Hawaii government's role in Japanese ownership of Hawaii hotels, 1970-1990

Abstract

This study examines Hawaiʻi government's role in Japanese ownership of Hawaiʻi hotel, 1970 through 1990. In particular, two questions are analyzed. The two questions are: (1) were Hawaii's government policies immaterial in motivating Japanese hotel investment and (2) were Hawaii's government policies counterproductive to Hawaii's overall economy. With the vast number of state-sponsored studies and with the State Plan becoming law, it would appear that the State was very active in promoting tourism development and the Hawaiʻi economy. However, the research indicates that the Japanese investors were motivated by other factors than by the actions of the State of Hawaiʻi. Although the state's economy grew, the individual tourism worker's income was less than the income in other industries in the state. Thus, the study addresses the effect of tourism on the residents of Hawaiʻi. Even though the State Plan mentioned the importance of the residents, the growth of tourism in the State had negative consequences on many residents. These problems were seen not only in income levels but also in the sociocultural and environmental impacts on the residents. In sum, this study found that the State's policies were inconsequential to Japanese hotel investment, and while the State promoted positive consequences from tourism, there were negative consequences, especially in the long run.