This report provides a comprehensive analysis of tour operations management, focusing on the activities of LCB Tours. It defines various contracts made by tour operators with suppliers, including fixed contracts and allocation agreements, and explains the stages involved in developing a holiday package, from market research and planning to operation and post-tour management. The report details the calculation of selling prices, emphasizing the use of marginal pricing. It also discusses the role of regulatory bodies such as ABTA and CAA. The report includes a case study involving a travel package to Paris with the Marriott hotel, offering insights into the practical application of tour operation principles. The conclusion stresses the importance of careful holiday package design and accurate selling price calculations to ensure profitability.