Business and Tourism Management: A Case Study on Sustainable Solutions for Overdevelopment in Package Holiday Tourism in Mallorca, Spain

Business and Tourism Management

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Chapter One: Introduction, Definitions, and Overview

1. Aims and Objectives of the Case Study

This case study discusses the overdevelopment problem related to package holiday tourism in Mallorca, Spain, and recommends sustainable solutions using the framework of Corporate Social Responsibility. Objectives include the impacts affecting Mallorca, the concepts associated with sustainable tourism, and developing a plan to reduce the undesired effects while enhancing desired ones applied using CSR frameworks for long-term sustainability.

Figure 1: Spain Mallorca

(Source: https: www.neverendingfootsteps.com/things-to-do-mallorca-spain/)

2. Definitions

• Tourism Impacts: Tourism impacts refer to the economic, sociocultural, and environmental alterations caused by a destination's tourism activities, often assumed to be generally positive or negative (Mason, 2020). Positive impacts may include increased earnings, employment generation, and cultural exchange. Negative impacts often involve environmental degradation, cultural commodification, and onsets of strain upon local resources.

• Sustainable development: It means all the aspects of development geared toward prolonging the same for generations yet to come without compromise (Hajian and Kashani, 2021). Meeting the needs of the present without compromising the ability of future generations to meet their own needs is the essence of sustainable development. That's ensuring the long-term perspective about resource use and development- combining environmental protection and economic development with social well-being.

• Ecotourism: It is a responsible tourism that adopts the concepts of conservation, community involvement, and sustainability (Hussain, 2022). Tourism involves traveling to natural areas that may not necessarily deteriorate the environment but instead support the local communities. For instance, a wildlife observation tour in which a visitor experiences the natural habitat without it getting harmed.

• Ethical Tourism: Ethical tourism is the act of making responsible choices with the intention of not causing harm to the host destination (Koš?ak and O’Rourke, 2023). Ethical tourism ensures that tourism-related activities at a destination do not create harm or take advantage of the host destination. For instance, one example of ethical tourism is choosing a destination with accommodation that supports fair labour practices and also respects environmental standards.

3. Destination Overview

Mallorca is one of the island regions in the Balearic Islands of Spain, with vast scenic coastal areas, vibrant culture, and diverse landscapes of beaches, mountains, and countryside, making it one of the prime destinations for family package holidays (Guides, 2022). These are pre-arranged tours with accommodations meant to serve the needs of tourists for leisure and convenience. It hosts millions of tourists every year, and it is the package holidays that form a considerable share of the tourism sector as a whole. Such packages usually contain either all-inclusive resorts, guided tours, or transportation, all of which add a significant share to the budget of Mallorca and the Balearic Islands.

This increased popularity of package holidays in Mallorca has seen a tremendous boost in the economy, thus bringing much-needed prosperity to the local community and uplifting infrastructure development (Fletcher et al., 2020). However, it also poses significant challenges, including overdevelopment, destruction of the environment, and socio-cultural change. Overdevelopment and the construction of vast resorts and tourism-related infrastructures at the coast have strained local resources, broken natural habitats, and impacted on the landscape.

4. Coverage of the Case Study

Overdevelopment of package holiday tourism in Mallorca: This case study will focus on the overdevelopment aspect related to package holiday tourism in Mallorca. Moreover, there will be discussion about the positive and negative impacts of tourism, economic benefits, environmental degradation, and socio-cultural effects. Origins and concepts of sustainable tourism shall then be deliberated about the relationship between sustainability, ecotourism, and ethical tourism. The study will center on how to apply CSR principles to address the problems brought about by over-development in the tourism sector of Mallorca.

Strategies to monitor the effects of overdevelopment using sustainable tourism approaches such as judiciously limiting development in environmentally sensitive areas, responsible tourism behaviour, and community engagement will be presented (Edgell Sr, 2019). The impetus of key stakeholders such as government, tourism operators, and local communities for driving CSR-oriented sustainable practices will also be addressed.

Multiple sources will be used for research, including academic literature and industry reports, as well as reputable online sources, to compile a complete analysis of the sustainable issue at hand. Through the course of this study, insight should be gained into how the island of Mallorca can meet the needs of the booming tourism industry it seeks to capture without destroying the natural and cultural heritage upon which that boom is built for long-term sustainability and the positive experience it can offer to residents and tourists alike.

Chapter Two: Origins of Sustainable Tourism

1. Origins of Sustainable Tourism

Sustainability in tourism and sustainable tourism was developed as a form of response to mass tourism in the latter half of the 20th century (Sharpley, 2020). Rapid growth in tourism in general, and especially in mass tourism, was exposing these destinations to various socio-cultural, economic, and environmental challenges. In places like Mallorca, dependent on the tourist industry, the economic advantages of rapid growth came coupled with the worst impacts of the same growth- namely, the destruction of the environment and loss of culture.

Sustainable tourism came about to answer these challenges, as it aimed at promoting tourism that was impactful to the economy yet non-detrimental to the environment and benefits the locals. It became prominent in the years of increasing concern over the environment during the 1970s coupled with the recognition of the value of cultural heritage. Recognising, as far back as the 1987 Brundtland Report, the need for balanced economic growth, social equity, and environmental preservation led to the formulation of sustainable tourism models based on those principles.

Mass tourism, characterised by rapid economic development with significant infrastructure expansion in the 1960s and 1970s, resulted in high numbers of tourists coming to Mallorca (Murray et al., 2019). However, this growth had a great cost associated with it, such as environmental degradation, over-development, resource depletion, and pressure on communities at home. These presented a need for new sustainable approaches to tourism that were developed with minimisation of negative impacts while ensuring long-term viability for the island.

Figure 2: Sustainable Tourism

(Source: https: www.yonature.com/sustainable-tourism-green-tourism-ecotourism-explained/)

2. Sustainability, Ecotourism, and Ethical Tourism

This then brings in the sustainability in tourism management; in that is related to managing resources today in a way that meets the demand of those in the present without jeopardising the ability of generations to come to meet their needs. It encompasses three aspects: environmental preservation, social equity, and economic growth. Sustainable tourism develops in three phases energy conservation, waste minimisation, supporting the locals, and creating balanced long-term benefits for both the tourist and the host community.

Ecotourism is a form of sustainable tourism that focuses in particular on natural areas, conservation, and education (Salman, Jaafar, and Mohamad, 2020). It calls for less environmental impact and means the sharing of ecosystem benefits with local communities. Examples of it include wildlife observations and nature-based tourism like educational activities in tourist areas about the environment. Such initiatives will be able to address the pressures of overdevelopment faced by this natural landscape in Mallorca.

Ethical tourism emphasises the moral aspect of tourism. Ethical tourism advocates for environmental concerns and makes sure that tourists treat their host communities justly (Fennell, 2019). The idea deals with responsible decisions by the tourist, such as the avoidance of exploitative practices, respect for customs, encouragement of local private enterprise, and more.

3. Over tourism, Consumption and the Wicked Problem

The term overtourism simply means a situation in which the number of visitors becomes overwhelming, exceeding the people's capacity, straining the local infrastructure, causing environmental degradation, and sowing dissatisfaction within the host community (Volo, 2020). Destinations like Mallorca have indeed faced the issues of over-tourism mainly during peak seasons when the sheer quantity of tourists served by the local structure overwhelms the capability of the infrastructure.

A "Wicked Problem," therefore, best describes overtourism—a complex problem with no simple or definitive solution (Pforr et al., 2024). The problem involves multifaceted stakeholders: tourism operators; residents; governments; and tourists themselves. For example, while tourism operators may focus more on profitability and the headcount of tourists, residents are more concerned about the quality of life and protection of the environment. Solution development therefore becomes problematic since it requires collaboration and concession from each party.

Overtourism has caused some of these problems, from street congestion to waste problems, increased cost of living for permanent residents, and even environmental pressure on the coasts and the rural areas (Dodds and Butler, 2019). All the large-scale resorts built to house millions of package holiday tourists have resulted in habitat destruction and water scarcity since tourism consumes water products largely on the island.

4. Range of Tourism Impacts

Impact	Positive	Negative
Economic	Increased employment	Seasonal jobs, low wages
Environmental	Awareness for preservation	Habitat destruction, pollution
Socio-cultural	Cultural exchange opportunities	Erosion of local culture and values

• Economic Impact:

Tourism, however, remains a vital source of income for Mallorca and offers employment and boosts small businesses. The economic benefits of tourism create further local employment opportunities, increase infrastructural investments, and enhance revenues from taxes (Saner, Yiu, and Filadoro, 2019). The majority of the tourist jobs are seasonal and of lower wages, which results in the insecure earnings of the locality's workers. Moreover, the direct dependence on tourism compromises Mallorca with economic downturns or alterations in tourist practices due to world crises, such as the current global financial crisis.

• Environmental Impacts:

Promotion of Environmental Preservation Tourism in Mallorca has educated people in the area about the want to preserve the environment, while some activities are supportive of environmental preservation (Shuo, 2018). While, at the same time, mass tourism also produces various negative impacts on the environment, including resort construction that causes habitat loss, increased traffic and waste emission that leads to pollution, and overexploitation of natural resources, including water.

• Social and cultural impacts:

Tourism can aid in cultural exchange and understanding. On the other hand, it can bring about a very large number of people that makes local traditions lose their base. Overcrowded tourism can outweigh local customs due to exaggerated demands. In Mallorca, the commodification of culture in the services provided has resulted in a loss of authenticity in culture (Vives Riera and Obrador, 2020). At times, such considerations for tourists end up alienating or marginalising local communities.

5. Sustainable vs. Mass Tourism

The key distinction between sustainable and mass tourism is based on their purposes and long-term consequences. Sustainable tourism focuses on achieving harmony in the three different dimensions of goals, namely, the environmental, social, and economic perspectives (Ribes and Baidal, 2018). Sustainable tourism minimises adverse environmental impacts, conserves natural and cultural resources, and ensures that local communities benefit from activities for visitors. Instead, mass tourism primarily focuses on profits, the number of tourists, and quick revenues. Such an approach may end up in unsustainable practices, like overdevelopment, exploitation, degradation, and poorly distributed economic gains for the local population. Moreover, Mass Tourism in Mallorca is mainly represented by package holiday-based models, highly attracting large groups of tourists to the island, hence facing overdevelopment and resource pressures.

Chapter Three: The Nature of Selected Destination

1. Routes from the UK to Mallorca

Mallorca, the largest of Spain's Balearic Islands, is a prime source of tourist attraction for UK holidaymakers because it is accessible. Many flights operate from all major UK cities such as London, Manchester, Birmingham, and Edinburgh, which provide scheduled and charter services. Approximate flying time from the UK to Mallorca's Palma de Mallorca Airport is about 2.5-3 hours in a direct flight. Flight costs vary widely depending on season, airline, and date booked; nonetheless, one-way ticket costs generally range from £50-£200. Budget airlines include prices of easyJet and Ryanair charge the most minimal fees, while full-service airlines like British Airways charge more for a few more comforts and amenities. Many departing destinations have direct flights into Mallorca, while competitive ticket prices make it easy and affordable for UK sun-seekers to choose Mallorca for their holidays.

Figure 3: Route from London to Mallorca

(Source: https: www.flightsfrom.com/LCY-PMI)

2. Description of the Tourist Type Chosen

For several million holidaymakers every year, the two-week package holiday forms a large part of Mallorca's tourism product. These package holidays-mainly sold by international tour operators-combined accommodation, catering, and leisure facilities and are dominated by the coastal product. Package holidays are an ideal package for families and meet the measure due to convenience, affordability, and an all-rounded experience of a vacation, considering accommodation, transportation, and leisure for a fixed cost. It is primarily an all-inclusive resort situated along Mallorca's coastline, offering beaches, pools, organised excursions, and evening entertainment. Such packages in this promotion are chic among UK tourists for relaxation and minimal travel planning.

While the two-week package holiday has been very successful as a tourist attraction, it has also played a part in the mass tourism phenomenon in Mallorca. The concentrated development along the coast in terms of sun, sand, and sea issues in the long-term sustainability of the island. Package tourism, while economically productive is also perceived to involve high environmental consumption with, in many cases stressing local resources.

3. Major Tourism Impacts

Mallorca tourism has provided various positive and adverse impacts on the island, bringing about many socio-economic and environmental changes.

Positive Impacts:

Tourism has been among the major sectors that have increased economic growth in Mallorca. It offers both sources of income to the locality and, therefore large employment opportunities. The services consumers, such as hospitality, retail, and entertainment, directly impact local businesses. In addition, tourism has also stimulated the development of roads, airports, public transport, and utilities, hence enhancing the lives of dwellers as well as visitors.

Negative Effects:

Although the high-rise tourism expansion in Mallorca has brought with it some economic benefits, there have been highly undesirable effects on the environment, including habitat destruction and overdevelopment of coastal areas, which have disturbed local ecosystems because of resort constructions and hotels. The increase of tourists on the island has further exhausted the water resources, which already suffer from water shortages during summer vacations. Mass tourism has also posed another challenge: pollution, both in terms of an increase in waste and carbon emissions due to the high volume of flights. On the socio-cultural side, the impacts include a change in local values since some of its residents have been alienated or lost touch with their previous way of life due to the influence of tourism.

4. Key Tourism Stakeholders

Stakeholder

CSR Activities

Future Aims

Local Government

Regulating hotel construction, waste management policies

Promote sustainable tourism alternatives

Tour Operators

Offering eco-friendly packages

Increase partnerships with local communities

Hospitality Sector

Implementing water and energy-saving measures

Reduce carbon footprint, expand renewable use

• Local Government:

The core competencies of the CSR of the government of Mallorca include its stake in managing the pace of tourism development, imposing restrictions on the construction of hotels to arrest overdevelopment, and establishing schemes for waste management as such an influx of tourists generates a greater volume of waste. In the future, the local authority will promote alternate and sustainable tourism, such as eco-tourism, which will attract responsible and environmentally-conscious tourists to alleviate the strain of mass tourism on the environment.

• Tour Operators:

International tour operators are of paramount importance for bringing millions of tourists to Mallorca through package holidays (Vicente Stenhouse, 2023). Some are exploring green packages, among other things, focused on issues of sustainability, such as nature tours, cultural experiences, and eco-friendly hotels. The operators would like to establish partnerships with local communities to ensure that the economic fruits of tourism are better distributed and listened to in tourism planning.

• Hospitality Industry:

For the island hospitality industry, all hotels and other establishment providers must adopt sustainability. In the majority of areas, hospitality venues have begun to adopt different measures such as conserving water, using energy-efficient appliances, and minimising plastic use among many others. What they need moving forward is to keep decreasing their carbon footprints through investing in renewable energy sources such as solar panels and upscaling recycling programs.

Chapter Four: Challenges to Implementing Sustainability in Tourism

1. Common Challenges in Implementing Sustainable Tourism

Sustainable tourism should strive to minimise its negative impacts while maximising the long-term benefits for destinations, such as Mallorca (Shuo, 2018). However, this means of sustainable tourism is beset with many challenges. One of the significant challenges originates from balancing the considerable economic benefits tourism brings to the island with the need to protect the environment and preserve local communities. The bulk of Mallorca's revenue is derived from tourism, and most people on the island are employed in the sector. This consequently makes the sustainability measures strictly enforced by the island leaders quite challenging since they might negatively impact the economy.

Another big constraint is the fact that the industry is seasonal: given the peak seasons when people want to visit and experience Mallorca tourism, there is undue pressure on the island's infrastructure and natural resources, which in turn causes critical water shortages, littering, and traffic jams during summer. Even in off-season periods, industry workers and businesses lose revenue, which means it's also not economically feasible to operate during those periods.

Indeed, the management of the vast networks of stakeholders in the tourism sector in Mallorca is quite a challenging task: government, private enterprises, international tour operators, and local communities (Escudero-Gómez et al., 2022). Priorities may vary significantly between stakeholders: for instance, the government may emphasise sustainability, while businesses value higher profit and tour operators, maximise numbers. Therefore, agreeing on how the sustainability goals and practices ought to be carried forward can be quite a tough assignment, especially about economic, environmental, and social goals.

Engaging and empowering local communities to participate and be supportive of the tourism effort is also important, but this can be difficult to achieve. Most local people benefit indirectly from the tourism economy, although they may not necessarily be mobilised for debate on sustainable tourism or fully appreciate the long-term environmental threats of over-development. Sustainability initiatives will prove less likely to be effective without local support.

2. Sustainability Issue: Over-development

Overdevelopment along the coastline is currently the major sustainability problem facing Mallorca (Shuo, 2018). Much of the Mallorcan coast has seen all-inclusive resort construction as demand for these resorts comes at the expense of natural habitats and ecosystems. Over-development serves to reduce not only the very beauty of the island, which is a primary draw but also the environment. These include destruction of habitat and soil erosion due to over construction. Places with pristine beaches and natural habitats were transformed into concrete-based constructions, which affect biodiversity and the quality of the ecosystem of that particular place.

Besides damaging the environment, over-development places a great burden on the island's infrastructure. This can lead to shortages due to high demand, a particular problem during dry summer months, and affects both the residents and agricultural sectors that also rely on the island's water resources.

Another contribution to overdevelopment is increased pollution. Resort areas have high concentrations of tourists leading to higher levels of waste production that may range from plastic and other litter; food to be disposed of or sewage. Local systems at times may not cope with the amount produced, thus causing a desperate situation in reducing the waste.

Over and above the environmental effects, the social effects of overdevelopment should not be ignored either. It would show the destruction of culture in the case of highly developed areas, as tourism pressures leave the cultures behind by surrendering the traditional ways of living. Mass tourism almost favours commercial activities that are not concerned with such cultural expressions. An increase in property prices and development focus on tourist areas can also further deteriorate housing affordability for residents.

3. Barriers to Conquer Overdevelopment

Overcoming overdevelopment in Mallorca is not a challenge as such; it involves such major challenges as overcoming hurdles. For example, new construction restrictions enforcement on all developments requires government action, which will be very politically and economically challenging. Because tourism constitutes such an important economic engine for Mallorca, less strict rules and regulations are often offered to not interfere with the short-term activities. Local governments are under pressure from developers, business entrepreneurs, and other interest groups who prefer the continuation of growth for their benefit, even though it may be unsustainable in the long term.

Another challenge facing firms is a change in consumer behaviour. Many tourists go for the easy and affordable prices charged by these resorts, with profit-making over sustainability becoming their priority. Therefore, there is a great need to sensitise both the tourists and the tour operators on the benefits that come with selecting environmentally friendly and socially responsible travel options. However, sparking an avalanche of attitude and perception change is not an easy feat. For it to work, it needs constant storytelling and effort on the part of different key stakeholders to create a sustainable shift.

Chapter Five: Conclusion

1. Summary of Key Findings

This case study was about the overdevelopment problem in the package holiday tourism sector of Mallorca, Spain, and it referred to the need for sustainable tourism solutions guided by CSR principles. Tourism remains the economic lifeblood of Mallorca, propping up employment and supporting the local economy, but at the same time it brings massive negatives in terms of environmental degradation, resource stress, and local cultural depletion. Overdevelopment, however, will remain the greatest sustainability concern in Mallorca, especially along its coastlines, because of the continued huge demand for all-inclusive resorts-along with habitat destruction, soil erosion, and stress on infrastructure. Issues revealed in the study include the derivation of sustainable tourism as well as its concepts, in which the satisfaction of economic, environmental, and socio-cultural considerations should be balanced. All these-three: sustainable tourism, ecotourism, and ethical tourism-engage themselves in responsible practices. The problem over-running Mallorca is described as a "Wicked Problem" because it is complex, particularly where conflicting interests of the stakeholders are involved.

Some of the key stakeholders in tourism include the local government, international tour operators, hospitality businesses, and the tourists themselves. Some CSR activities do exist: ecological packaging, use of energy-saving measures, and regulation of hotel construction, for example. However, much more concerted efforts would be required if this island were to take overdevelopment issues seriously in a sustainable way.

2. Resolution of Overdevelopment

This strategic plan to address the problem of over-development of the holiday tourism of Mallorca should converge with the long-term goals of the future on Mallorca Island, interests of various stakeholders who are concerned with island's tourism, and CSR principles. The following recommendations are those which would help in framing resolution of these challenges:

1. Limit Further Development in Areas of Overdevelopment

In ensuring that the developments remain sustainable in the long run, the government should enforce more stringent rules for land use that will impose limitations on further developments in the highly environmentally sensitive areas, especially coastal areas. This will cut off habitat losses and increase the strain on infrastructure.

B. Foster and Nurture Sustainable Tourism Alternatives

Break down the mass tourism reliance on the island by promoting sustainable tourism alternatives to attract residents of the island and tourists alike through efforts by the government in collaboration with tour operators. This will include promotion of eco-friendly accommodations, off-season tourism, packages based on cultural, rural, and nature-based tourism.

C. Stakeholder Collaboration for Infrastructure Improvements

Effective collaboration among stakeholders is the key in solving overdevelopment in Mallorca. Collaboration between the local government and the residents in addressing initiatives that better improve infrastructure such as the new water treatment facilities, efficient waste management systems, and renewable energy solutions will ensure that tourism development will be more holistically integrated with the needs of the locals and cause lesser harm to nature.

D. Focus Community Engagement and Education

Local communities are catalysts to promote sustainable tourism. This shall be facilitated through focusing on community engagement and education programs that increase awareness regarding the negative impacts associated with overdevelopment and the benefits of sustainable tourism.

E. Diversification of the Economy

The development of other sectors in Mallorca's economy would be crucial in reducing the over-concentration of mass tourism in the island. Investments in agriculture, renewable energy, and technology can create alternate employment that decreases the pressure to overdevelop tourism infrastructure.

F. Green Certifications and CSR initiatives for businesses

Encourage hospitality industries to take up green certification initiatives in consonance with the principles of CSR. Encourage hotels and resorts to adopt energy-saving measures, manage their water intake, and reduce waste. Give them some form of certification or promotional benefits, for instance. Tour operators should target the certified green business but communicate their commitment to sustainable tourism to the target customers.

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