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Key determining factors influencing tourism demand

We now consider some of the factors that influence tourism demand in more detail. The economic position of the region or country has a direct effect on the levels of tourism demand. There are various ways of measuring economic activity of individual countries or regions. It can be anticipated that the world’s biggest economies will provide a large proportion of tourism demand.

It is interesting to look at the gross domestic product (GDP) per capita for different regions of the world, and a summary of these is shown in Table 8.1 for Europe and Table 8.2 for the rest of the world. Income distributions have changed in different areas of the world owing to three major factors – economic reasons, demographic reasons and policy considerations (Euromonitor, 2004).

Tables 8.1 and 8.2 show that changes in income distribution over the past ten years have been much more pronounced in some countries than others. A brief overview of the changes that have occurred across the world are given next.

Asia Pacific There are extreme variations between different areas of the Asia Pacific region. Income is distributed across all the Asia Pacific regions according to regional dimensions, education levels, ethnic groups and the division of urban and rural areas. Japan, Hong Kong and Singapore

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