It is often postulated that
local or regional governments should self-direct and play a greater role in tourism development because
structural changes and impacts have the greatest effect and can be more readily observed at the local level
(Adams, Dixon and Rimmer, 2001; Milne and Ateljevic, 2001; Pavlovich, 2003; Haung, 200
) and, at this level,
institutional modifications and planned intervention are more likely to be effective (Roberts, 200
; McLennan,
2005; Sebastian and Rajagoplan, 2009).
Arguably, tourism can deliver socio-cultural transformations (Ratz, 2000; Sebastian and Rajagopalan, 2009). Transformation theory is about structural
change that results from modifications of human institutions (Seliger, 2002).
Paradoxes often occur if tourism is adopted simply for the economic benefits it can provide, such as
employment opportunities, increased income and standards of living and improvements in infrastructure
(Archer and Cooper, 1998; Lindberg, 2001; Liu and Var, 1986; Allen, Hafer, Long and Perdue, 1993) as it can also have
negative impacts, such as inflation, leakage of tourism revenue, changes in value systems and behaviour,
crowding, littering and water shortages (Buckley, 2001; Ceballos-Lascurain, 1996; Mathieson and Wall, 1982). Social norms and cultural beliefs are critical to the tourism transformation process which indicates that
resident attitudes and perceptions need to be understood and monitored (Johnson, Snepenger and Akis, 199
;
Sheldon and Abenoja, 2001; Choi and Sirakaya, 2006). These studies have often been undertaken for two primary
reasons: to overcome barriers to successful and sustainable tourism development (commonly termed
paradoxes) and to provide insight into the level of impact tourism has on the community (Diedrich and Garcia-
Baudes, 2009). A number
of other studies have linked community perceptions towards visitors with the Tourism Area Life Cycle (TALC)
model (Butler, 1980), giving rise to concepts of carrying capacity and management across the triple bottom
line (Belisle and Hoy, 1980; Coccossis, 2002; Diedrich and Garcia-Buades, 2009).
When considering tourism planning, a key concern in the tourism transformation literature is the role and
responsibility of government (Haung, 200
; Briedenhann and Butts, 200
; Pavlovich, 2003; McLennan, 2005). As the transformation process is
intertwined with human institutions, a detailed model of the process must consider both structure and
institutions; yet many structural models omit institutional factors and this has been considered their greatest
weakness (Williamson, 2000). Institutions are collective human-
designed action, such as government strategies, plans, policies or laws, business or industry norms, social
norms, cultural beliefs or the general patterns of consumer behaviour (Mantzavinos, North and Shariq, 200
).
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