Standards in the Tourism Industry
Product differentiation through improved quality of holiday products

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In 1998 the Caribbean Hotel Association's Chief Executive Officer, John Bell told the annual Hotel and Tourism Investment Conference that "The competition for the tourist dollar in the global marketplace has become fierce, and all too often the Caribbean is sidelined in favor of newer resort destinations, with glitzier hotels and much bigger advertising budgets". A decade ago the Caribbean had little competition for its claim as the world's premier warm weather destination. Today Mexico, Asia/Pacific and the Indian Ocean are all hotly contesting that claim. More dangerously for the region, is the United States - long the Caribbean's biggest market, it has now become its biggest competitor. In 1997 alone, over 127 000 new hotel rooms were built in the US. That is almost as many as there are in the entire Caribbean. Tourism is being pinpointed as Venezuela's industry of the future even rivalling oil. It looms large in the economic plans of presidential candidates 'revving' their electoral engines as a vital source of new jobs. Africa was the fastest growing tourism region in 1998, with international arrivals up by 7.5% while the Middle East enjoyed the highest growth rate in tourism receipts, which were up 6.4%. Countries with the largest increases in tourism in 1998 included: Portugal, Spain, Greece, Tunisia, South Africa, Croatia and Ireland (WTO News - February-March 1999). These developments in tourism internationally in recent years means that our industry is at present facing serious challenges - challenges which must be addressed if we are to maintain, far less increase our market share.

A primary factor in creating travel demand is satisfaction concerning the services received. If these have been top-notch, the traveller is likely to come again as soon as feasible and recommend the experience to friends and relatives. A WTO Business Council study (1998) on "The Evolution of Leisure Time: The impact on Tourism" reports that the competitiveness of the world economy is acting like a brake against increasing leisure time. Throughout the world working hours are increasing because companies are facing ever more intense global competition, and the amount of free time available for many people is going to decline. Trade unions no longer rate holidays as high as other concerns, such as pensions and job security. The effect of this squeeze on leisure time means a change in the way holidays are taken. It will accelerate the trend to shorter, more frequent and more intense holidays. Restraints on free time are making tourists ever more demanding of quality and diversity in holiday products.

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