Improving Tourism

A recent study by the Department of Industrial Engineering, Techológico de Monterrey, Toluca Campus, gave a grim picture of tourism in Cuernavaca and Morelos, listing the state as being in 21st place overall and in 8th place below the average in terms of overall tourism competitiveness index (ICTEM).

Tourism is one of the largest generators of wealth and employment in the world[1]. The tourism industry constitutes 11% of global Gross Domestic Product, supports two hundred million jobs worldwide and 8% of total employment. In the last three years, some 8.5 million jobs have been created worldwide as a result of growth in tourism. Even more, tourism is expected to continue to grow more rapidly than the world‟s economic output[2], because of factors such as population growth, rising incomes and employment, shorter working weeks in many parts of the world, and the increasing integration of the world’s economies and societies.

Tourism IndexBecause of these reasons, a tremendous growth of tourism as a field of study, coupled with increasing demand for tourism education, has led to a heightened focus on research and publications related to this economic sector[3]. Based on these facts and analyses, tourism can be positioned as a mechanism for promoting economic growth and development[4]. As an economic growth strategy, tourism is sought for generation of foreign exchange, increased employment, attraction of foreign capital, and promotion of economic independence[5]. In the context of developing countries, the most important economic feature of activities related to the tourism sector is that they contribute to three high-priority goals: the generation of income, employment, and foreign-exchange earnings[6].

In the particular case of Mexico, tourism is one of the economy sectors with the largest capacity to generate benefits and positive effects on the social, economic and environmental spheres[7]. The contribution of the travel and tourism industry alone to Mexico‟s Gross Domestic Product is expected to rise from 12.7% (US$121.5bn or MXN$1,601.4bn) in 2010, to 14.2% (US$243.2bn or MXN$3,649.0bn) by 2020. Even more, the number of jobs is expected to rise from 5,881,000 in 2010 (13.7% of total employment or one in every 7.3 jobs) to 7,105,000 jobs (14.7% of total employment or one in every 6.8 jobs) by 2020.[8]

Mexico Growth to 2020

Because of the reasons mentioned above, the development of new initiatives and projects to promote tourism competitiveness among the different states of Mexico has been defined as a priority topic at the nationwide level[9]. Through this research, an initiative to promote tourism competitiveness among the states of Mexico is developed. Such initiative is achieved through a categorization and analysis of resources and actions taken by each Mexican state that contribute towards tourism competitiveness.

To residents of Cuernavaca, this study presents an opportunity for growth to help move Morelos and Cuernavaca from the lower quadrant of the list to the top. If you run a business in Cuernavaca, you stand to benefit from the increase in tourism that will generate revenue and provide jobs. If you are interested in improving the current lackluster economic growth strategy in Cuernavaca, increasing tourism, foreign exchanges, increasing employment, attracting more foreign capital, and taking Cuernavaca to the top of the list, we’d love to hear from you. Click on the link below to email us and let us know you are interested.

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[1] Enright & Newton, 2004

[2] Taleghani, 2010

[3] Barros, 2005; Jogaratnam, Chon, McCleary, Mena & Yoo, 2005; Reid & Bojanic, 2005

[4] Matarrita-Cascante, 2010; Meyer, 2002

[5] Ren, et al., 2010

[6] Taleghani, 2010

[7] INEGI, 2010

[8] World Travel and Tourism Council (2010)