Black-Sheep Touring: Analysis of Issues and Recommendations Report

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This report provides an executive summary and business analysis of Black-Sheep Touring, a tourism company operating in New Zealand. It examines the company's business activities, mission, and vision, while also identifying key issues such as customer dissatisfaction and high operational costs. The report employs SWOT and PESTLE analyses to assess the internal and external environments, highlighting strengths, weaknesses, opportunities, and threats, as well as political, economic, social, technological, legal, and environmental factors. Recommendations include investing in market research and implementing effective work practices. The report concludes with a discussion of the tourism industry's growth opportunities and suggests strategies to enhance customer satisfaction and operational efficiency. This analysis is available on Desklib, a platform offering study resources for students.
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TOURISM ENTERPRISE
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EXECUTIVE SUMMARY
Black-Sheep touring is tourism Industry Company which face many issues to operate
functions and operations. It includes dissatisfaction of customers, high cost etc. Therefore, it
creates big impact on the performances of the company. In the present study, live case also
explained about the organisation to address their issues and sought out the problems in
systematic manner (Burgess, Sellitto and Buultjens, 2015). To solve their issues, company can
consider different analysis tools such as SWOT, PESTLE, etc. It helps to understand better
things through the company can resolve problems in systematic way. With the help of PESTLE,
it has been assessed that tourism sector create high growth in GDP. There is more fund require
operate functions in systematic way. Therefore, it includes budget allocation for research
tourism.
Tourism sector is growing rapidly due to increasing number of visitors across the globe.
Furthermore, various promotional activities are planned by businesses in tourism sector to attract
large number of customers. GDP growth of the country create several advantages to improve
tourism activities and customer base as well. NSW holds the highest GDP in the New Zealand in
terms of tourism development which is recorded as 34 percent of overall GDP. In this context,
Black-Sheep has aimed to enhance customer base by designing and providing consumer-oriented
services. Recommendation for company can be that they can invest more on market survey in
order to have identification of customer’s needs (Mariani, Buhalis and Vitouladiti, 2014). Also
application of work practice measures is also critical aspect to refer for the organisation. In
addition to this, the company is using effective processes to operate in travel and tourism sector
from last 20 years.
The tourism industry offers various growth opportunities such as: expanding revenue,
generating employment and satisfying customers. With the help of several attractive packages
experience, private and self-plan can be develop in Black-Sheep touring. Along with this, there
are several issues faces by the company that might impact on development of operations.
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TABLE OF CONTENTS
EXECUTIVE SUMMARY...............................................................................................................
INTRODUCTION...........................................................................................................................1
OVERVIEW OF THE BUSINESS.................................................................................................1
BUSINESS ACTIVITIES................................................................................................................2
MISSION AND VISION.................................................................................................................3
ISSUES............................................................................................................................................4
SWOT ANALYSIS.........................................................................................................................4
PESTLE ANALYSIS......................................................................................................................5
RECOMMENDATIONS AND SUGGESTIONS...........................................................................9
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10
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INTRODUCTION
Travel and tourism sector offers wide range of opportunities for businesses to grow.
Henceforth, it is significant for businesses to consider diverse factors which affect the overall
operations (Mariani, Buhalis and Vitouladiti, 2014). In this report, the case of Black-Sheep
Touring is being considered for evaluation purpose. The report discusses issues and methods
which are associated with the business activities of company.
OVERVIEW OF THE BUSINESS
Black-Sheep Touring is the tour operator which conducts operations in the New-Zealand.
The company focuses on creation of the value for delivering effective quality in the country
(Katsoni and Venetsanopoulou, 2013). There are several tour activities which are highly essential
to develop the best value in tour for the nation. With the help of globalisation advance growth of
the travel and tourism sector also impacted positively. The industry also offers high level of
growth to increase revenue and employment opportunities to satisfy customers (Black sheeping
touring New Zealand, 2017). With the help of effective business operations' growth will be
accomplish to get more effective results. This enterprise has long dreams to looks towards size of
the company to make reality programs. With the help of adventure holiday, exclusive luxury
operations also signify that make special reunion trip with friends. In addition to this,
honeymoon and private tour also created by the enterprise.
In order to have better understanding about the business case of Black-Sheep Touring the
consideration of business initial stages has been taken into account. In addition to this, Kim
Francis has moved to New Zealand to start the business with his husband. The key idea behind
setting the business was to offer the type of tours that citizens liked around New Zealand
(Sivignon, 2017). Company has started offered tours for small groups of people aiming to get
into the real NZ. In order to set out the business more effectively the company has focused on
pool of guides as well as office staff. With a continuous improvement the Kim and her team has
focuses on three options like small group tour, private tour and self-drive tour (Blacksheep
Touring Co Self Drive: Don't do it, 2017). Moreover, consideration of reviews on different travel
portals has also been considered for better understanding of company case study.
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BUSINESS ACTIVITIES
The offering activities of chosen organization includes leisure traveling which explores
advanced opportunities in the market segment. There are several attractive packages available
which could be classified through experience, private and self-drive plans.ï‚· Experience tour: In this type of tour, activities perform at diversified locations with good
food quality. Mainly referred as service that experience as luxury tours.ï‚· Private tour: In this, Black-Sheep unit offers various kinds of individual or family tours.
It includes services such as adventure holidays with kids. Luxury aspects are also being
considered in the same (Mariani, Buhalis and Vitouladiti, 2014).
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Illustration 1: Tourism in Australia
Source: (Van, Zyl. and Hooper, 2011)
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 Self-drive tour: It is a tour plan for individuals who don’t have enough time to plan the
holiday and tour. It is a customized services which is provided on the basis of need.
MISSION AND VISION
Mission of the chosen enterprise is to provide effective tour services and facilities to meet
customer needs who arrive in New Zealand. Vision also characterised to meet with luxuries
standards through offers several plans (Bhat and Shah, 2014).
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Illustration 2: Visitors attraction requirement in percentage
Source: (Local government & the visitor industry, 2017)
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ISSUES
Black-Sheep Touring faces different issues in order to providing tourism services. For
example; dissatisfaction among tourists of its services, high level cost on facilities etc. In this
regard, improper valuation of supplier needs affects the development and delivery of services in
desired manner. Similarly, high cost of operations also creates a barrier for Black-Sheep Touring.
Henceforth, management needs to work on controlling costs or expenditure. However, it is not
possible for all visitors to afford that much expenses on its tour services. Including this, other
issues occurred in service is like monitoring of tour plans is also not proper which affects the
application and customer satisfaction. Therefore, these issues are required to be reduced for
effectiveness in them and making decisions regarding further business activities.
SWOT ANALYSIS
SWOT analysis is the best tool which assists to make effective results through planning
in the future. Black-Sheep Touring need to analysis there internal and external environment. By
analysing the SWOT aspects the company has expanded its business in great context. It has also
allowed to grab opportunities and reducing issues to implementing strategies that overcome
upcoming threats. However, customers are also satisfied with its services on large scale as well
business activities get manage efficiently (Katsoni and Venetsanopoulou, 2013). Including this, it
offers premium facilities for higher satisfaction of people. As well, on the critical evaluation,
Black-Sheep is recognised that its infrastructure facilities are not so captivating to attract all
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Illustration 3: Visitors arrivals by key market
Source: (New Zealand tourism within the global environment, 2014)
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tourists of Black-Sheep Touring. Including this, services of tourism are also not qualitative to
meet visitors' expectations effectively. Moreover, high cost charged on its services that affect
productivity and profitability of the firm. For reducing these weaknesses, several opportunities
can be grabbed that impact on demand for tourism services to achieve tourists' attraction at
maximum level. Including this, threats that can be occurred in Black-Sheep Touring are analysed
remains able to overcome for reducing issues and improving services of the organisation (Zeppel
and Beaumont, 2014). Therefore, actual performances of tourism destination is recognised that
impact on further activities and efficiency in tourism facilities.
PESTLE ANALYSIS
New Zealand is the small nation which located east part of the Australia in Pacific Ocean.
This done as the remarkable progress with several changes in the country. In order to expand
Black-Sheep and diversify the operations, external environment need to be analysis in systematic
manner. This thing develops in positive and negative manner with including several factors. It
includes political, economic, social, environmental, legal and social elements which could be
impact on the performances of Black-Sheep Touring:
Political factors:
When Black-Sheep starts their operations in any country, they have to analysis its
political system, rules, regulations and many other things which give strength to operate in
significant manner. Stable government encourage to the chosen enterprise to make successful
results with strong rules and regulations. Due to take place of new government, Black-Sheep has
opportunities to make their changes to spread business in positive manner. There is labour law
strict and it is expensive in the government. Lending rates are very high so that company have to
pay more taxes and reduce profits as well. It is the most important factor in the nation which
affect working of travel and tourism sector because in term of legal rule, regulation the
government is having continuous changes. In New Zealand there is high risk for Black-Sheep
Touring because of rules and regulations transformation which affect the overall outcome.
Changes in policies may also increase the lending rate which could be impact on the company
significantly (Katsoni and Venetsanopoulou, 2013). Political factors also includes government
intervention on the tourism activities. This is because, government gain more revenue and profits
through other country currency. It helps to make profitable outcomes in country and also
enhance revenue in the country. It makes high GDP rate to develop effective results. Political
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factors also includes government intervention on the tourism activities. This is because,
government gain more revenue and profits through other country currency. It helps to make
profitable outcomes in country and also enhance revenue in the country. It makes high GDP rate
to develop effective results.
Economic factors:
Due to excellent situation of economy, Black-Sheep has opportunity to develop their
functions and operations in positive aspect. In order to compare with other nations, population of
the countries high so that it is significant opportunity to rate product. Therefore, Black-Sheep
Touring can circulate their money for further expansion. Inflation rates in the country is less and
unemployment considered very low that shows positive sign of the economy and GDP rate.
Users of the chosen enterprise services in the country very low. People could identify services of
tourism and other things as well. With registered of remarkable growth from last several decades,
it has been classified that in New Zealand has the high income. It means the company can easily
charge high rates on tour plans for better profit in New Zealand. Economy is expected to reach
around 207 billion in 2018 which has also impacted the growth rate of tourism sector. Growth of
the nation also boosted which assist Black-Sheep Touring to change in its operation according to
conditions (Font, Garay and Jones, 2016).With new policy and taxes regulations, the selected
enterprise face many problems. However, inflation and many other problems are take place that
could be impact on the functions and operations of country. Increasing customer attraction helps
to the country to enhance profitable results in systematic manner. Therefore, it will develop
functions which could be operated as per country requirement.
Social factors:
Social needs of New Zealand must be considered otherwise it might affect the overall
outcome. Company success is dependent on the satisfaction of customers (Smith, 2014).
Application of new programs is necessary so that customer needs can be identified as per New
Zealand culture through Black-Sheep. The social system of country is wonderful and has to
depend on the business with other countries. There is consistent demand in the economic system
and can affect the economic situation of the country. It depends on the other countries to get new
technology, this shows that the country spends lesser amount on the research and development
work. The governments have change in every three years which has brought the strong political
system. The banking system in the country is strong and it welcomes the foreign direct
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investment in the country. Social factors encompass several areas, such as population growth,
health, education, safety, religion and benefits, social classes. These factors have the strong
impact on Black-Sheep. The literacy rate in the country is 100% and the expectancy is about 81,
which the very good sign for the health and many activities in the development of the country is
continuously watched by the government. For the more purpose Black-Sheep have to make it
sure to adopt the perfect analysis technique to evaluate the impact of culture on their
organisation. As the country has the less population which is spared and the ratio of
unemployment is less.
Technological factors:
In the New Zealand, there are several programs have been taken to enhance technological
advancement.
With the help of advance technology in New Zealand, Black-Sheep Touring can enhance
customer attraction in the country. It means promotion activities can be boosted with a help of
technology (Burgess, Sellitto and Buultjens, 2015). The education culture in the country is run
by OECD for the international student assessment and it is considered 7th best education system
around the word. The students are continuously showing their progress in the field of science and
mathematics. The parents are focused and admits their students in the school at the age of 5 and
they complete their education in the age of 19 which helps to increase the literacy rate up to
99%. There significant importance of the technological factors because they help in eradicating
the inflation and recession. The latest technological is benefit is to make Black-Sheep run in an
effective and efficiency way. The information technology has given the businesses a wider zone
to make itself creative and global. The country has made the significant development in various
technological products. It has introduced the new IT technologies and the use of internet in the
urban and rural area. The mobile phones organisations are providing the services to the people
who can afford the rates. The modern facilities of the health are provided in their hospital and the
government has introduced new health reforms to provide the medical facilities to people at their
doorstep.
Legal factors:
In New Zealand, government has change in each three years and it makes new rules,
regulation which reduce the barriers that tourism sector were facing. It might provide a better
opportunity to the Black-Sheep Touring. International market opportunities can be identified
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effectively with a help of globalisation policies in terms of legal values. The proper rules and
regulations helps to increase the number of tourist due to the safety. The government in country
changes after every three years and the new government makes its own rules and regulation but
the crime rate was very low in the country. The internal companies or the private agencies are
welcomed to start their business in the tourism sector. The environmental regulation is complex
in the tourism industry. Therefore, it might be create negative impact on Black-Sheep. The safety
of public and the laws are two most important factors. The risk management is major part in the
tourism. The government has change after every three years in New Zealand. The government
has kerb and corruption from the society so they are enjoying the basic facilities provided by the
country. The both labour and the public security are important concerns. The other laws are there
to influence the sector but the public safety is major. It helps to widen up the scope to develop
the profit margin. It also helps to increase the economy of the country. The government has made
the strict rules and regulation against the corruption from the society. The international business
community has full legal cover in the country and they can do their business without any fear to
the legal implication in Black-Sheep activities.
Environmental factors:
Eco tourism activities need to be developed so that legal values in terms of environment
can be maintained properly (Bhat and Shah, 2014). The initiatives are to keep safe and pollution
free atmosphere in the country by Black-Sheep. The population with a good education system
well aware about the changes in the climate. The government has taken initiates to make and
keep the country clean for tourist. The government has adopted the latest technology to deal with
the rubbish and other pollutants towards the environment. The organisation is 900 kilometres
away from Australia with a unique ecological system. The environmental scanning helps to find
out current or the forthcoming changes because it thoroughly focuses on those areas in which
Black-Sheep might have neglected in the previous. The people are ready to get rid of the
pollution caused by use of transportation and local people are ready to adopt the measures to
keep the pollution away. The country has various species of the birds and the ecological system.
The change in the climate has started affecting the tourism of the country. The most important
factor to which is necessary to focus on a Black-Sheep that is productive and ethical at the same
time because consumers the consumer of this age demand the products in a higher quantity. The
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