Economic efficiency of tourism

Economic efficiency is a process of management, the result of which is expressed by a certain benefit achieved at a certain cost of monetary, material, information resources and labor.

Economic efficiency of tourism means getting a gain from:

• -    organization of tourism across the state;

• -    tourist services in the region;

• -    production and service process of a travel company.

The economic efficiency of tourism is an integral part of the overall efficiency of social labor and is expressed by certain criteria and indicators.

Under the criterion should be understood the basic requirement for assessing the correctness of the solution of the task. The need for a criterion arises because it is necessary to clearly define which positions should be used to calculate the efficiency of the production and service tourism process. Social production operates in the interests of the whole society, therefore its effectiveness should be assessed based on the degree of achievement of the goals of society.

In accordance with the theory of optimal functioning of the economy, efficiency in a separate “area” should be evaluated from the standpoint of the overall effect, i.e. private efficiency criteria should meet the global criterion, “flow” from it.

The general criterion of the effectiveness of social production is to achieve in the interests of society the greatest results with the least expenditure of funds and labor.

Problems of tourism efficiency should be considered using a systematic approach.

The system approach involves the establishment of different criteria and indicators for different levels of management and a certain hierarchy of goals and, accordingly, their performance criteria.

The organizational structure of tourism management consists of a number of links:

• -    systems as a diversified inter-sectoral complex of social infrastructure;

• -    industry as an independent economic unit in the region;

• -    tourist business entity (travel company).

Consequently, the problem of determining the national economic criterion of tourism efficiency should be considered in three aspects: at the level of society (the national economy as a whole), the industry, and a separate tourism company.

The direct impact of tourism on the economy of a country (region) is the result of a tourist’s expenditure on the purchase of services and goods of tourism. Money spent by tourists at the place of stay creates income that leads to a chain reaction: expenses - incomes - expenses - incomes, etc.

This process expresses the indirect influence of tourism on the economy of a country (region). Tourism generates a secondary demand for goods and services. The indirect contribution of tourism to the country's economy is manifested in the effect of repeating the costs of tourists to buy services and goods at a certain time and place. This effect is called the “multiplier effect” or “multiplier”.

The multiplier is the ratio of the deviation from the equilibrium net national product (gross national product minus deductions for capital consumption) and the initial change in investment costs that caused this change in the real net national product.

The action of the multiplier of income from tourism will show on the following conditional example. A group of foreign tourists in one of the regions of Russia spends a certain amount on the services of a travel company and on the purchase of goods and services from other enterprises.

Income is the revenue of the company and enterprises from the sale of services and goods to tourists. The income of the region is the taxes received from this revenue and left at the disposal of the region.

Tourists' money begins to work entirely on the economy of the region when a tourist company buys local (regional) goods and services. The sellers of these goods and services, having received money from tourists, pay wages out of them to their employees, who in turn spend them on purchasing goods and paying for services, etc.

The cycle is repeated. Part of the money received from tourists goes to pay taxes, create an accumulation fund, buy imported goods and goods produced in other regions, i.e. is a drain of money from this cycle.

The peculiarity of tourism is that the tourist product produced for export is not exported from the country, but is sold in this country. The consumer of the tourist product itself overcomes the distance separating it from the tourist product of interest.

The economic effect of the development of tourism in the region is manifested primarily in the creation of additional jobs in the tourism industry, in the increase in population retention, as well as in stimulating the development of economically weak regions.

The quality of jobs in the tourism industry has its own characteristics, which include:

• -    the seasonal nature of employment in the tourist services of the population;

• -    a significant proportion of part-time workers;

• -    a large proportion of low-skilled physical labor;

• -    limited opportunities for automation and computerization of jobs in the tourist industry (especially in the hotel and restaurant farms).

The development of the tourism industry in the region and the improvement of the quality of tourist services are an additional source for the formation of the revenue part of the territorial budget.

The creation of tourist industry enterprises in remote sparsely populated and industrially underdeveloped regions, but of interest to tourists (because of the beautiful landscape, rich hunting grounds, places convenient for sports, etc.) contributes to the development of such regions.

The system of tourism development indicators includes:

• -    volume of tourist flow;

• -    state and development of material and technical base;

• -    Indicators of financial and economic activity of the tourist company;

• -    indicators of the development of international tourism.

Tourist flow is the constant arrival of tourists in the country (region). The indicators characterizing the volume of tourist flow include: the total number of tourists, including the number of organized and amateur; the number of turquoises (number of nights, bed-days); average duration (average time) of stay of tourists in the country, region.

Indicators of financial and economic activities of a tourist company include: the volume of sales of tourist services or revenues from the sale of tourism services, indicators of labor utilization (labor productivity, level of labor costs, etc.), utilization of production assets (capital productivity, working capital turnover, etc. .), the cost of tourism services, profits, profitability, indicators of the financial condition of the tourism company (solvency, liquidity, financial stability, currency itself payback, etc.).

Separately distinguished indicators characterizing the state and development of international tourism. These include:

• -    the number of tourists visiting foreign countries (determined by the number of crossings of the state border);

• -    the number of touristy for foreign tourists;

• -    total cash costs incurred by tourists during trips abroad.

The development of tourism and the increase in the volume of tourism services require a balanced approach, since the social consequences of decisions are very high.