In 1912, Bonaldo Stringher made dubious claims that tourism contributed invisible
assets which kept the national balance in budget and thereby contributed to Italy’s
development and prosperity (see Bosworth, 1997). However, the onset of the First World
War created a sense of urgency to develop a national tourism policy. Although many
Italian tourist resources were either destroyed or extensively damaged in the two world
wars (during the Second World War, 40 per cent of hotels were destroyed and another 20
per cent were damaged), there was recognition that the management of postwar tourist
attractions and sites (such as battle sites) would require public sector intervention and
planning. Subsequently, the Ente Nazionale per le Industrie Turistiche (ENIT) was
established in 1919, mainly as a result of F.S.Nitti’s commitment to rational economic
planning. By October 1922, as Fascism came to power, this body was inevitably still
feeling its way, and the Fascist regime, beginning in 1923, had the major responsibility
for developing a detailed policy for ENIT’s future and for international and domestic
tourism planning and promotion (Bosworth, 1997). Despite the well-documented failings
of ENIT, a second government tourist agency (the Compagnia Italiana Turismo, CIT)
was established in 1927, followed in 1934 by the Direzione Generale per il Turismo
(DGT, which fell under the authority of the Ministry of Press and Propaganda) and then
the Ente Provinciale per il Turismo the following year. The charters of these and other
independent agencies (for example, the Royal Italian Automobile Club, RIAC) created
considerable overlap in tourism policy and administration, thereby generating much
postwar debate about which of the administrations should be retained and how it should
be structured domestically and internationally (see Bosworth, 1997).
The problems in the public administration of Italian tourism aside, by 1950 Italy had
become the world’s third most popular tourist destination after the United States and
Canada. Although Italy’s tourist facilities were modest, its prices for accommodation,
transportation and meals were internationally competitive. Between 1951 and 1965,
tourism growth in Italy averaged 11.5 per cent per annum, and tourism’s share of exports
rose from single figures to 19.3 per cent. However, during this period the international
tourism scene changed dramatically as population growth and demographic changes
(such as the baby boom), technological innovations (such as jet aircraft) and
socioeconomic developments (such as reductions in working hours) encouraged
international travel and competition, and as tour operators began to invest heavily in the
comparatively cheap coastal areas of the Mediterranean (especially Greece, Spain,
Turkey and Yugoslavia). These areas competed successfully with Italy mainly on the
basis of price and sustained marketing and promotion programmes.
This competition was all the more damaging since the public organization of tourism
in Italy had long been ineffective. Public tourist organizations lacked strategic foci and
appropriate institutional frameworks. The Ministry of Tourism and Performing Arts,
abolished in April, 1993, was previously responsible for all leisure-related public policy,
but it did not have a separate tourism portfolio and it patently demonstrated little concern
with the sustainability of the Italian tourist industry. The Ministry was transformed into a
Tourism Department of the Presidency of the Council of Ministers, and is now
responsible for international tourism policy and for coordinating tourism development
and promotion. Until the early 1990s, most public sector activity had been concerned
with funding large events such as the 1990 World Soccer Championships and the 1992
500th anniversary of the discovery of America. Simultaneously, the Ente Nazionale
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