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The image is a flowchart starting with "New hotels set up" leading to two outcomes "Create jobs directly in the hotels" and "Local businesses supply services". "Create jobs directly in the hotels" leads to "Workers spend their income in the local area; tax revenues increase" which leads to "The area becomes a more popular tourist destination, improving profitability and revenue for re-investment" and also "Money lost through leakage". "Local businesses supply services" leads to "Other companies are attracted to the area" which leads to "More jobs are indirectly created" connecting back to "Workers spend their income in the local area; tax revenues increase". "More jobs are indirectly created" also connects to "Taxes spent on improving infrastructure, image and tourist services" which feeds back into "The area becomes a more popular tourist destination, improving profitability and revenue for re-investment". There are no numerical data points, percentages, trends, or specific country/category/year information provided in the image.
Given the complexity of the image, the above description may not be entirely accurate.
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Note: Both the topic and the answer were created by one of our users.
The diagram illustrates how a tourist resort develops over time through connected stages. It shows the relationship between hotel development, job creation and economic growth in the local area.
Overall, the process is cyclical and starts with the opening of new hotels. This development creates jobs and income for local people, which helps the area become more popular with tourists. However, the diagram also shows that some money is lost through leakage.
At the first stage, new hotels are set up in the area. These hotels create jobs directly, such as work for hotel staff and managers. At the same time, local businesses begin to supply services and products to the hotels, including food, transport and cleaning. As a result of this development, other companies are attracted to the area, which supports business growth and employment.
In the next stage, more jobs are created indirectly because of the increased economic activity. Workers then spend their income in the local area, which leads to higher tax revenues. These taxes are used to improve infrastructure, the image of the destination and tourist services. Consequently, the area becomes a more popular tourist resort, increasing profitability and allowing more investment in new hotels. Nevertheless, some money leaves the local economy through leakage.
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