Comprehensive Report: The Travel and Tourism Sector Overview

This report provides a comprehensive analysis of the travel and tourism sector, examining its historical developments, structure, and the influence of local and national governments and international agencies. It delves into key aspects such as the structure of the travel and tourism sector, including various services like tourism services, accommodation, and travel services. The report identifies the functions of authorities, government-sponsored bodies, and global agencies within the industry, highlighting their roles in supporting tourism companies and promoting destinations. Furthermore, it analyzes the impact of domestic and national policies on the success of the tourism industry, including economic and political factors, and explores how tourism supply has changed to meet the effects of demand. The report also evaluates the economic, environmental, and social impacts of tourism and discusses strategies to minimize adverse effects, providing a well-rounded overview of the sector's complexities and dynamics.

: The Travel and Tourism Sector

Table of Contents
INTRODUCTION...........................................................................................................................4
Lo1...................................................................................................................................................4
1.1 Key historical developments in travel and tourism...............................................................4
1.2 Structure of travel and tourism sector...................................................................................5
Lo 2..................................................................................................................................................5
2.1 Identifying the function of authorities, government-sponsored bodies and global agencies
in travel and tourism ...................................................................................................................5
2.2 Analysing the way domestic as well as national policies have effect on the success of
tourism industry..........................................................................................................................6
2.3 Understanding the implications of political change on the travel and tourism sector in
different countries.......................................................................................................................7
LO3 .................................................................................................................................................7
3.1 factors affecting tourism demand.........................................................................................7
3.2 Analysing the way supply has changed to meet the effects of demand...............................8
4.1 Evaluating the positive and negative economic, environmental and social impacts of
tourism ........................................................................................................................................8
4.2 Strategies which can be utilised for minimising the adverse effect .....................................9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Travel and tourism is considered to be as the large service industry in United Kingdom.
The purpose of tourism sector is to promote destination as well as develop and encourage people
to travel. Since , last few decades there has been tremendous changes has taken place . It has
been also analysed that tourism sector is growing at very rapid rate with the support of
government. The Untried nation and china is considered to be as the eighth biggest tourist
destination. Country has able to attract the visitors and positively influence them to visit United
kingdom or Britain with the assistance of tourism company.
The purpose of report is to analyse the history as well as structure of tourism industry. It
also has focus developing the understanding about the influence of local and national
governments and international agencies on the travel and tourism industry.
Lo1
1.1 Key historical developments in travel and tourism
In the present era, the industry of travel and tourism is growing very rapidly with the
context of changing expectation and human behaviour. From the year 1945, growth can be
observed in this specific industry. There are various people who spends their precious time by
visiting different place, in this phase expectations of consumer from travel and tourism industry
is not only for travelling and transportation of goods now it is all about comfort with enjoy. From
the year 1960 it has been observed raise in free time, long trips are avoided and with respect to
UK there is more growth of per capita income and tour packages are usually offered by various
organizations (Camilleri, 2018).
Different segments of industry are giving huge impact on the formation of industry of
tourism. The new entrants are giving best packages which is giving positive effect on every
customer and basically these packages are more customer oriented. The demand of customer is
getting fulfilled by these new entrants. The structure of travel is getting classified with different
diversification such as :
Finance and accounts : All the issues related to finance are occupied in this segment and
top level management takes appropriate decisions.
Human resources : This segment includes all the employees who performs task with
context of attaining objectives and goals.

Distributors : All the outsiders who are involved in business marketing, distributors for
extracting more business in the organization.
Sales and marketing : The products and services which are marketed by employees and
consist of sales team, strategies etc.
Administration and IT : Employees who are involved in day to day activities and for
technical issue such as troubleshoot problems in the organization (Heslinga, Groote and Vanclay,
2018).
1.2 Structure of travel and tourism sector
There are different services involved in this sector which are described as follows :
Tourism service : The tourism services consists of different activities such as travelling,
accommodation, hospitalised services, hotel stay and many more in this same series.
Accommodation services : It generally includes those services which are directly related to the
customer who are staying outside with proper food arrangement.
Travel service : The travel service consists of services related to migration of there customer
from one place to another like services with context of bus, train, car, vessel, aircraft etc. are
considered here.
Events and conference : The industry of tourism also comprises different activities with respect
to transport but along with this various hospitalised service sector also.
Collaborating public and private sector : The organization with context of tourism sector frames
joint venture for providing adequate services with different business associates so it can be
imparted from there customers,

There are different services involved in this sector which are described as follows :

 Travel service : The travel service consists of services related to migration of there
customer from one place to another like services with context of bus, train, car, vessel,
aircraft etc. are considered here.
 Events and conference : The industry of tourism also comprises different activities with
respect to transport but along with this various hospitalised service sector also.
 Collaborating public and private sector : The organization with context of tourism sector
frames joint venture for providing adequate services with different business associates so
it can be imparted from there customers,
 Passport : The passport of every traveller has been checked by them and they will be
giving help to every customer in context of giving visa in very efficient and guidance for
legal manner (Cooper, 2018).

Lo 2
2.1 Identifying the function of authorities, government-sponsored bodies and global agencies in
travel and tourism
The legal authority in the country places very crucial as well as supportive role in
supporting the companies operating in tourism sector in expanding the business. There are few
governmental as well as private institutions are helping the tourism sector in fostering the
growth. Some of global organisation such as international Air transportation, regional tourism
governing body are providing tourism sector financial assistance to organisation operating in
travel industry. Both government as well as non – government agencies by sponsoring the tour
supporting the travel enterprises in attracting more number of visitors. Such institutions as well
as companies are helping Tourism sector in promoting the products or services and also
generating the awareness about destination.
The significant role of government is to develop as well as implement the beneficial
monetary policies and assist travel companies in fulfilling their needs of financial resources.
Another function of legal authority in nation is to make investment in developing the
infrastructure of travel organisations and also invest in improving the destinations
(Litvin, Goldsmith and Pan, 2008). It is the duty of government to support as well as prevent
firms operating in tourism sector from unfair completions with other sector.
The function of legal authority in country is to execute small as well as big projects for
supporting business entities in fostering business. Role of government is to promote sustainable
policies. The major purpose of facilitating big projects is to support travel enterprise in to
increase the energy skilfulness as well as renewing energy utilisation of small and medium
travel organisation.
The function of travel and tourism industry is provide resources and other technical
assistance to travel enterprise in order to allow them to deliver additional facilities or services to
customers. Role of legal authority in nation is to help visit Britain companies in generating new
business opportunities (Molz,2012.). Function of government is to support tourism company in
developing the plan , formulation of plan for attracting more number of customers.
In addition to the government, other institution such as Visit Britain is supporting the
travel industry. The function of this authority is to increase the value of inbound tourism.

2.2 Analysing the way domestic as well as national policies have effect on the success of tourism
industry.
The policies as well as law formulated by the legal authority in the nation has direct as
well as significant effect on tourism business. Economic policies are generally implemented by
the government in the country with the motive of supporting business entities in gaining the tax
advantage. Policies designed as well as enforced by the government in the nation has major
effect on the business strategies , system and operations. It also has direct as well significant
influence on the various decision taken by management.
The effect or influence of different policies on tourism business are :
Economic development- The economic policies implemented by the government has direct as
well as positive impact on the economic growth of nation which has further influence on the
profitability of travel organisation (Jackson,2008). In context of United kingdom, the monetary
policies enforced by legal authority has helped in development of rural tourism. These types of
policies also have great influence on the budget as well as financial plan of travel organisation.
It also has direct as well as important effect on the investment decision made by the
management of travel organisation.
2.3 Understanding the implications of political change on the travel and tourism sector in
different countries
In United kingdom tourism sector has made the major as well as significant contribution
towards the economic growth of nation and generation of employment for people in the country.
Therefore , Political parties in United kingdom is supporting the tourism sector in fostering
growth and expanding business. The policies as well as regulation formed by the political parties
in the nations are liberal for an organisation operating in tourism sector. It has been analysed
that the during the time of Brexit has resulted into the political instability in country
(Christou, Sigala and Gretzel,2012.). This factor has great and long lasting as well as negative
effect on the tourism business. Unfavourable political condition in nation has resulted into the
great decline in sales as well as profitability of business entities.
LO3
3.1 factors affecting tourism demand
There are several constituents which have direct as well as significant effect on the
demand for the products or services offered by travel companies .These are:

Economic variables- Income of an individual, price of goods or services, tax rate, economic
crisis in the country has direct as well as major effect on the demand for the tourism products or
services.
Political factors- These variables have direct impact on the choice of destination by tourist.
Unfavourable political condition in the nation restrict the visitors to travel or visit at specific
place. In addition to the situation of wars increases the threat to life of people.
Environmental factors- It includes the climatic condition and risk of natural disasters at specific
destination. Such types of variables might restrict the firm from delivering the services , products
or other facility to tourist (Carver and Byrd, 2008).
3.2 Analysing the way supply has changed to meet the effects of demand
Tourism supply can be defined as those tasks which include products or services which
are produced by the travel companies in order to care the needs of visitors or tourist. Manager in
TUI enterprise has created some plan as well as appropriate strategies for building strong supply
chain network. Business entity has bought the positiver change in the supply chain management
system :
Transportation: TUI company has form the partnership with organisation in
transportation sector. This partnership has been created with the purpose of enabling tourist to
travel from one place to other. Business entity has taken initiative to prove cost effective
transportation facilities to visitors or tourist.
Accommodation : The different types of accommodation facilities such as lodge , hotel
are being provided by TUI to visitors or tourist (Middleton and Clarke, 2012.). An organisation
is also offering luxury meal to tourist. All the services as well as facilities are provided by travel
companies with the purpose of influencing people to spend more time at specific destination.
Recreational activity- Travel organisation such as TUI is providing the unique tour
packages for attracting the people. Business entity has enter into a partnership with other private
organisation or tour operators in order to conduct the recreational activity at destination. The
objective of executing recreation activity is to provide memorable experience to tourist and
motivate people to make frequent visits.
LO4

4.1 Evaluating the positive and negative economic, environmental and social impacts of tourism
Manager in the TUI company has formulated as well as implemented several strategies
for reducing the increase the positive impact as well as minimise the negative effect.
Economic : It has been analysed that tourism sector in United kingdom is contributing a lot
towards economic development of nation. Tourism sector has provided the major income source
to government as well as other people.
The negative effect is sudden rise in prices of products or services.
Socio-cultural: The positive effect is that it has helped in the promotion of culture as well as
destination. It has encouraged people to improve their living standard. Tourism sector in United
kingdom has contributed a lot towards generation of employment opportunities for domestic
people. But at the same time.
Environmental: increase in tourism has adverse effect on the culture. Inflow of tourist in large
volume can lead to the air or water pollution. Positive impact of tourism is that it lead to proper
infrastructure transportation are made so that one place can be linked with other.
4.2 Strategies which can be utilised for minimising the adverse effect
The business operation of TUI company has positive as well as negative impact.
Therefore, for creating balance as minimizing counter effect ans increasing positive impacts, the
manager in an organisation can formulate different strategies , these are :
Determining the needs as well as demand of tourist:
It is necessary for company to analyse as well as develop the understanding about
interests of visitors towards tourist destination. As this strategy will help marketing manager in
identifying new ways of attracting and encouraging them at higher level. It will help business
entity in increasing the demand for products or services (Litvin, Goldsmith and Pan, 2008).
Thus, identifying tourists' requirements and their interests will be effective for maximizing its
positive impact at higher level,
Action oriented strategies:
For negative impact of changes in social and economic factors on United kingdom and
china tourists destinations, it is needed to formulate or change strategies which are action
oriented. In which, cost required to incur, time consumed for project plan and workers and

guides' performances are recognised (Puzakova, Kwak and Rocereto, 2009). It will be helpful
for increasing attraction of visitors and rising its effectiveness at maximal level.
Adverting destinations:
IT is required by TUI company to utilise the new marketing or promotional techniques.
Business entity can use the online platform for promoting products or services. As this strategy
will assist business entity in reaching to the wide number of customers.
 Adopting new technologies:
As per analysing recent market trend, it is required for both Spain and Thailand
destinations to adopt new technologies for facilitating services to its traveller. Likewise,
technology will help in improving efficiency and quality of services at supreme level. Similarly,
it will remain easy for business entity to communicate directly with customers and make them
aware about new creativity in its services (Mehmetoglu,2014). Implementation of new
technologies will be efficient for reducing technological issues and able to maximize tourists'
attraction towards destination.
Hence, by following on above mentioned strategies will be effective for increasing
number of visitors and improving efficiency of United kingdom and China destinations.
Including this, it will be beneficial as well as important for an organisation to adopt the
appropriate techniques for maintaining the balance between demand and supply of services.
Therefore, negative impacts of environmental factors can be reduced as well positive impact will
increase effectively.
CONCLUSION
From the assignment it has been concluded that there are the several external factors
which has direct as well as significant impact on the demand for tourism products or
services .Mainly social , economic and environmental constituent have influence on both
demand and supply of products or services. It has also been concluded that there has been major
changes as well as rapid growth has taken place in tourism sector since last few decades. Study
has successfully defined the role of government in travel and tourism sector. It has highlighted
the impact of tourism on the nation .

The project has provided the several techniques or plans which can be used by an
enterprise for increasing the positive impact and reducing the negative erffect.
REFERENCES
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