Over recent decades, tourism has experienced continuous growth due to the development of the global economy. It is becoming an important economic sector of both developed and developing countries (UNWTO). However, unsustainable tourism, which is profit-oriented, occurs in a wide range of the world and limits local further development. To address this problem, one feasible solution is that governments should increase direct intervention in the tourism market. It will guarantee the tourism market to operate in a sustainable way in economic, social and environmental aspect.
To begin with, this solution is effective to solve the problem economically. One of the strategies is that making guidance for indigenous tourism industry. Considering the market economy has intrinsic flaws, the shortage of information would lead to blindness of individuals’ actions (Krugman, 2009). If governments provide information to tourism enterprises or individuals engaging in, their behaviours could be amended and predictable. Thereby the government could coordinate related economic activities efficiently, which may prevent a disorder situation. Another initiative is to deepen diversification of local economic sectors. Owing to the seasonality of tourism, the number of tourists fluctuates between peak season and off season. This phenomenon is likely to cause instability of the economy. In order to solve this problem, more investments in other industries would prevent the dominance of tourism and reduce the proportion that occupied in the market. As a consequence, the local economy could be balanced. In the long run, it will develop in a healthy and sustainable way.
Socially, government intervention could also make a difference. The combination of short-term action and long-term planning is needed for governments. Limitations could be established to restrict the daily number of tourists. Currently, the expansion of tourism causes overcrowding problem (Damon &...