Sunday, January 30, 2011

Thailand - Dual Pricing Taken to the Extreme

A common complain (from foreigners) in Thailand is that is the policy of charging foreigners more is unfair and even racist. I understand that there are reasons why dual pricing can make sense.

One often heard argument is that foreigners don’t pay income taxes in Thailand so they should therefore pay more (ten times as much as a Thai) to enter national parks or museums, i.e., Thai nationals contribute to running national parks via income taxes. But this is actually an afterthought and not the original reason for introducing dual pricing.


The spirit of the National Parks Act of 1961 assumed that natural and cultural attractions, including sacred and historic sites, nationwide are part of the national heritage, belonging to all Thais equally. So, provisions were designed to ensure fair and equal opportunity for each and every individual Thai to have access to national treasures, and the natural and cultural heritage inherited from their forefathers.

This put a limit on how much entrance fees for Thais could increase, so over time, foreigners were left holding the bag whenever there was a need to plug a hole in the budget for national parks.

Another argument centers on simple microeconomics, i.e. the price of goods and services should be differentiated depending on the marginal utility and price sensitivity of various customer segments. In other words, foreigners are (in general) richer than Thai and can therefore better afford to pay more. This makes sense in a competitive (private sector) industry, but probably not when discussing pricing of public goods.

Good examples of taking dual pricing to the extreme can be found in Chiang Mai Zoo. It is incomprehensible to me why foreigners visiting a zoo must not only pay more in entrance fee and to visit the aquarium, but foreigners also have to pay more to use bus and tram services to get around the zoo. Do foreigners weigh more and thus cause more wear and tear on the equipment?


Another annoying aspect of this overpricing is the attempts to hide it by writing the Thai prices in Thai which few foreigners can read. Hence, they don’t know they’re being cheated and they don’t complain. It’s a bit too clever for my liking.




More importantly, the dual pricing in the private sector is actually illegal.


The legal framework on pricing - for tourism attractions that are wholly-owned, funded, and run by private sector operators - stipulate unequivocally that there can only be one price charged for entrance and that this price but be prominently displayed at the entrance.


This rule is obviously frequently blatantly ignored. If you notice this rule is broken by private sector operators, feel free to complain about unethical pricing practices to the Ministry of Tourism and Sports' Office of Tourism Development on co_service@tourism.go.th


Good luck.

Wednesday, January 26, 2011

Bangkok - The Manhattan Rebellion

An interesting piece of historic fact is that the only large vessel the Royal Thai Navy lost in combat over the last 100 years was sunk by the Royal Thai Air Force on June 30. 1951.



The background was the intense rivalry between the army and the navy since the military coup of November 8, 1947. Over the next four years, three unsuccessful rebellions were used by the army to gradually increase its power and sideline the Seri Thai movement as well as the navy.


After the failed Palace Rebellion of February 26, 1949, several senior navy officers were forced to retire leading the way for younger and more radical officers. The navy had enjoyed royal prestige since its inception as its first commanders were princes of high rank, but the importance and social prestige of the naval officers were now under threat.


On June 29, 1951, Prime Minister Phibun attended ceremonies for the transfer of a US-donated dredge named Manhattan. Naval officers carrying sub-machine guns and rifles walked up the gangway of the Manhattan unobstructed and simply told the PM to go with them. PM Phibun offered no resistance and went with the armed sailors as he was told. He was led off the ship and on to another boat that took them to the Sri Ayutthaya, a navy cruiser docked across the Chao Phraya on the Thonburi side.


The coup makers, calling themselves the Save the Nation Group, informed the public that a coup had taken place through broadcasts from the navy radio. They said it was necessary to overthrow the government, which they accused of being corrupt, undemocratic and incapable of administering the country. The coup makers labeled the government leaders ''big gangsters'' and asked for public support.


The young coup leaders had assumed that with the PM as their hostage, the military junta (known as the Coup Group) of 1947 would give in. They failed to realize that despite Phibun’s popularity in the army, saving him had low priority to the junta compared with its desire to secure the army’s monopoly on power.


The Coup Group rejected the demands outright and fought back with the full support of the Royal Thai Army, the Royal Thai Air Force (formed as recent as 1947 and effectively under the control of the army) and the Royal Thai Police.


All attempts at negotiation failed and the two sides kept up a battle of words over the radio waves all through the night. Fighting broke out in Bangkok before daybreak of June 30 between the armed forces rallied around the government and those supporting the Save the Nation Group.


Rebel marines were able to take over the Wat Leap power plant and nearby telephone exchange, but a combined police and army force took back these strategic sites within a few hours. The air force conducted heavy bombing raids on targets including the coup makers' command centre, the naval dockyard on the Thonburi side and several naval bases. The Sri Ayutthaya flagship was also bombed and sunk. Phibun was saved by naval officers and swam ashore.


Fighting continued, but the Coup Group started to gain the upper hand in the early afternoon and fighting ended in the evening of June 30, 1951.


Both sides suffered heavy casualties. Official figures list 68 dead and about 1,100 injured. Civilians accounted for 44 of the dead and 400 of the injured. Besides the Sri Ayutthaya, the Kamronsin was sunk and many buildings were destroyed in the heavy fighting. The naval dockyard was burned to the ground.


More than 1,000 naval officers and sailors were charged and placed on remand. Most were later released for lack of evidence. About 100 were imprisoned. Many high-ranking naval officers were dismissed from their posts, and the navy lost a great deal of prestige and influence. The navy headquarters was moved from Thonburi to Samutprakarn while the fleet was moved Sattahip in Chonburi to keep them far from the seats of power in Bangkok. The army took over several navy buildings and bases as the navy was downsized to the bare minimum. The naval air contingent was transferred to the air force and the marines were drastically reduced in size.

Tuesday, January 11, 2011

Thailand - Travel Advice

This is actually a warning against always believing what you read on the Internet or in guidebooks. Such sources tend to be sweeping generalizations.


My favorite examples of weird "Dos and Don'ts in Thailand" include:
  • Walking alone in the dark or in deserted areas is not recommended. Never let your belongings out of sight if possible.
This advice is so general that it can be given to people visiting New York, Bogota or Bangkok. In other words, it is a useless piece of advice.

  • Be careful when driving in Thailand. 
As if you don't have to be careful when driving anywhere else in the world.
  • Do not touch a person’s head as Thais regard the head as the highest part of the body and would not approve of it even as a friendly gesture.
Ask yourself, where in the world would you step up to a total stranger and start padding him/her on the head or spoiling their hairdo? Answer is NOWHERE. In Thailand, as elsewhere, couples, close friends, and family can touch each other on the head without it being considered an insult.
  • Do not stand still if an elephant approaches you on the sidewalk, just step aside as quickly as possible. Any attempts to spank the elephant might backfire
Wow, I'm glad I read that advice because I was just about to slap the next elephant I meet.

Saturday, January 1, 2011

Bangkok - Kukrit Pramote & Four Reigns

Four Reigns (Si Phaendin) is novel (by M. R. Kukrit Pramoj) that is a must read for anyone with a serious interest in Thai culture and Thai history.

The story follows the life of Phloi as she lives through the reigns of four kings. As a young girl, she works for a minor courtier at King Rama V’s court. It was a time of absolute monarchy and strict observance of traditional Buddhist values, but also at a time norms, technologies, fashion, and way of life had started a path of rapid change. As Phloi ages, she experiences the disturbances and upheavals brought on the society she lives in by World War I, the Palace Revolution of 1932, and World War II.

The novel provides great information on traditional Thai culture from the perspective of minor nobility and on the changes modernization during the years leading up to and immediately after the introduction of democracy (constitutional monarchy).

I have included a link to the book in my store if you want to order it.

The author of the Four Reigns, Kukrit Pramoj, was a politician, scholar, artist, and the founder & editor of Siam Rath. He is indeed a very interesting person that lived a very interesting life. His former home (in Bangkok) is now a “heritage museum” located in Soi Prapinit (access from Soi Suan Plu or from New South Sathorn Road). On two acres of land are five old small one-room teak houses brought to Bangkok from Central Thailand. These teak houses on elevated poles in traditional Thai style were connected by open veranda and each served a specific purpose.

To visit these houses and the nice garden is to take a walk back in time.

According to my sources, Mark Zuckerberg's friends recently had their marriage ceremony at khun Kukrit's home while the dinner was held elsewhere.

For more info:

http://www.kukritshousefund.com/index.php