Analyzing the significance of the impact of political unrest and terrorism on Kenya's tourism industry: an event study approach
Date
2018
Authors
Ndunyu, John Gakuya
Journal Title
Journal ISSN
Volume Title
Publisher
Strathmore University
Abstract
Tourism is one of the key drivers of Kenya's socio-economic development. The total contribution of the tourism industry to Kenya's Gross Domestic Product was 9.8% in the year 2016 while the total employment contributed by the tourism industry in Kenya was 9.2% of total employment in Kenya. The tourism sector is therefore a sensitive area that could cause significant socioeconomic disasters in an economy if negatively affected. Because tourists are sensitive to the negative image of a tourist destination, events of violence can affect a tourist destination long after the event has passed and stability has, in effect, been restored. Perceptions of political instability and safety are a prerequisite for tourist visitation. Violent protests, social unrest, civil war, terrorist actions, the perceived violations of rights, or even the mere threat of these activities can all serve to cause tourists to alter travel behavior. Over the past 20 years, Kenya has experienced notable and painful ordeals of terrorism and political unrest. Some of the events that claimed a great number of casualties are the United States Embassy bombings of 1998, the 2007-2008 postelections violence, the 2013 Westgate tenor attack and the Garissa University massacre
Description
A Research project submitted in partial fulfillment of the requirements for the degree of Bachelor of Business Science in Actuarial Science at Strathmore University
Keywords
Tourism, Terrorism, socio-economic development