SA has a tourist product of unequalled diversity, matched by few other countries. The tourism sector in SA is a driver of the economy, contributing 3.7% to GDP in 2019.
Most businesses in the sector are micro, small and medium-sized enterprises (SMMEs) that contribute to local economies and provide more than 1-million jobs, in particular those less skilled entry-level positions which are critical for the country’s future.
Yet SMMEs in the tourism sector face a myriad obstacles on an almost daily basis. Weak and failing public utilities, social unrest and crime (and increasingly cybercrime), exchange rate concerns and political disruption pose critical challenges to business continuity. The experience of the Covid-19 pandemic in particular has made the business case (in every sector) for a much greater emphasis on business resilience.
During a recent Business Day Dialogue, hosted in partnership with the International Labour Organisation (ILO), a panel of experts discussed how SA’s potential as a tourism destination can be fully realised.
Moderated by Francis Herd, the panel included:
- Joni Musabayana, country director, International Labour Organisation (ILO);
- Themba Khumalo, acting CEO & chief marketing officer, SA Tourism;
- Phakamile Hlazo, CEO, Zulu Nomad;
- David Frost, CEO, Southern African Tourism Services Association (Satsa); and
- Mandisa Magwaxaza, co-vice chairman, Satsa.
Among other questions, these experts explored:
- The most pressing resilience challenges facing SMMEs in the tourism sector; and
- The role that business membership organisations and the public sector can play in promoting resilience across the sector.
Watch the recording of the webinar above.
This article was paid for by the International Labour Organisation.
