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i

Tourism Potential as a tool for Local Economic Development in Mnquma Local Municipality

By

Mzuyanda Mlondleni Student Number: 212235788

A dissertation submitted in partial fulfillment of the requirements for the degree of Master of Development Studies

Faculty of Economic and Business Sciences

Promoter/Supervisor: Mr. S. Msomi Course Coordinator: Dr Janet Cherry

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iii

ACKNOWEDGEMENTS

Genuine appreciation and gratitude are expressed to all who have assisted me in the completion of this study. A number of persons played an important role in this research project, namely:

 Mr. S. Msomi for his supervisory support in this study.  Dr Janet Cherry for her support and guidance in this study.

 My wife Oyintanda Mlondleni who stood by me throughout the study and often sacrificed quality time with me to enable me to work on my research. My pride in you is as strong as your pride in me.

 My classmate, Zimkhitha Mahlungulu for support and for giving me courage and lifting up my spirit when I needed something to cheer me up.

 Mr. Sicelo Mnike, who never got tired of providing advice whenever requested.

 The accommodation establishment owners and management who took time to participate in this study, I thank you all.

 All authors and other referencing material that has been used during this study.  Finally, I would like to thank my colleagues for their support, encouragement and

providing me with a form of escape when things got tough. I also thank my extended family for believing in me and without which I would have never have discovered my potential as a person.

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iv ABSTRACT

This research study aims to investigate what is there on offer for tourists in Mnquma Local Municipality, such as products (arts and craft, accommodation establishments and places of interests), their readiness for tourist consumption (state, accessibility), tourism routes and the understanding of communities on tourism and what can be derived from it to improve their livelihoods. This in turn will establish whether the tourism sector can be used as a tool for local economic development in the municipality. In the end, this study will make recommendations on what needs to be done in the municipality for the tourism sector to be more effective for the local communities and the municipality. The researcher has conducted a qualitative research study through the use of structured questionnaires as the data collection tool, in order to obtain information from specific population members of the concerned local municipality on tourism and LED issues. The study has been conducted from twenty three accommodation establishments in Mnquma Local Municipality. During the data collection period, the researcher discovered that these accommodation establishments are facing a number of challenges ranging from poor accessibility and signage for which the study is expected to address these in the recommendations. The study will include a purposive sample of tourism businesses in the hospitality sector in Mnquma Local Municipality. From the purposive sample, the researcher opted for total population sampling which is a type of purposive sampling technique where the researcher chooses to examine the entire population. At the end, researcher recommends that the municipality needs to address the infrastructural challenges such as roads (for accessibility to tourist sites), electricity and health centers to be able to support tourism economic activities. It also needs to ensure on the continuous hosting of events to address the seasonal nature of tourism and to market the municipality as an event destination. The researcher also recommended the establishment of partnerships with sector departments and parastatals such as SEDA, DTI, ECPTA, TEP etc. Lastly, being such a rural municipality with a rich history, culture and heritage, it is recommended that the municipality must prioritise tourism as a tool for Local Economic Development to better the lives of its population and to improve its economy.

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v DEDICATION

I dedicate this work to the Almighty God who strengthened and gave me direction when I felt like giving up; if it wasn’t for His grace I would not have done it.

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vi TABLE OF CONTENTS Title page i Declaration ii Acknowledgement iii Abstract iv Dedication v Table of contents vi List of figures ix List of tables xi Abbreviations xiii CHAPTER ONE 1 1.1 Introduction 1

1.2 Description of the study area 2

1.3 Socio-economic analysis of the study area 2

1.3.1 Amathole District Municipality 2

1.3.2 Mnquma Local Municipality 3

1.3.2.1 Population size and distribution 3

1.3.2.2 Age distribution 5

1.3.2.3 Annual monthly household income profile 5

1.3.2.4 Unemployment levels 6

1.3.2.5 Education levels 7

1.4 Elucidation of terms 8

1.5 Problem statement 9

1.6 Aims and objectives of the study 9

1.6.1 Aims of the study 9

1.6.2 Objectives of the study 9

1.7 Significance of the study 10

1.7.1 Significant to Mnquma Local Municipality communities 10

1.7.2 Significant to women 10

1.7.3 Significant to youth 10

1.7.4 Significant to tourists 11

1.7.5 Significant to Mnquma Local Municipality 11

1.8 Delimitations of the study 11

1.9 Research methodology 11

1.10 Data analysis 13

1.10.1 Constant comparison analysis 13

1.10.2 Triangulation 13

1.11 Outline of the study 13

CHAPTER TWO 15

2.1 Introduction 15

2.2 Why tourism? 16

2.3 Tourism benefits 17

2.4 Difficulties brought by tourism 17

2.5 Principle role of a local authority in tourism 17

2.6 Supporting tourism through Local Economic Development 18

2.7 Tourism as an economic development tool 18

2.8 Situational analysis of tourism in Mnquma Local Municipality 19

2.9 Tourism events 25

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vii

2.11 Conclusion 27

CHAPTER THREE 28

3.1 Introduction 28

3.2 Research methodology 28

3.3 Population of the study 28

3.4 Sample 29

3.5 Research tools to be used and their advantages 30

3.5.1 Advantages of the chosen tool 30

3.6 Data analysis 31

3.6.1 Constant comparison analysis 31

3.6.2 Triangulation 31

CHAPTER FOUR 32

4.1 Introduction 32

4.2 Presentation and discussion of results 32

CHAPTER FIVE 51

5.1 Introduction 51

5.2 Recap on the research focus 51

5.3 Discussions 51

5.3.1 To understand the perceptions of tourism to communities on tourism opportunities

51 5.3.2 To unearth the tourism potential of Mnquma Local Municipality 52 5.3.3 To identify the community’s level of interest and capacity to engage in

small-scale tourism development

53 5.3.4 To determine the status quo of tourism opportunities within Mnquma Local

Municipality and the surrounding areas

54

5.4 Recommendations arising from this study 54

5.5 Conclusion 55

References 56

Appendix A: Signed form E 61

Appendix B: Signed Permission to Submit form from supervisor 63

Appendix C: Questionnaire 64

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viii

LIST OF FIGURES

Number Description Page

1 Population 3

2 Population distribution by gender 4

3 Population pyramid 4

4 Age distribution 5

5 Migration trends between provinces 5

6 Household income distribution 6

7 Employment status 7

8 Educational levels 8

9 Map of heritage sites in Mnquma Local Municipality 21 10 Heritage routes in Mnquma Local Municipality and surrounding District

Municipalities

22

11 Gender 32

12 Racial status 33

13 Level of education 33

14 Health centres in my area are in a good state to cater for tourists needs 35

15 Developing a blueprint working plan 40

16 Building from existing potential tourism product strengths 40 17 Building and investing in support infrastructure such as roads and

communication

41

18 Encouraging nature conversation 41

19 Strengthen safety and security 42

20 Improving transport modes 42

21 Creating a private sector business environment, which is conductive to tourism

43 22 Is the municipality doing enough to support and promote tourism? 45 23 In your opinion, do you view the municipality as ready to cater for

tourists?

45 24 The municipality in my area conducts tourism awareness campaigns to

educate communities about the benefits derived from tourism

46 25 Emerging business tour operators in my area have sufficient financial

support from government agencies

46 26 Community members are aware of existing tourism opportunities in our

area as government awareness initiatives continuously inform them

47 27 Community members are aware of existing tourism opportunities in our

area as government awareness initiatives continuously inform them

49 28 The Municipality must use tourism as a key sector to improve the lives of

its people

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ix

LIST OF TABLES

Number Description Page

1 Gender for Mnquma Local Municipality 4

2 Age distribution 5

3 Employment status 7

4 Educational levels 7

5 Methodology, research design and research methods 12 6 Mnquma Local Municipality Tourism SWOT Analysis 26 7 Roads in my area are in good state to support tourism economic

activities

34 8 The quality of electricity supply in my area is not in a good state to

support tourism economic activities such as qualitative foods

34 9 There are enough tourist information centres in my area to inform

visiting tourists about the area and for them to travel more within the area

35

10 Emergency services such as ambulances that have professional first aid workers operate effectively in my area

36 11 Disaster management facilities such as the fire fighter station do exist in

my area to deal with fire problems, for example, burning of a building or forest fires

36

12 Small shopping center facilities are available in my area to allow tourists to spend 37 13 Skills 37 14 Access to finance 37 15 Government Bureaucracy 38 16 Environmental factors 38 17 Economic climate 38 18 Technology 39 19 Globalization 39 20 Crime 43 21 Poor accessibility 44

22 Insufficient funds for tourism initiatives 44

23 Red tape 44

24 Lack of tourism awareness by communities 44

25 Our community takes its own business tourism initiatives in order to keep tourism industry strong and thriving

47 26 Our community benefits from existing tourism business activities in our

area

48 27 Our community understands the tourism potential to grow our area 48 28 King Hintsa Public FET College campus that exist close to my area

play a critical role to assist with the growing tourism industry

49 29 Walter Sisulu University campus that exist close to my area play a

critical role to assist with the growing tourism industry

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x

ABBREVIATIONS

A/A Administrative Area ABP Area Based Planning

ADM Amathole District Municipality

AREDS Amathole Regional Economic Development Strategy B&B Bed and Breakfast

CoGTA Department of Corporate Governance and Traditional Affairs DBSA Development Bank of South Africa

DEDEAT Department of Economic Development Environment Affairs and Tourism DM District Municipality

DRDLA Department of Rural Development and Land Affairs DRDAR Department of Rural Development and Agrarian Reform DSRAC Department of Sport, Recreation, Arts and Culture DTI Department of Trade and Industry

ECDC Eastern Cape Development Corporation EC Eastern Cape

EL East London

ECPTA Eastern Cape Parks and Tourism Agency EPWP Expanded Public Works Programme GDP Gross Domestic Product

GHG Green House Gas GSP Gross State Product

ICT Information Communications Technology ICRT International Centre for Responsible Tourism IDE Income Distribution Effect

IDP Integrated Development Plan

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xi LED Local Economic Development LG Local government

LSDF Local Spatial Development Framework MLM Mnquma Local Municipality

MP Master Plan

NGO’s Non-governmental organisations NDT National Department of Tourism NRTS National Rural Tourism Strategy NTSS National Tourism Sector Strategy

PGDS Provincial Growth and Development Strategy PTO Permission to occupy

PPP Public Private Partnership RSA Republic of South Africa

SAGDP South African Gross Domestic Product SAHRA South African Heritage Resources Agency SEDA Small Enterprise Development Agency SETA Sector Education and Training Authority SMME’s Small Medium and Macro Enterprises SRI Socially Responsible Investment TSA Tourism Satellite Account TRC Traditional Rural Council TIC Tourism Information Centre TIM Tourism Income Multiplier

UNWTO United Nations World Tourism Organisation VIC Visitor Information Centre

WCED World Commission on Environment and Development WFTC Working for the Coast

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xii WSU Walter Sisulu University

US United States

UNWTO United Nations World Tourism Organisation VFR Visiting Friends and Relatives

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CHAPTER ONE

OVERVIEW OF THE STUDY

1.1 Introduction

Tourism is a powerful vehicle for economic growth and job creation all over the world. The tourism sector is directly and indirectly responsible (WTTC 2011) for 8.8 percent of the world’s jobs (258 million); 9.1 percent of the world’s GDP (US$6 trillion); 5.8 percent of the world’s exports (US$1.1 trillion); and 4.5 percent of the world’s investment (US$652 billion). The World Travel & Tourism Council estimates that 3.8 million jobs (including 2.4 million indirect jobs) could be created by the tourism industry in Sub- Saharan Africa (SSA) over the next 10 years. Tourism’s main comparative advantage over other sectors is that visitor expenditures have a “flow-through” or catalytic effect across the economy in terms of production and employment creation. During the construction phase of tourist accommodation and services, tourism creates jobs in that sector. If the country is sufficiently developed, the investment can generate demand locally for furniture and furnishings, and even for capital equipment. Tourism also generates a demand for transport, telecommunications and financial services (World Bank, 2010).

According to the Domestic Tourism 2011 Performance Report released by South African Tourism (SAT), the percentage of the adult population that has taken a domestic trip grew to 44% in 2011. However the number of trips has declined from 29,7 million in 2010 to 26,3 million in 2011. VFR remains the main purpose of taking a domestic trip since 2007. The share of VFR spending has also increased from 51, 4% in 2010 to 53,2% in 2011.

Notably, tourism can provide an economic base for a region whose only development options are its cultural and natural resources, whether coastal, mountain, or wildlife or a combination of these. Managed sustainably, tourism is an effective development tool. (World Bank, AFTFP, 2011).

Tourism development is increasingly viewed as an important tool in promoting economic growth, alleviating poverty, and advancing food security (The Contribution of Tourism to Economic Growth and Food Security, June 2010).

The potential of tourism development as a tool to contribute to economic growth and poverty reduction is derived from several unique characteristics of the tourism system (UNWTO, 2002). First, tourism represents an opportunity for economic diversification, particularly in marginal areas with few other export options.

Therefore, tourism enables communities that are poor in material wealth but rich in history and cultural heritage to leverage their unique assets for economic development (Honey & Gilpin, 2009).

Mnquma Local Municipality is located in the South Eastern part of the Eastern Cape Province. This category B municipality falls under the jurisdiction of the Amathole District Municipality (ADM) and comprises of an amalgamation of the former Butterworth, Ngqamakhwe and Centane Traditional Rural Councils (TRC’s).

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Mnquma Municipality shares borders with three other local municipalities i.e. Mbhashe, Intsika Yethu and Great Kei Municipalities.

This also includes a number of previously administered rural areas. It is approximately 3, 271, 2 square kilometres and consists of 31 wards.

As part of the Eastern Cape, Mnquma is one of the municipalities with the highest levels of poverty, illiteracy and unemployment. An estimated 17% is unemployed, only 24% is employed while 59% of the municipal population is considered economically inactive (Mnquma Municipality Integrated Development Plan (IDP) 2013/14).

The municipality has limited employment opportunities and this has huge implications on the increased need for welfare and indigent support in the municipality

About 40% of the households in the municipality have no income and approximately 27% with income less than R1600 per month. This means that approximately 40% of households in the local community need subsidy arrangements for survival and thus are unable to pay for services (Mnquma Municipality IDP, 2013/14).

The Municipality’s IDP, Master Plan (also known as Vision 2025) and the LED Strategy all talks about the need for the Municipality to prioritize Tourism and Agriculture as the key sectors for Economic Development.

It is envisaged that through this research, perspectives from different people will be explored to reach the objectives of this study.

1.2 Description of the study area

Mnquma Local Municipality is located in the South Eastern part of the Eastern Cape Province. This category B municipality falls under the jurisdiction of the Amathole District Municipality (ADM) and comprises of an amalgamation of the former Butterworth, Ngqamakhwe and Centane TRC’s. Mnquma Municipality shares borders with three other local municipalities i.e. Mbhashe, Intsika Yethu and Great Kei Municipalities. This also includes a number of previously administered rural areas. It is approximately 3, 271, 2 square kilometres and consists of 31 wards.

1.3 Socio-economic analysis of the study area

1.3.1 Amathole District Municipality

The Amathole District Municipality (ADM) is situated within the Eastern Cape Province. The district is bordered by the Cacadu, Chris Hani and O.R Tambo Districts, and completely surrounds the new Buffalo City Metropolitan (BCM). The ADM covers an area of roughly 23,577 km.

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The Amathole district has excellent road transport linkages between the major economic centres of South Africa (Gauteng, Durban and Cape Town), and road and rail links with neighbouring and Gauteng economies. It no longer has access to any large harbour, located now in the new BCM District, and has also lost the two commercially available airports located in East London and Bhisho.

There are a small number of non-commercial airports located in areas such as Adelaide, Cathcart, Dutywa, Komga and Stutterheim, as well as remote tourist destinations.

The Amathole District Municipality is the third largest district in the province by population and has 898 000 people.

The percentage of households that depend on at least one social grant to supplement income within the ADM is 66%. The district is made up of 6 local Municipalities namely: Mbhashe, Mnquma, Great Kei, Nxuba, Amahlathi and Ngqushwa Local Municipality.

1.3.2 Mnquma Local Municiplality

1.3.2.1 Population Size and Distribution

Mnquma Local Municipality has a total population of approximately 252 390 people, of which 250 833 are black Africans. 487 is comprised of coloured people, 324 are Indians or Asians, 517 white people and 229 is comprised of other races. There is a significant population decrease when comparing 2001 and 2011 censuses as the population was approximately 286 307 according to the 2001 census results.

This decrease has been caused by various reasons which among others include outward migration to bigger cities in the Western Cape and Gauteng Provinces and to East London and Port Elizabeth within the Eastern Cape. According the census 2011, Mnquma Local Municipality’s total number of households is 69 732, there is an increase of just over 3000 households compared to 2001 census which was 66285.

Figure 1: Population: 2001 and 2011 censuses

220000 240000 260000 280000 300000 2001 Census 2011 Census

Population - 2001 and 2011 censuses

2001 Census 2011 Census

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4 Census 2001 Census 2011 Male 45.4 46.7 Female 54.6 53.3 Total 100.0 100.0

Table 1: Gender for Mnquma Local Municipality: Derived from Community Survey 2007 - Stats SA

Even though there has been a decrease in the percentage of women compared to the previous census, women still dominate the population.

Figure 2: Population Distribution by gender – 2011 Census, Stats SA

The population pyramid below shows that the bulk of the population is comprised of people between the ages 15 -19 followed by the ages between 0 – 14 years. There is a shrink in the pyramid as the ages go up from 20 to 85.

Figure 3: Population Pyramid – Census 2011, Stats SA

5.8 5.5 5.4 6.1 4.3 3.0 2.3 2.5 2.6 2.7 2.9 2.5 2.1 1.6 1.6 1.1 0.7 0.6 5.9 5.6 6.0 6.6 4.2 2.9 2.2 1.9 1.6 1.6 1.8 1.6 1.5 1.1 1.0 0.5 0.4 0.2 -8.0 -6.0 -4.0 -2.0 0.0 2.0 4.0 6.0 8.0 0 - 4 10 - 14 20 - 24 30 - 34 40 - 44 50 - 54 60 - 64 70 - 74 80 - 84 Male

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5 1.3.2.2 Age Distribution

A study of the age distribution revealed that the bulk of the population, approximately 47%, is children (0-19 years). About 9% falls within the pension group (over 65years), whilst 44.1% is economically active (20-64 year). This indicates that there is a high dependency ratio, as 46% of the population depends only on 44 % workforce in the municipality (See Table 3 and Figure 4). There is therefore a desperate need for the municipality to develop youth development programmes.

Age Group Community Survey

2007 Census 2011 0 – 19 51% 39% 20 – 29 14% 20% 30 – 49 17% 25% 50 – 64 10% 10% 65 - 120 8% 5%

Table 2: Age Distribution

Figure 4: Age Distribution: Stats SA 2011 Census

The graph below depicts inward and outward population migration from the Eastern Cape Province to other provinces in the country. Mnquma Municipality is not mune to the migration trends which have affected the whole province.

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6 1.3.2.3 Annual Monthly Household Income Profile

Figure 6 below demonstrates destitute households with high levels of unemployment and a community in dire need of various source of income. About 15 %of the households in the municipality have no income and approximately 4% with income less than R1600 per month. This means that approximately 15% of households in the local community need subsidy arrangements for survival and thus are unable to pay for services. This therefore has huge implications on the municipality’s financial status in that they cannot rely on residential cross subsidisation for revenue.

Figure 6: Household income distribution: Stats SA Census 2011

When comparing the 2001 and 2011 census results, there is significant improvement on the percentage of households with no income as it has gone down from 40% to 15%, while the number of households who depend on social grants has dropped from 27% to 4%.

1.3.2.4 Unemployment Levels

As part of the Eastern Cape, Mnquma is one of the municipalities with the highest levels of poverty, illiteracy and unemployment. Approximately 13.3% of the population is unemployed, only 16.7% is employed while 70% of the municipal population is considered economically inactive (See Figure 7).

The municipality has limited employment opportunities and this has huge implications on the increased need for welfare and indigent support in the municipality. The municipality therefore needs to put priority into service provision, skills, social development and economic development programmes. No Income R 1 - R 4800 R 4801 - R9600 R 9601 - R19 600 R 19 601 - R38 200 R 38 201 - R76 400 R 76 401 - R153 800 R 153 801 -R 307 600 R 307 601 -R 614 400 R 1 228 800R 614 001 -R 1 228 801 - R 2 457 600 R 2 457 601 or more No of households 9518 5012 7797 19141 16409 5208 3364 2274 773 103 52 80 % of households 15 4 7 17 19 13 9 7 5 2 1 0 0 5000 10000 15000 20000 25000

Household income distribution

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7 Figure 7: Employment status

Table 3 below illustrates a significant change in the unemployment status which has decreased by 7% when comparing with 2001 census, while there is only 3% increase in employment. Significantly it should be noted that there is increase in the field of economically inactive people.

EMPLOYMENT STATUS 2001 CENSUS 2011 CENSUS Employed 13% 16.7% Unemployed 21% 13.3%

Not economically active 66% 70% Table 3: Employment status

1.3.2.5 Education Levels

Table 4 below depicts the levels of education in this municipality. 7% of the Mnquma population has no schooling and 31% completed primary while 52% completed grade 12 and just above 9. % of the population got a higher education. This table below shows comparison of 2001 and 2011 statistics and there is a remarkable improvement of the education levels.

EDUCATION LEVELS 2001 CENSUS 2011 CENSUS

No Schooling 27% 7%

Completed Primary 8% 31%

Matric / Grade 12 10% 52%

Higher Education 6% 9%

Table 4: Educational levels 16.7 13.3 70.0 Employed Unemployed Not Economically Active

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Figure 8: Educational levels: Derived from Community Survey 2007 - Stats SA

1.4 Elucidation of terms

Tourism, according to van Harssel (1994: 2), is regarded as the business of attracting visitors and catering towards their needs and expectations. The Department of

Environmental Affairs and Tourism (1996: 4) regards tourism as all travel for whatever purpose that results in one or more nights away from home.

Visiting friends and relatives (VFR): A trip which is undertaken to see, socialize with, or to spend time with relatives and/or friends. The person need not have stayed at the relative’s house. The purpose of visit includes weddings and funerals or other family event (South African Tourism).

Domestic Tourism: The tourism of resident visitors within the economic territory of the country of reference (Stats SA)

GDP: The total value of goods and services produced within the geographic boundaries of a country for a specified period of time (Stats SA)

Heritage refers to something inherited from the past (accessed on 25th March 2014).

Local economic development (LED) offers local government, the private sector, the not-for-profit sectors, and the local community the opportunity to work together to grow the economy in a locality by looking at enhancing competitiveness and sustainable inclusive growth. A key factor behind the growth of LED planning has been that regional planning initiatives often did not work and so local action became the basis of development plans (Nel, 1994, 2000; Nel and Binns, 2003). In writing specifically for the context of the developing world, Helmsing (2001, p.8) defines LED as “a process in which partnerships between local governments, community-based groups and the private sector are established to manage existing resources to create jobs and stimulate the economy of a well-defined area. 7 31 52 9 0 10 20 30 40 50 60 No schooling Gade 0 -Grade 7 / Std 5/ ABET 3 Grade 8 / Std 6 / Form 1 - Grade 12 / Std 10 / Form 5 NTC I / N1/ NIC/ V Level 2 - Higher Degree Masters / PhD No schooling Gade 0 - Grade 7 / Std 5/ ABET 3 Grade 8 / Std 6 / Form 1 -Grade 12 / Std 10 / Form 5 NTC I / N1/ NIC/ V Level 2 -Higher Degree Masters / PhD

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9 1.5 Problem statement

Mnquma Local Municipality is a largely rural Municipality with Butterworth as its economic hub. This is evident as the statistics also show that about 66% of the population is economically inactive. The Municipality’s IDP, LED Strategy and the Master Plan indicate that the Municipality is rich in Tourism (with unspoiled Wild Coast, culture and Heritage) (Mnquma LM IDP 2013/14). The main research problem is to assess the tourism potential of Mnquma Municipality as a tool for Local Economic Development. The assessment in turn will inform and make recommendations on how the Municipality can make sure that it maximizes the benefits derived from tourism by the host communities.

1.6 Aims and objectives of the study 1.6.1 Aims of the study

The aim of the study is to find out as to what is there on offer for tourists i.e. products (arts and craft, accommodation establishments and places of interests), their readiness for tourist consumption (state, accessibility), tourism routes and the understanding of communities on tourism and what can be derived from it to improve their livelihoods. The study will also aim to determine the opportunities which the municipality should capitalize on to develop and grow the tourism industry.

Critical questions that the research should answer  What is the tourism status of MLM?

 What opportunities available for tourism development?

 What progress has been made by the IDP, LED Strategy and Master Plan?

1.6.2 Objectives of the study

The objectives of this study are as follows:

 To understand the perceptions of tourism communities on tourism opportunities  To unearth the tourism potential and tourism opportunities for Mnquma Municipality  To identify the communities level of interest and capacity to engage in small-scale

tourism development.

 To determine the status quo of tourism opportunities within Mnquma Municipality and surrounding areas.

 To present findings that would serve as a framework for tourism planning and development.

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10 1.7 Significance of the study

1.7.1 Significant to Mnquma Communities

Tourism is all about benefiting the local communities as well as the visitors. For the locals to adequately benefit, they should be ready mentally, physically and prepared to embrace the activities of tourism. The benefits will include cultural exchange and of course economically through exchange.

The research will be significant to Mnquma communities as it will result to income generation through tourism activities and products to be produced for tourists and will also educate the communities more about tourism and its benefits.

Through this study, tourism awareness will be created. Mnquma communities will benefit from this study through the provision of tourist supporting facilities and infrastructure should the Municipality consider implementing the recommendations of this study.

1.7.2 Significant to women

In the past, because of gender inequality, the role of women was not recognized and taken into consideration. When tourism can be used as a tool for Local Economic Development, it can therefor open doors for women as they would be in a position of being nominated to be the ‘crafter of the year’. So female-owned businesses can receive massive support even from government which will then help them boost their incomes and businesses.

1.7.3 Significant to youth

Youth unemployment poses a formidable policy challenge for South Africa. The unemployment rate of 25% in the fourth quarter of 2010 (Stats SA, 2011) is among the highest in the world. Significantly, unemployment is concentrated in the 14–35 age cohort, which accounted for 72% of the unemployed in 2010. Consequently, the country’s unemployment crisis is seen as a youth unemployment crisis in particular. South Africa’s growth trajectory in the 16 years since attaining democracy has not absorbed labour at the required scale, and the lack of access to the labour market and wage income has driven up poverty and inequality, despite a significant rollout of social grants and basic services(Towards a youth employment strategy for South Africa, 2011).

With 13.3 of the population in Mnquma Municipality unemployed and 70 % economically inactive, this study will assist the youth into getting involved in tourism activities for beneficiation. Youth can be involved in activities such as crafts, tour guiding, tour operators, and any tourism artifacts and establishing traditional groups.

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11 1.7.4 Significant to tourists

With this study, it is envisaged that tourist facilities will be improved and provided. With the involvement of communities and awesome tourism awareness, tourists will feel safe and guarded by the communities. Furthermore, tourists will have enough to do and see during their visits in the rural areas.

1.7.5 Significant to Mnquma Local Municipality

This study will be an eye opener for the Municipality in being able to see as to what to do good, where in tourism to improve people’s lives. The municipality can use the recommendations of the study as a benchmark in its tourism planning.

1.8 Delimitations of the study

Community’s attitudes, knowledge and perception on tourism as a tool for local economic development and the unwillingness into filling the questionnaires as well as the huge geographical spread of the area are to be the limitations of the study.

1.9 Research methodology

Research design A qualitative research design will be used

since the research seeks to assess the tourism potential as a tool for Local Economic Development in Mnquma Local Municipality. Findings of the research will then serve as a framework for tourism planning and development.

Research Paradigm embedded in the research methodology

An interpretivist paradigm will be used. It will be very important in this research to identify the interpretation of tourism development in the locality since the concept is new to the previously disadvantaged communities. This is due to the fact that externally formed ideas fail than the ones formulated and owned by their end-users.

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Kinds of Data to be collected Data to be collected will be about the people with their cultures and traditions, status quo of tourism development frameworks, policies and the implementation models that are undertaken by the subjects in pursuit for development.

Data Collection instruments/ tools Closed questionnaires with open-ended

questions.

Data Analysis and interpretation

approaches/methods

It will then be interpreted with Thematic Analysis. In achieving the research goals background information about LED will be used as a point of reference. The achievements of the municipality will be measured by current information available on the discourse.

Data Justification as evidence Data will be justified as evidence through the explanation and interpretation of the findings based on the research questions of the problem issue

Evidence validation as

Knowledge/Learning

Audio tapes will serve as evidence through a written report.

Stakeholder checks: by allowing research participants and other people who may have a specific interest in the research to comment on or assess the research findings, interpretation and conclusions.

Ways that knowledge will be

communicated

This knowledge will be communicated through a written research report to be submitted and will also be published in the Municipality’s External Newsletter.

Table 5: Methodology, research design and research methods

At the end of the research recommendations based on the findings will be proposed. Therefore a list of certain actions to be taken will be given based on the ideas of the research subjects and the researcher.

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13 1.10 Data analysis

1.10.1 Constant Comparison Analysis:

Constant comparison analysis likely is the most commonly used type of analysis for qualitative data. Some authors use the term “coding” when referring to this type of analysis (Miles & Huberman, 1994; Ryan & Bernard, 2000). Glaser and Strauss (1967), the fathers of grounded theory, created the method of constant comparison analysis.

1.10.2 Triangulation:

Triangulation refers to the use of more than one approach to the investigation of a research question in order to enhance confidence in the ensuing findings.

In research method, triangulation is a method that aids validation of information or facts by cross verification from more than two sources. In particular, it means the application and blend of various research methodologies in the study of the same phenomenon. This therefore means that a combination of the above tools will be used to analyse the research results.

1.11 Outline of the study

This study was approached in a manner that provided a logical flow of the research process undertaken. The study is presented in five chapters as follows:

 Chapter 1 is the introduction chapter where the whole project background is outlined, the problem statement, objectives of the study and sub-objectives, significance of the study and the research methodology. The limitations of this study are also identified in this chapter.

 Chapter 2 consists of the literature review, where various ideologies on the tourism concepts have been discussed. This chapter also takes a look on the situational analysis of tourism in Mnquma Local Municipality and the tourism SWOT analysis.

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 Tourism as an economic development tool is discussed further as well as the role of the local authority in tourism and the benefits and the difficulties that tourism brings to the host communities.

 Chapter 3 describes the methodology used to conduct the research and outlines the route that was taken in acquiring the required data.

 Chapter 4 consists of the findings of the study. This chapter presents these findings in different themes and covers responses given by coded participants. This chapter addresses the presentation, interpretation and discussion of the results and is approached in two sections; the demographic profile of the respondents and the findings related to the objectives of the study. The findings of this study were discussed with reference to the relevant literature pertaining to the objectives of the study.

 Finally, Chapter 5 consists of the summary of the study background, challenges of the study and some recommendations by the researcher. From the findings, the researcher is able to draw from the respondents that tourism can really be used as a tool for local economic development in Mnquma Local Municipality.

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CHAPTER TWO

LITERATURE REVIEW

2.1 Introduction

This chapter tells us about tourism in generally: what is it? and who is the tourism market in Mnquma?, where are they coming from? This chapter will also tell us on how Mnquma Municipality is marketing its tourism products and tourist destination. This chapter will go deeper on why tourism is important tool for Local Economic Development for the rural areas of Mnquma. Challenges that are faced by the tourism businesses and for tourism development will be looked at and the tourism situational analysis in Mnquma as well as what does the literature say about tourism as a tool for Local Economic Development.

Since the democratic change in 1994, there has been fundamental transformation in the nature and organisation of development planning in South Africa. One of the most noteworthy moves relates to the rise of LED, in re-engineering of local government to put into practice the mandates of a developmental state (Rogerson 2010: 481; Grant & Dollery, 2010). The most important step has been to introducing Integrated Development Planning (IDP) as a compulsory planning activity which requires the participation of communities, local business, and civil society organisations in its development, budgeting and implementation. All South African municipalities are now legally instructed to adopt LED processes in the

Constitution of the Republic of South Africa, 1996; the White Paper on Local Government of 1998; and the Local Government: Municipal Systems Act, 2000 (Act 32 of 2000).

Rogerson (1997: 178) notes that some of the factors that are driving the South African local authorities into the business of LED are directly linked with the global environment. However, former President Thabo Mbeki points out that although South Africa seems to be doing pretty well, we are not achieving as much as we can. In an address to the Commonwealth Club, World Affairs Council and US/SA Business Council Conference held at San Francisco in 2000, he said:

In our own country, we have been assured that our economic fundamentals are correct and sound. We have developed a stable and effective financial fiscal system. We have reduced tariffs to the levels that are comparable to the advanced industrial countries. We have reformed agriculture to make it the least subsidised of all major agricultural trading nations. We have restructured our public sector through privatisation, strategic partners, and regulation. We have an equitable and sophisticated system of labour relations that is continually adjusting to new developments. We play an active role in all multilateral agencies in the world. Yet, the flow of investment into South Africa has not met our expectations, while the levels of poverty and unemployment remain high (Mbeki 2000).

The reason for the selection of Mnquma Municipality is that it has a potential for development and growth in the tourism economic sector. However, it has been struggling to establish tourism as a force in LED. This occurs in spite of the widely accepted reality by national, provincial, and local government, as well as private sector tour operators, that tourism potential in this area can lead to an improvement of economic activism, and ultimately contribute significantly to the country’s Gross Domestic Product (GDP).

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In order to improve the socio-economic conditions of the communities of Mnquma, the municipality must establish LED and tourism structures and policies that are supported not only by the municipalities, but also by local stakeholders such as organised business, civil society movements and the local inhabitants.

The significance of these changes is that citizens and local governments now face formidable challenges, greater opportunity, and growing responsibility to work together to address the economic health of municipalities and the livelihood of their local citizens, many of whom may be under- or unemployed and living in poverty(Williams, 1998; Dann, 2002). Within this context, the advocacy of tourism as a so-called ‘pro-poor’ strategy is an emerging theme in development literature (Ashley and Roe, 2002), as are parallel debates concerning the potential of tourism development in promoting community development and sustainability in a manner that does not lead to drastic environmental and social change (Wahab and Pigram, 1997; Elliot et al. 2001; Sharpley 2002).

Tourism-led development is clearly an emerging theme in the literature on South African Local Economic Development (Rogerson, 1997, 2001), with tourism promotion geared towards community development being perceived as a viable growth option (Goudie et al. 1999; Kirsten and Rogerson, 2002; Mahony and van Zyl, 2002). However, despite the prominence accorded to tourism in South Africa.

2.2 Why tourism?

Mnquma Municipal area is mainly rural, and most hotels and B&B’s are found in the Wild Coast area and in Butterworth, which makes it the most preferred tourism destination. According to Pearce (1989) ‘tourism might be seen as a means of development in a much broader sense, that is, the path to achieve some end state or condition’.

Gartner (1996) concurs with this by stating that ‘tourism development is often viewed as a process of physical change’. Wild (1994:12) argues that sustainable tourism development produces many economic advantages for the host communities, in addition to maintaining environmental diversity and quality, with local economic development as the ultimate objective.

Even more clearly, Rees (1989:13) makes the point that ‘sustainable development is a socio-economic challenge that does not undermine the ecological and social systems upon which communities and society are dependent. He also argues that its successful implementation requires integrated policy planning and social learning processes; its political viability depends on the full support of the people it affects through their governments, social institutions and private activities. A statement by the World Commission on Environment and Development (WCED) (1987:43) in emphasises the inclusiveness of all developments that affect the environment, in particular tourism: ‘Sustainable development is the development that meets the goals of the present without compromising the ability of future generations to meet their own needs’.

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17 2.3 Tourism benefits

 A significant catalyst for economic growth and employment.  Brings expenditure from external sources into the local market.

 Supports and helps to maintain local services, such as shops and pubs.  Helps to diversify over-specialised economies.

 Provides re-skilling, training and employment opportunities at a variety of levels.  Provides supplementary incomes to those seeking second jobs, part-time hours, and

unsocial hours.

 Leads to the creation and maintenance of local amenities.  Supports a programme of events, arts, sports and other culture.  Encourages residents to stay and spend leisure time.

2.4 Difficulties brought by tourism

 A fragmented sector so co-ordination is complex and ongoing.

 Tourism spending is dependent on economic, social and other factors. High levels of sterling can reduce the numbers of and spending power of foreign visitors and encourages Britons to travel overseas.

 Requires all weather facilities and activities.  Is very competitive and increasingly sophisticated.

 Demand can be seasonal and variable over a weekly cycle, which impacts particularly on employment.

 Places strain on transport infrastructure, particularly roads.

 Can be an unattractive sector for people entering the labour market.

2.5 Principle role of a local authority in tourism

Competing budgetary pressures are placing considerable strain on the ability of local authorities to participate in non-statutory services such as tourism. Therefore, it is essential that local authorities tackle priority tourism issues and functions that can be fulfilled by no other agency.

Only a local authority can:

 Provide a strategic and operational role in maintaining a high quality physical environment;

 Provide links and continuity of policy between the services, such as planning, environmental health and highways, that are essential to a sustainable tourism destination;

 Ensure that the needs of the whole destination, including residents, businesses, and the environment, are represented and considered in the management of tourism. Providing a high quality physical infrastructure

A high quality environment is important for both residents and visitors. The services listed below are essential and must be a priority for a visitor destination:

 Street cleansing  Street lighting  Accessibility  Parks and gardens  Leisure and arts facilities

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18  Water safety

 Conservation of the natural environment  Preservation of historic buildings

 Building and planning control  Environmental health

 Public conveniences

 Footpath maintenance and development  Car parks and park and ride schemes  Security

 Signage

2.6 Supporting tourism through local economic development

Local Economic Development (LED) is described as the result of joint planning by a municipality, its community and business sectors. This means that all economic forces in the local situation have to be brought on board to identify resources, understand needs and work out plans to and to find the best ways of making the local economy fully functional, investor friendly and competitively productive.

Many municipalities have also broadened their responsibility in the area of Local Economic Development, with tourism seen as a catalyst for growth. All local governments are engaged in the formulation, review or implementation of LED strategies. The LED planning process forms part of the IDP process as contemplated in the Local Government: Municipal Systems Act, 2000 (Act 32 of 2000).

While it is encouraging that some Municipalities consider tourism to offer future economic development opportunities, the reality is that Tourism as a sector is not relevant for certain municipalities, and secondly Metro’s are very different from towns and rural villages, and therefore no “one‐size” fits approach will be appropriate.

2.7 Tourism as an economic development tool

Managed sustainably, tourism is an effective development tool. When tourism’s environmental, social, and economic and other constraints are addressed, tourism energizes economies. With the full knowledge that tourism is a complex sector with tentacles into a myriad of other economic activities, all of which require careful management, countries with tourism assets are fully justified in deciding to prioritize tourism as a development tool. Several entities are primarily responsible for the success of the sector. The government’s political support at the highest level for tourism is essential. The government’s role is to initiate the formulation of a strategy for the sector and then play the crucial coordinating role among the different public sector agencies involved, the relevant private profit and non-profit entities, and local communities.

The government must also address market failures that affect the tourism sector and should create an enabling environment for private investment and, above all, must provide political and social stability. The government will also have to supply basic infrastructure and assist in the promotion of the country for marketing and investment. Without the private sector’s investment in accommodation, attractions, and tourism services and facilities, and its knowledge transfer, there can be no tourism sector. Local communities must be receptive to the tourists that intrude into their communities and, to be so, they must participate in the benefits of tourism.

External donors can provide the critical capital and technical assistance to support the sector and help raise it from one development level to another.

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Without any one of these active participants, the sector cannot grow to its full potential—or even, in the early stages; begin to put together a tourism package for visitors.

2.8 Situational analysis of tourism in Mnquma Local Municipality

Mnquma Local Municipality has rich history in heritage from pre-colonial, colonial and post-colonial eras. The municipality has Tiyo Soga’s grave declared as a tenth national heritage site by National Heritage Council. The institution is instituting a process towards preparing some of the heritage sites so that they become ready for declaration though this will be a lengthy process and there are 26 accommodation establishments

With the assistance from Amathole District Municipality under the EPWP Program, maintenance has been done on the following sites: Siyongwana’s grave, Blythswood caves (both in Nqamakwe), Ngcayechibi’s house, Bawa Falls (both in Butterworth), Rev Tiyo Soga’s grave, Centane War Memorial and Nongqawuse’s Pools (in Centane). The scope of work done in some of these sites include site clearing, signage (Centane War Memorial), information boards (Centane War Memorial and Bawa Falls).

Furthermore, a Business Plan for the improvement and development of at list seven heritage sites is being developed and the situational analysis of heritage has been presented to the Municipality.

Nyulula Heritage site is also in the process of being renovated. The Municipality in consultation with the community has prioritised fencing and access to the site.

The South African Heritage Resource Agency (SAHRA) had been engaged in this area for a development of the identified heritage sites. The institution has started a process of developing Business Plans for developing and lobbying funds for the heritage sites.

This however, is linked to a historic and tourism strategy to develop the sector and also educate the youth about the rich heritage of the area.

The following historical, cultural, heritage attractions are found in Mnquma:

Under Phalo route in Mnquma Local Municipality the following heritage sites can be found:

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Rev. Tiyo Soga’s Monument in Tutura A/A, Centane King Phalo’s monument in Butterworth (Pictures taken on the 09th of September 2014)

King Phalo’s Monument in Thongwana A/A in Butterworth and Bawa Falls

Battle of Centane Heroes Monument in Mnyama A/A in Centane and Bawa Falls (Pictures taken during the Tourism awareness campaign on the 22nd September 2014

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Caves and Bushmen paintings in Blythswood A/A in Nqamakwe and Maholwana Ntlangwini’s monument

Pictures taken during the Heritage celebrations on the 26th of September 2014

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Figure 10: Heritage routes in Mnquma and the Surrounding District Municipalities Tourism footprint needs to be developed where ablution facilities and other supporting infrastructure must be developed.

There is no well-developed museum in Mnquma, even the one at Gobe built by DEAT is very small and needs further development.

Tourism

The coastal line, based on its beauty and holiday facilities at Centane offers great possibilities for tourism. The local culture, heritage sites (Phalo’s grave and Bushmen paintings) and the Bawa Falls could be developed and packaged to offer tourism adventure to the local and international tourists. The Municipality has now started processes of realising the development of Bawa Falls project by having a completed feasibility study and the business plan.

More important and critical to the development of tourism are linkages that should be developed and marketed jointly with the Amathole District Municipality. These would include the hiking trails and other tourism adventures.

The municipality is annually engaged on tourism activities during September month and the course of the year to enhance local knowledge and awareness of these tourism opportunities. Tourist guides and product-owners should be trained and exposed.

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The Municipality is working in co-operation with Eastern Cape Parks and Tourism Agency in trying to assist the Hospitality sector with things such as marketing and signage.

Linkages should also be established with Great Kei as we are sharing the boundaries of Kei River. There must be negotiations with Provincial Maritime Plan to establish boats in Kei River where there must be stop pits, backpackers, etc. to widen a range of activities along the river. The pontoon also needs to be improved and expanded and then let be run by communities (Mnquma Municipality IDP, 2013/14; Mnquma Municipality Master Plan 2009; Mnquma Municipality LED Strategy, 2010).

Pontoon (Picture taken during the Adventure Tourism Challenge on the 09th of September 2014

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WSU students and students from local high schools before the tourism awareness campaign in Butterworth (Pictures taken on the 15th of October 2014).

Seagulls Hotel in Centane, along the coast (Picture taken from the Municipality’s draft Wild Coast Spatial Development Framework, 2014

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Mazzeppa Bay Hotel in Centane (Picture taken during the Adventure Tourism Challenge on the 09th of September 2014

The Department of Sports, Recreation, Arts and Culture (DSRAC) offers support and coordination of activities. It is also working with Mnquma Crafts Development Initiative, which operates from Butterworth City Centre. This centre has strong links with Provincial Crafters’ Hub. There are six craft centres across Mnquma. They are:

 Nombanjana Craft Centre (Wavecrest in Centane)  Ikhamanga Craft Centre at Qholorha

 Sokapase Craft Centre

 Sithembele Zokhwe Craft and Tourism Centre  Kei Bridge and

 Mnquma Crafts

All these centres are engaged in tourism related activities and assist in nurturing indigenous talent especially in producing for markets. A major constraint to the development of the different types of tourism offered is as a result of the limited accessibility, mobility as well as the state of the existing roads.

This tourism situational analysis above paints a clear picture on the tourism potential of the municipality which if explored can be a tool for local economic development.

2.9 Tourism events

Over the years, the Municipality has staged series of events ranging from the Tourism Imbizo in March, Adventure Tourism Challenge in September, Tourism awareness campaigns quarterly, Mnquma Jazz, Arts and Culture Festival, Mnquma Beach Festival in end September and beginning December and the recently introduced Centane Back to my Roots, Ikhaya lam end of December.

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During all these events, a number of tourism businesses, traditional groups, schools, Government departments and community members are largely engaged to fully participate. It is during these events that the Municipality’s tourism potential is unearthed.

2.10 Mnquma Local Municipality tourism SWOT analysis Strengths

 Established domestic market in family  holidays

 Pristine coastline  Scenic environment

 Strong heritage and historical significance (Xhosa cattle killing – Difecane)

 Traditional villages attractive and  unusual

 Affordable holiday destinations  Tourists to the province are more

likely to visit the wild coast than any other part (42% share of market)  Significant attraction to foreign

tourists (1 foreign tourist spends the equivalent of 6 local tourists per trip)  Currently weak Rand

 Most foreign tourists to the EC originate in Europe. The Euro has outperformed most currencies in the last 5 years

Weaknesses

 Distance to major centres (proximity)  Roads and accessibility (beyond the

N2

 the only tarred section is Butterworth to Centane)

 Poor services: water, sanitation, electricity

 Land tenure system, lack of private land for purchase

 PTO’s on cottage preclude economic use

 Hotels outdated meal practices not appropriate for international market  Heritage and history not widely

known by South Africans or international tourists

 Lack of clean ablution facilities along N2

 Lack of investment in new building  Butterworth congested and 

Opportunities

 Eco-tourism could expand, including adventure tourism

 Backpacker’s market underdeveloped  Luxury market unexplored (charter

flights to 5 star accommodation etc.)  Bawa Falls not yet fully developed  Develop significant historical sites

such as the Nongqause’s pool (vision for cattle-killing)

Threats

 Safety and security

 Standards of hotels dropping  Future land claims – even though  deadline for lodging is closed, it could  create instability

 Mining of dunes on coast

 Global recession reducing number of  tourists, carbon footprint keeping

tourists

Table 6: Mnquma Local Municipality Tourism SWOT Analysis: Source: Mnquma Master Plan, 2009: 82

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27 2.11 Conclusion

Municipalities play a unique and valuable role in the tourism sector for the benefit of visitors, residents, businesses and the environment alike. The National Department of Tourism through a comprehensive local government tourism support and capacity building programme need to reinforce the validity of this role and help local government to focus upon its fulfillment.

Local Government recognizes that it is only through the ongoing co‐operation and collaboration between the various spheres of government to fully and effectively maximise value from the tourism sector and to achieve the National tourism aims and objectives. In essence, helping local municipalities become more skilled at supporting the management of tourism must become a priority.

With increasing pressure on budgets and non-statutory services, Councils need to ensure that their involvement in tourism is cost-effective and focused upon local priorities. There are many contributors to tourism and therefore much scope for duplication of effort. However, local authorities can play a unique and valuable role in the industry for the benefit of visitors, residents, businesses and the environment alike. Best Value should demonstrate the validity of this role and help local authorities to focus upon its fulfillment.

Mnquma community area must be revived and its local economies resuscitated through tourism, so that the quality of life of the people in the area can be improved in a sustainable manner.

Achieving economic growth and staying competitive is a serious challenge in itself. Ensuring the benefits of growth spread widely such that development becomes inclusive and impacting on the quality of life of all citizens is even more challenging.

This in turn demands a strategic approach to LED that implies careful consideration of the various trade-offs, and making difficult choices. It also demands harnessing and mobilizing the local human, social, financial and natural capital towards the common vision, goals and objectives that the community aspires to achieve. This is possible only when the various stakeholders and actors join forces to make a difference in quality of life in their cities, towns and settlements.

Thus, the preceding paragraphs show that the impact of tourism on local communities can be both positive and negative, whether it comes to economic, social, or environmental effects. It depends to which extent tourism is developed in a particular region. Every region has its bearing capacity, that is to say the limit of the incoming influence that does not harm the host community.

Local communities use the natural resources but they also protect them. Tourists come to enjoy the nature and get knowledge about it, but they also can pollute and destroy it, or on the other side help to protect it by drawing attention to unique natural resources in the area. Local communities affect tourists by giving them knowledge of their culture and way of life. Tourists’ impact on the local populations can be first of all economic by generating income, developing resources, sharing knowledge and experience, etc. Whenever we develop a new tourist destination we should always bear in mind this co-interaction.

Understanding industrial requirements will foster formulation of curriculum which is tailored to the industrial requirements, interaction between universities and industry, formation of collaborative linkages and networks will enhance tourism development.

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CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Introduction

Research in common parlance refers to a search for knowledge. One can also define research as a scientific and systematic search for pertinent information on a specific topic. In fact, research is an art of scientific investigation. Some people consider research as a movement from the known to the unknown. It is actually a voyage of discovery. When the unknown confronts us, more and more our inquisitiveness makes us probe and attain understanding of the unknown. This inquisitiveness is the mother of all knowledge and the method, which one employs for obtaining the knowledge of whatever the unknown, can be termed as research (accessed, 23rd March 2014).

3.2 Research methodology

Research methodology is a way to systematically solve the research problem. It may be understood as a science of studying how research in done scientifically. In it, we study various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them. It is necessary for the researcher to know not only the research methods/techniques but also the methodology. Researchers not only need to know how to develop certain indices or tests, how to calculate the mean, the mode, median or the standard deviation or chi-square, how to apply particular research techniques, but they also need to know which of these methods or techniques, are relevant and which are not, and what would they mean to indicate (accessed, 23rd March 2014).

3.3 Population of the study

According to Kruger and Welman, (2001: 46), population is defined as the study object, which may be individuals, groups, human products and events, or the conditions to which they are exposed. The population of the study is tourism practitioners which includes tourism businesses in Mnquma Local Municipality. There are 26 accommodation establishments in Mnquma municipality that have opened employment opportunities for the people of Mnquma. The researcher distributed the questionnaires to all these accommodation establishments and got response from the 23 of them. Four of these accommodation establishments are found along the Coastal belt of Centane town, three of them in Nqamakwe and the remaining 19 found in Butterworth town and its surrounding areas. The researcher accessed details about the population from the Municipality’s Local Economic Development Strategy 2010.

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