This article outlines the economic, environmental, and social problems encountered in developing and managing tourism in peripheral regions. These include large economic leakages from tourism expenditures, difficulties in providing and maintaining touristic infrastructure, and managing its environmental conservation and social impacts. The growth of tourism on Cape York Peninsula (Australia) is taken as an example and use made of the results of a survey of tourists and of tourism operators. This region is distant from large urban centers, is relatively underdeveloped, and contains a proportionately high aboriginal population.