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Reducing economic leakages from tourism: A value chain assessment of the tourism industry in Kasane, Botswana

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  • Andrew Rylance
  • Anna Spenceley

Abstract

Retaining revenue generated by tourism within a local economy is an important issue in tourism development, especially in developing countries where tourism is used as a tool for development. This research aims to quantify the value and proportion of tourism expenditure retained in this destination in order to inform national-level decision-making. It applies a value chain analysis (VCA) approach through semi-structured questionnaires with 117 stakeholders in Kasane, Botswana. The VCA demonstrates that the total gross revenue generation of the tourism industry within Kasane was USD 39.5 million in 2014. Excursions and transport generated nearly half of this revenue (USD 19.2 million; 49%), followed by accommodation and food and beverages, at around USD 10 million each (26%). Of the gross revenue accrued, USD 14.5 million (37%) remained in the local economy (defined by the Botswana Tourism Organisation as a 50 km radius surrounding Kasane) in the form of local goods (production) and services (wages). Recommendations for interventions that could enhance the local retention of revenue from tourism in Kasane are presented.

Suggested Citation

  • Andrew Rylance & Anna Spenceley, 2017. "Reducing economic leakages from tourism: A value chain assessment of the tourism industry in Kasane, Botswana," Development Southern Africa, Taylor & Francis Journals, vol. 34(3), pages 295-313, May.
    • Handle: RePEc:taf:deveza:v:34:y:2017:i:3:p:295-313
    DOI: 10.1080/0376835X.2017.1308855
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    Cited by:

    1. World Bank, 2021. "Banking on Protected Areas," World Bank Publications - Reports 35737, The World Bank Group.
    2. Wilfred E. Mbowe & Ernest Ndunguru & Joyce Gervas, 2021. "Tourism Development in Northern Circuit of Tanzania and Its Contribution in Improving Local People’s Livelihood," Applied Economics and Finance, Redfame publishing, vol. 8(4), pages 56-76, July.
    3. Malkowska Agnieszka & Tokarz-Kocik Anna & Malkowski Arkadiusz, 2023. "The Impact of the Maritime Border on the Development of Poland’s Border Areas in Terms of Expenses of Foreigners and the COVID-19 Pandemic," Quaestiones Geographicae, Sciendo, vol. 42(4), pages 157-168, December.
    4. Hasita Bhammar & Wendy Li & Christel Maria Moller Molina & Valerie Hickey & Jo Pendry & Urvashi Narain, 2021. "Framework for Sustainable Recovery of Tourism in Protected Areas," Sustainability, MDPI, vol. 13(5), pages 1-10, March.
    5. Ante Mandić & Lidija Petrić, 2021. "The impacts of location and attributes of protected natural areas on hotel prices: implications for sustainable tourism development," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(1), pages 833-863, January.

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