Industry - Tourism & Hospitality
An overview of the Tourism & Hospitality Sector in Africa
Although tourism has been and continues to be an important source of revenue for many African economies, and a source of livelihood for many, its dynamics have changed in the wake of terrorism and increased competition. The tourism industry in Africa has suffered from the issuance of travel advisories by foreign governments in the last two to three years as these advisories resulted in a reduction of foreign tourists, which in turn led to the closing down of hotels and the laying off of staff. The continent also faces increased competition from alternative tourist destinations such as Middle East and Asia.
Despite these challenges, the African's tourism industry recorded a boom in 2005. The industry is however still very vulnerable to the dynamics affecting global tourism and the players realise the need to bolster the economy against this volatility. Both governments and industry players are responding to this challenge by increasing marketing activity, targeting tourists from diverse locations and providing incentives for local tourists amongst other efforts.
To meet the current demand and to strategically place themselves for the future, individual players are investing in and making internal changes to their businesses to increase their capacity and improve their processes. This growth increases business needs and requires a professional financial advisory partner.
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