Chapter 2

Question 1

A complex industry that involves a broad range of businesses, organizations, and government agencies that work together at different levels to deliver a complete tourism package.

Answer 1

Tourism

Question 2

The process of determining risks that could potentially prevent the program, enterprise, or investment from achieving its objectives.

Answer 2

Risk identification

Question 3

4 hazards

Answer 3

Natural
Civil/political
Technological
Biological

Question 4

An extreme event that occurs naturally and causes harm to humans.

Answer 4

Natural hazards

Question 5

The hazards being confronted by investors, corporations, and governments brought about by the political decisions.

Answer 5

Political hazards

Question 6

Hazards caused by circumstances in the society that could vastly affect the society.

Answer 6

Civil hazards

Question 7

Phenomenon whereby an individual or group of individuals who would travel to another place would engage in sexual activity with prostitutes.

Answer 7

Sex tourism

Question 8

A process whereby societies come under or adopt western culture in areas such as industry, technology, law, politics, economics, lifestyle…

Answer 8

Westernization

Question 9

Political hazards (5)

Answer 9

Trade barriers
Taxes
Political instability
Administration
Legislation

Question 10

Regulations or policies that would restrict international trade like customs, tariffs, quotas and other.

Answer 10

Trade barriers

Question 11

The bread and butter of the government.

Answer 11

Taxes

Question 12

There are instances wherein the government in the international community would issue travel advisory in line with the political instability. (Riots, terrorism, martial law)

Answer 12

Political instability

Question 13

The ability to manage plus the political will are essentials to the proper administration of any agencies for the effective and efficient service to people.

Answer 13

Administration

Question 14

The process of giving effect to proposal or policy for everybody’s observance.

Answer 14

Legislation

Question 15

It is an effect of the globalization of production, an increase of industrialization, and a certain level of risk of accidents connected with production, processes, transportation, and waste management.

Answer 15

Technological hazards

Question 16

Technological hazards (6)

Answer 16

Industrial pollution
Nuclear radiation
Toxic wastes
Dam failures
Transport
Industrial
Technological accidents

Question 17

Pertains to biological substances that stance a danger to the health of the living organism, chiefly humans. Aka biohazards.

Answer 17

Biological hazards

Question 18

Biological hazards is aka as?

Answer 18

Biohazards

Question 19

Virus, bacteria, fungi, parasites

Answer 19

Biological hazard

Question 20

Specialize in identifying potential caused of accidents or loss, recommending, and implementing preventive measures, and devising plans to minimize costs and damage should a loss occur, including the purchase of insurance.

Answer 20

Risk managers

Question 21

2 essential risk concepts

Answer 21

Inherent and residual risk

Question 22

Refers to the exposure arising from a specific risk before an action is to be made by a risk manager.

Answer 22

Inherent risk

Question 23

Is the exposure arising from a specific risk after risk manager has made any, and in case such action has proven useful.

Answer 23

Residual risk

Question 24

The following issues must be addressed well: (5)

Answer 24

The cause of the event
Areas of impact
Enablers
Events
Potential consequences

Question 25

Knowing the cause/reason behind the happening of an event is essential.

Answer 25

The cause of event

Question 26

Vital in the decision-making process.

Answer 26

Areas of impact

Question 27

Determination of enablers or organizational feature.

Answer 27

Enablers

Question 28

Perfect proof

Answer 28

Events

Question 29

This is important so as not to be left confused on the actual occurrence of the uncertainty.

Answer 29

Potential consequences

Question 30

Necessary for the conduct of tourism activities to lessen the possibility of the risk being accomplished.

Answer 30

Risk management plan

Question 31

Basic classifications of a risk management plan (2)

Answer 31

Preventive strategy Contingency

Question 32

To lessen the possibility of the risk impact before the risk becomes realized.

Answer 32

Preventive strategy

Question 33

To address the issue of risk at the time of the event.

Answer 33

Contingency

Question 34

Strategies of risk management (4)

Answer 34

Risk avoidance Risk reduction Risk transfer Risk retention

Question 35

Refers to the complete elimination of risk by merely avoiding the activities with attaching potential risks.

Answer 35

Risk avoidance

Question 36

Refers to reducing the risk level through minimizing either the likehood or the consequences of a specific task….

Answer 36

Risk reduction

Question 37

Consideration of risk reduction (4)

Answer 37

Observance of safety standards Use of safety devices Proper waste management system Qualification requirements

Question 38

The tourist accommodation providers are duty bound to assure the health and safety of the guests while they are on their premises.

Answer 38

Observance of safety standards

Question 39

The burden is shifted from one party to another…

Answer 39

Risk transfer

Question 40

Risk transfer may be accomplished by: (4)

Answer 40

Outsourcing Derivatives Contacts Insurance

Question 41

A process which commonly transfers a variety of risks to a partner.

Answer 41

Outsourcing

Question 42

A financial instrument whose value is derived from the value of another asset. Is not a product but a contract

Answer 42

Derivatives

Question 43

A non-insurance risk transfer mechanism that accomplishes the goals of risk financing and risk control.

Answer 43

Contracts

Question 44

A contract being represented by a policy in which an individual or entity receives financial protection or reimbursement against losses from an insurance company.

Answer 44

Insurance

Question 45

A company’s decision to take responsibility for a particular risk it faces, as opposed to transferring the risk over to an insurance company.

Answer 45

Risk retention

Question 46

Classifications of tourism stakeholders

Answer 46

Internal External

Question 47

A concept or practical of preparing people for an emergency. Done through simulation

Answer 47

Safety drill

Question 48

The assistance given to any person suffering a sudden illness or injury.

Answer 48

First aid

Question 49

3 phases of risk-based

Answer 49

Planning Designing Execution

Question 50

Under planning:

Answer 50

Risk identification Risk impact analysis Risk mitigation

Question 51

A socio-technical method among stakeholders to seek process which leads to a better solution of an issue.

Answer 51

Risk communication

Question 52

___ is a crucial element of a good crisis management system.

Answer 52

Crisis communication

Question 53

It is the best way to ensure business continuity.

Answer 53

Planning

Question 54

Gathering employees name, addresses, phone numbers and contacts

Answer 54

Employee data

Question 55

Making copies of business licenses and registrations.

Answer 55

Business information

Question 56

6 steps to build reputation after crisis

Answer 56

Keep talking Take responsibility Get stakeholders inside Be authentic Show strong leadership The best defense - a good defense