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In 2013, 98 million Chinese tourists visited other countries - Edexcel - GCSE Business - Question 6 - 2017 - Paper 1
Question 6
In 2013, 98 million Chinese tourists visited other countries. By 2020 this figure is predicted to rise to 200 million. The growth in the number of Chinese tourists i... show full transcript
Worked Solution & Example Answer:In 2013, 98 million Chinese tourists visited other countries - Edexcel - GCSE Business - Question 6 - 2017 - Paper 1
Step 1
What is meant by the term investment?
Answer
Investment refers to the allocation of resources, usually in the form of capital goods, aimed at generating future benefits. It can involve spending on physical assets like machinery or buildings that enhance production capacity. Additionally, investment may also encompass areas that enhance human capital, such as training and education. Overall, it entails spending money to support growth and success in a business or economy.
Step 2
Outline one benefit to the UK economy of the expected increase in investment in the tourist industry.
Answer
One significant benefit of increased investment in the UK tourist industry is the creation of jobs. As investment flows into infrastructure, such as hotels and restaurants, new employment opportunities emerge. For example, the demand for services will rise as more Chinese tourists visit, consequently leading to lower unemployment rates in the sector.
Step 3
Explain one method that could be used to regulate the UK tourist industry.
Answer
One method to regulate the UK tourist industry is through the introduction of government regulations aimed at ensuring fair practices. For instance, regulatory bodies could enforce laws requiring hotels to meet specific standards of service and safety. This approach not only protects consumers but also maintains the reputation of the UK as a tourist destination. For instance, a new law could prohibit hotels from refusing guests based on certain criteria, leading to more travelers feeling secure while visiting the UK.