Analysis of Tourism Supply and Demand in London: A Report

This report provides an overview of the tourism sector in London, analyzing the factors that influence tourism demand, including economic conditions, security concerns, and changing consumer preferences. It examines the tourism supply, including transportation, accommodation, and security measures, and how the supply has adapted to meet the changing demands of tourists. The report discusses how London manages its tourism supply, from blending luxury and budget accommodations to improving transportation infrastructure. It also highlights the impact of seasonality and the rise of eco-tourism, and how these factors necessitate changes in supply. The conclusion summarizes key findings and offers recommendations for the government, such as improving security measures and promoting eco-friendly practices. The report references various sources to support its analysis.

TASK 3
(Travel and Tourism sector)

Content
 Factor affecting tourism demand in London
 Tourism supply
 How tourism supply managed in London
 How supply has changed to meet the tourism demand in
London.
 Conclusion
 Recommendation

Introduction
• This PPT will provide overall information regarding the
conditions which are prevailing in the tourism
environment of London.
• It will also depict the ways with the help of which tourism
demand in London can be met.

Factor affecting tourism demands
• The changing economic condition like recession and
inflation which leads to cause direct impact upon
customers income.
• Threat to the life of individual.
• Change in the tastes and preference of buyers with respect
to the type of travel.

3.1 Factors effecting tourism in
London
 Travel and tourism is one of the fastest growing sectors across the world. With
the increasing popularity of several tourist destinations there are various factors
which also affects the tourism. It can be positive as well as negative.
 London is a travel and tourism destination for domestic and international
visitors. Travel service providers are considered as a common factor which
affects the tourism in London.
 They need to provide better services followed with some of most attractive
offers so that visitor’s base can be increased effectively. Increase in inbound
tourists to London is one of the most common factors which affect the whole
tourism of country.
 Inbound tourists come here to get better value for their money. London is the
most popular place to visit where 15.3 million visitors spent time in the capital.
These tourists mostly come to UK for spending their holiday.

Cont.… Natural disasters as well as terrorism is comes under the negative factor which can
have a big effect on tourism. In the year of 2011 due to the ash clouds several
flights to be cancelled or delayed.
 It has covered a huge loss within the tourism as well as airline industries. On the
other hand, terrorist attacks are another major factor due to which whole tourism of
London can be affected.
 The London bombing in the year of 2005 have made a safety and security issues for
tourists. In 2011, two U.S. airlines were hijacked and intentionally crashed into the
World Trade Centre building in New York. Due to these type of most common
terrorist attacks visitors might get afraid to go for such places and it highly
decreases the overall sales of tourism industry.
 In addition to this, there are some other and most common negative impacts arising
out of travel and tourism activities are in relation with pollution such as noise
pollution. It caused to residents under flight paths to airports to overcrowding at
transport hubs and the need to improve the infrastructure.

Cont.… There is several scope and chances of increasing employment but
salary and wages are low. It covers the negative aspect of country
within the area of tourism.
 There are various aspects which other factors which also effect the
tourism industry of the London as the exchange rate differs from
country to country.
 As the culture is diverse and different in the countries as the people
have their set beliefs and attributes which they follow in order to
maintain their cultural dimensions.
 There are many restrictions which are imposed in order to ensure the
safety and the security of the tourist so that they feel comfortable in
visiting country and increasing the tourism industry.
 The rates of the various facilities are at their peak which is affecting
the tourism of London at the grater extend as all the facilities are quite
expensive and cannot be entitled with all the personnel's.

Tourism supply
 Transportation facility
 High security for the tourist
 Availability of good hotels within country.

How tourism supply managed in
London
• Blend of both luxury to economic hotel: Government of
London meets the all type of tourists who will be able to
afford high class services from those who are not able to
afford the high class services.
• Good transportation facility: In London people can choose
any mean for travel such as bus, train and air etc.

3.2 How supply has changed to meet the effects of
demand for tourism related products and services in
London
The whole relationship between price and how much of goods and services is
supplied to the market is known as the supply relationship. The supply of country
can be easily changed as per the needs and demands of visitors. At the time of
changing seasons, consumers and guest’s demands are also changing. Due to this,
government of London is requiring to promote some of the best services as per
the current season. In the season of summers they can promote their water
tourism such as different water sports etc. As per the changing seasonality
London needs to change their supply as well. In case of demand of eco-tourism
due to the increase noise pollution etc. most of the service providers need to carry
out the different strategies which promote eco-tourism. They can supply all those
products which do not contains high amount of waste and dispose as well. In this
way, it can be stated that supply has to be changed in order to meet the effects of
demand for tourism related products and services in London. Service providers
need to carry out various services as per the requirements of their guests.

Cont.…
The number of airports are increases and the facilities provided by
this is increased to a great extent. This in turn, resulted in
increased the supply of tourism products and services in London.
Moreover, the rail transports also improve its service qualities so
as to promote the tourism sector. In addition to it, European cities
are permitted to operate in the market without getting visa.
Further, the number of hotels and universities are also increased
that helps in attracting tourists for further studies. Thus, all this
factors cause promoting the tourists by availing better services to
them.

Conclusion
 It can be concluded from the whole report that by assessing
the demand of travellers, government of nation can perform
significant changes in its pattern of attracting tourists.
 By improving the transportation system, nation can maintain
the satisfaction of its travellers.