The Financial Impact of Covid-19 on Tourism in Lapland
Rekilä, Emma (2021)
2021
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2021052611582
https://urn.fi/URN:NBN:fi:amk-2021052611582
Tiivistelmä
This thesis is about the financial impacts that have been caused by coronavirus on compa-nies in the tourism industry in Finnish Lapland. Many companies in tourism have been im-pacted by coronavirus and the different restrictions set on travel and tourism as its result. This has meant a loss in demand for their services and thus a decrease in their revenue.
The objective of this thesis is to find out about the financial impacts caused by coronavirus on companies in the tourism industry in Finnish Lapland. The research question was What are the financial impacts of Covid-19 on tourism in Lapland? This was supported with the following investigative questions: what are the main financial impacts? What is the impact from reduced foreign tourism? What has been done to reduce negative financial impacts? What can be further done alleviate negative financial impacts? Thus, a survey was sent out to companies providing services in the tourism industry, located in Finnish Lapland.
The survey was in Webropol and the sample size was quite small making this study a pilot study due to the small sample size. Primary and secondary data were used for research for the thesis.
Many companies have relied heavily on foreign tourism and the lack of it has caused se-vere financial losses for them. Not only is professional staff being lost but also the future of the companies is uncertain. Some companies will not be able to survive with only domestic tourism. This is viewed through for instance, supply and demand of tourism. This was a key finding.
Companies in the tourism industry in Finnish Lapland have also incurred different costs because of the virus, however the biggest issue lies in lost profits while costs remain somewhat similar. Additionally, different measures have been taken to reduce the financial impact of coronavirus. These measures include for instance, government support, reduc-tions in staff, and increasing borrowing.
Overall, demand for the services of the companies have decreased as a direct result of coronavirus. Companies have been taking different measures and trying to sell their ser-vices to the domestic market. Modifying their services to appeal to the domestic consumers as well as divulging further into digitalization are recommendations to companies.
The objective of this thesis is to find out about the financial impacts caused by coronavirus on companies in the tourism industry in Finnish Lapland. The research question was What are the financial impacts of Covid-19 on tourism in Lapland? This was supported with the following investigative questions: what are the main financial impacts? What is the impact from reduced foreign tourism? What has been done to reduce negative financial impacts? What can be further done alleviate negative financial impacts? Thus, a survey was sent out to companies providing services in the tourism industry, located in Finnish Lapland.
The survey was in Webropol and the sample size was quite small making this study a pilot study due to the small sample size. Primary and secondary data were used for research for the thesis.
Many companies have relied heavily on foreign tourism and the lack of it has caused se-vere financial losses for them. Not only is professional staff being lost but also the future of the companies is uncertain. Some companies will not be able to survive with only domestic tourism. This is viewed through for instance, supply and demand of tourism. This was a key finding.
Companies in the tourism industry in Finnish Lapland have also incurred different costs because of the virus, however the biggest issue lies in lost profits while costs remain somewhat similar. Additionally, different measures have been taken to reduce the financial impact of coronavirus. These measures include for instance, government support, reduc-tions in staff, and increasing borrowing.
Overall, demand for the services of the companies have decreased as a direct result of coronavirus. Companies have been taking different measures and trying to sell their ser-vices to the domestic market. Modifying their services to appeal to the domestic consumers as well as divulging further into digitalization are recommendations to companies.