Enhancing financial and economic yield in tourism: dimensions and measurements of tourism yield

Abstract

This discussion paper Dimensions of Tourism Yield represents the first in a series of papers that describe and refine various aspects of ‘tourism yield’ as currently manifesting in New Zealand. By way of background the research programme’s overall goals and structure are first introduced. The primary focus of this paper – dimensions of tourism yield – are then introduced and discussed. The paper sets out the basic definitions and indicators of three dimensions of tourism yield: financial, economic and sustainable; which will act as core definitions throughout the study. It also seeks to establish common formulae and metrics for their measurement, as well as establish the accounting iterations (direct and indirect) that can be accommodated within the study. While we are taking a broad definition of tourism yield, yield management is often simply associated with pricing structures and practices and, to this extent, key dimensions of pricing for the tourism sector and associated ‘rules of competition’ are also discussed. Finally, to understand the broad operating environment for tourism it is necessary to understand tourism businesses within their regional and national contexts. In such a framework tourism production and consumption is a mixture of private and public sector production functions and a robust examination of tourism yield must take into account public sector and environmental and social resource inputs. In this study this is be achieved through the examination of tourism within two regional case studies. The desirability of being able to generalise from these detailed projects to the nation as a whole has required a broad consideration of the location of the case study regions, which is included as a final chapter in this initial discussion paper.