Tourism has come to be seen as a key driver for local economic development in South Africa, as it provides opportunities for pro-poor and community-based initiatives. On a global scale, the challenges of confronting poverty and unemployment continue to dominate the development agenda. The ability of Local Economic Development (LED) to empower local people has earned favour with national governments and development theorists. The imperative facing South Africa to achieve a more equitable and sustainable economy is essentially the challenge to adopt and implement a development approach that will reduce poverty and unemployment (which are the two key objectives of LED) to the greatest extent. It is within this context that the South African government has sought to incorporate LED into their economic development framework, predominantly through the decentralisation of development control and planning to the local government level. This study examined the contribution of guest houses to economic growth and employment as key components of LED in a sustainable manner. The study revealed that guest houses are playing a key role in the development of the local economy in the Eden district region. Guest houses are providing employment opportunities to the local residents both on a full-time and part-time basis. Further to this, guest houses are buying many locally-produced products and services from local suppliers and this contributes to economic growth of the local economy. However, this study also found that many of the guest houses in the area are not aware of government incentives available to support them and very few of them have made use of these services. This is something that needs to be addressed if these guest houses are to continue to strengthen the local economy and provide employment opportunities in a sustainable manner. The study revealed that many of the guest houses are operating in an environmentally friendly manner and this will ensure their future sustainability. The broader situation and the contribution of the accommodation sector as critical assets in local and national tourism economies has been thoroughly researched in tourism research around the world. Existing work on the accommodation sector in the South African tourism economy is mainly urban-focused and indicates that its local development impacts can be positive albeit not always maximised through local linkages, however, only a limited amount of academic investigations examines the contribution of tourism sub-sectors to economic growth and employment. The authenticity of this study is based on Its contribution which must be viewed in relation to the relatively limited body of literature in the contribution of tourism sub-sectors to economic growth and employment and in this case guest houses as one type of accommodation sub-sector.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:nmmu/vital:20821 |
| Date | January 2015 |
| Creators | Ramukumba, Takalani |
| Publisher | Nelson Mandela Metropolitan University, Faculty of Business and Economic Sciences |
| Source Sets | South African National ETD Portal |
| Language | English |
| Detected Language | English |
| Type | Thesis, Doctoral, DPhil |
| Format | xvii, 270 leaves, pdf |
| Rights | Nelson Mandela Metropolitan University |
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