Chapter 4: The Demands And Supplies For Tourism In Malaysia

FACTORS INFLUENCING DEMAND

Economy

   In an effort to diversify the economy and make Malaysia’s economy less dependent on exported goods, the government has pushed to increase tourism in Malaysia. As a result tourism has become Malaysia’s third largest source of income from foreign exchange, although it is threatened by the negative effects of the growing industrial economy, with large amounts of air and water pollution along with deforestation affecting tourism.

  The majority of Malaysia's tourists come from its bordering country, Singapore. In 1999, Malaysia launched a worldwide marketing campaign called “Malaysia, Truly Asia” which was largely successful in bringing in over 7.4 million tourists.In recent years tourism has been threatened by the negative effects of the growing industrial economy, with large amounts of air and water pollution along with deforestation affecting tourism.

Demographic Change

   Improvements in health and the related rise in life expectancy are among the most remarkable demographic changes of the past century. For the world as a whole, life expectancy more than doubled from around 30 years in 1900 to 65 years by 2000 (and is projected to rise to 81 by the end of this century; Lee 2003). 

   Most of the historical rise reflects declines in infant and child mortality due to public health interventions related to water and sanitation, and to medical interventions such as vaccine coverage and the use of antibiotics. By contrast, the life expectancy gains observed over the past few decades (especially in
high-income countries) and projected into the future are predominantly associated with reductions in 
age-specific death rates at the middle and older ages. These reductions are typically associated with improvements in medical technology, life-style changes, and income growth.

Good's Own Price

   The basic demand relationship is between potential prices of a good and the quantities that would be purchased at those prices. Generally the relationship is negative meaning that an increase in price will induce a decrease in the quantity demanded. This negative relationship is embodied in the downward slope of the consumer demand curve. The assumption of a negative relationship is reasonable and intuitive. If the price of a new novel is high, a person might decide to borrow the book from the public library rather than buy it.

Price Of Related Goods

   The principal related goods are complements and substitutes. A complement is a good that is used with the primary good. Examples include hotdogs and mustard, beer and pretzels, automobiles and gasoline.(Perfect complements behave as a single good.) If the price of the complement goes up the quantity demanded of the other good goes down. Mathematically, the variable representing the price of the complementary good would have a negative coefficient in the demand function. 
   
    For example, Q_d = a - P - P_g where Q is the quantity of automobiles demanded, P is the price of automobiles and P_g is the price of gasoline. The other main category of related goods are substitutes. Substitutes are goods that can be used in place of the primary good. The mathematical relationship between the price of the substitute and the demand for the good in question is positive. If the price of the substitute goes down the demand for the good in question goes down.

Personal Dispocable Income

In most cases, the more disposable income (income after tax and receipt of benefits) a person has the more likely that person is to buy.

Tastes or Preferences 

The greater the desire to own a good the more likely one is to buy the good There is a basic distinction between desire and demand. Desire is a measure of the willingness to buy a good based on its intrinsic qualities. Demand is the willingness and ability to put one's desires into effect. It is assumed that tastes and preferences are relatively constant.

Consumer expectations about future prices and income

If a consumer believes that the price of the good will be higher in the future he is more likely to purchase the good now. If the consumer expects that his income will be higher in the future the consumer may buy the good now.

Population

If the population grows this means that demand will also increase.

Nature Of The Good

:If the good is a basic commodity, it will lead to a higher demand.

MAJOR TOURIST DESTINATION

1) Cameron Highland

The Cameron Highlands is one of Malaysia’s most extensive hill stations, first developed by the British in the 1920s. It has a population of more than 34,000 people consisting of Malays, Chinese, Indians and other ethnic groups. The Cameron Highlands is renowned for its trails. They lead visitors through the forest to waterfalls and other tranquil spots. Apart from its jungle walks, the sanctuary is also known for its tea plantations and visitors can book several “tea factory” tours.

2) Georgetown Inner City

Named after Britain’s King George III, Georgetown is located on the north-east corner of Penang Island. Most of George Town’s population is of Chinese origin. Due to strict controls, George Town retains many of its colonial-era shophouses to this day. It is officially recognized as having a unique architectural and cultural townscape without parallel anywhere in Southeast Asia. The town truly springs to life in the evenings, when most of the locals head to the nearby street hawkers to have their meals and drinks.


3) Taman Negara

Taman Negara, which literally means “national park” in Malay, is one of the oldest tropical rain forest in the world. It features massive trees, waterfalls, jungle treks of various duration and the world’s longest canopy walkways. Several trails enable the visitor to explore the forest without a guide. Taman Negara is a haven for endangered species such as the Asian elephant, tigers, leopards and rhinos, but numbers are low and sightings are very rare. It’s unlikely that you will see anything more than birds, small deer, lizards, snakes 
and perhaps a tapir.

4) Pulau Tioman

Tioman is a small island located off the east coast of peninsular Malaysia. In the 1970s, Time Magazine selected Tioman as one of the world’s most beautiful islands. Tourists have surged to the island ever since, seeking a taste of paradises. The island is surrounded by numerous white coral reefs, making it a haven for scuba divers while the interior is densely forested. Visitors outnumber villagers outside the monsoon (November to February), but Tioman can be virtually deserted at other times.


5) Mount Kinabalu

With a summit height at 4,095 meters (13,435 ft), Mount Kinabalu is the highest mountain in Borneo. The mountain is known worldwide for its tremendous botanical and biological species biodiversity. Over 600 species of ferns, 326 species of birds, and 100 mammalian species have been identified at Mount Kinabalu and its surrounding. The main peak of the mountain can be climbed easily by a person with a good physical condition, and requires no mountaineering equipment although climbers must be accompanied by guides at
all times.

6) Perhentian Islands

Located off the coast of northeastern Malaysia not far from the Thai border. The Perhentian Islands are the must-go place in Malaysia for budget travelers. They have some of the world’s most beautiful beaches and great diving with plenty of cheap accommodation. The two main islands are Perhentian Besar (“Big Perhentian”) and Perhentian Kecil (“Small Perhentian”). Both the islands have palm-fringed white sandy beaches and turquoise blue sea.

Chapter 5: Information Of Malaysia

JUDICIARY SYSTEM

The Judiciary of Malaysia is largely centralized despite Malaysia's federal constitution, heavily influenced by the British Common Law and to a lesser extent Islamic law, and is mostly independent from political interference.

There are generally two types of trials, criminal and civil. The hierarchy of courts begins from the Magistrates' Court, Sessions Court, High Court, Court of Appeal, and finally, the Federal Court.^[1]The jurisdiction of the courts in civil or criminal matters are contained in the Subordinate Courts Act 1948 and the Courts of Judicature Act 1964. Article 121 of the Constitution provides for two High Courts of coordinate jurisdiction, the High Court in Malaya, and the High Court in Sabah and Sarawak. Thus this creates two separate local jurisdiction of the courts – for Peninsular Malaysia and for East Malaysia The highest position in the judiciary of Malaysia is the Chief Justice of the Federal Court of Malaysia (also known as the Chief Justice of Malaysia), followed by the President of the Court of Appeal, the Chief Judge of Malaya, and the Chief Judge of Sabah and Sarawak. The superior courts are the High Court, Court of Appeal, and the Federal Court, while the Magistrates' Courts and the Sessions Courts are classified as subordinate courts.

The current President of the Federal Court is Justice Dato' Abdul Hamid Mohamad, the President of the Court of Appeal is Tan Sri Dato' Zaki bin Tun Azmi, and the Chief Judge of Malaya is Justice Dato' Alauddin Mohamad Sheriff. The current Chief Judge of Sabah and Sarawak is Justice Tan Sri Richard Malanjum (appointed 2006). Bypassing many other senior judges, Tan Sri Dato' Zaki was the first lawyer appointed directly to the Federal Court. After some 2 months as a sitting judge, Tan Sri Dato' Zaki was subsequently appointed as the President of the Court of Appeal.

Federal Court

The Federal Court is the highest court in Malaysia. The Federal Court may hear appeals of civil decisions of the Court of Appeal where the Federal Court grants leave to do so. The Federal Court also hears criminal appeals from the Court of Appeal, but only in respect of matters heard by the High Court in its original jurisdiction (where the case has not been appealed from the Subordinate Courts).

Court of Appeal

The Court of Appeal generally hears all civil appeals against decisions of the High Courts except where against judgment or orders made by consent. In cases where the claim is less than RM2500,000, the judgment or order relates to costs only, and the appeal is against a decision of a judge in chambers on an interpleader summons on undisputed facts, the leave of the Court of Appeal must first be obtained.The Court of Appeal also hears appeals of criminal decisions of the High Court. It is the court of final jurisdiction for cases which began in any subordinate courts.

High Courts

The two High Courts in Malaysia have general supervisory and revisionary jurisdiction over all the Subordinate Courts, and jurisdiction to hear appeals from the Subordinate Courts in civil and criminal matters.

The High Courts have unlimited civil jurisdiction, and generally hear actions where the claim exceeds RM1,000,000, other than actions involving motor vehicle accidents, landlord and tenant disputes and distress. The High Courts hear all matters relating to:

• the validity or dissolution of marriage (divorce) and matrimonial causes, 
• bankruptcy and matters relating to the winding-up of companies,
• guardianship or custody of children,
• grants of probate, wills and letters of administration of estates,
• injunctions specific performance or rescissions of contracts,
• legitimacy of persons.

The High Courts have unlimited jurisdiction in all criminal matters other than matters involving Islamic law. The High Courts have original jurisdiction in criminal cases punishable by death

Cases are heard by a single judge in the High Court, or by a judicial commissioner While High Court judges enjoy security of tenure, judicial commissioners are appointed for a term of two years, and do not enjoy similar protection under the Constitution.

An application for a judicial review is applied in this court.

Subordinate courts

The Magistrates' Courts and Sessions Courts in Malaysia have jurisdiction in both criminal and civil matters.

Sessions Courts

Somewhat like the former Quarter Sessions in England, but does not exceed RM1,000,000 as per ss 65(1)(b), 73(b), 93(1) of the Subordinate Courts Act 1948 (SCA). The exception however is in matters relating to motor vehicle accidents, landlord and tenant and distress, where the Sessions Courts have unlimited jurisdiction pursuant to s 65(1)(a)SCA. Also, by virtue of s 65(3) SCA, the parties to a legal action may enter into an agreement in writing to grant jurisdiction to the Sessions Court to try an action beyond its prescribed monetary jurisdiction aforesaid.

Magistrates Courts

Magistrates are divided into First Class and Second Class Magistrates, the former being legally qualified and having greater powers. Second Class Magistrates are now not normally appointed.

In criminal matters, First Class Magistrates' Courts generally have power to try all offences of which the maximum term of imprisonment does not exceed 10 years or which are punishable with fine only, but may pass sentences of not more than five years imprisonment, a fine of up to RM10,000, and/or up to twelve strokes of the cane under section 87 (1) Subordinate Court Act 1948. The Magistrates Courts hear all civil matters with less than RM25,000 in dispute. The Magistrates' Courts also hear appeals from the Penghulu's Courts.

Penghulu Courts

The court of a penghulu, or Malay village head, has the power to hear civil matters of which the claim does not exceed RM50, where the parties are of an Asian race and speak and understand the Malay language.

The Penghulu Court's criminal jurisdiction is limited to offences of a minor nature charged against a person of Asian race which is specially enumerated in his warrant, which can be punished with a fine not exceeding RM50.

In Sabah and Sarawak, there are no Penghulus' Courts, but there are instead Native Courts having jurisdiction on matters of native law and custom.

The Court for Children, previously known as the Juvenile Court hears cases involving minors except cases carrying the death penalty, which are heard in High Courts instead. Cases for children are governed by the Child Act 2011. A child is defined as any person below the age of 18.

The Special Court was established in 1993 to hear cases of offences or wrongdoings made by a Ruler. A Ruler includes the Yang di-Pertuan Agong (King), the sultans of monarchical states in Malaysia, the Yang di-Pertua Negeri and the Yang di-Pertuan Besar, the head of states of Malaysia and its component states. Prior to this, a Ruler was immune from any proceedings brought against them in their personal capacity.

Syariah Courts

There is a parallel system of state Syariah Courts which has limited jurisdiction over matters of state Islamic syariah law. The Syariah Courts have jurisdiction only over matters involving Muslims, and can generally only pass sentences of not more than three years imprisonment, a fine of up to RM5,000, and/or up to six strokes of the cane.

Chapter 6: Tourist Attraction In Terengganu

ATTRACTIONS IN TERENGGANU

Terengganu is one of the Malaysian states which is endowed with a wealth of charming and refreshing natural landscapes. Terengganu has beaches, exotic islands, lush virgin tropical jungle, quaint fishing villages, dazzling waterfalls and many, many more ! Miles and miles of white sandy beaches and crystal clear water stretches throughout its 244km coastline, extending from Besut in the north to Kemaman in the south. Terengganu islands are among the most picturesque and fascinating in the country.

1) Crystal Mosque

-The Crystal Mosque or Masjid Kristal is a mosque in Kuala Terengganu, Terengganu, Malaysia. 

 A grand structure made of steel, glass and crystal. The mosque is located at Islamic Heritage Park 
 on  the island of Wan Man. 

-The mosque was constructed between 2006 and 2008. 

-It was officially opened on 8 February 2008 by 13th Yang 

 di-Pertuan Agong, Sultan Mizan Zainal Abidin of Terengganu.  

-This is one of the most beautiful mosques in the world. 

-Masjid Kristal is a good tourism and attractive site. 

-This handsome structure is symbol of Malaysian Heritage.

2) Central Market

-Pasar Payang or the Central Market is no less than an interesting place to visit. 

-This double storey market houses all kind of goods that you can find, ranging from poultry to sea 
  products.

-The lower level of this double storey building is a wet market. 

3) China Town

-China Town is actually a row of prewar old building at Jalan Kg Cina. 

-These buildings are believed to be the residence for the Chinese from China mainland who 
  arrived in Peninsular Malaysia in the 19th century.

-These century old building are now sundry shops, local coffee shops, offices for several 
  tour operators, batik and souvenir shops, restaurants etc.

-There is also a Chinese Temple painted in red colour standing at the corner. The local believe 
 that ‘Goddess’ of the temple has given them very accurate guidance and ‘protection’ during the 
 hard time, therefore there is always worshipers redeem their vow to the God.

4) Pulau Duyung

-Pulau Duyung  or the Mermaid Island is a venue for The Moonson Cup 

  (Swedish Match Tour). 

-Both road and sea transport is available.

-Pulau Duyung is famous among the local and foreign with its traditional boat making industry. 

NATURE PARKS

1) Kenyir Lake

-Taman Negara Kenyir. Taman Negara rainforest is the world oldest jungle believed to be 
 130 million  years old.

-It spans over 260,000 hectares (or some 369 sq km), fed by 30 rivers with 25 waterfalls and 
 at least  25 known species of fish swimming in this man-made lake. 

-The 340 islands in the lake were once hilltops and highlands before the area was inundated 
  by water.  Kenyir Lake on the map is just like a drop of water that splits into irregular drainage 

  shape on the ground, but turns into a big piece of jade or green stone with smooth surface 
  when it comes closer to you.

2) Sekayu Waterfall

-The Sekayu Waterfall is located within the Sekayu Recreational Forest in Kuala Berang. 

  It was established in 1974 and officially launched in 1985.

-Seven cascades here with water-cut pools which become the natural swimming pools make it a 
  famous retreat for visitors.

3) Cemerung Waterfall & National Park

-Cemerong Waterfall or some call Lata Cemeruh is located in the inner land of Dungun, 

  or about 30 minutes drive from Kg. Pasir Raja, another good point for trekking activities.

-Reaching 300m height, it is the tallest waterfall in Terengganu state.

-The small but tidy park furnished with hut and picnic places and ample parking space at the 
  entrance can tell.

CULTURES IN TERENGGANU

CUISINE

 NASI DAGANG

Literally the ‘trader’s rice’ which is said is the rice that was eaten by trader on their business journey. Nasi dagang is, perhaps the most representing food for Terengganu. The dish is mixes of rice and glutinous rich with coconut milk added once it is cooked. The rice is eaten with tuna curry and light vegetable pickles

KEROPOK LEKOR 

There are three types of keropok, mainly keropok lekor (resembling sausage, boiled chewy ones), keropok goreng (also resembling sausage but fried chewy ones) and keropok keping (sliced, sun-dried and fried).
All districts produce their own keropok but the famous ones are none better than those found in Kampong Losong in Kuala Terengganu. ‘Keropok lekor’ are actually made from processed fish meat mixed with salt and sagoo flour.

TRADITIONAL DANCE 

TARIAN GAMELAN

It was introduced to Terengganu state when Tengku Meriam daughter of Sultan Ahmad married with the prince of Sultan Zainal Abidin II in Terengganu. Eight ladies in colourful silk costume will be accompanied 

by musical instrument such as serunai, gambang, saron, bonang and many more.

TARIAN ULIT MAYANG

Is another worshiping dance in Malay dance. The dancing always begin with a person who suffering from illnes when doing daily activities. The patient will healed by bomoh. Seven actors beautifully dressed reresent 7 princess  who came to visit the patient. With the gentle and graceful movement, it has become one of the beautiful traditional dance in Terengganu culture.

TRADITIONAL GAMES 

KITES

Over the years, kite festivals have encouraged creativity in kite-making, thus resulting in kites that are designed in the shape of a fish, cat, caterpillar, and bird but the famous huge moon-kite (wau bulan)
remains as popular as it was years ago.

GASING

Each gasing or top weighs approximately 5kg and the wooden tops are as big as the size of a dinner plate. It calls for strength, coordination, and skill. The gasing, if expertly hurled, can spin for as long as 2 hours. Top spinning competitions are an annual feature in the east coast of Peninsular Malaysia especially Kelantan and Terengganu.

HANDICRAFTS

BATIK

This coloured and patterned cloth is now becoming popular in Malaysia and the best Malaysian batiks come from the east coast of Peninsular Malaysia. There are two types of batik, the hand drawn and the stamped. Recently there are also machine printed batik which design is clearer and colour on one side only

SONGKET WEAVING

Songket or cloth of gold is originally from a mix of cotton and silk that was inter-woven with supplementary gold or silver thread. It is said to have evolved when the Malay sultanates began trading with China and India where the silk, gold and silver came from. Today the imitation thread is generally used to replace the gold and silver which is much expensive. Because of its unique material and weaving method, Songket was once exclusive to royalty, but today it is used during formal occasion, such as weddings.

FLORA AND FAUNA IN TERENGGANU

FLORA 

Because most of the forest in Terengganu are part of Titiwangsa Mountain Range which means some of the jungle are above 600m of its altitude. And so, like any of the tropical rainforest, the main types of forest are the lowland rainforest which stratifies into three main layers with the top one rising to 45m of heights. There are thousands and thousands of trees - big trees, small trees, dead trees, cut-up trees and climbing these trees are the vines and lianas. Underneath, on the ground surface is a layer of leaf-litter, fully decomposed
or in various stages of decomposition.

< Allamanda is the state flower for Terengganu.

Hibiscus is among one of the >

flora that exists in Malaysia and is the national flower of Malaysia.

FAUNA 

There are myriad of creatures - great and small that depend on the jungle for their habitat and survival.
The vertebrates such as elephants, tapirs, tigers, deer, seladangs, snakes, iguanas, pangolins that roam the ground. While monkeys, squirrels, bats, birds are arboreal in habitat. Others such as frogs, tortoises, crocodiles, fishes live partially or fully in water. Beside this, there are the various kinds of insects, beetles, leeches, worms, and microorganisms that are found in the soil or above ground surface.

< Tapir is one of the example fauna in Terengganu.

Seladangs also is one of  >

animals life that have in Terengganu.

PORMINENT LANDMARKS

Batu Bersurat Roundabout

Batu Bersurat Roundabout  - The discovery of the Inscribed Stone in Kuala Berang, Hulu Terengganu 

is significant for Terengganu which proven the earliest acceptance of Islam by a state ruler in the 

Malay Peninsular.

There is Memorial Batu Bersurat built in Kampung Buluh in Kuala Berang to commemorate the discovery 

of the stone. The Batu Bersurat monument located at Kampung Ladang roundabout is beautifully
landscaped.


The Floating Mosque of The East 

The Floating Mosque of The East - Masjid Tengku Tengah Zaharah (Tengku Tengah Zaharah Mosque) which is situated about 4Km from Kuala Terengganu Centre, is built on a floating platform and is also known as the "The Floating Mosque of the East" due to its unique design that creates an illusion of itself as floating on water.

HISTORICAL SITES IN TERENGGANU 

Terengganu State Museum Complex

The impressive Terengganu State Museum Complex in Jalan Losong consists of four main blocks, an adjacent Maritime Museum and five traditional houses. Set amidst beautifully landscaped gardens, a small waterfall and ponds with koi fish, this is the largest museum complex in Southeast Asia. It offers a glimpse into the rich history of the state religion, royalty, culture and economy.

Bukit Puteri

The artifacts on Bukit Puteri date back to 1831 when the ruling Sultan made it a fortress to ward off invading enemies. The large bell there was originally used to warn off impending attacks and later, it was used to signal the breaking of fast during the Muslim holy month of Ramadan.

RESORTS AVAILABLE IN TERENGGANU

BEACH RESORT 


Tanjong Jara Resort

Located on Malaysia’s East Coast, Tanjong Jara Resort is a 15-minute drive from Desa Golf Club, Dungun. The Kuala Terengganu Airport is an hour’s drive away. Massages and body treatments are offered at 

the Spa Village. Guests can enjoy a game of tennis or have a quiet read in Tanjong Jara Resort’s library.

SPA RESORT

Ri-Yaz Heritage Marina Resort & Spa

Guests can enjoy a variety of body and facial treatments at Sembunyi Spa or enjoy a game of volleyball. 
The resort provides a river cruise ride around the island at a charge. Ri-Yaz Heritage Marina Resort & Spa 

is a 10-minute drive from Kuala Terengganu Town.

NATURE RESORT

Lake Kenyir Resort, Taman Negara

Lake Kenyir Resort, Taman Negara is situated on the edge of one of the world’s oldest tropical

rainforests in Terengganu, Malaysia. It offers a swimming pool and several outdoor activities. Lake Kenyir 

Resort is around 50 minutes’ drive from Kuala Terengganu Airport. 

GOLF RESORT 

Resorts World Kijal

Stretched along 7.6 km of private beach, Resorts World Kijal is located in East Terengganu. It boasts a beautiful 18-hole golf course and world-class Javanese Spa. It also has a large outdoor pool.

Resorts World is a 30-minute drive from Cherating, East Coast. Driving from Kuala Lumpur to the hotel will take 3 hours. For guests who drive, parking is provided for free.

Chapter 3: The Significance Of Tourism Malaysia

DISCUSS THE POSITIVE AND NEGATIVE IMPACT OF TOURISM MALAYSIA ECONOMIC 

DEVELOPMENT

POSITIVE

Foreign exchange earnings

This all figure it means that the tourism is very important for economic, it helps the global 
economic gain strength in financial crisis and makes it more stable. International tourism

can become a major foreign exchange earner for many low income countries like Cambodia,

Indonesia, India and Africa. Many countries are trying to develop tourism sector and 
increase the number of incoming visitors because international tourism brings a lot of 

foreign exchange to the host country.

Job opportunities

In Malaysia, tourism was important to economic, it creates around 1,331,000 jobs in 2010, 
and it helps Malaysia’s job opportunities increasing and the tourism investment brings 

around RM 19.9 billion revenue in 2010 , its should reach RM 49.8 billion in 2020. The 

economic impacts of tourism usually focus on the related tourism sectors that change in 

sales, income and employment.

Increase in government revenues

Expenditure of improving access and facilities for tourist arrivals, upgrade and maintaining
the public and on some marketing campaigns in major source markets and tourist 

infrastructure such as roads, sewage, public transport, electricity and communications.  

NEGATIVE

There are many hidden costs to tourism, which can have unfavorable economic effects on the
host community. Often rich countries are better able to profit from tourism than poor ones. Whereas the least developed countries have the most urgent need for income, employment 

and general rise of the standard of living by means of tourism, they are least able to realize 
these benefits. Among the reasons for this are large-scale transfer of tourism revenues
out of the host country and exclusion of local businesses and products.

Leakage

The direct income for an area is the amount of tourist expenditure that remains locally 

after taxes, profits, and wages are paid outside the area and after imports are purchased; 
these subtracted amounts are called leakage. In most all-inclusive package tours, about 
80% of travelers' expenditures go to the airlines, hotels and other international companies
(who often have their headquarters in the travelers' home countries), and not to local 

businesses or workers. In addition, significant amounts of income actually retained at 

destination level can leave again through leakage.

Infrastructure cost 

Tourism development can cost the local government and local taxpayers a great deal of 

money. Developers may want the government to improve the airport, roads and other 

infrastructure, and possibly to provide tax breaks and other financial advantages, which 

are costly activities for the government. Public resources spent on subsidized infrastructure 

or tax breaks may reduce government investment in other critical areas such as education 
and health.

Economic dependence of the local community on tourism

Diversification in an economy is a sign of health, however if a country or region becomes 
dependent for its economic survival upon one industry, it can put major stress upon this 
industry as well as the people involved to perform well. Many countries, especially 
developing countries with little ability to explore other resources, have embraced tourism as a way to boost the economy.

Seasonal character of jobs 

The seasonal character of the tourism industry creates economic problems for destinations 
that are heavily dependent on it. Problems that seasonal workers face include job 

(and therefore income) insecurity, usually with no guarantee of employment from one 

season to the next, difficulties in getting training, employment-related medical benefits, 
and recognition of their experience, and unsatisfactory housing and working conditions. 

http://ecc.pima.edu/~tourism/Negative%20Impact%20of%20Tourism.htm

NUMBER OF VISITS AND TOURISM RECEIPT IN MALAYSIA

According to 2005 data from World Tourism Organization (WTO), Malaysia places 14th in 

the ranking of counties either by international tourism arrivals. International tourism 
arrivals in Malaysia increased from 7.9 million in 1999 to 23.6 million in 2009, representing 
an average annual growth about 15.7 million and the growth of tourist receipts has been 

even more spectacular, rising from RM 12.3 billion in 1999 to RM 53.4 billion in 2009 with 
an annual growth about RM 41.1 billion (Malaysia Tourism Statistics, 2010).

In 2010, Malaysia’s tourism is expected to generate RM 98 billion of economic activity. The
industry’s direct and indirect effect of travel and tourism in Malaysia in 2010 was expected 

to account for 37 billion of GDP (equivalent to 5.1% of total GDP) and 597,000 jobs 

(5.3% of total employment). However, since the tourism touches all the sectors of 

the economy, it bring a real impact is even greater. The travel and tourism sector generated 

RM 98 billion in economy GDP (equivalent to 13.4 of total GDP), export revenue, services 
and merchandise representing RM 89 billion (equivalent to 12.7% of total exports), economy 

employment representing 1,331,000 jobs (11.9% of total employment) and it making 

tourism in Malaysia is the second largest contributor of foreign exchange earnings to the

country after the manufacturing sector. 

http://www.ukessays.com/essays/economics/positive-and-negative-impacts-to-tourism-in-malaysia-economics-essay.php

WORKFORCE DISTRIBUTION IN TOURISM INDUSTRY

One thing is certain about the tourism industry: it is fast, growing and infinite in 

opportunities, variety and possibilities. A unique and individual employment path exists for 

anybody considering a tourism career. For those who are drawn to people, places and 

opportunities, the tourism sector provides everything you've ever desired in a profession.

Whether you prefer to work indoors or in the wilderness, for a large resort or your own small business, you will find accomplishment in your efforts, contributions and enthusiasm to 

exceeding each and every guest experience Five unique industry groups comprise the 

tourism sector as a whole, with job skills and experiences that are transferable between each.How you carve out your career path is limited only by where you apply your interests and 

how far you want to grow professionally.

  

CONTRIBUTION OF ACCOMMODATION SECTOR IN MALAYSIA

A country that managed to manipulate the panorama of the beautiful surroundings , the 

remains of history , unique culture , economic development , education and treatment , and 

organizing international events will attract a high rate of tourist arrivals from around the 

world are . The tourism sector not only emerged as a major contributor to the national 

income , but also generates a large multiplier effect in the economy . Employment and 

research in the field of tourism can also be expanded more aggressively. With the 

convenience of online services , cost effectiveness in terms of tourism marketing can be 

optimized .

Traditionally, the tour focused on the natural beauty of God's creation that persona. Local 

and foreign tourists enjoy the peaceful views of the soul, to be displaced from the course of 

therapy and life is so odd . Malaysia is rich with the greatest tourist destinations such as 

Langkawi , Penang , Terengganu coast , Belum Forest and National Park in Pahang , Sabah 

and Sarawak . Lush tropical forest, the wind whistling breeze are on the beach and 

adventure in places like resorts make Malaysia an earthly paradise beckon tourists .

Adventure and leisure tourism concept as mentioned has led to the development of the 

service sector , as well as small and medium enterprises . Registered travel agencies , 

accommodation providers , transport operators , meals , souvenirs , handicrafts and 

independent tour guides did not win a hand in serving the needs of travelers. Licensing 

applied to tourism industry players aim to enhance professionalism and quality of service 

offered. More colleges and universities offering tourism courses to doctorate level for players

to complete the tourism industry more competitive and respected. Services will be 

conducted on a regular basis to give an image boost the country's tourism sector .

Malaysia also has a history of nation building is very unique . Cultural and ethnic diversity 

either West or East Malaysia land became very valuable capital to that sector. Malacca is just an example of quiet and sleepy town at one time . Conservation of historic buildings such as 

the A Farmosa , a row of red paint remnants Netherlands premises and location 

independence declaration in Bandar Hilir and many more have been put Malacca on the 

world tourism map , even more so with the status of a world heritage site by Unesco 

awarded . Historical monuments together with the information provided to make Malaysia 

more than worth a visit.

In Sabah and Sarawak , the arts and fabric manipulation Kadazan and Iban has been 

promoted as effective . Home life and home long stakes ( water areas ) are also being 

contemplated as a very special travel experience . Fresh air and comfortable without 

pollution into a symbol of the value-added of a calm and sober life . International tourists ,

especially from developed countries consider our country as a cheap holiday destination 

as an attractive foreign exchange rates . The tourism sector can contribute to the size of the 

larger foreign reserves .

Foreign investors , consultants and employees of multinational companies who deal in this 

country will be drawn to the country's rapid economic progress . Klang Valley has long been a focus because there is the headquarters of the international financial institutions and 

high-tech companies . Similarly, the development of offshore financial center of Labuan and 

Iskandar Malaysia in Johor . With the promotion and offer attractive tour packages , foreign ekspetariat would bring family members to travel to Nagara , other stories and word of 

mouth virtual network like facebook and twitter about wonderful experience to visit 

Malaysia .

Malaysia also has developed tertiary sector and private specialty hospitals . Aggressive 

overseas promotion has made as a tourist destination for the purpose of education and health. International student exchange program will have a positive impact in the long run to the 

tourism sector . The arrival of the patient and the family to seek treatment with a 

competitive cost contributed to the demands of local goods and services by foreigners . The 

opening of the Johns Hopkins medical campus recently showed the world 's leading 

universities beliefs about the prospects of the treatment field in Malaysia . Thus , foreign 

students and tourists arrivals expected to increase drastically health .

World -class sporting events and international conferences also put Malaysia on the map of 

sports tourism and forums. F1 motor racing event , the Monsoon Cup golf tournament and 

the Malaysian Open tennis , and Le Tour de Langkawi, for example, were supporters entice 

international sports stars to Malaysia . Sports travel expenses to purchase tickets , food , 

lodging and souvenirs, as well as advertising and broadcast rights to generate revenue worth billion dollars . Once a sports tourists captivated by the beauty of nature and courtesy of the Malaysian society , they'll come again . Similarly, the construction of the convention center as the Kuala Lumpur Convention Centre ( KLCC ) , Putrajaya International Convention Centre ( PICC ) and conference hall has five-star hotels like boost tourist arrivals join high level talks as well as international corporate events . Opportunity to promote the country's 

tourism destinations for all participants and their supporters will contribute to the

 proliferation of the tourism sector in the long term .

In conclusion, the perspective of the tourism sector in Malaysia has reached out segment 

attraction natural beauty . Different segments of the tourism attraction strategy 

advantageous to Malaysia to offer tourism products more competitive. The contribution of 

tourism to national income will continue to rise. Economic status , political , social and good 

security guarantee that the country will be the preferred choice of foreign tourists . Coming 

of nearly 30 million foreign tourists each year proves that Malaysia has a very brilliant 

future in tourism

ECONOMIC MULTIPLYING EFFECTS OF TOURISM

Tourism has a variety of economic impacts. Tourists contribute to sales, profits, jobs, tax

revenues, and income in an area. The most direct effects occur within the primary tourism 

sectors such as lodging, restaurants, transportation, amusements, and retail  trade . Throughsecondary effects, tourism affects most sectors of the economy. An economic impact analysis of tourism activity normally focuses on changes in sales, income, and employment in a region resulting from tourism activity. A simple tourism impact scenario illustrates. Let’s say 

region attracts an additional 100 tourists, each spending RM100 per day. That’s RM10,000 

in new spending per day in the area. If sustained over a 100 day season, the region would 

accumulate a million dollars in new sales. The million dollars in spending would be distributedto lodging, restaurant, amusement and retail trade sectors in proportion to how the visitor 

spends the RM100. Perhaps 30% of the million dollars would leak out of the region 

immediately to cover the costs of goods purchased by tourists that are not made in the local area (only the retail margins for such items should normally be included as direct sales 

effects). 

The remaining RM700,000 in direct sales might yield RM350,000 in income within tourism industries and support 20 direct tourism jobs. Tourism industries are labor and income 

intensive, translating a high proportion of sales into income and corresponding jobs.The 

tourism industry, in turn, buys goods and services from other businesses in the area, and 

pays out most of the RM350,000 in income as wages and salaries to its employees. This 

creates secondary economic effects in the region. The study might use a sales multiplier of 

2.0 to indicate that each dollar of direct sales generates another dollar in secondary sales in this region. Through multiplier effects, the RM700,000 in direct sales produces RM1.4 millionin total sales. These secondary sales create additional income and employment, resulting in a total impact on the region of RM1.4 million in sales, RM650,000 in income and 35 jobs. Whilehypothetical, the numbers used here are fairly typical of what one might find in a tourism 

economic impact study. A more complete study might identify which sectors receive the 

direct and secondary effects and possibly identify differences in spending and impacts of 

distinct subgroups of tourists (market segments). One can also estimate the tax effects of 

this spending by applying local tax rates to the appropriate changes in sales or income. 

Instead of focusing on visitor spending, one could also estimate impacts of construction or government activity associated with tourism. There are several other categories of economic 

impacts that are not typically covered in economic impact assessments, at least not directly. 

For example:

· Changes in prices -- tourism can sometimes inflate the cost of housing and retail prices in the area, frequently 

   on a seasonal basis.

· Changes in the quality and quantity of goods and services –                                                         -  tourism may lead to a wider array of goods and services available in an area

    (of either higher or lower quality than without tourism).

· Changes in property and other taxes –

- taxes to cover the cost of local services may be higher or lower in the presence of tourism 

  activity. In some cases, taxes collected directly or indirectly from tourists may yield 

  reduced local taxes for schools, roads, etc. In other cases, locals may be taxed more heavily 

  to cover the added infrastructure and service costs. The impacts of tourism on local 

  government costs and revenues are addressed more fully in a fiscal impact analysis.

· Economic dimensions of “social” and “environmental” impacts -

- there are also economic consequences of most social and environmental impacts that 

  are not usually addressed in an economic impact analysis. These can be positive or 

  negative. For example, traffic congestion will increase costs of moving around for both 

  households and businesses. Improved amenities that attract tourists may also 

  encourage retirees or other kinds of businesses to locate in the area.

ENTREPRENEURIAL OPPORTUNITIES IN TOURISM INDUSTRY

Entrepreneurship defined

It is the innovatory process involved in the creation of an economic enterprise based on a 

new product or service which differs significantly from products or services in the way its 

production is organized, or in its marketing.

What is an Entrepreneur?

One who creates a new business

Ø in the face of risk & uncertainty 

Ø for the purpose of achieving profit & growth 

Ø by identifying opportunities and assembling the necessary resources to capitalize on 

       them.  

Varieties of Entrepreneurs

¢ Founder (“Pure” Entrepreneur)

§  A person who brings a new firm into existence.

¢  Administrative Entrepreneur

§ An entrepreneur who oversees the operations of an ongoing business

¢  Franchisee

§ An entrepreneur whose power is limited by the contractual relationship with
      a franchising organization.

¢  Entrepreneurial Team

§ Two or more people who work together as entrepreneurs.

Other Industry Segments

Lodging Operations

§ All Suit Hotels

§ Casino Hotels

§ Conference Centers

§ Full Service Hotels

§ Limited Service Hotels

§ Resorts

§ Retirement Communities

Food Service Operations

§ Commercial Cafeterias

§ Education Food Service

§ Employee Food Service

§ Full - Service Restaurants

§ Health Care Institutions

§ Lodging Food Services

§ Quick Service Restaurants

§ Recreational Food Services

§ Social Caterers

Other Operations

Ø Airlines

Ø Campgrounds

Ø City Clubs

Ø Country Clubs

Ø Cruise ships

Ø National Parks

Ø Event Management Organizations

Travel Related Businesses and Entrepereneurship Opportunities

§ Marketing Representative/Agent

§ Travel Agent

§ Recreation Specialist

§ Incentive Travel Specialist

§ Policy Analyst

§ E-tourism Expert/Specialist 

§ Destination Development Specialist

§ Tourism Investment Projects Consultant

§ Tour Wholesaler

§ Tour Broker

§ Travel Counselor

§ Meeting/Conference Planner

§ Advertising Agency

§ Entertainer/Animator

§ Health Specialist (Health SPA etc.)

§ Small Business Owner (Guest House, Hotel, Restaurant, Souvenir shop etc.)

Doing Business in Tourism Industry

v Tourism and travel Industry has the reputation of being a relatively clean and 

        pleasant industry in which to invest

v Requires relatively low start up capital

v Setting up in the industry is often seen  as simple and requiring few skills other than 

        the off-claimed ability to get along with people

v It is therefore attractive to those leaving from other jobs and investments or do not 

        enjoy them, to buy into a bar, guest house or travel business for example.

v Provides opportunities for those who would like to use individual skills in a beautiful 

        environment. i.e., a chef may happily work in pleasant resort and a tour guide/travel

        agent use his/her talents in the related field

v Provides new business opportunities, such as event management.

MAJOR TOURIST-GENERATING AREAS IN MALAYSIA

Island

1. Pulau Tioman, Pahang.

                               

                               

·Tioman Island (locally known as Gunung Daik Bercabang Tiga) is a small island located 

32 km off the east coast of Peninsular Malaysia in the state of Pahang, and is some 39 km

long and 12 km wide.

· It has eight main villages, the largest and most populous being Kampung Tekek in the 

north. The densely forested island is sparsely inhabited, and is surrounded by numerous

coral reefs, making it a popular scuba diving spot. 

· There are also a lot of resorts and chalets around the island which has duty free status.

2. Pulau Perhentian, Terengganu

· The Perhentian Islands are two islands named Pulau Perhentian Kecil 

(Small Perhentian Island) and Pulau Perhentian Besar (Large Perhentian Island). 

· The Malay name Perhentian is translated as “place to stop” and this is exactly what 

these two islands were for traders travelling between Malaysia and Bangkok in years 

gone by.

· These islands are still a gorgeous place to stop and rest today, albeit for tourists 

disconnecting from the stress and routine of everyday life and not for weary seafaring 

traders.

3. Pulau Sipadan, Sabah

· Sipadan is the only oceanic island in Malaysia, rising 600 metres (2,000 ft) from the 

seabed. It is located in the Celebes Sea off the east coast of Sabah, East Malaysia 

(which is on the island of Borneo). 

· It was formed by living corals growing on top of an extinct volcanic cone that took 

thousands of years to develop. Sipadan is located at the heart of the 

Indo-Pacific basin , the centre of one of the richest marine habitats in the world. More 

than 3,000 species of fish and hundreds of coral species have been classified in this 

ecosystem. 

· Sipadan has been rated by many dive journals as one of the top destinations for diving 

in the world.

Highland

1. Genting Highland, Pahang

· The hill resort is at an average elevation of 1740 meters above sea level (5708 feet) 

within the Titiwangsa Mountains on the border between the states of Pahang and 

Selangor of Malaysia. 

· Resorts World Genting is operated by Genting Malaysia Berhad (formerly known as 

Resorts World Bhd), which also operates Awana chain of resorts & hotels.

·  It is accessible by car from Kuala Lumpur in one hour, or also accessible by a cable car 

called Genting Skyway (3.38 kilometres (2.10 mi) which at its opening used to be the 

world's fastest and South East Asia's longest gondola lift.

2. Cameron Highland, Pahang

· The Cameron Highlands is one of Malaysia’s most extensive hill station. The size 

of Singapore, it occupies an area of 712 square kilometres (275 sq mi) in the Titiwangsa 

Mountains.

· To the north, its boundary touches that of Kelantan to the west, it shares part of its 

border with Perak.

· Situated at the northwestern tip of Pahang, the “Camerons” is approximately 90 

kilometres (56 mi) from Ipoh or about 200 kilometres (120 mi) from Kuala Lumpur. 

It is the smallest constituency in Pahang.

3. Bukit Tinggi, Pahang

· Bukit tinggi (Indonesian for "high hill") is one of the larger cities in West Sumatra, 

Indiana, with a population of over 91,000 people and an area of 25.24 km². 

· It is in the Minangkabau Highlands, 90 km by road from the West Sumatran capital 

city of Padang. The whole area is directly adjacent to the city of Agam Regency. 

· It is located at 0'18'20"S 100'22'9"E, near the volcanoes Mount Singgalang (inactive) and Mount Marapi (still active). At 930 m above sea level, the city has a cool climate with temperatures between 16.1° to 24.9°C.

Historical

1. Perigi Hang Tuah, Melaka

· The story of the ultimate Malacca warrior, Hang Tuah, is the stuff of legends. 

Faithfully serving Sultan Mansur back in the 15th century, 

· This infamous historical figure had an exemplary record of achievements, which 

include successfully warding off advances from Siam and Acheh, and a winning 

duel with Taming Sari, a warrior from the court of Majapahit.

2. Makam Mahsuri, Langkawi

· Mahsuri was the daughter of a Malay couple who moved from their native

 Phuket to the island of Langkawi in search of a better life. 

· As was required of him, her husband had to go to war, leaving Mahsuri behind 

to fend for herself. It was during this time that Mahsuri befriended a young man 

named Deraman. 

· The village chief's wife was jealous of Mahsuri's beauty. She spread a rumour 

that Mahsuri was unfaithful and was having an affair with Deraman in the 

absence of Wan Darus.

·  Eventually the rumours grew strong enough that the villagers openly accused 

her of adultery. Mahsuri pleaded her innocence, but no one believed her.

3. Bandar Hilir, Melaka

· In 1511, a Portuguese fleet arrived under the command of Afonso de Albuquerque. His 

forces attacked and defeated the armies of the Malacca Sultanate. 

· Moving quickly to consolidate his gains, Albuquerque had the fortress built around a 

natural hill near the sea. Albuquerque believed that Malacca would become an important 

port linking Portugal to the Spice Route in China. 

· At this time other Portuguese were establishing outposts in such places as Macau, China 

and Goa, India in order to create a string of friendly ports for ships heading to China and 

returning home to Portugal.