Travel and Tourism Sector Report

This report provides a detailed analysis of the travel and tourism sector, focusing on the TUI group. It examines the historical development of the sector, its current structure, the influence of government policies, and the impact of tourism on host communities and the environment. The report also analyzes factors affecting the supply and demand of tourism, including political, economic, social, and technological factors. Case studies of Thailand and Spain illustrate the positive and negative impacts of tourism. The report concludes with recommendations for maximizing positive impacts and minimizing negative ones, emphasizing sustainable tourism practices.

THE TRAVEL AND TOURISM SECTOR
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TABLE OF CONTENTS
INTRODUCTION ...............................................................................................................................3
1.1....................................................................................................................................................4
1.2....................................................................................................................................................5
TASK 2 ................................................................................................................................................7
TASK 3 ..............................................................................................................................................14
3.1..................................................................................................................................................14
3.2..................................................................................................................................................15
TASK 4...............................................................................................................................................16
4.1..................................................................................................................................................16
4.2..................................................................................................................................................17
CONCLUSIONS................................................................................................................................18
References..........................................................................................................................................19
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INTRODUCTION
Travel and tourism sector offers effectual touristy services for people which includes
entertainment and transport facilities (Carrier and Macleod, 2012). Individuals visit diverse places
for different purpose that includes leisure, Business and entertainment objectives. It gives pleasure
to individual when they get involved in activities for exploring new places. Present report is based
on TUI which is a leading tour service provider company of the nation. The venture has been
ranked number one in tourism business and operations of company are located in diverse parts of
world. The report describes about historical developments in travel and tourism sector and structure
of tourism sector also has been described. In addition to this functions of government, state
sponsored bodies and international agencies in tourism sector has been explained. Furthermore
influence of local and national policies on success of travel and tourism sector has been mentioned.
Moreover various factors that affect supply and demand in tourism sector has also been described in
the report.
TASK 1
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1.1
Many historical developments have taken place in travel and tourism sector which supported
in improving the structure if this industry (Chon, 2013). People prefer to visit the places for leisure,
entertainment ,business and other reasons. Tourism is highest growing sector which is offering
employment to large number of people across the world. Activities in this industry are greatly
affected by various external and internal factors that includes political, economical, social and
environmental elements. Many countries of world offer travel services to local and foreign people
and significant development has been made in the industry as per the demand of people. During
phase of pre historic times people use to travel in search of food, employment and safety reasons.
The major basic needs of people during starting phase of civilization were related to gain food and
place to live (Ballantyne and Packer, 2013). With time requirement of people changed and they
started exploring new places for diverse reasons.
(Source- Fletcher, 2014)
Some people travelled in diverse geographical locations for finding better opportunity for
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doing trade and business. Education was also a significant element which motivated people to
explore new places and people for gaining new knowledge and skills. Some people gave preference
to visiting new places for spiritual and religious viewpoint (Middleton and Clarke, 2012). When
industrial revolution started production activities started increasing and many small scale and large
scale industries started growing. People started moving from one place to another in search of
employment and better job opportunities.
Due to industrial revolution economy of various countries started growing and purchasing parity of
people increased. Individuals started exploring new places for spending their money and for gaining
leisure and entertainment. Many tour operating companies started growing in company that use to
provide services to people in travel and tourism sector (Swarbrooke and Horner, 2012). After world
war second globalization of industries started and trade among diverse countries started which gave
risen to business related meetings among various enterprises. Nowadays technology has mage
tremendous improvements in travel and tourism industry and online platform and social networking
sites offer effective medium for gaining information about various tourist destinations.
1.2
Travel and tourism industry offers medium ton people for doing entertainment, spending
leisure time with family and friends and to travel for diverse business objectives. Various elements
are included which combine together to form structure of travel and tourism sector (Theobald,
2013). Wide range of services offered by tour operating companies, accommodations and transport
facilities offered by various travel provider organizations also formulated structure of travel
industry. Travel agents, holiday packages provider companies and personal tour operators also
provide services to people which aids in making structure of this sector.
The major elements which contribute towards making structure of this industry includes
transportation facility available for a particular tourist destination. Id effective and well managed
services will be provided to visitors than it will become easier for them to explore new places and
more number of people will become capable for enjoying the travel services (Ryan, Ninov and Aziz,
2012). Accommodation and catering services offered in a tourist destinations also aids in making
the structure of tourism sector. They are significant elements and it is vital that appropriate and
impelling catering services should be provided to consumers by TUI group. It will support in
gaining consumer loyalty and more number of people will prefer to avail the services offered by the
enterprise. In addition to this services offered by travel agents and tour operators aids in rendering
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better customer services to business clients (Becker, 2016).
TUI group offers various holiday packages and other travel services which aids in enhancing
profitability of business. Moreover information and details rendered to customers about various
tourism destinations also aids in gaining more visitors. When clients will be made aware about the
attractive travel destinations and various locations available in a particular tour destination then it
becomes easier to gain attraction of more number of clients (Brandon-Jones, Lewis and Walsman,
2016). Tour operators, travel agents, accommodation and catering services, transportation facilities
available for a place and attractive tourism destinations are some significant element that aids up in
making structure of travel and tour industry. When effective and superior class services will be
offered to visitors than then they will give preference for revisiting the place. It is also vital that
necessary modifications should be made in the services rendered by a tour company so that
requirement of clients should be satisfied and their loyalty should be achieved. Many people are
involved in providing travel services to visitors and positive efforts given by these individuals aids
in providing potent services to business clients (TUI, 2016). Various elements combine together for
making structure of tourism industry and it is vital that all this elements should be considered while
making policies for tour companies (Buckley, 2012). It is vital that impelling accommodation and
travelling facilities are offered to people and with that it is also assertive that effective transportation
services should also be provided. It will support individuals in exploring tourism destinations in
easier and efficient manner. Transportation services includes air, rail and road transport and many
tour operating firms include all these facilities in their tour packages. It supports in providing the
visitors a combined package in which all the facilities are offered to them at a reasonable price.
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TASK 2
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Political changes happening in a nation also affects the working of travel and tourism sector
and major operations of industry gets influenced by it. Political changes and alteration happening in
one country also affects the tourism business of another country. Tourists give preferences to places
where political situations of a nation are stable and protective and safe environment is provided to
them. Many policies are formed by government of a country which aids in regulating the working
of travel sector. If political situations of a country will be unstable and unsafe people will avoid
visiting the place and overall tourism business of nation will be affected due to it. If political
conditions of a state will not be good than a negative image of will be created in mind of tourists
and they will avoid visiting the place (Crouch, 2012). For example due to terrorist activities
happening in India and Pakistan tourism sector of these nations is highly affected. Tourist from
foreign nations are avoiding to visit both the countries for safety concerns. It shows that political
situations of a country affects overall operations of tourism sector.
UK government has formed diverse effective policies for encouraging Chinese tourists to
visit the nation. It supported in increasing number of Chinese tourists in the country and tourism
sector observed a positive growth in terms of profitability and revenue. Political conditions of UK
are stable and positive initiatives have been taken by government of state for motivating tourists to
visit the nation (Prebežac and et.al., 2016). Chinese tourists contribute £ 500 million revenues to
UK government and it supports in enhancing financial revenues of government. Moreover due to
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effective policies framed by the government of UK aided in Chinese visitors in the company by
112%. it shows that positive initiatives taken by government of state will support in ensuring
growth and success of tourism industry of nation (Navickas and Malakauskaite, 2015). Some
countries of world where political situations are not good tourism activities are also reduced in such
countries. Visa policies formed by government of nation also affects the tourism activities and it is
vital that effective and easier policies should be formed by state for ensuring growth of travel sector.
Stable political conditions of a nation aids in providing safe and protective environment to visitors
and it aids in enhancing number of tourists in the country.
TASK 3
3.1
Diverse factors affect tourism demand in the travel industry and it is vital that all this
elements should be considered for making strategies for ensuring growth of business. TUI group is
leading tour operator of the world (Page, 2014). Travel industry is facing intense competition and
challenges and due to it it becomes assertive that superior quality services should be provided to
clients for gaining sustainable competitive advantage. Large number of factors affect the demands
and supply of tourism industry and it is vital that all these factors should be considered while
delivering services to business clients of organization. Economical factors affect the purchasing
parity of individuals and due to it travel demands in industry also gets affected (Mariani and et.al.,
2014). When inflation hits the nation people prefers to save money for meeting the challenges
arising due to the high rate of economy. Diverse political factors also affects the demand and supply
in tourism factors. Policies and regulatory frameworks are formulated by government of a nation
and it is vital for all the visitors and tourism service providers to comply with laws and policies
formed by state.
Changes in political situations affects the revenues and growth of travel industry and visitors
prefer to travel in country where political situations are stable. Demographic factors also influence
the tourism industry and attractive beaches and natural locations attract large number of tourists that
aids in gaining more revenues for travel companies (John and Susan, 2015). Technological factors
comes in the category of significant element that aids in making improvement in the travel industry.
Advancements and innovations came in tourism industry makes it easier for doing brand
promotions and selling services of tour companies. Many electronic gadgets like computers,
television , smart phones and tablets had made it easier to book services in travel industry and large
number of people are making use of advanced technology (Mariani and et.al., 2014). In addition to
this behaviour of consumers and services provide by tour operator also influences the demand and
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supply in the tourism sector. Preferences shown by clients for visiting a place and financial and
purchasing power of clients also affects the demand in tourism industry.
3.2
Tourism industry is facing intense competition and it is vital that effective services should be
provided by tour operator companies for meeting the challenges imposed by diverse factors.
Competitive advantage can be gained by TUI group by rendering effective and superior services to
consumers. It will aid in enhancing profitability and financial revenues of business and customer
loyalty can also be gained by adopting all this procedures (Mowforth and Munt, 2015). Various
positive initiatives have been taken by TUI group for meeting the demands and supply so that
quality services can be delivered to clients as per their needs.
Project department has made effective strategies and policies for selling their products and
services to their business clients. A training session has been organized for staff members for
imparting effective communication skills to the staff members. It aided in making improvements in
productivity of employees (Hall, 2013). This has helped in making positive improvements in
personality of staff members and customer service executives have became capable for rendering
effective services to tourists. Modifications have been done in the organizational structure and
culture and it has assisted in meeting the demands that have been imposed by tourism industry.
Some additional features have been added in the tour packages offered by the enterprise and new
and attractive discount schemes also have been started by venture.
Various impelling holiday packages have been added in the services that includes family
holiday, club holiday and nature’s holiday packages (Dupeyras and MacCallum, 2013). It aided in
providing more number of options for consumers. Large numbers of tourists are availing services
offered by TUI group and due to it profitability of business is also getting improved. It is vital that
consumers should be made aware about diverse services offered by TUI group and for achieving
this objective marketing department has formulated attractive marketing policies. Attractive and eye
catching advertisements are published in newspapers and magazines that supports in enhancing
brand awareness about services of the venture (Crouch, 2012). Use of social media platforms is also
taken for rendering information to clients about diverse services offered by tour operating company.
Regular pictures and information about tour packages offered by TUI group are uploaded on social
sites which aids in enhancing consumer awareness. Seasonal discount schemes are also offered by
enterprise which aids in selling holiday packages of enterprise to large number of visitors. TUI
group is also planning to expand its operations in multiple locations of country so that more number
of people can be offered services of the group.
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TASK 4
4.1
Various economic, social and environmental impacts of tourism are observed and positive
and negative influences occurs due to it. Tourism activities are affected due to many elements and
external environment of country gets affected due to it. Overall delivery of services and tourism
activities are affected (Ghimire, 2013). Diverse positive and negative impacts of tourism activities
on different travel destinations is as follows-
Thailand: - It is considered as top rated tourist attraction and every year large number of
tourists visit the place. Most visited places include Railay Beach, Koh Phi Phi, Pai, Sukhothai old
city and Ayutthaya. All the destinations are visited by millions of people and it aids in supporting
economy of nation. These tour destinations are liked by people who prefer to travel historical places
and ancient structures (Hudson and Thal, 2013). Monuments and old edifices depicts long history
and culture of Buddhist devotions. All the structure shows reflection of ancient civilization and
culture and attracts people for visiting the places. Government of country has formulated various
legal policies for managing the tourism activities in the country. It is mandatory for all the tour
services companies and external visitors to comply with policies and laws of country.
Local community people are also getting benefited from the tourism activities and many
small businesses have been started by people around tourism destinations (Mowforth and Munt,
2015). Many tour operating companies are providing services and due to it employment
opportunities are getting created for people living in nearby societies. Economy of the nation is also
growing and taxes imposed by state on tourism sector aiding in enhancing financial revenues for
government. Due to increase in tourism activities many negative environmental effects have also
been observed. Pollution level is rising and a waste thrown by tourists at beaches and other tourist
destinations is affecting the natural beauty of these tourism sites. Health of local community people
is also getting affected and some other negative influences are also observed (Prebež and et.al.,
2016). From above it can be concluded that tourism services offered by TUI group has supported in
making improvement in economy and social environment but some negative impacts also have been
observed that includes pollutions and harm to ancient monuments.
Spain: - The country is known for its natural areas, historic sites and cultural places. TUI
tour operating firm is rendering services in the country in an effective manner. Company give
preference to hiring local people for executing its business operations and it has supported in
providing jobs to many individuals (Navickas and Malakauskaite, 2015). Many branches of TUI
have been opened and due to this it has become easier for tourists to avail services and tour
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packages offered by the enterprise. Many large business corporations are giving preference for
organizing their important business meetings in country and due to it many offers have been
received enterprise for arranging conferences and seminars for various enterprises. Local people are
also getting benefited by increasing tourism activities in the country and many small business have
been started by people to support travel and tourism industry.
Heritage and cultural sites of nation are famous among tourists and for conserving them
effective legislative policies have been formulated by government of country. Many competitive
tour operating firms are providing services in country and due to it intense competition has been
created in the travel industry (Mariani and et.al., 2014). It has created challenge for TUI group to
make necessary improvements in services provided by it. Some cultural sites have been harmed due
to unfair activities done by people who visited the sites. Natural beaches and other travel
destinations are also getting affected due to increase in wastes and other pollutants. From above it
can be concluded that diverse positive and negative impacts have been observed due to tourism
services offered by TUI group in Spain.
4.2
TUI group offers superior quality tour operating services to people and various negative and
positive impacts have been observed on economic, social and environmental aspects due to it. It is
vital that positive impacts should be maximized and negative impacts should be minimized for
ensuring long term growth and success of business. Various strategies and action plan can be
formulated by TUI group for minimizing the negative impacts and increasing the positive impacts.
Thailand :- TUI group has supported in making positive changes in economy by increasing travel
activities in country (Discover our world, 2016). Government is getting huge revenues by tax
imposed on travel industry and economy of nation is observing positive growth rate (Lee and et.al.,
2013). Employment opportunities has been created and for making increment in them more
branches of TUI can be opened so that more number of people can be given jobs. Company can do
partnership with local hotels and restaurants and other tour operating companies for making
improvements in services provided by them (John and Susan, 2015). Use of social networking sites
and other websites can be taken for making people aware about significance of cultural monuments.
It will aid in gaining support of visitors for conserving the ancient civilization of nation.
Spain :- Tourism activities have supported in bringing positive changes in economic, social and
environmental elements. Some negative impacts also have been observed and some effective
strategies can be formulated for minimizing the impacts of negative effects. Advertisements can be
published in local newspapers and magazines for requesting people to not harm the beaches and
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other natural tourism destinations (Hudson and Thal, 2013). Street meetings can be organized with
local community people and they should be made aware about harmful effects of pollutions. In
addition to these electronic equipments such as CCTV cameras and other gadgets can be implanted
for monitoring the tourist’s sites. It will support in conserving the heritage sites and more tourists
can be attracted for visiting the tourist’s destinations. Local authorities can be requested for making
effective policies for punishing people who gets involved in different activities to pollute the
surrounding environment. All this methods will support in minimizing the negative impacts
occurring due to diverse tourism activities operated by TUI group. Tie ups can be done with many
business firms for organizing their seminars, conferences and meetings. It will aid in making
positive improvements in economy of nation.
CONCLUSIONS
Summing up the present report it can be concluded that TUI group can use a strategic
approach for providing effective tourism services to their business clients. Enterprise offers services
in various tourist destinations and many positive and negative impacts have been observed due to
tourism activities offered by the venture. Effective strategies formulated by project department will
support in maximizing the positive impacts and reducing the negative ones. It is vital that policies
formulated by government should be properly followed for managing the operations of business in
effective manner. It is vital that all the heritage sites and cultural monuments should be preserved
and protected so that many number of tourists can enjoy by travelling there. Local community
people and foreign tourists can be made aware about the travel packages by making use of social
networking sites and online platform. It will support in doing cost effective advertisement and
awareness about holiday packages of enterprise can also be created by making use of this technique.
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Online
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October, 2016].
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