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HomeTravelWhat Economic Factor Might Influence Tourism?

What Economic Factor Might Influence Tourism?

The economic potential that the tourism industry has is completely indisputable. While the COVID-19 pandemic may have temporarily halted the tourism and hospitality industry, it can be argued that it’s one of the largest industries in the world and even a global pandemic won’t stop the growth. When it comes to tourism, there are a variety of reasons why people may flock to a certain area, region, or country. This could be to experience the culture, see one of the wonders of the world, follow the trend of certain destinations, and so much more.

However, there is far more than what meets the eye when it comes to factors that influence tourism, specifically economic factors. Tourism can bring but expected and unwanted negative economic impact to areas. Economic and tourism can truly go hand in hand, especially with traveling being more accessible now than ever.

Foreign currency exchange

One of the biggest benefits of traveling nowadays is how easily one can exchange their currency for another. This can include going to a foreign currency exchange stand located at airports, tourist districts, or even train stations. This can also include many vendors throughout the world accepting bank cards such as Visa and Mastercard, which helps in tourists making purchases within the country. Another benefit is the strength and weakness in currencies. Many tourists from countries where there is more economic growth and a stronger currency will travel to other countries where the currency is weaker. This allows the tourist to stretch their money out even further. Spending more money for less.

Traveling can be affordable

Many westerns will go to other countries, such as second and third world countries for their travels. This is due to their currency being much stronger than the country that they’re traveling in, but also the cost of living can be vastly cheaper. This can include transportation, accommodation, food, and even excursions being vastly more affordable. For example, many people within the United States, Canada, and western Europe will travel to countries like Thailand, Cambodia, Indonesia, or other countries because the cost of living is vastly cheaper than the country that the tourists come from. This allows tourism to flourish as their trip will not be expensive and their money will go much further, allowing for a more unique experience such as shopping and staying in luxury hotels that they otherwise would not be able to afford in their home country.

Traveling is now more easily accessible

Overall, traveling is far more easily accessible. Traveling used to be something that only the wealthy could do, this includes cruises, long train excursions, road trips, and flights. Cruises and planes, in particular, used to be reserved for just the wealthy, but now there are various methods of travel that make traveling domestically and internationally more affordable. This includes the use of budget airlines, rail packages from companies such as Euro Rail, and even affordable bus options such as Megabus, Greyhound, and Flixbus.

This can include accommodation as well. Thanks to companies such as Airbnb, they provide options for travelers to find affordable accommodation from someone else’s property. There are also plenty of travel agencies that sell hotel packages for affordable rates which also contributes to more tourism globally.

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