Analysis of Tour Operations Management: LCB Tours, HND Report

This report focuses on tour operations management, addressing key aspects of the tourism industry. It begins by outlining the importance of tour operation management and its role in the tourism sector, emphasizing its impact on the economy. The report then details the stages involved in developing a holiday, including market research, planning, contracting, costing, and promotion. It explores different types of contracts used, such as fixed contracts, allocations, and ad-hoc arrangements. A key component of the report involves the calculation of a holiday's selling price, providing a breakdown of costs and profit margins. Finally, the report concludes with a summary of the key findings and references.

TOUR OPERATION
MANAGEMENT
Task 2

COVER CONTENT
 INTRODUCTION
 STAGES AND TIMESCALES IN DEVELOPING HOLIDAY
 SUITABILITY OF CONTRACTING FOR COMPONENTS
 CALCULATION OF THE SELLING PRICE OF A HOLIDAY
 CONCLUSION
 REFERENCES

INTRODUCTION
 Tour operation management is an important aspect of tourism sector. It
helps travel agency to manage costumers, create packages, etc. to gain
full insight into travel business.
 Tourism sectors plays a vital role in development of economy and
generates full amount of income to sustain nation.

STAGES AND TIMESCALES IN
DEVELOPING HOLIDAY
 Some stages which are involved in developing holidays are as follows
 Market research
 Planning and scheduling
 Contracting
 Costing the holiday
 Financial evaluation and pricing
 Creating the brochure
 Advertising:
 Operation and execution
 Developing a tour market plan
 Post tour management

SUITABILITY OF CONTRACTING FOR
COMPONENTS
 In this, LCB uses some contracts which are as stated below:
 Fixed contract: Under this section, company is bounded with fixed
contract in which they have to provide all services which are assigned.
 Allocation: Under this contract, seat number and rooms are allotted in
advanced to tourists.
 Ad-hoc: This contract is considered by LCB which helps them to
resolve certain issues and problems.

CALCULATION OF THE SELLING PRICE
OF A HOLIDAY
Details Price(in £)
Accommodation cost 9000
Transportation cost 11200
Charges of tour guide 945
Total cost 21145
Add: Profit margin @ 33% 6977.8
Sale price 28122.5

CONCLUSION

REFERENCES