Assessing the Economic Impact of Homestay Tourism in Rural Communities

Abstract

Homestay tourism in rural communities offers an immersive travel experience, fostering cultural exchange and driving economic growth in underserved areas. This study assesses its economic impact by examining income generation, job creation, and local business development. Direct expenditures on accommodations, food, and services stimulate rural economies and reduce poverty. Additionally, homestay tourism promotes sustainable community involvement through partnerships between residents and local governments, enhancing infrastructure and preserving cultural heritage. However, challenges such as income inequality, seasonality, and environmental impacts require balanced management. This research provides a holistic analysis of homestay tourism's contributions and challenges, emphasizing its role as a vital tool for rural development and economic diversification.