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Travel and
TourismSector
UK COLLEGE OF
BUSINESS AND
COMPUTING
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Submitted by NICOLETA MIHAELA
BELET
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INTRODUCTION
The main function of this industry is to offer best destination to the tourists and it
basically provides relaxation and recreational services to the customers (Burns and Novelli,
2008). The travel and tourism business is probably to make an important aid to global economic
development in the present era. Many of the nations have acquired much of benefit from tourism
industry as it has helped a lot to enhance its GDP and have created increased employment
opportunities in the nation. Travel and Tourism industry it is one of the fastest growing industries
in recent years, earlier this sector was not given much of importance but due to changing global
situations it has attained a lot of recognition.Travel is one of the industries that provide
employment to various types of people.
Many of the studies have shown that the UK travelling industry has grown with a swift
pace and it has helped to increase the inflow of cash in the country (Deuschl, 2006). In this
context, the present report depicts detailed information about this industry and states in the
historic development of travel and tourism. The environmental, economic and social influence of
tourism has been mentioned in this report.
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TASK 1
1.1 Explain the key historical developments in the travel and tourism sector
Travel and tourism is considered as the global phenomenon that inexplicably massive
infrastructure and its significance is evident from the fact that it consistently impacts the culture,
politics, society and the economic level. There relies a complex, worldwide structure, which is
dedicated to contended precise need of groups, society and individual. Since, beginning of this
industry, it depicts several views ranging from the actual approval of its future growth for
enrichment of self acquisition with communal belief that impacts on the systematic
environmental issues (Martin, 2013).
Tourism is significantly adapted to focus on the nature and is implied by growth and
development in the information and communication technology sector. The economic growth of
tourism in UK is aligned with a strong probable growth that has been included with competitive
pricing and retransformation in the industrial sector.
The growing proposition of technology and other different stages for promotion of tourism are
reaching far ahead and it does not implies the general rules of stated by different economic
conditions.
The data provided by World Tourism Organization states that by the year 2020 arrival of
tourists all around the global world will increase by 200% (Market research for the travel and
tourism industry, 2013). Travel and tourism has become a highly competitive industry and it is
now prominently driven with different innovations, technology and science. The transformations
in the international and external environment also impacts on the performance of this industry
and its associated companies i.e. restaurant, hotel and many more. This industry massively adds
on development of economic condition of a nation and it helps in diverse destinations to offer
wisdom to different tourists about culture and beauty of a country. A major transformation in the
industry has been noticed due to advancement in the technological sector and it requires adopting
the changes, as it helps for the growth aspect of a nation.
At British Museum we can see the exhibition of:
Life and death--Pompeii and Herculaneum--28 March 29 September 2013
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( british museum)
Gold bracelet in the form of a coiled snake, 1st Century AD, Roman, Pompeii
( british museum)
Fragment of a wall painting showing a man reclining to drink. From Pompeii, 1st
century AD( british museum)
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Wall painting of the baker Terentius Neo and his wife. From the House of Terentius
Neo, Pompeii. AD 5079( british museum)
Carbonised wooden cradle. From the House of M.P.P.Granianus, Herculaneum, 1st
century AD( british museum)
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Relief with Bacchus and followers, marble wall panel, From the House of the
Dionysiac Reliefs, Herculaneum, 1st century AD( british museum)
Satyr and maenads, marble wall panel, From the House of the Dionysiac Reliefs,Herculaneum, 1st century AD( british museum)
Plaster cast of a dog. From the House of Orpheus, Pompeii, AD 79 ( british museum)
Mosaic of a guard dog. From the House of Orpheus, Pompeii, 1st century AD
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( british museum)
Numerous kinds of changes have been noticed in this industry, one of the prominent changes is
that nowadays as people have less time so uses the facility of internet in order to book the tickets
and make reservations in hotel. (Mawforth and Munt, 2008). Many developing nations are
actively seeking to participate in the international tourism facility and a range of services are
needed so as to enhance economic condition as well as provide employment opportunities to the
residents. It also helps the government of a nation to generate maximum revenue as the industry
facilities to maintain a healthy relationship with other nations and minimize the line of poverty
and develop in economical and social conditions (The History of British Tourism, 2006).
1.2 Explain the structure of the travel and tourism sector
This sector is one of the most prominent sectors and has grown swiftly after the Second World
War and provides an employment opportunity to more than 2.1 million people. It is majorly
classified into two diverse aspects one is travel and other is tourism and both possess different
functions and by providing effective service customers can be retained for long term in both the
industry (Manente, 2000). Near about a similar structure is being followed in both the industry as
mentioned below;
Regulatory bodies The different regulatory bodies that operate in diverse functions in
this industry are the governing or regulatory bodies. The regulatory bodies areresponsible to offer in brief information about the travel and tourism to the customers.
Certain regulatory bodies of UK are Association of UK travel agents and Civil Aviation
Authority.
Industry players There are numerous industry players who are directly or indirectly
involved in the business operations of travel and tourism sector.
Distributors They are the suppliers who deliver in the products and services and are
responsible for every kind of service to the visitors while travelling. Distributors in travel
and tourism industry are the people like travel suppliers, agents, organizations and hotels
that provide in service on the internet (Market research for the travel and tourism
industry, 2013).
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Public body There are different companies in this sector and are liable to offer service
in numerous areas and are related to media, culture and other transportation activities.
Travel and tourism industry serves guests with a range of products and services and it
operates in a precise set structure, which is valid to understand prior to cater needs of individuals.
This industry basically covers wide range of organizations within it and is divided into different
sectors according to the set skills and work involved (Marvell and Hayward, 2005).
TASK 2
2.1 Analyse the function of government, government- sponsored bodies and international
agencies in travel and tourism
This sector is given much of significance by the government of nation as well because it
is considered as a major source of revenue through foreign exchange earnings and tax revenue
and due to its multiple impacts that can provide opportunities in economic and local development
of country (Zhang, Chong, and Jenkins, 2002). The tourism industry sector is a product and
service oriented industry that acquires widespread benefit and effects on the society and
economy. The govt. of UK plays a crucial role in enhancement of this industry and the defined
roles of local as well as international government are as follows;
Safety for tourists It becomes the duty of government to offer in proper safety and
facilities to the people visiting a nation. The role of local body involved in this sectorincrease with respect to fulfillment of tourists expectations.
Direct Association Authorized bodies are directly involved in maintaining the cultural
heritage of country so that maximum number of customers can be attracted towards this
industry (Dale and Oliver, 2005).
Tax Benefits In order to endorse travel and tourism sector and encourage travelers
towards this sector, the govt. provides certain tax benefits and incentives to offer
customers an additional benefit.
Increased Funding During the peak season in order to lower down the additional cost
of service so that maximum number of customers can attain benefit from this sector.
Increased amount of subsidy is being given to different hotels and other tourism realted
organizations.
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2.2 Explain how local and national economic policy influences the success of the travel and
tourism sector.
It has been estimated that in total this sector accounts in for about 9% growth of GDP and
employment generation all around the world. This sector varies a lot with changes in economical
conditions and the inflow of cash in the nation. Travel and tourism is an increasingly drive for
economic prosperity and social development.
It also gets in influenced when cash is not flown adequately in the country (Clarke and et. al.,
2012). Tourism gets influenced by different economic conditions of nations when the flow of
money and is not appropriate and it impacts on the behavior of consumers. The development of
travel industry is only possible when there are many customers and during the time of economic
downturn the power of spending gets in decreased and it leads to ultimately a decrease in
revenue of travel and tourism industry (Thomas, 2012). The changing technology offers in
several benefits to citizens of UK in order to book their package and it also aids them to
comprehend about the facilities of pay per package and the amount of money they are anticipated
to spend during the touring operations.
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BRITISH MUSEUM PLAN
TASK 3
3.1 Explain factors affecting tourism demand
Different cultural and political factors have positive as well as negative effect on the
demand of this sector. Tourism demands depict the capability and willingness of customers to
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purchase different tourism goods and services at various prices at any point of time. A lot of
factors that impacts on the demand of travel and tourism industry and all those factors that are
accountable for increasing the ratio or number of tourists can be involved in the concept of
demand of this industry.
In travel and tourism demand, it is essential to diversify between actual demand for a
destination country and the associated goods and services within the specified destination. The
diverse factors that impacts on tourism sector are as follows; A lot of factors that impacts on the
demand of travel and tourism industry and all those factors that are accountable for increasing
the ratio or number of tourists can be involved in the concept of demand of this industry.
Price factors It involves in the cost of transportation services and diverse cost of ground
that is particularly influenced in by the prevailing rate of exchange. It also involves in income
level that majorly impacts on activities related to industry and has been noticed since past several
years that the flow of income in UK is prominent enough that generates in much of employment
to the local residents (Simm, 2013).
Mobility Different modes of transportation are required to visit several places and
frequent transportation is available like rail, road and air transport. Better communication and
transport services have made the entire world a smaller place and have bring in both awareness
and exposure about different lands to bigger sections of future tourists all across the nation. Swift
mode of transportation has decreased in the travelling time and also economical in nature
(Harrison, 2006). This has led to a negative impact on the travel companies because very less
number of customers uses their services as possess their own vehicle.
Increased recreational and leisure time Changing scenario in business as well as in the
service sector have enhanced the level of pay and paid vacation in many of the nations. In
todays era people have both time and money that they allot to travelling, the present status states
that there has been change in tastes and preferences of people and they prefer to give much of
time to this sector (Tourism, 2013).
Employment benefits by government The growth and development in this area have
provided well entrenched plans and policies to employees that have quite a range of families
with long term security and may be more willing to spend much of money in other activities
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3.2 Explain how supply has changed to meet the effects of demand
The goods and services of tourism impacts on this industry and fluctuations in demand
have an impact on the supply side of business. Multiple factors that impacts on the changing
mindset of suppliers aids in to undertake suitable decision and diverse attributes are interrelated
to each other and can be managed adequately (Petia and Peter, 2004). There is a need to manage
tourism business as many elements such as capital, land and expenses on diverse promotional
activities to manage an appropriate flow of goods and services so that requirements of customers
can be fulfilled.
Government undertakes appropriate decisions to generate ample amount of revenue and
in order to enhance the demand the legislative bodies pay in much of attention on the benefits of
this industry (Britain's Tourism Industry, 2013). Other than this travel industry gives in
recreational facilities to visitors so that there can be an increased word of mouth for the
destination as well as retain in business for longer duration.
TASK 4
4.1 Evaluate the main positive and negative economic,, environmental and social impacts of
tourism.
Sustainable tourism is developed for those practices that lead to high employment opportunity
for people without hindering local culture, society and environmental. The main aims of
sustainable tourism are positive implication on tourist, social environment and other professional
bodies supporting sustainable tourism. The prime objective of sustainable tourism is to make
sure that development activities bring positive impact on tourism companies, local community
and tourists (Hall and Lew, 2009). Increase in global warming has become serious issue and
government, people and other bodies have become active and understand their responsibility for
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environment. This awareness unrest many nations and they are developing eco-tourism to protect
destination and world. This conversion of tourism into eco-tourism has helped in overcoming
negative impacts and facilitating positive impacts for sustainable tourism. These actions will
become successful only after active participation of stakeholder such as tourist, Government,
travel agencies & operators and other players of hospitality industry (Weaver, 2012). Following
are some ways through which sustainable tourism can be reinforced at destinations:
Create awareness about political, social, environmental factor for improving sustainable tourism.
Indulging civilians of destination to protect and maintain national and historical heritage.
Stringent rules and regulation for every tourist and people.
To attract large number of tourist, nation's professional bodies stimulating go green campaign
and also establishing eco-friendly products (Harris, Williams and Griffin, 2012).
Tourism is providing large number of employment to people who are in hunt for the job like
providing jobs ion hotels, guide, tourist operator etc
Eliminating factors which are depleting environmental resources
Last but not the least, giving active and precious participation in developing and promoting
tourism and their development (Weaver, 2012).
4.2 Explain strategies that can be used the minimize the negative impacts while
maximizing the positive impacts.
Tourism is one of the growing and highly contributing sectors in the nation's economy. With the
development in tourism, lots of movements have been seen in the flow of currencies. This
inculcates state of equilibrium in economic condition of destination. Development of tourism
also helps in developing and protecting the infrastructure and historic monuments. By focusing
in specified field, tourism significantly contributes in economic and social development of the
country. Number of countries like Australia, France, London and many others has sense
opportunities in this field and are reaping benefits from it (Espejo, 2008). Recent data and
statistics show that tourism has provided employment to around one-tenth of workforce and this
gives rise to per capita income. Further, it also supports in elimination of various social and
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economical threats like unemployment, poverty and low standard of living. Below are some
other positive impacts of tourism on host countries:
People learn about various customs, tradition and culture
Tourism helps in eliminating negative thoughts about other nations or regions.
Development of tourism gives rise to the development of friendly and healthy relation among
people all around the world.
Inflow of foreign exchange and a balanced economic condition.
Helps in increasing per capita income and increase employment rate.
Develops and maintain culture and historical buildings (Espejo, 2008).
Its a universal truth that every aspect has two sides, one is positive and other one is negative. In
case of tourism also, there exist negative side as well. Tourism is considered as the factor behind
destroying culture, hampers the nation's dignity and also interferers in nation's privacy. Secondly,
it is one of the reasons behind destruction of ecology and environment. The process of improving
infrastructure and construction significantly affects eco-system and environment. This leads to
adverse climatic change at some destinations. It also destroys national property like historic
building and monuments (Hall and Lew, 2009). Another negative aspect of it is on the behavior
of tourist towards local people. So, these are the plus and minus points in respect of tourism.
CONCLUSION
After thoroughly studying the travel and tourism sector it can be concluded that it is plays
significant role in the development of a nation. Further, it is among the important sources
through which any country can bring foreign exchange. Government of most of the countries has
set out appropriate rules and regulations to promote tourism in their country. Therefore, future of
the travel and tourism sector looks bright.
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REFERENCES
Burns, M. P., and Novelli, M., 2008. Tourism Development: Growth, Myths, and Inequalities.
CABI.
Clarke, R. R., and et. al., 2012. Marketing in Travel and Tourism. 3rd
ed. Routledge.
Dale, G., and Oliver, H., 2005.BTEC National Travel and Tourism. Heinemann.
Deuschl, E. D., 2006. Travel And Tourism Public Relations: An Introductory Guide for
Hospitality Managers. Routledge.
Harrison, D., 2006. Dictionary of Leisure, Travel and Tourism (3rd edition). Reference Reviews,
20(3). pp.52 52.
Manente, M., 2000. Tourism consumption and interregional economic impacts in Italy.
InternationalJournal of Contemporary Hospitality Management. 12 (7). pp.417 423.
Marvell, A., and Hayward, P., 2005. GCE AS Travel and Tourism Double Award for AQA.
Heinemann.
Mawforth, M., and Munt, I., 2008. Tourism and Sustainability: Development, Globalisation and
New Tourism in the Third World. 3rd ed. Taylor & Francis US.
Mehmetoglu, M. and Normann, O., 2013. The link between travel motives and activities in
nature-based tourism. Tourism Review. 68(2). pp.3 13.
Moutinho, L., 2000. Strategic Management in Tourism. CABI.
Ottenbacher, M.C. and Harrington, R.J., 2009. The product innovation process of quick-service
hotel chains. International Journal of Contemporary Hospitality Management. 2 (5). pp.523
541.
Petia P., and Peter M, P., 2004. The value of tourism degrees: a Luton-based case study.
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Sharpley, R., and John, D., 2002. Tourism and Development: Concepts and Issues. Channel View
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