Ecotourism: A New Business Opportunity in the Tourism Industry

Introduction

The tourism industry, characterized by its expansive and dynamic nature, holds a pivotal position in the global economy. Beyond its contributions to governmental interests, this sector serves as a significant source of employment generation for local populations, thereby influencing the demographic dynamics of the respective regions. According to the survey, 81% of global travelers believe that ecotourism is important. The report says that the tourism market size increased by 41% and there were 295 million jobs in 2022 compared to the previous year, and it will be projected that by the end of 2023, the economic growth will be 2.29 trillion dollars and there will be 320 million jobs in 2023 (Statista, 2023). Ecotourism has grown their importance as a source of revenue in natural tourist areas around the world (Drumm et al., 2002). Eco-tourism business model focuses on all the services that they provide to consumers i.e. recycling of biodegradable products, use of renewable sources of energy, etc. Responsible travelers expect the services from tour operators to be full of green tourism services, which will evoke eco-travel. The purpose of this constructive business model is to educate the reader and tour operator about the value of local cultures and biodiversity conservation while enabling them to witness potent expressions of nature and culture. It is a new economic model known as the “green economy” that is market-driven, built on the foundations of the traditional industrial economy, and aims to balance the needs of the environment and the economy. It is a type of development state that the industrial economy generates and demonstrates to satisfy the demands of human health and environmental preservation (Chen, 2023). Ecotourism word was introduced forty years ago. When the concept of sustainable tourism initially emerged at the beginning of the 1980s, it provided a means for tourists to lessen the environmental harm they caused while visiting far-off places (Ecotourism World, 2021b). Based on thought Ceballos-Lascurain provided the first description of ecotourism in 1987 His definition of ecotourism is “tourism that consists in travelling to relatively undisturbed or uncontaminated natural areas with the specific object of studying, admiring and enjoying the scenery” (Ceballos-Lascurain, 1987, p. 13). After that, there are so many definitions given by Authors and environmental organizations Since 1990, the International Ecotourism Society (TIES), a non-profit organization, has worked to advance ecotourism. “Responsible travel that preserves the environment, supports local people, and involves interpretation and education for both staff and guests” is how they define ecotourism (What Is Ecotourism - the International Ecotourism Society, 2019). Overall, the ecotourism market size was valued at USD 37,365 million in 2021 and is expected to reach an estimated value of USD 1,29,402 million by 2030. This growth can be attributed to a projected CAGR of 14.8% during the forecast period (2022–2030) (Research, n.d.). For businesses like new SMEs in tourism, it is important to understand how much sustainability is required for the development of economic, social, and government (ESG), as it ensures a viable and profitable business idea that benefits the environment and communities. As per the government requirement on sustainability in tourism, Ecotourism business is defined as the appreciation and observation of nature along with their local traditional culture that motivates the traveler to visit the place through a tourism operator. Technology is also changing the way that tourism is organized and has a great deal of promise for growth in the future. (Huang et al., 2016; Werthner & Klein,1999). Digitalization has expanded the horizons of travelers, affording them the opportunity to explore novel and undiscovered destinations. Before digitalization, people were limited in their knowledge of places they could visit. Nowadays, with the help of technology, there are many hidden gems waiting to be explored. Immersive technology has made ecotourism even more appealing, as it allows prospective tourists to get a virtual preview of their destination. From testing out rustic accommodations in beautiful landscapes to experiencing local customs and traditions firsthand, this novel approach helps visitors gain an insight into what they can expect from their trip before setting foot on the ground. It has huge potential benefits for SMEs. It facilitates enhanced efficiency, liberates temporal and resource constraints for concentrating on pivotal tasks, and augments the capability to formulate innovative business models, penetrate new markets, or globalize operational endeavors. The development of digital technology aided in the involvement of tourists in numerous online and mobile apps. Through this business, tourism organizations promote the sustainable growth of people, renewable and non-renewable natural resources, and the environment to ensure long-term development. As per the government's agenda, this new form of tourism is a necessity. It has been found that 5.3 billion people around the world were using the internet, which means 65.7% out of these 4.95 billion individuals (61.4%) had active social media accounts (Internet and Social Media Users in the World 2023 | Statista, 2023).After the integration of digital media in business, researchers accept that demand is high and continues to grow, regardless of the market's size or actual economic worth. These demands also promote the niche segment of tourism. It's a fantastic way to see the world and contributes to its preservation for coming generations. Ecotourism is an essential component of the tourism industry, as it encourages sustainable practices. A fresh chance for business in the tourism sector could benefit people and communities greatly. Ecotourism businesses in Florida manifest diverse ownership models, encompassing private ownership, public agency ownership, and public-private partnerships, each providing a spectrum of services or products. Each model provides different benefits that can help you choose the best option for your business.