Unravelling the Policy Outcomes of Sustainable Tourism: Driving Poverty Eradication and Economic Empowerment for the Bai Ethnic Minority in Yunnan,China

Data Collection and Participant Interaction

This study employs a mixed-methods, qualitative research approach, complemented by a comprehensive legal analysis. The first author conducted fieldwork in the Bai region, specifically in Dali and Lijiang, from October 29 to November 2, 2024, to engage with the local Baizu community through spot interviews and communication. The initial phase of communication took place in the Lijiang region from October 29 to 31. Subsequently, the second phase of interactions occurred from November 1 to 2 in the Dali region, where the majority of the Bai ethnic population is concentrated. The interactions have been included in the “case study analysis” section.

The study gathered primary data through in-person, semi-structured interviews with members of the Bai ethnic community in Dali and Lijiang, Yunnan. The first author employed a convenience sampling method, engaging participants in their natural work environments, such as markets, tourist sites, and small businesses, to ensure contextual authenticity. Interviews were conducted in Mandarin, with a mobile translator application available when necessary. Each session lasted approximately 10 to 20 min and concentrated on livelihood challenges, income sources, and the perceived impact of tourism on their economic well-being. Due to cultural reservations and distrust of external researcher(s), only five participants (three women and two men) consented to participate. Field notes and photographing (with consent) were employed to document responses, supplemented by observational data on daily economic activities. To protect the identities of participants, pseudonyms were assigned.

Policy Documents and Report Analysis

We analysed the Chinese legal system pertaining to poverty alleviation and employment opportunities. Additionally, we employed the UN Tourism Data Dashboard (https://www.unwto.org/tourism-data/) to access valuable data and analysis on key metrics related to both incoming and outgoing tourism on a global, regional, and national scale. We visited the UN’ SDG (https://sdgs.un.org/goals) and SDG 12 Hub (https://sdg12hub.org/) to retrieve SDGs 1, 8, and 12 as well as other relevant SDG targets and indicators. We also relied on the China National Bureau of Statistics (https://www.stats.gov.cn/english/) to obtain China’s domestic tourism, economic, and ethnic minority statistics. We have specially reviewed the “Piloting SDG Localisation at the Village Level Impact Report - Phase 1 (2017-2021)” (in Chinese), which focuses on poverty alleviation and sustainable economic growth among women ethnic minority groups in Yunnan Province, prepared by the United Nations Development Programme.

Data Limitations

Although the small sample size offers valuable insights, it limits the generalisability of the findings, and self-selection bias may skew the perspectives towards those more willing to engage with outsiders. Additionally, the absence of formal randomisation and reliance on self-reported data may introduce potential inaccuracies. Time constraints and limited access to broader demographic groups, such as younger Bai migrants or government officials, further restricted the study’s scope. Despite these limitations, the qualitative depth provides significant insights into the lived experiences of Bai individuals in tourism-dependent economies.

Case Study Analysis of the Baizu Ethnic Minority Group

Prior to the establishment of modern China, the Bai region experienced significant disparities in social and economic development. The feudal landlord economy predominantly prevailed, casting a long shadow over the area. However, in certain dam regions and select towns situated along key transportation routes, the capitalist economy witnessed noteworthy growth. Conversely, in the more remote mountainous areas, particularly those characterised by high elevations and scattered settlements, vestiges of feudalism, primitive communal structures, and even remnants of slavery persisted (National Ethnic Affairs Commission of the People’s Republic of China, 2020).

The Bai indigenous community primarily resides in the Dali Bai Autonomous Prefecture, one of China’s renowned tourist attractions (Figure 3) in Yunnan Province, with deep roots in the Erhai Lake region of Dali. It has thrived for generations, embodying a rich cultural heritage that deserves recognition and appreciation. The Erhai region has been home to human inhabitants since the Neolithic period, where they established their lives alongside streams. While their economic practices remained in a rudimentary state, evidence suggests the presence of textile production, as well as fishing and hunting activities. It is also possible that early forms of agriculture were beginning to take root during this era (Baidu, 2024). Over time, their traditional lifestyle has shifted to a modern one in many aspects, which has impacted their earnings. The most prominent reason could be the influx of an increasing number of outsiders, especially the Han people. Many Han people buy houses and live there because of their comfortable lifestyle. A large portion of the Bai people still practise the traditional way of life, such as fishing, livestock cultivation, and handicrafts, among others. Conversely, a few Bai ethnic people migrate to economically stable, large cities like Guangzhou, Shenzhen, and Hangzhou.

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Figure 3.

Famous tourist attractions in Dali.

This study examines the livelihood circumstances of the Bai ethnic community in Dali and Lijiang, with a particular focus on a poignant case that exemplifies their resilience. Our narrative begins with a woman (A) who skilfully adorns the hair of tourists in the historic Dali ancient town (Figure 4). She is one of many who engage in this artful practice to support themselves financially. Hailing from a village with limited employment opportunities, she has leveraged her talent for hairstyling, using traditional ribbons to earn an impressive USD 704 monthly. Her earnings are closely tied to the tourist influx, peaking from April to August, when her income increases significantly. Complementing her efforts, her husband operates a food stall in the same bustling area, while their 26-year-old son takes on various odd jobs in Dali. Lacking advanced educational qualifications, they have chosen to remain in their familiar surroundings rather than seek opportunities in larger cities.

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Figure 4.

A Baizu woman decorates the hair of the first author to make money in Dali.

Figure 5 portrays a Baizu woman (B) who supports her family by operating a three-wheeler near the historic Dali town. As she relies on an electric vehicle, her ability to travel greater distances is constrained, capping her monthly earnings at a modest USD 400. Her husband also navigates the same tourist area on a three-wheeler, and together, their combined income has enabled them to sustain their livelihood, though they face considerable challenges. She perceives their limited earnings as a source of hardship in their daily lives. Residing a bit farther from the picturesque Erhai Lake, she cultivates land to generate additional income. Furthermore, she harbours deep concerns for her son’s future as he pursues his undergraduate studies at a university in Guangxi province that specialises in ethnic minority education.

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Figure 5.

A Baizu woman riding a three-wheeler vehicle to support life in Dali.

Participant C, a Bai woman, serves as a front-desk representative in a restaurant nestled within the Dali ancient town (Figure 6). She is among many Bai women who either embark on the entrepreneurial journey of establishing their restaurants or contribute as dedicated employees. Running a restaurant has become a thriving venture, mirroring the popularity of Dali as a premier tourist destination in China. Visitors are increasingly drawn to the authentic flavours of local and traditional cuisine, which not only enhances their experience but also bolsters the business prospects of these establishments, ultimately elevating the livelihoods of the Bai community. In addition to her role, numerous Bai women are engaged in other enterprises, selling exquisite traditional crafts that showcase their rich heritage.

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Figure 6.

A Baizu woman works in a restaurant in Dali as a front-desk representative.

The temperate climate of Dali fosters a thriving agricultural landscape, particularly renowned for its abundant fruits and vegetables. During a recent exploration of this picturesque area, the first author observed elderly individuals (D) diligently transporting their homegrown produce to market (Figure 7). This vulnerable demographic faces limited alternatives as the demands of labour-intensive work become increasingly challenging with age. However, there lies a promising opportunity for their rehabilitation through active participation in cultural initiatives. Such engagement would not only safeguard and celebrate their rich traditional heritage but also provide them with a supplementary income, enhancing both their livelihoods and their sense of community.

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Figure 7.

Baizu elderly people sell fruits and vegetables in Dali.

In the scenic setting of Lijiang City, a taxi driver (E), hailing from the Bai community, supports his livelihood through car sharing. Renowned as a prime tourist destination, much like Dali, Lijiang is a vibrant hub that draws visitors, making E’s income largely reliant on the influx of tourists. He describes his work as seasonal, with earnings peaking during the high season from April to August, as well as during various government holidays. Unlike many who seek opportunities in bustling urban centres, E cherishes the prospect of remaining close to his family in their local home. He believes that the relentless pursuit of wealth can erode familial bonds and negatively impact individuals’ well-being. With a heartfelt plea, he hopes the government will extend support to ethnic communities by fostering local job opportunities, thereby aiding in the preservation of their rich cultural heritage, as the Bai people, especially ethnic women, boast a profound and intricate tradition that is worthy of safeguarding.

Role of Ethnic Women Improving Livelihoods and Preserving Ethnic Identity

The socio-economic transformation of Baizu society in Dali has been significantly influenced by the diverse practices of Baizu women, who have emerged as pivotal contributors to local development. In sectors such as agriculture, tourism, and cooperative economies, these women exhibit unique capabilities that not only sustain economic engagement but also actively redefine the social roles of Baizu women. Within the cultural framework of the Baizu ethnic group in Dali, the traditional tie-dye craft (in Chinese Zhā Rǎn) is intricately linked to women’s roles, representing a crucial aspect of how ethnic identity is embodied and perpetuated through gendered labour (Figure 8). Tie-dyeing represents a traditional Chinese method of textile dyeing. Among the numerous regions celebrated for this artisanal practice, Dali’s Zhoucheng village stands out as the most distinguished (China Daily, 2017).

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Figure 8.

The Bai ethnic group engaged in tie-dyeing activities in Dali.

Various techniques and styles of tie-dye emerged independently across different regions of the ancient world, including Peru, Nigeria, China, Japan, and Southeast Asia (Fagan, 2023). Since the Ming and Qing dynasties, Baizu villages in southwestern China have gradually emerged as significant hubs for tie-dye production, with the craft expanding to the extent that “every household owns a dye vat, and every family produces tie-dye” (S. S. Li et al., 2017). Originally, Baizu women engaged in tie-dyeing as a practical skill to sustain their households. Over time, this practice has evolved into a symbolic art form that reflects aesthetic values, cultural heritage, and the collective identity of the Baizu ethnic group. The tie-dye technique has gradually evolved into a prominent cultural symbol of the Baizu community. This craft, when combined with traditional Baizu folk songs sung by women during their work, transforms into a vibrant and tangible representation of ethnic and cultural identity (Yin, 2015). Female kinship networks primarily support the transmission of this craft across generations. Thus, the persistence of tie-dye serves not only as a technical legacy but also as a dual mechanism for reinforcing both familial connections and ethnic identity.

In the Baizu tradition of tie-dye, women are recognised as the primary custodians of this craft, with expertise passed down mainly through oral instruction and practical engagement, typically from mothers to daughters and from mothers-in-law to daughters-in-law (Bian & Li, 2021). Men generally contribute to secondary tasks such as preparing dyes and transporting materials, whereas the central creative activities—design, patterning, and aesthetic innovation—are exclusively undertaken by women. This gender-specific division of labour positions Baizu women as vital repositories of intangible cultural knowledge. A distinguished example is Duan Yinkai, a nationally acclaimed inheritor of the craft, who was born into a family of tie-dye artisans and mastered the entire production process by the age of 12. Her family has maintained this tradition for 18 generations. By organising over 15 training programmes and educating more than 750 individuals, as well as teaching in academic settings, she has developed over 70 new tie-dye techniques by combining traditional stitching methods with modern design elements (Baijiahao, 2018).

Thus, the expansion of tourism has led to a noteworthy transformation in the roles of Baizu women, who have transitioned from traditional producers to cultural entrepreneurs. Duan, in collaboration with her husband, established the Tie-Dye Art Museum and played an essential role in promoting the craft through experiential tourism and partnerships with academic institutions. Her work’s inclusion in the National Arts and Crafts Museum underscores the elevation of Baizu cultural heritage to a form of national symbolic capital (Baijiahao, 2018). This evolution reflects a dual dynamic of tradition and modern enterprise, enabling Baizu women to emerge as active managers of cultural capital and representatives of ethnic identity rather than merely transmitters of cultural techniques. The designation of Baizu tie-dye as a National Intangible Cultural Heritage in 2006, along with the official recognition of female artisans as custodians of cultural tradition, further highlights this shift (Inchina, 2006; S. H. Liu, 2014). State media representations have amplified the personal narratives of these women, elevating them to the status of ethnic symbolism (Su et al., 2010).

As a result, this symbolic ethnic capital has been effectively transformed into tangible economic capital, with the tie-dye industry in the Dali region generating an annual output exceeding 10 million yuan (USD 1,391,000) and women constituting over 80% of the workforce (Yang, 2011). The interaction between Baizu women and the tie-dye tradition thus illustrates a complex interplay of gender, tradition, and modernity in shaping ethnic identity. Through their daily practices, these women not only elevate the craft to a cultural symbol but also redefine their social roles and agency within both local communities and broader national narratives.

China’s ST Policy in Eliminating Poverty in the Ethnic Minority Group

China introduced the Targeted Poverty Alleviation (TPA) programme in 2013 to eradicate poverty from society. This strategy involves identifying vulnerable groups within communities and providing essential support for their well-being and sustenance. The integration of TPA into rural tourism encompasses economic and educational initiatives aimed at supporting impoverished households. Support, such as tourism subsidies, microfinance, and tax exemptions, enables participation in tourism projects to alleviate poverty.

The pro-poor initiative, launched by the UK government in the 1990s, has captured the attention of the international community. This approach is believed to offer net advantages to impoverished populations by engaging local communities, with a particular focus on ethnic groups, in small-scale non-agricultural enterprises such as ethnic tourism. Scholars like Wu et al. (2025) assert that such activities serve as a central source of income and employment for economically disadvantaged individuals in rural regions, thereby fostering new avenues for local economic development. The “pro-poor tourism” policy is a key pillar of China’s poverty alleviation strategy, helping over 10% of the population rise above poverty through tourism opportunities (Qin et al., 2022). Pro-poor tourism in developing regions seeks to fulfil travellers’ altruistic desires while enhancing the quality of life for local ethnic populations (Buhalis et al., 2023). However, the tourism industry’s low wages hinder inclusivity and economic progress. Most jobs require minimal education and offer meagre compensation, limiting growth potential for those in need (Alam & Paramati, 2016).

In the Yunnan Province, 2018 saw 1.51 million individuals rising above the poverty line, with the poverty rate falling from 14.03% in 2015 to 5.39% in 2018 (Y. Wang & Ding, 2021). In 2019, Yunnan, a province with a majority ethnic minority population, focussed on addressing its most impoverished regions, prioritising the “Two Assurances and Three Guarantees.” China committed to providing vulnerable citizens with food and clothing “two assurances” and access to compulsory education, medical services, and secure housing “three guarantees.” This lifted 1.3 million individuals out of poverty, eradicated poverty in 2,457 villages, and empowered 31 counties to break free from poverty in Yunnan province (Ruan, 2019). This initiative ensures that all members of the seven “directly-entering-socialism ethnic groups” were liberated from poverty.

China’s ST Policy in Increasing Employment and Economic Growth in the Ethnic Minority Group

Between 1978 and 1985, China’s “Large-Scale Poverty Reduction Driven by Institutional Changes” initiative highlights the transformation from rural migrants into non-agricultural sectors and township enterprises in the countryside, which included promoting rural tourism through employment opportunities. This programme highlights the government’s role in fostering these enterprises, which have invigorated local non-agricultural industries and driven rural economic growth.

China has long adopted “employment as a means of relief” throughout its history. The welfare-to-work initiative has been crucial to poverty alleviation and development since 1984 (Lan et al., 2024). This policy combines social welfare with economic development, emphasising tourism and small enterprises for rural development. The policy engaged impoverished citizens in infrastructure projects, improving fields, roads, waterways, housing, and sanitation facilities. Workers received compensation in the form of essential goods, including grain, cotton, textiles, and industrial products.

In November 2020, the National Development and Reform Commission outlined a vision for implementing welfare-to-work policies within agricultural and rural infrastructure development. This initiative aims to enhance rural production and living conditions across transport networks, water management systems, heritage tourism corridors, sustainable forestry, and pastoral ecosystems. This aligns with China’s “three regions and three prefectures” policy, which focuses on poor, multi-ethnic areas, including the Tibetan areas of Sichuan, Yunnan, Gansu, and Qinghai provinces, as well as the Liangshan Yi, Nujiang Lisu, and Linxia Hui Autonomous Prefectures. Under this policy, the population in ethnic poverty-stricken areas, such as Yunnan, decreased from 1.72 million to 430,000, with poverty rates falling from 8.2% to 2% (Wei et al., 2023).

To address systemic disadvantages faced by ethnic minorities and promote diversity in the workforce, governments and businesses worldwide, including those in China, have implemented policies that foster equal opportunities for all employees, regardless of their ethnic background (Holck, 2018). Meanwhile, the World Bank reports that youth unemployment in China reached 15.9% in 2022 (Figure 9), while the government projects a rate of 14.9% in 2023. According to International Monetary Fund (IMF) data, China’s GDP growth is estimated at 4.6% in 2023, declining to 4.1% in 2025 (Figure 10; IMF, 2024). However, the October 2024 report suggests 4.5% in 2025. These factors create pressure on Chinese economic growth and affect minority groups who lag economically.

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Figure 9.

Youth unemployment rate in China from 1992 to 2022.

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Figure 10.

Real GDP growth of emerging market and developing economies, including China, from 1980 to 2024.

China’s initiatives, which engage rural communities in afforestation projects, transform agricultural lands into forests and grasslands, protect existing forests, grasslands, and wetlands, cultivate woody oil plants, and promote forest tourism, have empowered impoverished communities to enhance their livelihoods. These efforts uplift their economic status while enriching the ecological landscape of disadvantaged regions, creating benefits for both people and the environment (China Daily, 2021).

Moreover, in alignment with the World Bank’s “three-pillars” strategies, China’s developmental approach prioritises labour-intensive industries through employment-centred policies, mandatory education in rural regions, and comprehensive healthcare and social security systems for the elderly (Wei et al., 2023). This model fosters economic growth in rural areas while ensuring that the benefits of development are equitably distributed across all societal segments, particularly among disadvantaged ethnic minorities with limited access to employment opportunities.

China’s Policy Measures in Improving Ethnic Minority Communities

Efficacy of China’s Policy Initiatives in Achieving SDGs 1 and 8 for Bai Ethnic Communities

In China, numerous ethnic groups are experiencing poverty, prompting the government to strategically develop tourist attractions as a means to generate revenue and stimulate inclusive GDP growth in these regions. Consequently, ethnic tourism in China is rapidly evolving into an industry that provides support to those in need (Howard, 2024). The primary challenge hindering the progress of pro-poor tourism is the significant deficiency in knowledge and skills among impoverished populations, which further limits the ability of rural communities to engage effectively in the planning and development processes of tourism projects (Rao et al., 2022).

According to Ramos and Prideaux (2014), the presence of unskilled leadership within a community, coupled with knowledge deficits and resource limitations, generates negative externalities across community subsystems that are disempowered, despite individuals having a strong inclination to participate in tourism-related activities. Conversely, factors such as the scarcity of economic resources and the absence of social support from local communities, coupled with the entrenched power structure among governing and business elites, limit the involvement of local residents in tourism related activities in China, despite their ability to elect a Village Head to manage local affairs (Tian et al., 2023).

Agriculture has historically served as the economic backbone for ethnic communities, such as the Bai, which often struggle with inadequate infrastructure and limited access, and challenges in independently developing tourism due to insufficient experience, skills, and financial resources. Lo et al. (2019) highlight the potential for conflict between local communities and tourism developers, attributing this to the ambiguity surrounding land use rights in rural areas, which may lead to disputes over the authority to alter land use.

Consequently, various levels of the Chinese government have engaged external tourism organisations to facilitate and manage tourism development in rural villages (Tian et al., 2023). Research conducted by Q. Lin and Bao (2015) demonstrates that the expansion of tourism in Yunnan’s ethnic regions augments the value of traditional agricultural and tea resources by incentivising the local population to safeguard their living heritage landscapes.

Y. Wang (2022b) posits that the endogenous growth foundations in Yunnan Province is notably singular, which poses challenges for farming communities attempting to increase their earnings and alleviate poverty. Additionally, the limited development of commercialised agri-food systems contributes to the sluggish advance of farmers’ earnings derived from agricultural product businesses.

However, prior to the designation of Lijiang as a World Heritage site, agriculture constituted the primary source of income for Lijiang’s residents, albeit generating only modest earnings. Following its inclusion in the World Heritage List, Lijiang experienced an economic surge, with tourism emerging as the predominant industry. This development has substantially enhanced both the regional economy and the income levels of local ethnic minorities (Howard, 2024).

In contemporary times, the tourism industry in Yunnan Province has increasingly focussed on ethnic minority festivals, drawing significant interest from local authorities and tourism stakeholders; however, this burgeoning sector faces challenges, notably the trend towards homogenisation and superficiality in festival tourism products (Lei, 2024). The drive for economic profit has led to the commercialisation of these festivals, posing a substantial threat to the preservation of authentic ethnic and traditional culture. This issue is especially evident in areas where government-constructed ethnic villages fail to maintain the genuine cultural essence, which should ideally be deeply rooted in their original cultural and ecological environments.

In Yunnan Province, small family enterprises involved in ethnic tourism serve as the cornerstone of rural tourism, but they have encountered significant challenges in the aftermath of the pandemic. While there has been some recovery, the unpredictability of events such as the pandemic necessitates the implementation of long-term strategies to prevent these marginalised communities from experiencing severe economic repercussions.

The pro-poor framework can play a pivotal role in strengthening the sustainable development potential of a tourism destination, thereby advancing local economic growth and ensuring social stability; nevertheless, there has been a notable lack of attention from government and private stakeholders regarding human resource management in ethnic rural regions of China’s Yunnan Province. On the contrary, Weng and Peng (2014) argue that the challenges in achieving community empowerment in historic Chinese villages are primarily due to the ineffectiveness of mechanisms intended to ensure equitable societal benefit and the extractive institutional arrangements in grassroots administration, which further contribute to internal power imbalances within the community.

Tourism has transcended its traditional role as a profit-driven industry, evolving into a vital process for bolstering local capacities in promoting ethnic identity, cultural heritage, and communal pride (Q. Lin & Wen, 2021), with community-based family enterprises taking the forefront in advancing sustainable tourism within the ethnic regions of Yunnan. These enterprises, rather than functioning independently, engage in collaborative efforts with the local community. This synergy fosters the development of a destination profile that is not only physically inviting but also accessible in virtual spaces.

The endeavour to eradicate poverty among all households and individuals through economic development and TPA is fraught with challenges due to a multitude of influencing factors. In China, particular attention is directed towards ethnic minority regions, with a particular emphasis on underserved rural communities in the western part of the country, such as the Bai in Yunnan Province, which are prioritised in development-oriented rural poverty alleviation strategies.

The greatest challenge in alleviating poverty through tourism lies in rural regions, particularly in remote ethnic communities, such as the Bai in Yunnan province, which face significant economic hardship. Needless to say, these areas represent key efforts to use tourism to uplift those in need. Regional economic development through tourism aligns with rural revitalisation and national policies aimed at alleviating poverty. This initiative promises sustainable growth (J. Wang & Lv, 2023). However, it is worthwhile to mention that some regions, driven by rapid development goals, have exceeded the capacity of their environmental resources, creating stakeholder conflicts and highlighting the need for balanced development. Effective rural governance has become essential for sustainable rural revitalisation.

It is widely contended that enhancing the capabilities of economically disadvantaged populations is best achieved through investment in formal education, encompassing technical extension and vocational training (Akita & Lethro, 2024); nevertheless, Wu et al. (2025) opine that this disproportionate reliance on educational investment may lead to mismatches between the recipients and the educational content, as the majority of individuals engaged in tourism development are beyond the typical age for schooling. China’s homogenous educational system disregards ethnic identity and religious expressions of minority groups, excluding them from mainstream inclusion (Xue & Li, 2020). While national literacy reached 96.7% in 2020, minority access to quality education (SDG-4) remains low. As noted by scholars Xue and Li (2020), China’s educational policies aimed at including ethnic minority populations have yielded both progress and setbacks. These initiatives have significantly contributed to fostering national integration, sustaining national unity and regional stability, enhancing the academic achievements and cross-cultural skills of minority students, and ensuring a fair distribution of educational resources (Xue & Li, 2020).

Educational programmes provide disadvantaged populations with the skills and knowledge necessary for the tourism industry (Dang et al., 2024). Targeting and assisting the poor in tourism operations fosters sustainable development and enhances their well-being. Nevertheless, Zeng and Ryan (2012) argued that governments have historically overseen tourism development in rural areas as operators, policymakers, and coordinators, resulting in industry monopolisation and TPA policies.

The utilisation of SDG indicator 8.9.1 in measuring the “Tourism Direct GDP” plays a crucial role in monitoring Target 8.9, which actively urges countries to “by 2030, devise and implement policies to promote sustainable tourism that creates jobs and promotes local culture and products,” as outlined in Goal 8. Similarly, indicators 8.9.2, “Proportion of jobs in sustainable industries out of total tourism jobs,” and 12.b.1, accentuate “Implementation of standard accounting tools to monitor the economic and environmental aspects of tourism sustainability.” However, there is no clear definition of “tourism jobs” unless it is described as “the measurement of employment is limited to employment in the tourism industries, and the variables used to express this volume are the number of jobs and hours worked” (UNWTO, 2017). Across the globe, we have witnessed a remarkable increase in labour productivity alongside a decrease in unemployment rates. However, it is essential to pursue further progress to improve job opportunities, especially for the younger generation, and to reduce the prevalence of informal employment. This includes addressing inequalities in the labour market, advocating for safe and secure work environments, and facilitating access to financial services to foster enduring and equitable economic development.

Evidence from international contexts underscores the importance of a comprehensive social security system as the final safeguard against poverty for all societal members (Y. Wang, 2022a). Consequently, the establishment and enhancement of such a system are imperative for the complete eradication of poverty.

Policy Recommendations

Yunnan’s local governments have implemented tourism policies aimed at achieving pro-poor outcomes. However, more progress is needed to ensure sustainable tourism reduces poverty (SDG 1) and increases employment (SDG 8) in Bai ethnic areas. Research in Dali and Lijiang suggests ST policies should focus on (1) policy supports, (2) integration, and (3) skill development.

These policies will enable Bai minorities to participate in tourism and contribute economically to their villages. Community-based tourism has boosted the economy in Dali Xizhou Ancient Town, but some villagers are unable to participate due to a lack of funds or skills. As more tourists visit Xizhou and other destinations in Dali and Lijiang, outside investors benefit more than the villagers. Engaging the local community is crucial to ensure that ST benefits the locals. The local government can provide loans, offer tax incentives, enhance business capabilities, or establish village cooperatives to support community-based tourism, thereby keeping income within the community.

Align tourism policies with China’s rural revitalisation strategy by improving infrastructure (roads, transport, telecommunications, accommodations, safety) to support tourism accessibility. Many villages lack tourist infrastructure. Efforts should begin with renovating roads, water supply systems, sewage systems, and other infrastructure to expand the accommodation capacity of Bai ethnic villages. The government and development partners assist in restoring architecture and infrastructure in villages like Shaxi, Yunnan, providing rural communities with tourism training and loans. By 2023, the village had 93 catering businesses, 122 guesthouses, and 39 handicraft shops, with over 1,000 people in tourism (1/3 women). However, current facilities cannot accommodate millions of tourists visiting Dali and Lijiang’s premier destinations.

To enhance competitiveness and develop skills, provide training to the Bai population in the hotel and restaurant, local food manufacturing industries (e.g., Dali Er Kuai (大理饵块), Dali Rushan (大理乳扇 Dàlǐ Rǔshàn), Dali Baba (大理粑粑), Yunnan Rice Noodles (云南米线 Yúnnán Mǐxiàn), Dali Grilled Fish (大理烤鱼 Dàlǐ Kǎoyú), Lijiang Baba (丽江粑粑), Yak Meat Hotpot (牦牛肉火锅 Máoniúròu Huǒguō), Jidou Liangfen (鸡豆凉粉)), digital marketing to sell local food and cultural items, and handicraft innovation. Multi-channel brand marketing and digital strategy are fundamental. Official channels and social media platforms, such as TikTok (DouYin in Chinese) and Redbook (Xiaohongshu in Chinese), can promote Bai ethnic homestays and culture.

The China National Tourism Administration conducts training programmes on tourism poverty alleviation for rural tourism leaders and officials in areas such as Yunnan’s Dali and Lijiang, maximising social forces in poverty alleviation. Yunnan local governments have included poverty reduction KPIs in officials’ performance evaluations for tourism projects, with some regions deploying officials to support tourism development in rural villages. While government involvement in rural tourism brings advantages, economic prosperity remains a key factor in its development. Therefore, support should also extend to local Bai villagers who develop other businesses, including agricultural processing, Bai ethnic handicrafts, and cultural products.

In summary, although Yunnan’s ST policy has promoted regional development and reduced poverty among the Bai ethnic group to some extent, targeted interventions are still needed in areas such as the protection of the Bai ethnic minority culture (cultural equity and cultural invasion) under the ST policy.