TOURISM RISK AUDIT UNDER THE COVID-19 IMPACT

Abstract

The aim of the article is to investigate main changing trends of tourism industry development in Ukraine under the impact of COVID crisis, to identify risks that tourism business faced during the crisis and proposed the main vectors of such risk management via the audit procedures implementation to minimize the negative impact on tourism business and country economy in general. The article investigates the main trends and performance of tourism industry development in Ukraine under the impact of COVID crisis. There were analyzed risks tourism business faced during the crisis and proposed the main vectors of such risk management via audit procedures implementation to minimize the impact on tourism business. Business strategy development of tourism under crisis impact requires balanced system of measures to overcome the crisis and become more strange by the help of quality business KPIs analysis and performing stable and permanent business goal updating by the help of audit risk management. There were proposed recommendation how to deal with the crisis business risk implementing audit risk assessment approach for domestic Ukrainian tourism business as well as tourism business in general. During the crisis companies should switch focus on domestic tourism, as foreign visitors stay away due to COVID-19; inbound arrivals decline by 44% to 7.5 million in 2020, while outbound departures decline by 48% to 10 million; recovery will be driven by domestic tourism in the shorter term; inbound arrivals to record a 16% volume CAGR over the forecast period, while outbound departures will record a 19% CAGR. To identify and manage crisis business crisis companies should focus on internal audit as instrument to minimization business losses. It should cover issues of identifying such risks, assessment it in order to estimate business result in case in nearest future company will faced crisis and give recommendation and procedures that should be focused on minimization tourism industry losses as a vital segment of country economy.