Sustainable Tourism in Iceland

Iceland’s Currency Devaluation and Exchange Rate, the Effects on Traveller’s Perception towards Iceland as a Touristic Destination

by Angela Santos

This paper illustrates an Industry Project, from SEG Swiss Education Group - Cesar Ritz University.
SEG is a leader in Tourism and Hospitality Education Worldwide.

This project received distinction amongst other industry researches, therefore for those interested in Tourism industry, this paper clearly presents the case of Iceland as how the economic downturn affected the tourism industry and the perception of the destination.

Currency and exchange rates are associated with motivations for travel and are directly linked to the price... more Currency and exchange rates are associated with motivations for travel and are directly linked to the price competitiveness of a destination. Iceland has been attracting visitors from all over the world due to its nature, landscape and activities, however the destination has been perceived as expensive due to the previous high value of its currency, making it an exclusive destination attracting a limited target market segment. In 2008 Iceland faced a collapse in its economic system, consequently the value of its currency devalued significantly against other currencies, thus originating an exchange rate opportunity for international trade of products and services including tourism. There is available literature on the relationship of currency devaluation and tourism, however no research was found for this particular destination, hence the gap in the research and need for this study. For this reason the study’s aim is to determine whether the currency devaluation and the exchange rate opportunity is encouraging tourists to visit the country and if Iceland is now perceived as a less expensive destination.
An in depth review of primary and secondary literature as well as the gathering of primary quantitative data in a survey questionnaire format have been undertaken by the author. The results from 59 valid survey questionnaires revealed that the exchange rate in the country increased travellers’ interest to visit the destination, and that Iceland is now perceived as a less expensive destination, however still expensive in relation to certain goods and services. Recommendations are given to both the industry and the Icelandic Tourism Board highlighting the importance of destination positioning, marketing in terms of changing the perception that Iceland is an expensive destination. In addition recommendations are provided to academia for further research in this topic area.

Keywords: Economic recession, exchange rates, currency destination price competitiveness, tourism motivation factors, Iceland

Speaking Viking: The Role of History, Language Purity and Tourism in the creation of Icelandic National Identity

by Jen Hughes

draft only

Making wilderness: Tourism and the history of the wilderness idea in Iceland

by C. Michael Hall

Sæþórsdóttir, A.D., Hall, C.M. & Saarinen, J. 2011, Making wilderness: Tourism and the history of the wilderness idea in Iceland. Polar Geography, 34(4), 249-273 <10.1080/1088937X.2011.643928>. (copy provided here is the uncorrected page proof)

The notion of wilderness is often associated with high latitudes. This paper focuses on the historical and cultural... more The notion of wilderness is often associated with high latitudes. This paper focuses on the historical and cultural processes that construct the wilderness idea in Iceland.Throughout the centuries histories have mirrored the feelings and opinions toward the wild and dangerous. These include the sagas and folktales about outlaws and supernatural beings in the Icelandic Highlands. Despite its harsh nature occasionally travelers did visit. However, in early times few knew the wilderness from personal experience but all had heard stories about it and contributed to its social construction. Later when more scientific knowledge was collected,the stories changed and a new meaning was created for the Highlands. Tourism led to a new commodified image that attracted more and more travelers to the Highlands, both Icelandic and foreign visitors. However, present contestation between different forms of wilderness use as well as new sets of visitor demands are leading to the construction of new understanding of the nature of the Icelandic wilderness.

http://dx.doi.org/10.1080/1088937X.2011.643928