The Impact of Flight Center on Inbound and Outbound Australian Tourism

This report examines the impact of Flight Center on the Australian tourism industry. It investigates the factors influencing both inbound and outbound travel, including economic contributions and tourism trends. The report utilizes a quantitative research design with a survey methodology and panel data modeling to analyze the effects of Flight Center on tourism growth. Key objectives include identifying the reasons for tourism increases in Australia, determining Flight Center's contribution, and evaluating factors affecting travel decisions. The report reviews relevant literature, presents research findings, and discusses the implications of these findings for the Australian economy. It covers the history of Flight Center, its expansion, and its role in connecting Australia with the world, while also analyzing the impact of domestic, inbound, and outbound tourism. The study also explores factors that discourage outbound travel, providing a comprehensive overview of the tourism landscape.

Running Head: Project Management
Project Management

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Abstract
Background: Flight Center has the travel outlet in Australia is an research field yet as it has
amplified over the years, its development is proposed to exceed inbound travel and tourism in
the country which in turn makes significant impact to the Australian economy.
Objectives: To examine and evaluate the aspects that affect the inbound and outbound
tourism in Australia by considering the reasons why tourist travel to Australia, what
motivates them for traveling to Australia and the unpromising factors for outbound travel
from Australia.
Methodology: The quantitative research design bring into line with the positivist paradigm.
In the present research, the research tool of survey has been selected for the research. The
survey method is used to find how flight center affected tourism and why tourism has
increased rapidly in last years. The survey is conducted with the customers of Trip advisor
and panel data modeling approach is used. The quantitative study will be used to examine the
numerical data (Bui, 2013).

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Table of Contents
Abstract.................................................................................................................................................1
Introduction...........................................................................................................................................3
Overview...........................................................................................................................................3
Background.......................................................................................................................................4
Project Purpose and Objectives.........................................................................................................8
Research Questions...............................................................................................................................9
Brief Literature Review..........................................................................................................................9
Research Methodology, Results and Discussion..............................................................................13
Panel Data Modeling.......................................................................................................................15
Factors that Affect Travel Trend Estimates.....................................................................................15
Conclusion...........................................................................................................................................19
References...........................................................................................................................................19

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Introduction
Flight Center opens the world for the one who want to travel as it one of the largest
supplier for travel services and products. It delivers high quality service to the customer by
providing tourism from overseas. It increases the inbound and outbound travel in the country
with in turn increases economic growth of the company. It is one of the leading travel groups
operating in more than 23 countries and the network is speeded in more than 90 countries
increasing the business globally all around the world.
Overview
Flight center has become world’s most profitable travelling agency delivering
amazing experiences to customers. It has engaged number of customers from all over the
world making a growth in the market. (Flight Center, 2018). Tourism is one of the important
components for the economy of the country. This travel group has expanded and marked a
remarkable growth for more than 40 brands. Tourism contributes around $47.5 billion to the
national economy. Flight Center has business in Australia, Canada, Hong Kong, United
Kingdom, New Zealand , United States, India, South Africa, China, Singapore, United Arab
Emirates and Mexico and has a annual turnover of around $20 billion. It is well recognized
around the world. This has increased tourism in Australia from international borders. In 2016
around 37.3 million people crossed Australia though majority movements were for short stay
and very less for long term stay in the country. The researched showed that major travellers
are for short stays, that is affected by seasonal changes and the reason for short stay is
holidays, visiting friends or relatives, or for biasness purpose. Other than short term stay,
people do come for long term stay or even some are migrated.

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Figure 1: Visitors to Australia
The above graph stays the stay of visitors in Australia. Some come for a short stay
while other for a long term stay.
Background
Flight center is not an overnight success story. The struggle started in early 19s. The
journey of Flight Center started in 1970 than business expanded rapidly. First flight center
was setup in Sydney in 1982 and a huge success was reported as the share price increased on
the first day of trading. It is a travel group which has the largest retail outlet in Australia. It
was founded in 1982. Now it is one of the leading travelling group consisting more than 40
brands. Flight Center provides travel services tremendously in last years. Chief part of
economy in Australia comes from tourism. This contributes in large amount of Gross
domestic product (GDP) and the tourism is growing day by day. Thus natural beauty has
attracted many tourists in the country from all over the world. Tourism is a boom for the
economy due to new emerging markets which is estimated to be the largest trade and industry
contributor to the Australian tourism industry (Krishna, et. al, 2015).

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Figure 2: Short Term Stay
Figure 3: Long term Stay
Long term stay in Australia has increased rapidly in last years the reason is for higher
studies or for business purpose (Preuss & Solberg, 2015).
Tourism- It can be concluded that Tourism is one of the important things for contribution of
Australian economy most of the contribution is from international tourist Tourism in
Australia has expanded because of which country has improved the facilities of travelling
from anywhere. Moreover, New Zealand contributes to maximum tourist apart from that

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many backpackers youth travel from all over the world. This is possible because of flight
center providing to connect to Australia from anywhere.
Tourists from different countries
Australia offers a huge international tourist; New Zealand offers one of the major percentages
of tourism in the country. One of the reasons for tourism is beautiful destinations like
Sydney, Brisbane and Melbourne are popular cities to visit. Approx. 2 million people visit
these places yearly. Apart from New Zealand, China, Great Britain, Unites States are
significant countries for supporting tourism in Australia (McLennan, Becken &
Moyle ,2017).
Figure 4: Major countries visiting Australia
(Source: https://www.worldatlas.com/articles/top-source-countries-for-international-
tourists-to-australia.html)
Tourist mainly comes for spending holiday but Australia also offers international business
market encouraging business events like meetings, conferences, exhibitions and associations

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meet. Apart from that not only inbound travel has increased in the country, outbound travel
is subsequently rising from 2009 as many Australians are travelling out of the country. The
outbound travel has increased due to rise of air services (King, B., & Dwyer, L. (2015).
Australia is promoting tourism as it grows both international and domestic tourism. Tourism
increases marketing which supports Australian government for promoting quality of services
and distribution of Australian products. The strong point of outbound travel is Australian
dollar as offering facilities of flight center help Australians travel overseas affordably
(Athanasopoulos, Deng & Song, 2014). Availability of advanced flight connectivity to all
major part has increased tourism. But the outbound travel has affected domestic tourism
(Khan, Qianli, SongBo, Zaman & Zhang, (2017).
Figure 5: Inbound, outbound and domestic tourism in Australia
(Source:http://www.ret.gov.au/tourism/Documents/Tourism%20Statistics/
tourism_facts_figures_may_20 10_screen.pdf)
From the above chart it can be seen that outbound travel has increased rapidly than the
inbound travel. Inbound tour is within the same country by to a different destination it

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contributes to the revenue of flight center wherein outbound tours help flight center to
globally grow around the world.
Domestic Tourism means travel of Australians in Australia itself it also accounts in
economy of the country. Domestic travel covers both one day trip to overnight trips within
Australia. Instant travel implicates a vacation away from home minimum one night at radius
of 40 kilometres away from home (Abascal, Fluke & Jiang, 2016). Other than that day
visitors also travel for a short trip for around distance of at least 50 kilometres from home for
few hours. Spending within the country is beneficial as total revenue generated in the country
is directly related to visitor exports, domestic travellers and government spending for
betterment (Gardiner, Grace & King, 2014).
Finally it is concluded that tourism is a booming industry for Australia and it’s one of the key
for future economic success this is achieved because Australia has invested a lot in tourism
sector to increase number of visitors. Travel constitute directly in the capital investment
(Espinosa, Fluker Jiang, 2015).
Project Purpose and Objectives
In this project, research is made on Flight Center and how it has increased tourism in
the country. Australia is investigated on its outbound and inbound travel to focus and identify
the reasons for tourism. For this research panel data modeling is used which showed the short
term departures from Australia to different places around the world. Objective of this project
report is:
A. Reason why tourism increased in Australia?
B. How Flight center has contributed to tourism?
C. When flight center started and its policies?

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D. Determining the factors affecting inbound and outbound travel in Australia?
E. Determining which factors influence the decision to travel abroad?
F. Determining factors that discourage outbound travel among Australians?
Research Questions
To solve these objectives there are several question that need to be researched
A. What are the top destinations for outbound travelers?
B. What factors motivate Australians to travel abroad?
C. How tourism contributes to economy?
D. What kinds of tourist visits Australia?
E. What factors discourage outbound travel?
F. For how much time tourist stay in Australia?
Brief Literature Review
On the behalf of Bank of Australia (2009), Fight Center is Australians largest travel
agency increasing global trading and contributing to economy. Flight center have provided
healthy growth in international as well as domestic profit. Future it has increased touring
sector by investing in other countries as well. Flight center is a traveler retailer covering all
sectors from students to business to backpackers providing luxury travelling. Extra ordinary
travel activities have increased in Australia from all over the world because of best travel
experience. Some people travel just to visit friends while some come for a holiday break. The
goal of this study is to know the relationship among air transportation and tourist industry.
According to Australia’s International Tourism Industry (2015) it is stated that
tourism in Australia has increased rapidly since past decades from 2.5 million to almost 6.7
million till 2014. Growth in tourism means step toward success of Australia. It has

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contributed to Australian economy apart from this Tourism has increased the demand of
international airline services (Ruhanen, Whitford & McLennan, 2015). Like flight center is
one of the main reason for tourism as it has easily connected globally to various destinations.
Flight Center enabled global market for international visitors. Tourism Industry researched
showed that major contribution for increasing tourism is from China, New Zealand, Asia, and
UK. Government has taken various steps increasing tourism by investing in tourist related
accommodations or infrastructure. Government has also aimed for some programs
encouraging tourism and many business plans. Thus international visitor are fascinated to
Australia not just because of its beauty but due to quality of service provided to tourist
(Tourism Research Australia ,2017). All research says that Australians choose to travel
outside the country for holidays to different destination have increased the outbound travel
these days.
According to Office of the Chief Economist (2017), Air transport facilities have
globally given a support for tourism as half of the tourist travel to their destination by flight
services. These tourists are making major contribution to the economy of the world.
Researcher showed that tourism would come up with70 million jobs and $11 trillion in GDP.
Growing of tourism sector has boosted national economy and promoted many countries the
reason behind this is opening up of air market. Tourism is directly dependent on the
transportation facilities and growth of tourism impact on increasing air transportation.
Transportation is one of the most vital components of the tourism business. As a well-
developed transportation system generates the possibility for reaching the particular
destination and numerous markets by providing the finest superiority service to the traveler.
Flight center is one of them main aim, as people nowadays care about traveling time more
than the airfares or the distance. Thus the only medium used by tourist is air transportation
which has reduced the time mandatory to travel from one destination to another and boosted

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the long-distance trips by sinking the time. Air transportation has become the most
widespread mode of travel in current society. Air transportation has made conceivable to
travel for long-lasting trips in a short time period which in turn increased the demand for
long-distance trips. Nowadays, the share of air transport in the market has full-grown
ominously. Improved facilities of transport as expanded tourism, however easily accessible
services have made tourism easy. For international tourism main mode of transportation is via
air. With astounding growth of airline services the world seems to be a small place as allows
billions of people to travel all around the world. Even the government realized importance of
tourism industry for the development of the country. Without the introduction of flight centre
services, rapid increment of tourism wouldn’t be possible. As flight centre is present in many
countries which owes a portion of success in tourism as they are expanded all around the
globe. Holidaymakers use these airline facilities to be a constant source of travelers in the
country thus the airline initially intended to bring in global tendencies.
In the views of Okamura & Fukushig (2010) , the main source pf earning forign
currency is tourism in the country. Educational and natural travel, adventure and sports
tourism, pilgrimage and religious destinations, and national parks and reserves are the areas
of the Australia travel industry. But it is clear that holiday business cannot be established
without a fast running transport system. More than 74 percent tourists drifting to Australia
pick air transportation. On the other hand it is one and only network that associates remote
tourist destinations to capital city and other parts. This indicates how dynamic the air
transportation is groomed the tourism industry. The stay by tourist in Australia can be for
short-term accommodation or backpacker or may be for business trip. It state that tourism
contributes almost $11 billion to GDP in 2014 to around $55 billion till 2022. Flight center
airlines have offered multiple designations which have restricted the ability of other countries
to travel to Australia by multiple designations via airlines. This has necessitated a process for