TUI Plc: Business Environment Report - Technology, Innovation, and CSR

This report provides a comprehensive analysis of TUI Plc's business environment, focusing on the impact of technology and innovation on sales, growth, and profitability. It examines how digital marketing platforms and search engine optimization contribute to TUI's success in the travel and tourism industry. The report also explores TUI's Corporate Social Responsibility (CSR) strategies and initiatives, highlighting their importance in terms of brand building, cost savings, marketing effectiveness, and employee motivation. The analysis covers various aspects, from the use of social media and mobile applications to the impact of CSR on brand reputation and consumer engagement, offering insights into TUI's strategic approach to business operations and market competitiveness. The report emphasizes the role of innovation in driving productivity and meeting consumer demands, while also addressing the significance of leadership and management in implementing effective CSR practices.

Business Environment - TUI Plc

Table of Contents
INTRODUCTION...........................................................................................................................2
TASK 1............................................................................................................................................2
Impact of technology and innovation and its influence on sales, growth & profits of
organization.................................................................................................................................2
TASK 2............................................................................................................................................6
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Innovation is the strategic process through which a business organisation can increase the
overall value that its manufactured products provide to the consumers in the public markets.
Innovation is of immense importance for a business organisation as innovation can help the
business gain a competitive advantage against its competitors and aid the business organisation’s
effort to grow and develop its business operations towards increased success in the consumer
markets (Advantage, 2020). This report analyses the innovation operations of TUI, which is a
leisure travel business organisation that was founded in 2007 and operates from its headquarters
in England, UK. TUI specialises in providing leisure travelling and tourism services to the
customers and operates in the travel and tourism industry. TUI also has grown on in the travel
and tourism industries to possess five European airlines currently, making TUI the possess the
largest holiday fleet in the entire Europe.
TASK 1
Impact of technology and innovation and its influence on sales, growth & profits of organization
TUI Plc is one of the leading and most popular travel and tourism organizations in the
world; they provide the best quality services to visitors and their potential consumers which in
return increase their sales and profitability rather than before. Along with this key element, there
are a lot of more components or factors are available in business world that contribute to increase
profit margin and revenue of company rather than before.
It can be said that technology is one of the biggest elements that enhance performance
level of staff even better and improve business practices in effective manner. Technologies
related to marketing activities always put positive impacts on profits, progress and sales of TUI
Plc. In recent time, due to advancement and development of digital marketing tools organizations
in specific sector grow more and more. For example, with the help of social media as computer
based marketing technology, organization reach at international level where by gaining attention
of new customers they can increase sales more than existing players (Seo and Park, 2018). This
technology helps to generate brand awareness in target segment, where many people seek to
obtain better services. After generating awareness in market, company can drive potential people

or travel lovers towards their services purchase, which turn into increasing profitability and
productivity level.
There are ranges of several ways that social media operations can be examined using
technology (Abdurrahim, Najib and Djohar, 2019). When TUI use this factor as marketing
technology and create a well designed page to generate awareness, management in return
generate more revenue when they are successful in their aim. Most of people use it as
communication tool, but organization can use it as profit making technique which is useful and
beneficial in term of increasing sales and reaching business at global level.
This technology facilitates sharing information and offers through building of virtual
communities and networks. By designing social media sites or is pages firm can easily gain
attention of people and can also communicate with them. Technologies runs human lives in
current period, individual become so dependent on technology around them, ranging from tablets
and smart phones to computers and laptops that they cannot seem to function within it. Not long
ago, buyers had to drive to varied outlets to compare prices and find out a service or product.
Emails, websites and applications will effectively help to increase profit and sales of company.
For instance, mobile app is one of the most popular technologies in whole world; many
consumers use this to get information about travel or tour package as well as accommodation
services.
Along with above technology, search engines also considered as advanced technology
that helps to increase overall business growth and profitability. It is web based technology that
enables consumers to TUI and other people who seek to obtain to locate data on World Wide
Web. Organization marketing team can create a page on most popular search engines like
Google and Yahoo, where by providing all information about its business and consumers
satisfaction services can drive people towards them which is quite beneficial in terms of
increasing profit and others things. It makes finding easier for travel lovers and travellers who
love to enjoy their lives by gather information and experience beauty of nature. After gathering
data about TUI services designed especially for consumers, individual drive towards them. It can
be said that search engine optimization is a powerful and effective way to drive consumers and
rank without paying for advertisement while SEM in activity of marketing TUI Plc business and
services through search engines to enhance conversions.

Above two technologies are related to marketing which help group of workers to be more
efficient in acquisition and retention of travellers. For example, by utilizing LinkedIn and
Facebook advertisement to target a particular target market, company can tailor their marketing
message to that specific persona; enhancing business opportunities of engagement. Furthermore,
it analysed that business or marketing technologies aids company to improve their
communication procedures and it will make consumers happy. Firm by using technologies for
marketing purpose and other can increase their sales and profitability. By reaching target market
company can retain as well as attract people who are able to pay after obtaining appropriate
satisfaction and also promote business which is also beneficial in every aspects.
TUI being one of the best company within hospitality and tourism industry aims to bring
on diverse paradigms of innovation among business avenues where the new technology and
various innovation goals are widely strong onto new productivity levels along with analysis of
best consumer preferences. Innovation has become one of the best metrics within functional
goals where high synergy of operational advancement has been widely growing on with new
functional efficiency and development of wide innovation among business paradigms (Hall and
Williams,2019).
 TUI uses various digital marketing platforms and new high-tech machines for stronger
innovative promotional goals within businesses and to harness creativity among diverse
goals and yielding onto new levels scenarios. There has been various new innovative
roles analysed with wider continuous efficiency demanded among consumer preferences
where there are wider demands to pool on new profit goals, wider goals of promotion
synergy and wider functional advancement within the marketing fundamentals. The
marketing factors of hospitality and tourism company has been widely growing to bring
on rapid development , new quest for wider technical promotional scale services
(Martínez-Pérez Elche and García-Villaverde, 2019).
 The innovation impact within TUI company sales, productivity within growth and
businesses can be analysed onto metrics where wider new digital marketing is focused
and sued to reach global customers and for regaining stronger demands among business
avenues where there is wide demands. There is high leverage focus onto how best media
tools are used on platforms such as YouTube, Facebook and various other social media

channels to promote wider goals and technical exploration among business avenues.
There has been wide rise coming on among global commercial clients for booking their
holidays within TUI company services, which enables us to analyse how wide growth
and new keen synergy of innovation is most important within competitive business
world.
 There is new working synergy formed when innovation is strong among company levels
and also there are many communicative platforms for consumers from global
hemispheres which makes wider technical reach within development. This has been
profoundly impacting TUI marketing with latest marketing techniques for profoundly
impacting new reflective wider innovation demands where it has become one of the
latest brand for reaching wider consumers within various factors of services and widely
also developing new end goals of structured marketing. Impacts of innovation has been
strongly focusing among competitive world within hospitality industry where there are
wide new innovation channels coming on through which brand aims to be one of the best
bran offering best innovative, fast, creative services and for widely growing onto
consumer demands within best determinants onto new synergy goals.
These can be understood as best parameters of growth functional roles within business
growth and margins of productivity within TUI management, leverage new quest goals of
stronger functional marketing channels along with reflective demands of consumers from world
levels. People have been easily able to contact with company services, website access for
booking their travels and stays based on their preferences and wider demands onto which new
synergy operations can be formulated for long term functional development. The TUI company
has been widely also gaining stronger space among business avenues demands for best
consumer services and larger demands among consumers world where there is always demand
for new functional demands and high technical development within various goals and
operations. There has been various levels of new innovation marketing channels coming on
among business levels within the TUI business demands where there has been functional
demands onto new relative goals and wider functional demands.

TASK 2
TUI’s leadership and management have designed and created a dedicated Corporate
Social Responsibility strategies and initiatives for the business organisation to achieve in order to
become more responsible for the operations and functions conducted by TUI. The CSR strategies
and initiatives of TUI are of immense importance for the following reasons:
 Brand: One of the most important and major significance that CSR initiatives of TUI
have is that they showcase the travel and tourism business organisation to the public in a
positive limelight, highlighting to the consumers that TUI brand is a responsible business
organisation that not exclusively cares for generating profits and effectively servicing the
needs, requirements and needs of their customers, but the brand of TUI is also
responsible towards improving and enhancing the overall social lifestyle and addressing
the social problems that are present in the local societies of their customers (Wang and
et.al., 2016). Such CSR initiatives are important because they showcase the business
organisation to the public in a positive limelight, allowing for the business organisation to
possess increased brand awareness, value and reputation metrics, which also provides
TUI with a competitive advantage against their competitors in the travel and tourism
industry and makes it significantly easier for the business organisation to acquire new
customers as a direct result of their increased brand awareness, reputation and value
metrics.
 Cost Savings: As the CSR initiatives require TUI to make the most optimum and
efficient use of their available organisational resources in order for the business
organisation to reduce its losses and operational wastages, in an effort to decrease the
negative impact that the business’s operations have on the external environment, this
results in TUI being able to conduct its operations much more efficiently, allowing for
the business organisation to save organisational resources that would we wasted if not for
their CSR initiatives and decrease the overall operational costs of the operations and
functions of TUI, making the operations of the business organisation much more
profitable in the consumer markets.
 Marketing: The CSR initiatives of TUI are also important as they are consistently
showcased in magazines and online articles, showing that the business organisation is
trying its best to reduce the negative impact that the operations of the business

organisation can have on the external environments. This allows for the business
organisation and its products and services to be marketed to a very large section of the
population, at no additional costs. As the consumers get to know of the operations and
functions of TUI through their CSR initiatives, this increases their interest in TUI and its
manufactured services, in order to engage in a financial transaction with the business
organisation (Wang and Sarkis, 2017). This enhanced marketing is highly beneficial for
TUI as through its CSR operations, it becomes easier for the business organisation to
acquire new customers in the external travel and tourism industries and conduct their
operations in a successful manner.
 Employee Motivation: The CSR initiatives and strategies of TUI are also highly
important and significant as these allow for the business’s employees and workforce to
operate with increased motivation and job satisfaction metrics, as the employees know
that their individual operations and functions within TUI all contribute towards the CSR
initiatives of the business organisation where they help towards addressing the most
important social issues and problems in the external environments, many of which were
created in part due to the contribution of TUI’s operations. This allows for the employees
of TUI to have high motivation and job satisfaction attributes, allowing for them to
conduct their daily operations in a much more productive and standardised manner.
 Competitive Advantage: Another major significance of CSR initiatives and strategies
within TUI relate to the ability of such initiatives and strategies to provide TUI with a
sustained competitive advantage against their perceived rival business organisations
within the travel and tourism industry of UK. This competitive advantage is of immense
importance for TUI as through such a competitive advantage, the business organisation
can easily increase its overall customers serviced in the consumer markets, increase its
operational productivity through which its overall profit margins can also be effectively
improved and enhanced (Maqbool and Zameer, 2018). The competitive advantage
provided to TUI on account of their CSR initiatives and strategies contributes immensely
towards the business organisationachieving its overall mission, objectives and vision
within the travel and tourism industry.
Carroll’s Model of CSR

Though the current CSR initiatives and strategies of TUI within the travel and tourism
industry are satisfactory, its CSR strategies and in initiatives can be further improved and
enhanced in order to effectively make the operations of the business organisation more socially
accountable. This can be done by applying the strategic Carroll’s pyramid model of Corporate
Social Responsibility, which includes 4 main elements on the external society, which TUI has to
be accountable towards as part of their CSR initiatives to be increasingly productive and
successful. The four elements of the Carroll’s pyramid model of CSR are as follows:
 Economic Responsibility: As per the Carroll’s model of CSR, TUI’s CSR strategies and
initiatives are required to make the businessorganisation responsible for the products and
services that it manufactures within the travel and tourism industry of UK, with these
manufactured goods and services of TUI being capable of providing the customers of UK
with increased levels of value in addition to satisfying their consumer needs and
requirements (Freeman and Dmytriyev, 2017). Only when the CSR initiatives of TUI
incorporate their economic responsibility can the operations of the business organising
become sustainable for the future.
 Legal Responsibility:The Carroll’s model of CSR also holds TUI responsible towards all
the legally mandated regulations and legislations that business organization is mandated
to adhere to by the governing authorities of UK. The operations of TUI can be sustainable
for the future only when the business organisation embraces its legal responsibilities.
 Ethical Responsibility:Another major component of the Carroll’s CSR model relates to
the business organisation TUI eliminating all operational process and practices of the
business that might be deemed as unethical or immoral (Adnan, Hay and van Staden,

2018). All operational practices of TUI that cannot satisfy the moral and ethical
requirements and expectations of their customers in the travel and tourism industry are
required to be eliminated from TUI’s, in order for their business operations to become
sustainable for the future.
 Philanthropic Responsibility: The final responsibility of TUI as per the Carroll’s model
of CSR relates to the philanthropic responsibility of TUI towards the local communities
in which the business organization operates in. TUI is required to provide and donate
financial resources, community services to the citizens that are part of the
underprivileged sections of the UK population.
CONCLUSION
The report in detail concludes various aspects of business environment within
competitive global industry where there are various paradigms within tourism and hospitality
industry, in which functioning of TUI company is explained. The report at the first task has
concluded how innovation and technology has become one of the most important integral part
within TUI functional goals and new reflective business scenario, This can be understood further
with conclusion of how impacts within growth, profit and sales of company structure has been
progressively growing among company services and higher consumers goodwill goals. Report
also analyses various aspects of CSR, social responsibility factors where TUI company aims to
bring on new gaols and wider functional demands within new functional goals. Report also
concludes Archie Carroll’s (1991) CSR model and how it has concluded to be one of the best
innovative model for technical development, exploration of new scales services and strong
business positioning elements within goodwill metrics (Sigala, Rahimi and Thelwall, 2019).

REFERENCES
Book and Journals
Abdurrahim, M.S., Najib, M. and Djohar, S., 2019. Development of aisas model to see the effect
of tourism destination in social media. Jurnal Aplikasi Manajemen. 17(1). pp.133-143.
Adnan, S.M., Hay, D. and van Staden, C.J., 2018. The influence of culture and corporate
governance on corporate social responsibility disclosure: A cross country analysis.
Journal of Cleaner Production.198. pp.820-832.
Advantage, C., 2020. Corporate Social Responsibility. CSR and Socially Responsible Investing
Strategies in Transitioning and Emerging Economies, p.65.
Freeman, R.E. and Dmytriyev, S., 2017. Corporate social responsibility and stakeholder theory:
Learning from each other. Symphonya. Emerging Issues in Management. (1). pp.7-15.
Hall, C. M. and Williams, A. M., 2019. Tourism and innovation. Routledge.
Maqbool, S. and Zameer, M.N., 2018. Corporate social responsibility and financial performance:
An empirical analysis of Indian banks. Future Business Journal.4(1). pp.84-93.
Martínez-Pérez, Á., Elche, D. and García-Villaverde, P.M., 2019. From diversity of
interorganizational relationships to radical innovation in tourism destination: The role of
knowledge exploration. Journal of destination marketing & management, 11, pp.80-88.
Seo, E.J. and Park, J.W., 2018. A study on the effects of social media marketing activities on
brand equity and customer response in the airline industry. Journal of Air Transport
Management. 66. pp.36-41.
Sigala, M., Rahimi, R. and Thelwall, M., 2019. Big Data and Innovation in Tourism, Travel, and
Hospitality. Springer.
Wang, H. and et.al., 2016. Corporate social responsibility: An overview and new research
directions: Thematic issue on corporate social responsibility.
Wang, Z. and Sarkis, J., 2017. Corporate social responsibility governance, outcomes, and
financial performance. Journal of Cleaner Production.162. pp.1607-1616.