Case Study: G Adventures - Inflation Impact and Management Plan

This report examines the impact of inflation on G Adventures, a Toronto-based travel and tourism company. It discusses how inflationary periods affect consumer behavior, leading to decreased spending on luxuries and increased price sensitivity. The report highlights the challenges G Adventures faces due to its higher-priced services and the potential shift of customers to competitors offering more affordable options. It also explores the key operations and markets of the company, the primary causes of inflation (demand-pull and cost-push), and the inflation management strategies deployed by G Adventures, linking these strategies to relevant economic models and theories. The conclusion emphasizes the growing demand for tourism globally and suggests that while inflation poses significant challenges, there are various ways to mitigate its negative effects and ensure a sustainable recovery for the travel and leisure industry. The report references academic sources to support its analysis and recommendations.

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Introduction (include a purpose of
poster)
Key operations and markets
Conclusion
Inflation management
strategies deployed (Link
this to relevant models and
theories)
Company background and overview
References
Inflationary periods and main
causes Impacts of inflations on company’s operations and
performance
People only travel when they have a lot of money to spend.
People's ability to spend on luxuries decreases as their
essential expenses rise as a result of inflation. This has a
direct effect on G adventures and most of the tourism
industry. But G adventures is a vacation service provider
whose prices are so high that the average person cannot
afford them in today's inflationary climate. As a result,
customers are price conscious and look for travel and
tourism businesses that offer comparable services at lower
prices. Their growth may suffer as a result of their
customers shifting to other travel agencies in the face of
inflation. During times of high inflation, every business
develops better strategies, and G Adventures does the
same. They plan and try to solve problems. Therefore, new
plans and their implementation consume a significant
amount of time and money.
This poster will help to give the knowledge
about company, past experience of company and
the impact of inflation. Along with this it also
determines the negative impact of inflation and
also enhance the positive impact.
G adventures company is the travel and tourism
company based in Toronto, Canada. G Adventures is a
social enterprise that pioneered adventure travel and
provides the most extensive tours to more than 100
nations across all seven continents. It was established
in 1990 by Canadian entrepreneur Bruce Poon Tip.
The time period during which inflation occurs
and prices rise rapidly this makes the difficult
for an individuals to satisfy their desires, is
known as an inflationary period. Customers
dislike this time because they have to pay more
for the same products they used to buy, and
businesses dislike it because their customer base
shrinks. Customers are forced to limit their
desires and concentrate on the essential products
as a result of inflation. The inflation rate is
measured annually and monthly. The following
are some major factors that contribute to
inflation:
• Demand pull inflation
• Cost push inflation
• Devaluation
• Increased money supply
Exploring the impact of COVID-19 on tourism:
transformational potential and implications for a
sustainable recovery of the travel and leisure
industry.
The demand and market for tourism are
rapidly expanding worldwide, making it a
significant business sector. Inflation has a
significant impact, but there are also
numerous ways to mitigate its negative
effects.
Regarding the business, it should continue
to provide high-quality services to high-
spending customers, but it should also
develop and offer cost-effective services to
the market so that medium- and high-
earning customers can use G Adventures'
services in an inflationary environment.
The failure of mass supply to match the
rise in mass demand is what causes
inflation. In order to control collective
demand, it can be controlled by increasing
the supply of services and tangible goods
while lowering earnings. One of the
measures or strategies to control inflation
in the country is examined as being
monetary policy
• Dodds, R., Ali, A. and Galaski, K., 2018. Mobilizing knowledge: Determining key elements for success
and pitfalls in developing community-based tourism. Current Issues in Tourism, 21(13), pp.1547-1568.
• Ionescu, G.H., Firoiu, D., Pirvu, R. and Vilag, R.D., 2019. The impact of ESG factors on market value
of companies from travel and tourism industry. Technological and Economic Development of
Economy, 25(5), pp.820-849.