Homestay Tourism Promoting Local Entrepreneurship in Nepal: A Case Study of Sirubari Village, Syangja

Abstract

The main purpose of the study is to explore the Homestay Tourism Promoting Local Entrepreneurship in Nepal with references to Sirubari Village, Syangja. To meet the desired objective the study constituted three fundamental objectives as to study the tourists\' inflow trend during the study period of current five years, role of homestay business at promoting local entrepreneurship in the village and satisfactory level of homestay operators because of tourism business in the village. To accomplish the objectives, the study has incorporated descriptive and analytical research design using both qualitative and quantitative data from primary and secondary data sources determining samples from the population. Study selected samples using random sampling among the homestay operators and convenient sampling among the non -homestay operators. For the primary data collection the study used both structured questionnaires and open interview with the respondents. For the data analysis the study has used SPSS. With the analysis the study concluded that the trend of domestic tourists\' arrival was increasing whereas the trend of foreign tourists was fluctuated until 2019/2020 AD. However, because of global pandemic COVID-2019 the trend of domestic tourists\' arrival appeared to be miserable and the arrival of foreign tourists reached at nil. Similarly, homestay tourism in Sirubari found to be milestone to the local people as the homestay operators increased to twenty three from seventeen during this current five years and key factors of the entrepreneurship are empowered. In addition to these the study found that the most of the key factors of satisfactory level of homestay operators are highly appreciated.

Introduction

I.  INTRODUCTION

Tourism refers to temporary movement of people to destinations which are outside their native places of work and residence for purposes of recreation, pleasure, cultural exchange, education etc. It is believed that the Word ’Tourism’ is derived from the French word ‘Tourisme’ which originated in the 19th century and was cited for the first time in the Oxford English Dictionary in 1811A.D., and the meaning was “the business of providing accommodation and services for people visiting a place”. Tourism industry is the largest industry in the world and it is a complex as well. The movement of people from one place to another started since the beginning of human civilization. The people traveled place to place in search of food and required materials when they were hunters and gathers (Boukas, 2008).

History reveals that in the time of the ancient Greeks, travelers such as Herodotus (484-425 BC) visited countries and places such as the Black sea, Egypt, Athens and the Aegean Sea. Similarly, wealthy Romans traveled to Egypt and Greece, to visit sanctuaries, to have thermal baths, and for relaxation (Cristea, 2012). In 1936, the League of Nations defined a foreign tourist as "someone traveling abroad for at least twenty-four hours". Its successor, the United Nations, amended this definition in 1945, by including a maximum stay of six months (Safavi, 2012). In 1976, the Tourism Society of England's definition was: "Tourism is the temporary, short-term movement of people to destination outside the places where they normally live and work their activities during the stay at each destination. In 1994, the United Nation identified three forms of tourism in its Recommendations on Tourism Statistics: Domestic tourism, involving residents of the given country traveling only within this country, Inbound tourism, involving non-residents traveling in the given country and outbound tourism, involving residents traveling in another country.

Homestay Policy in Nepal focuses the Tourism development in Nepal dates back to the early 1950s following the successful ascent of Mount Annapurna by French mountaineer Maurice Hergoz, and 3 years later the successful ascent of Everest, the World's highest peak, by the Nepalese mountaineer Tenzing Norgey and Sir Edmund Hillary, a New Zealander (Thapa, 2012).  In 1985, the Kathmandu Research Centre carried out a detailed study on the prospects of village tourism in Nepal.

Positive suggestions from foreign visitors or tourists paved the way forward to clarify this concept. After a long battle, the government of Nepal included a village tourism program in its tourism policy, 1995 (Upadhyay, 2003).

Nepal government's 9th 5-year plan (1997 to 2002) and 10th 5-year plan (2002 to 2007) gave due consideration to village tourism and promised to establish 14 different village tourism destinations in each geographical region within 5 years (Pradhananga, 1993). With the objectives to share tourism benefits with the rural community, deliver tourism service with rural participation, improve living standard of rural community through income generation, use self-employment as a tool for rural and local development, inform the tourists about rural traditions, arts, cultures and livelihoods and give them opportunities to experience them, and make arrangement of simple and easy stay for tourists, the government of Nepal issued Homestay Operating Guidelines, 2011 on August 2011 to be effective from September 11. According to Homestay Association Nepal, there are 145 community based homestays in Nepal. Looking at the total number of homestays throughout the country within few years it is a rapidly growing business in Nepal (Nepal Rastra Bank, 2015).

Nepal Tourism Board (NTB) has adopted a policy of expanding rural tourism all over the country, and plans to develop rural tourism as an industry for poverty alleviation. Likewise, “Nepal Village Resort Private Limited” has been devoting to improve rural based tourism since 1997, which at first used the Sirubari village Syangja district to introduce rural tourism at Lamjung, Chitwan, Solukhumbu, Dhankuta, and Teharathum districts (NTB, 2006). The objective of the rural tourism is to attract tourists to natural areas and use the revenues generated for local conservation and economic activities

A. An Introduction to Sirubari Village

Sirubari village is a model and hill side located village with only 43 households and 60 inhabitants, mostly belonging to the Gurung indigenous community, including the families of retired soldiers of Indian and British armies. The village consists of 23 households offering guests accommodation at present. The village is neat and clean, very colourful and warm, while the people are friendly, well-educated and are enthusiastic about tourism. This renowned tourist destination is located in Adhikhola Rural Municipality-1, Syangja, Nepal. The village is totally unspoiled Gurung settlement set in the hills at 1610 meters above the Sea level (Survey, 2022). The climate is ideal all around the year. The community has taken the initiative to develop the village as an attractive tourist destination to occupy their free time for productive purposes and to generate a source of income. At least once a week, villagers organize a cleaning campaign in the village’s main trails and community area to make it aesthetically pleasant for the guests. Many mountain tourism destinations in Nepal are facing a deforestation problem due to the continuous supply of firewood to meet the growing needs of energy to tourists and local people and there is absence of alternative energy sources. However tourism of Sirubari has led to the adoption of alternative energy, 93% of the surveyed households have some sort of alternative energy sources such as improved cook stoves, biogas, and solar cooker. It won the "PATA GOLD AWARD 2001" in the Heritage and Cultural Heritage category (Survey, 2022).

The village is rich in natural and cultural heritage. The houses are mostly built from local arterials and are well constructed and comfortable. The major tourism resources of the village are local Gurung culture, livelihoods pattern, community forest, flowers- nursery, and the Thumro Juro view point. Gurung dances such as Sorathi and Gathu with some folk songs and dances are the cultural programmes to welcome and entertain the guests in the village. Every day after the lunch at about 8:00 pm the programs get started. During the homestay guests can participate in household activities such as cooking, cow or buffalo milking, harvesting crops, work in the kitchen garden as per their own wish and interest. On the last day, after the guest's breakfast the villagers get gathered in the Buddha Gomba and the Homestay Management Committee asks the guests to write some comments and their experience in the visitors’ book. Buddha priest delivers Tika and blessings to the guests praising with Sirubari Topi as a token of love and appreciation. Once again they are seen off from the village; people queue up in line and offer flowers and garlands. The prices are the same for all the rooms and this includes meals as well. Sirubari Village does not offer any luxurious room. Moreover, interestingly, the village does not have a single star hotel or guest house like in many cities and town, they just offer the clean accommodation in typical Nepalese style. Every house member in Sirubari is well trained to receive the guests with the right spirit. Staying with these families the guests feel more like at home. Each and every house in this village is equipped with all basic facilities that the guests may expect. The guests do not get a swimming pool in the village, but they can enjoy the glory of natural spring water coming down from the Himalayas. This unique experience does not only surprise the foreign guests, but also Nepalese visitors equally. Every evening is special in Sirubari. As soon as evening falls and the moon rises out of the clouds, the village echoes with the music of madal, khaijari and flutes (Survey, 2022).

The main objective of this study is to assess the types and inflow trend of tourists in the village, role of homestay business in promoting local entrepreneurship in Sirubari village, and the satisfactory level of homestay operators because of tourism business.

II. LITERATURE REVIEW

To make the study more reliable and comprehensive and accomplished the objectives. This study has incorporated available articles, research papers, bulletins, reports, survey and books of authors from different perspectives focusing on the field of tourism.

The tourism industry has been identified as one of the leading industries to drive development and economic transformation in developing countries (Sharif and Lonik, 2014). The tourism industry has experienced impressive growth where it contributes to foreign exchange contributing to economic growth, investment and employment opportunities as well as strengthening the services account of the balance of payments. The tourism industry is seen as capable of being an agent of change in the landscape of economic, social and environment of a tourist destination. As one of the most dynamic economic activities and the world's largest generator of wealth and jobs, tourism has been hailed as a 'pathway to prosperity for poor developing nations (United Nation World Tourism Organization, 2002).

Entrepreneurship is often associated with economic growth and development, generating new jobs, improving living conditions and technological progress. It is assimilated to prosperity in a society. Bowler and Dawood (1995) define the concept entrepreneurship as the creative activity where materials, capital, technology, and labour are mobilized to offer marketable innovative products and services to customers. An entrepreneur is a creator of the new products or services and sometimes a modifier of the existing products and business as well. In both cases, the activity of an individual is referred to as entrepreneurship.

Rural tourism or village tourism is one of the immense areas of entire tourism industry and it is one of the flourishing areas in the recent years. According to council of Europe rural tourism refers to tourism in rural areas together with all the activities that take place at those locations and it's most important features include peaceful surroundings, absence of noise, a preserved environment, communication with hosts, homemade dishes and learning about farm work. Rural tourism has a promising future because working city people are becoming ever more alienated from nature. Losing touch with the natural environment, eating industrially processed food, and suffering pollution by smog, noise and artificial lighting are the cause of discontent in modern people who increasingly choose to spend their vacations in a countryside setting where they can find peace and quiet, restore their strength and learn about a different way of life. Tourists often want to try their hand at working around domestic animals, in vegetable gardens or helping with food preparation (Jurdana, 2015: 2).  In homestay tourism, both the environment and culture are commoditized; market value is created with the demand of visitors. This provides financial reward to the local indigenous community for conservation of the environment and their culture (Bhan and Sing, 2014).

The classification guideline has classified homestay into community homestay and private homestay. The community homestay program should include at least 5 household units owned by separate families. The homestay privately run in urban areas is called private homestay.

1. Specification of Minimum Basic Standards:  The guideline has permitted each household to arrange maximum 4 separate rooms with at most 2 beds in each room for homestay. Also this guideline has clearly specified how the room, toilet, bathroom and kitchen to be managed and the minimum measures to be taken for guests' safety.
2. Formation of Committee: The guideline has required to form, a 5-member homestay operation and management committee. It is also allowed to add maximum of 6 members for inclusive participation of all the households in the committee.
3. Duties & Responsibilities of the Committee: The guideline has specified the key duties and responsibilities of the committee for arranging proper stay of guests, maintaining their records and income received, monitoring the households.
4. Institutional Support: The guideline has set a provision for formation of District Homestay Coordination Committee in each District Development Committee(DDC)  with member of DDC that looks after tourism sector of the district as a coordinator and representatives from government offices related to infrastructure development, health, education, communication, security, drinking water, electricity as members. The functions, duties and authorities of this committee have also been specified. Further, Nepal Tourism Board and Taragaon Development Committee have been discharged with the duties of promoting and marketing of homestay. Homestay trainings are made available in Nepal Tourism & Hotel Management Training Institute. The guideline has also required Homestay Association to cooperate government of Nepal in policy formation, management, promotion and formulation of uniform operating standards related to homestay.

A. Homestay Business and Entrepreneurship

Homestay entrepreneurs are homestay coordinators and homestay operators who manage, handle and run homestays as a source of income following the standards assigned by Homestay Management committee at local level and Ministry of Tourism and at central level. According to Osman & et. al. (2011 as cited in Nepal Rastra Bank 2015), there are many pull factors that motivate an individual to involve in homestay industry.

The main pull factor of homestay operation is desire to generate income doing business at home. Similarly, they further state that desire to spend free time creatively at home, desire for personal satisfaction, desire to own business, desire for a balance lifestyle and desire for a balance between work and family the people involve at homestay business. Home-stay tourism is a community-based program introduced by the Government of Nepal. The concept of homestay addresses the theme of eco-tourism in Nepal (Thahpalia, M. & et. al 2012).  The main attraction of rural tourism in Nepal is the taste of local flavour at homestay together with its natural beauty where tourists can experience the local culture and interact with the community. The program’s preliminary positive impact is on local economy, environment, and woman empowerment for sharing local benefits and its ownership (Adhikari, 2016)

Pradhananga (1993) found that the direct import content was 33.49 per cent in tourism sector, 17.34% in tourism related sector and 8.94 per cent in non-tourism sector. The increase in tourist expenditure leads to increase in imports and this was found to reduce the positive effect on the national economy. Arya (1999) presented another important study in planning models for Tourism Development with reference to Nepal. This study has attempted to highlight that traditionally tourism development plans have focused on increasing the number of tourists. It is presented in the study that it results in increasing annual income of the country. However, it has not been so; different sites have their own attractions. Due to certain advantages of selected sites, it is a natural tendency to develop these. Thus, Arya tries to suggest that it is not necessary that development of tourism in all areas are equally rewarding. Shrestha (1999) highlighted tourism industry having great prospects in Nepal. The study has observed that average growth rate of tourist arrival in Nepal form 1975 to 1997 is 7.27 per cent per year. She concluded that the correlation between tourist arrival and foreign exchange earning in terms of US $ shows the important of tourist arrivals for the economy. Upadhyaya (2003) concluded that the economy of Nepal lacks in terms of industrialization. Therefore, tourism sector has the potential to link the backward Nepalese economy with the forward economics and to induce the other sector of the economy. Rizal (2005) found that the total of 275,468 tourists visited Nepal during 2002 representing a decrease of 33.7 per cent over the previous year 2001. Likewise, a total of 338,132 tourists visited Nepal during 2003 representing an increase of 22.7 per cent over the previous year. The month of October covers the largest no of tourist arrival whereas July is the month with less tourist arrival during the year 2003 with compared to the other months. The total yearly income covered by tourism is high during the months September to February followed by the months July to August. Only the less portion of income covered during March to June.

Nepal Tourism Board (2006) in “Rural Nepal Guide Book” Nepal is one of the richest countries in the world in terms of natural cultural beauty due to its geographical position and latitudinal variation with in this spectacular geography are some of the richest culture of Himalayan heritage and it has also invited tourist to meet the lovely people of rural Nepal share a meal with them, stay at their houses and family guests, taste their local drink and see them carry on with life graciously. As well they are expected to receive the heart-warming hospitality, to witness some of the most spectacular views of the mountain landscapes or heritage sites along the way.

III. METHODOLOGY

A. Research Design

To achieve the objectives this study has used descriptive and analytical research design. This study has used some statistical tools to examine facts and describe the results logically. The study has investigated empirical problems with this approach using questionnaire and opinions without injuring respondents' feelings or sentiments.

B. Population and Sample

The entire population is only 43 in that case 100 per cent sample is desirable. In most of the cases the sample size determination depends upon heterogeneity and homogeneity of the variables. The research has selected 19 homestay households among the entire 23 homestay households under random sampling. Similarly the research has selected 10 out of 20 non homestay households under convenience sampling procedure.

C. Nature and Sources of Data

The study has used primary data collected through questionnaire, interviews and filed study. The study has interviewed altogether 19 homestay operators and 10 non-homestay houses during the field survey. Similarly, the study has collected secondary data from various published and unpublished materials from related organizations, publications of Central Bureau of Statistics, Ministry of Culture, Tourism and Civil Aviation, relevant literatures, previous studies and the different archival sources

D. Data Analysis Tools

The research has reviewed the data obtained to avoid the problems and ambiguities. The study has used SPSS to analyse both the quantitative and qualitative data obtained.

Regarding Time Frame for the study it takes about 10 weeks' time. The required data collection from various sources takes about 3 weeks. The data coding takes 2 weeks, data analysis and interpretation takes 3 weeks.  Finally the report generation takes the rest of the expected time.

IV. RESULTS AND DISCUSSION

The research has presented, interpreted and analysed the data collected for fulfilment of the objectives of the study. The data is in terms of the number of tourists' arrivals in Sirubari, income and investment pattern, and satisfaction level homestay operators.

A. Tourist Inflow Trend

Tourist inflow started in Sirubari after its declaration as tourism village since 1998 A.D. However, the study has collected and presented the data of tourists' inflow from the year 2016/17 to 2020/21 A.D. and found that the tourists' inflow trend in Sirubari has ranged between 1 thousand 9 hundred fifty six and 5 thousands 1 hundred eleven. The minimum number of tourists which is 1 thousand 9 hundred fifty six visited Sirubari in 2016/117A.D. Similarly, the maximum number of tourists which is 5 thousands 1 hundred eleven has visited the place in 2020/21 AD. However, the number of tourists reduced to 2 thousands ninety eight decreasing drastically in the year 2021/22 AD.

Figure 1 shows that the arrival of domestic tourists throughout the years up to 2019/20 had increasing trend, whereas the arrival of foreign tourists during the period had fluctuating trend. However, arrival of both the domestic and foreign tourists in the year 2020/21 has been reduced drastically.

Regarding the drastic decrement of the tourist inflow trend in Sirubari in the year 2021/22 the research has made inquiry with the  question to  the Treasury of Homestay Management committee, why do the tourists inflow trends decrease drastically with reaching foreign tourists inflow zero in the year 2022? For the query the he replied "It is because of global pandemic COVID, 2019". It means the village could not be free from the impact of the global pandemic COVID-2019.

B. Homestay and Local Entrepreneurship

The study has discussed the topics 'Homestay Tourism and Local Entrepreneurship' in terms of five sub-topics such as motivational factor, number of members involved in homestay, installed, accommodation capacity, available services at homestay and benefitted persons from homestay. The research has taken data from 19 respondents of sample homestay households and found that the motivational factor- income stood at rank 1, employment and preservation of culture and natural environment stood at rank 2, insisted from others stood at the rank 3, and finally involvement of family members and network relation both stood at the rank 4 with corresponding response of 31.56 percentage, 21.05 percentage, 15.79 percentage and 5.26 percentage of households.

The study has made the gender-wise classification of total number of family members of the households involved in homestay in terms of their involvement types to make the study homestay and entrepreneurship completed. The study found that 56 members from those 19 sample homestay households are involved in the homestay business affairs. Among these members 34 are female and 22 are male. Out of the females 30 are full timer and the rest ones 4 are part timer. Similarly out of 22 males 16 are full timers and the rest 6 are part timer. Similarly, among the females involved in the business 88.23 percentages are full timers and 11.77 percentages are part timer whereas among the male members 72.72 percentages are full timers and the rest are the part timer.

An analysis of the accommodation service capacity is required not in terms of beds available but in terms of beds offered. After discussing with the TDMC members, it was found that 100 percentages householders can accommodate the guests in peak times, 50 to 70 percentages in moderate times and 10 to 40 percentages in lean times.

The study found that the homestay householders have arranged total 47 rooms for guests' stay. There are 15 single-bed rooms, 16 double-bed rooms 5 tripled-bed room and the rooms having more than 3 beds are 11respectively. Single-bed rooms have occupied 31.91 percentages, Double-bed rooms have occupied 34.04 percentages, triple-bed rooms have occupied 10.64 percentages and more than triple-bed rooms have occupied 23.40 percentages. Hence, in a night, 104 guests can stay in Sirubari homestay. With this accommodation capacity, Sirubari homestay is charging NRs. 200 guest per night at present.

The available services at homestay, in most of the homestay rooms, guest finds a pair of wooden study table and chair, a small tool, a mirror, a water jug, a water glass, a mosquito net, a mattress, a pillow and a blanket covered with white cotton clothes and a slipper, all are arranged for the guests' rest and convenience. The households have arranged ceiling fan and electric lights in the rooms for the guests’ convenience. Services delivered to the guests for easy accommodations are laundry service, daily cleaning and change of best sheets, local food and beverage services, free-wifi, and others. The study found that all 19 households provide all accommodation services to the guests. The operators serve local food and beverage to the guest on ask-basis.

The study of benefitted persons from homestay that includes the homestay operators, local shopkeepers, local people, musical persons and employees on different topics on non-homestay households' view. The study found that most benefitted people are homestay operators of the village tourism in Sirubari. 19 people agreed that homestay operators were mostly benefitted than other professional people. Only 3 respondents agreed that village tourism had supported at local employment. 25 percentages respondents agreed that local people besides homestay operators are benefitted from the business. 14 percentages respondents agreed that the business supported musical persons. Only one respondent accepted that it had supported at local employment.

The study found that minimum income level and maximum income level of homestay operators ranges between NRs. 180,000 and NRs. 720,000 annually. Among the households 5.26 percentages households annually earned below NRs. 200,000. Likewise 52.63 percentages homestay households annually earned NRs.200,000 - 400,000, 36.84 percentages households annually earned NRs. 400,000-600,000, and 5.26 percentages households annually earned NRs. 600,000- 800,000 respectively.

The study found occupational status of the family members of homestay households at present that 11 male people are on foreign employment. Similarly 10 people involved in agriculture, 4 people are in government service, 4 people involved in private- business, 3 people as tourist guide, and 2 people in other profession respectively.

C. Satisfactory Level of Homestay Operators

The level of satisfaction of the homestay operators which includes the nine key factors such as improvement on financial condition, living standard, social network and bonding, obstacles on home affairs and children education, guests behaviour, future prospects, community's attitude towards homestay and income from tourism business in terms of dichotomous questions 'Yes' or 'No' in the study. The study found that out of the 19 homestay operators taken in sample, 100 percentage respondents are on the favour of improvement on financial condition, living standard, social network and bonding, future prospects, community's attitude towards homestay and income from tourism business. Likewise 94.26 percentages of respondents are on the favour that homestay tourists behave fairly means 5.26 percentage of the total respondents are on the favour of the tourists in homestay behave unfairly to the operators. Also the study found that 5.26 percentages of the total respondents are on the favour that homestay tourism has hampered on children education in the village. Finally 26.32 percentages of total respondents are on the favour of homestay tourism hampered home affairs.

Appendix: I

Tourist Inflow in Sirubari

Source: Tourism Development Management Committee Sirubari, 2022

Appendix: II

Motivational Factor

Appendix: II

Members' Involvement

Installed Accommodation Capacity

Available Services from Homestay

Appendix: II

Benefitted Persons from Homestay

Appendix: II

Annual Income from Homestay

Appendix: II

Occupational Status of Homestay Households

Appendix: III

Satisfactory Level of Homestay Operators

Conclusion

The homestay operators and non-homestay people seemed satisfied with the inflow of tourist in the village. During the study period the total 16406 tourists had visited the village. Out of them 456 were foreign and 15950 were domestic tourists. However, because of global pandemic COVID-2019 inflow of tourists decreased drastically resulting the inflow of foreign tourists to nil. The inflow trend of domestic visitors is greater than foreigners in the village due to the lack of publicity and advertisement. Regarding the role of homestay tourism on entrepreneurship in Sirubari, key motivational factors for homestay initiation are income empowerment and cultural and natural environment protection. Sirubari is female-led and female-managed as 60.71 percentages of total homestay operators are females. The reason behind is most of the males have gone to abroad for employment. Accommodations facilities are fully- provided to the guests with increased capacity than of the period earlier to this study period. All villagers of different professions are sufficiently benefitted from the homestay entrepreneurship. Majority of homestay operators earned about four lakhs rupees yearly from the home stay business. Finally, all the key elements that constitute the satisfaction level of the homestay operators, acquired acceptance from more than 75 percentages of the total respondents from the study

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Copyright © 2022 Ram Chandra Bhandari, Laxman Thapa , Amrit Thapa . This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.