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Procedia - Social and Behavioral Sciences 91 ( 2013 ) 88 – 96
1877-0428 © 2013 The Authors. Published by Elsevier Ltd.
Selection and peer-review under responsibility of Universiti Sains Malaysia.
doi: 10.1016/j.sbspro.2013.08.405
ScienceDirect
PSU-USM International Conference on Humanities and Social Sciences
George Town, Penang as a World Heritage Site: The
Stakeholders’ Perceptions
Shida Irwana Omar*, Masitah Muhibudin, Izatul Yussof, Mohd Fauzi Sukiman and
Badaruddin Mohamed
Sustainable Tourism Research Cluster, Uniersiti Sains Malaysia, 11800 Penang, Malaysia
Abstract
The designation of George Town, Penang, along with Malacca, as a UNESCO World Heritage Site (WHS) on July 7, 2008
was a boast achievement, particularly for Penangites and Malaysian generally. The status has elevated Penang to international
status in terms of cultural heritage tourism and expected to draw more tourists to the area. The impacts of tourism to the local
community are inevitable. Questions inevitably arise, particularly on whether the locals are aware of the listing and whether
they care about this important listing. This paper examines the perceptions of George Town stakeholders on the WHS status
of George Town. The study surveyed 196 respondents who reside and operate businesses in the core zone of George Town.
The findings reveal that majority of the respondents are aware of George Town’s status and think that such status would have
a positive impact on local businesses, on the conservation and restoration of heritage buildings, and on the general well-being
of George Town residents. Many agree that the restoration and conservation of heritage buildings are important in sustaining
George Town’s heritage status. Nevertheless, half of the respondents perceive that tourist activities could threaten the heritage
values of George Town. Meanwhile, the level of stakeholder involvement in tourism planning and development is rather low.
Only half of them are satisfied with the present management of heritage and tourism in George Town. This paper provides
recommendations to assist the Penang State Government in the monitoring, maintenance, management, protection, and
conservation of George Town to remain the status of World Heritage Site.
© 2012 The Authors. Published by Elsevier Ltd. Selection and/or peer-review under responsibility of Universiti Sains
Malaysia.
Keywords: stakeholders; perceptions; George Town, Penang; World Heritage Site
* Corresponding author. Tel.: +06-04-6535848; fax: +06-04-6535845.
E-mail address: strc.usm@gmail.com
Available online at www.sciencedirect.com
© 2013 The Authors. Published by Elsevier Ltd.
Selection and peer-review under responsibility of Universiti Sains Malaysia.
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Shida Irwana Omar et al. / Procedia - Social and Behavioral Sciences 91 ( 2013 ) 88 – 96
1. Introduction
The road towards becoming a World Heritage Site (WHS) for George Town began after it was nominated,
along with Malacca, in the waiting list of UNESCO’s World Heritage Center (WHC) in 1998. However, the
dossiers submitted to WHC were rejected in 2004 because they failed to fulfill the agency’s requirements. To
comply with the requirements, the ministry started improving the dossiers in 2005. The revised nomination
dossiers were submitted in January 2007, and WHC certified the submission as complete in March 2008. Finally,
in July 2008, George Town, along with Malacca, achieved a WHS status (The Star Online, 2008). The
perseverance of the state governments of Malacca and Penang as well as the Federal Government paid off after 10
years when the two towns received approval (The Star Online, 2008). Simultaneously, this achievement signifies
an initial step of a long-term process for perpetuating the status.
2. World Heritage Site Status Inspires Penang’s Cultural-Heritage Tourism Sector
The ‘World Heritage Site’ status by UNESCO is a great potential, especially for ‘culture-heritage tourism’
sector. According to Penang Economic Monthly (2009), it explains the following:
“In line with the growing numbers of global travelers seeking a different kind of holiday that is not
packaged as a rushed shopping/sightseeing tour trip. Not surprisingly, many countries that heavily
depend on tourism are increasingly gearing their tourism industry to cater for these ‘culture-vulture’
travelers, who are deemed a more profitable and sustainable market.” (p. 7)
Therefore, the tourism stakeholders of George Town should appreciate with what they have by understanding,
protecting and conserving the heritage buildings. Moreover, Hall and Piggin (2002) explain that:
“The potential significance of World Heritage listing for tourism destinations and attractions therefore
makes it an ideal subject on which evaluate the extent to which the tourism industry understand the
nature of heritage visitor attractions as well as the management regimes that surround them.”
Although the listing brings various benefits yet do the stakeholder acknowledge on the importance? How they
perceive about the WHS status? Acknowledge their perceptions are very important to provide an insight of their
understanding for better management of the site in the future. Hence, this study attempts to analyze the
perceptions of major stakeholders on tourism development in George Town, Penang. Two main perception
themes are explored: (1) perceptions of stakeholders in George Town, (2) impact of the WHS designation on
tourism activities in George Town.
3. Stakeholder Perceptions Of The World Heritage Site
Increase the awareness of the site of its outstanding values is one of the benefits from the inclusion as the
World Heritage List. Therefore, the primary responsibility for the state party is to maintain the values for which
the site was inscribed (Pedersen, 2002). Moreover, the planning and organizing programmes should be
determined by respecting sustainable tourism principles (The World Heritage Convention, 2010).
As reviewed by Byrd, Bosley, and Dronberger (2008), one key to sustainable development of tourism in a
community is the inclusion of stakeholders and without their support in the community it is nearly impossible to
develop tourism in a sustainable manner. Furthermore, Byrd (as cited in Nicholas, Thapa, and Yong, 2009) has
been established an inextricable link between stakeholder theory and sustainable tourism development. He argues
that stakeholder involvement must be included in any sustainable tourism plan in order to reduce conflict.
According to Jamal and Getz (as cited in Nicholas et al., 2009),
“Community’s assets (e.g., World Heritage Sites) can be shared by local residents, visitors, and private
and public sector interests. Tourism development then takes on the characteristics of a public and social
90 Shida Irwana Omar et al. / Procedia - Social and Behavioral Sciences 91 ( 2013 ) 88 – 96
good whose benefit may be shared by a number of stakeholders in the local destination. Sustainable
tourism development at the local level requires much more collaboration than practiced today.” (p. 393)
In general, there are four major tourism stakeholder perspectives: tourists, residents, entrepreneurs, and local
governmental officials (Goeldner & Ritchie as cited in Byrd et al., 2008). The definition of stakeholder itself was
defined by Freeman (as cited in Nicholas et al., 2009, p. 391-392) “a stakeholder as any individual or group who
can affect or is affected by the attainment of an organization’s objectives”. Whereas, Donaldson and Preston
refined Freeman’s definition (as cited in Nicholas et al., 2009, p. 391-392), stating that to be identified as a
stakeholder the group or individual must have a legitimate interest in the organization.
Selin and Chavez (as cited in Nicholas et al., 2009, p. 393) explain that stakeholder approach to tourism
development is necessary even have different aims such economic development, conservation, social justice or
protected area management.
4. Research Methodology
Primary data were collected through questionnaire survey. A purposive sampling technique was used to select the
respondents located within the George Town area. Questionnaires were distributed, and a total of 196 survey
forms were received as complete and useful for analysis. The sample involved respondents aged above 18 years
old from the groups of tourism stakeholders. The stakeholders consist of retailers (38.8%), residents of George
Town (30.1%), transportation operators e.g. taxi drivers, bus drivers and trishaw operators (13.8%), lodging
operators e.g. hoteliers and budget hotel owners (9.7%), travel agents and tour operators (5.1%), restaurant
owners (1.5%) and realtors (1%). Tourists were excluded from the survey.
The sample of 196 respondents included 58.8% males and 41.2% females. The ages of the respondents range
from 18 to 66 years. Majority of them were Malays (42.9%), followed by Indians (30.1%), Chinese (21.9%) and
others (5.1%). Almost half (46.9%) have secondary education, one-third (31.1%) have tertiary education, 12.2%
have primary education, and the rest (9.7%) have no formal education.
5. Research Methodology
5.1. Stakeholders perceptions of tourism stakeholders of world heritage status in George Town, Penang
A set of seven close-ended questions was given to the respondents. More than two-third of the respondents
(69%) are aware that George Town has been listed as a World Heritage Site. The most prevalent perception
among tourism stakeholders is that the status plays a role in attracting more visitors to George Town (83%). This
is followed by those who think that the status is a medium through which they could showcase their cultural
heritage (78.1%), those who think that the status has a positive impact on businesses in George Town (78.0%),
and finally, those who think that the status has improved the general well being of George Town (75.2%). Those
who think that George Town’s inclusion in the World Heritage List has strengthened the national policy on the
protection of the site is the least in number (57.1%) (Table 1).
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Table 1. Perception of stakeholders on the importance of world heritage status to George Town
“What does the WHS status mean to you?” Yes No Not sure
Our cultural heritage is recognized as having international importance 70.8% 11.2% 18.0%
The status serves as a medium to show our cultural heritage 78.1% 13.1% 8.8%
The inclusion of George Town has contributed to the preservation of the site 59.0% 9.9% 31.1%
The inclusion of George Town in the WHS list strengthened the national
policy on the protection of the site 57.1% 13.0% 29.8%
The status plays an important role in attracting more visitors to George Town 83.0% 11.3% 5.7%
This status has given positive impacts on the businesses in George Town 78.0% 10.1% 11.9%
The WHS listing would inspire positive changes in the city. 68.8% 8.8% 22.5%
This status has improved the general well being of George Town 75.2% 10.6% 14.3%
A significant proportion (74%) of stakeholders think that the restoration and conservation of heritage
buildings in George Town is important, whereas less than one-fourth (23%) agree that it is extremely important
(Table 2). Moreover, the tourism stakeholders in George Town, Penang are aware of the condition of the heritage
buildings and thus could become excellent partners in their restoration and conservation. More than one-third
(35%) of the stakeholders think that the conditions of heritage buildings in George Town is moderately good,
about one-third (32%) rate that it is good, and more than one-fourth (27%) think it is bad. Only 5% think it is
very good.
Table 2. Perception on the restoration and conservation of heritage buildings in George Town
Questions Extremely
important
Important Less
important
Not important at
all
What do you think about restoration and
conservation of heritage buildings in George Town? 23% 74% 1.5% 1.5%
Table 3 shows that tourism stakeholder prefers to have incentives from the government for the restoration of
historic buildings. Most of them agree that the restoration and conservation of the buildings will help George
Town keep its WHS status. They are sure that the government should spend more on heritage conservation
efforts. Furthermore, 69.1% of respondents agree that the government should increase the allocation on
heritage conservation, whereas a quarter (24.7%) is not sure and only 6.2% of them are disagreeing.
Table 3. Perception on the importance of the restoration and conservation of heritage buildings in George Town
Questions a b c d e
This is my own property, so I have to maintain it accordingly 7.7% 41.5% 44.6% 4.1% 2.1%
The government should provide incentives for the restoration of
historic buildings to encourage me to restore this building 17.4% 59.5% 16.4% 5.1% 1.5%
The restoration and conservation of heritage buildings is very
important in sustaining George Town’s WHS status 25.6% 49.2% 20.5% 3.1% 1.5%
a = Strongly disagree, b = Disagree, c = Neutral, d = Agree, e =Strongly agree
92 Shida Irwana Omar et al. / Procedia - Social and Behavioral Sciences 91 ( 2013 ) 88 – 96
5.2. Impact of tourism on George Town’s WHS status
Tourism activities are regarded as a threat to the WHS values of George Town
Around half (52%) of the stakeholders are sure that tourist activities are a threat. More than one-third (36%)
are not sure and only 11% of them are disagreeing.
Respondents’ agreement/disagreement on the impact of tourism in George Town
Table 4 shows that the top three perceptions are: “Tourism produces business and job opportunities in this
area” (53.6%), “I am happy and proud to see tourists coming to see what my community has to offer” (52.6%),
and “Tourism development improves the appearance of George Town” (48.5%). On the other hand, the
stakeholders strongly agree that increasing the number of tourists in the community improves the local economy
(33.2%). Meanwhile, 31.6% think that tourism has a vital role in the community, and 29.1% think that tourism
produces business and job opportunities in the area. They disagree with the following points: “Tourism results in
more litter in the area” (24.5%), “The quality of public services in the community has improved due to tourism”
(23.5%), and “Tourism development increases traffic problems in George Town” (17.3%) (Table 4).
Table 4. Stakeholder perceptions on the impacts of tourism in George Town
Questions a b c d e
In recent years, my community has become overcrowded because of tourists 2.6 16.3 51. 0 26.6 4.1
I am happy and proud to see tourists coming to see what my community has to
offer 2.0 3.6 14.8 52.6 26.5
The quality of public services in my community has improved due to tourism 3.1 23.5 35.7 30.6 6.6
Tourism results in more litter in this area 2.0 24.5 38.3 32.7 2.0
Tourism produces business and job opportunities in this area 2.0 6.6 8.2 53.6 29.1
Increasing the number of tourist to a community improves the local community 2.0 7.1 9.2 48.0 33.2
I would personally benefit from tourism in my community 1.0 10.7 26.0 33.2 28.1
Tourism development improves the appearance of George Town 2.6 4.1 20.9 48.5 23.5
Tourism development increases the traffic problems of George Town 4.6 17.3 39.3 30.1 8.2
Tourism encourages a variety of cultural activities by local residents 1.5 9.2 20.4 42.3 26.0
Tourism helps preserve the cultural identity of my community 2.6 8.2 20.9 40.8 27.0
Tourism improves understanding of my community and culture 3.1 8.2 19.4 42.3 26.0
I support tourism having a vital role in this community 2.0 7.1 20.9 37.8 31.6
a = Strongly disagree, b = Disagree, c = Neutral, d = Agree, e =Strongly agree
Findings show that the stakeholders believe that tourism would have a positive impact on George Town,
although more than half (52%) claim that tourist activities can be a threat to the WHS values of George Town.
They expect positive effects in the economy, in the development, and in the prestige of George Town.
In the economic aspect, they strongly agree that tourism would bring business and job opportunities to the
local community. In the development aspect, they agree that tourism would improve the appearance of George
Town. This is related to the restoration and conservation of heritage buildings in George Town. As for prestige,
they are proud to show what George Town has for the international community. They disagree that tourism
causes more garbage and traffic problems.
The only negative opinion regarding tourism, which they feel has not yet changed, is the quality of public
services in the community. This is related to government incentives and provisions for heritage conservation.
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The tourism stakeholders are sure that the quality of public services and the appearance of George Town would
improve if the incentives are implemented well by the government.
Participation or involvement in the planning and development of tourism in George Town
A significant proportion (69%) of the stakeholders, claim that they are not involved in the planning and
development of tourism in George Town. Less than one-third (30%) are involved.
Satisfaction with the present management of heritage and tourism in George Town
Moreover, only half are satisfied with the present management of heritage and tourism in George Town while
9% are dissatisfied and 40% are not sure.
94 Shida Irwana Omar et al. / Procedia - Social and Behavioral Sciences 91 ( 2013 ) 88 – 96
6. Conclusion
6.1. Perceptions of the majority of tourism stakeholders in George Town, Penang
The majority of the stakeholders are residents of George Town; hence, most of them (70%) are aware that
George Town holds a WHS status. These are the top five perceptions on the World Heritage status of George
Town (from the most to the least important):
1) The status plays a role in attracting more visitors to George Town.
2) The status serves as a medium to showcase George Town’s cultural heritage.
3) George Town’s cultural heritage is recognized as having international importance.
4) The status has a positive impact on businesses in George Town.
5) George Town’s inclusion in the World Heritage List has changed the national legal protection of the
site.
The tourism stakeholders believe that a World Heritage status would attract visitors to George Town. They
believe that the status would serve to showcase the cultural heritage of George Town and would bring positive
changes to the market, helping businesses in George Town. According to the stakeholders, the restoration and
conservation of heritage buildings in George Town, Penang is important. They are aware of the condition of the
heritage buildings; they could become excellent partners in the restoration and conservation of the heritage
buildings.
However, they prefer to have incentives and provision from the government for the restoration of historic
buildings. Most of them agree that the restoration and conservation of the buildings would help George Town
keep its WHS status. They assert that the government should spend more on heritage conservation efforts.
6.2. Perceptions on the impact of tourism on the WHS designation of George Town
Half of the stakeholders (52%) believe that tourist activities could be a threat. However, the top three
perceptions are positive:
1) Tourism produces business and job opportunities in this area.
2) I am happy and proud to see tourists coming to see what my community has to offer.
3) Tourism development improves the appearance of George Town.
They also strongly agree on positive perceptions, such as:
1) Increasing the number of tourists to a community improves the local economy.
2) I support tourism as having a vital role in this community.
3) Tourism produces business and job opportunities in this area.
They disagree on the following:
1) Tourism results in more litter in this area.
2) The quality of public services in my community has improved due to tourism.
3) Tourism development increases traffic problems in George Town.
The above results show that tourism stakeholders believe that tourism has a positive impact on George Town.
Half of the respondents claim that tourist activities are a threat to the WHS values of George Town. Positive
effects are expected in the economy, development, and prestige of George Town. The only negative opinion is
that they feel the quality of public services for the community has not yet changed. So far, tourism stakeholders
are not involved in the planning and development of tourism in George Town, and only half of the respondents
are satisfied with the management of heritage and tourism.
7. Recommendations
Based on the above conclusions, the issues can be summarized as follows:
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1) The economic potential of George Town’s WHS status would be a threat in the future if there is less
consideration on its negative impacts.
2) Quality of public facilities.
3) The perception of tourism stakeholders that they are not involved in the tourism planning and development
of George Town, Penang.
Our recommendations are as follows:
Prioritize sustainable development strategies
As stated earlier on the classic community tourism cycle of Pendersen (2002), in the early stage of
development, the locals generate their own business and earn all the revenues. Following developments, which
are usually based on what tourists want to see in the community, large developments are implemented without
regard for regulations. Moreover, most business owners are from outside the local community, and the outflow of
money begins.
It is necessary to remember that to generate tourism that enhances rather than threatens local heritage, a
question such as “What are residents prepared to reveal about themselves?” must be considered. Majority of the
tourism stakeholders in George Town, Penang are residents of George Town; they should be encouraged to
invest, engage in entrepreneurship, and strengthen their skills with trainings and awareness programs.
Improve the quality of public facilities
The competition, dubbed “Marking George Town a World Heritage Site,” conducted recently by the state
government, the Penang Municipal Council, the George Town World Heritage office, and the Malaysian Institute
of Architects (PAM) Northern Chapter is an effective way to improve the quality of public facilities in the
heritage zone.
These are the considerations that should be taken in improving public facilities:
Public facilities should be useful to both the community (residents) and tourists.
Public facilities are considered important historic elements of the World Heritage Site.
Public facilities should enhance the values of the World Heritage Site and at the same should be useful. The
public facilities should be easy to maintain and should also be checked frequently
Collaborative Planning
As reviewed by Gunton, Peter, and Day (2006), different terms are used to describe various kinds of
collaborative planning: partnerships, mediation, community-based planning, consensus building, shared decision-
making, and co-management. A central feature in all these collaborative models is the engagement of
stakeholders in the development of plans (Gunton and Day, 2003; Conley and Moote, 2003; Selin and Chavez,
1995).
Collaborative planning engages stakeholders to develop plans through consensus-based negotiations and
present plans to a stakeholder group that represents all relevant interests. This kind of planning usually involves
Facilitators.
Interest-based negotiation techniques.
Consensus rules for agreement.
Joint fact-finding teams to develop plans that are then recommended to statutory agencies that retain
final approval authority.
Still, according to Gunton et al. (2006), the key advantages of collaboration include the following:
Increased likelihood of developing a plan that is in the public interest because the plan incorporates the
interests of all affected parties.
Increased likelihood of implementation because all affected interests support the plan.
96 Shida Irwana Omar et al. / Procedia - Social and Behavioral Sciences 91 ( 2013 ) 88 – 96
s/1/
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tion
Generation of social capital, such as improved stakeholder relations and improved stakeholder
knowledge that provide long-term benefits to society.
The limitations of collaborative planning include the following:
Limited applicability to those cases where all relevant stakeholders are motivated to participate and/or
management agencies are willing to delegate power.
High cost in time and resources.
Inequality in power that gives some stakeholders an unfair advantage.
Propensity to develop second best or vague outcomes to achieve consensus agreements.
Lack of an underlying theoretical foundation.
Acknowledgements
The author(s) would like to extend their appreciation to the Universiti Sains Malaysia for the Research
University Grant entitled 'The Analysis of Urban Tourism System: Examples of Cities in Malaysia’ that makes
this study and paper possible.
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