Major points in the development of tourism in Russia (107)

Theme Track: Rural and Peripheral Areas - Tourism

Author:
Vinogradskaya, Olga

The major objective of development of the tourist business in Russia is provision of such conditions for recreation that could satisfy both Russian and foreign consumers of various tourist services. The most serious problem of this market is the lack of sufficient working capital. Appropriate administrative interference from the side of the state authorities and introduction of respective amendments into the tax legislation could ensure that the companies are purposefully provided with working capital. Successful development of tourism in Russia can be achieved through creation of multifunctional global operators extending financial services as well, as the currently existing corporate financial structures do not have appropriate financial instruments to enable the partner tourist companies to pursue optimal tariff policies. Another problem is the almost complete lack of promotion of Russia on foreign markets and shortage of positive information about the country. At the same time, immediate revising of the legal and normative framework of the Russian tourist business can help solve a number of other problems as well. For instance, the ones in the sphere of children's tourism. In the hotel business this would help remove the barriers hindering the application of new technologies and present-day management techniques. In practice this would secure from price discrimination, allow expand the price range of the services and put the hotel accommodation classification procedures in order. In the legislative sphere it is necessary to consider whether the introduction of the sales tax to the Russian tourist market is advisable, given its low profitability. In fact, the hasty introduction of this tax led to the emergence of a 'semi-shadow' business and creation of illegal and risky tax avoiding schemes. Special attention should be paid to the elaboration of a flexible price policy on the Russian insurance market. For this the bureaucratic barriers restraining the free operation of the respective market mechanisms should be removed. All this can produce positive effects on the development of the regional tourism in general and its main component -small business- in particular. In the sphere of new technologies on the Russian tourist services market a crucial point can be creation of efficient instruments of electronic commerce in the Internet, which along with the corporate clients, will raise the interest of purchasing the policies through the Net among the natural persons. For this it is necessary to improve and better arrange the structure of the sites related to tourism, make them easier to access for the interested people, cancel the excessive textual information and provide for non-standard insurance services.

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