Insight Report The Travel & Tourism Competitiveness …

1 Insight Report The Travel & Tourism Competitiveness Report 2019. Travel and Tourism at a Tipping Point Insight Report The Travel & Tourism Competitiveness Report 2019. Travel and Tourism at a Tipping Point The Travel & Tourism Competitiveness Report 2019 is TERMS OF USE AND DISCLAIMER. published by the World Economic Forum's platform The analysis presented in the Travel & Tourism Competitiveness for Shaping the Future of Mobility. Report 2019 (herein: Report ) is based on a methodology integrating the latest statistics from international organizations Professor Klaus Schwab and a survey of executives. Founder and Executive Chairman The findings, interpretations and conclusions expressed in this Anil Menon work do not necessarily reflect the views of the World Economic Managing Director, Head of Centre for Global Industries, Forum. The Report presents information and data that were Member of the Managing Board compiled and/or collected by the World Economic Forum (all Christoph Wolff information and data referred herein as Data ).

2 Data in this Head of Mobility Report is subject to change without notice. Member of the Executive Committee The terms country and nation as used in this Report do not in all cases refer to a territorial entity that is a state as understood AUTHORS. by international law and practice. The terms cover well-defined, Lauren Uppink Calderwood geographically self-contained economic areas that may not be Head of Aviation, Travel and Tourism Industries, states but for which statistical data are maintained on a separate Global Leadership Fellow and independent basis. Maksim Soshkin Although the World Economic Forum takes every reasonable Research and Analysis Specialist, Aerospace, step to ensure that the Data thus compiled and/or collected is Aviation, Travel and Tourism accurately reflected in this Report , the World Economic Forum, its agents, officers, and employees: (i) provide the Data as is, Copyediting: Mike Fisher as available and without warranty of any kind, either express or Design and layout: Neil Weinberg implied, including, without limitation, warranties of merchantability, fitness for a particular purpose and non-infringement; (ii) make A special thanks goes to the Global no representations, express or implied, as to the accuracy Competitiveness and Risks team.

3 Of the Data contained in this Report or its suitability for any particular purpose; (iii) accept no liability for any use of the said Data or reliance placed on it, in particular, for any interpretation, decisions, or actions based on the Data in this Report . Other parties may have ownership interests in some of the Data contained in this Report . The World Economic Forum in no way represents or warrants that it owns or controls all rights in all Data, and the World Economic Forum will not be liable to users for any claims brought against users by third parties in connection with their use of any Data. The World Economic Forum, its agents, officers, and employees do not endorse or in any respect warrant any third-party products or services by virtue of any Data, material, or content referred to or included in this Report . Users shall not infringe upon the integrity of the Data and in particular shall refrain from any act of alteration of the Data that intentionally affects its nature or accuracy.

4 If the Data is materially transformed by the user, this must be stated explicitly along with the required source citation. For Data compiled by parties other than the World Economic Forum, as specified in Appendix C of this Report , users must refer to these parties' terms of use, in particular concerning the attribution, distribution, and reproduction of the Data. When Data for which the World Economic Forum is the source (herein World Economic Forum ), as specified in Appendix C. of this Report , is distributed or reproduced, it must appear accurately and be attributed to the World Economic Forum. This source attribution requirement is attached to any use of Data, World Economic Forum whether obtained directly from the World Economic Forum or Geneva from a user. Copyright 2019. by the World Economic Forum Users who make World Economic Forum Data available to other users through any type of distribution or download environment All rights reserved. No part of this publication may be agree to make reasonable efforts to communicate and promote reproduced, stored in a retrieval system, or transmitted, compliance by their end users with these terms.

5 In any form or by any means, electronic, mechanical, Users who intend to sell World Economic Forum Data as part photocopying, or otherwise without the prior permission of a database or as a standalone product must first obtain the of the World Economic Forum. permission from the World Economic Forum ISBN-13: 978-2-940631-01-8. Contents Preface v by Anil Menon and Christoph Wolff Executive Summary vii About the Travel & Tourism Competitiveness Report 2019 ix At a Glance: Travel & Tourism Competitiveness Index 2019 Overall Rankings xiii Part 1: The Travel & Tourism Competitiveness Index 2019 1. Travel & Tourism at a Tipping Point 3. 2019 Results and Analysis 6. Part 2: Regional Analysis 11. How to Read the Regional Profiles 13. ISO-2 Code Lookup Tables 16. Regional Profiles 18. Part 3: Country/Economy Profiles 57. How to Read the Country/Economy Profiles 59. Index of Country/Economy Profiles 61. Country/Economy Profiles 63. Appendix A: Travel & Tourism Competitiveness Index 2019 Rankings 65.

6 Appendix B: Methodology of the TTCI 2019 85. Appendix C: Data Definitions and Sources 91. Appendix D: Income Group and Regional Classifications 101. Contributors and Acknowledgements About the Authors 103. Data Partners 105. Partner Institutes 107. Explore additional features of the Report at iii Preface ANIL MENON. Managing Director, Head of Centre for Global Industries, World Economic Forum CHRISTOPH WOLFF. Head of Mobility, Member of the Executive Committee, World Economic Forum In 2018, according to the World Tourism Organization, The Travel & Tourism Competitiveness Report is a flagship the number of international tourist arrivals worldwide product of the platform for Shaping the Future of Mobility, reached billion, two years before it was predicted to which brings together world leaders to ensure Travel and do so. That year also marked the seventh year in a row transportation systems meet 21st century demands. The where the growth in Tourism exports (+4%) exceeded the rapid proliferation of new modes of mobility and disruptive growth in merchandise exports (+3%).

7 Given this rapid business models provides us with the opportunity to pace of growth, the prediction that international arrivals reinvent mobility systems by using policy and technological will reach billion by 2030 may be conservative. innovations to address societal, economic and environmental risks. This Report provides a valuable tool for policy-makers, This presents enormous potential for the sector and companies and complementary sectors to understand economies globally as Travel is further democratized. and anticipate emerging trends and risks in global Travel Emerging economies are contributing larger proportions and Tourism , adapt their policies and practices, and of travellers to this global trend and are becoming accelerate new models that ensure the longevity of this increasingly desirable as destinations as they show important sector. This combination allows stakeholders greater Competitiveness in Travel and Tourism . to combine Insight and action into accelerating change, and we invite leaders to engage with our platform .

8 It is also since the previous publication of our biennial Travel & Tourism Competitiveness Report in April 2017, that Lastly, this Report relies on the dedicated collaboration the term overtourism has become common currency. of a network of distinguished thinkers who provide their Used to depict the negative impact Tourism can have on knowledge and insights towards its production. We are a destination, its residents and visitors alike, and often the grateful to our community of Data Partners: the International result of congestion and overcrowding from poor Tourism Air Transport Association (IATA), the International Union management, overtourism can be considered the outcome for Conservation of Nature (IUCN), the World Tourism of destinations exceeding their Tourism carrying capacity. Organization (UNWTO), the World Travel & Tourism Council Tourism carrying capacity is defined by the World Tourism (WTTC), Bloom Consulting and STR for helping us to Organisation (UNWTO) as the maximum number of design and develop the TTCI, and for providing much of the people that may visit a tourist destination at the same time, industry-relevant data used in its calculation.

9 We thank our without causing destruction of the physical, economic, Industry Partners namely Airport Authority Hong Kong, and sociocultural environment and an unacceptable Al Nippon Airways, , Corporaci n Am rica, decrease in the quality of visitors' satisfaction. , Deutsche Lufthansa, Emirates Airline, Expedia Group, Heathrow Airport, Iberostar Group, Intercontinental It is within this context of enormous growth potential, Hotel Group, Jumeirah Group, Marriott International, and increasing pressure on Tourism infrastructure Royal Schiphol Group, SAP, SpiceJet, Swiss International and services, that Travel & Tourism Competitiveness Air Lines and VISA for their continuous Insight and can be seen simultaneously as a powerful economic perspectives on industry transformations and challenges. growth driver, or a risk to ongoing development of the industry if not managed correctly. We also wish to thank the authors of the Report , Lauren Uppink Calderwood and Maksim Soshkin, for their Growth in T&T Competitiveness has traditionally offered leadership, energy and commitment demonstrated in tremendous returns, from increases to GDP and labour the delivery of this Report .

10 Additionally, appreciation absorption, to local economic development for more goes to the Global Competitiveness and Risks team and remote communities. However, Competitiveness for platform for Shaping the Future of Mobility colleagues Competitiveness sake may become a burgeoning constraint for their guidance and expertise. Finally, we thank the on the sector as a whole. For this reason, the theme of 160 Partner Institutes worldwide, which help administer this year's edition of the Travel & Tourism Competitiveness the Executive Opinion Survey, the results of which Report 2019 is Travel and Tourism at a Tipping Point . provide invaluable data for the index and this Report . Explore additional features of the Report at v Executive Summary The 2019 edition of the Travel & Tourism Competitiveness Report features the latest iteration of the Travel & Tourism Results Overview Competitiveness Index (TTCI). Published biennially, As has been an ongoing trend over the last four years, the TTCI benchmarks the T&T Competitiveness of 140.