Award Date

8-2010

Degree Type

Professional Paper

Degree Name

Master of Hospitality Administration

Department

Hotel Administration

First Committee Member

Gail Sammons, Chair

Number of Pages

17

Abstract

This case study found that from May through July 2010 most reports from Gulf area hospitality providers noted a significant drop in tourism revenue due to the BP oil spill. During this period, anecdotal accounts from business owners in the area described a sales decrease of 50% or more in some tourist spots. A University of Southern Mississippi study found that for that state alone non-gaming hotels experienced a 50% drop in sales with a total factored direct/indirect shortfall of $119,400. A Moody’s report, released in July, calculated the economic damage to tourism for that period to be $1.2 billion. Since the leak ended in mid-July, and not August as the report predicted, the actual prorated loss totals $900 million to the area tourism industry. The results of a Rasmussen Reports poll, released in July 2010, revealed that 66% of respondents stated that they would not change their future travel plans due to the spill. A follow-up study is required as at the time of writing a limited amount of economic impact data was available.

Keywords

BP Deepwater Horizon Explosion and Oil Spill; 2010; Tourism – Economic aspects

Disciplines

Hospitality Administration and Management

Language

English


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