Abstract

Tourism sector has played an important role in economic development in Kretek district of Bantul regency. Tourism is main life style of Kretek People. Result of current research indicated that Kretek district has many superior destinations that have not been worked maximally. Its tourism product was stagnant and tourism attraction decreased. The condition requires government intervention as one of stakeholders particularly in determining policy and capital. Product diversification and revitalization should be done in the industry to improve quality and quantity of tourism product. The product is offered by Kretek destination as potential one. It is marketed by brand strengthening, promotion and partnership with other parties. Keywords—tourism; d evelopment; destination; marketing; industry; institution. I. BACKGROUND AND STATEMENT OF THE PROBLEM Tourism sector has played an important role in economic development of a region. The increasingly high levels of development and prosperity in community have actually made tourism as a fundamental part of the human needs or lifestyles and mobilized millions of people to get acquainted with the nature and culture in other parts of the world. Such movement of millions of people has in turn moved the interlinked economic chain into a variety of service industries, which make an important contribution to the economy as well as the improvement of economic welfare at local community level. There are tourism potentials in Yogyakarta Special Territory including natural, cultural and artificial tourism. Various performing arts developed well. Traditional and modern performing arts and modification of both may be found in people life. Cultural heritage in physical and non physical form and ritual are still kept and have strong root in the community. The rituals are done routinely by people and it is tourism potential that is appropriate for tourism agenda. In DIY renaissance strategy, tourism is the second strategic priority to develop in creating the province to reach vision of Yogyakarta Special Territory in 2025 as educational center, cultural center and tourism destination in Southeast Asia.

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