DEVELOPING SUSTAINABLE TOURISM IN THE NORTH OF VIETNAM

FOREIGN TRADE UNIVERSITY
FACULTY OF INTERNATIONAL ECONOMICS

______***______

Major: International economics

GRADUATION THESIS
DEVELOPING SUSTAINABLE TOURISM IN THE
NORTH OF VIETNAM:
CURRENT SITUATION AND SOLUTIONS

Hanoi, June 2019


TABLE OF CONTENTS
ABBREVIATION
LISTS OF FIGURES
LIST OF TABLES
ACKNOWLEDGEMENTS
SUMMARY OF GRADUATION THESIS
INTRODUCTION.....................................................................................................1
CHAPTER 1
THEORETICAL BACKGROUND OF TOURISM AND
SUSTAINABLE TOURISM........................................................................................4
1.1

Conceptual background of tourism..............................................................4

1.1.1

Terms and definition..............................................................................4

1.1.2

Role of tourism......................................................................................6

1.1.3

Types of tourism....................................................................................9

1.1.4

Factors affecting tourism development...............................................10

1.2

Conceptual background of sustainable tourism.........................................15

1.2.1

Terms and definition............................................................................15

1.2.2

The rationale for developing sustainable tourism...............................20

1.2.3

Criteria for assessing sustainable tourism..........................................22

1.3

Experiences in developing sustainable tourism.........................................24

1.3.1

Typical cases in the world...................................................................24

1.3.2

Typical cases in Vietnam.....................................................................28

1.3.3

Lessons drawn from typical cases.......................................................30

CHAPTER 2
ANALYSIS ON SUSTAINABLE TOURISM DEVELOPMENT IN
THE NORTH OF VIETNAM...................................................................................33
2.1 An overview of the Northern provinces of Vietnam and sustainable tourism
in these provinces................................................................................................33
2.1.1

Overview of Northern region of Vietnam.............................................33

2.1.2

Overview of sustainable tourism in the North of Vietnam...................36

2.2 SWOT analysis on sustainable tourism development with three pillars

economic, society and environment in the North of Vietnam...............................42
2.2.1

Overview about SWOT analysis method.............................................42

2.2.2

Strengths and weaknesses...................................................................43

2.2.3

Opportunities and threats....................................................................58


2.3 Applying SWOT analysis to assessing sustainable tourism in the North of
Vietnam...............................................................................................................67
2.3.1 Assessing the current strategy of sustainable development in the North
based on SWOT analysis.................................................................................68
2.3.2 Causes of achievements and limitations of sustainable tourism in the
North under the current strategies..................................................................70
CHAPTER 3
RECOMMENDATIONS AND SOLUTIONS FOR DEVELOPING
SUSTAINABLE TOURISM IN VIETNAM’S NORTHERN REGION.......................73
3.1 Suggesting new development strategies for sustainable tourism in the North
of Vietnam through SWOT analysis.....................................................................73
3.2 Solutions to improve the current strategies and implement successfully new
strategies.............................................................................................................75
3.2.1

Solutions to improve the current strategies.........................................75

3.2.2

Solutions to implement effectively new strategies................................78

CONCLUSION........................................................................................................83
REFERENCES
APPENDICES


ABBREVIATION
BC

British Columbia

GSTC

Global Sustainable Tourism Council

IUCN

International Union for Conservation of Nature

SGO

Statistics Office of Vietnam

TAT

Tourism Authority of Thailand

UNWTO United Nations World Tourism Organization
VNAT

Vietnam National Administration of Tourism

VTEA

Vietnam Tourism Education Association

WCED

World Commission on Environment and

WTO

Development
World Trade Organization

WTTC

World Travel & Tourism Council


LIST OF FIGURES
Figure 1.1 Maslow hierarchy of needs.....................................................................11
Figure 1.2 Three pillars of sustainable development...............................................17
Figure 2.1 Revenue from tourism in the Northern provinces in 2018......................42
Figure 2.2 Growth of accommodation in some provinces in the North from 20152017......................................................................................................................... 47
Figure 2.3 Average Occupancy Rate and RevPAR by Star Ranking........................48

Figure 2.4 Distribution of number of tour guides in Northern provinces.................54
Figure 2.5 Main source of guests coming to Vietnam in 2018.................................60
Figure 2.6 Spending of foreigner tourists visiting Vietnam in 2017........................61

LIST OF TABLES
Table 1.1 Comparison between mass tourism and sustainable tourism....................19
Table 2.1 Land use by province (As of 31 December 2016)(*) by
Cities, provincies and Land use...................................................................35
Table 2.2 Projects are on the completion process in Quang Ninh until 2018...........51
Table 2.3 SWOT matrix..........................................................................................68


ACKNOWLEDGMENTS
In fact, tourism is not a major research’s topic in FTU.
However, there hold a strong connection between developing
tourism and developing the economy that is comprised of three
mains industries which are agriculture, industry, and service.
Tourism is in the third industry, which is a smokeless industry and
brings about a significant amount of revenue. Rather than dig
deep into other sectors such as finance, micro or macro economy,
I would like to make a different direction for this thesis, with the
aim of upholding a viewpoint about tourism and sustainable
tourism.
However, due to the new and complex of the content, and
constraint time, it is certain that the research will still have many
shortcomings that need the advices of teachers, and individuals
who are interested in sustainable tourism in the Northern region.
I would like to express my sincere gratitude to my university
Foreign Trade University and the Faculty of International Economic
from which I know I become mature.

My deep thanks and appreciation goes to my instructor Mr.
Pham Xuan Truong, who gave me professional guidance and
insightful comments that considerably help me to finish this thesis.
And I would like thank all teachers who have taught me for 4
years in Foreign Trade University, all friends, and my family who
always encourage me in writing this thesis.


SUMMARY OF GRADUATION THESIS
Topic: Developing sustainable tourism in the North of Vietnam: current situation and
solutions
Student: Nguyen Ngoc Thao
ID: 1514450042

Intake: 54 (2015-2019)

Class: English 10

Instructor: Pham Xuan Truong
Department/ Faculty: International Economics
Keyword: Developing sustainable tourism
Contents of the Summary:
1. Rationale
Tourism is one of the key industries in the economy. In Vietnam, especially in the
North, the development of tourism in recent years has faced shortcomings,
environmental, socio – cultural problems, and other related issues. Therefore, the
orientation of developing sustainable tourism is increasingly getting concerned of the
Government, organizations and individuals involved in tourism activities.
2. Aims, objects and scopes of the thesis
This study analyzes the current situation of sustainable tourism development in

the North of Vietnam from 2015 to 2018.
3. Methodology:
This study uses statistical method, comparison and contrast method, method of
analysis and synthesis, inductive and deductive method.
4. Contents and findings of the thesis
Beside the achievements, tourism in the North has faced many problems related
to the sustainable goals. After using the SWOT analysis, and pointing out the reasons
causing limitations in developing sustainable tourism in this region, the study has
proposed some recommendations about the current strategies and suggested new
solutions in order to develop tourism sustainably in the North.
5. Conclusion
Tourism is an interdisciplinary industry and it is essential to raise the awareness
of all the sectors involved to join the concerted efforts to achieve the sustainable goals.


1

INTRODUCTION
1. The necessity of the thesis
Stepping into the 21st century, tourism has become an indispensable part of the
whole picture of the economy. It has made enormous changes to every facet of our
daily lives. In this modern world, everyone can be involved in promoting tourism,
from the costermongers selling street food and stuffs on the street, to the garbage
workers cleaning up and beautifying the streets, to travel agencies making tailor
tours for foreigners to explore the charming beauty of Vietnam. All of them are
trying their best in making concerted efforts to attract tourists and preserve the
pristine beauty of the country. Fortunately, Vietnam is a country favored by Mother
Nature, has over 3.000 kilometers of coastline, pristine beaches, dynamic growing
cities, mountainous highlands, and diverse cultural and historic sites. Vietnam is
proud to rank at 6 out of 10 countries with the fastest growing tourist destinations in

the world (United Nations World Tourism Organization, 2017) and has 8 heritages
recognized by UNESCO as world natural and cultural heritage. Thanks to the
beautiful nature and the hospital people, Vietnam’s tourism industry continues to
rank amongst the fastest-growing tourist destinations in the world. According to
World Travel & Tourism Council Annual Report (WTTC, 2018), in 2017, the total
revenue from tourism in Vietnam was 468.291 billion (USD 20.605 million),
contributed approximately 9,4 % to total GDP, was ranked at 31st among those
countries having the fastest growth in tourism development in the world.
In recent years, although the number of international tourists in Vietnam
increased three-fold from just 5 million in 2010 to 15 million by 2018 and there is
room for further expansion in this sector, there holds an unfortunate fact that these
potentials and development currently restrained by issues related to unsustainable
development. Since the 1980s, the term "sustainable development" become a
buzzword in development researches in general and in tourism development in
particular. It seems that in recent decades, economic growth has been focused too
much that the massively reverse impacts on the environment and traditional values
have been neglected, which results in the overcrowding and pollution of a World
Heritage Site- Ha Long Bay, and the commercialization and cultural identity lost in


2
Sapa. It means the development of tourism in our country is not sustainable enough.
In the Northern region of Vietnam, there holds an unfortunate fact that there are still
lots of other famous sites which have been compromised and no longer kept their
original outlook, and the daily lives of the local resident has been disturbed.
Undeniably, the economic benefits of tourism in the Northern region are enormous,
however, it is likely that the harm it brings about will outweigh the benefits.
With a full appreciation of previous studies and researches made by numerous
writers and scholars towards sustainable tourism development, this paper attempts
to clarify how to develop sustainable tourism in the Northern region, which has

various top attractions and sightseeing spots. This research also aims to show that
tourism can be carried out in a way that gives back to nature, rather than taking
from it.
With all the reasons stated above, the topic research "Developing sustainable
tourism in the North of Vietnam: current situation and solutions” was chosen to
be extremely meaningful in both theory and practice.
2. Aims of the thesis
On the basis of clarifying the theoretical background of tourism and tourism
sustainable development, the thesis focuses on the current situation of tourism
development in some provinces which are in the Northern region of Vietnam and
proposes some solutions well as recommendations.
3. Objects and scope of the thesis
Objects: The thesis aims at analyzing the current status of sustainable tourism
development in the North of Vietnam, especially some top tourist attractions which
are Quang Ninh (Ha Long Bay – Bai Tu Long Bay), Lao Cai (Sapa), and Ninh Binh
(Trang An Scenic Landscape Complex)
The scope of the study:
-

In terms of space: Provinces in the North in general and especial top tourist
attractions in the North which are Quang Ninh (Ha Long Bay – Bai Tu Long
Bay), Lao Cai (Sapa), and Ninh Binh (Trang An Scenic Landscape Complex)
in particular


3
-

In terms of time: The study focuses on the period of 4 years, from 2015 to
2018 and the first quarter of 2019.

4. Thesis’s methodology
The writer uses the specific research methods: statistical method, comparison
and contrast method, method of analysis and synthesis, inductive and deductive
method.
5. Structure of the thesis
Apart from the Introduction, Table of contents, Conclusion, References, the
thesis is comprised of 3 main parts:
Chapter 1: Theoretical background of tourism and sustainable tourism
Chapter 2: Analysis of sustainable tourism development in the North of
Vietnam
Chapter 3: Recommendations and solutions for developing sustainable tourism
in Vietnam’s Northern region


4

CHAPTER 1

THEORETICAL BACKGROUND OF

TOURISM AND SUSTAINABLE TOURISM
1.1 Conceptual background of tourism
1.1.1 Terms and definition
Tourism is a special industry which is originated from pure desire and craving
for exploring new cultures and new sites. Human needs always change in
accordance with the quality of life. When life gradually becomes more prosperous,
people begin to trace back to the natural source of happiness that is to satisfy their
passion, to satisfy their spiritual needs and enrich their inner life. That is the time
when people can reap the benefits of traveling.

There are several ways to understand the term “tourism” and each
understanding depends on the various features of each period of time.
Tourism is a phenomenon: before the nineteenth century and until the
beginning of the twentieth century, tourism was almost considered a privilege of the
rich, aristocrats, and people considered it a unique phenomenon in the economic
and social life. During this period, people have traveled as a social phenomenon that
enriches their lives and their consciousness. This is the phenomenon of people
leaving their residence and go to an unfamiliar place for a variety of purposes,
except for earning money or finding a job. Additionally, in order to enjoy a trip,
they have to spend the money that they have earned elsewhere.
Hunziker and Krapf (1941) have generalized that tourism is a combination of
phenomena and relationships that result from the traveling and staying of nonresidents - those who have no purpose of settlement and who are not linked to any
activity that makes money. This understanding highlighted the nature of tourism,
but it did not clarify about the time which tourism took.
Tourism is an activity: According to Mill and Morrison (1985), tourism is the
activity that occurs when people cross the border of a country or the border of a
zone to other places in order to have entertainment or public purposes and people
stay there for at least 24 hours but no longer than one year. Thus, it is possible to
consider tourism through the typical activities that people want during their travels.


5
Tourism can be interpreted as a human’s activity that happens out of the habitual
residence to satisfy the need for entertainment, traveling, and relaxation for a while.
Considering tourism in a more global way, it is necessary to consider all the
actors involved in tourism activities in order to conceptualize and fully understand
the nature of tourism. These included:
 Tourists
 Companies providing travel services
 Local government

 Local residents
According to this approach, tourism is a combination of phenomena and
relationships resulting from the interaction between tourists, businessmen,
authorities and local communities during the tourists’ attracting process. However,
this understanding focuses only on the relationship between the factors involved in
tourism activities, rather than the scope and time of the activities.
Another definition was stated by the United Nations World Tourism
Organization (UNWTO) to create a common glossary of terms for tourism which is
concise, clear and is considered as the most completed and popular definition of
tourism. It defines tourism as follows:
Tourism is a social, cultural and economic phenomenon that entails the
movement of people to countries or places outside their usual environment for
personal or business/professional purposes. These people are called visitors (which
may be either tourists or excursionists; residents or non-residents) and tourism has
to do with their activities, some of which imply tourism expenditure (UNWTO,
2008).
Using this definition, it can be seen that tourism is the movement of people for
a number of purposes (whether business or pleasure). Building on the definition of
tourism, a commonly accepted description of a tourist is “someone who travels at
least 80 km from his or her home for at least 24 hours, for business or leisure or
other reasons” (Introduction to Tourism and Hospitality in BC, 2008, p.8). The
UNWTO (1995) helps us break down this definition further by stating tourists can
be:


6
1. Domestic (residents of a given country traveling only within that country)
2. Inbound (non-residents traveling in a given country)
3. Outbound (residents of one country traveling in another country).
The scope of tourism, therefore, is broad and encompasses a number of

activities.
Hence, this study proposes a simple definition of tourism as the activity of
going to another place which is outside of the city or country that one is living, for
entertainment or business purposes, and staying there for a period of time.
1.1.2 Role of tourism
1.1.2.1 In term of economy
Tourism development is development based on comparative advantages. The
tourism resources of each country have their own characteristics, and cannot be
imitated or created. The natural resources have been formed through the creation
process of the Earth in thousands of years and the value of human resources has
been created by humanity through the transmission of life. Because of these
advantages, tourism is considered the salvation of many countries, contributing to
the revival of their weak and their paralyzed economy.
The assessment of a country's tourism industry is firstly based on the
contribution of tourism receipts to the total GDP of the country. Each country has a
different share of tourism in GDP. According to the World Travel and Tourism
Council (WTTC)’s annual research on “Travel & tourism economic impact 2018”
for some countries in ASEAN such as the Philippines, Malaysia, Thailand and
Singapore, this rate is 21,1%, 13,4%, 21,2%, and 10,2% respectively. In Vietnam,
this rate is 9,4 %, relatively lower than that of our neighbors, and it is forecast to
rise by 6,2% in 2018. On the other hand, another advantage of the tourism industry
is to solve the problem of unemployment. Because tourism-related services require
a lot of work, ranging from the food and beverage industry to hotel, motel or hostel
reservation, to transportation and guest transfer industry, and so forth. Tourism has
created a great source of income for workers and solved social problems. Not only
metropolises can reap benefits from the tourism industry, but remote areas'
unemployment also can be alleviated. Local residents in tourist attractions do not


7

have to immigrate to big cities with a hope of better jobs and better lives, now they
can make use of their ultimate knowledge about their hometown to introduce to
tourists as no one can understand about these towns better than them.
Tourism development also helps to promote the development of other
industries. These are support industries or sectors related to tourism such as
agriculture, industry, traditional crafts, banks and so forth. Tourism has a large
consumer market and stable products for economic sectors. The development of
tourism is not based solely on tourism resources, but on the basis of meeting the
needs of all guests. It is a high-end need for high-quality services. The agriculture
sector provides tourists with food and handicraft industries provide tourists with
goods as souvenirs, the banking sector provides financial services, means of
payment, and so on. This product is an on-site export form. Developing tourism to
attract international visitors is an important strategy for many countries, which has
several goals, including increasing foreign currency.
In addition, tourism requires goods and services with high quality, various
types, in beautiful and attractive forms. As a result, companies must constantly
innovate and develop products. In order to do that, companies must invest in
modern equipment, select and recruit skilled workers to meet the needs of visitors.
Moreover, tourism activities have the effect of changing the balance of
payment. International tourists bring foreign currency into the country, which helps
increase the country's foreign exchange earnings. Within a country, tourism
activities intervene in the movement of money and goods, regulate capital from the
economic development areas to the less developed economic regions, thus
stimulating economic growth in remote areas.
1.1.2.2 In terms of society
In terms of society, tourism plays a role in preserving, restoring health and
prolong the longevity of people. To a certain extent, tourism has the effect of
limiting illness and prolonging people's lives and work capacity. Traveling and
taking part in tourism is a condition for people to get closer. When traveling, people
can interact with each other, then good qualities such as help, care, and sincerity

8
have the opportunity to manifest clearly. Thus, thanks to tourism, people understand
each other better and this helps to strengthen the solidarity of the community.
Visiting historic monuments and cultural construction has the effect of
educating patriotism and creating national pride. By directly see and touch the
cultural achievements of a nation, along with the detailed explanation of the tour
guides, visitors can really grasp the feeling of getting to know about the value of the
monuments, which might be neglected in the daily life. It is possible to use a
Vietnamese proverb to assert the role of the intellectuality of people in tourism.
That is to say, "Travel broadens the mind”. Each trip often gives visitors experience,
knowledge and life materials. To understand more about history, to "discover" new
geography, to have more experience in life, to embrace other cultures are the results
obtained after each trip.
One of the meanings of tourism is to contribute to the restoration and
development of the national cultural tradition. The need for cultural awareness in
each trip of tourists motivates suppliers to pay attention to and support the
restoration and maintenance of relics, festivals, and unique products of the merchant
village. Hence, the community life of citizens becomes more dynamic when
different cultures integrate and their spiritual lives are enriched gradually.
The nature of tourism is the cultural exchange and the communication
between individuals, between communities, because every country in the world has
its own cultures and unique traditions that are not always identical. It must be said
that tourism is a peace-bridge between the people of the world. Visitors always want
to participate in local cultural activities. Tourism activities help people to get closer
and better understand the cultural value of other countries. The feeling of intuitive
exposure to nature, immersing into the grandeur and the freshness of the natural
landscapes are of value to the visitors. When people are getting closer and have a
better understanding of each other, the gap between countries is narrowed down,

which helps to keep the world in a peaceful environment. An eloquent example of
the value of the trip for peace is the visit of the former battlefields of French and
American veterans. After being defeated at the war, many veterans still bore a lot of
guilt and disgust for Vietnam. Returning to the old battlefield, meeting directly


9
those they once considered enemies, from guilt, suspicion to shyness, these soldiers
have become more open and more deeply sympathetic and affectionate. It was
revealed that before leaving for their country, many veterans, after such a tour,
became active members of propaganda with the hope of building and cultivating
friendship between the two countries.
1.1.3 Types of tourism
Tourism activities can be grouped into different groups according to the
criteria indicated. Currently, the majority of Vietnamese tourism experts divide
types of tourism according to the basic criteria below:
-

-

-

-

Based on environment resource
o

Nature tourism

o

Cultural tourism

o

Eco-tourism

Based on the purposes of tourism
o

Recreation tourism

o

Pleasure tourism

o

Active tourism

o

Sports tourism

o

Religious tourism

o

Health/Medical tourism

o

Adventure tourism

o

Business tourism

o

MICE tourism (Meeting – Incentive – Conference – Exhibition)

o

Educational tourism

Based on geographical characteristics
o

Coastal tourism

o

Mountain tourism

o

Urban tourism

o

Country tourism

Based on transportation


10

-

-

-

-

o

Bicycle tourism

o

Train tourism

o

Cruise tourism

o

Plane tourism

o

Motorcycle tourism

Based on the type of residence
o

Hotel

o

Hostel

o

Homestay

o

Camping

o

Bungalow

o

Tourist village

Based on the age of tourist
o

Teenage tourism

o

Youth tourism

o

Middle-aged tourism

o

Elderly travel

Based on the length of a trip
o

Long-term tourism

o

Short-term tourism

Based on the form of organization

o

Group travel

o

Individual travel

o

Family travel

1.1.4 Factors affecting tourism development
In order to unlock the potentials of tourism in an economy, it is necessary to
determine the main factors affecting the development of this industry. This research
analyzes and groups these factors into four main factors related to economic,
technological, political and social, and cultural factors.


11
1.1.4.1 Economic factors
In the economy, all activities follow the law of supply and demand. When
supply meets demand, business activities take place and the economy develops.
a.

Demand-side
In the case of tourism, tourism demand appears under the impact of three

factors: Free time, intellectual level and income. In these 3 factors, income is a
factor that plays a decisive role. The income level of people is determined by the

state of the economy and reflects the economy's state. When the economy witnesses
growth and development, it means that people have a higher level of income and a
higher living standard.
According to Abraham Maslow's hierarchy of needs, there are five main
factors that motivate people. Maslow used the terms "physiological", "safety",
"belonging and love", "social needs" or "esteem", and "self-actualization" to
describe the pattern through which human motivations generally move. Only when
one stage is satisfied, it is no longer a motivator and people move onto the next
stage. Income can be grouped into the “Safety” factor as it guarantees one having a
stable and secure life. Once salary or income satisfies people, they start to seek for
higher satisfaction and normally, people choose traveling as means of self-reward.
Figure 1.1 Maslow hierarchy of needs

S e lfa c tu a liz a tio n
A c h i e v i n g o n e 's f u l l
p o te n tia l, in c lu d in g
c re a tiv e a c tiv itie s

E ste e m
P re s tig e , fe e lin g o f a c c o m p lis h e d

B e lo n g in g a n d lo v e
In tim a te re la tio n s h ip s , frie n d s , fa m ilie s

S a fe ty
S e c u rity, s a fe ty

P h y s io lo g ic a l

F o o d , w a te r, c lo th e s , w a r m , e tc .

12
Source: Abraham H. Maslow, Robert D. Frager, Robert D., and James
Fadiman (1943)
When traveling, people spend money on basic services like eating, staying,
relaxation, and other services. These other services represent unforeseen consumer
expenses that occur during the trip, which forces tourists to have a reserve of funds
in addition to the cost of basic services. Where tourism is growing and becomes
more affordable for travelers, the spending this activity is high relative to basic
services.
b.

Supply side
One of the main features of tourism is the combination of many sub-industries.

Therefore, the supply of tourism also comprised of various and plentiful services
including services provided by the tourism industry and services provided by other
economic sectors.
First of all, one of the very important supporting industries must be
agriculture. Catering services represent a significant proportion of the total number
of consumer services. The agricultural sector provides tourism with vegetables,
meat, fish, eggs, milk, in short, all the ingredients that are needed for a meal.
Developed agriculture will provide tourism with various, high-quality products with
low prices
In addition to agriculture, the food processing industry also provides products
for tourism businesses. Most agricultural products cannot be kept for a long period
of time without processing. The processing industry guarantees the supply of highquality agricultural products for catering services, and make sure hotels and
restaurants offer adequate food during the period of peak season or even the low
seasons, in order to better meet the needs of customers.

The bank system provides tourists with the most convenient services and
means of payment. Banks provide currency exchange services, payment methods
such as credit cards, travel’s chequé which facilitate and accelerate the payment
process of tourists. Banks also are travel companies’ lenders, providing funds for
the construction of industrial facilities or creating better services.


13
In general, because of the interdisciplinary nature of tourism, tourism is
directly or indirectly influenced by the development of many economic sectors at
different levels.
1.1.4.2 Technological factor
The development of tourism is associated with the development of
transportation, especially different means of transport such as by road, by train, by
plane, by boat and so forth. With the development of science and technology,
passenger transportation achieves a high level of safety and comfort. In the era of
technological revolution, the way people travel has been changed significantly. In
the dark age, the main way for traveling on the land was by horse wagons and on
the sea was by small tank boats. Tourism and relaxation traveling existed, but it was
not popular and did not work actively at that time. In the late 1830s, with the
development of the railway system, the direct contribution of various beach resorts,
people tended to travel more. The first official excursion train was developed by
Thomas Cook, who is considered to be the top travel agent and now has one of the
world's largest travel companies. He used trains which were the most modern means
of transport at that time to bring tourists to tourist attractions, and at the same time
created a comfort zone for tourists by serving food, drink, singing, dancing and
chatting on the train.
E-commerce also enables tourists to access necessary information such as top
interesting places, online booking, and reservation without directly meeting the
hotel's reception, or tourists can make a tailored tour themselves, satisfying their

own wants and needs. Information technology has been applied early in the tourism
industry all over the world. Nowadays, there are more and more people know about
reputable online travel agencies in the world such as GenaRes (www.genares.com);
Pegasus Solution (www.pegs.com ); Expedia (www.expedia.com ); Asia
(www.asia.com ); Travelocity (www.travelocity.com) and so forth. Take Pegasus
Solution, for example, it has been partners with more than 100,000 hotels and
service systems, which helps tourists a lot in choosing a destination for their
holidays. For visitors, simply type the words "booking" or "travel" into the search


14
box, a series of booking sites, booking tours offered by numerous companies, airline
tickets, and travel services are available.
1.1.4.3 The political and social factor
a. Political factor
The socio-economic policy will determine the role of tourism in the economy.
Some countries give priority to industrial development, some countries to
agricultural development but others to tourism development. Tourism depends on
the relative advantage of this country such as natural resources, labor forces.
Tourism has become one of the key economic sectors in countries such as
Singapore, Thailand, Spain and so forth which not only have the great favor of
Mother Nature but also at which the government cares and gives clear direction to
their tourism development strategy.
Regulations and policies on immigration issues, visa management, the visa
expires, fees are manifestations of political influence on tourism. In addition, the
more developed and comprehensive the legal system of a country is, the more the
legal corridors will be favorable to the development of tourism. The legal system
related to tourism can be included in business law, investment law, environmental
protection law, tourism ordinances, immigration regulations. At present, many
countries apply the visa-free policy for tourists, forming blocks, areas of free

movement, thus creating favorable conditions for the tourism industry. The EU is an
example of a zone of liberal economic immunity where citizens have the freedom to
travel within their territories. ASEAN countries, of which Vietnam is an official
member, are also negotiating to phase out visa visas for guests in the block, which
could be a piece of good news for tourism in Vietnam.
b. Social factor
Stability and security are factors that count significantly in tourism. When
there is unstable political and social security information about a given destination,
it is difficult to convince visitors to take on those travel programs.
Take the US for example, when the war against terrorism developed by the
United States and its allies became fierce, it seemed that the world had to suffer


15
serious consequences. The terrorist attack on September 11th in the United States, a
symbol of political and economic power, hurt the global tourism industry, which
caused a negative growth in the number of international tourists in 2001.
The last security problem, which concerns social security, is to ensure security
in tourist sites. This is a common and extreme disappointing problem where it
happens. In daily life, in tourist attractions, it can be easily seen that there are teams
of beggars, pickpockets, or street vendors inciting tourists to buy those pieces of
stuff. Consequently, it makes tourists feel annoyed and disagreeable, then
deteriorates the whole face of a country’s tourism.
1.1.4.4 Cultural factor
The relationship between tourism and culture in the context of
globalization and international integration is becoming highlighted and interacting
with each other. Michael Hitchcock (2004) had explained that tourism
and culture have a deep relation. Culture is based on originality,
authority, authenticity et cetera. Firstly, the influence of culture on tourism
is that local culture creates the unique and appealing characteristics of tourism

products, helping to quickly and directly bring the image of the country or locality
to the world. In essence, tourism is a high-level cultural activity.
The culture behind tourism is the endogenous need to encourage visitors to
travel off the beaten track and explore new lands and cultures. Culture is a unique
resource of tourism in terms of both tangible culture (landscape, architectural
heritage, cultural-historical relics, handicraft goods, labor tools) and intangible
culture (festivals, traditional arts, indigenous lifestyles, local customs, beliefs).
Culture is the basis for the development of sustainable tourism, as it is both a
major asset to attract tourists and a root for preserving unique identity in various
cultural exchanges, thus enhancing diversity and mutual understanding between
countries and regions. Culture is also manifested in tourism activities such as the
behavior and business practices between tour operators and tourists, between local
residents involved in tourism with tourists, between people and the environment,
even in relations between people who do not participate in tourism with tourists. It
is necessary that all involved in the tourism industry, regardless of travel agencies or


16
tourists, need to be aware of their role in promoting the image of the country to the
world.
1.2 Conceptual background of sustainable tourism
1.2.1

Terms and definition

1.2.1.1 Definition of sustainability
The concept of sustainability stemmed from developmental environmentalism
which stood out in the 1970s. The clear idea of sustainable development is first
given out in The International Union for Conservation of Nature (IUCN, 1980) in
the World Conservation Strategy Report. That report influenced the “Our common

future” report in 1987 of the World Commission on Environment and Development
(WCED) which is also known as the “Brundtland Report” (1987). It defined
sustainable development as "development that meets the needs of the present
without compromising the ability of future generations to meet their own needs”
(WCED, 1987). The commission stressed thaat sustainable development is not a
harmonious, frozen state but a process of dynamic changes, which are “all in
harmony and enhance both current and future potential to meet human needs and
aspirations” (WCED, 1987).
The internal function of sustainable development was reaffirmed in the Rio-92
Conference and completed at the Johannesburg-2002 conference as Sustainable
development is a close and reasonable combination, harmonizes the three aspects of
development: economic development, social justice, and environmental protection.
Figure 1.2 Three pillars of sustainable development

Economy

Environment

Sustainable
development

Society

Source: Compilation by the author


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1.2.1.2 Definition of sustainable tourism
Tourism has appeared since the time when international exchange,
international trade, exploration of new lands have been formed. Years BC, tourism

started in the Mediterranean. Initially, the provision of services to meet the needs of
visitors was still primitive and only focused on profit without considering the
negative impact of tourism on the environment. At that time, there had been the first
form of tourism in history and has been popular until nowadays which is
"commercial tourism" or "mass tourism".
Gradually, the problem of the environment gains the attention of the mass of
people and the term "sustainable tourism" emerged. Until now, there are numerous
definitions of sustainability and sustainable development.
One of the most widely accepted definitions that were raised by the World
Tourism Organization (UNWTO, 1998) as below:
“Sustainable tourism development 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, biological diversity, and life support systems”.
Simply sustainable tourism can be defined as:
"Tourism that takes full account of its current and future economic, social and
environmental impacts, addressing the needs of visitors, the industry, the
environment, and host communities” (UNWTO, 2005).
These definitions shortly and concisely sum up the main nature and
characteristics of sustainable tourism, and the definition stressed by UNWTO in
1998 is the one that the writer applies and analyses in this research.
The question about the differences between sustainable tourism and mass
tourism has raised recently. Mass tourism is not carefully planned to improve the
work of conservation or education, does not bring benefits to the local community
and can quickly destroy sensitive environments. The possible result is the
environment could be destroyed or change in a dramatic way. In contrast,
sustainable tourism is planned thoroughly right from the beginning to bring merits

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to the local community, in a way that tourism respects culture, contribute to the
process of conservation of natural resources and improve people’s awareness about
tourism. Sustainable tourism can bring about the same amount of income as mass
tourism, but uncountable benefits could be preserved and handed down within the
communities; natural resources and cultural values of the region are protected.

Table 1.1 Comparison between mass tourism and sustainable tourism
Mass tourism
1. There is one purpose: income

Sustainable tourism
1. Planned with 3 purposes: income,

2. Often not planned in advance

environment, and community (3 pillars).

3. Visitors oriented

2.

4. Controlled by external groups

participation of the stakeholders.

5. Focus on visitors’ entertaining

3. Locality oriented

6. Conservation is not prioritized

4. Under the control of the community

7.

The

community

is

prioritized

Planned-in-advance

with

the

not 5. Focus on educational experiences
6. Conservation of natural resources is a

8. Much of the income is returned priority
to tour operators and investors

7. Evaluation of local culture is a priority
8. There are many benefits left for the

local community

Source: Compilation by author
1.2.1.3 Types of sustainable tourism
In order to fully analyze the sustainable tourism, this study divides it into
different types which are based on the characteristics of each type as follows:
Ecotourism: a form of nature-based tourism associated with the participation
of the local community and aims to preserve the nature
Responsible tourism: tourism activities come along with a high sense of
responsibility, limiting bad impacts on the environment, creating high economic