Ethics in Transport & Tourism

Tourism Social Science – Week 6

Dr Nikolas Thomopoulos
N.Thomopoulos@surrey.ac.uk
While at University:

WHO HAS CONTRIBUTED TO A

GROUP WORK ASSIGNMENT?
Problems?

• Outline some of the problems faced

• How did you deal with them?
• Were those solutions effective?
• How would you deal with them in the future?
Overview

• Tragedy of the Commons

• Sustainability: CSR & TBL
• Codes of Conduct in Tourism
• Ethics & Equity
• Activity
• Exam question criteria
Hardin (1968)

TRAGEDY OF THE COMMONS

Tragedy of the Commons view
• William Forster Lloyd (1794-1952)
• Garrett Hardin (1915-2003) watch
• In 1833, William Forster Lloyd wrote a short
pamphlet detailing the concepts behind the
economic theory known as The Tragedy of the
Commons. The contents of this pamphlet were
mostly unknown until 1968, when Garrett
Hardin wrote an article in Science magazine
that brought Lloyd’s work into the spotlight
Summary
The Tragedy of the Commons is an economic
theory that describes how people often use
natural resources to their advantage without
considering the good of a group or society as a
whole. When a number of individuals consider
only their own welfare in this manner, it leads to
negative outcomes for everybody, as the natural
resource becomes depleted
Let’s watch an overview overview
Commons Definition

“The commons" includes any natural resources

that are not owned by an individual or
corporation. Rather, these resources are
available for public use. This might include
public pasture land, lumber, oil, the oceans, the
atmosphere, wildlife and fish, and many other
common resources
Commons Tragedy

The Tragedy of the Commons describes how

people often take advantage of resources that
are freely available to them. Often, they don’t
consider the fact that if everyone over-uses the
resource, this will lead to negative effects for
everyone, including themselves
Commons & Tourism
National Parks are often cited as a prime
example.[ii] More and more people have visited
the U. S. National Parks since WWII, leading to
concerns about the exploitation of
environmental resources
Other tourism examples include:
• Beach
• Sea
• Mountains
Global challenges

• Climate change e.g. GHG

• Water shortage & pollution
• Deforestation COP-26
• Open Access e.g. Wi-Fi watch
Commons Solutions

Several solutions have been proposed to offset

negative outcomes related to The Tragedy of the
Commons. In general, solving this problem requires
collaboration and cooperation as people come
together to preserve resources for the good of all.
Regulation and taxation by the government can
limit the effects people have on certain resources.
Informal or formal property rights can be given to
individuals or groups to restrict peoples’ over-use of
other resources
Critical view on Commons
Elinor Ostrom (1933 - 2012): Watch
The Myth of the Tragedy of the Commons
Elinor Claire "Lin" Ostrom was an American political
economist whose work was associated with the New
Institutional Economics and the resurgence of political
economy. In 2009, she shared the Nobel Memorial
Prize in Economic Sciences with Oliver E. Williamson
for her "analysis of economic governance, especially
the commons". To date, she remains the only woman
to win the Nobel Prize in Economics
Activity

• Identify a commons problem in tourism

• Explain the tragedy in your view
• How would you address it?
Corporate Social Responsibility & Triple Bottom Line

SUSTAINABILITY & TOURISM

Sustainable Development

• Brundtland Report (1987) Our common future:

report
"Sustainable development is development that
meets the needs of the present without
compromising the ability of future generations to
meet their own needs"
The spectre of tourism
Croall (1995:1):

• slowly ruining pristine landscapes and quaint

communities
• polluting air and water
• trivialising cultures
• degrading life on this planet
Reasons
• Continued tourism growth: by 2030, UNWTO forecasts
international tourist arrivals to reach 1.8 billion
(UNWTO Tourism Towards 2030)
• Poor or lack of visitor management
• Improvement in transportation modes plus low fares
has increased accessibility of areas once considered
off-the-beaten-path
• Corporatist movement / instrumentalisation
• Loss of purpose
• Individualism
• Consumerism is fuelling this
CSR definition I

A concept whereby companies integrate social

and environmental concerns in their business
operations and in their interaction with their
stakeholders on a voluntary basis
(Commission of the European Communities, 2001)
CSR definition II

Corporate social responsibility is the continuing

commitment by business to behave ethically
and contribute to economic development while
improving the quality of life of the workforce
and their families as well as the local community
and society at large
(World Council for Sustainable Development, 2000)
CSR & stakeholders I

“Corporate social responsibility describes a

firm’s obligation to protect and improve social
welfare now as well as in the future, by
generating sustainable benefits for
stakeholders”
(Lin et al., 2009:57)
CSR & stakeholders II

“Sustainable Tourism signifies a condition of

tourism based on the principles of sustainable
development, taking “full account of its current
and future economic, social and environmental
impacts” (UNEP/WTO, 2005:11-12) and addressing the
needs of stakeholders”
(Waligo, Clarke, & Hawkins, 2013: 342)
CSR approaches
• Corporations have responsibilities beyond the
production of goods and services
• These responsibilities involve helping to solve social
problems
• Corporations have a broader constituency than just
stockholders
• Corporations have impacts beyond simple market
place transactions
• Corporations serve a wider range of human values
than just economic values
(Zu, 2008)
CSR approaches

(Zu, 2008)
CSR criticism
• Profit maximisation is the primary purpose of business
• Businesses’ main responsibility is to its shareholders
• Formulating and implementing social policy is government’s
responsibility
• Business is not competent because it lacks training on social
issues
• CSR could give too much power to businesses
– to take over communities & impose business values
• No reliable guidance for businesses on CSR matters
– PR Vs. Real issues
– Needed Vs. waste of time
• Divided support in business communities for social involvement
 CSR pyramid

Source: Business Horizons: Towards the moral Source: Huniche and Pedersen, 2006
management of organizational stakeholders
Triple Bottom Line: Definition

Term triple bottom line (TBL) coined by John Elkington (1994)

Focused on “economic prosperity, environmental quality, and

– the element which business had preferred to overlook –
social justice” (Elkington, 2002:49)

TBL agenda focuses on corporations not just on the economic

value that they add, but also on the environmental and social
value that they add – or destroy” (Elkington, 2002)
Triple Bottom Line: Overview

(Elkington, 1994)
TBL & CSR

Corporate options watch

 What matters?
Who matters? ETHICAL VALUES
ALL STAKEHOLDERS • Human Dignity
• Employees • Solidarity and Social Justice
• Environmental
• Owners / Investors
Sustainability
• Suppliers • Transparency and Co-
• Customers / Business determination
Partners
• Community / Society
Defining Responsible Tourism
Responsible Tourism defined “by the willingness to take
responsibility to make tourism better” (Font and Goodwin, 2012:5)

Responsible Tourism:
• Minimises negative economic, environmental, and social impacts
• Generates greater economic benefits for local people and enhances
the well-being of host communities, improves working conditions
and access to the industry
• Involves local people in decisions that affect their lives and life
chances
• Is culturally sensitive, engenders respect between tourists and hosts,
and builds local pride and confidence
• Aims for “creating better places to live in and better places to visit”
(Cape Town, 2002:2)
TOURISM ETHICS &
CODES OF CONDUCT
Global Code of Ethics for Tourism
As a fundamental frame of reference for responsible
and sustainable tourism, the Global Code of Ethics for
Tourism (GCET) is a comprehensive set of principles
designed to guide key-players in tourism development.
Addressed to governments, the travel industry,
communities and tourists alike, it aims to help
maximise the sector’s benefits while minimising its
potentially negative impact on the environment,
cultural heritage and societies across the globe
GCET 10 principles
Article 1: Tourism's contribution to mutual understanding and
respect between peoples and societies
Article 2: Tourism as a vehicle for individual and collective fulfilment
Article 3: Tourism, a factor of sustainable development
Article 4: Tourism, a user of the cultural heritage of mankind and
contributor to its enhancement
Article 5: Tourism, a beneficial activity for host countries and
communities
Article 6: Obligations of stakeholders in tourism development
Article 7: Right to tourism
Article 8: Liberty of tourist movements
Article 9: Rights of the workers and entrepreneurs in the tourism
industry
Article 10: Implementation of the principles of the Global Code of
Ethics for Tourism
Ethics of Travel

• Introduction watch
• World Committee on Tourism Ethics (WCTE):
The tasks assigned to the Committee include the
promotion and dissemination of the Code of Ethics, as
well as the evaluation and monitoring of the
implementation of the principles enshrined therein
• Members list
ETHICS & EQUITY
Principles
• Utilitarian
• Egalitarian
• Equal shares
• Rawlsian
• Minimum floor
• Maximum range
• Eco-centric
• Human-centric
Source: Thomopoulos and Grant-Muller (2013)
Established frameworks

• Project evaluation methods:

Odgaard et al (2005)
Using CBA
CBA is based on utilitarianism & impact monetisation:
1. Identify impacts
2. Establish appropriate indicators
3. Collect relevant quantified data
4. Monetise impacts
5. Convert to contemporary values (NPV)
6. Calculate the Cost-Benefit Ratio (CBR)
CBA strengths

• Comparable outputs
• Widely used internationally
• Single number offered to decision makers
• Focuses on total welfare rather than individual
CBA criticisms

• Utilitarian weakness ➔ impact distribution

• What is the project time horizon?
• What is the discount rate?
• Which values to use for international projects?
• How to monetise all impacts?

Source: Thomopoulos et al (2009)

Activity to test your understanding

EXAM PREPARATION
 Activity

• Read background and discuss with your ‘neighbour’

• Define a commons challenge in tourism
• Select and apply an ethics/equity principle
Exam Question Criteria

Relevance and outline of selected tourism 10%

Definition 25%
Selection and justification example 25%
Use of relevant 20%
Quality of Conclusion 10%
Structure/Presentation 10%
By now you should be able to

• Explain the Tragedy of the Commons

• Define CSR and TBL
• Outline key Codes of Conduct in Tourism
• Describe relevant ethics & equity principles
• Summarise strengths & weaknesses of CBA
References
• Croall, J. (1995) Preserve or destroy: tourism and the environment, London:
Calouste Gulbenkian Foundation
• Hardin, G. (1968). The tragedy of the commons. Science, 162(3859), 1243-
1248
• Thomopoulos, N., Digun-Aweto, O. (2017) Tourism Ethics and Codes of
Conduct, SAGE International Encyclopedia of Travel and Tourism, SAGE:
Thousand Oaks.
• Thomopoulos, N., Grant-Muller, S., Tight, M. (2009) Incorporating equity
considerations in transport infrastructure evaluation: Current practice and
a proposed methodology, Evaluation and Program Planning, 32, 351-359
• Thomopoulos, N., Grant-Muller, S. (2013) Incorporating equity as part of
the wider impacts in transport infrastructure assessment: An application
of the SUMINI approach, Transportation, 40, 315-345
• Zu, L. (2008). Corporate Social Responsibility, Corporate Restructuring and
Firm's Performance. Springer London