Travel and Tourism Sector: Legal, Economic, and Political Influences

This presentation examines the travel and tourism sector, focusing on the functions of legal authorities and international agencies. It analyzes the impact of local and national economic policies on travel companies, highlighting funding and sponsorship, as well as monetary and non-monetary policies. The presentation further explores the effects of political changes in different nations, using examples from China and the UK, and discusses how political stability or instability influences tourism. It emphasizes the roles of government and political parties in supporting tourism growth, including visa liberalization and the impact of crises and unrest on the industry. The presentation draws on the resources from Desklib to provide a comprehensive understanding of the key factors shaping the travel and tourism sector.

Travel and Tourism Sector

The presentation will include the Following:
– Identifying the function of legal authorities and international
agency in travel and tourism.
– Analyzing the way local as well as national economic policies
have influence on the success of travel companies
– Effect of political change on travel companies in different
nations

Identifying the function of legal authorities and international
agency in travel and tourism.
Legal authority in the nation has significant role to plays in supporting travel
and tourism sector in UK. The main reason that travel and tourism company
is supported by government is that tourism business is contributing a lot
towards economic development of the nation. There are various
international agencies like regional tourism commission, air transportation
company and other firms operating business in nation are interested in
international tourism. Big agencies operating at global level taking high
initiatives for supporting travel and tourism industry in fostering growth and
expanding business operations. Air transportation agencies and government
bodies assisting tourism companies in increasing sustainability and
profitability. Legal authorities are developing some policies , strategies and
regulation in order to help tourism organisation in reducing the negative
effect of changes in external; factors on business operations. Legal authority
also plays essential role in the smooth functioning of travel and tourism
sector.

Function of Government
Local legal authorities- earlier the government in the country was only
accountable for the success and growth travel and tourism sector. Local
government also make their important contribution in development of
transportation which is the significant part of tourism activity.
International agencies- There are many international bodies which supports
tourism. Some of the global agencies can be sponsored by the
governments. These are generally those institutions who get funds from the
government for helping tourism companies in growth. Role of legal
authorises is to represent the interest of government in terms of allowing
the intervention of tourism sector.

CONT.
United nation world tourism organisations-It is recognised as specialise
legal authority or agency which supports tourism industry in
fostering growth. This special organisation or institution serves as an
international forum for tourism policy issues. United nation world
tourism organisations has recently planned to form partnership with
legal authority in nation and also with non government bodies in
order to practical supports as well as guidance to companies
operating in tourism sector.

Analysing the way local as well as national economic policies
have influence on the success of travel companies
Several norms , strategies and policies formulated by the legal authority
in the nation has significant and major influences on the tourism
activities. It also has a great as well as direct effect on the business
operations. The economic and social policies developed by the
government in nation plays very important role in success of
Tourism sector. There are many norms and policies are created by
the legal authority in nation for influencing the travel and tour sin
business in positive manner. For instance, one of the policy is
created by the government to keep some funds separate in order to
utilise for development of destination in order to attract more
number of travellers.

CONTD.
These financial resources are provided by government in order to
support the improvement of destinations. The economic growth of
companies as well as nation is totally based on the integration of
policies created by government. The rural and area of tourism are
being improved and enhanced by same process. This procedure has
provided the facilities of transportation that has helped company
operating in travel industry in expanding their business operations
and increasing their growth rate. It has been analysed that economic
polices have affirmative influence on the growth of travel and
tourism sector.

Policies created by Government
Funding as well as sponsorship: Financial resources are provided by
both as well privates institution. Funds are provided by government
for development of tourists places as well as destinations. Legal
authority supports tour and travel companies by develop the
strategic policies which could be used by this organisation for
exploring as well as capturing market opportunities. Government in
the nations by making strategic decision encourages tour operator
for making investment in the field of tourism industry..

CONTD.
Economic policies-Such types of policies involve both monetary and
non monetary. These policies are generally related to taxation.
Economic policies are formulated by the government for
controlling the fluctuation in exchange rates , changes in pricers etc.
These have direct as well as significant influence on the purchasing
and selling power of travel sector. For instance, legal authority in
UK has planned to decrease the exchange range, which has provided
travel companies a chance to gain transactional benefits. Objective
of legal authority behind the formation of economic policies is to
support travel companies in improving as well as maintaining their
financial performance.

Effect of political change on travel companies in different nations
Tourism industry is considered to be as very big sector. Political
changes in the country has direct as well as significant
influence on the choice of visitors related to destinations.
Political instability in the nation leads to great decline in
travelling activities , profitability and sales of product or
services offered by travel companies. In addition to this
political factors have great and important influence on the
sales as well as profitability of firm. In present scenario,
tourism has become closely implicated in political action and
activism and the reason is that tourism is now seen and used
as a tool for economic and political change.

CONTD.
China-The legal authority in china as well as political parties has
played significant role in supporting tour and travel companies in
fostering growth and achieving success. Both government and
political parties in the nation has supported organisations in
expanded their business and promoting their products or services.
These people have contributed a lot towards growth of tourism
sector .The political stability in country has provided an enterprise
to expands its market or product segments and attract more number
of travellers by providing the quality services.

CONTD.
Uk- The political growth in the nation has major as well as significant
effect on tour and travels companies. A policy formulated by legal
authority related to liberalising Visa process has allowed tour and
travel companies to foster growth .This action taken by the
government in nation has also provided firm an opportunity to
increase its sales as well as profitability. The political factor may
have counter effect on tourism sector. The unrest in country and
political instability has major influence on choice of visitors related
to selection of the destination. The unethical practices may create
threat for visitors. For example the crises in Ukraine has built
hurdles for the country in achieving growth. This has resulted in
force and unrest in the nation. The consequences' of unrest and
political instability have adverse effect on tourist and great evince
are being experience by tour operator.