This chapter addresses the importance of sound governmental tourism policies and strategies as foundations of sustainable tourism development. It explains differences in objectives, formats, ownership and timeframes of tourism policy, strategy, operational planning, master planning and other tourism planning instruments that are used in sustainable tourism management. A framework for tourism policy and strategy development and typical policy topics are provided and contentious issues in policy development are highlighted. Consultative processes for policy and strategy development are also briefly highlighted. In addition, techniques employed in destination competitive strategy development are explained addressing aspects such as competitive positioning, market and product segmentation and destination value chain assessment. Examples of policy and strategy development in South Africa are briefly discussed. The section concludes by highlighting two broad approaches in sustainable policy and strategy development namely sustainability as an underlying theme and good practice in tourism industry management and sustainability as a main thrust and key selling proposition for positioning destinations.
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