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Exploring visitors' willingness to pay to generate revenues for managing the National Elephant Conservation Center in Malaysia

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  • Kaffashi, Sara
  • Yacob, Mohd Rusli
  • Clark, Maynard S.
  • Radam, Alias
  • Mamat, Mohd Farid

Abstract

Financial sustainability of protected areas is one of the main challenges of management. Financial self-sufficiency is an important element in improving conservation effort in these areas. This study seeks to review best practices in recreational fee systems in different countries and to find a relevant entry fee for a wildlife sanctuary in Malaysia. The revenue of the National Elephant Conservation Center (NECC) in Kuala Gandah, Malaysia, comes from several sources, including the national government, but all these budgetary sources are strained by tighter public budgets and greater demands. The present study investigates the introduction of visitor entrance fees to supplement an otherwise inadequate budget for supporting the operational costs of the sanctuary. Factor analysis and a double-bounded contingent valuation method were combined to estimate tourists' willingness to pay (WTP) the proposed entrance fee. Factor analysis showed that respondents' motivation to support the NECC with user fees is conditioned by their direct experiences with elephants, their satisfaction with NECC's educational programs and services, and other experiences it gives to users. The WTP model considered respondents' four motivation factors with their sociodemographic characteristics. Since NECC visitors arrive from both within and outside the country, this study suggests to center managers a two-tier fee structure (residents vs. nonresidents of Malaysia), based upon mean WTP estimates. This study further suggests that revenue from such an entrance fee for NECC could support the Center's management and development costs.

Suggested Citation

  • Kaffashi, Sara & Yacob, Mohd Rusli & Clark, Maynard S. & Radam, Alias & Mamat, Mohd Farid, 2015. "Exploring visitors' willingness to pay to generate revenues for managing the National Elephant Conservation Center in Malaysia," Forest Policy and Economics, Elsevier, vol. 56(C), pages 9-19.
    • Handle: RePEc:eee:forpol:v:56:y:2015:i:c:p:9-19
    DOI: 10.1016/j.forpol.2015.03.004
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    3. Shattuck, Clara & Poudyal, Neelam C. & Bowker, J.M. & Joshi, Omkar, 2022. "Differential values associated with outdoor recreational access among the wildlife management area permit holders," Forest Policy and Economics, Elsevier, vol. 141(C).
    4. Hayati Ibrahim & Manohar Mariapan & Evelyn Lim Ai Lin & Sheena Bidin, 2021. "Wildlife Conservation through Economically Responsible Ecotourist: The Mediator Roles of Attitude between Anticipated Emotion and Intention to Stay in Local Homestays," Sustainability, MDPI, vol. 13(16), pages 1-16, August.
    5. Luo, Wen & Mineo, Keito & Matsushita, Koji & Kanzaki, Mamoru, 2018. "Consumer willingness to pay for modern wooden structures: A comparison between China and Japan," Forest Policy and Economics, Elsevier, vol. 91(C), pages 84-93.
    6. Peng Li & Ming-Hsiang Chen & Ying Zou & Mark Beattie & Linsi He, 2018. "Factors Affecting Inn Operators’ Willingness to Pay Resource Protection Fees: A Case of Erhai Lake in China," Sustainability, MDPI, vol. 10(11), pages 1-23, November.
    7. Ionuț-Adrian Drăguleasa & Amalia Niță & Mirela Mazilu, 2023. "Capitalization of Tourist Resources in the Post-COVID-19 Period—Developing the Chorematic Method for Oltenia Tourist Destination, Romania," Sustainability, MDPI, vol. 15(3), pages 1-31, January.
    8. Azdren Doli & Dastan Bamwesigye & Petra Hlaváčková & Jitka Fialová & Petr Kupec & Obed Asamoah, 2021. "Forest Park Visitors Opinions and Willingness to Pay for Sustainable Development of the Germia Forest and Recreational Park," Sustainability, MDPI, vol. 13(6), pages 1-16, March.
    9. Haefele, Michelle A. & Loomis, John B. & Lien, Aaron M. & Dubovsky, James A. & Merideth, Robert W. & Bagstad, Kenneth J. & Huang, Ta-Ken & Mattsson, Brady J. & Semmens, Darius J. & Thogmartin, Wayne E, 2019. "Multi-country Willingness to Pay for Transborder Migratory Species Conservation: A Case Study of Northern Pintails," Ecological Economics, Elsevier, vol. 157(C), pages 321-331.
    10. Johane Dikgang & Edwin Muchapondwa, 2017. "The determination of park fees in support of benefit sharing in Southern Africa," Tourism Economics, , vol. 23(6), pages 1165-1183, September.
    11. Jeanloz, Sarah & Lizin, Sebastien & Beenaerts, Natalie & Brouwer, Roy & Van Passel, Steven & Witters, Nele, 2016. "Towards a more structured selection process for attributes and levels in choice experiments: A study in a Belgian protected area," Ecosystem Services, Elsevier, vol. 18(C), pages 45-57.

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