International Travel and Tourism: Revenue Management, HR Life Cycle, and Legislation

INTERNATIONAL TRAVEL
AND TOURISM

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
LO 1 & LO 4....................................................................................................................................3
Definition ...................................................................................................................................3
Rationale and principles of revenue management .....................................................................3
Ways of maximising the profit....................................................................................................4
Pricing strategies.........................................................................................................................5
LO 2.................................................................................................................................................8
Different stages of HR life cycle applicable to specific job role................................................8
Performance management plan for a specific job role................................................................9
LO 3.................................................................................................................................................9
Specific legislation for travel and tourism..................................................................................9
Different laws and its potential impact over the business decision making.............................10
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
In this modern and global era the travel and tourism has taken a different place and has
become more popular. This is majorly because of the reason that travelling to other places has
become trend for the people (Vellas, 2016). The present study is based on the company Cox &
Kings Company which is a large travel company headquartered on UK. The company was
founded in the year 1758 by Richard Cox which a holiday and education travel group is having
their subsidiaries in many different countries including more than 22 countries and over 4
continents.
The current study will start by outlining the revenue management and its application
within the company. Further the discussion will take place on the various types of financial
statements and reporting methods being used by the company. Along with this the importance of
budgets will be discussed. After that the discussion will take place on different stages of HR life
cycle and the performance management plan for the post of manager. In the end the different
legislation and laws which need to be followed by the company will be outlined.
LO 1 & LO 4
Definition
The revenue management is defined as the application of the different principles and
values which help the hotel in predicting the behaviour of the consumer and how the profit will
be increased by catering to the need of the consumers. The concept of revenue management
includes the prediction of the demand which Cox & Kings might get by analysing the behaviour
of the consumers and trends in the industry. Hence, the revenue management help Cox & Kings
to assume how much income or revenue can be generated with the assumed demand of the
consumers.
Yield management- this is referred to as the variable pricing strategy which is based on
the understanding and anticipation of the behaviour of consumer over the goods and services of
company.
Rationale and principles of revenue management
Here are some principles of revenue management which are used by Cox & Kings for
effectively managing their revenue.

Historical demand and booking patterns- this is the first principle which assist Cox &
Kings to study the past pattern of the demand and booking pattern of the consumers. This will
assist the revenue manager of Cox & Kings to estimate the future demand and need of the
consumers. This estimation will help the travel company in managing the revenue (Mauritius,
2016). The positive impact of this principles is that this can be used as base for future prediction.
But the negative aspect is that the old data cannot help in proper prediction of data.
Information system- this is a system in which all the records and data are stored relating
to the consumers and there demand and requirements. Hence, this information system also assists
Cox & Kings in managing the revenue of the travel company (Kasim, 2016). This is majorly
because this stored data and information help the revenue manager in assessing the requirements
of the consumers and then according to it estimating the current demand. The positive aspect of
this is that this will help in making the working more effective and efficient. But the negative
aspect is that this involves a lot of cost to implement information system.
Market segmentation- this is another major principle which is being used as the revenue
management tool. This is majorly because of the reason that the market segmentation also helps
the company in targeting the consumer which can be more profitable for the company. Hence,
this will help the company in focusing more on that particular type of consumers only. Thus, this
will increase the revenue of the company and will increase its profitability to a great extent.
Ways of maximising the profit
All the different revenue management tools are applied within the travel company that is
Cox & Kings in very effective and efficient manner. The different principles are applied within
the working of Cox & Kings which are as follows-
Pricing and inventory management- this is a principle which is applied within Cox &
Kings as the pricing is the main aspect which either increases or decreases in the revenue of
company. This is majorly pertaining to the fact that if the company will charge nominal prices
then the consumers will like it and they will come to the place and this will increase the revenue
of company. On the other hand, if the prices are high then the consumer will not prefer it and this
might decrease the revenue of Cox & Kings. Hence, for this Cox & Kings uses differential
pricing. This is majorly because of the reason that under this pricing strategy the company
charges high price forms the consumer who is of high class and otherwise charges low.