ABSTRACT
Chapter 3 discussed some of the reasons why people choose to go on holiday, and
explained the diverse motivations associated with the demand for tourism services
and products. However, in any tourism purchasing decision there has to be the
provision of a service or product by a business or organization to meet the visitors’
needs or demands. This provision is known as tourism supply or, as was explained in
Chapter 1, as a form of production. In any analysis of supply there are five basic
questions that tourism businesses have to consider, all of which are related to
economics:
1 What should we produce as a business to meet a certain form of tourism demand?
