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HPC 7: INTRODUCTION TO MEETINGS  Trade shows

INCENTIVES CONFERENCES AND EVENTS


MANAGEMENT (MICE) AS APPLIED TO TOURISM 3. Community Events- gatherings of the members of a
community and their guests to commemorate
LESSON 1 historical and/or religious events, promote arts and
culture, and strengthen social bonds.
WHAT IS AN EVENT?  Festivals
 School or church events
Events- refer to the things that happen around us.
 Art exhibits
Two kinds of events:  Local sporting events

1. Ordinary events- occur naturally in our environment There are also big international events, which
and in our daily lives. unite the world as one big community.
2. Special events- many people gather together for a
- World Youth Day celebrations
purpose; some people need to travel to participate,
- World Expo
while some spend a lot of time and resources
- Olympics
planning for the event and making sure that
everything unfolds as expected. LESSON 2

Special events can therefore be characterized as WHAT IS MICE?


follows:
1. Organized for specific purpose/s;
2. Attended by a number of participants; MICE- stands for Meetings, Incentives, Conventions, and
3. Held in a specific, pre-determined place; Exhibitions.
4. Time-bound (such that it has a beginning and an
end); and Anagrammatic term: CEMI (Conventions, Exhibitions,
5. Cost a lot of resources. Meetings, and Incentives)

General term: Events


5Ws and 1H:
Meeting- is a general term that refers to the gathering of
1. What event are we organizing? people to discuss a set agenda or do a particular activity. It can
2. Why are we organizing the event? be called on ad hoc basis (as needed) or following a set
3. Who are expected to attend and to organize the pattern such as an annual stockholders’ meeting. Meetings do
event? How many attendees and organizers? not include exhibits.
4. Where is it going to be held?
Congress- is the regular gathering of people who belong to
5. When is it going to be held?
religious, cultural, professional, or other associative groups. A
6. How much is it going to cost?
congress is often staged to shed light on a particular subject,
Elements of an Event: question, or issue. Presentations, contributions, and
discussions pertaining to the subject matter come only from
1. Type and title of event; members of the association. The term “congress” is more
2. Purpose for holding the event; popular for associations than corporations. The length of
3. Participants of the event and the roles they play time between congresses is usually established in advance and
4. Place or venue where the event is going to take place; can be annual. A congress often lasts several days.
5. Date and time of the event; and
6. Resources. Convention- the term convention, which is used
interchangeably with congress, refers to large national or
international meeting. Unlike a congress, a convention is
usually held to commemorate an event or milestone for the
Contingency- refers to a “Plan B” to address unforeseen or
host organization, thus it is usually held with regular intervals
unexpected circumstances.
and each staging is given a theme. Compared with congress
Types of Special Events: and conferences, conventions have more innovative programs
planned to encourage participants to network and interact.
1. Personal Events- organized by and for friends and Conventions sometimes include an exhibition related to its
family to celebrate life’s important milestones.⁰ theme.
 Shower parties
 Birthday parties Conference- is a scholarly gathering to exchange views and
 Baptism consequently, to convey a message, open a debate, or give
 Weddings publicity to some opinions on specific issues. Most
conferences are for study purposes. Compared with a
 Achievement blowouts
congress, a conference is on a smaller scale, which facilities
 Reunions
easier exchange of information. It is generally held for a short
 Anniversaries
duration of time.
 Funerals
Incentive- is a tool to encourage employees to increase sales
2. Corporate Events- organized to improve the or provide solutions.
productivity and profitability of companies and
contribute to the achievement of corporate goals. Incentive travel- using travel as a reward for
 Product launchings accomplishments such as reaching a sales quota, winning a
competition, and the like.
 Sales rallies
Exhibition- showcases new products, services, information, or 3. Charm- the appeal of a venue or is commonly
promotional materials mounted for the purpose of public known as the “X” factor. It is the thing that attendees
relations, sales, and marketing. will keep talking about after the event is over.

Abbreviation: Expo LESSON 3

Ladkin and Spiller (2000) – “it is an activity designed for BRIEF HISTORY AND DEVELOPMENT
targeted supplies of products, goods, and/or services to
demonstrate and promote to a certain market. Exhibitions

Two types of exhibitions: Traveling traders would show their goods in city streets and
bring goods with them to the next city that they would visit.
1. Consumer show- a showcase of products that are
offered to the public, mostly for the purpose of direct Industrial Revolution- modern-day exhibitions, especially
sales or promotion to end users. world fairs, began around the 19th century. At these world fairs
2. Trade Show- for commerce at a bigger scale. It or expositions, products and cultures of various countries are
brings together industry players, targeting similar showcased for the visitors to see.
markets. 1700s- The French have already made a tradition of
The term “exhibition, fair, and trade show” are sometimes exhibitions devoted to the arts and the industry of France. The
used interchangeably, as well as the terms “exhibition and first world fair of considerable size was not held in France
exposition”. but in London, England in 1851. It was dubbed as the
“Great Exhibition”. The event was remarkably peaceful and
Ladkin and Spiller (2000)- differentiated ‘exposition’ as was a huge success, with six million visitors and 17,000
being a larger in scale than ‘exhibition’ and one that generally exhibitors of different nationalities.
consists of a monumental public display of the goods and
services of a particular industry. Two years later- The Americans followed suit with their
“Exhibition of the Industry of all Nations” held in New
Terminologies: York. There were over 5,000 exhibitors from 23 countries
showcasing new inventions, such as the telegraph by Samuel
1. Exhibition Manager- the head organizer or promoter Morse and sewing machines.
of an exhibition (exhibition contractor).
2. Exhibitor- the company or businessperson who rents New York Crystal Palace- was a financial failure. It
the booth space from the exhibition manager to continuously sank in debt until it caught fire in 1857.
showcase the exhibitor’s products.
3. Booth Contractor- subdivides a huge empty Eiffel Tower- built for the 1889 Exposition Universelle in
exhibit space into smaller spaces which the Paris still stands today.
exhibitors are going to rent. The contractor also First Ferris Wheel- (76 meters in diameter with 36 cars
provides temporary facilities to exhibitors, such as carrying 60 passengers each) was created for the World
the shell or walling for the booth, carpet, table, Columbian Expo in Chicago in 1893.
chairs, signage, lighting, and power source – for a
fee. The World’s Fair 1970- held on March 15 to September 13,
4. Raw Exhibition Space- a “raw space” or floor with 1970, in Osaka, Japan. It was the first world exposition held in
rough markings just to indicate the boundaries and Asia. There were 32 Japanese pavilions, and 95 international
size of your rented space in the exhibition hall. pavilions representing 80 countries. With the theme “Progress
5. Shell Exhibition Space- an exhibition space with a and Harmony of Mankind”. It attracted 64 million paying
white enclosure called “shell”. visitors and US $30 million net profit.
Shell- gives booth a uniform look and somehow,
Bureau of International Expositions (BIE) includes;
makes the ambiance common in all trade shows.
Fascia board- the signboard on top of the most  World Expo 2005 in Aichi, Japan
visible side/s of the booth. It indicates the name of  2008 in Zaragoza, Spain
the exhibitor or the purpose of a service desk.  2018 in Shanghai, China
6. Exhibitor Manual- a book of instructions and
 2012 in Yeosu, South Korea
information for exhibitors regarding the exhibit venue
 2015 in Milan, Italy
and services offered by the official booth contractor.
Examples of information found: Manila, Philippines- won the bid for BIE- recognized expo in
 Limits in electrical load 2002 but was cancelled due to the political events that
 Schedules of the move in “ingress” and occurred around that time.
move out “egress”
 Freight forwarding Compared to expos, exhibitions are on a much smaller scale
and with specialized focus, such as travel products,
 Venue house rules
agriculture, construction, medicine, etc.
Criteria for evaluating a MICE Venue:
Meetings and Conventions
1. Cost- a common factor in decision-making, not only
The Congress in Vienna staged in 1814 to 1815- one of the
for event venues. The venue to be selected must be
first international conferences in the world, is said to be one of
within the budget of the organizer.
worthy size and significance to be considered the birth of
2. Convenience- encompasses the availability on the
Europe’s convention sector. Until the World War I, the
target date, accessibility, proximity to other support
Congress served as a venue for diplomats to meet together to
services, suitability of space to the type of event, and
preserve peace.
its safety features.
United States- the first convention bureau was established in  Planning and implementing an actual event gives you
Detroit in 1895 when a group of businessmen hired a full-time valuable experience which will help you face the
salesman to invite conventions to their city. This led to the challenges in the workplace.
founding of the International Association of Convention
and Visitor Bureaus (IACVB) in 1914, which was renamed
to Destination Management Association International Significance of the Event’s Industry from the Country’s
(DMAI). Point of View:
Destination Management Association International  The year 2012 marked a great year in tourism as
(DMAI)- world’s largest association of convention and international tourist arrivals reached the one-billion
visitors bureaus (CVBs), serving more than 1,500 individual mark.
members from over 625 destination marketing organizations
 United Nations World Tourism Organization
in more than 25 countries.
(UNWTO) counted about 1.035 billion tourists
Mice in the Philippines which is 4% higher than the previous year UNWTO
2013. Southeast Asia is one of the regions that posted
Manila- became the first international meetings destination in a double-digit growth at 12% in the same year.
Southeast Asia when it hosted the International Monetary  UNWTO defined tourism as “the activities of persons
Fund (IMF) Meeting in 1976 at the then newly inaugurated traveling to and staying in places outside their usual
Philippine international Convention Center (PICC). environment for not more than one consecutive year
for leisure, business, and other purposes, except
Asian Institute of Tourism (AIT)- was established as a
activities renumerated from within the places
degree-granting unit pf the University of the Philippines
visited”.
System in 1976.
 Events that entail traveling outside a person’s usual
Philippine Convention Bureau (PCB)- created by virtue of environment are therefore a form of tourism.
Presidential Decree (PD) No. 876 in 1976. The PCB was a  Events can in fact serve as one of the tourists’
government agency which was transformed into a attractions of a destination.
government-owned non-stock, non-profit corporation two and  The events industry is considered an important
a half years later under PD 1448. subsector of tourism for two major reasons:
1. Quantity- events attract guests regardless of
July 1987- PCB was reorganized and renamed Philippine
the season. Events have the ability to offer
Convention and Visitors Corporation (PCVC) through
new experiences at destinations thus
Executive Order (EO) 120A, with EO120 mandating the
attracting more visitors and repeaters and
reorganization of the Department of Tourism (DOT) to which
holding them beyond peak days. (Getz 2005)
PCVC was made an attached agency.
2. Quality- MICE attendees spend more
With the passage of the Republic Act 9593 or the Tourism Act compared to ordinary tourists hence
2009, PCVC was reorganized and renamed as the Tourism providing higher revenue for the same
Promotions Board (TPB). length of stay compared to regular tourists.
Events attendees also have higher disposable
Philippine Convention income and use more tourism facilities than
Philippine Convention Tourism Promotions
and Visitors
Bureau (PCB) Corporation (PCVC)
Board (TPB) ordinary tourists.

According to UNWTO (2013) Two international sporting


events boosted tourism receipts in three European countries in
LESSON 4: 2012.

SIGNIFICANCE OF EVENTS INDUSTRY  Poland and Ukraine hosted the Union of European
Football Associations (UEFA) European football
championship.
Significance of the Events Industry from the Learner’s  United Kingdom hosted the summer Olympic and
Point of View: Paralympic Games.

The events industry has its significance to the national and Poland, Ukraine, and United Kingdom
global economy. - The sports event that happened in 2012 boosted
 Expenditure and number of people traveling to and their tourism sector.
staying in destinations to attend meetings, trade Economic impacts of the events in our neighboring
shows, or other events. countries:
 Amount of investments pour into infrastructure and
other developments, including roads and remarkable 1. HONGKONG
venues.
The exhibitions industry generated 69,000 full-time jobs and
 Some professionals make a career out of organizing
about US $5.3 billion in direct expenditure in 2012, which did
festivals and other events.
not only result to a total of about US $181 million tax receipts
 Some topics in the study of events management are
but created ripple effects in Hongkong economy as well.
also applicable to other disciplines and in our daily
(HKECIA 2013)
lives.
- Budget preparation 2. SINGAPORE
- Sales & Marketing
- Time management It earned about US $billion in 2012 from MICE. (Singapore
- Risk/Crisis management Tourism Board 2014)
The event industry indeed contributes greatly to a country’s
economic development, especially for countries with events
that attract international visitors.

It does not only boost tax receipts and infrastructure


development but also creates a ripple effect in the economy.

The Multiplier Effect

- Is a direct economic impact, which is equivalent


to the “new” money that visitors or outsiders
bring and this money is circulated through
spending in the local economy.
- Is created when different persons use the same
money several times.
- Each time the money is transferred from one
person to another means the money is counted as
that persons’ income.
- More transfer means more aggregate income.
More aggregate income means a bigger
economy.
- The Multiplier Effect is the idea of repetition or
multiplication of economic activities and their
effects, such that the income gained from
tourist’s dinner does not end there but creates a
series of other purchases that help the local
economy.

DEPARTMENT OF TOURISM SECRETARY

- Ma. Esperanza Christina Garcia Frasco

Tourism Act of 2009 (R.A 9593)

- An act declaring a national policy for tourism as an


engine of investment, employment, growth and national
development, and strengthening the DOT.

Tourism Act of 2009 was recently enacted on May 12, 2009


by former President Gloria Macapagal-Arroyo in Cebu City.

Tourism Act of 2009 became the bible truth of what is going


to happen in our tourism industry and a a guideline's that the
stakeholders need to follow.

RA 9593 aims to develop a tourism action plan in an effort to


establish the industry as one of the principal instruments of
growth in the Philippines.

Among others, the Tourism Act mandates to support the


creation of Tourism Enterprise Zones (TEZs). Section 85 of
the law provides that the Tourism Infrastructure and Enterprise
Zone Authority (TIEZA) is authorized to grant incentives to
tourism enterprises within a TEZ for a period of 10 years,
which shall spur investments in sustainable tourism
developments.

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