Punta Del Este Case Study
Punta del Este is a small town with few inhabitants, making their main source of profit from tourism and real estate investments. Its main consumer is the Argentinian public; representing seventy percent of vacationers who every year visit the beaches in this small town. Since 2009, Argentina adopted a series of economic obstacles, for example, the information exchange treaty that hindered tourism in Punta del Este, together with the Argentine peso monetary devaluation. These measures impacted negatively in Punta del Este, as the Argentinian vacationers stopped coming, and with it, economic and social problems multiplied. Since tourism is the economic mainstay of the city, it is essential to gain tourists from other parts of the world. The truth is that in Latin
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It is striking that the city is still in this situation, given that this is not new; looking at the tourism history of the country, we can see that Punta del Este has always been severely affected by the economic and political problems of Argentina; this happened in 1953 because of the opposition that the Peron’s government faced from Uruguay, and finally in 1981 because of the monetary devaluation of the local currency. The mistake of Punta del Este was not having achieved their independence from Argentina and the lack of direct substitutes available for when the situation turns bad. The city is facing a negative scenario with no prospect of improvement in the short term, and with the lack of foreign investment, the situation only tends to get worse. Today there are more than eight thousand properties still waiting for an owner. In recent years, local people only thought about square feet, and the sad reality is that now they need to start focusing again in
It is striking that the city is still in this situation, given that this is not new; looking at the tourism history of the country, we can see that Punta del Este has always been severely affected by the economic and political problems of Argentina; this happened in 1953 because of the opposition that the Peron’s government faced from Uruguay, and finally in 1981 because of the monetary devaluation of the local currency. The mistake of Punta del Este was not having achieved their independence from Argentina and the lack of direct substitutes available for when the situation turns bad. The city is facing a negative scenario with no prospect of improvement in the short term, and with the lack of foreign investment, the situation only tends to get worse. Today there are more than eight thousand properties still waiting for an owner. In recent years, local people only thought about square feet, and the sad reality is that now they need to start focusing again in