IMPACTS OF PRIVATIZATION OF ATOURIST DESTINATION ON HOUSEHOLDS' SOCIO-ECONOMIC CONDITIONS CASE: PRIVATIZATION OF TELENG RIA BEACH, PACITAN REGENCY, INDONESIA

• Main Authors: , Tulus Widaryanto, , Dr. Jasper Eshuis
• Format: Theses and Dissertations NonPeerReviewed
• Published: [Yogyakarta] : Universitas Gadjah Mada 2012
• Subjects: ETD
• Online Access: https://repository.ugm.ac.id/118483/; http://etd.ugm.ac.id/index.php?mod=penelitian_detail&sub=PenelitianDetail&act=view&typ=html&buku_id=58451
• Institution: Universitas Gadjah Mada

Goods and services can be delivered by public, private, or arrangement between both of them. One of the services that has been intensively developed is tourism. Some theoretical literature and knowledge discussing the impacts of private sector involvement to deliver goods and services are there. However, there is a knowledge gap regarding impacts of privatization of tourist destination on households� assets. According to this lack of clarity on change of Teleng Ria Beach (TRB)�s management from government to private sector, I would like to study the impacts of this privatization on socio economic conditions. This research is conducted to describe the impacts of privatization of TRB in Pacitan Regency Indonesia on socio-economic conditions of households surrounding the beach particularly on their livelihood assets. It involves households perceptions, firm perceptions, community leader perceptions and local government policies. To deal with the objective, quantitative and qualitative approached are utilized to perform the thesis. Paired samples t-test using SPSS software combined with interview from different respondents and secondary data are constructed in order to analyse the data. Main finding of the changes occurred from public to private sector in terms of human and natural resource management in order to manage TRB illuminate that people surrounding TRB get advantages from privatization by broader opportunities to do business in informal sector and to become EJTEW staffs. Moreover, EJTEW elevates working performance by giving incentive/bonus for staffs. This circumstance stimulates EJTEW staffs to manage TRB as a natural resource in more strict rules than local government did. Consequently, it causes a declined level of accessibility to the beach. Moreover, people�s involvement nowadays in order to take care of the environment is lower than when TRB was still managed by local government. Main findings of impacts on households� livelihood assets highlight that TRB as the natural capital less accessible for people living nearby than previously. However, access becomes easier after some years of privatization but remained stricter than previously. It is because the impacts are mitigated by culture and social norm(s) as part of social capital. In terms of financial capital, a significant increasing number of visitors stimulated by magnetism of the beach and performance frequently organized by EJTEW had escalated people�s income. On the other hand, almost no impacts are considerably found in human and physical capital except particular conditions such as transferring skill from firm, getting salary when sick and ability to construct house. Neither remarkable improvement nor shrink can be found in terms of knowledge, production equipments and infrastructures. To sum up, privatization of TRB, characterized by changes in human and resource management, affects socio-economic conditions of households surrounding the beach. It gives financial benefits by creating more income generating possibilities for people from both the informal sector and formal one. Although the access to the beach has been made more restricted, this has not lead to decreased income generation for local inhabitants. Importantly, the impact of privatization of TRB is embedded in society and in local culture. Rigid rules of the private entity are mitigated by culture and local social norms, in particular when it comes to the application of performance indicators in human resource management of the EJTEW, and when it comes to rules for limiting free access to the beach.