- Both tourism and sports lack a research-based approach
Prime Minister Imran Khan has been rightly emphasising the importance of tourism for the economic development of the country. In this regard, schemes such as the ‘Billion Tree Tsunami’ received international recognition and appreciation, and rightly so. More than that, it is indeed vital to plant trees in the country, which has one of the lowest levels of forest cover in the world.
This is coupled with the country having many cities that rank high in terms of being densely populated; along with its being one of those countries that will be highly affected by the phenomenon of climate change. Along with creating needed institutional structures, the above stand as strong challenges if Pakistan has to drastically improve the living conditions and in turn exploit its otherwise huge potential as a tourist destination.
Pakistan needs to adopt modern streams of applied economics to unlock the huge potential it has in many fields, including the tourism and sports sectors
Any future investment– financial or technocratic– into raising the level of tourism attraction, therefore, requires understanding the theoretical and practical aspects of the underlying economics of this sector. It is important to comprehend the variables and their dynamics, development of which allow creating strong a) institutional incentive and governance structures, b) organisational hierarchy, and c) market fundamentals in the tourism sector. Hence, indigenous research needs to be established in this sector to not only assist in achieving the above, but also help in creating effective public-private partnerships, along with better channelising foreign assistance provided by development partners.
Overall, tourism economics will help bring to local knowledge, international best practices in a clear methodological framework, so that comparative models of tourism being adopted regionally and globally– in terms of both demand and supply-side factors– could be better understood and indigenised.
Not just the developed world, a number of developing countries, have since many years now introduced the subject of ‘Tourism Economics’ as part of other applied courses in university faculties of economics. Donor funding has been engaged at many places to create capacity-building programmes independently, and within the overall umbrella of universities. In addition, public-private initiatives have included setting up student and teacher/researcher exchange programmes, at both the certificate and more advanced degree programmes.
For instance, while undertaking my doctoral studies at the University of Barcelona (Spain), I found that the university was in collaboration with some other countries, in terms of their universities, and public and private sectors, to conduct different degree and certificate programmes on a yearly basis in the field of tourism economics. Not only masters degrees in this field were provided, skills’ training was also made available in the tourism and hospitality industries. An elaborate internship programme was also made part of the studies, so that students/researchers and people working in the public and private sectors attending the courses gained practical experience; and in the case of exchange programmes international experience.
Unfortunately, to my knowledge, no such tourism economics programme exists in Pakistan. Overall, the education of economics in Pakistan needs to expand in a modern direction, where in addition to traditional subjects being taught in the field of economics, more subjects of applied and heterodox nature are focused on. A better tourism industry requires an improved supply of practitioners, and it will not be possible if formal programmes of tourism economics are not made available on the lines indicated above. Both the departments of education and higher education have a huge responsibility in this regard.
Pakistan has a huge potential for the development of tourism, to exploit which the country needs to actively work towards adopting the field of tourism economics, and forge regional and international partnerships in this regard. In fact, the provinces of the country also need to learn from each other in terms of tourism resources and the thought process regarding its optimal exploitation. Hence, there should be provincial exchange programmes for students and researchers, along with public and private practitioners.
Moreover, through collaborations with other fields like history, politics, environment, archaeology, architecture, fine arts and even literature, tourism economics could establish programmes that create holistic policy input for the public sector to evolve tourism hotspots; including developing religious tourism sites in a more methodical way.
Imagine the employment creation potential here, including the attraction and attention it will create among students and others into pursuing such collaborative, multi-dimensional affairs. This holds opportunities for international collaborations on both the theoretical and practical sides, including establishing tourism-specific research journals, and in cultivating interest of international agencies at the back of finding more authentic and systematic knowledge that in turn brings greater funding from national and international organisations, and placing new places on the international list of important archaeological sites. All of this will also help produce greater investment and business partnerships in the tourism industry, at both the national and international levels, and in an environmentally responsible way.
Similarly, in a country blessed with many seasons and varied geographical terrain, and which has a huge youth bulge, there should also be the introduction of the field of ‘Sports Economics’ into mainstream economics programmes at universities in Pakistan. Sports significantly helps builds countries into not only healthy, active and proud nations, it also generates a lot of revenue. Sports is a huge industry and above all a science. Unfortunately, in Pakistan this field is being run in an ad-hoc manner, having no formal linkages with the field of sports economics; especially with indigenous research, since this does not exist in the absence of this field being introduced in academia.
Sports economics is a specialised applied field of economics, which helps policy through informed research on institutional development of various sports, and the incentive and infrastructure structures required for the development of sports. It also helps devise a good marketing strategy, and in creating effective brands and funding for sports.
Here, international best practices are available to learn how to make a sport into a viable entity that not only creates funds to support current and retired players, but also how to attract finances and greater viewership.
There also exists agglomeration economies here, which not only help reduce costs by collaboration of various sub-industries involved in the sports sector, but also support in harnessing talent and developing certified support staff locally. By streamlining the field of sports economics, the agglomeration economies receive a sound research-based framework for these to properly come into play for the sports industry.
Hence, Pakistan needs to adopt modern streams of applied economics to unlock the huge potential it has in many fields, including the tourism and sports sectors.
