1.1 Key historical developments within the travel and tourism sector
Travel and tourism sector has become one of the foremost consequences of economic development within the country. However, London is one of the famous tourist destination and it possesses big choice of historical monuments and buildings that pulls tourists. Following are the key historical developments that involves post-industrial revolution, pilgrimages and possible future improvements within the travel and tourism sector within London are as follows-
Following are the foremost factors that helps in influencing growth in travel and tourism sector-
1.2 Structure of the travel and tourism sector
The structure of travel and tourism sector involves varied other industries that provides big choice of products and services to travelers so on satisfy their needs. Following are the varied elements within travel and tourism sector are discussed underneath-
Hospitality and tour management services
It involves different individuals that are focused on developing coordination among each and other and thus provide best products and services to travelers so on satisfy their needs of accommodation, transportation and sightseeing etc (Le Serre and Chevalier, 2012).
it's another crucial segment within travel and tourism sector and thus helps in connecting people and making tourism sustainable so as that trade activities are often administered in an efficient manner. Selecting different medium of transportation like air, rail, ship affects the worth of tour package. Further, it's essential for tour operators to handle different transportation medium so as that traveling to a minimum of one place from another are often made easily (Sloan, Kaufman and Legrand, 2012). Following are the varied transportation ways operates within London are as follows-
There are big choice of attractions like natural and man-made that helps in influencing the tourists to travel to the destination. In UK there are different natural resources like beautiful beaches, mountains and eye catchy views so as that it attracts travelers to travel to the place. Further, there are different man-made attractions also that influences tourists to travel to UK like ancient monuments, buildings and museums etc (Papatheodorou, 2004).
2.1 Functions of state, government sponsored bodies and international agencies in travel and tourism
There are different bodies like government and international agencies that helps in managing tour operations in UK. However, public authority of UK has established Tourism Act 1969, so on hold out best tourist activities within the country. In regard to this act, British Tourist Authority (BTA) and thus English Tourism Council (ETC) are merged and developed another authority VisitBritain. Main aim of this act is to develop coordination among all the businesses so on render highest quality services to travellers. Tour Regulations 1992 helps in controlling the functions of tour operators within UK and thus influence them to provide attractive tour package holiday to consumers complying to the Package Travel Regulation Act (Riege and Perry, 2000). Thus, it's essential for the tour operators to carry out the set regulations because breaching such laws affects the consumers rights. Furthermore, there are different government bodies in UK like Department for Culture, Media and Sport that monitors the tourism activities. In regard to this, authorities helps in managing the functions at three different levels like national, regional and native. There are different strategies developed by UK government like Visit Britain, Visit Wales and Visit Scotland so on market tourism activities within the country (Vivanco, 2001).
Further, formulating different policies and regulations helps in managing proper coordination among private and public bodies assists in attracting travellers from all around the globe. Thus, public authority of UK has developed varied Tourist Information Centres within the local council so as that it helps in providing different information to tourists like promotional brochures, accommodation, sports and club centres, theatres, museums and art galleries etc. there's another agency i.e. UNWTO which is responsible for the process and development of travel and tourism business within the country. Furthermore, the earth Travel and Tourism Council (WTTC) is additionally assessed because the foremost vital organization associated with the travel and tourism industry (Dale, 2005). of those organizations helps in providing effective travel services to consumers and satisfy their needs. WTTC helps in completing awareness among consumers regarding travel and tourism and also it's one of the world's largest industries providing 277 million jobs and generating 9.8% of world GDP.
2.2 Influence of local and national economic policies over the success of travel and tourism sector
it's essential for the uk government to develop different policies and practices so as that economy of the country are often controlled and thus growth are often attained. In regard to this, monetary and monetary policies have played major role in UK. However, developing such policies have significant impact upon the expansion and development of travel and tourism sector. Monetary policy of the country helps in controlling the income within the economy by controlling the interest rates.However, it affects the cost of business expansion plan of different companies operating in UK such as hotels, aviation and tour agencies etc. Further, there are different factors that influences the economic policy of nation upon travel and tourism sector (Deuschi, 2006). For instance, in order to enhance the tourist industry in the country, UK government is required to subsidise the building rates for developing resorts and hotels. Thus, it helps in benefiting the national economy up to a large extent.
Furthermore, fiscal policy of government helps in controlling the taxation rates within the economy as it has direct impact upon the cost of the different services linked to the travel and tourism sector. Thus, it is essential for companies connected to tourism business to manage the changes in the business operations along with pricing of services with reference to fiscal or taxation policy (Lashley and Morrison, 2013). As it affects the profitability of the companies working in the travel sector. Also, government bodies of UK has developed different policies in order to face the challenges within the travel and tourism sector. In support to this, government has developed different reforms and policies so that star ratings of different hotel groups can be managed effectively and efficiently.
There are different factors such as political stability, international trade agreements that influences the demand of tourism services in the travel sector. For instance, at the time of political stability in the country large number of tourists are attracted to visit towards the destination. While, if there is instability in the political environment then people does not feel safe to visit the place (Law, 2010). Therefore, it is essential for the government bodies to make the stability in the political environment so that travellers can be attracted. For instance, Dubai is considered as the world's number 1 tourist destination because government bodies take active participation in the planning, organizing and controlling the tourism development in the country. Thus, all these policies helps in ensuring safety and security of visitors. In addition to this, UK government authorities are also managing and controlling the political system of the country so that outside visitors are attracted towards the country. Further, Switzerland is also developing tourist attraction because of its calm political interference that does not obstructs the tourism activities in the country (Lynch and et. al., 2011).
However, political instability or unsuitable political environment hampers the tourism activities in the country. Therefore, it is essential for the public bodies to regulate and control the activities so that more and more tourists can be attracted towards the destination. For instance, there is merely small or no tourists prefer to visit Pakistan because there is high political instability in the country. Thus, safety and security issues are faced by the visitors. Such activities hamper the growth and development of the tourism in the economy. Furthermore, developing countries such as India and Nepal possess a suitable political system that helps in supporting the tourists and offers wide range of products and services in order to attract tourists from different countries (Mahony, 2007).
Here, TUI organization formulated different strategies and tour packages through considering different factors that affects the tourism demand. In this context, following are the different factors that affects the demand of tourism services such as-
It has been assessed that there are crucial changes being noticed among the services and tour packages which are offered by various agents and tour operators. Thus, in order to enhance the service quality, it is essential for the management of tour company to follow a structured process and deliver quality services in order to fulfil the demand (Tour Operators, 2014). Therefore, the management of TUI organization considers different elements to manage the supply and demand-
There are different positive and negative impacts regarding economic, social and environmental which influences the growth of tourism industry. These are as follows-
Currently, the demand of travel and tourism services has been significantly increased. Thus, due to such increment it raises the economic of the country. Also, it provides different job opportunities to people and attract several investors to invest in international business. Another positive impact is that it assists in increasing the value of foreign reserves that supports in international trade services (Giudici and et. al., 2013). UK is one of the most important tourist destination. Currently, in the relevant industry 3.1million people are employed. This sector is third largest business domain that provide employment to number of people. It can be observed that 9.6% of total employment in UK comes from this sector. From 2009-2013 tourism industry employment rate grew by 5.4% which is just double of rate of employment in other industries which is 2.8%.
However, international tourism plays significant role in earning foreign exchange and generating revenue but it may also have adverse impact on the economy (Lennon, 2003). For instance, at the time when international tour operators are managed within the country then it enhances the chances of outflow of currency. Also, there is high number of outside visitors arriving the country instead of domestic tourists and thus it affects the foreign reserves. It is well known fact that UK is the one of the well known and most popular tourist destination. In case recession level elevate at global level then this will hit UK economy. This is because travel and tourism sector is one of the largest contributor in total value of foreign exchange reserve. With decline in tourism its share in foreign exchange reserves will also reduce. This will hit mentioned nation economy. It can be said that UK to some extent is dependent on this sector to earn foreign exchange. In case foreign exchange reserve decline, UK economy will badly effect same. This is one of the negative side of travel and tourism sector.
It is another factor that involves different natural resources such as wildlife, water etc. However, growth and development in tourism provides opportunities to wildlife lovers to visit the country and thus investigate the different breeds of birds and wild animals (Mak, 2011). Further, it is essential for the local authorities to safeguard the environmental issues such as increase in pollution and water management etc. In UK there is good biodiversity and due to this reason many researchers time to time related to varied disciplines come in the mentioned nation. Thus, UK is successfully developing itself as global research hub. Apart from this it is able to attract those people who prefer Eco-tourism. It can be said that mentioned sort of tourism create special image of UK as tourist destination.
Environmental factors also negatively influences the travel and tourism sector because with increase in number of travelers it leads to providing adverse impact on the environment in the form of carrying out illegal activities such as killing wild animals. Thus, it disturbs the ecological balance of the country (Page, 2011). In UK every year large number of people come to visit specific tourist destination. Due to lack of proper disposal of entire waste material surrounding area aesthetic reduces. Moreover, imbalance comes in existence in natural environment. Hence, it can be said that to some extent tourism put negative impact of environment.
Here, when people travel in domestic and international level for different purposes such as business, adventurous etc, then it increases the personal interactions of tourists with the host country population (Papatheodorou, 2004). However, such interaction is also very effective in regard to enhance the knowledge regarding the culture and heritage of the host country. In UK from varied nations people comes to visit places. When two nations people comes in contact, understanding about each other culture and social values get developed. This lead to development of broad understanding and good relationship between nations. Hence, it can be said that travel and tourism industry also give social benefits to the nation.
Further, it has various adverse impacts as well upon the society. For instance, interaction of local community to foreign culture may influence them and they adopt the same culture which affects the local culture, traditions and beliefs (Riege and Perry, 2000). UK is one of the major tourist destination. In the mentioned nation people related to varied caste and religion as tourist come like Asian, Africa, European, black and white etc. Their culture is also different from each other. In case people comes in contact with each other than to some extent they adopt other religion culture. It can be seen in the UK that Yoga is followed by number of people which is part of Hindu religion. Some times one culture greatly influence other one. Due to this reason domestic people leave there culture value and ethics and follow same of other one. Like happen in India whee people are increasingly following a western culture. Such kind of behavior affects the nation to great extent. Hence, variation or negative change in culture that is related to specific society badly affects the nation.
In order to minimize the negative impacts and maximizing the positive impacts of tourism there are different strategies that could be implemented by the government authorities which are as follows-
From the above study it can be assessed that travel and tourism industry is one of the growing sector in terms of generating revenue and job opportunities. Also, it identifies that development of advanced technology such as internet which helps in connecting different overseas companies to provide best quality services and products to travelers and satisfy their needs. The report also found that the tourism industry provides different positive and negative impacts upon the host community. Therefore, it is essential for the government authorities to develop proper strategies to minimize the negative impact and maximize positive impacts on tourism.
Books and Journals
Dale, G., 2005. BTEC National Travel and Tourism. Heinemann.
Deuschi, E. D., 2006. Travel and Tourism Public Relations: An Introductory Guide for Hospitality Managers. Routledge.
George, W. E., 2010. Intangible cultural heritage, ownership, copyrights, and tourism. International Journal of Culture, Tourism and Hospitality Research. 4(4). pp.376–388.
Giudici, E. and et. al., 2013. Is intangible cultural heritage able to promote sustainability in tourism? International Journal of Quality and Service Sciences. 5(1). pp.101–114.
Howes, L., Scarpaci, C. and Parsons, E. C. M., 2012. Ineffectiveness of a marine sanctuary zone to protect burrunan dolphins (Tursiops australis sp. nov.) from commercial tourism in Port Phillip Bay, Australia. Journal of Ecotourism. 11(3). pp.188-201.
Hudson, S., 2008. Tourism and Hospitality Marketing: A Global Perspective. SAGE.
Hudson, S., 2010. Wooing zoomers: marketing to the mature traveller. Marketing Intelligence & Planning. 28(4). pp.444–461.
Khosrowpour, M., 2002. Issues & Trends of Information Technology Management in Contemporary Organizations. Idea Group Inc.
Korstanje, E. M. and Clayton, A., 2012. Tourism and terrorism: conflicts and commonalities. Worldwide Hospitality and Tourism Themes. 4(1). pp. 8–25.
Lashley, C. and Morrison, A., 2013. In search of hospitality. Routledge.
Law, P., 2010. The influence of the types of NAS provisions and gifts hospitality on auditor independence. International Journal of Accounting and Information Management. 18(2). pp.105–117.
Le Serre, D. and Chevalier, C., 2012. Marketing travel services to senior consumers. Journal of Consumer Marketing. 29(4). pp.262–270.
Lennon, J., 2003. Tourism Statistics: International Perspectives and Current Issues. Cengage Learning EMEA.
Lima, J. and Martins, A., 2012. Mobility among Latin American migrants: The case of Bolivians in São Paulo and Brazilians in London. Employee Relations. 34(6). pp. 594–612.
Lynch, P. and et. al., 2011. Theorizing hospitality. Hospitality & Society. 1(1). pp.3-24.
Mahony, O. B., 2007. Uncontested space: Case studies of the Irish involvement in the hospitality industry in colonial Victoria. International Journal of Culture, Tourism and Hospitality Research. 1(3). pp.203–213.
Mak, B. L., 2011. ISO certification in the tour operator sector. International Journal of Contemporary Hospitality Management. 23(1). pp.115-130.
McDonald, L. M. and Hopkin, O. R., 2002. The future of hospitality education in Grenada. International Journal of Contemporary Hospitality Management. 15(3). pp.156–160.
Mintzberg, H., Ahlstrand, B. and Lampel, J., 2005. Strategy Safari: A Guided Tour Through The Wilds of Strategic Mangament. Simon and Schuster.
Page, S., 2011. Tourism Management: An Introduction. Routledge.
Palhares, L. G., 2012. Tourism in Brazil: Environment, Management and Segments. Routledge.
Papatheodorou, A., 2004. Exploring the evolution of tourism resorts. Annals of Tourism Research. 31(1). pp. 219-237.
Riege, A. and Perry, C., 2000. National marketing strategies in international travel and tourism. European Journal of Marketing. 34(11/12). pp.1290–1305.
Sloan, P., Kaufman, S. C. and Legrand, W., 2012. Sustainable Hospitality and Tourism as Motors for Development: Case Studies from Developing Regions of the World. Routldge.
Teng, C. C., 2011. Commercial hospitality in restaurants and tourist accommodation: Perspectives from international consumer experience in Scotland. International Journal of Hospitality Management. 30(4). pp.866-874.
Vivanco, L., 2001. Spectacular Queztals, Ecotourism and Environmental Futures in Mote Verde, Costa Rica. Univeristy of Pittsburgh- Of the Commenwealth System of Higher Education. 40(2). pp.79-92.
Xin, T. K. and Chan, J. K. L., 2014. Tour Operator Perspectives on Responsible Tourism Indicators of Kinabalu National Park, Sabah. Procedia-Social and Behavioral Sciences. 144. pp.25-34.
Edgell, L. D., 2002. The Ten “P’s” of Travel, Tourism and Hospitality Marketing. [PDF]. Available through : <https://www.extension.iastate.edu/NR/rdonlyres/458279F5-112D-4B5F-AC85-F95C06BC64FA/75277/The_T> . [Accessed on 29 January 2016].
Giaoutzi, M. and Nijkamp, P., 2013. Emerging Trends in Tourism Development in an Open World. [Online]. Available through: <http://www.ashgate.com/pdf/SamplePages/Tourism_and_Regional_Development_Ch1.pdf>. [Accessed on 29 January 2016]
Tour Operators, 2014. [Online]. Available through: <http://business.highbeam.com/industry-reports/transportation/tour-operators>. [Accessed on 29th January 2016].
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