business run by a female owner and her children, who treated me very well during my initial stay. During some informal interviews with town planning staff about the future of the market and the construction of a possible bus terminal on market land, one of the town planners mentioned I should speak to the woman head of the Machupicchu Artisans Association. Pointing to a map of town to show me where she lives and runs a hostel, I realized it was the same hostel I was staying in, and that the kind female owner was also the head of the largest artisan association in town. After making the connection and eventually interviewing her and describing my research interests further, she introduced me to other women in the market, bringing a new level of trust and openness to the interviews with these introductions. Most of the interviews took place in the market, with the exception of two interviews conducted with a mother and daughter who instead invited Martin and I back to their home shared by three generations of their family. Martin and I usually tried to

12 find participants during the slower selling times in the market (usually in the afternoons when most of the tourists in town were visiting Machu Picchu) since we felt it was more likely they would be able to spend time with us when fewer customers were around. It was in the mornings and late afternoons that the market was busier, as tourists passed through the aisles that fed into the train station (the only entrance to the train station is through the market). During the quieter times, it was common to see smaller children running and playing in the aisles and women sitting on stools and speaking in small groups, watching small antennaed televisions in their stalls, knitting, sewing or crocheting, or eating a meal. There were some differences between the sellers in the older and more established Machupicchu Association and the newer associations. Many of the sellers in the Machupicchu Association were older, with two long hair braids and longer skirts typically associated with indigenous culture in Peru. Many of the women in the newer associations were younger, carried cell phones and wore jeans and dress that could be considered more typically western or 'modern'. However, the demographic differences between the older association and the rest were not always as easily defined as that. Some of the women in the Machupicchu Association either worked with or had inherited their stall from their mother, and were younger and dressed in 'modern' western clothes. As well, some of the women in the newer associations were older, having migrated from other areas in Peru more recently. For these women, as well as some older women in the Machupicchu Association, age did not necessarily dictate their style of dress, as some of the older women in the market also chose to dress in a more modern style. Not all the women I interviewed told us their exact age, but I would guess by their appearance and life stories that the ages of those I interviewed ranged from early twenties to late sixties. Most of the older women I interviewed were married with children and grandchildren, and had lived in the area for a while. A few of the younger women I interviewed (early to mid twenties) were unmarried and one woman even joked that she had no real desire to ever marry. The women also ranged in attachment to selling in the area as well, some having worked as vendors near Machu Picchu for over thirty five years, while others had been in the area for much less time and were just renting their

13 stall from Machupicchu Association women owners or the municipality until another livelihood opportunity came along. The house of the mother and daughter I was privileged enough to spend time and conduct interviews in appeared typical of the town. The house had two livable stories, with the beginnings of a third. Some of the floors, such as in the hallways, were made of mud, while others, such as in the bedrooms, were either tiled or made of concrete. The mother and her husband had one bedroom, with the daughter, husband and children sharing another. They also had a shared kitchen and shared storage spaces as well. The rooms of the house were all in various states of completion, with the bedrooms appearing to be the most complete. During the interview, we sat in the room that appeared to be the most complete, with tiled floors, paint and solid wood furniture including a double bed, dresser and television. The older mother appeared to be in her mid to late sixties and dressed in a manner that was more typical of indigenous culture, with two long braids down her back, a longer skirt and a bowler type hat. Her daughter appeared to be in her late twenties or early thirties and dressed in more modern clothes. The daughter was also a mother herself and had a few children of her own, including a newborn daughter. Both of their husbands were not present. The older father worked for Peru Rail and was away a lot. Further details about the livelihood of the younger woman's husband were unfortunately not discussed. In terms of the working relationship between Martin and myself, I believe some solid preparation was a major part of its success, especially in terms of the interview process. I had already translated the consent forms prior to starting the interviews. In order to prepare Martin, who would be conducting most of the interviews himself, with me standing by to observe, listen, make notes and ask questions that may have been left out, I spent several days going over the purpose of my research with Martin. We discussed what I hoped to ask the interviewees, and worked through different categories and themes that we should discuss with them, including their livelihoods past, present, and hopes for the future, their views on tourism, local politics and government as it pertained to the market, the history of the market, their thoughts on Peru Rail, and possible environmental concerns as well. After each interview we discussed how it went and what could possibly be added or adapted for the next one, depending on any new

14 information we may have gained. After we had completed our work in Aguas Calientes, we took the digitally recorded interviews and notes back to Cusco where we spent a few weekends translating the interviews so that I could begin the process of coding and categorizing the information gained from speaking with the women. In the end, the easiest way I found to organize the data and quotations was with loose categories, such as "livelihoods in the past" or "Peru Rail". Once reorganized into word documents certain themes and main issues emerged (all of which is discussed further in the analysis sections of this paper). From there, the work of including more structure and analysis to the emerging issues began with the writing of this text. For coding purposes, the names of the actual interviewees were changed in alpha­ numeric order according to the number of their interview. For example, interviewee #1 's name was changed to Alba, interviewee #2 to Brigida, and so on, making the reading of the text using the interviews flow easily. Maintaining that sense of human/personal connection to the interviewees was important since it is their narratives that shape a large section of the text. I felt, however, that anonymity was still important, especially due to the small sample size. Some of the issues discussed were political in nature, and so every attempt has been made to ensure that any statement that could be seen as politically charged was not connected to any specific participant directly. The names used for the purposes of this paper in order of how the interviews were conducted are as follows: (1) Alba; (2) Brigida; (3) Carmela; (4) Dora; (5) Elena; (6) Francisca; (7) Graciela; (8) Herminia; (9) Imelda; (10) Josefina; (11) Krista; (12) Luisa; (13) Maria; (14) Nieve; (15) Olivia.

Ethical Considerations Every effort was made to ensure and maintain confidentiality and minimum threat to the participants. Some specific ethical issues that were considered in regards to my case study include: • Possible illiterate participants; the consent forms were read aloud in Spanish to the participants to help ensure they understood the purpose of my research and their role within it.

15 • Many of the participants did not feel comfortable signing a consent form due to cultural circumstances, and therefore, verbal consent, after reading or listening to the translated Spanish consent form, was sought and recorded when possible. • Since an interpreter/research assistant was used for translation purposes (and conducted most of the interviews) every effort was made to ensure that the person chosen was not be biased in terms of connections to certain groups over others within the community, which could have both tainted the interpretations of the interviews as well as changed possible responses of the participants. A person not from the case study area was hired and was interviewed in detail about the research project and area as to ensure the mitigation of any possible biases that could have affected the research. • Every effort was made to ensure that participants understood that I was not affiliated with any group besides Dalhousie University and the Centro Bartolome de las Casas (CBC) and that my research was being conducted to fulfill the requirements of my Master's Degree. • Finally, a final copy of the results will be made available in Peru through the CBC library in Cusco, although it is unclear whether or not it will be translated into Spanish.

Limitations The limitations of this study fall under two main categories: those encountered in the field and those inherent in the practice of a 'western' researcher conducting field work in another culture and region of the world who then attempts to write and disseminate that research. As mentioned earlier, I encountered several challenges connected to this research while in Peru. The first was culturally adapting to the slower pace of life and therefore the slower pace of conducting research, of making connections, arranging interviews, and gaining access to documents. This slower lifestyle was, however, easily adapted to and expected (and even, I must say, thoroughly enjoyed at times!). One of the more specific cultural barriers I encountered came right at the beginning of the interviewing process. On the first day of interviewing, as Martin and I

16 walked around the market approaching people to see if we could ask them a few questions about their stall, the market and tourism, many of them flat out refused, and we were often met with anger. We were a little taken aback by the reactions until one woman accused Martin of working for Peru Rail, the mostly foreign owned company that ran the train service into Aguas Calientes. After further discussion we realized that a few months earlier Peru Rail had interviewed some of the women about their feelings for the company under false pretences (they never mentioned that they worked for the company or the true purpose of their questioning). And so the women thought that the company was trying to do the same again. After some more discussion and showing the women my ethics approval a few of them began to believe that we at least did not work for Peru Rail. Understandably, however, there were many women who were still skeptical as to the purpose of and motives behind my research. Luckily, as mentioned earlier, the owner of the hostel I was staying in also happened to be the president of the largest and oldest women's association in the market and so after getting to know me over the period of a month or so she was able to vouch for me and introduced me to a few different women in the market who were then willing to open up to me. From there, interviewees told me about other women I should talk to. Since word of our presence spread quickly over the period of a few days, Martin and I were eventually able to walk around the market and more easily find more women who were willing to talk to us. Interestingly, I never set out to just interview women. Although most of the vendedores in the market were women, I did try to seek out men who worked there. However, whenever Martin or I approached a man about the possibility of an interview, they would always refer us to their wives, sisters, or daughters, saying that they knew more about the market than the men did. As a result, all of the interviews conducted were with women vendors who were willing to speak to us during the time frame that we were conducting interviews. There are also many limitations inherent in being a Caucasian, Western female trying to conduct research in a country and culture that is very different from my own. Language was the first barrier that needed to be overcome. Although I spoke some Spanish, I did not feel fluent enough to conduct interviews on my own, and did not speak any Quechua, the local indigenous language in the study region. That is why a research assistant was very necessary in helping me complete this research. Luckily, all the

17 women interviewed did speak Spanish well enough that Martin was able to conduct all the interviews without needing to know Quechua. There is also the issue of my inherent cultural bias. As stated by Chant (2003): Just over fifteen years ago, for example, exiled Argentinian academic and activist Marta Sabaleta wrote about the irony embedded in Latin American women reading about themselves through the writings of North American academics, and in a language (English) other than their own. This, she charged, placed them in the 'strange position of making their own acquaintance though [sic] the medium of an internationally projected, internationally recognized image of themselves which they played little part in constructing'" (7).

The reality of my culture, upbringing and country of residence does indeed add a different cultural layer to the analysis of these women's stories. By focusing on their narratives, however, I still hope to be able to do their lives and stories some justice. Through my connection to academia, especially in the North, I also hope to be able to disseminate their stories to a wider audience, possibly helping to enact change that could one day benefit women like, and perhaps including, those I interviewed in Aguas Calientes. Time and location were also limiting factors, even with over two months in the area. The area was remote enough with no road access and very slow and limited internet access (which I used to arrange meetings over email with Martin and others back in Cusco, along with looking up more information about Aguas Calientes while in the town) that it definitely made completing field research there a challenge. Conducting interviews and research in a language other than your own and relying on translations also adds more room for error and lost meaning as well, but in using the same person to both conduct the interviews and help translate the transcripts, as well as being present during the actual interviews, I hope the risk of such errors was minimized as much as possible. Also, since this is a case study linking to the larger issues of global inequality and poverty, many of the specifics in terms of tourism development and livelihoods in Aguas Calientes may not be entirely applicable to other regions of the world. However, it is hoped that the larger lessons and themes gained from this research, especially in terms of current unequal power relations present in the market, the contribution of the focus on power to sustainable livelihoods approaches and the women's hopes, current struggles

18 and triumphs in their attempts to carve out more workable and equal space for themselves, will be applicable to many other similarly marginalized regions and groups of individuals in the world.

Overview of Chapters The first chapter of this thesis introduces its topic; investigating the impacts of tourism from a livelihoods perspective, looking specifically at the case study of the tourism market in Aguas Calientes, Peru. The methodological tools for this research are semi- structured interviews, participant observation and secondary data collection. The second chapter examines some of the literature pertaining to tourism, livelihoods and gender research. The sustainable livelihoods approach forms the foundation for the theoretical framework of this research. Other theoretical concepts, such as Rowland's (1997) different forms of power are also incorporated to best help understand the constraints on the livelihoods of the women in the market. In chapter three, the Peruvian specific tourism context is discussed, both nationally and locally in Aguas Calientes. Through the information gained during the interview process the market, its connection to the local municipal government and its organization are also discussed. Using the sustainable livelihoods framework, an analysis of the livelihoods of the women in the market and their connection to tourism is found in chapter four, along with a discussion using a power analysis of the main constraints facing the women that hinder their achievement of certain livelihood goals. Finally, chapter five concludes this thesis with a summary of the findings and some possible directions forward.

19 Chapter 2: Literature Review and Theoretical Framework The topic of tourism has received increasing attention in development literature. There are even several journals, such as the Journal of Sustainable Tourism and the Annals of Tourism Research, that focus much of their attention on the effects of tourism on host destinations and the environmental, social and political effects of increasing tourism development around the globe. Some of these studies have even gone beyond simple surveys of tourism developments and their basic effects to look even deeper into the issues of tourism and poverty alleviation. Focusing on theory, as well as practical case examples, some researchers are beginning to question why negative consequences still persist and analyze the dynamics that lead to unequal relationships, instead of the supposed poverty reduction benefits. With this information, researchers are beginning to investigate potential solutions that could create greater equality in tourism planning and development. Much of the needed deeper prescriptive analysis in this field of research is, however, still in its beginning stages. Regina Scheyvens (2007) work, for example, investigates the evolution of tourism and poverty theory since the 1950s. In the beginning, research on the links between tourism and development focused on foreign exchange earnings, shifting in the 1970s and 1980s to focus on the disadvantages and inequalities created by tourism. In the 1990s, however, a further shift in thinking occurred to look at tourism as a means of poverty alleviation, including the introduction of concepts such as pro-poor tourism (PPT, discussed further in the next section). The situation, however, may not be as simple as tourism always facilitating poverty reduction. As stated by Scheyvens: Overall there needs to be more debate about the value of PPT as an approach to poverty reduction. To date, few critical views on PPT have been aired.. .there are certainly circumstances in which tourism has helped to alleviate poverty, [but] there are also situations in which it has deepened the fissures separating rich and poor, and where it has impoverished people culturally, socially, or environmentally, even when the economic benefits have been real (2007: 251).

Scheyvens (2007) calls on the United Nations' World Tourism Organization (UNWTO) to demonstrate a strong commitment to poverty reduction by ensuring corporate stakeholders abide by acceptable labour standards, minimizing leakages from mass tourism ventures and pressuring its members to consider joint venture arrangements with

20 local communities. As Scheyvens states, ".. .debate is critical if we are to gain a full understanding of both tourism's potential and its limitations" (2007: 251). Zhao and Ritchie's (2007) research focused on developing an integrative research framework to help address deficiencies in tourism and poverty alleviation research and scholarly analysis. Even with the launch of tourism and poverty focused programs, such as the UN WTO's concept of ST-EP (Sustainable Tourism as an effective tool for Eliminating Poverty), Zhao and Ritchie argue that academic research to back up these initiatives is lacking. As Zhao and Ritchie argue "the implications of tourism for poverty alleviation have been largely neglected by the tourism academic community. Relevant research to date is fragmented, limited in scope, and lacks a consistent methodological development" (2007: 119). In order to address these deficiencies, their concept and framework for 'anti-poverty tourism' (APT) refers then to any tourism development in which poverty alleviation is set as a central objective. With themes such as 'destination competitiveness', 'local participation' and 'destination sustainability', the attempt is to shift more of the focus on local communities and their connection to tourism. Zhao and Ritchie's central focus of poverty alleviation and the community in tourism is an important one. This focus on the local community, however, is also already found in the sustainable livelihoods framework, discussed later in this section. Other researchers who are aiming to look deeper into the tourism and poverty alleviation connection include David Harrison's and Steven Schipani's (2007) research in Lao into community-based tourism (CBT, where community involvement and ownership is the focus) and the private sector, as well as Geoffrey Manyara and Eleri Jones' (2007) exploration of community-based tourism enterprises and poverty reduction in Kenya. Studies focusing on tourism development in Peru and its possible connection to livelihoods or inequality and poverty alleviation are even more limited. One notable exception is Mitchell and Eagles (2001), who investigated community integration and tourism on Taquile Island in Peru. Although they do not specifically focus on livelihoods, Mitchell and Eagles do investigate the use of tourism as a means toward poverty alleviation. Other Peruvian tourism specific research includes investigations into the state's role in tourism development (Desforges 2000), regional inequalities in tourism (O'Hare and Barrett 1999), the construction of identity and the past (Silverman 2002; van

21 den Berghe and Ochoa 2000), and the health of porters on the Inca trail, which leads to Machu Pichu (Bauer 2003). In terms of market and artisan specific studies, Orlove's (1974) research into urban and rural artisans in Southern Peru looked at the livelihoods of artisans. The study, however, is structured as a survey of what the artisans made and how their livelihoods were organized in relation to their trades, class status and ethnicity, as opposed to a livelihoods analysis of the role tourism plays in their lives. I have not discovered any research in English or Spanish specific to my case study of the Mercado Artesanal in Aguas Calientes, and more broadly have not come across any studies that specifically investigate the connections between tourism, development, livelihoods, power and markets. This study aims to fill that gap in the literature. Since so many local people participate economically in the current tourism structure in informal ways, such as through handicrafts markets, or through other small tourists businesses, a focus on a tourist market makes sense in this context. Currently, there is also a World Bank project underway entitled the "Vilcanota Valley Rehabilitation and Management Project", which aims to strengthen the tourism infrastructure in the Machu Picchu area, making a study of the current tourism situation a timely exercise for the area and its residents. Therefore, I believe this research is both unique and valuable, in terms of practical application and scholarly advancement. A focus on livelihoods, I believe, is one of the best ways to observe and analyze the connections between tourism and poverty. So how have other scholars tried to conceptualize and analyze the spaces that local residents occupy between tourism, livelihoods and current political and social realities? As mentioned before, in Peru specifically, some researchers, such as Orlove (1974) dedicated research to surveying the lives and livelihood realities of farmer artisans, describing in detail how different artisans conducted their trade and how they also fit in to the complex social structure of the time. Other researchers, such as Cervone (2002), have taken a more gendered approach to the study of rural livelihoods, focusing on the changing gender roles and the inclusion of women, through various circumstances, in paid work and politics. But neither of these types of research focused on the interplay of artisans, livelihoods and tourism in market settings.

22 In terms of tourism and development literature focused on livelihoods, only a few studies exist. Caroline Ashley's (2000) work on tourism and rural livelihoods in Namibia is one of the better examples of tourism-focused livelihoods research. Ashley's study is one of the first to look at a tourism case study from a livelihoods perspective, using the sustainable livelihoods approach (SLA) for most of her analysis. As stated by Ashley "...conventional tourism perspectives... tend to focus exclusively on either economic, commercial or environmental impacts" (2000: 6). Due to this, according to Ashley, tourism perspectives also usually have a "narrow assessment of local benefits focusing only on job creation and cash income" (2000: 6). By instead focusing on a sustainable livelihoods perspective, that investigates a more holistic view of livelihoods beyond just job creation and cash income, as described further in the next section, Ashley found that it helped better identify the impacts (direct and indirect, positive and negative) that mattered to local people (2000: 6). As stated by Ashley, "tourism's contribution to livelihoods can be enhanced by adjusting decisions on what is developed and how, in ways that reflect people's livelihood priorities" (2000: 6). As part of the Sustainable Livelihoods in Southern Africa Programme, Ntshona and Lahiff s (2003) investigation of community-based eco-tourism in South Africa looked at the impact of the community developed trail experience on livelihoods almost five years after the start of the enterprise. Although those directly employed by the tourism business had seen some benefits, such as an increase in their individual incomes, the rest of the community did not benefit as much as was anticipated. In the end it was seen that individual interests seemed to become priority as the venture grew and interacted with more outside interests, such as hotels, as opposed to communal priorities. The project is seen by many as a success, and although the authors do not disagree that many benefits have come from the venture, they also caution that those who wish to emulate the project could easily over look the communal values that made it a successful community-based tourism project in the pursuit of increased profits and growth in tourism. Spenceley's (2003) investigation of sustainable livelihoods in Southern Africa looks at the role of the private sector in natural resources management and its connection to local livelihoods. Through the investigation of seventeen different tourism case

23 studies, Spenceley concludes that, "In making the processes more responsive to the needs of the poor, it is critical that the state and the private sector constructively design practical mechanisms to incorporate their interests...only through proactively engaging the rural poor in the policy design and implementation will the programs that ensue be reflective of the needs of the poor, and sustainably improve their livelihoods" (2003: 118, emphasis by original author). Mzenda's (2002) case study uses the livelihoods perspective to analyze the impact of Lekgophung Tourism Lodge, in South Africa, on the communities that border the reserve. Many of the direct benefits, including increased income, are secured through partnership contracts, long-term lease rights and community participation in a multi- stakeholder park-based development steering committee. The lodge itself, however, is still dependent on subsidies and private expertise. Therefore, the community could gain more if they had more tools to help assess the impact of the lodge on livelihoods, and if they could take on increased lodge governance functions as well. This case study is another example of how livelihood approaches can be used to help evaluate existing tourism ventures. Finally, Fujun Shen's, Kenneth F.D. Hughey's and David G. Simmons' (2008) investigation entitled "Connecting the Sustainable Livelihoods Approach and Tourism: A Review of the Literature" even went as far as to develop a Sustainable Tourism Livelihoods Approach (STLA). A further critique of the STLA is found in the next section. Even as more research continues on the topic of tourism and poverty alleviation, it is still only at the beginning critical stages. Tourism and poverty alleviation focused studies utilizing a sustainable livelihoods perspective are even fewer. This study, therefore, aims to add a deeper, case study focused inquiry to the growing field of research focused on the confluence of tourism, development, livelihoods and poverty reduction.

Theoretical Framework: Sustainable Livelihoods and Power Relations Theory plays an integral role in research as both a 'lens' through which to analyze findings and in framing the actual structure of analysis. When I began my research and

24 started organizing my fieldwork, I planned to use the sustainable livelihoods approach (SLA) as the main approach to analyze my tourism case study. The SLA, discussed further in the next section, places people at the centre of an investigation or project and attempts to take a multi-factor approach to the issue of livelihoods and poverty. Once I arrived in Aguas Calientes and started my interviews, however, it quickly became evident that the SLA could not explain all of the ideas and issues that seemed to be coming out of the interviews and the direction with which those early interviews suggested that the research should take. The women I interviewed told stories about unequal relations of power, and so I realized that questions about power relations needed to be incorporated into the research as well. The negative power relations that the women described were a major hindrance in their ability to benefit from tourism. I believe that the current sustainable livelihoods approach does not direct sufficient attention to the roles that power structures and power relations play in both livelihood choices and outcomes, as well as their role in long-term livelihood sustainability. Therefore, a more power-based approach to studying sustainable livelihoods is needed. The next section discusses poverty-focused tourism and development theories. It also analyses tourism-focused sustainable livelihood tourism approaches and frameworks, as developed by organizations such as the UK Department for International Development (DFID), the International Institute for Sustainable Development (USD) and Oxfam. Upon highlighting the lack of focus on power in the current sustainable livelihood approaches, this chapter also discusses different approaches to power that could enhance our understanding of livelihoods approaches, especially when connected to tourism, drawing understanding from more historically based literature on power relations as well as gender based power research.

Tourism and Sustainable Development The most pervasive, but still controversial, theory that is widely used in development and, more recently, tourism literature, is the concept of sustainable development. Although many definitions for the term sustainable development are still debated, one of the most frequently quoted derives from the 1987 World Commission on Environment and Development. In its document entitled "Our Common Future", also known as the

25 Brundtland Report, the WCED defines sustainable development as, "...development that meets the needs of the present without compromising the ability of future generations to meet their own needs" (WCED 1987: 43). When tourism is used as a means toward sustainable development, as laid out by the World Tourism Organization (UNWTO) in 2004, it should: 1) Make optimal use of environmental resources that constitute a key element in tourism development, maintaining essential ecological processes and helping to conserve natural heritage and biodiversity. 2) Respect the socio-cultural authenticity of host communities, conserve their built and living cultural heritage and traditional values, and contribute to inter-cultural understanding and tolerance. 3) Ensure viable, long-term economic operations, providing socio-economic benefits to all stakeholders that are fairly distributed, including stable employment and income-earning opportunities and social services to host communities, and contributing to poverty alleviation (UNWTO 2004: n.p.).

Along with this statement the UNWTO points out that sustainable tourism development is an ongoing process that requires constant monitoring, education on sustainability issues for tourists, the informed participation of all relevant stakeholders, and strong political leadership (UNWTO 2004). A similar concept to sustainable tourism development is pro-poor tourism, defined as tourism that puts poverty alleviation/elimination as its core focus (Potter 2004: 327). Used as an overall approach, as opposed to being a specific product or sector of tourism, it is tourism that generates net benefits for the poor and aims to unlock opportunities, such as engagement in decision-making, and other livelihood benefits, including possible economic gain (Ashley, Goodwin and Roe 2001: 1). Other widely used tourism terms and concepts that promote ideas of sustainability include ecotourism, which is more ecologically focused, and community-based tourism, which focuses more on community involvement and ownership (Mowforth and Munt 2003: 95). As discussed in Potter, however: PPT [pro-poor tourism]...overlaps with both ecotourism and community-based tourism, but it is not synonymous with either. Ecotourism initiatives may provide benefits to people, but they are mainly concerned with the environment. Community-based tourism initiatives aim to increase local people's involvement in tourism. This is a useful component of PPT. But PPT involves more than a community focus - it requires mechanisms to unlock opportunities for the poor at all levels and scales of operation (2004: 327).

26 The ideas of pro-poor tourism and poverty alleviation are also interconnected with fair trade in tourism, which "is about ensuring that the people whose land, natural resources, labour, knowledge and culture are used for tourism activities, actually benefit from tourism" (Fair Trade in Tourism South Africa 2005). Linking to a fair trade network is also good for promotional and educational reasons. As stated by Fair Trade in Tourism South Africa, "65% of UK tourists would like to know how to support the local economy and preserve the environment so they can behave responsibly when they go on holiday" (2005: n.p.). All of those potential tourists, therefore, might be more attracted to tourism initiatives that can be categorized into any of the above-mentioned approaches. The main problem with all of the above-mentioned theories, however, is that they continue to work within, and do not challenge unequal global and local power structures, therefore perpetuating the inequalities that my research aims to highlight. This criticism is similar to FridelPs (2004) argument on the current interconnectedness of the fair trade network with current neo-liberal economic structures. He argues that the success of the fair trade network globally, "...can only be properly understood as the flip side of the defeat of the broader fair trade movement that sought international market regulation and strong state intervention and is in fact indicative of the current triumph of neoliberal globalization" (Fridell 2004: 411). In the same sense then, concepts such as 'eco-tourism', 'pro-poor tourism' and 'community-based tourism' all continue to work within existing structures of inequality, and do not do enough to critique and challenge existing unequal power relationships. Since the 1990s, some development agencies, such as DFID, USD and Oxfam, began to utilize the concept of sustainable livelihoods in poverty alleviation research and programs. Some tourism and development researchers haye also begun to utilize the sustainable livelihoods approach because of its people-centred approach to poverty alleviation as well as its adaptability and flexibility in application.

Sustainable Livelihoods and the Sustainable Livelihoods Approach In their 1991 article on sustainable rural livelihoods, Chambers and Conway defined livelihoods as comprising of:

27 ...people, their capabilities and their means of living, including food, income and assets. Tangible assets are resources and stores, and intangible assets are claims and access. A livelihood is environmentally sustainable when it maintains or enhances the local and global assets on which livelihoods depend, and has net beneficial effects on other livelihoods. A livelihood is socially sustainable which can cope with and recover from stress and shocks, and provide for future generations (1).

Drawing on Chambers' and Conways' work and this definition, various organizations, including CARE, UNDP, Oxfam, USD and the UK's Department for International Development (DFID) have all adopted similar sustainable livelihoods methodologies in their development work. It is DFID, however, that has invested most heavily into research, workshops and the publication of guidance sheets and other papers, and that body of work eventually led to the establishment of a more formalized, albeit still adaptive approach, which is discussed below. The sustainable livelihoods approach (SLA), developed and promoted by DFID, places people at the centre of development. The SLA aims to increase the sustainability of poor people's livelihoods by striving toward six core objectives: 1) improved access to high-quality education, information, technologies and training and better nutrition and health 2) a more supportive and cohesive social environment 3) more secure access to, and better management of, natural resources 4) better access to basic and facilitating infrastructure 5) more secure access to financial resources 6) a policy and institutional environment that supports multiple livelihood strategies and promotes equitable access to competitive markets for all (DFID 1999: n.p.).

Sustainability in the SLA is defined as:

Resilience: Ability to cope and recover from shocks Economic Efficiency: the use of minimal inputs to generate outputs Ecological Integrity: Ensure livelihood activities do not irreversibly degrade natural resources Social Equity: Livelihoods opportunities should not benefit one group at the expense of another Institutional Capacity: Prevailing structures and processes have the capacity to continue to contribute to livelihoods of a long time frame (DFID 1999: n.p.).

28 The SLA framework, which demonstrates how the approach can be utilized to determine ways to help improve people's livelihoods, is illustrated below (see Figure 2):

Figure 2: The Sustainable Livelihoods Framework

Sustainable livelihoods framework Key H = Human Capital S • Social Capital N .- Natural Capital P - Physical Capital F • Financial Capital

LIVELIHOOD ASSETS TRANSFORMING LIVELIHOOD STRUCTURES & OUTCOMES VULNERABILITY PROCESSES CONTEXT S More income # 1 STRUCTURES Increased SHOCKS S LIVELIHOOD • [Influence! • Levels of well-being TRENDS STRATEGIES Reduced i& access J government / . Laws vulnerability SEASONALITY • Private/ • Policies Imp rovedroo d Culture ^ security ^ More sustainable • Institutions use of NR base t PROCESSES

Social capital Natural capreal

(DFID 1999)

Developed to both help plan new development activities and assess the ability of existing activities to contribute to livelihood sustainability, the sustainable livelihoods framework highlights the main factors that affect people's livelihoods and the relationships between them. Centering its focus on people, the model is not meant to present an accurate illustration of reality and instead is meant to be dynamic and non-linear, aiming to help stakeholders with different perspectives engage in a ".. .structured and coherent debate about the many factors that affect livelihoods, their relative importance and the way in which they interact" (DFID 1999: 1). More specifically, the framework: • provides a checklist of important issues and sketches out the way these link to each other; • draws attention to core influences and processes; and

29 • emphasises the multiple interactions between the various factors which affect livelihoods (DFID 1999: 1).

A further discussion of the various aspects of the framework, including its connected dimensions of vulnerability, assets, transforming structures and processes, strategies and outcomes is found in its use as a tool of analysis in Chapter 4. Since its initial development, other researchers and organizations have continued to modify, adapt and critique the sustainable livelihoods approach. Fujun Shen, Kenneth Hughey and David Simmons (2008) research is one example of an adaptation where the authors attempted to develop a new sustainable livelihood framework specifically for tourism. The authors believe that due to tourism's complex nature, simply applying the sustainable livelihoods framework to a tourism situation is not enough; .. .there is a growing view that the SL approach is a perfect solution to all criticisms imposed on the so-called conventional tourism perspectives in rural development.. .however.. .tourism is not the same as other typically 'productive' rural sectors. Simply using the SL framework to analyse tourism may over- formularise and oversimplify actual complexity and fail to provide a holistic understanding of rural tourism livelihoods (Shen, Hughey and Simmons 2008: 8).

First by combining the concepts of sustainable development, rural development and tourism development they came up with the conceptualization below (see Figure 3):

Figure 3: Relationship between Sustainable Development, Rural Development, and Tourism

(Shen, Hughey and Simmons 2008: 5) Then taking this concept of'sustainable rural livelihoods for tourism' they further developed their own 'sustainable livelihood framework for tourism', incorporating many

30 of the concepts from the original SLA, while adding a few more specific to tourism, as discussed below (see Figure 4):

Figure 4: The Sustainable Livelihood Framework for Tourism

Tourism • Domestic • International

Institutional arrangements Vertical Horizontal • national governments • governments • regional governments • tourism enterprises • local community • local governments • NGOs • Tourists

through tourism Livelihood outcomes N activities • Sustainab!. e economic development • Sustainab. e soci.al development 4 » • Sustainab! e environmental development • Sustainab! e institutional development H

Vulnerability context • Trends • Shocks • Seasonality • Institutions • external market risks Tourism • Domestic • International (Shen, Hughey and Simmons 2008: 10) In the SLFT, tourism is understood as the context in which all factors of the SLFT exist and are influenced. The new concept of institutional capital as a livelihood asset is defined as "providing for people's access to tourism markets, tourism benefits sharing, and access and participation in the policy-making process, and the extent that people's willingness is reflected in political decision to achieve better livelihood outcomes" (Shen, Hughey and Simmons 2008: 10). The framework also looks at livelihood outcomes not only from the individual level, but also at the community level as well. It sees the importance of both horizontal and vertical institutional arrangements as mediating processes between the interactions of various stakeholders. It also sees the inappropriate actions of institutions at times causing increased vulnerability in communities, therefore, listing institutions as a new aspect of vulnerability. Even with this emphasis on institutions, however, the framework, still says little explicitly about the issue of power, power structures or their impacts on livelihoods. It

31 also fails to seriously investigate the informal nature of much of the local involvement in tourism in developing areas. Finally, the framework mainly focuses on tourism in rural settings, failing to capture the impacts of larger scale tourism ventures, such as the phenomena of mass tourism and resort tourism, on development and livelihoods as well. As stated by the authors, however, ".. .the tourism context is always case-specific and research and application results may vary in multiple circumstances. It is therefore suggested that more practical work needs to be undertaken to evaluate and improve the proposed framework's applicability" (Shen, Hughey and Simmons 2008: 11). Admitting that their framework is a work in progress and that it may not work in all contexts is key. The SLFT, although important in some of its additions such as institutional capital and vulnerability, still does not seem refined enough to be useful for my research. Instead, I felt that the original sustainable livelihoods framework, with an added focus on power, would provide the most effective tools for analysis of my case study. With the additional focus on power structures and relations, the use of the SLA as seen in my research could also be applied and adapted to other livelihoods research beyond tourism as well. Beyond the SLFT, many of the various SLA's have been criticized in the past for lacking analysis of the roles of power and culture (Hussein 2002; Bebbington 1999). Drawing from the SLA, Bebbington (1999) further transforms the DFID approach to form his idea of a rural livelihoods framework, focusing particularly on Latin America and the rural Andean region. Looking at the connection between poverty, livelihoods and access to assets, Bebbington (1999) states that we need to understand rural livelihoods in terms of, "the ways in which [people] are able to deploy and enhance their capabilities both to make living more meaningful and to change the dominant rules and relationships governing the ways in which resources are controlled, distributed and transformed in society" (2021). This criticism of the SLA's lack of attention to power is also voiced by Shields (2001) and Carney (2002). They feel that the current structure of the SL perspective does encourage providers (such as the state, NGOs, and the private sector) to be more responsive to the needs of users, such as communities and households (Carney 2002: 37). As stated by Carney, however, ".. .SL could achieve more if it were to break out of this provider-perspective and pay more attention to empowering users (and user groups) to do

32 things for themselves (even though this might result in failure in some instances)" (2002: 37, emphasis by original author). Carney goes on to assert that, "Because these concerns [power and voice] are not explicitly highlighted in the (original) SL principles and framework, there is a tendency for power issues and their effects to be (a) underanalysed and (b) insufficiently prioritised in development activity (with a consequent loss of effectiveness in poverty reduction)" (2000: 36). By shifting the focus to empowerment, power relations, and power structures, the sustainable livelihoods approach could help enact more sustained and deep rooted change that could greatly improve the ability and power of people to develop and create strong and sustainable livelihoods less dependent on government and NGO aid. It is in the Structures and Processes section of the original formation of the sustainable livelihoods framework that the issue of power is meant to be addressed, although it is not always explicitly discussed. Therefore, it is difficult for those using the framework to better understand and analyze the important processes of power that can so greatly affect and restrict livelihood options. I believe that more could be done to better describe and analyze these important processes and, in many cases, imbalances of power. As stated by Carney, "Trying to gain an understanding of how policies and institutions shape people's livelihoods is a core focus of SL approaches. However, it is not sufficient simply to state that these are priorities. It is critical to keep up with current thinking and draw upon the rapidly accumulating experience of others" (2002: 46). In this case, it is important to look at what others are saying about power, power structures and processes of power that affect all our lives. For those at the margins especially, these power dynamics and structures have an even greater negative impact on their lives and livelihoods when not, is as often the case, organized in their favour. For the purposes of this research, I will be utilizing the sustainable livelihoods approach and framework as a key tool of analysis, but also build on the approach by incorporating theoretical perspectives on power relations. By looking at my case study through the lens of the SLA, I hope to both bring insight into the livelihood situation of the women vendors in Aguas Calientes, as well as highlight some areas, mainly power relations, in which the SLA could be adapted in order to better understand the connections between poverty reduction, tourism and livelihoods.

33 Tourism, Power and Development

"...tourism not only does not offer a panacea to developing nations but it also may be exasperating the problem " (Mowforth andMunt 2003: 49).

The tourism industry both highlights and even exacerbates inequalities, but at the same time is promoted by governments and the private sector as a means toward sustainable development and poverty reduction. The 'hosts' in tourism developments and destinations, usually local communities and the surrounding environment, are the ones that, when tourism is not planned or organized sustainably, end up bearing most of the costs and while experiencing few of the benefits. When the economy of any country or locale relies too heavily on any one type of industry for its economic survival, a situation of dependency can easily result, along with possible unequal and exploitive relationships. As stated by Mowforth and Munt: .. .Third World economies drawn to tourism as a way of earning foreign exchange witnessed the leaking of much of the money made, straight back out of their national economies. This leakage, as it is now commonly known, was seen to arise primarily as a result of the First World ownership and control of the tourism industry in the Third World.. .Above all else, theories of dependency are in general agreement that the interdependence resulting from global economic expansion and the inability for autonomous growth results in unequal and uneven development (2003: 49).

This unequal global development in the tourism industry has led many researchers to question the viability of pursuing tourism as a development strategy, as many of the supposed developmental benefits actually fail to materialize (Telfer and Sharpley 2008: xiii).

Local Participation and Power According to the Indicators of Sustainable Development for Tourism Destinations: A Guidebook by the World Tourism Organization "The community can be impacted both positively from tourism through jobs, economic activity and improved social services and negatively due to stress or damage on local resources and cultural values. Local satisfaction with tourism is critical for sustainability" (2004: 56). Local participation in tourism planning and operation is seen by many researchers as a key aspect of sustainable tourism. As stated by Mowforth and Munt "the greater the degree of local participation,

34 the better (by whatever definition) the project" (1998: 240). Looking at community participation as a means of power distribution, many researchers have looked at different examples of this phenomenon, ranging from manipulative or 'token' gestures and forms of appeasement to full citizen power where local citizens themselves initiate tourism projects without external impetus (Shen et. al. 2008; Arnstein 1969; Tosun 1999). Participation, however, requires a shift in power. According to Nici Nelson and Susan Wright, these shifts, "occur within communities, between 'people' and policy-making and resource holding institutions, and within the structure of those organizations" (1995: 1). They also make a distinction between participation as a means ("to accomplish the aims of a project more efficiently, effectively or cheaply") and as an end ("where the community or group sets up a process to control its own development"), with the involvement and extent of 'empowerment' being more limited as a means as opposed to an end (Nelson and Wright 1995: 1). In so many tourism relationships, including the promotion, organization, and management of tourism and host/visitor relations, unequal power relationships are evident, making the description and analysis of power relationships an integral part of any research that aims to better understand the impacts of tourism, especially in the global South. As many critics argue, subservience characterizes much of what tourism looks like in the developing world (Mowforth and Munt 2003: 44). Much of the analysis of power relations in the tourist industry focuses almost entirely on the role of the tourism industries' external power over a host nation, and mostly from the perspective of the consumers and providers in the developed world. However, the power relations are more complex than that, and affect all stakeholders in the tourism industry. What I seek to analyze in this research are the dynamics of power relations in the tourist industry from the perspective of the hosts themselves. What do the women in a tourist market in Peru have to say about their lives and livelihoods as connected to tourism? And how do the relational and situational aspects of tourism affect their lives and livelihoods?

35 Theories of Power

'Wo social being can escape experience with power and powerlessness, and for this reason power should be recognized as a fundamental category of human experience " (Nybergl981:29).

A theoretical analysis of power and tourism could become a research topic on its own. For the purposes of this research, however, the discussion that follows aims to bring a theoretical context to the specific power relations discussed by market vendors and observed by me in the market in Aguas Calientes. As mentioned earlier, as I listened to the stories of the women in the market, the themes of power, powerlessness, and even resistance continued to resurface. Nieve, for example, discussed corruption and the lack of transparency in the Peruvian government's use of foreign aid and funds: Finland donated money to help us create more artists and to give space for them to sell their art, but not all the money arrived, as usual.. .we wanted to set up a school for people to learn how to make handicrafts and a popular restaurant. We actually obtained the money from the government of Finland, this was during the Fujimori government but his government distracted the funds through who knows what NGO's and other institutions such as INRENA6.. .At the end of the story we never saw where the money went. We never benefited from it, and I was in charge of the dealings, I even met the Minister of Finland, a lady that came, but the money was never invested here, these were the Fujimori years (interview #14).

Nieve also went on to discuss the extent that her association had to go to protect their land rights: "Fujimori tried to take away our land but at the end we beat him. His government was very detrimental to us. It was only five years ago that we were recognized [as land owners]. We had to even take over the railroad tracks so our claims were taken into consideration ..." (interview #14). Other women, such as Francisca, also felt the pressures of the monopoly on the transport of goods into town held by Peru Rail: "The problem is that the cost of my products is very high because I pay a lot for the transport of stuff to Aguas Calientes" (interview #6). The women even complained about the competition and lack of unity between the market associations themselves, citing this as a huge hindrance in their advancement as well. When asked if she had any negative

6 INRENA stands for the Instituto Nacional de Recursos Naturales (INRENA 2008).

36 experiences to discuss connected to tourism, Josefina stated: "Nothing really bad, except for the competition that there is among us. Tourism is not to be blamed" (interview #10). Over and over, relations with the local and national governments, tourism companies and even between the associations were listed as negatives and hindrances in the women's ability to reach their livelihood goals and be more effective in their work in the market. So how can these power relations be better understood, and how do they relate to the livelihood choices and goals of these women? For the connection to livelihoods and the analysis of this research, Joanna Rowlands' (1997) conceptualization of power seems to work best to help understand the dynamics of power from the perspective of the local population. According to Rowlands there are four main forms of power at work in our world:

• Power over: controlling power, which may be responded to with compliance, resistance (which weakens processes of victimization) or manipulation • Power to: generative or productive power (sometimes incorporating or manifesting as forms of resistance or manipulation) which creates new possibilities and actions without domination • Power with: a sense of the whole being greater than the sum of the individuals, especially when a group tackles problems together • Power from within: the spiritual strength and uniqueness that resides in each one of us and makes us truly human. Its basis is self-acceptance and self-respect which extend, in turn, to respect for and acceptance of others as equals (Rowlands 1997: 13; with contributions by Moffat et al. 1991).

Using these four concepts, power can be seen as both negative and controlling as well as positive, productive and uniting. It can be relational and communal, or can refer to the building of self-esteem and the relationship we have with ourselves. More than one form may also occur in any one interaction, especially in communal interactions that can positively reinforce group (with), productive (to) and self-worth (from within) forms of power all in the same experience. Many researchers in almost every social science discipline have investigated the concept and experience of power. Although Rowlands' (1997) research will be a focus

37 of my analysis, the next section that highlights other writings on power will also help round out our understanding of power and its potential place in livelihoods, tourism and poverty reduction research. We will all have experiences of power and powerlessness; and unfortunately power can easily corrupt those in possession of it, especially if they gained this control and power in a way that required the suppression of others to achieve their status. As stated by Nyberg: Indeed, some have become so enthralled with the smell of achievement that they regard it as a basic human need. But there is something clearly bad in the uneven concentration of power which results when resources and status are hoarded by a successful few. The sweet smell of success, to the unsuccessful, turns sour, and power becomes rank (in both senses) (1981: 31).

I would take this even further and say that some see power and achievement not only as a need but also a right, especially within our capitalist system. To accumulate power and wealth is seen as a 'right' in our world today and is very much connected to the ever pervasive ideology of individualism as well. As stated by Foucault "We have to promote new forms of subjectivity through the refusal of this kind of individuality which has been imposed on us for several centuries" (1982: 785). In terms of tourism, through the power of globalization and free markets, many foreign companies appear to see it as their right to enter developing countries and establish tourism operations. Many of these businesses possess unequal economic relationships with their host country, in the companies' favour. The company enters the country already possessing the more dominant power position in the current economic system. These unequal power relationships exist in various ways between national companies, local communities, governments, local populations, foreign companies and tourists alike. How have these types of power relationships been discussed before and what can be gleaned to help us better understand the current situation in Aguas Calientes? Since so much has been written about power in so many different disciplines, it would be practically impossible to try to summarize and utilize all of those writings here. Instead, a few other key authors, and how their work relates to Rowlands (1997) conceptualization of power are discussed below.

38 According to French philosopher Michel Foucault, power has three distinct qualities: "...its origin, its basic nature, and its manifestations" (1982: 785). Foucault saw power not as something that can be possessed more or less, nor as a finite entity with a particular location. Instead he saw power as relational, fluid and existing only in the exercise of everyday relationships between people and in institutions (Rowlands 1997:12; Parpart 2004: 4). These relational exercises of power can lead to repressive practices that are expressed in disciplined bodies, actions and thoughts or discourses (Parpart 2004: 4). He also saw resistance as a form of power as well, although, as stated by Rowlands "he does not seem to conceive of any relationship where the individual is not 'acting on' another, and he therefore does not account for more than one individual joining together to act with each other" (1997: 13). Therefore, it seems his definition of power was more focused on the 'power over' concept as opposed to other more collective forms as put forth by feminist theorists, including Rowlands herself. Parpart's main critique of Foucault's work is that it is "relentlessly European and male-focused" and that it also does not say enough about the impact of larger political and economic structures (2004: 4). Either way, Foucault's work does highlight the important relational aspects of power and when combined with more collective action concepts, such as 'power with' and 'power to', a clearer picture of the workings of power can be realized. According to Giddens, "Power is the capacity to achieve outcomes; whether or not these are connected to purely sectional interests is not germane to its definition. Power is not, as such, an obstacle to freedom or emancipation but is their very medium— although it would be foolish, of course, to ignore its constraining properties" (1984: 257). This would connect to Rowlands (1997) concept of 'power to'. In his reading of the sociologist Talcott Parsons, Giddens (1984) also highlights his association of power and collective goals. Giddens, however, states that although collective action may have power, the collective interests or goals do not have any relation to power. Giddens also states that Parsons, when analyzing power, seriously underestimates the significance of the contestation of norms, as well as the ".. .manifold circumstances in which force and violence, and the fear of them, are directly involved in the sanctioning of action" (1984: 257). I would argue, however, as is also discussed by Rowlands (1997), both collective

39 action, AND their collective interests and goals can both be examples of power - representing her concepts of 'power with' and 'power within' respectively. Antonio Gramsci's concept of hegemony connects to Rowlands (1997) concept of 'power over' as well, although in its less explicitly controlling form. Hegemony is defined as the historic ability of dominant classes to convince, as opposed to coerce, subordinate groups to conform and adopt certain political, cultural or moral values (Jackson 1992; Mowforth and Munt 2003: 47). It is the adoption of oppressive cultural norms over time. In the case of the women in Aguas Calientes, a form of this type of 'power over' exists, for example, in the acceptance of the division of associations. For how long, however, will this acceptance exist? As mentioned earlier, the women are beginning to question this division.

Gender Power Relations

"Consent unwillingly given is but delayed opposition... " (David Nyberg's 1981: 47).

When studying power relations, development, livelihoods and tourism, it is difficult to leave out an analysis and discussion around how different scholars have approached this topic from a gendered lens. As already mentioned, this research became a study of the livelihoods of women in a tourist market, more out of a gendered reality of the market setting, as opposed to any conscious choice. One area of gender research where power, gender and even livelihoods are discussed is in the development and empowerment literature.

Development and Empowerment "...no society exists or has ever existed in which women created institutions and models of public behaviour aimed at controlling men, or actually banning them from public activities and depriving them of their freedom " (Vianello and Caramazza 2005: 78).

The term 'empowerment' is frequently used by governments, NGOs and intergovernmental bodies alike, especially in terms of women. When using a 'power over' definition of power, women are seen as beings to be empowered. They are given or delegated the chance to occupy positions of power, seeing power as something that can be bestowed on someone else (Rowlands 1997: 11-12). This view however, does not

40 tackle the underlying causes of unequal power relations in the first place. As stated by Rowlands, "The difficulty with this interpretation is that if power can be bestowed, it can just as easily be withdrawn" (1997: 12). Instead, empowerment can also be seen as a process by which individuals, over time, become aware of their own sense of self and personal interests, and how those interests may connect to or relate to others' interests (Rowlands 1997: 14). With this connection and awareness, they are then able to engage and make their interests known from a position of greater strength. This view is, therefore, concerned with not only the external interactions of people, but also the internal processes that help them become aware of their own interests and possible strengths. As stated by Rowlands, "Empowerment is thus more than participation in decision making; it must also include the processes that lead people to perceive themselves as able and entitled to make decisions" (1997: 14, emphasis by original author). As highlighted by Rowlands (1997), human societies, unfortunately, tend to ascribe a particular set of abilities to certain groups of people, usually based on stereotypes or beliefs around gender, race, social class, or sexual orientation, for example. These beliefs around the abilities or inabilities of certain groups, unfortunately, tend to become so ingrained that they sometimes form a negative feedback loop, reinforcing the negative beliefs. This, in turn, creates a situation where people in those groups internalize the stereotypes. The negative discourses around that particular group tend to perpetuate a situation and structure that becomes similar to a self fulfilling prophecy, entrenching the negative beliefs further. Empowerment, therefore, must also in part be about deconstructing these negative social constructions. In doing so, individuals will then have the chance to, ".. .see themselves as having the capacity and the right to act and influence decisions" (Rowlands 1997: 14). According to Rowlands empowerment is experienced and demonstrated in three main dimensions: • Personal-developing a sense of self and individual confidence and capacity, and undoing the effects of internalized oppression • Relational-developing the ability to negotiate and influence the nature of a relationship and decisions made within it • Collective-where individuals work together to achieve a more extensive impact than each could have had alone. This includes involvement in political structures, but might also cover collective action based on co-operation rather than

41 competition. Collective action may be locally focused—for example, groups acting at village or neighbourhood level—or be more institutionalized, such as the activities of national networks or the formal procedures of the United Nations (1997: 15).

The key to this idea of empowerment as a process is that it not only involves some degree of personal development, but that it also involves moving from insight to action (Rowlands 1997: 15). Another clear distinction is that this action is not about dominating others. Instead it is about gaining some reasonable control over one's own life, without infringing on the rights of others, and through this process those involved may also be able to help support the empowerment of others in their community (McWhirter 1991). The key concept in all of this is the conceptualization of empowerment as a process. It is dynamic and requires both reflection and action. It requires both the support of others as well as the discovery or rediscovery of a sense of self. And in the end, as stated by Taliaferro (1991), it cannot be bestowed: it must come from within. If it is controlled, or its outcomes are predetermined by outside sources then it is really just another form of control. For true empowerment, those oppressed must reach their own conclusions about what they want and need, and how they want to work toward reaching those goals, if at all. Others can be of help and support the process, but in the end true empowerment comes from within. Naila Kabeer's (2000) book entitled The Power to Choose: Bangladeshi women and labour market decisions in London and Dhaka focuses on the concept of'power within.' Kabeer "emphasizes the importance of such elements as self-respect, and the sense of agency, in empowerment processes, and also the building of organisational capacity through conscious processes, support for leadership development, and the strengthening of networks" (Rowlands 1997: 22). In the end, Kabeer argues that for lasting change to occur, women need to eventually become empowered enough to challenge the structures that oppress them in the first place. As argued by Kabeer, "It is only when the participation of poorer women goes beyond participation at the project level to intervening in the broader policy making agenda that their strategic interests can become an enduring influence on the course of development" (2000: 262). In terms of the women in the market in Aguas Calientes, this would require cooperation between the seven associations to advance their collective cause by taking their interests beyond the

42 local market and municipal setting to the regional and national levels as well. With less infighting, however, even a smaller example of greater collective action, and power 'with', could see positive results. Power and conflict share an interesting relationship, in which power can be used to both control and suppress conflict. As stated by Rowlands, "...manipulation, misinformation, and other ways of exerting influence are examples of the exercise of power, since they suppress what would otherwise have been open conflict" (1997: 10). Steven Lukes (1974) further argues that the greatest effect of power is to be able to prevent others from even imagining having the conflict in the first place by shaping their perceptions and preferences in such a way that they accept the status quo without question since they cannot see or imagine any alternative to it, possibly believing it is the natural order of things or that it is divinely ordained as so. Similar to Gramsci's concept of hegemony, Lukes calls this 'unobservable conflict' (1974: 23-24). According to Rowlands (1997) outside of feminist literature, most frameworks of power make no real comment about how power is distributed within a society, especially around the areas of gender, race, class or any other force of oppression. A lot of this oppressive power in society takes the form of 'internalized oppression', which could be seen as an example similar to Lukes' observations on conflict and power, and is one way that unequal power relationships, such as the ones in Aguas Calientes, are able to exist. When conceptualizing power, many automatically think of power as defined as 'power over'. In terms of a gendered analysis, this could be seen in many societies as predominantly men possessing power both over other men and women, in all areas of social interaction. As stated by Rowlands, "power, in this sense, is in finite supply; if some people have more, others have less" (1997: 11). With that kind of view and relationship with power, as highlighted by Rowlands (1997), it is no wonder that men fear the empowerment of women, as they feel a role reversal where they not only will lose power but will also become the dominated ones. But does that have to be the case? Is there not a more equal alternative? And as stated by Rowlands ".. .is it necessarily an outcome of women's empowerment that men should lose power; and, further, should a loss of power be something to fear?" (1997: 11). As the concepts of 'power to', 'power

43 with' and 'power within' demonstrate, the empowerment of one does not necessarily mean the loss of power for another. Another way of conceptualizing power is to see it as a process, as discussed in relation to empowerment. When we define power as 'power to', 'power with', and 'power from within', a more dynamic view of power becomes evident. The concepts of 'power to' and 'power with' speak to, for example, a ".. .kind of leadership that comes from the wish to see a group achieve what it is capable of, where there is no conflict of interests, and the group is setting its own collective agenda" (Rowlands 1997: 12). In collective action, power is multiplied, not divided. For the women in the market of Aguas Calientes, their associations at times have worked against each other. In order to achieve greater power and voice, collective action with the aim of bettering the lives of the women in the market as a whole, could achieve positive change. Their livelihood goals, both collective and personal could become a focus of collective action and empowerment, challenging the power structures that have hindered their goals in the past.

Feminist Anthropologies: Gender in the Latin American Context

Some researchers, such as Emma Cervone (2002) have begun to investigate shifting Latin American gender roles in both the private and public sphere. Although not always specifically talking about tourism related employment, Cervone's analysis is useful for understanding some of the observed shifting gender roles in Aguas Calientes. Cervone argues that the increasing dependence of rural Latin American economies on free market employment has caused gender roles to shift and change over time (Cervone 2002: 180). As she argues: the increasingly common phenomenon of male temporary migration to the city has led women to assume responsibilities within the community as they find themselves replacing their absent husbands. In this transition they have come to play a crucial role in the political and material survival of the community. It is precisely this structural shift that has allowed some indigenous women.. .to become visible and start to exercise leadership (2002: 184).

Structural shifts, such as these, open up space, and even the necessity for change. In the market in Aguas Calientes, especially in relation to the more established Machupicchu

44 Association, increased leadership roles of the women were observed both in the market and town. One of the best examples was the market and community role played by the Association's hostel-owning leader. Even the town planners appeared to respect her . status and place in the community as a business owner and leader. According to Cervone (2002), these types of changes have been built upon and pushed further by various women's groups forming throughout Latin America. As Cervone asserts: Indigenous women in Ecuador are redefining gender relations and occupying a space of political participation within the indigenous movement. Instead of following the path of gender-specific political mobilization in opposition to men, indigenous female leaders are redefining concepts such as public/private that had established a gendered symmetry between indigenous and non-indigenous forms of male leadership while condemning women to invisibility (2002: 193).

The interesting aspect of this movement is that these new gender movements are not in opposition to men. Instead, they are looking to redefine gender roles in general, allowing women more political and social voice, and moving them away from invisibility. This shift includes "reinterpreting" the domestic sphere as a place for the production of social values (Cervone 2002: 180). They are also making inroads in the political sphere as well. As stated by Cervone, "In communal political spaces and those connected with grassroots organizations, women leaders promote gender solidarity by bringing their challenges and claims as women to organizations to carve out space and political legitimacy for themselves. In this way they are able to influence the decision-making process..." (2002: 189). These shifts in both the domestic and political sphere, claiming more space for women's voices, mirror some of the shifts beginning to occur in the market in Aguas Calientes as well. The women I interviewed complained of a lack of cooperation between the various artisan associations and many appeared ready for more cooperation. In terms of expanding this influence further into the political sphere, Vianello and Caramazza (2005) discuss in their book Gender, Space and Power the ways in which political power has become more focused on power for the sake of power, as opposed to power for a greater societal purpose or the greater good. In terms of gender movements, this means, at times being prepared to work with some difficult relationships with the state. As stated by Craske:

45 For most, interaction with the state is central, especially if their goal is to engender citizenship and legislation, but the challenge remains to avoid cooptation by the state. As such, the issue for many of the region's feminists is not an ideological problem with state intervention per se, but the need for a critical approach to engaging with the state given the history of clientelism, corruption and repression. Generally speaking, in Chile, where the state is not perceived to be particularly corrupt and clientelistic, its relations with organized women are well developed. This is much less the case in Peru and Mexico (2003: 24).

Unfortunately for the women in the market in Aguas Calientes, relationships with the state are already difficult. But in managing these relationships from a place of more solidarity, they may be able to find more power and strength to face the challenges before them. The addition of a gendered power lens to this analysis adds a much needed depth to this discussion, further highlighting the importance of collective action in shifting unequal power structures, such as the current situation for the women vendedores in Aguas Calientes. The next chapter describes the tourism situation in Peru and Aguas Calientes, as well as more specifically the organization of the market. It is with this information that a clearer picture of the market and its connection to tourism and the surrounding political and social landscape can be realized.

46 Chapter 3: Peruvian Tourism, Aguas Calientes and the Artisan Market

Before analyzing the current tourism and livelihoods situation in Aguas Calientes, it is first important to understand the broader tourism context in Peru and Aguas Calientes, as well as the social structure of the market and its relationship with the local municipal government.

Peruvian Development and Tourism Since the early 1990s, the Peruvian government, with the assistance of the World Bank, has invested in tourism infrastructure and encouraged foreign companies to do the same through the liberalization of the economy (Desforges 2000; Operations 2002). Machu Picchu is one of the largest tourist attractions in Peru. The site and the surrounding area, including the town of Aguas Calientes (also referred to as Machu Picchu Pueblo), receives over 400,000 tourists a year and is one such area focused on by the government for tourism growth (Chavez 2004). Peru's tourist attractions comprise of mainly historical-cultural assets as well as many natural attractions, including 84 of the world's 103 microclimates (United Nations 2000: 71). Starting in 1994, Peru began to see the benefits of the rapid growth of tourism, after a prior period of tourism decline due to the political and economic instability of the country (United Nations 2000: 71). By 1997, the tourism industry was the third largest generator of foreign exchange and by 1999, international tourist arrivals totaled 910,000 (United Nations 2000: 71). Most of the foreign investment in the industry originates from either the United States or the United Kingdom, which, in 2000, together accounted for 96 per cent of the total investment in the tourism sector (United Nations 2000: 72). Foreign Direct Investment (FDI) has been promoted by the World Bank (WB) and International Monetary Fund (IMF) as an important part of their Structural Adjustment Programs (SAPs) aimed at helping developing countries strengthen their ties to the global market place and promote economic growth. In the case of Peru, this economic liberalization began in the early 1990s under President Fujimori. As stated by Crabtree, this period of'adjustment', "...began with a vengeance with the so-called 'Fujishock' of August 1990, a massive price adjustment which sought to stabilise inflation" (2002: 40).

47 After this initial period of shock, the government commenced a privatizing program that saw the sale of most of its public companies, including interests in utilities, mines, banking and telecommunications, opening up these areas for foreign investment. The basic rationale for this structural adjustment was to encourage free trade and attract foreign investment in order to "...promote export growth and inward investment, generating foreign exchange to make it easier to service the foreign debt" (Crabtree 2002: 41). The mass promotion of tourism in Peru is a more recent development after years of political instability and turmoil. In terms of economic development, the United Nations' Investment Policy Review of Peru pointed out that: In promoting tourism, the Government of Peru seeks to comply with the national objectives of poverty alleviation and employment creation as well as to mediate between development and conservation. To this end, the Department of Tourism, with assistance from the Government of Japan, has adopted a master plan that sets a clear target for tourism growth and development (United Nations 2000: 76).

This focus on tourism as a means toward development looks toward FDI as a tool for rapid growth within the sector. The potential costs associated with this growth are discussed within this same document as well: International tourism has been credited with improving the balance of payments, employment generation and poverty alleviation. At the same time, tourism is related to and has an impact on almost every domain—the environment, infrastructure, education, agriculture and imports, for example. It is, therefore, necessary to carefully balance rapid tourism expansion with environmental protection and protection of cultural heritage, among others (United Nations 2000: 76).

Evidence from Aguas Calientes, a town closely linked with the largest tourist attraction in Peru, suggests that this balance is currently still in the favour of international tourism and FDI, making the goals of employment generation, environmental protection and ultimately poverty alleviation still a worthy goal yet unreached.

48 Tourism in Aguas Calientes

"Aguas Calientes: it is nobody's town...or it is everyone's town... " -Alba (interview #1).

On describing his 1911 'discovery' for National Geographic Magazine in April 1913, the Yale University Professor Hiram Bingham, wrote that "Machu Picchu might prove to be the largest and most important ruin discovered in South America since the days of the Spanish conquest" (National Geographic 2010).7 However, probably even Bingham could not have fathomed the tourist attraction the site would later become. Now seeing over 400,000 tourists a year, Machu Picchu is Peru's number one tourist attraction, and is credited by Marco Ochoa, president of the Association of Tourism Agencies in Cusco, with bringing between $750,000 and $1 million US dollars a day into the country's economy (Chavez 2004; DPA 2010). The town of Aguas Calientes, located in the mountainous Andean Region of Peru, sits nestled in a valley only a few kilometers below the ruins, and has over time become a tourist center whose main industry is catering to the tourists who pass through the town on their way to 'the Lost City of the Incas'. The town was originally settled in 1901 by a few families, whose main source of livelihood was farming. By the 1920's the settlement was renamed 'Camp Maquinachayoq' after being converted into a workers camp for the construction of the railway, and remained the central location for the workers and their equipment until the railway was finished in 1931. The town was then renamed Aguas Calientes, after its hot springs and more recently has also been referred to as Machu Picchu Pueblo (Town) to better connect it to its famous touristy neighbour (Our World Wonders 2009). In its beginnings, according to Alba, Aguas Calientes was a very small train outpost with a small population of mostly porters, who carried goods such as fruit from the surrounding rural areas between the two trains (interview #1). As Francisca pointed out, "At that time the homes were not good as they were not made of concrete.. .the only two places of good materials were the Machu Picchu Hotel and the Caminante Hostel. At

7 The site was already known to the local inhabitants of the area, some even using the terraces to grow crops. Hiram Bingham, after paying a local guide to take him to these rumored ruins, was the first to scientifically document and study the site (National Geographic 2010).

49 that time the tourism was really low.. .Aguas Calientes wasn't the center of tourism.. .it was instead at Puente Ruinas..." (interview #6). In 2007, according to Alba, there were over 3,000 people living in the town (interview #1). Beyond its main utility as the gateway to the Inca ruins for most tourists, the town also boasts hot water springs and is used as a base to explore many other natural, cultural and historic attractions in the area. The area is also classified as a UNESCO world heritage site and, therefore, in order to maintain this status, the Peruvian government is under constant pressure to regulate the area in terms of natural and historic preservation. In 1999, the government of Peru completed a new series of privatizations and concession awards for hotels and transport facilities in the region. These 'awards' attracted a consortium of local and foreign investors led by Sea Container (a train operator) and its affiliate, Orient Express, the well-known luxury travel operator. As stated in the Investment Policy Review the group acquired: • Ownership of a hotel in Cuzco and of the hotels closest to Machu Picchu which will be refurbished and expanded to five-star standard; • A 30-year management franchise and non-exclusive operatorship of the Cuzco-Machu Picchu railway and the connecting rail line to Arequipa on the coast; and • A concession to construct a cable car to the site (2000: 73).

These investments were seen as the best way to improve the tourism infrastructure in the region in order to attract more tourists, since the existing infrastructure was and continues to be seen as substandard by those investing in the tourism product. As stated by the United Nations, "Many of the tourist destinations lack adequate accommodation and infrastructure. As the case of Cuzco shows, foreign investors favour integrated investment to exploit untapped potential in culture, adventure and ecotourism and their participation in the development of new areas should be encouraged" (2000: 74). The word choice is interesting in this above statement, since the author outwardly admits that these companies aim to 'exploit' the culture, history and environment of the area. Ultimately, this continued push to increase tourism has caused the town to reach a crisis point in terms of the negative ecological, economical and social impacts affecting the area. Water and sanitation infrastructure is almost non-existent, and pollution and erosion are rapidly increasing (Chavez 2004). As stated by Chavez, "Conflicts.. .emerge

50 as local residents are not integrated into a tourism economy that is driven mostly by external firms and professionals" (2004: 4). Foreign companies own most of the tourism infrastructure in the town, and as the government and tourism operators continue to push for increased tourism, the resulting negative impacts, including pollution, conflicts and other cultural and social pressures, are being felt mainly by the local populations and environment, pressures that add to the already existing stresses of heavy seasonal rains and landslides. Currently, there has been some positive progress in terms of environmental protection due to the pressures of both the UNESCO world heritage rating and other environmental groups. The Peruvian government now limits the number of visitors each day on the Inca Trail and the plans for the proposed cable car up to Machu Picchu have been halted (Henley 2001). Overall, there has been continued pressure and awareness for 'sustainable tourism' practices in the region. Most investors and even the United Nations Conference on Trade and Development, however, see this increased pressure for environmental protection as a reason for increased privatization: "since these sites [in the Inca region] constitute the core of the tourism market which the private investors would be servicing, they should have a strong interest in their conservation and proper management. Presently however, since the sites are managed as a public good, no individual investor is motivated to become actively involved in their conservation" (United Nations 2000: 79). This logic, however, seems suspect, since within the same document the concept of'exploiting' the regions attractions is also discussed. Ultimately, under the current FDI structure, once privately owned, the government of Peru loses practically all regulatory control over their protection, and although the investors may have a stake in 'preserving' the sites, ultimately they are investing in the area to make profit, not protect the environment. The same document goes on further to state that, "it is not clear if a balance between tourism development and heritage conservation has been achieved by imposing specific conservation obligations. According to UNESCO, there is a lack of clarity and coordination between various agencies and levels of government on the responsibilities for conservation and tourism policy" (United Nations 2000: 80). Instead of leaving it up to private industry to self- regulate in terms of conservation and environmental protection, however, the focus

51 should instead shift to coordinating all the various agencies and levels of government to create one set of comprehensive environmental and social policies. Most recently, there has been conflict over the construction of a bridge that would bring a road into the town; currently Aguas Calientes and Machu Picchu are only accessible by either hiking in or the foreign owned train. Although the bridge would help local farmers access the market much more easily to sell their produce, UNESCO and the Peruvian government have repeatedly attempted to halt its construction, citing conservation reasons and fears that "hordes of back packers will swamp the site" (Carroll 2006). At the same time, however, the government continues to attempt to increase FDI in tourism hoping to attract more tourists to the region, contradicting their conservation motives. As argued by Carroll, "Conservation concern.. .was a red herring to protect the monopoly of Peru Rail, part of Orient Express Hotels, which has operated the line since 1999. Every day hundreds of foreigners pay from £33 to £230, depending on how much luxury they want, for a return trip. With the bridge backpackers can take a £2.30 bus ride to the foot of the site" (2006: n.p.). In conflicts such as this one, local interests are put up against the ideals of conservation, foreign investment and tourism, and, unfortunately, although poverty alleviation is consistently listed as a reason to continue to promote tourism in the region, local interests usually lose out to those of foreign companies and tourists. To help mitigate some of these conflicts and different stakeholder priorities, a management plan was created in 1995 to help protect local people and the environment (Sacred 2007). Research undertaken by the Barcelona Field Studies Centre found that the many tourism stakeholders in the region had mixed feelings about the various aspects and effectiveness of the management plan. The protection measures for both the environment and the health of the porters along the trail, for example, were seen as positives, but the potential loss of income due to the restriction of the number of tourists was seen as a problem. The conflict between priorities for local populations and tourists is illustrated in this quote from the Mayor of Aguas Calientes: "We will now receive 10 percent of ticket receipts from Machu Picchu...We can make a dignified town for tourists" (Barcelona 2007). Although the profit sharing was intended to provide a more equal distribution of the benefits of tourism to the local populations, it is obvious that much of this money will

52 continue to be spent to support and prioritize tourism as opposed to services needed specifically by the local population. Other conflicts have also arisen over local access to Machu Picchu, since high ticket prices prohibit many locals from visiting the religious site on a regular basis, as well as conflicts over the number of tourists visiting the area (Barcelona 2007). Ultimately, during these disputes the government and tourism operators continue to prioritize the local populations last since they lack the power or control necessary to have their voice heard. As stated by Mowforth and Munt, "The relationships of power...are central to a consideration of the role of local communities in tourism" (2003: 250). As long as the current structure of FDI continues to favour the priorities of the companies over the local populations, this unequal power distribution will continue. Most recently, the government has opened up rights to the railway concessions, allowing the increase of competition for Peru Rail. As of the Fall of 2009, only one other company has begun operations, Inca Rail, but another company, Andean Railways, looks poised to begin operations soon as well. Since the Peru Rail monopoly caused such controversy, and the change is so new, the result in terms of prices, costs of goods and shipping, access, tourism numbers, and employment, remains to be seen (Inca Rail 2010; Andean Railways 2010). The recent landslides in the region as well may affect future rail company expansion, at least in the short term. With all this investment, promotion and controversy, it is important to understand the local community's perspective on tourism. They are confronted with the resulting impacts on a daily basis and should be the ones ultimately benefiting from tourism development in the area.

The Artisan Market "At that time [thirty years ago] there were two persons that started selling handicrafts so it is said. They established contact with the local people and that is how little by little more people started to sell handicrafts"-Herminia (interview #8).

The tourist market in Aguas Calientes began informally beside the 'old' train station near the base of Machu Picchu at Puente Ruinas, where porters and tourists would congregate before hiking up to Machu Picchu. According to Alba, since the market was in Puente

53 Ruinas, ".. .the sellers were just a few. When the road was built, more people moved to Aguas Calientes to sell in the new market" (interview #1). No one I interviewed knew the exact date, or even year, that the market at Puente Ruinas began, but according to Joseflna it was around thirty years ago that her family began their involvement in the first market (interview #10). From this original market, the Asociacion de Artesanos de Machupicchu (Machupicchu Artisans Association) was formed on the 6th of October, 1976 (interview #1). This vendors association still exists in the new market location, along with six others (seven in total): Asociacion de Artesanos "Las Joyitas", "Qorichaska", "Quilla Raymi", "Taqui Acllas ", Asociacion de Comerciantes Artesanos "Inti Pakarina ", and Vendedores del Mercado Artesanal. Interestingly, according to Graciela, the other associations were organized by the local government at the same time as the new market. As stated by Graciela, ".. .the worst mayor was from the FIM political party8.. .he was elected years ago.. .he was the worst because he divided the sellers of the market between the old and the new..." (interview #7). According to many of the women, this separation into seven different associations has created unnecessary competition and fighting between the vendors that did not exist prior to the new market when only one association served all the vendors. It is unknown why the government founded six additional associations, as opposed to one or possibly two new ones. The new market, between the train station and Rio Aguas Calientes, was built about five and a half years ago by the former mayor Oscar Valencia and the central government, in partnership with the Government of Finland (interview #9, #11). Currently, according to Graciela, there are around 200 sellers in the market with stalls organized on the land owned by the municipal government and the Machupicchu Association (interview #7). However, the original plans for the market included more than just the stalls. According to Nieve the funds from the Government of Finland were also meant to support a new artisan school and restaurant. Nieve believed the money was lost instead in government corruption (interview #14).

The Independent Moralizing Front (Frente Independiente Moralizador) or FIM for short was a Peruvian political party that was disbanded after a poor showing in the 1996 elections (CIA 2008).

54 Even the market stalls themselves that were built have created many problems for the women in the market. When I first visited the market I noticed a large pile of metal doors at one end of the market. Upon further investigation and after talking to a few different vendors about their stalls, I learned that the stalls in the new market were built too small for the needs of the vendors. According to the women, the stalls were built without any consultation with the vendors, resulting in stalls that were too small to hold the amount of merchandise the vendors normally keep on hand. The original purpose of creating these stalls was to create larger pathways in the market for tourists to easily pass through and make the stalls lockable and more secure for the vendors as well. Since the stalls were made too small, however, almost all the vendors have taken the doors off their stalls and built larger, less secure structures made out of wood and sheet metal and whatever other materials they could find, creating a similar situation to before where the pathways are once again narrow and the appearance of the market is, as before, 'less organized and not as clean looking', a sentiment that was informally expressed to me by municipal planning staff (personal communication: Aguas Calientes Planning Office, October 4, 2007). Vendors once again cannot lock their stalls properly and instead rely on bungee cords and tarps to wrap their booths up at night. Upon realizing their mistake, according to one woman the Government of Finland even offered to rebuild the stalls, but the women have refused the offer since it would probably mean at least a few months without the market with nowhere else to relocate to, and the women are too dependent on their income to take that much time away from selling (personal communication: woman in market, October 12, 2007).

The Municipal Government of Aguas Calientes and the Market The local municipal government has a history of conflict with the vendedores in the market. One of the most contentious issues currently is the desire of the local municipal government to build a bus terminal on land currently occupied by the market. The local government in partnership with the Peruvian government has drawn up plans to create this bus terminal to transport tourists from the train station up to Machu Picchu. Currently, the buses stop on the only road in town to collect and drop off the tourists. There is no easy spot for the buses to turn around. Since the town is restricted both

55 geographically and legislatively (UNESCO) in terms of growth, the space they plan to use for the new development is on the portion of the market land owned by the municipal government, obviously causing conflicts between the government and the vendedores who work in the market, many of whom fear the permanent loss of their stalls. The current market is divided up between the women of the Asociacion de Artesanos de Machupicchu who actually own their own stalls (on land that is owned by their association-see area highlighted below in blue) and the women who belong to the other associations, who rent their stalls from the municipal government (the land being owned by the government) (see Figure 5).

Figure 5: The Mercado Artesanal de la MunicipalidadDistrital de Machupicchu

-r-SCESS^") I WrM- r TE^NOOEU ASOCIACION DgARTESSNOS f™j _JL»w ' " ' PRODUCTORES0E MACHUPICCHU

(Aguas Calientes Planning Office 2007)

The local municipal government has said that if a bus station was built, there would be spaces once again made available for vendors to sell their merchandise (personal communication: Aguas Calientes Planning Office, October 4, 2007). However, due to space restrictions the stalls will most likely either be smaller or fewer in number. Reactions to this plan among the women I interviewed were varied. Women who own their own stalls and the land underneath them feel that they are protected from future

56 development and therefore say they welcome the new bus terminal, since more than half of their competition will be 'wiped out' by this change. One woman in the Asociacion de Artesanos de Machupicchu also stated the sellers who own their land want to take advantage of the situation to build a hotel to help make more money for their members (interview #1).

Market and Social Organization As mentioned earlier, the vendedores in the market are divided into seven different artisan associations {Asociacion de Artesanos). Machupicchu is the oldest association, having formed on the 6 of October, 1976 (interview #1). The rest were formed around five and a half years ago, when the market was moved from Puente Ruinas to its current location beside the train station (interview #11). According to Alba, the local government decided to place all the street sellers and market sellers in Puente Ruinas in one market and create the other six different associations a few years ago because, "...street sellers walking with merchandise on the street generated annoyance for the tourists..." (interview #1). The market associations have provided some of the vendors with a sense of security that they otherwise would not have. For example, on the subject of the land owned by the Machupicchu association, Imelda states, "The land is ours, it has belonged to us all the years we have been here; and the government has actually recognized such rights" (interview #9). When asked 'what would happen if another government came into power and disregarded such rights?' Imelda answered, "That could not happen as we are legally recognized and registered, we have documents registered in the Public Registration Office" (interview #9). In the past, however, such rights have been challenged. As stated by Nieve, "Fujimori tried to take away our land but at the end we beat him. We even had to take over the railroad tracks so our claims were taken into consideration..." (Interview #14).9 Through the collection of association

9 Alberto Fujimori was president of Peru from July 1990 to November 2000, when he fled the country under suspicion of corruption. Although credited with uprooting terrorism in Peru and creating more economic stability, he has also been most recently charged and convicted on bribery, embezzlement and human rights violations. For more information on Fujimori's time in office see Fujimori's Peru by Catherine M. Conaghan (2005).

57 dues, the association members also organize market improvement projects, such as the addition of the roof, sometimes in partnership with the local government (interview #3). The associations are the main social organizing force in the market as well. Where a vendors' stall is located in the market, who their 'neighbours' are, and to some extent even who their friends are, are all determined by which association they belong to. The associations even collect money to help throw parties for their members, for various religious and anniversary events, as well as to buy uniforms to represent the different associations (interview #3, #5, #6). As stated by Francisco, people are designated in charge of a religious festival when, ".. .they give the person a big Hurka (big piece of bread) and that person becomes the Carguyoc (the Cargo) who is the person in charge of the celebration. It is a random choice of a person but it is seen as an honour" (interview #6).10 When I first arrived in Aguas Calientes, it was right in the middle of the 66th Aniversario del Distrito de Machupicchu celebrations. There were events going on all weekend, including a concert in the local futbol pitch and food vendors selling delicious local delights all over town. The various vendor associations also had planned parties to celebrate the occasion, and one of these parties was actually held in the market after they were done selling for the day. This time of celebration also coincided with the 33rd anniversary of the Machupicchu association on October 6th, so all of the members of that association were attending separate celebrations for that anniversary as well. According to Brigida the associations also collect money to help others in need, such as the money they collected, ".. .to help the people in Pisco after the earthquake1'" (interview #2). Women gained access to their stalls in the market in different ways. The main differentiation is between the sellers of the Machupicchu association who own their stalls and the sellers of the other associations who have to rent their stalls for one sole per day

10 Cargos in Indigenous Peruvian traditions are either religious or political obligations undertaken by a member of the community on a rotating basis, and are seen as both an obligation as well as an honour and source of status. Religious cargos usually involve the sponsorship and organization of a religious festival in honour of a particular Roman Catholic saint. Political cargos are normally a type of community service or civic duty in which community members are appointed or volunteer to perform the duties of a particular town office (Gelles and Escobar 1996: 176) In the evening of August 15, 2007, an 8.0 magnitude earthquake struck the towns of Pisco and lea on Peru's coastline, killing over 500 people and leaving more than 100,000 people homeless (Chauvin 2007).

58 from the municipal government (interview #5). Of the sellers who own their stalls, some stalls have been passed down from mother to daughter, with some still sharing them, the mother working a few days a week, the daughter working the rest. According to Luisa, when the women of the Machupicchu association first took up their land and stalls in the market they just numbered the stalls among their 87 associates (interview #11). She currently shares her stall with her daughter Krista. Brigida is also a second-generation seller; her mother owns the stall and she does the selling (interview #2). What the vendors actually sell has changed over time as well. According to Imelda, when the 'market' was located in Puente Ruinas, Aguas Calientes was: .. .a small town, the houses were built of wood...There was no road when we started selling in that place. In the past there were very little opportunities to sell our handicrafts, the tourists did not have the time to come and buy, it was all very limited. There were one or two restaurants, there were very few lodgings, and there were very few tourists. Once the road expanded (between Machu Picchu and Aguas Calientes), the flow of tourists increased (interview #9).

At the market in Puente Ruinas, the sellers mostly sold items they made themselves. As stated by Josefma: My family has always been involved in handicrafts, my father worked with stones, specifically with "serpentina" which is not a black type of stone a very typical stone from this area. He sold it down in Puente Ruinas, about 30 years ago. Since then there were artists in this area. Nowadays, we do not produce, we actually sell handicrafts from other areas, we order from wholesalers (interview #10).

This shift from local production to reliance on wholesale and outside distributors and artisans has created a unique dependence on the services of Peru Rail. Carmela, for example, buys her products from artisans from the cities of Ayacucho, Pisac and Arequipa; all the products coming by train into Aguas Calientes (interview #3). Other sellers, such as Elena sell products by artisans who come to Aguas Calientes on the train to sell to vendors in the market (interview #5). Most of the vendors sell very similar items such as alpaca wool sweaters, wool blankets, jewelry, pottery, stone figurinesan d leather items, such as bags and purses. Some of the vendors, however, have realized the advantages of specializing more with their merchandise. Francisca, for example, specializes in musical instruments. As Francisca stated:

59 .. .my merchandizing is very special (musical instruments). It is produced only in Apurimac, where there used to be a local celebration called Yawar Fiesta. Some of the products are made with cow horns, the drums are made from goat-skin, and the other ones are made from goats' hoofs and shells (conch). The flutes are made of animal bones. The problem is that the cost of my products is very high because I pay a lot for the transport of stuff to Aguas Calientes (due to the cost of the train) (interview #6).

Finally, many of the women commented on the increase in the number of sellers in the market, which has caused more competition among the women. As Josefina said, "before the profit from our sales was greater, now it is not as great because there are more people selling handicrafts" (interview #10). The tourism industry is an important aspect of the Peruvian economy, and for towns like Aguas Calientes, tourism is its main industry. So what does this mean for the livelihoods of the women in the Aguas Calientes tourist market? Using the sustainable livelihoods frameworkwit h an added focus on power relations and constraints, the evolution of livelihoods in the market is discussed, highlighting various structures and processes that currently hinder the women from achieving their livelihood goals.

60 Chapter 4: Women, Power, and Changing Livelihoods

Tourism, depending on how it is organized and regulated, can have both positive and negative consequences on the local communities that play host to increasing tourism development. Unfortunately, the women of the market in Aguas Calientes are currently in a situation where they have very little, if any, control over the form that tourism takes in their town. In terms of planning and regulation, they are practically treated as an 'externality'. This chapter seeks to understand why the women who work in the market in Aguas Calientes do not benefit more from the tourism that exists in their town. As described in Ntshona and Lahiff s (2003) research, tourism ventures, when planned with a focus on the community, can see net benefits for the locals involved, such as increased wages and the increased protection of the environment. However, as was also evident in their research, if self-interest and profit is prioritized over community goals, a tourism venture can easily become less beneficial to the affected communities. In Aguas Calientes, tourism has encouraged and helped finance a range of infrastructure improvements, such as retaining walls, attractive stone/cement pathways and walking roads, and a town square (no cars except for a few busses and small trucks exist in town, and only one 'real' road for vehicle use exists that leads from town up to Machu Picchu). The municipal government has also introduced a better waste and recycling program along with an internationally funded water and sanitation improvement project (personal communication: Aguas Calientes Planning Office, October 4, 2007). The UNESCO designation has also encouraged more measures to protect the local environment. Many of the local residents are also employed by tourism, either in hotels, restaurants, as guides or in the market. On the surface, it would appear that tourism has had an overall positive effect on this town. None of the women I spoke to who worked in the market wanted tourism to stop. Their discussions, however, highlighted many of the negative consequences and constraints associated with the current structure, process and organization of tourism in their town. These unequal power relationships are hindering the women of the market from better benefiting from tourism's existence, and are preventing them from achieving more of their livelihood goals.

61 My original research question asked if tourism can play a positive role in sustainable livelihood goals. More specifically this case study investigates how the growth of tourism has influenced the livelihood choices of those living in Aguas Calientes (especially those connected to the Mercado Artesanal) and their perceptions of how tourism is and, possibly more importantly, should be benefiting them, as well as the barriers they feel are preventing them from benefiting further. In part using the sustainable livelihoods approach, I analyzed the interviews and other information gathered during my time in Aguas Calientes to answer my initial research questions. However, I found the SLA to not be an entirely adequate tool for both assessing and understanding the complexities of the tourism and livelihood situation in the market and town of Aguas Calientes. I have therefore also included a discussion of the specific constraints and different forms of power in existence in the market to help further explain why the women vendors are not benefiting as much as they could or equally should be from the presence of tourism in their town.

The Sustainable Livelihoods Approach

As discussed earlier, the sustainable livelihoods approach lists six main core objectives (education and health, social support, access to and management of natural resources, infrastructure, and financial resources, and a supportive policy and institutional environment) that when met should create an environment that fosters more sustainable livelihoods (DFID 1999). According to these criteria, how do the lives of the women vendedores in the market match up? In terms of training and education, a few of the women we spoke to had had some higher education, but many of them wanted more training programs to be brought to Aguas Calientes, especially English and other foreign language training. Others were hoping to save up and return to school once they were able to. The lack of cooperation among many of the vendor associations was almost always cited by the women as a negative aspect of working in the market. A more supportive and cohesive social environment in the market would definitely help these women better achieve their livelihood goals. Although many of the women do find support within their own association, the lack of cooperation and cohesiveness among the

62 associations fosters an environment of competition that ultimately hinders their ability to lobby the local and national governments for more vendor friendly policies, infrastructure improvements, and a place at the decision making table. The access to and management of natural resources in Aguas Calientes is an important topic that merits a separate research study. The presence of tourism has caused many negative environmental impacts in the area. UNESCO and local government's efforts at mitigation through various restrictions and policy implementations, such as planning restrictions on where and how buildings can be built and new waste programs, have helped reduce some negative environmental impacts. However, the disposal of waste continues to be a large issue for the town. And disasters such as the most recent landslides in January 2010 illustrate that more needs to be done to help protect the town, its residents, tourists and its cultural resources. In terms of access to loans and financial services, the local Caja Municipal Savings and Credit branch does offer small loans to some local residents for business and related purposes. As stated on their website, the purpose of the public company is to support socio-economic segments of the population that traditionally have limited access to banking, aiming to encourage the development of micro-enterprises and small businesses, as well as encouraging savings in the population and the decentralization and democratization of credit (Caja Municipal 2010). One of the services they offer, termed "Solidarity Credit", aims to help individuals who develop an economic activity under the umbrella of a social program run by a municipal government, a non-governmental organization, or the activities of a registered association, such as the ones the vendors in the market belong to. This credit can range from between S/.250.00 to S/.2500.00 Nuevos Soles (or about between $90.00 to $900.00 Canadian Dollars) for terms up to 18 months. As stated by Herminia, when asked how she might plan to increase her sales or double her profits, she stated, "One way could be by saving, increasing our assets and investing.. .since two years ago sales are low.. .a lot of us do not have our own assets, so we resort to loans from The Caja Municipal de Ahorros y Credito de Cusco" (interview #8). The policy and institutional environment has in some ways supported the livelihood strategies of the women in the market, such as creating the space for the

63 market itself, but in many other ways it has not. By not consulting or generally including the women in so many of the development discussions that have an effect on their lives, the local and national governments are ultimately silencing and sidestepping the needs and desires of a large portion of their population. For example, when the market infrastructure was recently overhauled the vendedores were never consulted and the stalls were made too small to be useful to the women. The access to transportation has also been an issue for the women, since most of their goods are shipped on the only mechanized form of transport into town (the train) and the associated costs have made their ability to make a profit continuously diminish over time. Therefore, more consultation with locals is needed so that their voices become a part of policy development and decision-making, helping create policies and decisions that can actually benefit local populations. Overall, these objectives are not being met to create an environment where the women in the market could better achieve their livelihood goals. All of the women I spoke to wanted a more stable financial future for themselves and their families, but they also had greater aspirations beyond stability for their children and their families. The livelihood strategies they along with their families have employed over time, along with some of their goals and aspirations for the future are discussed in the next section.

Livelihoods in the Past

Livelihoods in the rural Andean highlands area have traditionally centred on agriculture. However, since the 1950s the agricultural economy has changed significantly, with a shift in both the way agricultural communities exist and operate, and the amount agricultural production contributes to the overall economy. In the 1950s, under agrarian reform, large plantations and estate farms were broken up and some smaller collective farming units were established along with more peasant land ownership. As these reform policies were later abandoned in the early 1980s, these collective units began to be subdivided further into small, family-based units of independent producers, ".. .with the proportion of very small units (e.g. 1 hectare or less) increasing quite notably in the 1980s and 1990s" (Crabtree 2002: 136). As John Crabtree pointed out, "Between 1975 and 1990, agricultural production grew at an annual rate of 1.9 per cent, well below the overall rate

64 of demographic growth, let alone that of rural Peru.. .this decline is particularly noticeable in the area of foreign trade, with agricultural exports accounting for only 11 per cent of exports compared with over 50 per cent in 1950" (2002: 137). As this shift away from reliance on agriculture has continued, other industries, such as tourism, have filled this economic space. Most of the women I spoke to said they have been working in tourism, either selling handicrafts or helping their families run tourist pensions for, at the most, the past 30 years - that is, since the late 1970s.12 This shift from agriculture to tourism, at least in the lives of the women I interviewed, occurred between their parents' generation and their own. The livelihoods in the region have continued to change along with the growth of tourism. Many of the sellers I spoke to grew up with parents who were farmers, or were even farmers themselves before they decided to move to Aguas Calientes and start selling in the market. As Herminia recalled, "In the past, my grandfather worked as "comunero" as a highland farmer, working as part of an agricultural community, planting and harvesting. He used to do rotation work of the land and whatever was grown from the land it was my grandfather and his family's main income-this is my memory of him" (interview #8). Krista has similar memories of shifting livelihoods: "My father worked as a shoe maker in Arequipa. However as my mother owned land in the valley (down in Aguas Calientes) we moved there. We grew up on the farm. My family grew fruit, such as pineapple, tangerines, mangoes, coffee and coca. The land was in a jungle area" (interview #11). Other women left town after secondary school to go study in places such as Cusco, Arequipa or Lima. Brigida, for example, who was born in Quillabamba, but grew up in Aguas Calientes, left town for further studies after secondary school, but unfortunately never finished her tourism management course. She did say she hopes to finish it in the future (interview #2). Women like Josefina and Nieve both recall childhoods that were connected to tourism. As Nieve recalled:

12 A pension is similar to the idea of a hostel with food services sometimes provided as well.

65 I started selling handicrafts in 1980. But before then I sold handicrafts when I was a child in Puente Ruinas as a street vendor. [My family] sold food; they had a pension where people came to eat in the main street, which was along the railroad tracks. It was.. .the only one in town where people came to eat lunch and dinner. It was a family business where people from the town and outsiders would arrive by train from Quillabamba at 7 A.M. or from Cusco at 12 A.M. The train would stop here for 25 minutes and we would sell the passengers homemade meals.. .such as a lunch wrapped in brown paper from sugar bags if they were in a hurry. All of our customers had their choice, as they knew what we all offered. There were several families, which worked at this trade, and the passengers knew us all (interview #14).

Artisans over 30 years ago were still very much connected to the agricultural peasant communities. As stated by Orlove: The rural artisans tend[ed] to be poorer than the average peasant, having a lower money income and owning less land and fewer animals [when compared to their urban counterparts]. They perceive the cash from selling their products as supplementary to the income from marketing their harvest...It is participation as a member of a peasant community which allows rural dwellers, purely agricultural peasants and peasant-artisans alike, to work their holdings and increase them, by giving them access to these critical factors of production. The goal of becoming a more prosperous peasant implies immersion in the community and identification with it, for the artisan as well as for the peasant. The relations between rural artisans and peasants therefore tend to be egalitarian (1974: 82-83).

Over time however, as families continue to move into more populated areas, such as Aguas Calientes, this connection to agricultural communities has continued to decrease. As this shift from agriculture to tourism continued, the growth of centres, such as Aguas Calientes has continued as well. Tourism has become one of the main livelihood strategies for these women. Before discussing their current livelihood strategies, as well as their goals and objectives for the future, however, conducting a deeper analysis of their current livelihood situation, using the sustainable livelihoods framework, can help us better appreciate their current reality, and the possible constrains that hinder the achievement of their livelihood goals.

Vulnerability Context The vulnerability context aspect of the sustainable livelihoods framework looks at the external environment in which people exist. Ultimately, the wider availability of assets and people's livelihoods are affected by external circumstances, of which they have little

66 or no control, such as Trends, Shocks and Seasonality (DIFD 1999: 3). Greater resiliency, as defined by the ability to withstand and recover quicker after a major shock, for example, would be a desired outcome of improved livelihood sustainability. In the case of Aguas Calientes, one trend is the increasing number of people selling items in the market has meant increased competition over time. There, however, has also been an increase in tourist arrivals to Machu Picchu and Aguas Calientes over time, meaning the potential for greater sales also exists. There have also been a number of threats to this system. Fairly regular landslides in the area continue to be a threat to the town, including the most recent landslides in the town during January 2010, which resulted in the evacuation of over 6000 locals and tourists from the area, effectively stopping tourism for the time being until infrastructure, such as the train tracks, can be rebuilt (BBC 2010). Disease outbreaks, such as a cholera epidemic in the 1990s (interview #14) have meant a loss of tourist numbers as well. Historically, conflict was another issue for tourism throughout Peru. The extensive violence of the Shining Path conflict during the 1980s meant few tourists ventured into the country until the 1990s. Since then violent episodes have still occurred sporadically throughout the country.13 As stated by Nieve: The change [since the 1970s] has been abysmal, huge.. .in the past years there has been terrorism, cholera, there was no tourism, most of the people left the town and only a few people stayed; the young ones such as myself had families and the municipal government did not give us the opportunity to grow by giving us land so we gathered and invaded free land up in the highlands of the town.. .we built our houses as we did not have anywhere to live and then afterwards the municipal government acknowledged us; we also contracted the services of professionals in order to establish ourselves.. .this was on the pathway up to the thermal baths where nobody lived.. .there was only a dirt trail.. .some of us worked from our own will, others did it due to obligation... Was there terrorism in this area? No there was not.. .we saw them passing by .. .they were on their way to Quillabamba.. .they wanted to blow up the Hydroelectric plant but never actually did anything.. .they only were passing by.. .they threatened us but nothing ever happened to us as we heard had happened in other places in Peru, such as Ayacucho (interview #14).

13 In June 2009, clashes between indigenous groups in the Amazon opposed to mining on their land and police left at least 50 people dead (Associated Press 2009).

67 The tourism industry itself is very seasonal, meaning a steady year round income is not usually achievable when relying on tourists as a source of income. Unfortunately, some of the other livelihood strategies available to the families of the women I interviewed are also seasonal, such as farming, or migration to other areas for work. When asked what they might do if tourism suddenly did not exist, many women at first said they hoped that did not happen! But that if it did, they had various ideas as to what they might do instead. Some felt they would move to Cusco and look for work there. Others would turn to either some savings or take out loans to get them over the worst of it. Many felt that in educating their children they were helping create more livelihood options for their families. Others felt they could start exporting crafts or turn back to farming, as many of their parents had done, although many became vague about this since many of them did not own land. Alba thought that, "Everyone in the town would leave.. .because everyone depends on it (tourism).. .there are not other resources; no mines, and it is hard to farm because it is jungle..." (interview #1). Brigida on the other hand thought that it would be a good idea, ".. .to farm.. .to retake the idea of farming if tourism stops... she wants to farm and to export the things she farms" (interview #2). Education was another focal point for many of the women interviewed, many feeling that they have always wanted a good education for their children so that they would not have to be sellers in the market like they were, and if tourism were to stop, they would hope that they could survive in other ways through their children's education. Francisca for example does not believe that tourism will ever 'stop' but if it did she feels her children's education could help them find other employment to support her and her family. According to her there have been slower times for tourism, ".. .for example in the early 90's during the cholera epidemic there were no tourists in Aguas Calientes. Because of that I came to the decision to give a good education to all my children, including University. At that time the only way to get money to survive was through her first son who used to work at the hotel right beside Machu Picchu..." (interview #6). When asked, however, if she felt that tourism would ever stop coming to Aguas Calientes her response was, "no way" (interview #6).

68 Livelihood Assets By focusing on people's strengths and assets, and how people work to convert these assets into positive livelihood outcomes, we can gain a better understanding of why their current livelihood situation exists and in what ways it could change for the better. The more poor or vulnerable a person, the less access they most likely have to different types of assets. As stated by DFID: "[those with less access to assets] have to seek ways of nurturing and combining what assets they do have in innovative ways to ensure survival" (1999: 5). Greater access to assets, through the formation of, for example, community groups or the development of government or non-governmental programs, could translate into greater resiliency and decreased vulnerability. The sustainable livelihood framework uses five main categories to describe these assets: human capital, natural capital, financialcapital , social capital and physical capital. Human capital includes the overall health and education and training of those whose livelihoods are being investigated. The town of Aguas Calientes has both an elementary and secondary school. There is also a medical clinic located at one end of the market. Of the women I interviewed, most had finished primary and secondary schooling, with some even going on to further studies, although many had not yet finished their continuing studies. In contrast, natural capital includes such things as land, forests, marine/wild resources, water, air quality, erosion protection, waste assimilation, storm protection, and the biodiversity degree and rate of change. Only the women that belong to the Machupicchu Association actually own the land that their stalls are on. All of the other associations rent their stalls from the local government, making them more vulnerable to future changes in the organization of the market. Tourism in general has improved the overall waste management of the town, with proper bins, including compost, located all over town. However, tourism has also increased the demands upon the waste and water system, and most of the garbage has to be loaded onto train cars to be shipped out of town. The natural setting of Aguas Calientes is beautiful, with forests, mountains, hot springs, wild life and two major rivers (Rio Vilcanota [also known as Rio Urubamba] and Rio Aguas Calientes) intersecting in the town. The rivers, however, are fairly polluted, and landslides are a common occurrence due to, at times, heavy rains, combined with deforestation and houses being built without permits too far up the hill sides that surround

69 the town. Financial capital, in the sustainable livelihoods framework,doe s not include earned income, and instead looks at savings, and other regular inflows of money, such as pensions, transfers from the state or remittances. As mentioned earlier, residents of Aguas Calientes also have access to credit and savings through the local branch of the Caja Municipal Savings and Credit. Social capital refers to possible networks, membership in more formalized groups, and relationships of trust, reciprocity and exchanges. The market associations are sources of social support. The women in the Machupicchu Association for example work together, look after each other's stalls when someone is away, plan parties together, raise money for causes together, and generally socialize together and support each other. The associations are also sources of conflict, however, especially between the seven different ones that exist in the market. Finally, physical capital includes the basic infrastructure and producer goods needed to support livelihoods such as affordable transport, secure shelter and buildings, adequate water supply and sanitation, clean/affordable energy, and access to information (communications). The market, and entire town, relies almost exclusively on Peru Rail to transport goods into town and many of the women I interviewed complained of the costs associated with this. The influx of some tourism money, along with support from foreign governments, such as Finland, have facilitated, as mentioned earlier, the building of the tourist market, along with better water and sanitation infrastructure, and better road and path ways throughout town.

Contemporary Livelihood Strategies According to the sustainable livelihoods framework, current livelihood strategies can be seen as a result of an individual's or household's combined assets and abilities used in an attempt to meet their goals and desired outcomes, while factoring in their aspects of vulnerability, and the limits imposed and generated by the transforming processes and structures. Many of the married women I spoke to lived apart from their husbands due to their employment outside of Aguas Calientes. The husbands were typically migrant workers who came into town on the train once a month for a week or less and then returned to cities such as Cusco, Arequipa or Lima to work and live. For example, Brigida 's husband lived in Cusco. Unlike the women in many of the other stalls who

70 purchased most of their items from outside producers, Brigida's husband actually produced of some of the stone statues and jewelry she sold, but due to shipping costs and access to materials, he found it more economical to live in Cusco to produce the items, coming into town once a month to visit his family and to bring in the items to sell. The rest of the items they sold came from Ayacucho, Puno or Cusco (interview #2). Since tourism has been on the rise over the past few years, the number of vendors in the market has also grown, increasing competition. As stated by Josefina, ".. .in the last two years the sales have dropped down for everybody due to the competition. I have a profit of approx. S/. 5.00 (approximately $1.80 CDN) at the most per product" (interview #10). Costs are also high, as stated by Herminia, because:

We do not produce most of the handicrafts that we sell, and we have many costs.. .we have to learn how to compensate our costs, transportation.. ..Peru Rail.. .we need to standardize our prices otherwise we are going to lose the market as Aguas Calientes is getting to be known as a very expensive market. Though, I would like to say that, our merchandise is a bit more expensive due to transportation costs if compared to Pisac prices (interview #8).

With increased competition and costs, many of the women were worried about their continued ability to make money in the market. When asked about their current livelihoods, the women responded that they were all very dependent on tourism. Beyond migrant work, one woman's husband worked for the municipal government (considered a good job due to decent pay and stability), while other women's husbands worked for tourism focused companies, such as Peru Rail, which also saw them away for extended periods of time. This meant that many of the women were left to look after the households and children by themselves, many of them living in multi-generational households where mothers and daughters and grandchildren all shared the same space, with migrant men returning once a month or so to see their families. Other families were able to stay together in town, with, in some cases the father producing the items sold in the stall and the wives, as well as sometimes daughters and younger children sharing time working in the market. In the one family discussed earlier in the 'Data Recording Procedures' section, for example, the mother and daughter shared selling in their stall, rotating days of the week so that the daughter had time to look after her children and the mother could work less as she got older. Since this family belonged

71 to the Machupicchu Association, which owns its stalls, the daughter had the choice of sharing with her mother rent free as opposed to having to rent from the town. The women also discussed their reliance on 'middle-men', other producers and the train to obtain their items for sale. The majority of the women did not produce most of what they sold, and therefore, their livelihoods were very dependent on the costs associated with relying on these outside producers, providers and their transport costs. Many of the women in the market perform the triple duties of income earners; head of the home and of the domestic sphere of activity, as well as primary child minders, especially since many of their husbands are migrant workers. The women overall seemed to indicate that they perceive their lives as better due to tourism, but did not want to discuss in much detail actual earnings. There was also a sense that their livelihoods were less of a choice and more of an acceptance of reality. For them their work represented the best way for them to earn a living in that area. And, due to this, many of them wanted a future for their children that included more education and more choice. Since so much has happened in the political, social and economic history of Peru over the past thirty or forty years, it really would be difficult to objectively ascertain if the women felt their lives were better off due specifically to tourism. Their families found work in what they could and the women, in working in the market, found work that enabled them some flexibility, allowing them to also maintain their responsibilities at home. The shifting economic realities also meant that some families have become separated, with the men living and working elsewhere most of the time. All of these changes have actually given some women more freedomtha n was afforded to them in the past, both economically and socially. Now they are money earners themselves and the main day-to-day decision makers in the household as well. Through the market, especially for the older women in the Machupicchu Association, they have also gained a sense of group solidarity, togetherness, safety and power. Unfortunately, this does not translate through all the market, as the competition among the older and newer associations at times prevents more group solidarity and action from occurring.

72 Livelihood Goals Many of the women I interviewed have lives filled with uncertainty and they are very aware of how quickly things can change both economically and ecologically. When asked how she saw herself in five years Krista replied:

Well Machu Picchu is going to be here almost for always. However, since the climate is changing, we might be affected by the rains, and that could be dangerous for us. We may in the future be confronted with an unforeseen natural disaster and we might just move to Cusco. Who knows? We actually live day by day. We have had floods and landslides-the last one was five years ago (interview #11).

Many of the older women have turned to educating their children to prepare for an uncertain future. As stated by Imelda, "[My children] have never helped me. I have always insisted on the fact that they should study, otherwise if they get used to selling, they would get used to making money and then they will not study anymore. I do not want that for my children" (interview #9). In terms of improving their sales and positions as sellers in the market, many of the women discussed possible ways to increase their profits and the stability of their profession. Herminia stated that one way to increase her sales would be, ".. .by saving, increasing our assets and investing. Since two years ago.. .sales are low" (interview #8). Other women, such as Imelda, stated she, ".. .could export to other countries. Here we produce stonework and other [crafts] but most of what we sell is from other parts of Peru- from Lima or from the North. We are actually doing well right now, so we could export but it would be complicated" (interview #9). Imelda's sense of 'doing well' is in contrast with Herminia's statement that 'sales are low'. Even between the women themselves, there are differences in how they perceive their sales and the overall well-being of the market. Some of these discrepancies could be real (with some stalls, especially those that specialize in a particular item, such as musical instruments, making more money than others), while other discrepancies could be more relative due to comparisons with past sales or desired sale targets. For each woman, their relative sense of 'doing well' may differ when compared to another vendor in the market. When asked about the future, all of the women said they wanted to see tourism grow or at least continue to exist. A few of the women said that they hoped to save

73 enough money to be able to move away from Aguas Calientes, to larger centers such as Cusco (interview #3), some of them saying they then hope to pursue further education for either themselves or their children. Many of them saw working in tourism as just that, a means to save money for their children to give them the opportunities, such as education, that they did not have. One woman I spoke to, Francisca, stated that through saving "one of my children is already a tourism manager.. .the other one is an electric engineer, one of my daughters is a nurse and the other one is studying tourism management" (interview #6). Other women wanted to see more educational opportunities for themselves, including classes to learn English, but felt that it might not be possible for all the sellers to do that. As stated by Brigida, "I want English classes but the majority of the sellers are old women and it's hard for them to learn new things" (interview #2). Promoting existing and training more local artists was mentioned as a desire and goal by many of the women as well, illustrating that some of their livelihood goals included the general population in Aguas Calientes. As stated by Imelda "We do have local stone carving artists and this is little known...there are handicrafts made here" (interview #8). As discussed further in the next section, a project to build an artisan training centre in the area was even initiated, but funds, according to the women, were never received, and instead were lost in government bureaucracy. In the end, all of the women I spoke with wanted greater economic stability and greater educational opportunities for themselves and their families. So what specifically seems to be the main hindrance to these women and their families achieving these livelihood goals? How much are the current structures and processes and their power dynamics in the way of greater livelihood stability and achievement? Some of the women have been successful enough to put their children through school, and have them working in fields beyond tourism. Others however, still feel they are struggling to sustain enough sales with their stall in the market to survive and believe they could be benefiting more from tourism. The sustainable livelihoods approach does provide a good basis for analysis in terms of how to look at and describe livelihood priorities and the factors involved in their support and development. The framework even touches on aspects of power as it highlights the need for an enabling and supportive social, political and

74 institutional environment that allows for the development of sustainable and desired livelihood choices. But the approach does not go far enough in fully describing the power dynamics behind these social, political and institutional relationships that, when not people-centred or local development driven, may hinder sustainable livelihood choices for local populations, such as the women in the tourist market in Aguas Calientes.

Power Relations and Livelihoods As discussed earlier, the transforming structures and processes section of the sustainable livelihoods framework implicitly touches on some of the power issues at play in people's livelihood realities. However, this aspect of the framework does not discuss the power issues behind these structures and processes at the depth necessary to both understand and hopefully learn how to help mitigate these sometimes hinder some dynamics. The following sections seek to integrate a more thorough analysis of power relations into the sustainable livelihoods approach.

Transforming Structures and Processes Within the sustainable livelihoods framework, the concepts of transforming structures and processes are defined as "...the institutions, organizations, policies and legislation that shape livelihoods. Their importance cannot be over-emphasised. They operate at all levels, from the household to the international arena, and in all spheres, from the most private to the most public" (DFID 1999). According to DFID (1999), structures and processes effectively determine: • access to various types of capital, to livelihood strategies and to decision-making bodies and sources of influence; • the terms of exchange between different types of capital; and • returns (economic or otherwise) to any given livelihood strategy These structures and processes also have a direct impact on people's ability to achieve feelings of inclusion and well being, and account for differences between various societies and cultures (DIFD 1999). In the case of Aguas Calientes, what are some of the structures and processes in existence that affect the livelihoods of the women in the tourist market? The structures

75 include the various levels of government (municipal, district and national levels of government), the private and commercial sectors, including local, national and international, tourism companies (such as local restaurants, hotels, and Peru Rail), and civil society, which includes local, national and international NGOs and membership organizations (such as the seven different market associations). These structures, such as legislative bodies or hospitals, are important because they help make processes, such as laws or health care services, function (DFID 1999). In poorer and rural areas, however, these important structures are more likely to be absent, leaving important services undelivered, and people more vulnerable. The various processes in action in Aguas Calientes include the government policy and legislation that affects the area's residents, including the international building restrictions in place under UNESCO's authority, and the international and local institutions, such as international economic markets, institutions, such as the Caja Municipal that regulates access to assets, and informal accepted operating practices in the market. Culture, as defined as societal norms and beliefs, is also considered a process. In Aguas Calientes, the prevailing culture is a dynamic blend of indigenous, Spanish, modern Peruvian and international norms. Processes are important because they provide incentives for people to behave in certain ways, they grant (or deny) access to'assets, they enable people to transform one type of asset into another, and they strongly affect inter­ personal relations, affecting how people and different groups relate to and treat each other (DFID 1999). The processes that are not as explicitly investigated in the current SL framework are power relations. In some formations of the framework, they have been described as age, gender, caste or class relations, but the dynamics and analysis does not go much deeper beyond their ability to constrain behaviour and opportunities. Through a deeper analysis of these existing relationships, structures and processes using aspects of power theory, such as Rowlands (1997) concepts of the different forms of power, a greater understanding of the nature of these relationships, the processes behind their ability to constrain behaviour and opportunities, and ultimately ways to possibly challenge unequal or repressive relationships may be found. Rowlands' (1997) forms of power included 'power over', 'power to', 'power with' and 'power from within'. In the case of Aguas Calientes, the definition of power as

76 'power over' seems dominant in this case. This can especially be seen even in terms of the relationship between the local government and the associations themselves, since, according to Alba, most of the associations, besides the Machupicchu Association, were created and organized by the local government, in what was called 'an attempt to avoid the problems and annoyance of people selling on the street', encouraging them to all move, instead, into the market setting (interview #1). These political and economic decision makers are, in a sense, dictating the running of the market by establishing these other six associations, creating a situation where competition, as opposed to cooperation, flourishes, keeping the vendors in the market separate, and their potential collective power untouched. The vendors themselves are also at the economic mercy of the transportation and production costs associated with purchasing their items for sale from places such as Cusco and Pisac. And many of the vendors also have to pay rent to the local government for use of their stalls, making them vulnerable to possible rent increases or evictions. Only the vendors that belong to the Machupicchu Association own their land, making them less vulnerable to possible government control, demonstrating the concept of 'power with'. When the women act as a cooperative collective group they can exercise more influence and power, and are able to resist attempts at control or restriction easier.

Power Relations and Constraints on Livelihoods In terms of the women's relationship with the various structures and processes that affect their lives and livelihoods in the market, which ones did they identify as constraining or hindering their ability to enact their livelihood strategies and goals? The main constraining structures and processes the women discussed included Peru Rail, the local and national governments, the market associations, UNESCO and the local geography, and tourism.

Peru Rail The relationship between the vendors of the market and Peru Rail is, at best, a strained one. The women I interviewed had many complaints about this British owned company, including the service received, the cost of shipping their products, the train schedule and

77 cost of travel for the tourists, and the overall perception of the company and how it treats local people. Many of the women compared the service they receive today to that of the former government owned train company Empresa Nacional de Ferrocarriles del Peru (ENAFER). As stated by Graciela: .. .when the train was property of ENAFER they used to take more care of the things they transport. For example if they broke a bag of sugar they would give you back the money. But now Peru Rail doesn't do that. [ENAFER] used to have guys who put the things on the train, but now Peru Rail makes the people take their own things to the train. So we now have to hire people in Cusco to put things on the train, which costs us more. I'm a woman, and an old one, so it's hard to take the bags on my back to take them to the train. I want better service. Peru Rail manages the baggage really bad and they don't take care of the things they ship. You have to pay a tip to the guys of Peru Rail just for them to take care of your things (interview #7).

With the shift from ENAFER to Peru Rail, prices for travelers have also increased. According to women such as Josefina this has seen a decrease in the type of traveler they would like to attract: .. .the "mochileros" (backpackers) who came through the Inca trail and used to buy from us-they would arrive and eat a meal, buy a bottle of water-they do not come here anymore because Peru Rail has risen their prices so much that it is not affordable for travelers such as the backpackers and that is not fair. As Peru Rail charges in dollars, even the foreigners feel they are paying too much and they arrive here kind of angry and they do not buy because of the high price they have to pay to visit Machu Picchu. Peru Rail is eliminating tourism and us (interview #10).

Knowing their dependence on tourism and the type of tourist who is more likely to buy from them, women like Josefina are making a direct link between the decrease in the amount of 'backpackers' or more budget travelers and Peru Rail's increased prices. Herminia stated a similar sentiment when she stated: Peru Rail has to lower its train fares, and I am not talking about us, I am talking about the high-too high-fares that the tourists have to pay. Peru Rail has to understand that not all foreigners can afford such high train fares, and more and more tourists cannot come because of the expensive train fares that Peru Rail charges. There are more and more tourists that do not come because one of the main attractions is to visit Machu Picchu and Peru Rail is not making it accessible to arrive here. In the past, a tourist could choose among several train services, now train services for tourists are few and expensive (interview #8).

78 Francisca also linked this idea with the reason why those tourists who do arrive buy so little: ".. .the tourists come to Aguas Calientes and spend all their money on the train, the bus, and the entrance to Machu Picchu. At the end they don't have money to buy anything at the market..." (interview #6). Even if Peru Rail were to lower its prices, the women also feel the current train schedule is hindering their sales. As stated by Francisca, ".. .if the tourists had more money that doesn't mean that they would buy because they have limited time.. .because of the train schedule, bus, Machu Picchu.. .they just pass through.. .quickly" (interview #6). As I experienced myself, the most affordable trains usually left at 5:45am, well before the opening of the market. The vendors interviewed also commented on the monopoly and control Peru Rail has over all the goods that come into Aguas Calientes. Since it is the only means to bring outside goods in, and since most of the food and items sold and used in town are from the outside, Peru Rail has almost ultimate control over the cost and timing of goods arriving in town, controlling prices and distribution. As stated by Graciela, ".. .all the things that make Aguas Calientes survive come through the train" (interview #7). The isolation of the town and dependence on the train for the transport of most of the supportive goods for the town and the tourist industry has made the tourist market less competitive with similar markets elsewhere in Peru, since prices in Aguas Calientes are usually higher. As stated by Francisca, "The problem is that the cost of my products is very high because I pay a lot for the transport of items to Aguas Calientes" (interview #6). Many of the women, including Joseflna, feel that Peru Rail should allow tourists to board the local train, as well as give a cheap fare to Peruvian students on graduation trips, so that more people will be able to afford to visit Aguas Calientes. As stated by Joseflna: .. .there are Peruvian delegations or school graduation trips and the so called "hippies" and they are the ones that buy the most from us but Peru Rail charges them in dollars and they cannot afford such prices. .. .even though some train wagons arrive empty, Peru Rail does not regard the fact that Peruvian students want to visit Machu Picchu.. .Peru Rail does not grant them a cheap train fare and for us those students are potential buyers. Peru Rail is our biggest problem; they charge us a cheap fare because we are locals and so they make us think they are doing right. That is why we do not get together to defend our rights and the rights of other people who are Peruvian or of foreigners that do not have the means to

79 pay Peru Rail expensive train fares. Peru Rail does not allow foreigners to board the local train...Peru Rail is the one that does us wrong (interview #10).

Although, there are many factors limiting the number of tourists, including environmental restrictions enforced by organizations such as UNESCO that may also be contributing to the fewer sales than desired for the sellers in the market, many of the women usually placed the blame mainly on Peru Rail and its policies and practices. When asked why she thought Peru Rail was trying to interfere with sales in the market, Graciela replied, "I think it's because Peru Rail also sells artisan things...on the train and silver jewelry in the station.. .that is why they are interfering.. .things are the same quality, the same producers" (interview #7).

Local and National Governments The women's relationship with the local government has been strained as well. Almost all the women interviewed felt that most of the local and national government officials have not kept their promises and have instead taken advantage of them. As mentioned earlier, one example of this corruption and mistrust occurred when funds donated by the Government of Finland, intended to help build an artisan school, never reached the town (interview #14). While Fujimori was in power the vendors in the market also protested against his governments' attempts to take control of the market land they owned. According to Nieve, "Fujimori tried to take away our land but at the end we beat him. His government was very detrimental for us. Our land claim was only recognized five years ago. We even had to take over the railroad tracks so our claims were taken into consideration..." (interview #14). The profit from Machu Picchu ticket sales is also an issue as well. According to Herminia only 10% of the profit from tickets to Machu Picchu is reinvested back into Aguas Calientes. The remainder goes back to the central government in Lima, with local residents feeling like their community is being used for profit without benefiting as much as they should be (interview #8). The women have equally been at odds over time with the municipal government as well. As mentioned earlier, one of the biggest grievances many of the women hold is

80 against the separating of the one original association into many, putting many of the sellers at odds with each other. As stated by Graciela, "The worst mayor was one from FIM political party.. .he was elected years ago.. .he was the worst because he divided the sellers of the market between the old and the new..." (interview #7). This division has resulted in increased competition between the women in the market, and according to some women, has caused many of them to spend energy fighting with each other instead of working together to secure better circumstances for their future. These small, competitive groupings, have even helped elect less functional local politicians, according to Graciela: "...in the end the associations give their votes to somebody because they were weak and ignorant because they believed him but he didn't keep his promises once he was elected" (interview #7).

The Market Associations The vendors' associations have had both negative and positive power and relational implications. The associations themselves are seen by some of the women as a hindrance to their financial security and development due to the constant infighting and competition. When asked what good and bad things tourism has brought to the area and the sellers of the market, Joseflna replied, "Nothing really bad, except for the competition that there is among us. Tourism is not to be blamed" (interview #10). The main division between the sellers of the market is between the older Machupicchu Association and all the other newer associations. Since the Machupicchu Association is much older and owns the land their stalls are located on, they feel much more secure in seeing change come to the market and town. For example, one of the changes the local municipal government has proposed is to build a proper bus terminal for the buses that go up to Machu Picchu in the spot where the market currently sits. Of course, many of the women in the newer associations are not in favour of this, since it would mean the loss of their current place in the market without concrete plans for future market stalls. Many of the women we spoke to who belonged to the Machupicchu association, however, were in favour of this change since they feel secure in the ownership of their land and stalls. As stated by Josefina when asked if she was in favour of building the bus terminal she said:

81 Yes I would be, it would bring a change, who knows...changes lately have been good.. .but it happens that there are people who are afraid of changes, so there will never be a unification; that has always been a problem among us.. .lack of unity. People want the remodeling of the bus stop while others do not want it; it is the eternal conflict. I do want this change because I believe it will be for our own wealth. .Even though the local government assures the people involved that they are not going to lose anything, few are the ones that trust the government. Is it because a fear? Of course, but there is nothing to fear if we all do the move (interview #10).

Some women in the association even expressed a desire to take advantage of their security. As stated by Alba, "my association (Machupicchu) plans to build a big hotel with a market on the first floor...the size of our land is around 1800 m squared" (interview #1). The reality that most vendors sell products that are mass produced in outside areas and brought in by train also constrains their ability to make as much profit. All this has resulted in women selling products that are too similar to each other as well as too similar to markets in other cities, and their profit margins are constantly decreasing as the cost of products and transport continues to increase.

UNESCO and the Local Geography The local UNESCO protected landscape and topography has also presented many challenges for the sellers in the market and Aguas Calientes residents as well. UNESCO's regulations state that no building can be more than five floors high (interview #1), and there are also many restrictions around where people can build, especially on the mountain sides, as mud slides are a continuing issue. Some of the women interviewed, including Carmela and Dora, stated that they were thinking of moving to Cusco eventually because Aguas Calientes... "is very dangerous in the rainy season due to landslides" (interview #3). Krista stated, "We actually live day by day... We have had floods....landslides... the last one was five years ago.. .we are living in an area where we can be secure" (interview #11). Finally, when asked what she thinks Aguas Calientes will look like in a few years, Alba stated that she, ".. .thinks that Aguas Calientes will be the same because it cannot grow any more due to the geological limits around the town" (interview #1).

82 The Tourism Industry Finally, the structure of the tourism industry itself can also be seen as a hindrance to the livelihoods of the vendors in the market. Since for most people, travel is seen as a luxury item, it is an industry that is very vulnerable to the world economic situation. It also represents many very unequal power relationships, especially between tourism companies and tourists themselves and the host country and its citizens. To the tourists, buying an item in a market is a small little luxury that they could easily live without as well; where for the vendor, it represents a large portion of their livelihood. Political and economical conflicts frequently occur when outside tourism stakeholders are prioritized over local populations. In Aguas Calientes, local groups such as the vendor associations have rarely been consulted prior to major interventions with profound implications for local livelihoods, such as the potential construction of a bus terminal on part of the property that is currently the market. If the current power structures and processes affecting this market are the main hindrances and constraints that prevent the women benefiting more from tourism, is a better exercised form of power also the solution? In what ways are the women already exercising and attempting to exercise their rights and power? And in what ways are the women not?

Forms of Resistance Already in Existence

"... in order to understand what power relations are about, perhaps we should investigate the forms of resistance and attempts made to dissociate these relations" (Foucault 1982: 780).

On the surface of this investigation, it would seem that these women have 'submitted' to these power interactions, and fallen into the trap of in-fighting, or at the very best complacency, instead of working together to gain more choice, power and control over their lives and livelihoods. But is this really the case? Or is the story of the women in the market only beginning? As described by Nieve, there have already been some protests by some of the women who form the Machupicchu Association to protect their land rights. When asked which government has given you the most support, Nieve responded, "Toledo's

83 government. His government did help us, while Fujimori tried to take away our land but in the end we beat him. His government was very detrimental to us. It was only five years ago that we were recognized [as land owners]. We even had to take over the railroad tracks so that our claims would be taken into consideration" (interview #14). As an example of collective action, and 'power with', this form of protest highlights the determination of at least some of the sellers to protect the rights they have secured for themselves over time. So is it the division between the older sellers and the new that hinders the women from working collectively to secure even more rights and protect themselves against Peru Rail and government policies that could hinder their business in the market? Is the main impetus for change to be found within the desires of the women themselves? As evidenced by the actions of the government and Peru Rail, there is a lack of equality or respect for the rights of these vendors at times. It may take the collective action of these women to claim their rights and power, and to carve out more social and political space to voice their needs, desires and opinions, for their current livelihood situation to improve. In using the sustainable livelihoods framework and a gendered power analysis to study tourism's connection to livelihoods in the tourist market in Aguas Calientes, important constraints on the ability of the women in the market to meet their livelihood goals become apparent. The unequal power relations in existence between the local market associations, private tourism companies, such as Peru Rail, the local and national governments, UNESCO, and tourists, are obstacles in achieving desired livelihood outcomes for these women. As discussed further in the next and final chapter, a focus on: power 'to', 'with' and 'from within' forms of collective action, empowerment and power relationships; niche marketing; artisan training and specialization within the market setting; education; and livelihood diversification beyond tourism, could all help equalize the restrictive power dynamics currently in existence in the market, allowing space and greater ability for the women to achieve their livelihood goals.

84 Chapter 5: Conclusion

"If the people who make the decisions are the people who will also bear the consequences of those decisions, perhaps better decisions will result" (John Abrams 2005).

This thesis has tried to assess whether tourism can positively contribute to sustainable livelihood goals. The short answer, as highlighted by this case study, is maybe. In part, the answer depends on how sustainable and attractive the tourism site is, how developed the tourism industry is, and what kind of regulations and policies are in place to ensure more equitable distribution of both the costs and benefits of tourism. It also helps if tourism, since it is such a volatile industry, is not the only source of income. The sustainable livelihoods framework has proven to be helpful in investigating and analyzing the change in the women's livelihoods over time and their connection to tourism, but it lacked the depth needed to help fully understand the existing power relationships at play in this market setting. Rowlands (1997) emphasis on four different forms of power, combined with other insights from authors and disciplines, has allowed for a greater clarity around these important constraints and opportunities for change. In the context of this Case study, I believe tourism can positively contribute to the livelihoods of the market vendors, especially if power structures and relationships begin to shift toward more equitable arrangements, and tourism is not seen as the only means to sustain livelihoods, but instead one piece of the livelihoods puzzle. The addition of more power concepts and analysis to the existing sustainable livelihoods framework was, I felt, a necessary step to help better understand and analyze the tourism and livelihood connection in Aguas Calientes. During the interview process, the issues and constraints of power relationships were continuously mentioned by the women in the market. Access to the various types of assets necessary to help achieve livelihood goals was a large part of the important contribution to livelihood evaluation the sustainable livelihood framework provides. However, as illustrated by this case study, access to these important assets and capital (human, natural, financial, social and physical) is often hindered by unequal power relations. Therefore, by focusing on the existence and experience of these unequal power relationships, through concepts of power, such as Rowlands (1997) forms of power, and the constraining reality of these

85 relationships, a better understanding of the whole livelihood situation can be achieved. Possibilities for positive change, through the shifting of these unequal relationships, are also more evident. The negative and dominating interplay of the power structures and relationships between Peru Rail, local government, UNESCO, foreign companies, and local artisan associations are currently hindering the vendedores in Aguas Calientes from benefiting economically, socially, politically, and environmentally from tourism as much as they could. Since negative and dominating relationships are currently restricting these women, collective and cooperative relationships can be the main source for change. The market women in Aguas Calientes have the 'power to' set up a better artisan collective structure 'with' each other, so that their relationships 'with'' each other are more productive and collaborative as opposed to being so competitive. They also possess, at least in theory, the 'power to' produce more of their own products, so that they are not so reliant on outside producers and expensive transportation, and in gaining strength from the collective, they can find the 'power within' themselves to continue to fight for more positive changes in policies and developments. The seeds of this change, I believe have already been planted. In talking with the women, I believe the murmurings of discontent have already begun. When looking at the situation from a livelihoods perspective, many necessary changes are evident. Using the six core objectives of the sustainable livelihoods approach it is easy to highlight the main areas where change is necessary. Better access to education for those working in the tourist market, creating a more supportive and collective social environment through the cooperation and strengthening of the artisan associations, more environmental protections, infrastructure improvements to the market, possibly including washroom facilities, greater access to business loans, and greater inclusion into the decision making process for the market associations, are all potential solutions. Not all of these changes would be easy to implement, however, and in the case of some, such as infrastructure improvements, there may even be resistance from the vendors themselves, since it may mean enduring a period of market closure where they would not be able to earn income in the market. Any infrastructure improvements, therefore, would need to include measures to help the vendors financiallythroug h the

86 construction period, as well as ensure that they are properly consulted, as opposed to the last time changes were made to the stalls without consultation. If the power and opportunity for positive change is at the very basic level in the hands of the vendedores in the market themselves, the first changes that can occur will be both within and amongst themselves. By using this opportunity to work more collectively and cooperatively to secure more political voice and decision making potential, space to challenge the power structures that hinder them both as business owners and women could be created as well. Their position in the market could become a vehicle to establish more economic, collective and individual freedom, which could be used to challenge the structures that still oppress them. As pointed out by many of the women themselves, the lack of cooperation among the different women's associations is hindering their collective cause of improving their situation, especially in terms of their interaction with local politicians. As stated by Joseflna, ".. .that has always been a problem among us.. .lack of unity" (interview #10). By beginning to see their situation as a collective cause, and focus on their similarities, as opposed to their differences, the women in the market would be able to find more strength in their sheer numbers to fight more for what they need and desire, especially in terms of what they could get from the local government in support and consideration. Due to its monopoly on transport into Aguas Calientes, the rates that Peru Rail sets on its transport of both goods and passenger service directly impact the cost of other products and services in town, as well as affecting the amount passengers are willing to spend on other items in the area. One new company has recently begun train service to the area, with another set to open up service soon. It will remain to be seen if this competition can help lower the cost of doing business in the market, and alleviate some of the women's concerns around arrival and tourist costs as well. The sellers themselves also focus a lot on selling similar products. One of their biggest issues was the cost of transporting their products on the train, since many of the items they sell are shipped in from other cities. One suggestion, put forth by some of the women themselves, was to possibly start producing more products in Aguas Calientes, and work to open up a school to train new artisans. In the past producers, such as Josefina 's father who worked with "serpentina" stone, were able to use local materials to

87 help create a local livelihood as an artist. If that similar industry was revived, or something else that local artisans could produce and specialize in, making the town known for that particular item, tourists might be more attracted to purchasing that specific thing when visiting Aguas Calientes. This would also mean that the sellers in the market could be less dependent on outside producers. The government itself has a greater role to play in this current situation as well. It promotes tourism and welcomes foreign tourists and companies into Peru, all under the 'banner' of economic development. As we have seen however, the current regulations are doing little to bring more benefits to small business owners, such as those in the market. The opening up of the country to foreign investment has included many changes in government policy and regulations that are used as incentives to further attract and encourage investment. As stated in the UN's Investment Policy Review, "in the course of improving the investment climate, Peru has sought to create an incentive regime that benefits many investors and includes features which are particularly attractive to foreign investors. The principal components of the incentive regime are: fiscal incentives; legal stability agreements; and residence privileges for non-citizen employees and owner- operators" (United Nations 2000: 24). These 'incentives', however, can also be seen to both undermine the control the government has on the profits generated by these foreign controlled companies and ultimately the impacts these firms have on the development of the country. As further stated in the Review: As already noted, foreign and national investors have equal access to investment incentives arising from constitutional provisions against discrimination in this respect. Certain aspects are of special relevance to foreign investors including contractual assurances of national treatment and guarantees of profit and capital repatriation. Peru has been willing to unilaterally grant incentives that benefit foreign investors; that is without expecting reciprocity from investors' home countries. Examples are an exemption from taxation on profit distributions and residence privileges for foreign nationals (United Nations 2000: 24).

Although these incentives are seen as necessary to attract foreign investment and make the country competitive within the global investment market, ultimately more concessions are made on the Peruvian government side; further perpetuating an unequal investment relationship where most of the benefits are reaped by the foreign companies as opposed to the Peruvian government and its people.

88 Therefore, what role could and should the Peruvian government play in terms of leveling the playing field for sellers and artisans? Would stricter regulations for foreign and domestic tourism operators help? If they do put up restrictions or create higher taxes for foreign companies many involved in the industry fear the companies will just invest somewhere else. But would that truly be the case? Changes could be implemented slowly over time. And tourism associations across South America could work together to make changes that would be effective in all tourism destinations, preventing operators from investing in the least regulated markets. By creating polices that would better benefit local artisans and sellers as well as other local tourism operators, more positive benefits could be derived from tourism. By unifying their goals, the tourist boards in many different countries could utilize the power they can posses 'with' each other 'to' help enforce more equitable international and national business practices. UNESCO could also have a more positive role in the livelihoods in Aguas Calientes. By creating enforceable policies that protect and help local populations as well, and not just the local environment, they could, in partnership with the Peruvian government, help legislate better protection from foreign companies for those involved in tourism. Finally, diversification of livelihoods is another important option to consider, since so much of the town is dependent on the very volatile tourism industry. Ensuring that there are still proper training courses and skill sets in existence around other possible livelihoods, such as farming or construction, is important to ensuring that this area can withstand possible economic shocks due to future tourism downturns. Introducing other economic activities, might be an option as well, but due to the isolated location of Aguas Calientes, if tourism does decline and farming cannot make up for the loss, the sad reality is the town may not be able to survive in its current form and migration may be the only alternative for many local residents. However, since Machu Picchu is considered a 'wonder of the world', the likelihood of tourism failing in the area is much less when compared to other lesser known of tourism destinations in Peru. Even with the destruction caused by the most recent landslides, Machu Picchu is too large a tourist attraction not to see rebuilding occurring as soon as possible to allow for tourists to

89 return. The destruction could even be seen as an opportunity to build more sustainable tourism facilities that could better withstand heavy rains and landslides. Currently, the women's voices, needs and desires are being constrained by foreign companies like Peru Rail, the local government, the local geography and tensions within their own market setting. Instead, by focusing on strengthening the collective relationships between the different vendor associations, by utilizing the concepts of 'power with', 'power to' and 'power within', the women could use their collective power and empowerment to engage with foreign companies and regulatory bodies, such as UNESCO, as well as local and national politicians, to create change from a place of more collective strength. Ultimately this could help the vendors gain more room at the decision making table, creating more space for their needs and desires to be considered in the decision making process. In unequal power relationships, it usually requires the oppressed party to initiate change before it can occur; as those benefiting the least desire change the most. In order for the costs and benefits of tourism to be more equitably distributed, change in the market does need to occur. These seeds of change, I believe have already been planted. Greater opportunities for change may exist as more investment, both national and foreign, will almost certainly be directed into the region to help rebuild the town after the destruction of the recent landslides in the region. It will be interesting to see if the women continue to recognize their own strength and power, and are able to inspire and nurture collective change and cooperative relationships that could form the basis of a more equitable power shift in the region.

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98 Appendix A: Letter of Introduction

04 de octubre de 2007

Estimado Senor/Senora,

Es mi placer pedir su autorizacion y su ayuda para un proyecto de la investigation sobre el Mercado Artesanal en Aguas Calientes. La investigation analiza la historia del mercado y de los trabajadores en el mercado tambien. La investigation esta para mis estudios graduados en la universidad de Dalhousie en Halifax, Nova Scotia, Canada (soy estudiante del turismo y desarrollo).

Te agradezco por esta autorizacion de modo que pueda tener acceso a la information siguiente:

1) Cualquier information que el municipio pueda tener en la fundacion de la asociacion de los artesanos y del mercado tambien.

2) Tambien cualquier information sobre los planes futuros para el mercado y su conexion a los planes del turismo para el area de Aguas Calientes.

Agradezco Usted por cualquier ayuda que puedas poder ofrecerme.

Atentamente,

Jennifer Lynn McGowan, Graduate Student

Dept. of International Development Studies Dalhousie University Halifax, N.S., Canada B3H 4H6

Correo electronico: [email protected] Tel: (902) 981-6102

99 Appendix B: Verbal Consent Script

International Development Studies Dalhousie University

The Sustainable Livelihoods and Tourism Intersect: Local Perceptions and Global Participation in Aguas Calientes, Peru [original title]

(Script was translated into Spanish)

Introduction

We invite you to take part in a research study being conducted by Jennifer McGowan who is a graduate student at Dalhousie University, as part of her Masters of Arts- International Development Studies degree. Your participation in this study is voluntary and you may withdraw from the study at any time. The study will be described to you shortly. This description will tell you about the risks, inconvenience, or discomfort which you might experience. Participating in the study might not benefit you, but we might learn things that will benefit others. You should discuss any questions you have about this study with [research assistant].

Purpose of the Study

The purpose of this study is to investigate the role tourism plays in the daily lives of the residents of Aguas Calientes and the surrounding area. It seeks to contribute to a deeper understanding of the local impacts of tourism and ultimately how the local population perceives the existence of tourism in their community. It is hoped that by gaining more insight into the local perspective of tourism, more socially inclusive and environmentally sustainable forms of tourism development and policy can be proposed.

Study Design

The main source of data for this project will be interviews conducted with participants, as well as some literature research.

Who can Participate in the Study

You may participate in this study if you are a resident (either permanent or seasonal) of Aguas Calientes or the immediate surrounding area. Employment in or connection to the tourism industry are not necessary requirements for participation in this study.

Who will be Conducting the Research

This research will be conducted by Jennifer McGowan, with the aid of a research assistant/translator (TBD). The data may also be accessed by a transcriber (TBD). What you will be asked to do

If you agree, you will be asked to participate in an interview, the length of which can be flexible, but will most likely be one to two hours total in length. During the interview, which will be conducted in a location agreed to by both the participant and the researcher, you will be asked questions about your life, job(s), and tourism in Aguas Calientes.

If you agree to it, your responses, including the possibility of large quotations from your narrative, may be used in the final write up of this study. However, your identity will remain private in the final document and quotations will only be attributed to pseudonyms. Also, if you agree, the interview may be audio recorded to help ensure that all your answers are properly recorded and understood.

Possible Risks and Discomforts

The risk associated with participation in this study is viewed as minimal. Please feel free to speak in the language you are most comfortable with. If you are quoted for the final write-up of the project, however, your narrative will have to be translated into English by either the researcher or research assistant/translator. Please remember that there are no right or wrong answers to the questions that are asked of you. Feel free to say what you want in response to the questions asked. You do not have to talk about anything you do not want to, you may end the interview at any time, and you may withdraw information from the study (until it appears in final form). You may also ask that they recorder be turned off at any time.

Possible Benefits

By participating in this study, you are contributing to the growth of knowledge about tourism in your area. Participants will not be compensated for their participation, but the final copy of the research paper will be made available to the community (in a place TBD).

Confidentiality & Anonymity

Every effort will be made to keep your identity anonymous. You will be asked to choose a fake name, or if you decline, I will provide one for you. Only the researcher and the assistant will know your real identity as well as your fake name. Your anonymity will be preserved throughout the entire research project, including in the final report. All data will be stored on a password-protected computer and only the researcher and assistant will have access to this computer. Any remaining data, such as notebooks or audio cassettes, will be stored in a locked case that only the researcher will have access to. The policy of Dalhousie University is that notes and transcripts of interviews should be retained for a five-year post-publication period. Audio recordings will be erased after the completion of transcription and translation (when necessary).

101 Questions

If you have any questions about your participation in the study please contact:

Jennifer McGowan, researcher, Graduate Student, International Development Studies, (local phone number will be provided), [email protected].

If any new information which may affect your decision to participate in this study becomes evident, it will be provided to you.

Problems or Concerns

If you have any difficulties with, or wish to voice concern about, any aspect of your participation in this study, you may contact:

Dr. Marian Binkley, Department of Sociology and Social Anthropology, Dalhousie University, 00-1-902-494-1439, [email protected].

Patricia Lindley, Director of Dalhousie University's Office of Human Research Ethics Administration, at 00-1-902-494-1462, [email protected].

Verbal Consent

Please indicate whether or not you agree with the following statements.

• I agree to participate in this study and my name will be changed. • I agree to be quoted and/or paraphrased (using a pseudonym). • I agree to be audio recorded during this interview. • I agree to allow the use of the information collected in this interview to be used in future studies conducted by the researcher. • I would like a copy of this information just read to me about the study.

Finally, by agreeing to participate in this study, you are indicating that you have heard and understood the information just provided to you about this study.

Do you agree to participate in this study?

Thank you for your interest, time, and participation.