Hospitality Provision in the Travel and Tourism Sector Assignment (Doc)

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Hospitality Provisionin theTravel and Tourism Sector
Table of ContentsIntroduction.................................................................................................................................................31.1Discuss interrelationship among hospitality and travel & tourism business.................................32.1 Examination of repercussion of integration within hospitality business............................................42.2 Discussion on ways in which integration has impacted within hospitality organization....................63.1 Development of rationale for specified project along with justification for target market.................83.2 Plan for hospitality business that includes operational needs of business organizational structure....9Conclusion.................................................................................................................................................10References.................................................................................................................................................11
IntroductionHospitality and tourism is one of the booming scenarios. Hospitality sector comprises ofaccommodations and hotels. Whereas tourism involves around airlines, travel agencies, cruise,etc. National as well as local economies are reliant on this sector(Alonso and O’Neill, 2010).Therefore, it is necessary for organization to take into consideration relationship with customersalong with profit making. This report deals with TUI UK whose parent company is TUI Groupthat assists to maintain quality of packages for gaining competitive edge. It is one of the leadingorganizations which serves worldwide and is headquartered in Luton, England. It listed onLondon and Frankfurt Stock Exchange which are constituent of FTSE 100 Index. This reportcomprises of interrelationship among travel and tourism along with hospitality business.Implications of integration within hospitality industry are analyzed and their impact.Furthermore, rationale is justified and plan with respect to operational needs of business aredeveloped.1.1Discuss interrelationship among hospitality and travel & tourism business.Tourism plays crucial role within Hospitality industry which comes under service sector.This sector comprises of wide categories of field like transportation, event planning, theme parksand many others(Mayer, Ryley & Gillingwater, 2012). Along with these accommodationscomprises of facilities like night parties, pub, bars etc. that are rendered by hospitality industryfor retaining their customers. Organization possesses various forms of values and culture. Theyrender valuable prices which aids them to attract potential customers. Both hotel and travelindustries are interconnected with one other. For an instance group wants go for a tour, they willcontact with tour & travel organization of UK which will provide them with best travellingpackages as well as all essential facilities.TUI Group comprises of TUI Travel Plc which was formed on September 3, 2007which isheadquartered in West Sussex, UK. TUI Group comprises of around 1800 travel agencies alongwith approximately 3000 hotels and they are present around the world. Management havedesigned their time table as per customers through which they are able to render high quality ofservices. Travel & tourism and hospitality businessboth sectors go hand in hand with oneanother; Services such as food, accommodation, recreation, transportation are provided byhospitality sector. On the other hand tourism facility comprises of offering customers with option
to travel to different locations(Ball, Horner and Nield, 2009). Travel and tourism sector isneedier within hospitality industry but on the other hand it is less dependent on this sector (TT).Each has their own set of facilities which they provide to their customers. Like travel & tourismprovides good infrastructure for people who are travelling along with appropriate cateringservices. The role of flight attendants and air hostess is to brand image of their Airlines byproviding enhanced services. They have to be polite as well as helpful towards their customers.2.1 Examination of repercussion of integration within hospitality business.Integration assists organization to carry out work as a whole by sharing resources as well ascustomers. Hospitality sector carry out integration of resources either horizontally or vertically. Theirimplications have been observed within organizations who attempt to improvise their business as well asaccomplish requirements of customers. They are making use of recent technologies as well as suitablecoordination. TUI Group is merged with various hotels as well as airline organization and they customizetheir architecture for combining existing resources(Baraban and Durocher, 2010). This would lead toexpansion as well as usage of existing resources in effective manner. TUI Group has been merged withother organizations through different ways, they are illustrated below:Vertical integration:The process of buying supplier and other organizations within distribution chain are referred to asvertical integration. Outcome of implication can maximize profits and may lead to decrease in cost. Foran instance: TUI Group has entire control within distribution chain in travel and tourism industry. In thiscase, organization needs to provide appropriate training to people by which they can render services atvarious places along with this have effectual standard of services. Brand will be attracting potentialcustomers therefore, it is necessary for TUI Group to ensure their reputation is maintained. This will leadto ensure that people feel same experience in other branches also. In this case, a merger agreement comesin within other organization in distribution chain. By this, both organizations can attain competitive edge.Integration will enable TUI Group to distinguish their services with respect to their competitors. This willalso lead enhancement in market shares as well as profitability and quality of services.Magic Life and TUI Group binds together to provide standard services so that they cancaptivate more number of people towards their services. This will lead to enhancement in imageof brand of both organizations. At this moment of time, Magic Life will be called TUI MagicLife after vertical integration has taken place. Apart from this, they both will be considered as asingle unit not different. They will formulate their objectives with respect to one another.
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