Back-Roads Touring Company: Strategic Tourism Management Analysis

This report provides a comprehensive strategic analysis of Back-Roads Touring Company, a UK-based travel and tourism organization. It begins with an executive summary and an introduction to strategic tourism management, emphasizing the importance of planning. The main body includes an overview of Back-Roads Touring Company, its services, and financial performance. A PESTLE analysis examines political, economic, social, technological, legal, and environmental factors impacting the tourism sector. The report then delves into the sub-sector, analyzing mega-trends, changing demands, operational and management challenges, and opportunities faced by the company. It discusses how the company can address these challenges and develop opportunities, offering recommendations and concluding with a summary of the findings. The report highlights the importance of adapting to market changes, leveraging technology, and addressing operational inefficiencies to achieve long-term goals in the competitive tourism industry.

Strategic Tourism
Management

EXECUTIVE SUMMARY
Strategic Management can be explained as the ongoing process which are required to be
conducted within the organisation for the purpose of accomplishing the short as well as long
term goals. It can easily help out take each and every decision which are crucial for business
organisation. The file is based on Back-Roads Touring Company is one of the organisation
which has been setup with the purpose to deal within market of tourism. The main objective
behind preparing this respective file is simple as just to collect the information about the tourism
sector. How tourism industry is perform and what can be the possible future for them. To
understand the tourism industry and possible factor that can affect the industry, PESTLE analysis
has been conduct which explains that what are the factors which must be considered by the
business organisation for if they want to accomplish the target. Secondly, the file has discussion
about the challenges and the major solution which are required to deal the complex situation as
chosen organisation is performing at a smaller ground where lots of problem occurs on daily
basis.

Table of Contents
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
Overview about the company......................................................................................................4
PESTLE Analysis on travel and tourism sector..........................................................................4
Explanation about the sub sector. Critically analysis about the mega trends, demands,
operational & management challenges and opportunities which organisation is facing............7
Analyse and discuss that how tourism organisation can address the mega trends, changing
demands, operational challenges and develop opportunities......................................................8
Recommendations.......................................................................................................................9
CONCLUSIONS............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Strategic Tourism Management can be explained as the proactive process of achieving a
long term compatibility of the corresponding area in the planned tourism sector. It is necessary
because it can be one of the way which can be helpful at the time of accomplishing the long term
goals. The main thing which is needed to be focused in tourism sector is proper planning because
that is the only way through which work can be done as per the requirement. The chosen
organisation for the file is Back Road Touring Company Ltd. The head office of the company is
in Chiswick, London, United Kingdom. In context of the file various topics will be explained in
the file which will explain that how external factor can affect the business organisation. Strategic
Planning process will be discussed in the file and mega trends will be discussed which will be
very helpful in context of business organisation to understand the requirements.
MAIN BODY
Overview about the company
Back Road Touring Company Ltd is one of the travel and tourism organisation which
perform their business activities within the premisses of UK. They offer multiple services to their
customers which helps to make a trip interesting for the one who avails the services. In current
situation company has the experience of almost 30 years which shows how good they are
performing within the market which is allowing to attain any of the targets. The revenue of
company is almost $7.6 million where as 41 employees are connected with this organisation
(Back-Roads Touring Company Ltd, 2019). By looking at the current market trends it can be
easily said that travel and tourism is one of the fastest growing industry which has the potential
to contribute towards the improvement of a economic condition.
PESTLE Analysis on travel and tourism sector
PESTLE analysis can be understood as the business model which describes that how any
of the company is required to work after having the overview of external factors. This model
simply explains about the external factor which can create unnecessary issues for the business
organisation. PESTLE stands for Political, Economical, Social, Technological, Legal and
Environmental factors. In context of Back-Roads Touring Company, they can be benefited by
taking the help of PESTLE analysis because it will give the idea that how they are required to
work in any of the situation.

 Political Factor: It is one of the external factor which can be beneficial for any of the
business organisation or for sector too, if political situations are stable. In context of UK,
the political situation is found to be constant due to which working condition becomes for
any of the organisation (Moutinho and Vargas-Sanchez, 2018). It can be one of the way
through which tourism sector can easily take the long term decision which can be allow
them to earn huge amount of profit.
◦ Opportunity: Company like Back-Roads Touring has the opportunity that they can
prepare the plans and policies for longer period of time on which they can work on
continuous basis.
◦ Threats: The main threat for Back-Roads Touring Company is that if political parties
reduces the subsidies for tourism sector then profitability may decrease significantly. Economical Factor: This is the factor which has a vital role within the sector of travel
and tourism because it has a direct connection with economic stability of the country. It is
said that economic condition mainly do not changes in UK but still currency rates
changes due to which price automatically changes and create problem tourist to visit
more amount of currency.
◦ Opportunity: As economic condition of the country is stable which allows to tourist
to come in more number which will enhance the chances of earning profit.
◦ Threats: If in any of the situation inflation rate declines then it will become an tough
task for tourist to spend higher amount of money in this respective sector. Social Factor: It is necessary for any of the industry to focus that whenever they conduct
any of the business in any of the country social believes of the people must be considered
because that will allow organisation to decide that they are working in the right direction.
While talking about UK, the tourism industry must focus that they will not conduct any
of the work which can harm the ethical of people living near by (Abrate and Viglia,
2016).
◦ Opportunity: The area of UK is very clean and pollution less due to which Back-
Roads Touring Company can easily attract more tourist which can allow to develop
the tourism industry.

◦ Threats: If in any of the situation the social values of the people are affected then it
might create various kind of issues for the business organisation to perform better in
future period of time. Technological Factor: In any of the industry it is necessary to understand that
introduction of any of the new technology is very crucial. In context of UK, it is found
that tour operator companies are using latest technologies which is allowing customers to
decided that how long the trip should be managed (Job, Becken and Lane, 2017).
◦ Opportunity: Back-Roads Touring Company has the opportunities to use different
technologies to bring more comfort for the customers.
◦ Threats: If in any of the situation, technological equipment doesn't work properly
then company might have to suffer from the losses. Legal Factor: This factor is quite important for any of the industry because it can easily
change whole of the working style if any of the issues occur. While talking about the UK,
they have a fix pattern of forming any of the legal law but they have a fix pattern that any
of the organisation is not allowed to conduct any of the activity which are against the
legal law.
◦ Opportunity: Back-Roads Touring Company will be able to take any of the decision
as per the legal law which allows to earn huge profit.
◦ Threats: It is said that if in any of the situation company fails to perform their task as
per the requirement of law then legal charges can be imposed where heavy penalty
are charged. Environmental Factor: This factor is very similar to social factor but the major thing
which is being focused is that work must be done in accordance to the environment
(Evans, 2015). In context of UK, their environmental condition changes in every short
period of time which means that planning should be done that which season can be more
preferable for tourist to spend their time.
◦ Opportunity: Back-Roads Touring Company is required to do proper planning as per
the climatic condition because that can be one of the way to attract the customers.
◦ Threats: The main threat for Back-Roads Touring Company is that if in any of the
situation their planning doesn't work then they might have to face different losses in
future period of time.

Explanation about the sub sector. Critically analysis about the mega trends, demands, operational
& management challenges and opportunities which organisation is facing
In current scenario, while talking about the sub sector, it can be easily said that our
operators is one of the fastest growing industry in UK as they are able to provide the service
which is needed to by the tourism. There are around 2132 business organisation in UK which
deals in the market of tour operator whereas this respective industry is planning to have a total
revenue of £14bn which is a good figure just after the exit of Brexit because it has affect all of
the business sector (Tour Operators in the UK - Market Research Report 2019). Talking about
the Back-Roads Touring Company, they are also one of the part of this respective market but it
is needed to be understood that they are operation at a smaller ground due to which lots of
problem are being faced by them on regular basis. Some of the problem which are being faced by
the organisation are explained below:
 Mega trends: The main mega trend in the current market is that how company uses the
latest technologies in the market where all of the dealing can be done through the way of
online sources. Mega trends relies in UK says that any of the work must be done is
systematic manner where work can be done through digitalisation process. In context of
Back Roads Touring Company, they are unable to adopt all those changes just because of
the work scale on which they are performing their business activity.
 Changing Demand: It is said that tourism is one of the industry where demand of
customers do changes on regular basis. It is necessary for the industry to adjust
themselves as per the situation which occurs in front of them. In context of Back Roads
Touring Company, they are unable to perform their work as per the requirement of
changing demand because their marketing team and R&D team is not so professional
who can tackle all of the challenges which comes across them (Carlisle, Johansen and
Kunc, 2016).
 Operational & Management: It is needed to be understood that operational and
management is one of the most crucial department in any of the business organisation
because basically they are the one who takes most of the decision for the betterment of a
organisation. In context of Back Roads Touring Company, their operational &
management department doesn't have the appropriate communication system which is not
allowing them to take the major decision which are crucial for business organisation. It is

one of the challenging situation for the company which is needed to be addressed as soon
as possible.
 Opportunity: Tourism is one of the sector which has the lots of opportunity for earning
healthy amount of profit and even there is the chance that economic condition of a nation
can be improved. Even with the help of SMART objective industry can easily attract
more customers. While talking about Back Roads Touring Company, they are one of
those business organisation which are not able to grab the opportunities which occurs in
front of them. It is one of the reason that company is still performing their business
activity at a smaller ground (Madera and et. al., 2017).
These are some of the challenges which company is facing in current situation and it is
important that all of those challenges must be resolved in upcoming time period if Back Roads
Touring Company want to accomplish their goals.
Analyse and discuss that how tourism organisation can address the mega trends, changing
demands, operational challenges and develop opportunities
There are many changes taking place in current market because of change in demand of
consumers. In order to maintain long term relations with consumers, managers of Back Road
Touring Company Ltd. Must analyse market and take actions properly. There will change in
business activities, so it will not be easy for people to determine and understand challenges. It is
important to maintain presence in industry, hence there must be proper policies with which
employees and managers of Back Road Touring Company Ltd. Are working in appropriate
manner. With determination of activities properly.
There is change in business activities of organisation because demand of consumers are
changing. In order to maintain and analyse changes which are taking place in market, there must
be regular check of social media sites, policies of competitors have to be considered in every
three months., so it will be easy to determine what is required to change (Nassani and et. al.,
2018).
Scope of travel and tourism sector is increasing, hence there are many changes taking
place in industry. It is essential and relevant for managers of Back Road Touring Company Ltd.
To determine change in demand of consumers. This can be done with evaluating regular market
analysis. There must be feedback form from consumers which has to be check out ever month. In

case of any negative comment or any area of improvement, then it will be easy to implement and
evaluate its positive impact on sales and profits.
In travel and tourism operations, there are many operations which has to be done and
completed properly. There is requirement of change in business activities which is specific and
appropriate for determining policies properly. In order to maintain and properly manage
operations, there must be meetings with employees in every three months. This is the best way to
deal and manage business activities properly. In order to provide satisfactory services to
consumers, there is requirement of employee participation which is possible with communicating
with them. There must be proper planning of activities which has to be performed and
communicated to workers, so they will complete and achieve targets within specified time.
As scope of working is increasing for travel and tourism sector organisations is
increasing because people are availing services frequently. There will change in working style of
Back Road Touring Company Ltd. Because they have to maintain long term relations with
consumers (Boley, McGehee and Hammett, 2017). For improving scope, managers can think to
launch their outlet at Wales, so they can perform activities properly. This will give improvement
in sales and profits because consumers are getting services in Wales also. This makes
improvement in revenue by 15% in next one year.
Hence it is clear that with proper market analysis and understanding changes properly,. It
will be easy for people to determine and understand ways to perform operations. In order to
evaluate and determine alteration, employees participation is must. This also assist in
maintaining long term relations with them, hence organisation can maintain flexibility because
work force have complete information and reason behind it.
Recommendations
It is recommanded to company they if they wants to perform better within the market
then they must ensure that they will conduct all of the work in a systematic manner. It is needed
to be understood that decision making process will be completely based upon the situation which
occurs in front the organisation. Finally, company can only attain their goals if all of the
department are able to do proper communication because that simply helps to decide that how
any of the situation need to be deal.

CONCLUSIONS
From the above file, it can be concluded that Strategic Tourism Management is one of the
important concept because it directly gives the idea to company that how long term goals can be
accomplished. PESTLE analysis is one of the concept which explains that external factor has the
huge influence on the future performance of a company as it decided whether company achieve
its objective on time or not. It is needed to be understand that whenever any of the company want
to perform better within the market then lots of issues are needed to be faced but also it is needed
to be understood that with the help of SMART objective whole of the task can be completed in a
systematic manner.

REFERENCES
Books & Journals
Abrate, G. and Viglia, G., 2016. Strategic and tactical price decisions in hotel revenue
management. Tourism Management. 55. pp.123-132.
Boley, B. B., McGehee, N. G. and Hammett, A. T., 2017. Importance-performance analysis
(IPA) of sustainable tourism initiatives: The resident perspective. Tourism
Management. 58. pp.66-77.
Carlisle, S., Johansen, A. and Kunc, M., 2016. Strategic foresight for (coastal) urban tourism
market complexity: The case of Bournemouth. Tourism Management. 54. pp.81-95.
Evans, N., 2015. Strategic management for tourism, hospitality and events. Routledge.
Job, H., Becken, S. and Lane, B., 2017. Protected Areas in a neoliberal world and the role of
tourism in supporting conservation and sustainable development: an assessment of
strategic planning, zoning, impact monitoring, and tourism management at natural
World Heritage Sites. Journal of Sustainable Tourism. 25(12). pp.1697-1718.
Madera, J. M. and et. al., 2017. Strategic human resources management research in hospitality
and tourism: A review of current literature and suggestions for the future. International
Journal of Contemporary Hospitality Management. 29(1). pp.48-67.
Moutinho, L. and Vargas-Sanchez, A. eds., 2018. Strategic Management in Tourism, CABI
Tourism Texts. Cabi.
Nassani, A. A. and et. al., 2018. Effective international tourism management: A strategic
approach. Social Indicators Research. 137(3). pp.1201-1224.
Vellas, F., 2016. The international marketing of travel and tourism: A strategic approach.
Macmillan International Higher Education.
Online
Back-Roads Touring Company Ltd. 2019. [Online]. Available Through:
<https://www.zoominfo.com/c/back-roads-touring-company-ltd/11620225>
Tour Operators in the UK - Market Research Report. 2019. [Online]. Available Through:
<https://www.ibisworld.com/united-kingdom/market-research-reports/tour-operators-
industry/>