Page 1 of 20

Archives of Business Research – Vol. 9, No. 4

Publication Date: April 25, 2021

DOI:10.14738/abr.94.10044.

Venugopalan, T. (2021). Sustainable Destination Management in India: Perception of Stakeholders on Sustainability of Kerala

Tourism. Archives of Business Research, 9(4). 218-237.

Services for Science and Education – United Kingdom

Sustainable Destination Management in India: Perception of

Stakeholders on Sustainability of Kerala Tourism

Dr. Venugopalan T.

ABSTRACT

This research paper explores the economic, environmental, and socio-cultural

sustainability of tourist destinations in Kerala, a southern state of India, from the

perspective of tourists, based on primary research. The exploratory factor analysis

(EFA), confirmatory factor analysis (CFA), and structural equation modelling (SEM)

are utilized for examining and analysing the sustainability of the tourist destination

of Kerala. The research findings on environmental pressure validate that tourism

has been exerting huge pressure on the environment. The environment

management mechanisms adopted by the government and tourism industry have

been effective in mitigating the adverse environmental impacts of tourism. Tourism

has been succeeded in achieving economic sustainability by empowering the local

communities. Destination governance mechanisms are directly contributing to

destinations’ sustainability. The research findings also establish that tourism

development in Kerala is socially and culturally sustainable. Thus, this research

concludes that tourism development is ensuring the environmental, economic, and

social sustainability of tourist destinations of Kerala.

Key Words: Development, growth. natural resources, renewable energy, non-renewable

energy, environmental impact, pollution, sustainability, commercialisation, heritages,

destination management.

INTRODUCTION

Tourism plays a dominant position in the socio-economic development of nations by

contributing precious foreign exchange, generating employment opportunities, helping

infrastructure development, alleviating poverty, protecting and preserving natural and socio- cultural heritage, and maintaining peace and stability in the tourist destinations [1-4}.

However, the massive growth of tourism and the concentration of tourist activities in certain

destinations have created perceptible stress and strain on local society and resources [5-7]. The

massive level of tourism development and the lack of concerns about the local community in

the tourism plans, policies and programmes have led to dissatisfaction and disgruntlement

among the local communities, which are striving hard to protect and preserve their distinct

culture and heritage [8,9] The reaction and resistance of stakeholders against mass tourism are

more organized in all tourist destinations [10,11] Recognising the adverse impacts of tourism

on the environment, economy and society, the tourism industry and governments have shifted

their focus on making tourism more sustainable [12]. Sustainable tourism has emerged as the

most comprehensive approach to mitigate the adverse impact of tourism and to achieve the

sustainable development of tourist destinations.

Page 2 of 20

219

Venugopalan, T. (2021). Sustainable Destination Management in India: Perception of Stakeholders on Sustainability of Kerala Tourism. Archives of

Business Research, 9(4). 218-237.

URL: http://dx.doi.org/10.14738/abr.94.10044

Sustainable tourism is defined as “the tourism development that meets the needs of present

tourists and host regions while protecting and enhancing opportunities for the future. It is

envisaged as leading to management of all resources in such a way that economic, social and

aesthetic needs can be fulfilled while maintaining cultural integrity, essential ecological

processes, and biological diversity and life support systems”, UNWTO [13]. Sustainability

encompasses the environmental, economic and socio-cultural dimensions of tourist destination

development. Sustainable tourism development necessitates the integration of all pertinent

stakeholders and powerful political leadership for ensuring extensive involvement and

consensus-building. However, achieving sustainable tourism is a relentless process and it

requires persistent monitoring of impacts and introduces preventive and corrective measures

whenever necessary, UNWTO [14,15].

Sustainable destination management is an important aspect of sustainable tourism

development which helps to manage the diverse resources and activities and to support the

integration stakeholders through appropriate policies, programmes and actions [16].

Destination management is a comprehensive approach “that involves the strategic organisation

and operative decisions to manage the processes of definition, promotion and

commercialisation of the tourism products. It also includes the generation of manageable flows

of incoming tourists who are balanced and sustainable, and sufficient to meet the economic

needs of the stakeholders involved in the tourist destinations” [17]. According to Conaghan et

al. [18], sustainable destination management is an integrated approach that contemplates the

management of the tourist place operations, administration of the environment and

conservation of core natural, cultural and heritage resources, maintenance of safety and

security, disaster planning, and development of human resources for sustainable management

of destinations. Thus, sustainable destination management encompasses the management of

various components of tourism destinations in such a way that it generates economic

prosperity without degrading the factors that have created and enhanced the competitive

position of the destinations [18].

Tourism encompasses multiple stakeholders such as central government and state

governments, host communities, public sector undertakings, private sector including the

tourism business operators, who always represent different environmental, economic and

socio-cultural interests that complicate the processes of collaboration with each other and the

decision making for managing the tourist destinations. Making tourism more sustainable, the

destination managers have to address the stakeholders’ concerns and fulfil their aspirations

and mitigate the impacts of tourism while planning, developing and managing operations at all

levels of authority [18,19].

Sustainability has been recognised as the philosophy of the developmental process of Indian

tourism. Numerous plans, policies and programmes have been introduced and implemented

for enhancing the sustainability of tourist destinations across the country. Kerala, the

southernmost state of India, has been recognized as the model of sustainable tourism in India.

Kerala tourism offers a wide spectrum of tourism products including beach tourism, adventure

tourism, nature tourism, health tourism, rural tourism, MICE tourism, etc. The tourism industry

is an important segment of the Kerala economy and the government has integrated sustainable

tourism as a developmental strategy and has introduced the concept of responsible tourism for

planning, developing and managing destination for achieving inclusive economic growth.

Page 3 of 20

220

Archives of Business Research (ABR) Vol. 9, Issue 4, April-2021

Services for Science and Education – United Kingdom

Tourism literature is flooded with conceptual research papers on tourism development.

However, there have been a limited number of empirical researches have conducted on

sustainable tourism development and the effectiveness of the tourism plans and programmes

adopted by the central and state government and the tourist industry. Hence, this research

paper is an attempt to examine and evaluate comprehensively the effectiveness of plans and

programmes introduced by the government of India and Kerala state for achieving

environmental, economic and social sustainability of tourist destinations. Hence, the research

findings may contribute to the tourism literature immensely. The research findings may also

guide tourism planners while managing tourist destinations.

This research paper has twin objectives. The first objective is to examine the impacts of tourism

on the environmental, economic and social spheres of Kerala from the stakeholders’

perspective. The second objective is to evaluate the effectiveness of tourism development in

achieving environmental, economic and social sustainability of tourist destinations in Kerala.

Primary research was conducted for appraising the sustainability of tourist destinations based

on a questionnaire survey conducted at various tourist places across Kerala state. This research

paper has utilised structural equation modelling (SEM) for examining and analysing the

sustainability of tourist destinations of Kerala. The research findings validate that tourism has

been putting huge pressure on the environment and the environmental management system

implemented by the government has helped to mitigate the adverse impacts of tourism on the

environment. The findings unequivocally establish that tourism destination management has

ensured the economic sustainability of tourist destinations without compromising the socio- cultural sustainability of Kerala.

This paper is organised as follows. Section 2 provides a discussion on previous researches on

sustainable tourism. Section 3, research methodology describes the sample, methods and

materials adopted for measuring the variables and analysing the data and interpretation of the

results. Section 4, results and discussion, examines the data structure and empirically validating

the research hypotheses using descriptive statistics, exploratory factor analysis and structural

equation modelling. Section 5, Conclusion, concludes the research paper and discusses future

directions for research.

REVIEW OF LITERATURE

Tourism exerts profound and far-reaching consequences on the environmental, economic and

socio-cultural aspects of tourist destinations [20]. Tourist destinations endowed with beautiful

landscapes, rich biodiversity, unique heritage sites and vibrant indigenous culture provide

destination competitiveness in the tourist markets. The environmental impacts of tourism are

the degradation of the environment, depletion of natural resources, destruction of biodiversity

and the ecological equilibrium of destinations [20-22]. (The tourism industry consumes

resources, generates waste and involves large scale infrastructure development, which has

been leading to the degradation and devastation of the environment [23]. Water is a precious

resource and is being extensively overused by hotels for the personal use of tourists and

recreational facilities, which lead to wastage and degradation of water resources [24]. The

concentration of tourism activities around the natural and historical heritages and other public

places have created a huge amount of waste [12]. The tourism industry is also responsible for

air, water and land pollution in many destinations. The development of tourism infrastructure

and excessive concentration of tourism activities are exerting huge pressure on land resources,

Page 4 of 20

221

Venugopalan, T. (2021). Sustainable Destination Management in India: Perception of Stakeholders on Sustainability of Kerala Tourism. Archives of

Business Research, 9(4). 218-237.

URL: http://dx.doi.org/10.14738/abr.94.10044

including forests and coastal regions. [4,20,24] The indiscriminate tourism infrastructure

development and construction activities have led to devastating impacts on biodiversity and

ecological degradation in these destinations [25].

Sustainable destination management includes the implementation of appropriate mechanisms

for conservation of the environment by mitigating the adverse impacts of tourism on

environmental pollution, exploitation of land and water resources, and destruction of forests,

wildlife and coastal regions. It also includes developing a sustainable transport system, sewage

treatment and waste management system, and promoting environmental education and

renewable energy [22].

Tourism is an engine of inclusive economic growth and provides huge employment

opportunities to all sections of society [26]. Tourism development can bring about

improvement in the living standard, generation of employment, reduction in mass poverty,

increase in domestic and foreign investment and improvement in infrastructure and

recreational facilities. Tourism is an effective mechanism for underdeveloped and developing

economies for eradicating eternal poverty, improving living standard and enhancing the quality

of life of the resident communities [27].

The adverse economic impacts emerging from tourism are the decline in traditional

employment, increase in seasonal unemployment, high inflation, increasing property prices

and leakage effect, which restrict the local communities from holding and retaining the gains

from tourism [7, 3]. Tourism is a seasonal business for many destinations and those who are

completely dependent on tourism may face the problem of unemployment or under- employment during off-seasons [21]. The increased tourism activities shoot up the prices of

goods and services, which is a big disadvantage for the local community. [28,29]. Sustainable

tourism development is inevitable for bringing about sustainable economic development in the

destination. “Sustainable tourism mitigates the adverse economic impacts and warrants viable

and long-term economic operations, provides socio-economic benefits to all stakeholders that

are fairly distributed, stable employment, income-earning opportunities and social service to

host communities, and contributes to poverty alleviation” UNWTO [15].

Tourism brings about favourable socio-cultural impacts. The income generated by tourism

helps in improving the infrastructure, protecting and conserving historical and cultural

heritages and maintaining public places that attract more tourists [2]. The interaction between

tourists and the host population involves a learning process in which people understand the

culture, ideas and values of respective countries, and it also helps to reinvigorate cultural pride

among the host communities [3,30,20].

The adverse socio-cultural effects associated with tourism are demonstration effect,

acculturation, commercialisation of culture, increasing crime and prostitution, health hazards,

displacement of communities, commercialisation of culture and cultural clashes between

tourists and host communities [31,3,10,20,4]. Tourism leads to commodification and loss of

authenticity of culture and identity when local communities change themselves as per the taste

of tourists [32]. The increasing antisocial activities such as sex tourism, sexual exploitation of

women and children, gambling, drug abuse and alcoholism, lead to host irritation

[31,3,10,20,29,4]. Thus, tourism can not only protect and promote historical and cultural

Page 5 of 20

222

Archives of Business Research (ABR) Vol. 9, Issue 4, April-2021

Services for Science and Education – United Kingdom

heritage but also damage the social structure, rich and diverse socio-cultural traditions and

local livelihood. “Sustainable tourism respects the socio-cultural authenticity of host

communities, conserve their built and living cultural heritage and traditional values, and

contributes to intercultural understanding and tolerance,” UNWTO [15].

Sustainable tourism is a comprehensive approach, which integrates all the stakeholders of

tourism for mitigating the adverse environmental, economic and socio-cultural impacts created

by the complexity of interactions between the tourism industry, tourists, natural environment

and local communities. The destination management system is an important ingredient of

sustainable tourism, which encompasses a wide spectrum of functions from framing tourism

policies and programmes, creation and maintenance of tourism infrastructure, and marketing

of tourism products. General safety and security are the main concern of tourists and the

destinations should provide a safe and secure environment for visitors. The tourism policy,

efficient law and order system, expediency of the legal system, general safety and security

measures provided at destinations, a conducive visa regime, and good behaviour and positive

attitude of officials towards tourists are also important destination characteristics that can

draw tourists from domestic and international tourist markets. Sustainable destination

management envisages the development, management and coordination of various tourism

activities and implementation of policies with multi-stakeholder co-operation and

collaboration such as tourism business operators, host population and NGOs, for conservation

and preservation of the environment, UNWTO [15].

MATERIALS AND METHODS

Research Hypothesis

This research paper has formulated four alternative research hypotheses for empirically

verifying the sustainability of tourist destinations of Kerala based on the review of literature,

(Figure I). These hypotheses are stated as follows: -

• H1: Environmental pressure (EP) is negatively related to sustainable destination

management (SDM).

• H2: Environmental management (EM) is positively contributing to sustainable

destination management (SDM).

• H:3 Economic sustainability (ES) is positively related to sustainable destination

management (SDM).

• H4: Social pressure (SP) is negatively related to sustainable destination management

(SDM).