Ways to overcome the crisis in the tourism sector under quarantine restrictions

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WAYS TO OVERCOME THE CRISIS IN THE TOURISM SECTOR UNDER QUARANTINE RESTRICTIONS

Bondarenko Liudmyla Candidate of Economic Sciences, Associate Professor, National Technical University “Dnipro Polytechnic

Bieloborodova Mariia Candidate of Economic Sciences, National Technical University “Dnipro Polytechnic

The paper is devoted to exploring the main problems of the tourism business in Ukraine, which arose due to anti-epidemiological measures aimed at overcoming the COVID-19 pandemic. It is used a systematic approach and methods of synthesis, semantic analysis, historical analysis, analogies, generalization, explanation, classification and graphical method. Prospective directions of the Ukrainian tourism sector 's way out of the crisis are proposed and the tools of influencing the demand that will bring the desired level of profits are substantiated. The results of the study can be used in the management of tourism enterprises using the experience of other countries and international recommendations, as well as the selection of key factors of influence to stabilize their functioning. The paper summarizes, structures and studies the main consequences expected in case of exacerbation of the epidemic situation.

Key words: COVID-19, tourism, quarantine restrictions, management, travel company.

ШЛЯХИ ПОДОЛАННЯ КРИЗИ В ТУРИСТИЧНОМУ СЕКТОРІ В УМОВАХ КАРАНТИННИХ ОБМЕЖЕНЬ

Шаповал В.М., Бондаренко Л.А., Бєлобородова М.В.

Целью статьи является исследование основных проблем туристического бизнеса Украины, которые возникли в результате противоэпидемиологических мероприятий, направленных на преодоление пандемии COVID-19. В исследовании применен системный подход и методы синтеза, семантического анализа, исторического анализа, аналогий, обобщения, объяснения, классификации и графический метод. Предложены перспективные направления выхода украинского туристического сектора из кризисной ситуации и обоснованы инструменты влияния на спрос, который принесет желаемый уровень доходов. Результаты исследования могут быть использованы в управлении туристическими предприятиями с использованием опыта других стран и международных рекомендаций, а также выделении основных факторов влияния для стабилизации их функционирования. В статье обобщены, структурированы и исследованы главные последствия, которые ожидаются в случае обострения эпидемической ситуации.

Ключевые слова: COVID-19, туризм, карантин, управление, туристическое предприятие.

Метою статті є дослідження основних проблем туристичного бізнесу України, які виникли внаслідок протиепідеміологічних заходів, спрямованих на подолання пандемії COVID-19. В дослідженні застосовано системний підхід та методи синтезу, семантичного аналізу, історичного аналізу, аналогій, узагальнення, пояснення, класифікації та графічний метод. Запропоновано перспективні напрямки виходу українського туристичного сектору з кризової ситуації та обґрунтовано інструменти впливу на попит, який принесе бажаний рівень прибутків.

Об'єктивно, Україна має потужний туристичний потенціал, який, не завжди використовується ефективно, а ситуація, що склалася в туристичній сфері, вважаємо потребує активного пошуку шляхів подолання кризових явищ. Результати дослідження можуть бути використані в управлінні туристичними підприємствами з використанням досвіду інших країн та міжнародних рекомендацій, а також виділенні основних факторів впливу для стабілізації їх функціонування. В статті узагальнено, структуровано та досліджено головні наслідки, які очікуються в разі загострення епідемічної ситуації. tourism epidemiological pandemic

Ключові слова: COVID-19, туризм, карантинні обмеження, управління, туристичне підприємство.

Introduction

The spread of the pandemic has become a challenge for all countries of the world, and the tourism sector is no exception. Even after the resumption of work, travel companies are constantly forced to use strict medical protocols, which means that these business-entities must work only with some restrictions. In response to the rapid changes in the situation, tourism organizations have revised their forecasts and scenarios several times in a limited time.

In general, the losses of the tourism sector in Ukraine are estimated at more than $1.5 billion. Given the actions taken to restrict the movement of the population, the resort and recreational season began late, which adversely affected not only the leisure industry but also related industries, such as hotel and restaurant business, passenger transport, retail, entertainment and leisure facilities.

Literature review. Research on issues related to ways to overcome crisis situations in tourism is proposed in the works by Loguntsova I. [1], Svitlichna V. [2] and others. Changes in the external environment in the world tourism market on the basis of polarization are studied in the works by Horina H. [3], Katsemir Y. [4], Zhalilo Y. et al. [5], and others. At the same time, it should be noted that today some issues of overcoming the negative consequences of tourism business-entities remain unresolved and require detailed examination.

Purpose of the paper. The purpose is to study the issues of stabilizing the functioning of tourism enterprises amidst quarantine restrictions and formulating practical recommendations both for them and authorities for overcoming the crisis.

Results. To date, the tourism business has changed significantly over the past two years; such actions give reason to believe that the current situation is unsatisfactory and uncompetitive. According to official statistics, the share of tourism in the overall economy of Ukraine is about 3-4% of GDP, which is much lower than the international average of 10%.

However, according to the latest data provided by the UN World Tourism Organization, this share is about 9% of Ukraine's GDP. This fact gives reason to believe that the latter indicator is more important for the Ukrainian economy than before [6].

UNWTO stated that the previous year, one billion people used international travel - a third less than in 2019, when the number of travelers was 1.4 billion people. Moreover, the number of international trips is expected to decrease by 40 to 70 percent. In view of the forecast, it was established a global crisis committee on tourism, which developed a strategic plan for the recovery of the tourism sector [7].

The domestic tourism is the main driver of preserving and restoring the tourism sector. It should be noted that in those countries where tourism is successfully developed, e. g. Romania, Bulgaria, Turkey, emphasis is placed on the development of domestic tourism business. Moreover, travel companies not only encourage compatriots to spend holidays in domestic resorts but also introduce incentives. The possibility of attracting tourists from neighboring countries, such as the Republic of Moldova or Belarus, should also be considered since these countries will have the following advantages due to their territorial location: transport convenience, zero language barriers, i. e. free communication, developed tourist routes, similar customs, etc. However, the successful implementation of attracting tourists from neighboring countries depends on the ability to improve infrastructure, taking into account anti-epidemic rules [8, p. 79].

This year's popularity of Ukraine among tourists from Saudi Arabia, the UAE, and Qatar deserves special attention. These tourists are the most desirable ones in Western Europe, but due to anti-epidemiological restrictions, the closest European alternative is Ukraine. There are several reasons. First, on June 11, 2021, the Saudi low-cost carrier Flynas began operating flights to Ukraine. Secondly, last year, for the citizens of Saudi Arabia traveling for tourism, Ukraine introduced an e-visa, and this had a positive impact on the choice of destination. This situation allows us to conclude that today Ukrainian tourism sector has high potential but does not have sufficient and adequate management at various levels.

Examining the tourism sector, we can say that Ukraine has all conditions, such as geographically convenient location, the availability of a significant number of historical, cultural and nature reserves, more or less developed infrastructure, six natural resorts, which include medical and health resources [9, p. 18].

According to experts, tourists this year are to:

- choose rest period shorter than usual;

- the predominance of individual movement by car and individual accommodation;

- the choice of health, sea or rural tourism.

It is expected that the restrictions will lead to changes in the demand, accelerating the introduction of IT-products, introducing maximum service on hygiene, the transition to the installation of POS-terminals and the introduction of delivery to the address. Summing up, we can say that the use of sanitary and hygienic measures and giving consumers the opportunity to be at an appropriate distance from each other during the holidays are important factors of competitiveness in 2021-2022 [10, p. 253].

Thus, the expected decline in economic activity and the deterioration of the wealth of holidaymakers will have the worst impact on the tourism industry. Here are the main negative consequences that are expected because of the aggravation of the epidemic situation, which are divided following the main spheres of influence, e.g. consumer benefits; international economics, social and labor policy etc. (see table 1).

Table 1 The main consequences in case of exacerbation of the epidemic situation