The Future of Tourism: TUI's Sustainability Agenda & Challenges

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This report provides an overview of TUI, a leading tourism organization, and its approach to sustainability. It outlines TUI's vision, short and long-term goals, and the importance of customer satisfaction. The report identifies operational issues such as waste management and lack of planning, and their impact on the environment and CSR. It highlights TUI's strategic plans for market and product development, including adding value to existing offers and entering new markets. The analysis concludes that by developing and implementing strategic development plans, TUI can overcome critical challenges and enhance its financial performance while promoting ethical and sustainable practices. Desklib offers a wealth of resources for students, including solved assignments and past papers.
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THE CHALLENGE OF THE FUTURE OF TOURISM INCORPORATING
SUSTAINABILITY AGENDA
INTRODUCTION
Tourism industry falls under the list of leading sectors in the business world, as it
concentrated on conducting sustainable and ethical business practices that play vital
role in its growth. The current assignment will be based on TUI, which falls under the
category of top tourism brands in the chosen sector. The study will explain
organizational overview, short & long term goals, vision statement, problems and
their impact on environment as well as CSR activities of company. Furthermore,
lastly the report will also specify strategic plan of TUI in form of product and market
development.
Overview-
TUI is one of the best and most successful tourism organizations in the UK, as it has
power to retain consumers and enhance their satisfactory level, which is quite
essential for any company to do that. The group of firm encompasses more than 400
successful hotels in which candidate’s efforts to provide or offer satisfactory services
to all guest whether they are existing or new. It was known as top British leisure
travel group in the United Kingdom, that had strong and wide workforce, among
which each player is able to achieve strategic aim and objective of hotel. It operates
its venture activities across national boundaries and within many nations such as
Poland, Denmark, Sweden, Netherlands, etc. which in turn contributes to increase its
profitability and enhance productivity. The management of chosen firm operates their
all the functions in term of monitoring operational activities from Germany as the
main headquarter.
Long term goals-
To conduct sustainable or environmental sustainability
practices in the next 5 years.
To increase profitability by 50% within 3 years.
To enter into new market and build strong brand
image at global level within 4 years.
To generate 50% revenue within 5 years.
Stating vision of TUI and organizational value that support
vision statement- The mission of chosen company, is to become
a sustainable brand while managing and running venture into
tourism sector, which in turn provide several benefits to its
stakeholders. As each stakeholder conduct multiple attempts to
make organization successful and productive. Under this vision
statement, it may take initiative to add more values in the context
of current product and service portfolio. For example, it values
consumer satisfaction and place that in list of organizational
priorities at top, which is important and beneficial for company
and its management to do that (Renshaw, Parry and Dickmann,
2020). It may aid to achieve strategic vision and provide varied
benefits in bulk, beyond the expectations of each stakeholder
such as workers, investors, suppliers, consumers, governmental
bodies, etc. It may concentrate on create and providing
unforgettable moments to target market along with considering
corporate social responsibility as CSR concept into consideration.
It can be said that TUI is mindful of significance of tourism and
travel for varied nations in the world, and individual living there.
It partners with each nation's and aid shape their future in a
sustainable and committed way that bring more benefits for them
more than now.
Outlining the past operations of TUI that aid to achieve vision- Customer
service management operation- This operation may aid organization, to gain
benefits in term of aim achievement that play significant role in its success
within competitive business environment. With this section, TUI may take
initiative to retain potential consumers and acquire new as well, who are
capable to conduct word of mouth promotion that help to reach organization
at desire outcome. It may contribute in varied terms such as to increase
customer base. With this operation firm may provide satisfactory services to
customers on time without conducting too many efforts to retain them.
Inbound operations-Under this term, firm may have conduct strategic
activities internally in term of making a tour package with the help of skilled
and experience workforce, among which each candidate is able to understand
target market needs (Smith and Srinivas, 2019). For example, organization is
accountable to make possible arrangement for all the guest, that came into its
outlet or firm to take pleasure of their holiday, which give them unforgettable
experience and memories in bulk.
Stating 5 aims of company including short and long term aims-
Short term aims-
To enhance consumer satisfaction and build wide customer base by 50%
within 2 years.
To gain competitive advantages in bulk within 1 year.
To become a competitive brand in tourism industry within 2 years.
To gain competitive advantages in bulk within 1 year.
It also includes more operational activities, that management may utilize to
obtain expect outcome and take pleasure of obtaining in turn benefits of it.
Human resource management is the best example of inbound operation that
aid firm to take pleasure of and gaining key advantages of obtaining
competitive benefits.
Managing marketing and Quality-It is one of those past operations that TUI
has and utilize successfully to achieve vision and mission, which is important
and beneficial for it to do that systematically (Almeida and Pelissari, 2019).
For instance, it may conduct marketing activities with skilled marketers and
team of players, among which each member is capable to develop the best
advertising plans that aid to gain attention of more guest and in turn support to
increase customer base of TUI than its rivals.
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Current operational issues and impact of operations on environment and CSR
activities of TUI with Examples-Too much waste is one of those operational
issues that put negative impact on sustainable progress & success of chosen
company. It may lead to increase stress and decrease organizational performance.
For example, without saving food and other items, organization may face challenge
managing waste, which may affect consumer’s satisfaction (Moradi and
Aminbeidokhti, 2019). This term is related to sustainable concept such as CSR, that
put a lot of pressure on management to deal with that by taking right action.
Another operational issue is lack of planning, which lead to decrease sales, and
loss success chances. Along with obtaining success, still firm may have loopholes
that put direct impact on its venture or brand image and current practices
negatively. All these two issues are related to further sustainability as it may put
company and its management under high stress.
With product development, TUI may focus on market development
technique as well that refer to Ansoff's growth matrix model,
which encompasses four different types of strategies that varied
companies in the recent time has been utilized. Like above one, it
may also drive the concentrate and effort to management toward
developing plan and creating tactic to enter into new market where,
success and business growth factors accessible in bulk (Yang and
Hsu, 2019). It can be said that market development strategy in turn
provide multiple benefit to user in term of increasing profits
margin and enlarge organizational size as well as scope that is
important for them to do that systematically and appropriately
(Benabdellah and et.al., 2021).
Stating plans of TUI in term of market and product
development- In order to gain benefits in term of sustaining
business forever in productive manner, TUI may conduct strategic
practices. For example, it may concentrate on specific approaches
such as product and market development. According to first
approach, TUI may take action to develop strategic plan about
offering a new product or making possible changes in current one.
It may drive its attention toward adding value added services in
existing offers that aid to retain and acquire potential consumers,
among which each customer is able to increase organizational
productivity more than other brand (de Oliveira and Caetano,
2019).
According to this approach, it may take decision to add value in
accommodation services and products such as discount offers that
aid to increase sales as number of guest are taking interest to retain
with brand when it may provide valuable services along with items
CONCLUSION
On the basis of above discussion, it has been identified that by developing
strategic development plan, organization has overcome the critical situation.
As it has deals major challenges that put negative impact on its venture growth
and success in the tourism industry, where it has established its business and
operated each operation successfully. Furthermore, from above analysis, it has
been concluded that market and product development strategies
implementation in return increased organizational financial performance and
generated more revenue than last few eras.
REFERENCES
Almeida, G. S. D. and Pelissari, A. S., 2019. Customer Satisfaction based on
the attributes of accommodation services. Revista Brasileira de Pesquisa em
Turismo. 13. pp.32-53.
Benabdellah, A.C and et.al., 2021. Design for the environment: An ontology‐
based knowledge management model for green product development.
Business Strategy and the Environment. 30(8). pp.4037-4053.
de Oliveira, D.S. and Caetano, M., 2019. Market strategy development and
innovation to strengthen consumer-based equity: The case of Brazilian
airlines. Journal of Air Transport Management. 75. pp.103-110.
Li, M and et.al., 2021. A systematic review of AI technology-based service
encounters: Implications for hospitality and tourism operations. International
Journal of Hospitality Management. 95. p.102930.
Moradi, S. and Aminbeidokhti, A. A., 2019. The education system and a ten-
year lack of an operational model for evaluating the performance of the board
of trustee's schools from the perspective of school-based management system.
Journal of Management and Planning In Educational System. 12(1). pp.101-
124.
Ndu, E. C., 2021. REEGENINEERING THE NIGERIAN TOURISM
INDUSTRY FOR SUSTAINABILITY: THE SYSTEMIC OPERATIONS
MANAGENEMENT PERSPECTIVE. GPH-International Journal of
Business Management (IJBM). 4(04). pp.40-54.
Renshaw, P. S. J., Parry, E. and Dickmann, M., 2020. The organizational value
of international assignments–the relational underpinning. The International
Journal of Human Resource Management. 32(1). pp.106-146.
Smith, D. and Srinivas, S., 2019. A simulation-based evaluation of warehouse
check-in strategies for improving inbound logistics operations. Simulation
Modelling Practice and Theory. 94. pp.303-320.
Sombultawee, K. and Boon-itt, S., 2019. Marketing operations alignment: A
systematic literature and citation network analysis review. Kasetsart Journal
of Social Sciences. 40(1). pp.225-234.
Yang, C. L. and Hsu, H. K., 2019. Optimized new product development
strategy. International Journal of Organizational Innovation (Online). 12(1).
pp.110-121.
Organizational operations as stated above and others may put negative impact on
environment in term of increasing land pollution, when organization may do not
reduce extent to which resource wastage happen. It may put same impact on
corporate social responsibility activities as well. Furthermore, the operations of TUI
may put positive impact on both term in term of eliminating the factors or reasons
behind any form of pollution such as air, land and water as well as noise. It may aid
to prevent environment from harmful factors that affect sustainability and natural
beauty of environment. Marketing operation may put positive impact on CSR
activities of company in term of promoting ethical and sustainable practices of TUI
that aid to gain the attention of sustainable stakeholders (Sombultawee and Boon-itt,
2019). It may lead to increase organizational performance and productivity as well as
operational efficiency more than other tourism brands, successfully that is important.
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