Contemporary Issues in Travel and Tourism

This report delves into the contemporary issues impacting the travel and tourism sector, using the Thomas Cook Group as a case study. It examines the effects of technological advancements, security concerns, currency fluctuations, and recessions on the industry. The report also analyzes the impact of political unrest and environmental issues on tourism destinations like the UK. Furthermore, it explores strategies for International Airline Groups to respond to market changes, including marketing mix and SWOT analysis. The report concludes by discussing the consequences of ignoring changes in the business environment and emphasizes the importance of adapting to meet customer needs and achieve business objectives.

Contemporary Issues
In Travel And
Tourism

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1................................................................................................................................................1
1.2................................................................................................................................................2
TASK 2 ...........................................................................................................................................4
TASK 3..........................................................................................................................................12
3.1..............................................................................................................................................12
3.2 .............................................................................................................................................13
3.3..............................................................................................................................................14
TASK 4..........................................................................................................................................15
4.1..............................................................................................................................................15
4.2..............................................................................................................................................16
CONCLUSION ..........................................................................................................................17
REFERENCES..............................................................................................................................18

INTRODUCTION
In this report readers cab get the knowledge about the contemporary issues which are
faced by travel and tourism sector. It also has been mentioned that to which extent these issues
affects this industry and how the companies working in these sectors respond to such changes.
Some key issues and their solutions are thoroughly investigated in this report. Some current
trends and their analysis justifies the position of travel and tourism industry(Moutinho, 2011).
This report is based on the case study of Thomas cook group, which is a British global travel
company, which is also listed on London Stock Exchange. This group owns a wide number of
tour operators and airlines which operates at United kingdom, Scandinavia and Belgium. Its also
owning and operating Condor which is scheduled airline and it owns a website for the booking of
hotels, that is Hotels4u. Maya travel agency and Thomas cook group are now making some
alterations in these promotional strategies so as to mould themselves as per the issues and trends.
TASK 1
1.1
Travel and tourism industry is a very big industry in itself it is not only limited with the
services as well as it also deals in selling products. Demand for tourism of a country can be
considered as the supply for the other country(Spenceley, 2012). This industry is generating a
high part of governments revenue. Travel and tourism is a very fast growing industry and it
covers various services through which revenue is divided among several industries. As in this
sectors various companies are providing different services to their customers. Some of the issues
which are driving changes in this industry and their impact on the companies which are working
in this sector is explained below : Advancements in technology (security and anti-terrorism measures) : Terrorism is a fact
which always makes adverse impact over the tourism sector. Terrorists groups wants to
make barriers in the development of certain countries. And tourism industry is a sector
where they can attack over people of different countries through a single attack.
Terrorism has made many social impacts over travel and tourism industries(Evans,
Stonehouse and Campbelln 2012). Companies working in such industries like Thomas
cook group has implemented better security systems in providing those services so that
they can prevent these kind of unethical interventions (Wachowiak, 2016). Through the
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advancement of technology related to security system prevention against terrorism is
easy(Sharpley and Stone2010). Currency fluctuations : Currency fluctuations is a factor which impacts the travel and
tourism sector in a strong way. Fluctuation in currency is nothing but the increase and
decrease in value of currency. These fluctuations keeps going on daily basis which gives
rise to a situation in which the currency value of one country may gets stronger than the
other country and vice-versa. Because of this reason tourists gets confused about the
countries where they want to travel as if the value of currency of other country is higher
than the value of currency of his own country then it will be not affordable for him to
travel their with convenience(Morgan, Pritchard and Pride 2011).
 Recessions : Recession affects every industry. Their are a number of service provider
which depends on travel and tourism sector. Further some industries which are providing
products related with travel and tourism they are also depends on it. Recession can bring
worst impact over travel and tourism as well as other industries which are dependent on
it(Connell, 2013).
1.2
United Kingdom is a very famous place among the tourists from around the world. UK
has several destinations which can be visited by tourists. As per a survey, UK is a destination
which is highly praised by the tourists from all over the world. On the other UK is considered
affordable and interesting as compared with other countries hosting tourism. Tourists can easily
get their services and they are economical also. Political factors such as tourism policies and
security policies plays a vital role in tourism of United Kingdom. Now a days entities working
travel and tourism sector are using various methods which are assisting these entities in
providing better services to their customer(Lyons, and et.al., 2012). This encourages tourism in
UK, Firstly because tourists chooses UK as their tourism destination because of its soothing
environment. Secondly UK government and Thomas cook group has implemented certain
technical measures to fight with terrorism which gives the feel of security to the tourists. There
are two contemporary issues which is faced this industry and these are mentioned below : Security issues : Political unrest in countries like North Africa and some parts of Middle
East is becoming reason for increased terrorism in these countries. Terrorism affects the
industry of travel and tourism very badly. Countries like Egypt, Jordan, and Lebanon is
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facing political unrest and instability. These factors has developed terrorism in these
countries, because of this tourists from across the world feels insecure in travelling these
countries. As Egypt is very famous for its heritage like Pyramids which are the centre of
attraction for all the tourists. Hence the government of Egypt should implement such
policies and they should take severe steps against terrorism so that society and tourists
feels safe in Egypt as well as destinations like pyramids can be safely maintained. Further
incident of Sharm-el-Sheikh, causes the loss of 8% in foreign tourism receipts and 0.56%
loss in GDP (Dickinson, Lumsdon, and Robbins 2011).
 Environmental issues : Environment is one of the most important factor which affects the
travel and tourism sector in a significant manner. Tourism and travel industry needs to
maintain infrastructural facility for tourists which causes water pollution. Further vehicles
are used for travelling purpose which causes air pollution. Developing infrastructure
leads to adverse affect over the local people who are residing there. The management of
Thomas cook group should develop such policies and technology so that these factors can
be removed.
TASK 2
3

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Scott,Peetersand Gössling,2010
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Scott,Peetersand Gössling,2010
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