Tuvalu was previously called the Ellice Islands. It is an island nation and microstate in Oceania. Its islands are situated close to Hawaii and Australia, lying to the north of the Santa Cruz Islands, Vanuatu, to the south of Nauru and Kiribati, to the west of Tokelau, Samoa, and Wallis, and the north of Fiji. The country has a population of over 11,204 people living on a land mass of 26 square kilometers. It has one of the best economies among the Pacific Island countries and has achieved a GDP growth rate of 5.6% per annum, which is the smallest in the world.
The economy of the Country
The National Bank of Tuvalu offers all kinds of banking services needed by the inhabitants. The island’s economy greatly depends on the remittances from its nationals residing in Australia and New Zealand, as well as Tuvaluan sailors working on overseas ships. The agricultural sector in the country majorly deals with the production of coconut trees and pulaka, being an island surrounded by a large mass of water. Fishing and seafaring are also top activities of the residents. The Asian Development Bank (ADB) once reported that 800 Tuvaluan men are trained and certified to work as seafarers, with about 15% of the adult male population employed abroad. Government revenues majorly are made from selling fishing licenses to residents and foreigners, income earned from the country’s Trust Fund, and lending of its “.tv” Internet Top Level Domain (TLD). It also earns income from postage stamps by the Tuvalu Philatelic Bureau and Tuvalu Ship Registry.
Tourism on the Island
Despite being one of the finest islands in the Pacific region, the island is frequently visited by tourists because of its remoteness. Over 2000 people are visiting the island in a year; this includes tourists, businesspeople, and others. For travelers entering the country, Funafuti is their major destination as it is the only city on the island that offers international travel and standard accommodation. Regardless of the poor state of its tourism industry, travelers are still drawn to the nation to see its ocean, reef, lagoon, channel, and six uninhabited islets in the Funafuti conservation area. Also, the outer atolls are visited on two passenger-cargo ships, Nivaga III and Manú Folau, which provide round-trip visits to the outer islands.
Owning a tourism business
Starting a tourism venture in the island nation is quite thrilling yet tasking to handle. The country is a small island not quite popular amongst other islands in the world, but it offers natural scenery, beauty, and rich culture. Given its rather growing tourism industry and business potential, it could be the best place for you to set up a tourism company. The following are some steps to take when starting a tourism business here:
Carry out market research
This is the first step of starting any enterprise. Conducting research into the type of market and identifying what the consumers need and who will mostly require your services are the key factors to check in market research. One will have to find out the type of tourism activities existing in the country and the kinds of tourists visiting the place. With this, potential lapses in the market can be addressed and areas to specialize in can be ascertained. You can choose to set up a hotel, restaurant, relaxation center, motel, guesthouse, etc. depending on the interest and capital.
Develop a business plan
No one can start an enterprise without having a plan, as it is a framework that guides how the business operates. A business plan maps out the details of the business including the target market, marketing strategy as well as financial aspects. Usually, with a good business plan, business owners can seek out loans from banks or investors willing to finance the operations of the business. If you are banking on securing funds for your tourism business, you may need to pull the weight of your plan.
Register the business
Operating the venture here requires incorporation. Incorporation means one has to register the business with the appropriate body, so the business name can be entered into the commercial register. This will legalize all activities of the business and upon obtaining all necessary permits or licenses, the business can commence operation.
Promote the business
After registering and employing staff, the next step is to promote the business. This should be done once the business starts offering quality services to customers. Selling your business can be done online or offline depending on one’s choice. This could include advertising in local magazines, having a website where content is posted about the business, or partnering with travel agents and tour guides.
Overall, starting a tourism business here is a good chance to enjoy the beauty of the island and the benefits of meeting new people from across the world. With proper planning and good marketing, your business can be quite profitable in the end.
