The Contemporary Tourism and Travel Industry Elements

The Contemporary Tourism
and Travel Industry

Table of Contents
INTRODUCTION...........................................................................................................................1
LO 1.................................................................................................................................................1
P1 Development of tourism and travel sector..............................................................................1
P2 Elements of tourism and travel industry.................................................................................2
LO 2.................................................................................................................................................3
P3 Factors influencing the tourism sector....................................................................................3
P4 Different models of motivation..............................................................................................4
LO3..................................................................................................................................................6
P5 Emerging way in travelling at international level...................................................................6
LO 4.................................................................................................................................................7
P6 Different factors affecting the global destination...................................................................7
CONCLUSION...............................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Toursim and travel is a sector which provides both the pleasure and the business to the
people. It also includes the concept and activity of doing touring and also the business of
attracting the customers, providing them with accommodation and also entertaining tourists and
the business (Fennell, 2019). The World Tourism Organization (UNWTO) is the specialized
agency which is responsible for the sustainable and accessible tourism. It was founded in the
year 1975 and is a leading international business in the tourism sector with the intention of
promoting the travel and tourism to increase the economic growth of the countries. The report
will outline the development of the touring industry. Further it will discuss about the different
elements of the industry of tourism and travel. Later it will discuss about the factors which
influences the travel and tourism sector. Also, the report will highlight the motivational methods
which are used to influence the customer’s process of decision making. Furthermore, it will
demonstrate the modern and future trends in the sector of international tourism and travel
industry. In the end the report will evaluate and analyse the different types of factors which
affect the popularity of a global destination.
LO 1
P1 Development of tourism and travel sector
Tourism and travel industry plays a very crucial and vital role in enhancing, appealing
and supporting the economy of any country. This sector is treated as the principal leading sector
all over the world (Marine-Roig and Clavé, 2015). According to the research by the World
Travel and Tourism Council (2001), the report shows that the tourism has developed to more
than ten percent of the global economic output and 1 in 10 jobs worldwide in every country. The
development of the travel and the tourism industry was given much importance because of the
following reasons
Developments of travel and tourism sector since its starting that is 3000 BC:
Time period Development
3000 BC Travelling was done only for the purpose of business
1500 BC In this era the travel mode was used for the purpose of the religion
and leisure or pleasure. It was mainly done by Egyptian people.
6BC Here it became a mode for heritage and cultural.
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5BC Religion form of tourism mainly considered by Greece.
Middle ages In this period the concept of holiday came into existence. This
practice was majorly encouraged by European people.
16 AD Pilgrimages were developed by the European people and travelling
was promoted by these people to these pilgrimages.
18 Th Century History or cultural tourism referred as grand tour.
1840 This period included the individual travelling as it was invented first
by Englishmen Thomas Cook
1990 s Development of multinational airlines like Delta, American Airlines
etc
20 Th Century VFR, mass international tourism, online tour operations etc. were
introduced (Lyons, Hanley, Wearing, and Neil, 2012)
P2 Elements of tourism and travel industry
Tourism and travel sector is gaining importance because of the numerous advantages and
the benefits which it brings for the country (Buonincontri and Micera, 2016). There are majorly
three elements of this industry which are discussed below –
 Accommodation – this refers to a place where in the people lives temporarily in places
like guest’s house, lodge, hotels, caravan cottage inns etc. When the people go out for the
purpose of the travelling and roaming around then the first thing which they need is to
have a place to live and rest. So there the need of the accommodation arises for that
person to live and stay. This need of shelter leads to development of many other needs
like eating, drinking recreation, sports, conventions, professional meetings and wedding
banquets associations and others.
 Restaurants and caterer – when a person goes out to travel it is not possible for them to
carry the eatables and food with them every time. So for this they have to rely upon the
restaurants and the hotels. This is an industry which is engaged in the business of
providing food and beverages and related services to the customers and the tourists. This
type of industry is engaged in the food and beverage sector because it is the most
promising sector because of the reason that many people loves to travel. Even the people
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when go out to travel in different countries can live without buying clothes or other types
of clothing but no tourists that can survive without the taste of the food.
 Transportation – this is another major element of the travel industry. Without this
element the travel and tourism industry cannot even exist. This is because of the reason
that is there will be no medium to go to another place then there will be no existence of
the tourism and travel sector. It is a service based business which is engaged in the field
of the transportation. Transportation can be done in many ways like by land, sea and air
(Sainaghi and Baggio, 2017). There are also facilities which are carried out by the private
or state-owned companies and authorities. Transportation services and the mode of
transport are also greatly affected the tourism industry, particularly the ease of air
transportation services, which provides affordable prices for all circles, led to increased
activity travelled from place to place, or other area.
 Money changer – this is another element of the tourism and travel aspect because
without this element the travelling, food and accommodation anything is not possible. For
any action done while travelling the money is needed. When a person travels to a foreign
country then he needs to have the currency of that particular country so for this he needs
to take help of the money exchange. The money changer takes the domestic currency
from the travellers and then they provide the equivalent amount of the money in the
foreign currency. This helps the travellers in spending the money easily.
If these all elements of the tourism industry does not work hand in hand then it will be very
drastic for the whole tourism industry. For example if the tourist comes to the hotel for a stay and
if it does not provide the facility of restaurants and foods then the tourist will not come again to
that place. So for better development of the tourism industry it is very necessary for the whole
tourism industry to work in sync and harmony.
LO 2
P3 Factors influencing the tourism sector
The tourism and travel sector is the world’s quickest and ample flourishing sector as well
as a major source of the foreign exchange earnings and also generate more employment
opportunities for many countries. There are many factors that influence the running of the
tourism industry. These factors are as follows –
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 Economy of the country – this is the major factor which influences the tourism and
travel business enterprise. The economy faces many stages in the working. Sometimes
the economy is at boom and sometimes the economy faces the recession period. At times
of any economic turbulence and disorder the country’s tourism industry is major affected.
As there is economic slowdown in the country so there will be fewer tourists and the
tourist business will be hampered and will suffer loss. On the contrary if the economy is
doing well then the tourism and travelling business of that country will flourish and
prosper (Oviedo-García, 2016). More tourists will come in the country and also many
people of the country will go out to travel which will increase the tourism business of the
country.
 Environmental factors – these are the factors which relates to the environment of the
country where the people go for travelling and roaming. The leading two environmental
and situational component which affect the tourism and travel industry is the good
climatic condition and the beautiful scenery. Good and pleasant climate is the most
important feature for the attraction for any tourist place because if the climate will be
good then more and more people will be attracted towards the place and in turn tourism
will increase. Also, the tourists are attracted to the beautiful ambiance and scenery at the
tourist place.
 Religious factors – many a time the religious factor also affect the business of tourism
and travel. Many people often make religious monuments and pilgrims to attract the
tourists. The religious factors increase the tourism because the tourist are attracted
towards the places of religious importance because they get inner peace by going to such
places, get blessings of their deities etc. And because of this reason the tourism and
travelling is booming at the holy places.
 Cultural and historical factors – the presence of the historical monuments and the
cultures of the country also affects the tourism and travel sector. This is because of the
reason that many people and groups enjoy and loves investigating new destinations where
there are famous monuments, marvellous forts, castles and palaces of earlier kings and
queens, ancient monuments etc.
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P4 Different models of motivation
Tourism and travel sector is gaining importance because of numerous advantages and the
benefits which it brings for the country. Tourism and travel sector plays a very crucial and vital
role in enhancing, appealing and supporting the economy of any country. For this the country’s
economy employs various different types of models and techniques of motivation that influences
the consumer’s decision making process. For this the model used by different companies are
Maslow need hierarchy model of motivation. The model is explained as follows –
 Physiological needs – these are the needs which are the foundation or basic to every
human being. Without the fulfillment of this need the person cannot go further in the
pyramid of fulfilling the other needs. This need is considered really crucial and essential
for the survival of the human being and is the first step in internal motivation. This
includes travelling for the purpose of buying the groceries, shopping for the apparels,
going out for having food and ea tables etc.
 Safety needs – after the fulfilment of the basic needs that is the physiological needs come
the safety needs. This needs work for keeping oneself safe from the harms like shelter,
health, safety and safe environment. For fulfilling the safety needs it includes traveling
for the work, exercise for maintaining the health, travelling for the medical aids etc.
 Social belonging needs – after the fulfilment of the above two needs comes the need for
the interpersonal and social belonging. The humans have a right to feel a sense of
acceptance and belongingness within the different social groups irrespective of the fact
that whether the group is small or large and what is the structure of that group (Gretzel,
Ham and Koo, 2018). For the accomplishment of the needs of the social belonging it
includes travelling for the social events, for providing the religious services etc.
 Self – esteem needs- these are the ego needs which are to be fulfilled after the fulfilment
of the above three needs. The esteem represents and demonstrates the typical feeling of
human desiring to be accepted and valued by others. For fulfilling the self-esteem needs
the person can travel to work for status, independently going for the adventure seeking
etc.
 Self- actualization needs – this is the last need which is to be fulfilled by the person to
be fully satisfied. This level of need refer to what a person’s full potential is and the
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realization of that potential. For self-actualization need to be fulfilled the person can
travel for restlessness, variety seeking, curiosity etc.
ERG theory- this theory is given by Alderfer and in this theory it stated that the unsatisfied
needs motivates the individuals to fulfil their needs. This theory has three types of needs which
are Existence, Relatedness and the Growth needs. The existence needs includes the necessities
which are required by the person. The relatedness needs states that individual person needs to
maintain significant relations with others like friends, families, colleagues etc. The growth needs
involves need for the self development and for the personal growth.
McClelland theory- this theory evolved in 1960 by McClelland. This theory states that there are
three motivators that motivates the people to do their work and achieve satisfaction. These three
motivators are achievement, affiliation and power. Achievement includes the need to
accomplish, attain and demonstrate the competency of the person. The affiliation needs are
satisfied by fulfilment of the need of belongingness, love and relatedness. The need of the power
will be satisfied by the need for the control over one's own work.
LO3
P5 Emerging way in travelling at international level
The travelling and the tourism business is now gaining more popularity and importance
because nowadays as the living standard of the people has increased so they now don’t think
travelling as a luxury rather they think it as an essential and necessary part of their life. They do
not pay attention to the money spent on the travelling rather the people values the memories and
experiences what they have while travelling. Nowadays because of globalization and the effect
of cross border cultures the people prefers to invest their money in adventures, travelling,
roaming rather than in purchasing collectibles, expensive cars etc. The recent trends which are
emerging in the international travel and tourism are as follows –
 Eco – tourism – this factor is increasingly becoming popular because more and more
travellers are becoming more conscious towards the environment to maintain its
sustainability. The eco- tourism means going to travel to a comparatively unaffected
geographical area with the intention to give thing back to the social group and the
environment which the person visited. This type of travel gives visitors an insight into the
effect humans can have on the environment and for travellers to appreciate the planet
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more. It is prevailing in in UK because the people have become more concerned towards
the protection and safeguarding of the environment.
 Technology – this is a factor which keeps on updating every time. In this ever changing,
globalization and dynamic environment the technology is the only factor which keeps on
changing continuously. In tourism and travel sector the technology plays a very decisive
and crucial role. The technological development has been influencing the tourism
business and with that it also helps in increasing the demands of the products and services
among the tourists (Kavoura and Kefallonitis, 2019). Increasing use of the internet is the
main reason behind the success of tourism industry and this helps the tourism industry in
approaching the customers through the use of various different types of internet
communication methods. With this id this sector has been able to communicate with the
tourists from different cultural backgrounds more personally. With this also
developments in the use of the mobile applications is also being helpful because of the
reason that now the travellers have more accurate precise information because of the
access to the internet and mobile applications. The city has now start providing Wi-fi to
the travellers coming there.
 More independent travellers – nowadays the concept of independent travellers is being
an emerging trends. According to the Independent Traveller's World (ITW), the number
of independent travellers is on the increase. In a recent survey carried out by ITW, 44%
of the people considered themselves to be independent travellers when they were asked
about being the independent traveller. The scrutiny outlined that the amount of people
using travelling agency had gone down from 56% to 28%. This illustrates that more
people now promote to select individual travelling rather going with the tour agents and
put together their own holiday, rather than booking a package holiday (Fletcher, 2019).
This is possible only because of the updating in the technology because it made it easier
for the travelers to choose for the locations and every other arrangement on their own
without relying upon the agents. So, the travel agents are losing their business because of
the reason that people are able to discover a much simpler way to book their holidays,
over the internet.
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LO 4
P6 Different factors affecting the global destination
The tourism demand refers to the total numbers of the persons who are travelling and
who wishes and aspires to travel and use the different types of services and the facilities provided
by the tourism business. The major global destination in the United Kingdom is Manchester. It is
a major city in the Northwest of the England which is rich in the industrial heritage. There are
some factors which affects the popularity of the destination globally are as follows –
 Demographics - it refers to the characteristics of the people living in the particular area
to form a group of people with same characteristics especially in relation to their age,
gender, income etc. In the existing scene the social unit and the household are changing
towards the variety while on the other hand the migration to and from different countries
are impacting the structure of the society and due to which it is changing the shape of
global destination. The population of the world is being growing recklessly and because
of this increase it brings changes and influences the tourist’s types, their origins, their
travelling nature and destination choice, types of accommodation they prefer, the
activities preferred by the tourists. For example the population of the Manchester is
12210 people and is the ninth largest the densest city in UK. It is the third fastest growing
area of London. There are three major areas in the demographics which are impacting the
tourism demand such as-
Population growth and ageing,
Migration and household composition
Travel parties.
 Emerging economies – this is another factor which influences the popularity of the
global destination. Emerging economic situation has been impacting on the tourists
buying behaviours because if the economy is high in prices then the tourists and travellers
will not buy many things. On the contrary if the economy is low or moderate then the
people will buy more and more things. Because of economic development new jobs have
been opened in the city of Manchester. Also, the number of entrepreneurs have increased
in the Manchester. This reflects that there is greater creativity and innovation in the city.
 Technological factors – this is also a major factor that impacts and influences the
popularity of the global destination. If the place will be outdated in the terms of the
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technology then there will be very fewer tourists travelling to those countries. The
technological evolution and development has been causing the travelling industry
business as well as helping in increasing the demands of the products and services among
the tourists. Increasing internet usage has in Manchester also been influencing the success
of tourism industry and this helps in approaching the customers through the different
types of internet communication methods. Also, the use of mobile technology has been
an initiative for the business to grow in this sector. With help of this technological up
gradation the tourism business has been communicating with the tourists with more
personal measures (Hernández-Martín, Rodríguez-Rodríguez and Gahr, 2017).
CONCLUSION
With the analysis and study of the report it can be concluded that tourism and travel is a
competitive and dynamic sector of the economy. Tourism refers to an activity of people
travelling to and staying in different types of places outside their usual ambiance and
environment for many purposes like business, leisure, roaming etc. With this study it was
interesting to note that the report outlined the development of the travel and tourism industry that
how the tourism industry has evolved. It was worth noting that the tourism industry is so large
and ols that it started in 3000 BC. Further it talked over about the different elements of the
tourism and travel sector (Spencer, 2019). Later it discussed about the factors which influences
the travel and tourism sector. Also, the report highlighted the different types of motivational
methods which are used to influence the customer’s process of decision making. Furthermore, it
demonstrated the recent and emerging trends in the sector of international tourism and travel
industry. In the end the report evaluated and analysed and summarized the different types of
factors which affected the popularity of a global destination. Also it was interesting to work on
the global destination of UK which is Manchester and it was interesting to know that Manchester
is such a good destination to see and explore.
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REFERENCES
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