Abstract
Tourism is a major industry in the Nepalese economy. It provides the second largest source of hard currency earnings for the Himalayan Kingdom. After strong annual growth rates in the previous two decades, advances in the 1980's have been disappointing.Numerous suggestions have been made regarding the source of this stagnation. Many of these “causes” attribute the lack of growth to external factors; recessions, regional conflicts, oil shortages and Indian policy. While world economic conditions and violence in India affect Nepalese tourism, internal and possibly alterable factors may be slowing the growth in the tourist market. Analysis of the tourism data suggests that visitors are older, more often males than females and increasingly interested in trekking. Hotel and air travel capacity may be constraining growth. Lack of promotion in major markets inhibits expansion. Allocating scarce resources to meet the needs of a changing consumer market is an option that could prevent the pause in tourism growth f...
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