The Island of St. Helena’s Environmental Analysis

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Table of Contents

Environmental Analysis
Discussion
Options
References
Footnotes

St. Helena’s government faces a challenging economic and logistical situation that has seen setbacks in the government’s proposed plans for economic development and air transport. The interests of the island’s population must be considered in the context of developing a vision for the future. This case assignment will conduct an environmental analysis of the island of St. Helena and present options for the island’s government to consider.

Environmental Analysis

SWOT Analysis

Strengths (internal)	Weaknesses (internal)
The island’s untouched and unpolluted natural environment Passionate and skilled population workforce¹ Cultural heritage; lacking language barriers (population speaks English) Unique tourist destination; one of the last truly remote locations on the planet Infrastructure-based; socially and politically stable²	The isolation that creates issues with limited access; weather that complicates air travel; the island being far from major shipping lanes Extremely limited infrastructure for luxury tourism in terms of accommodation, facilities, and trained staff¹ Lack of unique product or offer by the island and a limited understanding of tourism by the population Shortage of supplies, including vital aspects such as medication²
Opportunities (external)	Threats (external)
Expanding airport development and operations to provide increased access for tourism and supplies Revitalizing and diversifying the economy by creating infrastructure and education for local and migrant professionals² Capitalizing on marketing trends to generate eco-tourism based on the remote natural environment of the island Improving basic access to modern amenities such as healthcare and telecommunications	Competition from other remote islands in the area¹ Lack of interest or cost-benefit justification for airlines to fly to the island² Lack of a skilled workforce that is constantly migrating to UK mainland³ Both airport and maritime infrastructure in decay or unsafe; lack of natural or artificial protection from natural disasters Rapid development a threat to the natural ecosystem of the island, which is one of its primary and unique attractions

VRIO Analysis

Value	The primary value that the island holds is the possibility for a tourism-based economy. It is isolated, has an untouched natural environment, and offers historical sites such as the Bonaparte house.⁴
Rareness	Few other locations on the planet are as isolated and untouched by industrialization.
Imitability	Most of the island’s features are naturally occurring and not imitable.
Organization	Formal organization is lacking, with poor infrastructure or systems in place to support a tourism-based economy. Valuable resources (such as the airport) are not developed or used to the full extent.

Discussion

The environmental analysis demonstrates that despite some potential as a tourist destination, St. Helena’s weaknesses and threats are difficult to ignore. The island lacks the necessary infrastructure, appeal, or product to become an active tourist destination. St. Helena has fragile and decaying social, environmental, and cultural assets. Furthermore, the lack of recognition by the tourism market will continue to defer investors and visitors. While the island’s isolation can be a selling point, it is also a tremendous logistical challenge in terms of transportation and supply-chain development. Shortages of fundamental supplies such as food and medication are detrimental to attracting visitors to the island. St. Helena cannot currently sustain a tourism-based economy.

Options

The first option open to St. Helena’s government is to continue implementing the plan that it has followed over the previous decade, attempting to use the airport as a central hub for economic development, attracting tourism and business. This strategy is credible to some extent since potential investors, including hotel realtors, are more likely to invest in the island’s economy if solutions are developed for a second runway.⁵ Another option for the government would be to focus on developing the area’s natural resources. The island has extensive natural capital that can be used for economic development by improving land productivity and sustaining the exceptional environmental landscape and heritage, an approach that would additionally contribute to tourism. Another option would be for the island to focus on developing a digital and financial economy. The case study noted that many of the island’s citizens pursue education through distance learning. An educated population could provide a foundation for building a modernized and digital economy that would allow access to new economic markets and help improve the island’s telecommunications infrastructure.⁶

The recommended option for St. Helena would be to use a mixed-methods approach with a primary focus on business development through enterprise based on the island’s natural capital. The government should be promoting economic development by fostering private sector growth in the long run. This would consist of providing financial support services, eliminating bureaucratic barriers, and offering grants for business expansion.⁷ In part, this would depend on the airport operating at full capacity, but in consideration of the country’s issues with developing the airport, inherent diversification would be a prudent course to pursue. The island possesses sectors such as fishing, a destination for filming and weddings, agriculture, and timber.⁸ Since the strategy to use transportation and logistics for economic development has failed, the government should attempt to grow businesses to attract suppliers and transportation companies to the island to support the ability to import and export products. This endeavor may take time, but it would guarantee that the island maintains growth and potentially achieves self-sustainability in the long term instead of relying on unstable income sources such as tourism.

References

Bostnavaron, F. (2016). St Helena gets ready for tourism take-off.The Guardian. Web.

Joshua, K., & Williams, C. (2018). St. Helena: Landing a future for a South Atlantic island. Ontario, Canada: Ivey Publishing.

St. Helena Government. (2012). SHG tourism strategy 2012-2016. Web.

St. Helena Government. (2018). St. Helena’s sustainable economic development. Web.

St. Helena Island. (n.d.). Tourism business development through enterprise St. Helena [Blog post]. Web.

The Journey Tourism Consulting and Management. (2013). Visitor demand assessment after the completion of St. Helena airport. Web.

Footnotes

St. Helena Government, 2012.
The Journey Tourism Consulting and Management, 2013.
Joshua & Williams, 2018.
Bostnavaron, 2016.
St. Helena Government, 2012.
St. Helena Government, 2018.
St. Helena Island Tourism, n.d.
The Journey Tourism Consulting and Management, 2013.

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