Strategy in Travel and Tourism

Strategy in travel and tourism

Table of Contents
INTRODUCTION...........................................................................................................................1
Section 1...........................................................................................................................................1
SECTION 2......................................................................................................................................3
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Travel and tourism is a vast industry that involves various activities and also significantly
contributes to the overall development of a country. Some of the nations had favored total
advertising freedom, i.e., deregulation, as soon as viable. Others wanted more time to defend
their home routes(Aydın, 2020). As a result, a 4-year transitional duration turned into agreed
upon to meet both sides, which means that 1997 will mark the start of overall deregulation in EC
countries. Deregulation lifted regulations on wherein airlines should fly. To increase their
efficiency, airlines adopted the hub-and-spoke machine-using a few predominant airports as
valuable connecting points. This approach maximized aircraft use, extended passenger masses,
and saved greater plane flying. The respective report will explain the concept of airline
deregulation and how should airline deregulation provide a better deal for customers with regard
to service quality as well as air fares. Apart from this, an assessment of the variousmarket
opportunities available to the respective company is also included in the report.
Section 1
Airline deregulation can be referred to as the process wherein any government imposed
entry as well as price restrictions on airlines that can affect the carriers which are permitted to
serve specific routes are removed. This allows the private airlines that fly commercial aircrafts
domestically to operate scheduled services within the country(Baumannand and et.al., 2021). An
open skies agreement can be referred to as a type of agreement that allows the various airlines an
unlimited access to the other country’s market as well as the right to fly to all beyond as well as
immediate markets. The EU–US Open Skies Agreement is an open skies air shipping agreement
between the European Union and the United States. The settlement lets in any airline of the
European Union and any airline of the USA to fly between any point in the European Union and
any factor in the United States. The Open Skies agreements are inside the centre of the European
Union’s outside aviation policy. They form the premise of liberalisation of aviation among the
EU and the relaxation of the sector, opening up markets and selling fair competition.
Airline deregulation can be referred to as the process of removing any entry as well as
price restrictions that are imposed by the government on the airlines and affect the various
carriers that are permitted to serve the same route. There can be various causes that can lead to
deregulation of the airlines within the industry. There are many people who work in different
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airline companies and state that airline deregulation transforms the industry across the world and
that there was a reduction in the overall fares for airlines in the past. On the other hand, as far as
the open skies of EU and US is concerned, it is an open skies air transport agreement between
the United States as well as the European Union. And as per the agreement, any of the various
airlines of the European Union as well as the United States can fly between any point between
these two points. Apart from this, they are also allowed to fly to another country or destination in
another country. But it is important to ensure that the flight is an continuation to the one which is
in the United States.
It can be stated that airline deregulation can provide a better deal for the customers
because they can travel to any of the destinations between the European Union as well as the
United States. Also, they won’t be charged a lot of money as the commercial flights have the
permission to fly across the two points. Apart from this, it can also be stated that this will be
helpful for the people who have to travel for the business purpose and hence, this will ensure that
they receive effective as well as proper services (Lin and et.al., 2021). Therefore, it can be stated
that it is important for the different airline companies that operate within the aviation industry to
develop effective strategies as this will ensure that there is an increase in their efficiency as well
as profitability as well.
Deregulation lifted regulations on wherein airways ought to fly. To increase their
performance, airways adopted the hub-and-spoke system-the usage of some foremost airports as
principal connecting factors. This strategy maximized plane use, multiplied passenger masses,
and saved more plane flying. Deregulation of the airline industry, now more than two decades
antique, has been a resounding success for purchasers. It is important for the smaller airlines to
ensure that their services are better placed in order to deliver a much more customer-focussed
approach as compared to well established airlines in the market. In order to do so, they should
analyse their performance as well as the strategy of the competitors. This is important and will
provide useful insights about how can the small airlines improve their overall service offerings in
order to attract a greater number of customers. This should be done to a great extent to ensure an
increase in the overall efficiency as well as performance of the smaller airlines.
It is very important to ensure that the small airlines are well placed to deliver a more
customer-focussed approach. This is because it will allow them to deliver a better service to the
customers as well as gain their trust. Also, if the small airline businesses are well placed, they
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