Business and Tourism: Impact of Tech, Social Media, and Globalization

This report examines the significant impacts of technological advancements, social media, and globalization on the foundations of business and tourism. Section A delves into how technology and social media have reshaped marketing strategies, market research, and brand image, providing new options and cost-effective approaches for businesses. Section B analyzes the effects of globalization on the UK economy, highlighting both positive aspects such as increased GDP growth, inward investment, and lifestyle changes, and negative aspects such as challenges for local businesses, price fluctuations, and currency instability. The report concludes by summarizing the key findings and emphasizing the importance of adapting to dynamic changes in the business environment.

Foundations of
Business and Tourism

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Section A..........................................................................................................................................1
Impact of development in technology and social media..............................................................1
Section B..........................................................................................................................................3
Impact of globalization on U.K...................................................................................................3
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
The Foundations of Business and Tourism has impacted the businesses all over a lot in
the last 15 years. There has been a lot of change in the way in which the businesses operate
(Alegre and Berbegal-Mirabent, 2016). Therefore there has been a considerable change in the
approach followed by the business managers all over the world. In this report detailed discussion
will be made on the way development in technology and social media has impacted the
businesses and the way globalization as a business phenomenon has impacted the businesses.
This is going to help the businesses in the development of the right approach for the future time
period.
MAIN BODY
Section A
Impact of development in technology and social media
There has been a lot of changes in the technology in the recent years. Further
considerable impact have been seen on the social media also (Jarman-Walsh, 2019). Thus the
businesses have had to modify their approach in which they are marketing their products and
services. This can be seen in the following manner-
Impact of development in technology-
 Modern ways of marketing- The companies are now adopting modern ways of
marketing for the products and services. This is making sure that they are able to achieve
their distinct goals as well as objectives in the future time period without problems and
issues.
 Advanced technology- There is nowadays advanced technology which is available for
the organization. Thus the firms are required to make sure that they make use of it so that
they are able to market their goods effectively and efficiently and thus in this way
enhance their level of profits easily.
 Identification of new markets- Through development in technology, the companies are
now able to identify the new markets in the different types of areas. Thus in this manner
they are able to make sure that they can practically achieve the desired goals and
objectives by targeting that particular market where they have maximum chances of
enhancement of profits by selling their goods and providing their services.
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 Market research- Market research is a traditional practice which is carried out by the
organizations. Due to the advent of the new technology, it has seen considerable
improvements. With modern ways which are available to them the companies can make
sure that they are able to target the right customers easily. This is going to help them a lot
in bringing the required improvements in the way they market their products and
services.
Impact of development in social media-
 New options- Social media development has provided the companies with several new
options for their products as well as services (Kalargyrou and Costen, 2017). Thus this
can help the companies as they have more choices for their different products and
services.
 Use of social media channels- Social media channels like Facebook, Twitter etc. are
being used by the companies very actively for the purpose of their marketing activities.
Therefore in this manner the firms are making sure that they can attain the desired level
of success in the future time period without problems and issues.
 Reduction in costs- The traditional methods adopted for the purpose of marketing and
promotion of goods and services prove to be quite costly for the organizations (Laing,
2018). This led to an increase in their overall level of costs and reduction in profits. With
the use of modern channels of social media the companies are able to market their goods
and services by witnessing a reduction in their costs. In this way they can easily enhance
their level of profits and thus obtain a strategic edge over the competitors.
 Development of effective strategy- By making use of social media channels the
companies are making sure that they can develop their strategies effectively without
problems and issues. Thus they are able to identify what the customers actually want by
obtaining reviews and feedbacks from them. Therefore in this manner they are able to use
the right strategy for the marketing of their products and services.
 Competitive analysis- Competitive analysis can be carried out by making use of social
media channels by the organization. This is so because by making the use of these
channels the companies are able to assess their competitors effectively and efficiently.
Thus in this manner they can make sure that they are able to identify the strategies which
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their competitors are using so that an approach can be adopted by them to gain a much-
required strategic edge over the various competitors.
 Developing a mass reach- Social media channels are helpful for the companies so that
they are able to develop a mass reach for their products and services. In this way the
firms can make sure that they are able to identify the different types of customers easily.
This will help them to make sure that they can expand their base of customers to enhance
their level of profits.
 Enhancement of brand image- The use of social media has helped the companies a lot
in enhancing their overall brand image with relative ease. This has helped them to
develop a goodwill in the market. Thus this is very helpful for them in the marketing of
their goods and services.
 Easier segmentation of the market- Social media has allowed the companies to
segment their market easily. Thus in this manner the firms will be able to make sure that
they can identify the customers which they can target.
 Easier to adopt to dynamic changes- In marketing, dynamic changes can happen
regularly. Therefore for the organizations use of social media channels for the purpose of
marketing offers an opportunity so that they are able to easily adjust to the dynamic
changes taking place in the market.
 Facilitation of digital promotion- The products and services provided by the
organization are being promoted digitally. Thus for the companies it becomes essential
that they are able to adopt the right ways by making use of social media and thus enhance
their revenues and ultimately the level of profits in the future time period.
Section B
Impact of globalization on U.K.
Globalization refers to the growing interdependence of the world's economies, culture
and populations through the trading of goods and services, technology, investment, people and
information (What Is Globalization?, 2018). It has made trade go beyond the international
borders so that the different types of goods and services are made available to the people.
The impact of globalization on the economy of U.K. is as follows-
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 Boost to the economy- Globalization has led to the boosting of the economy of U.K.
Thus in this manner the people are now able to access the goods and services of the
international brands. This has given a much-required boost to the economy.
 Increase in GDP growth rate- With the advent of globalization the business of many
companies has seen considerable growth (Maráková and Medveďová, 2016). Therefore
this has led to an increase in the overall GDP growth rate.
 More choices for the customers- The customers in the market of U.K. now have more
choices in front of them. Thus in this way they will be able to ensure that they are able to
get good value for the money paid by them in the terms of goods and services.
 Boosting of exports- Globalization has led to an increase in the exports of the different
types of goods. This not only contributes in the increase in the national income of a
country but also in maintaining of the trade balance so that there is a surplus in the budget
of the government.
Positive impact of globalization on U.K. Economy-
 Increase in inward investment- The advent of globalization has made sure that the
inward investment in the companies has seen an increase. The foreign investment in these
firms has seen a tremendous rise. Thus in this manner the U.K. Economy has seen a
considerable boost up.
 Increase in inflow of foreign exchange- With the advent of globalization there has been
an increase which has been witnessed in the foreign exchange (Movono and Dahles,
2017). This has led to the rise in the foreign currency reserves of the government which is
helpful for the growth of the economy.
 Lifestyle changes- Globalization has brought lifestyle changes in the people of the
country. Thus this has made sure that the government is able to identify these changes
and accordingly allow the various foreign companies to set up their base.
 Employment opportunities- Globalization has provided many employment
opportunities to the people in different countries. Thus in this way they are able to get a
job of their choice which pays them well.
 Enhancement of skills- Globalization has made sure that the skills of people of the
country have enhanced. Therefore in this manner they will be able to achieve their
distinct goals as well as objectives in the future time period without any kind of problems
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and issues. In this way they will also be able to contribute towards the increase in the
growth of GDP of the country.
 Creation of more opportunities- Globalization has led towards the creation of more
opportunities for the different businesses which are operating in a particular country
(Pace, 2016). Thus in this way it has made sure that the businesses are able to find out the
different ways they can use so that they can increase the sales of their products and thus
can maximize their level of profits in the process. Thus this is a positive impact of
globalization which can be witnessed in the economy of U.K. This ensures that the
comprehensive development of the businesses is made possible due to the globalization.
Negative impact of Globalization on U.K. Economy-
 Problems for local businesses- With the advent of globalization the economy of
different countries has become more free. Thus this has led to creation of different types
of problems and issues for the local businesses. This is so because the foreign companies
are providing stringent competition to the local firms which in turn has created an impact
on their sales and ultimately their level of profits.
 Increase in risks for local businesses- With globalization the local businesses are facing
more risks and thus this can create an impact on their functioning. Thus the local
companies now have to identify the ways which can be adopted for minimizing the
impact created by these risks.
 Fluctuation in prices- Due to the advent of globalization there has been an active
fluctuation in the prices of the different companies (Pernecky, 2016). Therefore this is
creating problems and issues for them. This is so because the profits of these companies
has been impacted.
 Fluctuation in currency- Globalization has led to creation of different types of
fluctuations in the currency (Xiang and Fesenmaier, 2017). Therefore the companies are
witnessing problems due to it as it is creating an impact on their overall level of profits.
 Impact on flow of capital- Globalization has led towards creation of an impact on the
overall flow of capital. This has led to creation of a negative impact on the flow of capital
for the different types of businesses in the country.
 Too many changes in the business environment- Globalization leads towards too many
changes in the business environment of the different types of organizations (Zhang and
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et.al., 2019). Therefore in this way this affects the companies negatively because they
need to adapt very quickly to them and therefore this can lead towards losses for the
companies.
CONCLUSION
From the above report, it can be concluded that foundations of business and tourism
relies on various aspects. There has been a considerable impact which has been created by
technology and social media on the marketing of the goods and services of the organizations.
This is due to the changes which the business organizations have to make to their strategy. Also,
there has been a considerable impact which has been created by the globalization on the
functioning of the organizations. This makes the companies to have more opportunities to grow
considerably in the future time period by making certain changes to their business.
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REFERENCES
Books and Journals:
Alegre, I. and Berbegal-Mirabent, J., 2016. Social innovation success factors: hospitality and
tourism social enterprises. International Journal of Contemporary Hospitality
Management.
Jarman-Walsh, J., 2019. Foundations of Zero-Waste Lead to Sustainable Tourism Success: The
Case of Kamikatsu. Journal of Yasuda Women's University. (47). pp.249-260.
Kalargyrou, V. and Costen, W., 2017. Diversity management research in hospitality and tourism:
past, present and future. International Journal of Contemporary Hospitality
Management.
Laing, J., 2018. Festival and event tourism research: Current and future perspectives. Tourism
management perspectives. 25. pp.165-168.
Maráková, V. and Medveďová, M., 2016, March. Applicaton of innovations in tourism
destinations. In Forum Scientiae Oeconomia (Vol. 4, No. 1, pp. 33-43).
Movono, A. and Dahles, H., 2017. Female empowerment and tourism: A focus on businesses in
a Fijian village. Asia Pacific Journal of Tourism Research. 22(6). pp.681-692.
Pace, L. A., 2016. How do tourism firms innovate for sustainable energy consumption? A
capabilities perspective on the adoption of energy efficiency in tourism accommodation
establishments. Journal of Cleaner Production. 111. pp.409-420.
Pernecky, T., 2016. The epistemic foundations of event studies. Approaches and methods in
event studies. pp.3-21.
Xiang, Z. and Fesenmaier, D. R., 2017. Big data analytics, tourism design and smart tourism. In
Analytics in smart tourism design (pp. 299-307). Springer, Cham.
Zhang, W. and et.al., 2019. The Tourism Story Project: Developing the Behavioral Foundations
for an AI Supporting Destination Story Design. E-review of Tourism Research. 17(2).
Online
What Is Globalization?. 2018. [Online]. Available through:
<https://www.piie.com/microsites/globalization/what-is-globalization>
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