Founded in 1925, Paradise is surrounded by state and national forests and its main business is tourism. It is considered one of two gateways to the Tahquamenon Falls area and Tahquamenon Falls State Park. The area draws hunters, fishers, campers, backpackers, snowmobilers and birdwatchers. The region harvests blueberries and cranberries in season. Lake Superior shipping lanes are several miles off shore.
Whitefish Point with the Great Lakes Shipwreck Museum, beach, Whitefish Point Lighthouse and prime birding area, is 11 miles (18 km) north. Whitefish Point is a designated Important Bird Area. The Whitefish Point Bird Observatory, an affiliate of the Michigan Audubon Society, operates a research and education facility at Whitefish Point.
Whitefish Point is the nearest navigation mark to the wreckage of the ore freighter SS Edmund Fitzgerald, which sank in 1975. Every vessel entering or leaving Lake Superior must pass Whitefish Point. Whitefish Point remains one of the most dangerous shipping areas in the Great Lakes. More vessels have been lost in the Whitefish Point area than any other part of Lake Superior. The Whitefish Point Underwater Preserve protects the shipwrecks in a portion of the bay for future generations of sports divers.