Report on Contemporary Issues, Strategies in Travel and Tourism

This report delves into the contemporary issues and trends impacting the travel and tourism industry, with a specific focus on UK-based tour operators such as Thomas Cook and Myla, alongside the Travel Network Group and International Airlines Group. The report examines the effects of globalization, political instability, terrorism, and technological advancements on the sector. It analyzes challenges faced by companies like Four Seasons Travel, including taxation, security concerns, and health-related issues. The report also explores the responses of international airlines to these changes, emphasizing the importance of technological integration and customer service. Furthermore, it discusses the development and justification of strategies to address these issues, including SWOT analysis and marketing mix elements. The report also covers different types of tourism such as dark, green and gastro tourism and the reason behind increasing popularity, concluding with an assessment of the impacts and consequences of these trends on the industry.

CONTEMPORARY ISSUES
IN TRAVEL
AND TOURISM

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1.1 Analysis of issues driving change in travel and tourism sector........................................3
1.2 Current issues faced by Four seasons travel.....................................................................4
TASK 2............................................................................................................................................5
2.1 Covered in PPT ................................................................................................................5
2.2 Covered in Poster Presentation.........................................................................................5
TASK 3............................................................................................................................................5
3.1 International Airlines response to change........................................................................5
3.2 Development of strategies................................................................................................7
3.3 Justification of strategies..................................................................................................8
TASK 4............................................................................................................................................9
4.1 The impacts of issues and trends that drive change in the travel and tourism................9
4.2 Consequences of business failing...................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
The report presented below includes a framework upon understanding the current issues
and trends prevailing in travel and tourism industry with reference to UK based tour operators
such as Thomas Cook and Myla (Benson, Tilbury and Wickens, 2012). The travel network group
along with International Airlines Group have been considered in the report to determine the
impact of changes prevailing in the industrial environment. The importance of developing new
strategies for product development in travel and tourism sector is focused in the report by
providing required training to the new employees hired for the same. Different types of tourism
such as dark, green and gastro tourism and the reason behind increasing popularity have been
covered in the report. Responding to each aspect of prevailing issue or trend by applying various
managerial techniques that focuses mainly upon using SWOT analysis and understanding the
micro and macro environment requires designing appropriate market plan that consists of
elements of marketing mix (Yüksel, 2017).
TASK 1
1.1 Analysis of issues driving change in travel and tourism sector
With the advent of concept of globalization, the travel and tourism sector has undergone
into a pace of revolution that has confronted the economy with list of opportunities as well as

threats that are expected to prevail within the travel and tourism industry. Globalization and
technological advancements has imposed various travel agencies and airlines groups to
undertake detailed and brief study work for analysing issues that are assumed to impact the entire
industry. List of various issues affecting the entire economy have been mentioned below:
 Issues on account of political unrest: The political environment prevailing within the
member countries of European Union has been facing political unrest and government
intervention (Fennell, 2015). All the member countries are required to follow laws and
regulations framed by government. However, on account of difference of beliefs and
assumptions there has been increase in the violence level within these countries. On
account of non acceptance of policies framed by government specifically in Middle East
and North Africa has impacted the tour and travel sector industry adversely. There have
been restrictions implied upon various travel agencies as well as airlines industry
regarding pricing policies, service distribution policies and market segmentation policies.
European Union has thus forced these companies and agencies to work with in
accordance to the main objective of improving standard of living of the member countries
(Bramwell, 2015). The major rules and regulations for the Middle East countries is that
political instability that highly impact the tourism industry. Thus, there is a loss in the
economic system the GDP rate is now decline from 2006 is 4.6 to 1.4 in 2008. Beside this
now the government implement rules to for restriction in visa that prohibits the travellers
to travel from place to another. In the year 2012 in UK country there is a tight restriction
that downfall in the number of travels that is 1 billion. Economy condition in the Turkey
are in recession as this country it generate more revenue in 2014 that reach at the £30
billion in total tourism revenues. The profits in the turkey's tourism in the 3rd quarter felt
by the 4.7 % to 7.29 billion. In the 2017 it is one the fourth attractive place that are visit
by the 34.8 million visitors. The Turkey contribute its 10 GDP in the tourism sector. The
issue regard to economy in turkey in which there is an increase in the number of multiple
attacks in year 2015. There is a decrease in the annual performance in total tourism
revenues in year 2014 by 4.4%.
 Issues on account of increasing terrorism: Terrorism has affected the entire globe by its
unsocial activities creating terror among innocent citizens. A sense of security is

diminishing among people on account of increasing terrorist activities. People travelling
initially at regular intervals are now preferring to stay protected within their home
country and thus avoid travelling for ensuring safety of their family as well their own life.
Travel and tourism companies that included providing accommodation and transportation
facilities to the travellers have now limited the list of geographical areas that were
admired to be visited for exploring natural beauty and peace by majority of travellers.
Difference in ideology and increasing violence in countries such as Syria, Iran, Iraq,
Lybia, etc. has impacted the profit margin attained through tourist activities in these areas
as most of the terrorist are assumed to reside at such places. Terrorism in turkey real
statistics is that it has been increased from year 1970 it was about 5-10 and in 2015 is
400. The most attack country is a Iraq it was about 7,400 attacks
 Issues on account of technological advancements: On of the most important aspect of
tours and travel industry is security (Pearce, P.L., and et.al., 2013). Rules and regulation
regarding individual checking for ensuring security of other travellers are required to be
followed strictly. This has increased the demand for using such tools and techniques that
can easily detect an individual who carries an identity of an terrorist. Specially for the
airlines industry, it is required for them to apply latest up graded technology for detecting
the location of flight to ensure none of the terrorist activity or technological weak point
becomes a threat for life of various travellers. Robotics revolution is a prevailing trend
that is assumed to become an issue for various airlines industries promoting tourism on
account of requirement of huge funds to adopt with same.
1.2 Current issues faced by Four seasons travel
The below mentioned are the current issues which are being faced by Four seasons travel
which is a full service agent which provides and specialises in luxury travelling services:
Taxation
The concept has emerged with lots of negative impact on the sector of travel and
tourism. As the governing bodies of the concerned economies can make increase in the tax rates
and the same will keep on changing(Wearing and McGehee, 2013). These changes make the
companies and the corporations in each and every sector to do the necessary implementations in
the organizational structures. So the travel and tourism sector also needs to make necessary
changes in the plans and the policies as the government changes the tax rates. Moreover, the

consumers or the service users that are the travellers pay many types of taxes such as room rent
airline tickets etc. The government receives approximately 40% of the commodity cost which
comes out of the adds on taxes. UK has to be considered as the one of the most taxed
destinations in the relation to the tourism and hence affects the tourism sector the most. By
increasing tax rates, the tourism rate has degraded to an extent.
Security issue
One of the major challenges is the security of the tourism and travel industry. There are
many issues related to the safety and security of the sector as many of the tour and travel agents
and companies does not have any contacts with the local police departments and also the police
departments forces and officers are also not properly trained in the tourism oriented policies and
protection programmes (Kang, E.J., and et.al., 2012). Moreover, there are very less number of
governing bodies which provide help through the safety agencies with the financial and
manpower resources for helping the visitors.
Political unrest- Egypt country facing a issue a there is a high violence that impact the
travel and tourism sector. Most of the united stated people travel but now they cancel the trip to
travel the Egypt as some tour operators avoid them. In the winter season, there is a political
uncertainty and violence increase.
Middle-east- Egypt is now facing a number of attacks by terrorists and the civilians as
well as military troops killed by them.
Health and food issue- Most of the people are much more concern about food and safety such
as cleanliness in the water and some standard of care. As far as the Egypt travel and tourism they
want medical insurance cost that is highly expensive as it is necessary to confirm that the
travellers are fit both physically and mentally.
Impact of weather issues- The flooding is the most disaster in North Africa in 2001 there is
about 800 people deaths and also there is huge loss of economy. Therefore, the another flood is
Mozambique and it affects the about 2 Million people as they need food and agriculture
production land was destroyed.

TASK 2
2.1 Covered in PPT
2.2 Covered in Poster Presentation
TASK 3
3.1 International Airlines response to change.
The new and the updated technology has increased the value of the airports and the
aviation sector. And this has also made the interaction and communication process comfortable
and also treat the consumers in a good manner. The recent time has witnessed a number of
innovations and developments in the projects which has aimed at the improvements and
simplifying the travellers experience. The company has developed a customer service
programme and which has made the company to reach the consumers easily and also solving the
problems and queries related to their concern. Moreover this programme ensures the that
everything which is needed by the consumers are to fuilfiled as quickly as possible from the
moment the travellers leave their homes and they are at the airport. Change is very much
important and significant and have both negative and positive impacts over the organizations.
The below mentioned how the International Airlines Group could respond to the changes:
There has been numerous developments and advancements in the technologies like
internet which is to be considered as one of the biggest influencing character and which created
many of the impacts on the International Airlines industry. Moreover the company This factor
has facilitated the consumers or the travellers with many of the benefits such as by making the
use of the internet the research can be done by sitting at home and also the booking of tickets,
check the special offers and other kind of services in the travelling. Moreover the airline
company has also introduced their websites and portals so as the travellers will have an easy
access over them and can make a research on the required details with an ease. The airlines has
also made available all kind of payments through the online facility (Hartmann, 2014).
Recession also has a big impact on the business environment and as a result a number of
business travellers has been minimised as the employers of the organization has introduced
cheaper ways for many of the operational activities such as the attending the meetings,
telephonic conversations web conferencing which minimised the time used in travelling and also
the money is also saved. Most of the travellers look for the budget airlines which provide them

with the affordable range for the tickets and meals within the travelling. There are a numerous of
airline and travel agents who have started using the strategies for competing in the market. They
have started using the policies which includes the changes such internet booking and consequent
growth in self packing. The use of online meeting and video conferencing has increased because
it has aided the International Airlines group in reduction of the surplus expenses and and hence
the business travellers started following the new technological trends in order to minimise the
travelling costs. It does not only helps the business corporations in saving the money but also
makes easier for the travellers to be prepared and focused because they don't need travel for long
times and get tired (Falk, J.H., and et.al., 2012). There have also changes brought up in the staff
at the airport. The company has adopted a very unique way of recruitment the human resource,
the business organization has developed a staff committee which finds the correct individuals for
the firm.
PESTLE ANALYSIS
Political factor- The changes in the government impact the airline industry as the number of
terrorist attacks the political is instability. Thus, it will make surety of safety the action taken by
the government and IAG international airline group affect from the political aspects.
Economic factor- The economic activity highly impacts the airline as the sales will be decline
and also reduction in the market share value. Therefore, it is a short time period the increase in
the market value would be increased. The IAG international is also affect when there is low
demand and huge supply as this is because that requires a huge amount of money to spend on it.
Social factor – The social factor is also impact the airline industry as the changes in the rate of
airline tickets. Especially, the lower and middle groups income not prefer the high ticket they
would like to traveller with the cheaper cost. Thus, it will highly affect the number of passengers
in the IAG international group.
Technological factor- The advancement in the technology is also impact highly as the people
are very much more concern about its safety and security while travelling. Therefore, in the
advancement in the technology gives the facility to the AIG international airline company to
check the luggage and put the CCTV cameras.

3.2 Development of strategies
There are various kinds of strategies which has been involved by the company to ensure
that the development are coming to the company in a proper way. There are various kinds of
development strategy which shall be adopted by the company for an example:-
Growth strategy:- according to this process new product or new scheme shall be introduced to
the airline company to ensure that the growth in enabling in the right direction. In this kind of
strategy, the main focus is created towards increase in the product so that a consumer satisfaction
will be achieved. When consumer shall be satisfy then company will increase its profits.
Product differentiate strategy:- according to this strategy for development different type of
product is being created that is there is lot of differentiation is to be made in the production of
any services. Such strategy shall always help in acquiring the competitive advantage.
In order to apply these strategy in a better place, it is very important that internal factors of a
company must be analysed.
It is important for the organisation to analyse all the factors that is internal factor as well as
external factor so that airline organisation do not face any kind of challenges. There are certain
challenges which are faced by the organisation while carrying out the business activities due to
this it is important for the organization to take precautionary steps regarding it. For example, it
has been seen in the airline company called International Airline that they have used various
kinds of factors as well as approaches to rectify the challenges faced by the company and to
incur development (Benckendorff and Zehrer, 2013). This strategy specifies the characteristics,
principles and roles which evaluates the external and internal factors of Travel and tourism. It is
profitable for the business to achieve goal. Hence, this strategy is used by international airline to
rectify challenges
Strength – means the positive thing to be included in the company which will raise the
profits of the company.. For an example, international Airlines are required to identify the plans
which will help in increasing the capacity of strength of the airline organisation. It is essential for
the airline organisation to evaluate the strength so that policies could be plan accordingly
Weakness – . There are various types of disadvantage which are present in a firm so it is
the responsibility of the organization to identify the disadvantage or the demerits of the
company. (Lyons, K., and et.al., 2012).

Opportunities – It is the substances which are basically used for generating profit in
business and achieving goal. There are various kinds of opportunities which are present in
market so it is the responsibility of the company like international airline to identify that what are
the opportunities present which will be inherited by international Airline. A new opportunity
helps the organization in inculcating development to give better service. For an example, if
international Airline grabs certain opportunity then various changes can be brought to the
company.
Threats – included the factor which will work as threat to the company by which
company will not be able to incurred profits.
This strategy has authority for determining the external and internal factors which helps in
establishing new goals and objectives of travel and tourism (Connell, 2013). It is important to
identify certain threats for the company so that precautionary steps could be taken in advance by
company and various initiatives can be uploaded in the company.
External Factors - in these factors the opportunities and threats are included in it. They
are used for funds, traditional,social, political economic etc..
Internal Factors – This factors consider strength and weakness of an organisation. In it
they play role on finance
SWOT ANALYSIS (British Airways)
Strength- The major strength is that the British Airways has a brand image and other is that it
has a strong online presence.
Weakness- Most of the revenue is generating from the UK country the major weakness is that
globalized economy. The adopt the collective bargaining process sometimes it will create a
problem that is it disrupt the performance and also enhance risk.
Opportunity- The British Airways can expand its business in various emerging economies and
invest in the foreign countries.
Threats- The major impact is that the British Airways competitors have a lower cost reduce the
sale. The another change in the governments interventions impact the airline industry.

3.3 Justification of strategies
There are various kinds of changes which have been observed (Nunkoo and Smith, 2014)
by the business organisation. If any company is carrying out a business then it is a very clear that
there are certain problem which a business organisation is going to face and in order to rectify
such problem certain development shall be made in regard to the activity which is being carried
out by the business organisation. Whenever a development is being inculcated in the organisation
it brings certain changes to the firm but not all the changes are good for it but it is very
necessary that the organization must adopt changes. In order to adopt these changes by the
organisation there are certain strategies which are being used by the entity for as example when
there are certain changes occurred in international Airline then many strategies have been used
by the company to receive those changes positively. The effectiveness of the strategy can be
identified as
Determining the type and its implementation- Whenever a change has seen brought in the
company then the very first strategy is to understand the nature of the change that is a full study
has to be carried out by the entity in which all the dimension of change will be covered. It is
essential for the organization is to analyse the change. If the change is not being determined by
it then necessary steps will not be taken against it. When the implementation is done and the
strategy is giving its effect then such strategy shall be justified (Sharpley and Telfer, 2014).
Establishing communication- when a better communication is being established between
the company then it is very obvious that strategy is applied to company. (Telfer and Sharpley,
2015). A communication is must step towards any activity of the organisation. for an example it
has been seen in the International Airline that when a change has to be adopted, various
communication is to be established.
Creating an environment- when ever a strategy is being applied to company the there are
certain change which can be easily seen in the company. A successful strategy shall always
change the environment of the company and bring positivty.
TASK 4
4.1 The impacts of issues and trends that drive change in the travel and tourism
The business corporation need to leave a strong impression in the minds of the consumers
are the service users. Myla Travel is a luxury service provider company in the sector of the tours

an travel which has established 10 offices in UK and also running its business activities easily in
the different regions because of its strong image, good quality of consumers services,
promotional events, tourists information and enquiry centres, and also best holiday packages than
the competitors. United kingdom's tourism sector plays a significant role in the in the growth of
the economy (Post, 2013). There are many key factors which are considered as the components
in the growth and development of the and the actual growth involves the economical,
infrastructural, and also the technological factors.
The first two factor are to be considered as the key success factors Myla travels and this
is because the hydrocarbon sector is specialized by the DTCM (Department of tourism and
commerce marketing). Moreover the company need to develop and build string marketing
strategies, skilled and qualified workforce,training sessions and development programmes for the
employees and this need to be done on a regular basis by the business corporation (Becker,
2016). The below mentioned are the impacts of the issues and the trends that has driven
changes :-
Impacts
Minimization in the tourism activities: There has been a reduction in the tourism
activities due to the improper facilities provided by the government and also by the traveller
agencies. No safety measures have been considered and implemented regarding the safety of th
travellers.
Visitors will be less: As above stated there is a reduction in the tourism activities and as
a result there will be an automatic decrease in the number of the tourists in the economy.
Economy will be less generated: Tourism provides most of the revenue to an economy
and as explained above the economy will be having less financial returns due to the reduction in
the number of the travel and related activities.
Trends
Discovering untouched destinations: Tourists are now looking forward to explore new
places along with the feeling of enjoying closer to home experience by going out of their comfort
zone it becomes evident for the tour operator agencies to develop distinct packages and to make
their packages unique as per the needs of the people. They can fulfil this step by doing online
marketing including distinct pictures of their tourist attraction.