The World Bank (2007) defines tourism as, “the activities of people travelling to and staying places outside their usual environment for no more than one year for leisure, business, and other purposes not related to an activity remunerated from within the place visited”. The tourism industry is argued to be the biggest industry in the world. It is one of the highest earners of foreign exchange and has contributed immensely to the GDP (Gross Domestic Product) of countries all over the world. The industry can be termed as one of the largest employers. In 1991, the international tourism industry employed 112 million people worldwide and generated over $2.5 trillion. By 2003, the industry had employed around 214 million people and it was estimated that the industry was worth $474 billion (Page and Connell, 2006).
Tourism is an important income source for countries like Egypt, Greece, Thailand, Malaysia and many island countries like Fiji and Maldives. Tourism, like no other industry, has created prosperity and economic development opportunities for countries that were said to be difficult to develop (Page and Connell, 2006). It is a common norm that tourists are from developed countries and hosts are those from developing countries. However, due to globalization this trend is changing and many developing countries are emerging as “rich countries” (Foster, 2011). Examples of these countries are BRIC (Brazil, Russia, India, China). Thus, tourism can be called a global phenomenon since it is no more confined to developed countries that provided the demand for travel all over the world.
However, these positive developments for the tourism industry are being hindered by negative developments. The industry’s sensitivity to negative events averages higher than any other sector, making it a very vulnerable industry (Glaesser, 2003). Faulkner and Vikuluv (2001) propose that all destinations face the prospect of either a natural or a human-induced disaster. Some...