Assignment: Contemporary Developments in Business and Management

Contemporary Developments
in Business and Management
Title- Travel agency activities

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
External business environment...................................................................................................1
Internal business environment.....................................................................................................4
TASK2.............................................................................................................................................5
i) Critically assess its relevance of CSR and ethics to Thomas Cook and how it influences
policies and competitive strategy within organisation................................................................5
ii) Evaluate critically effectiveness of the Thomas Cook response............................................7
iii) Consider some areas for improvement in response of the Thomas Cook.............................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
.......................................................................................................................................................13

INTRODUCTION
Business is combination of commercial activities which are performed in order to earn
profits. This can be done through proper and systematic planning of commercial activities.
Business runs in society and there are many changes which are taking place in environment.
There are possibilities that due to change in external factors; manager are required to modify
plans and policies of business. (Rosemann and vom Brocke, 2015). It is essential to make
strategies through which company can manage business activities in order to achieve targets.
There are some aims and objectives for which association is working. Commercial operations are
required to be performed in manner through which changes can be implemented in better and
effective way. It is essential to frame policies which help to run business in appropriate and
efficient manner. Thomas cook has. This report is based on Thomas Cook travel agency with
airlines services which is headquartered in Manchester, England . In this report, there is
discussion about external and internal factors, role of business ethics and corporate social
responsibility.

TASK 1
External business environment
Business involves activities which is effective for achieving targets. Thomas cook is the
company which deals in travel sector. There is requirement of various changes which helps to
perform operations in better and effective way. There are possibilities that due to change in
external environment managers of Thomas Cook has to alter business policies. External factors
are the elements which are indirectly related to business but affects business operations
adversely. These are not in control of managers of Thomas cook, so there is requirement of
making changes in operations. In travel business there are many changes which affects business.
PESTLE ANALYSIS
External environment of business can be understood with the help of PESTLE analysis-
Political- In political factor, there is involvement of government agencies to perform
business operations. Thomas Cook is the company which has airways services in various parts of
country. To operate in travel business, there is requirement of government approval to land and
take flights, check-in and check-out from various locations can be possibilities with permission
of government (Jeston and Nelis 2014). As there are changes taking place in political parties so
managers of Thomas Cook has to make changes in their policies too. Due to governmental
interference there managers of Thomas Cook has to scrutiny their employees, this affects
business operations (Hammer, 2015).
Importance- Political factor is essential component which help to perform business
operations in better and effective way. This factors affects business operations of Thomas Cook
the most. E.g. In case of elections, there are some restrictions in airways services. So it is not
possible to control political factor. Hence managers of Thomas Cook has to alter their policies.
Economical- Economical factor includes financial component related to business. In UK,
there are possibilities of financial crises which affects overall financial position of country. It is
essential to know what changes are effective so there will not be much affect on operations of
Thomas Cook. As there is difference in demand of customers, so it is essential to take actions to
satisfy it. There is requirement of funds to run business operations in better manner, managers of
Thomas Cook has to select sources which are economical and easily available.
Importance- Economical factor is essential to perform business operations and take
actions to coop- up with them. E.g. Holidays packages have characteristics of income elasticity.

This means demand of tour packages arises according to income of person. So it is essential to
provide customised services which helps to satisfy demand of customers. This helps to create
brand awareness among society.
Social- Tour and travel business activities gets affected because there is difference in
demand related to tour packages. This affects business operations in positive way. There are
possibilities that due to change in requirement of customers business related activities gets
affected. This can be reduce when managers of Thomas Cook plan to give best services. As these
days there are various reason to visit places, hence manager has to analyse demand and modify
serves.
Importance- These days travelling is one of the important activity related to day to day
work. There is difference in reasons behind visiting places. It is essential to perform business
activities in better way which provides satisfaction to customer (Myers, 2013). E.g. There is
difference in demand of customers according to their caste, sex, age, etc. Business purpose,
educational trips, honeymoon, vacations, etc. So managers of Thomas Cook has to deal with it
and take actions in order to get positive results on profits.
Technological- Technology is changeing very fastly in travel industry. As there are many
new techniques such as Wi-Fi in aeroplanes, hotels, booking through online sources, etc. are part
of technological advancement. It is essential to know what can be done which helps to satisfy
customer demand (Alvarez, 2016). To accept latest technology there is requirement of funds and
training is also required through which employees can learn how to deal with technological
advancement. So, technological changes are effective for market organisational growth and
development.
Importance- Technological factor plays important role in up- grading business
operations. As these days customer also want up to date services. This helps managers of
Thomas Cook to perform business operations in better manner with reduced time. For e.g. There
must be use of latest software to save data related to customer and managers of Thomas Cook as
to plan training program for workers.
Legal – Legal factor is essential to be followed by managers of Thomas Cook to make
good image in market. It is essential to know what can be done through which alterations
happening in legal components. There are many laws which are related to travel business such as
discrimination, copy right, safety and security, etc. These are some legal and mandatory factors

which has to be considered by manager of Thomas Cook. In case of change in these factors
managers has to make changes in their plans and policies.
Importance- These laws are much essential for smooth running of business. If managers
of Thomas Cook are not working as per legal norms, then there re possibilities of taking actions
in appropriate manner. For e.g. New laws are incorporated in this sector, then this has to be
considered by managers so customer feels safe and reliable while taking services from Thomas
Cook.
Environmental- Environment plays vital role in travel business. Due to change in
environment managers of Thomas Cook has to make changes in plans and policies. It is essential
to work according to market requirement, this helps to provide services effectively (Zadek,
Evans and Pruzan, 2013).
Importance- For e.g. in raining season there is effect on flights. This affects business
operations in adverse way. So to deal with it managers of Thomas Cook has to work according to
environmental factors.
Internal business environment
Internal analysis help association to deal with elements which are present within
organisation (Van Der Aalst, 2013). These factors are in control of managers of Thomas Cook
hence sometimes managers of organisation has to change decisions to get positive results. SWOT
analysis is the best technique for analysing internal environment.
SWOT ANALYSIS OF THOMAS COOK
Strength
 Thomas Cook is the company which
has many policies related to travel
packages according to demand of
customer.
 They have good brand image in market.
 This brand is present in various parts of
company.
 They have wide range of employees i.e.
20000.
Weakness
 They have limit market share in travel
and tourism sector.
 They have low performing asset, so its
balance sheet does not give good
financial statement.

Opportunities
 There are much opportunities of growth
as travel business is one of the fastest
growing sector.
 They must work on components of
digitalisation.
Threat
 Due to high profits profitability of
Thomas Cook is low.
 This association is not able to achieve
economies of scale.
 Regular changes in government policies
affects business operations.
 There is uncertainty in demand of
customers, so there are possibilities of
loss to business.
TASK2
i) Critically assess its relevance of CSR and ethics to Thomas Cook and how it influences
policies and competitive strategy within organisation
Business ethics- Business ethics are some principles which helps to perform business
operations in appropriate manner (Gustafson, 2012). These policies helps to bridge gap between
right and wrong. There will use of approach which help to resolve major issues. It is essential to
make good image of brand of Thomas Cook in industry.
CSR- CSR stands for corporate social responsibility. This is one of the essential
component implemented by governmental bodies. This is responsibilities of managers of Thomas
Cook to frame policies through which they can pay back to society. This may include social,
political or environmental policies.
There is requirement of various policies which is effective and significant for market
growth and development. There are possibilities that due to change in roles and responsibilities
manager has to make changes in working style so positive results can be judged. There is
requirement of changes which is significant for market and actions are taken according to recent
trends. According to (Chang, 2016) business ethics and CSR activity are essential to made
according to market trends. This helps to perform operations in appropriate way. There is
requirement of changes in working style, which helps to form policies which are important to

know what can be done through which changes can be effective and efficient in performing
business operation.
Thomas Cook is one of the leading brand in travel and tourism business. This helps to
make changes in roles and responsibilities. It is essential to conduct research which is effective
and significant for making business operations in appropriate way. CSR and business ethics are
techniques which are effective and significant for organisational growth. As per (Hodgkinson,
and Healey, 2011) with performing business operations as per business ethics, there is
confidence among workers and actions are required to be taken according to change in external
environment.
Transparency- With the help of business ethics, there is use of techniques which are
signifiant for maintaining transparency in business operations. According to. (Amin, 2014).
transparency in business operations helps to providing information related to working style to
customers. Customers and employees gets satisfied with the help of change in working style.
For instance when customers wants to visit some place and want to know about facilities
provided by Thomas Cook, then it is effective for growth and development (Naheem, 2015). As
employees also work in ethical manner.
Fair trade practices- Thomas Cook wants to perform business operations in appropriate
manner. It is essential to frame policies which is effective for knowing what can be done through
business practices are ethical and improvement can be made in role and responsibilities. Fair
commercial practices help to provide satisfaction and work according to market trends. When
business activities are performed with the help of fair business practices. There is satisfaction
among workers so it is essential to make satisfaction to customer.
Diversity issue- There is diversity in business activities, so it is essential to frame policies
which are effective for growth and development of business. Thomas Cook operates in various
parts of company, hence it is essential to know changes which are essential to make alterations in
services. For e.g. There is difference in demand of old age people and young people, so they can
provide satisfaction to customer.
According to …(Orlitzky, Siegel and Waldman, 2011) Thomas Cook is the company
which works in ethical manner which helps to perform business operations in appropriate way.
Managers of Thomas Cook make strategies which helps to perform business activities to achieve
targets. When there is change in business operations, it can be delivered to stakeholders because

there is transparency in business operations. Thomas Cook has good name in market, because
they perform commercial activities in ethical manner. As there is much competition in travel
business, so with following ethical behaviour completion can be faced and customer prefer to use
service from them.
Thomas Cook is the association which works as per change in market trends. There are
many laws which has to be followed by association to get positive results. There are possibilities
of some unethical behaviour such as money laundering, false advertisement, fake services, etc.
This affects image of Thomas Cook in adverse manner.
CSR performed by Thomas Cook
Charity Donations- Thomas Cook organise events through which they can perform
business operations in appropriate way. There is requirement of funds to improve infrastructure
of country. In this managers of Thomas Cook gives some amount of money for improving
working in appropriate way. There are some percentage which contribute towards for
development.
Animal welfare- As there is exploitation of animal to entertain consumers, so it is
essential to take actions which are effective to protect them. They contribute some money
towards welfare of animals. This helps to make protect them. As per..(Sharma, Sharma and Devi,
2011). there are some endangered species which are being used and exploited to entertain people
in circus and themes parks. This is the best CSR activity performed by Thomas Cook.
Promoting education- Education is one of the important component which is considered
by Thomas Cook. In UK there is people who remain illiterate because of lack of funds, Thomas
Cook provides schools for such people. There are various educational institutions funded by
Thomas Cook, this helps to promote social welfare in UK.
Above mentioned CSR activities are effective for performing business operations in
appropriate way. This helps to improve image and take actions in appropriate way. Thomas Cook
has good brand image in travel industry, so it is essential to make strategies which are significant
for making achnging in working style. CSR activities helps to make business operations in
effective and effient way.
ii) Evaluate critically effectiveness of the Thomas Cook response
Thomas Cook is one of the best association which works according to market trends
there are possibilities atht due to use of policies which are effective and appropriate for growth of

association. Thomas Cook is ready to accept changes which are happening in business
environment and accordingly they are performing business operations. It is essential to know
impact of business operations through which they can give satisfaction to customers. There is
positive impact on business operations of Thomas Cook. CSR activity is one of the essential
component which helps to make changes in working style. Managers of Thomas Cook has to
make policies as per market changers. There must be regular check on business environment and
accordingly changes has to be considered. Some issues faced by managers of Thomas Cook are
as under-
Poor performance- As here is difference in organisational and personal targets, so
sometimes workers of Thomas Cook do not perform business operations yup to the mark (Weil,
Nau and Webb, 2011). As there is difference in demand of consumer, so there must be regular
emphasise on working style which helps to make strategies according to
Money laundering- Money laundering is most affecting business matter. In money
laundering managers of Thomas Cook are working to convert black money in white. This affects
image of Thomas Cook in adverse way (Amin, 2014). It makes more governmental interference
and this distracts main goals and targets.
Apart from problems, there are some positive points also which help to perform business
activities in more better manner. Some of them as re as under-
Increase in goodwill- While working accordance to business ethics there is improvement
in image of company. This helps to increase profits of Thomas Cook. Managers motivate
employees to give best so they can help to achieve targets. This is effective for organisation
growth and development.
Customer satisfaction and loyalty factor- Customer satisfaction is one of the essential
component which every business enterprise wants to achieve. When Thomas Cook is working in
ethical manner, they give best services and work at per mark. So positive results can be gained.
In tour and travel business, there is requirement of modification which helps to make positive
image in industry. As there is difference in demand of customers so manager of Thomas Cook
has to give analyse demand and take actions which helps to analyse market.
Able to compete with external parties- There are many external factors which affect
business in adverse way. It is essential to maker strategies which provides competitive advantage
and open growth prospects. Thomas Cook has many competitors, while working in ethical

manner it is easy to compete. When transparency is there in business operations of Thomas
Cook, they are able to share information with stake holders and then it is easy to get funds from
external sources.
Less legal hurdles- tour and travel business is the sector which has many legal
boundations, so while working as per government norms there will less government burden. It is
important to compete with external factors which helps to concentrate on targets. When Thomas
Cook gives services up to0 the mark customers gets satisfied and they prefer to avail services
from it.
Due to CSR activity and working as per business ethics, there is requirement of change in
business policies which are effective and significant for growth of association (Rosemann and
vom Brocke, 2015). There is change in working style to perform business in effective and
efficient manner. There must be use of techniques which are effective for growth of Thomas
Cook. Customer satisfaction can be possible with the help of working in ethical manner. There
must be proper communication among top level managers and subordinates so they can perform
business operations in appropriate manner (Jeston and Nelis, 2014). When managers of Thomas
Cook give chance to work in appropriate way, this helps to alter business plans and policies
which are significant for earning good profits. In travel business changes are taking place very
frequently, so there is requirement of analysing situation and then take action.
iii) Consider some areas for improvement in response of the Thomas Cook
Managers of Thomas Cook are ready to accept alteration frequently, so their image gets
improved. It is essential to select approach which helps to deal with changes in appropriate way.
CSR and business ethics helps to make modifications in proper way, so this can be done with the
help of employer and employee's involvement. There are many prospects which has to be
considered by managers of Thomas Cook. There is difference in perception of workers, so there
must be proper and effective communication which help to perform business operations in
synchronize manner. After studying concept of CSR and business ethics, some areas where
improvement are required to be performed.
Improving role of women in growing economy- Managers of Thomas Cook has to frame
policies through which they can give chance to women of growth. With the development of
women, it is easy to make strategies which are beneficial for overall development of economy.
As in Thomas Cook there are less chances for women to grow. This affects economy of country.

As per government norms there must be equal rights to women in working environment. This has
to be improved in working style of Thomas Cook.
Community work- Community working means to work in team. There are many
departments which are working to achieve targets. With team working there will use of
techniques which help to perform business operations in effective manner. There are possibilities
that association can work in appropriate manner within the help of team working. In team there
are varieties of people with different perception, so it is easy for organization to deliver best
services. This are has to be improved to get positive effect ion sales and profits.
Policies related to infrastructure- As Thomas Cook works in travel and tour business, so
it is essential to make policies through which infrastructure of country can be improved. This
helps to maintain good image of UK in front of visitors (Hammer, 2015). Managers of Thomas
Cook has to deliver message to visitors not to spoil public places which are effective for market
growth. Basically it is responsibility of government to frame policies, but when managers of
Thomas Cook give emphasis on it, so they can get political support.
Use of eco- friendly measures- As there are many resources which are essential for
organizational growth (Myers, 2013). It is essential to make strategies through which association
can emphasis on eco friendly measures. There must use of solar haters, water conservation
techniques, etc. which help to preserve and use nature resources in optimal way. As per current
strategies managers of Thomas Cook does not give emphasis on nature friendly measures.
Sustainable development- There is requirement of sustainable development to make
business in proper way. As per change in business policies, it is essential to alter working style
and actions has to be taken according to overall development. As per change in working style, it
is essential to make strategies which are essential for growth (Zadek, Evans and Pruzan, 2013 ).
Managers of Thomas Cook does not work for overall development of association. This helps to
improve image of organization and provide satisfaction to customers.
From the above discussion it is clear that every aspect has positive as well as negative
impact. It is essential to perform business operations as per market, so negative results can be
removed and actions are effective for market growth. It is essential to make changes in working
styles. As these days scope of travel business is increasing, so it is essential to make changes in
better way. While dealing with changes there are many issues which may arise, those can be

resolved with the help of regular analysis. Travel terms and conditions must be conveyed to
employees so there will less possibilities of conflict among customer and managers.
Managers of Thomas Cook can motivate their workers to give best, this can be done
when they have acceptable nature. There is requirement of regular change in working style, so
this helps to deal with alterations properly. It is essential to know demand of customer sand take
actions accordingly. CSR activities has to be considered by managers so government may not
affect business regularly. Due to regulations government interference working style gets
affected. Thomas Cook is big brand in travel and tourism business, it is responsibility of manager
to come with approaches which help them to work in appropriate manner. As change in working
style affects business operations in efficient manner (Alvarez, 2016). Thomas Cook operates in
various parts of country, so due to difference in business policies managers as to alter policies.
Change in culture affects change in working style so it is essential for managers of Thomas Cook
to analyses changes and take actions to get positive points.
CONCLUSION
From the above discussion it is clear that association has to make strategies through
which they can deal with changes happening in business environment. As there are many
changes taking place in business because of internal as external factors. SWOT and PESTLE
analysis are the approaches which are caused because of internal and external reasons. This
report also enhance knowledge about change CSR activities and ethical behaviour. As there is
requirement of some resources to run business in smooth manner. So at the same time there is
managers has to frame policies through which they give back to nature under CSR concept. To
make good image in industry, it is essential to work in ethical manner. This reduces government
interference and customer loyalty gets improved. As there is competition in industry, so it is
essential to frame policies which are effective and significant for organisational growth.

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