INTRODUCTION of Tourism & Travel Management
Travel and Tourism is a vibrant and spirited business that requires the capability to persistently settle in to customers' changing needs and desires, as the customer satisfaction, safety and enjoyment are particularly the focus of travel and tourism businesses. Tourism acts as a unifying force as people traveling can bystander the vitality of their own country at work and gain knowledge about their own nation (Bernick and Boo, 2013). This familiarity helps in fostering friendliness and understanding between various linguistic, sacred and collective groups living in different parts of the country. Travel and Tourism is an indivisible part of the world in which aims to live making a momentous involvement to the country’s economy, as well as to the superiority of life of its citizen’s. Travel and tourism is basically serving strange customer in specific destination and providing them destination through travel agencies and tourism and enjoy high employment and foreign exchange
History development of travel and tourism
Travel and tourism originated with buy and sell between communities. Once agriculture urbanized ahead of the continuation level in areas of Africa, Asia and Europe, thousands of years before Christ was born, communities began to do business of agricultural products. This lead to the augmentation of markets, and producers travelled sometimes hundreds of kilometers to take their manufacture to market (Harrison, 2006). In the Middle Ages route was a conduit for the transportation of a wide variety of goods from Asia to Europe and vice versa. In Europe, tourism for health becomes extremely important with many Spas offering health giving mineral waters. In nineteenth century, Europe was facing competition from health resort and this lead Europe to replace with seaside holidays. Example of historical development is Dubai, its tourism investment gets started in 1994-1996 and it reached as much as 35% (Harrison, 2006) of all investment in united Arab. It has developed a richest infrastructure in the world like hotels, tourism and shopping centers.
Since 1945, the socio economic status of most households in the UK changed. Many of them owned cars and were able to travel more. Technological development also brought an improvement in this sector as people were able to travel both domestically and overseas. Seaside resorts were also developed, as well as holiday packages, which encouraged people to travel more. If see the comparison between Australia and UK travel and tourism it is found that Australian tourism is an important sector for their economy as it contribute 2.5% (Mehmetoglu and Normann, 2013) of Australian GDP in 2010/11 a value of approximately $35 billion to the national economy. On the other side travel and tourism in UK stands on 7th position in the world and contribute €35.6 (Petia and Peter, 2004) billion to the UK economy. Arrivals of tourism in Australia records number of overseas in the year 2010/11 with 5.9 million, provide employment around 513700 people in Australia and contribute export around 8% in 2010/11 while on the other side UK witness the number of visitors in 2011 with 29.2 (Bernick and Boo, 2013) million tourists in their country. This sector in UK provides employments around 950000 jobs in the UK economy.
Component and structure of travel and tourism industry
- Travel and tourism industry are not just limited to tour and tourist, it is on the other hand widely categorized in into the following components. They are:
- Hotel and accommodation. It includes lodges, resorts, tourist homes, guest houses, eating establishment’s
- Transportation services that include air, water, road, rail and foot.
- Entertainment services that is casinos, social halls, churches and mosques.
- Information services that is travel agencies, tour operators etc.
- Government agencies for instance in Kenya they have Bomas of Kenya, Kenya Wildlife Service’s etc.
- Attraction services both natural and manmade (Uriely, 2009).
- Education and research that is tertiary colleges and universities.
- Stakeholders that is share holders, local community and the government.
- Distributor: In case of travel industry, distributors are the person, group or firm that deliver products and services to travel consumers. People include in travel industry are as follows: Travel agents, Travel supplier, Sellers (who sells direct to consumers) and Firm selling on internet (Vrana and Zafiropoulos, 2006).
- Regulatory bodies: when organization setup their office in some host country other than parent company then this bodies are known as regulatory bodies.They guide people in giving brief information about travel and information regarding country or cities.
- Public sector organization: Public sector organization are those organization who provide various institution or departments which provide helps in respect of transports, culture, media, sport and about common wealth (Zehrer and Siller, 2007).
- Transport: Means through which people travel around the world. Various means of transport are: Road, Air, Sea and Railways.
- Other industry players: other industry player that also serves products of travel is hiring of cars and insurance firm which provides insurance to people who go for travelling
Functions of Local and International Government in travel and tourism industry
To enhance travel and tourism industry, national and international government plays a vital role. Key roles are: Maintaining heritage places, it is the government only who manages and maintain heritage places and also renovate the same if needed.
This heritage places attract large number of tourism. Providing proper safety to tourism, Government should provide proper safety measures to their tourism. Tourism is that people who expect strangers to serve them best and also trust them. So it is our duty to serve as per their expectation (Oliver and Dale, 2005). Limit tourism, Government should also form rules and regulation for tourism also to maintain their record and also to limit them in entering to other country. Going beyond the limit may create problems of proper tracking of them.
Encourages private sector, To provide quality and better services without any threat, government must provide a proper and full support to private sectors who serves tourism like hotel, villas and apartments (Rodgers, 2001.). Tax relief, Government should provide a tax relief benefits and also provides some amount of incentives. Which let private sector to feel secure and motivated and can think more creative to attract more tourism? Higher subsidies, Government must provide a higher amount of subsidies to private sectors or hotel in seasonal time (Rodgers, 2001.).
To facilitate the improvement in travel and tourism industry, national tourism organization also plays a vital role to attract large number of tourism into specific destination. Roles that they play are: To introduce specific destination globally as a top tourist destination and develop its tourism prospects and facilities.
To establish tourism infrastructures in specific destination like in UK. Provide complete support to develop, expand and promote tourism business in UK (Sharpley, 2006). Their aim is to educate and create awareness among the people about the travel and tourism. Another role that they play is to establish institutes for instruction and training of potential tourism personnel and last but not the least is to publish tourism publications.
Now the roles of international tourism organization are: WTO activities include: they are developed to perform the role of undertaking development cooperation projects so as to attain large number of tourist into specific destination (UK), promoting regional activities, research and studies, including those on specific issues such as IT applications or sector, implementing several human resource development programmers aimed at enhancing tourism education at various levels, close cooperation with the private sector, including industry networking, promoting sustainable development , quality and trade, gathering, processing and analyzing data and information, and producing several publications and reports (Sisay, 2009). Other than these roles they also serves through websites and provide functions like statistics, among which is a forecast study, Tourism 2020 Vision, including a full chapter dedicated to Europe, publications, a documentation centre, including links to the tourism legislation database and the tourism information and documentation resource centers database, news releases, providing access to a quarterly magazine with issues available since 2002 and events calendar.
Travel & tourism and political change and economic policy
Above the last two decades, Travel & Tourism has played an all the time more imperative role in the economic augmentation of many countries (Swarbrooke and Horner, 2012). An assortment of factors enlarged travel across the globe: upper real incomes, more free time, enhanced and highly handy transportation systems, highly valuable communication systems that smooth the progress of marketing, and momentous numbers of tourism services and options have been coming online in many countries. Economic policy analyzes the wider economic impacts that are attributable to the Travel & Tourism sector. These include: Superior admittance to international markets and improved trade opportunities, Amplified foreign investments, Investments in public and private infrastructure and Local economic improvement (Swarbrooke and Horner, 2012).
Change in Political aspect that affect travel and tourism industry is that the Security concerns over the travel and tourism industry, which leading to bigger business failures, termination of definite destinations and hammering of normal expansion in other destinations. Politics is troubled with both the implement of power and manipulate in a society and in specific decisions over public policy (Talwar, 2006). Tourism policy is itinerary of government accomplishment or functioning in specific relation to tourism.
It is exact so as to discriminate sightseeing policy from other policy fields, such as environmental policy, transport policy, and international relations that can have a massive impact on tourism but are not developed as tourism policies. Political change that can affect seen in the areas of public benefit are hampered, economic competitiveness lower down, risk of investor increases, inculcating new technology for travel and tourism may be restricted, unable to assist population awareness and fails to provide relevant information to customer about specific destination (Talwar, 2006).
Demands of Tourism
Tourism demands can also be explained as the scheduled of the amount of any product that people are willing to pay at specific price in a set of possible prices during a specified period of time. That is known as tourism demand (Tivers and RakiÄ‡, 2012). Tourism is divided into three categories. Actual demand, means actual number of participates who are participating in travel and tourism industry that means who are willing to travel and who are travelling. This concept is known as de facto concept. Suppressed demand, means those people who are very eager and willing to travel other country or cities but for some reason or because of some purpose they are unable to do so. They are known as potential customer and demands are considered potential one. No demand: In this category of demand, those people are included who don’t wish to travel to other countries. This constitutes them in no demon category (Goldstein and Primlani, 2012).
Tourism demands distinguish between demand for travel to a specific destination and demand for a particular tourism product. Demand that is being analyzed at the end of specific destination is price and non-price factor. Price factor includes the cost that is being incurred on transport and from the destination and the cost of ground. Currency exchange rate also affects the demand of specific destination i.e. price they pay in their home country and price they are paying in specific destination (Organizational structure and services of star category hotels, 2013). Tourism demands to have a positive environment in the factor of socio-economic, demographic i.e. population, income, education, occupation, availability of leisure time, cultural ties etc. next is income effect which says that the cost of travel and tourism must be fall down so as many people can afford to take benefit of this industry. Last is substitution income, is that to provide more relatively product which is cheaper tourism product substituting other (Role of the Government in Tourism. 2011).
Empirical models of tourism demand borrow heavily from consumer theory which predicts that the optimal consumption level depends on the consumer’s income, the price of the good in question, the prices of related goods (substitutes and complements), and other demand shifters. Demand of tourism in UK is getting more and more and is growing at a faster pace in the field of travel and tourism (i 2004). These demand of tourism let the organization or tourisms of UK to provide or to supply maximum facilities like accommodation facility, developing hotels, tourist operators, and guide, proper and maintained infrastructure and so on. These supplies of facilities for tourism provide the sate of equilibrium with demand of tourism and travel. Relationship between travel and tourism supply and demand is on apex that it provides following results: establishment of around 70,000 hospitality including restaurants, clubs and pubs to entertain tourist. Attraction that leads to high demand for tourism developed till now is 7000 businesses. Events supplied are 25,000 (Tivers and RakiÄ‡, 2012) businesses for staging and organizing events for tourism. Another development seen in UK is the development of 10,000 aviation in railways, road and sea ways, and along with that 2,500 travel agents also given license to entertain tourism.
Supplier responds to changing tourism demands
For travel and tourism industry, hotels, tour operators, travel agencies, transport agencies are the supplier in travel and tourism industry. As per changing demand, they respond accordingly: Hotels plan out their infrastructure and rooms as per tourism demands. They put efforts to make it so fascinating that can attract large number of tourism into their country and their hotel as well. Providing food as per their taste, it is not necessary that tourism will experience specific destination food only (Williamson, 2013). There are some tourist, who is addicted towards their country’s taste and food.
So hotels served accordingly. Insurance agencies, it is not prevailing earlier but when people came to know that there exists risk in travel this give rise to travel insurance policy. Earlier people were demanding policy for their life now they demand policy even for their items to and insurance agencies performing as per their demands (Williamson, 2013). Tour Agencies, People are now demanding to have complete package for their tour. People are demanding to have accommodation for renowned hotel, providing vehicles, guide etc. They are responding as per their demands.
Travel and tourism industry are affected by various factors like:
- Economic Impact on Travel and tourism in UK: Economic impact that can be seen in the travel and tourism is leakage which means tourism demands for better food, accommodation and hotels those poor countries fails to provide so (Chen and Choi, 2008). These lead to slow down the footins of tourism in a specific destination. on the other side, country like UK which is considered as a rich country are better bright to profit from tourism than poor ones. Whereas the least developed countries have the most urgent need for income, employment and general rise of the standard of living by means of tourism, they are least able to realize these benefits
- Environment Impact: Another major impact that affects the bar of travel and tourism industry is environment which comprises of planes, trains, automobiles, hotels, motels, cruising for environmental disaster in all these places environment is major concern (Raybould and Travel & tourism and political change and economic policyWilkins, 2005). Jet planes and other emit fuels that pollute the environment of UK, in case of hotels they must properly wash all the food related stuff as chemicals are sprayed over them to make them remain fresh, and last in case of cruise they draw wastage and sewage into water which is equivalent to midsized city.
- Social impact on Travel and tourism on specific destination: It is also one of the major issues that have a great impact on travel and tourism. In this, it is being viewed that how the people of UK welcome their tourist who contribute into their economy. How they are being treated and how they are being respected over there (Mehmetoglu and Normann, 2013).
Strategy that should be used to remove negative impact of tourism is diversification. It means putting an increased focus on to diversify their countries product which range by opening up new adventure spots like rafting, sailing and canoeing. This helps to achieve better distribution of tourist activities throughout the country. Along with that eco-tourism should also be considered to remove some environmental issues to attract large tourism. To in the area of travel and tourism between two destinations researcher has chosen Dubai and Australia. Dubai also attracts people by their lavish infrastructure, through their desert which providing a complete package of relaxed holiday and a complete enjoyment in Dubai (Chen and Choi, 2008). They also providing sea spot on their beaches so to entertain tourist at their most in comparison with Dubai, Australia also giving tough competition in the area of travel and tourism by maintaining their wildlife as all know that Australia is signifies with kangaroo. So there aim is to maintain their wildlife and attract on this basis (Sisay, 2009).
How a destination can overcome negative impacts of tourism
To overcome the problem of environment impact in specific destination, that country should provide visa after discussing with weather department that is it a right time to allow tourism in our country. By doing so, they can be able to predict that what they will perform in their country ad what arrangement can be done for their safety against environment (Rodgers, 2001.). To overcome the impact of social, specific destination must educate their people that they are the only source who contribute maximum in their economy and provide large number of employment. Economic impact: To overcome the economic impact, specific destination charge few taxes on private sectors like hotel, travel agencies, and tour operators and reduce cost of fuel so that maximum number of people can travel in specific destination (Talwar, 2006)..
From the above repot it is being concluded that travel and tourism is a cream industry in the sense of profit making. Even government has now understood that this industry is very much useful for enhancing country’s economy. Overall it is being found that travel and tourism has importance for people and for country. Travel and Tourism is an indivisible part of the world in which aims to live making a momentous involvement to the country’s economy, as well as to the superiority of life of its citizen’s.
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