Unit 9 Contemporary Issues in Travel and Tourism Regent College Level 4

Introduction

Travel and Tourism is one of the fastest growing sector which contributes maximum in the growth of economy through creating large number of employment opportunities and generated huge revenue every year. Adopting advanced and latest technologies will help such industry to grow further within short period of time. Titan travel, UK based company which deals in travel and tourism sector is taken for the purpose of preparing this report. The project covers the analysis of current issues & trends which drives travel and tourism sector to brings innovative changes to resolve. In addition with this, some strategies regarding adopting suitable and competitive changes also included under this report. The project also summarises the impact of changes and their implications in travel and tourism industry (Baker, 2014).

Task 1

1.1: Evaluation of problems that presently drive alternation with travel and tourism sectors

Tourism is an important sectors where various units are playing significant role in an separate manner. It means that most of the organization is associated with their individual role so that absence of collective actions would making huge impacts on growth of tourist economy and disgrace the assessments of tourism spot. There are various important aspects that are necessary to be taken into consideration at the time of going in international. Some of them are discussed underneath:

Risk of cost of fuel: It has been seen that tourism and travel sectors which is greatly relevant on fuel charges. The initial increase in fuel cost such as gasoline is having wide effect on entire sector. Because of this, customers would need to make certain adjustments on their spending over total spending or length of traveling so as to pay for additional fuel costs (Cohen and et. al., 2014).

Up-gradation of technologies: In this particular areas which is primary targeted by the company so that better services to visitors can be provided in effective manner. There are some point of consideration modification that take place in current year that are applicable to tourism industries. Accessibility of online or digital technology which consists of providing better growth and opportunities to book and plan their trips in more economical manner.

Requirement of high securities: This seems to be more reliable in accordance to deal with all kind of threats that are arise in the communities or society. It is necessary to delivery more reliable and safe accommodation or safety measure to tourists that are planning to moving around various destinations. In other words, UK government is providing more appropriate destination to outside people by the ways to necessary safety measures.

Global economic modification: In international level, different alteration would required to be taken places due to the impacts of Brexit and implement all essential impacts on the economy of that particular nations. There are certain rules and regulation that is made by the local government to impose taxes and exchange rate that people pay during the time of visit.

Reduction in airway costs: It is the primary sources which connect people from one destination to another. This factors are mainly applicable to tourism sectors that is less famous and smaller cities of UK. Through reducing cost of air fair, visitors can be able to reach in more easy ways in more quick time (Hannam Butler, and Paris, 2014).

1.2: Analysis of various issues though using suitable methods and techniques

It has been seen that travel and tourism sectors is one of the effective sources which connect people with one another. The “Titan Travel” need to make use of appropriate methods and resource that consist of both primary and secondary sources. Initially, primary sources are responsible for evaluating appropriate market through conducting a well organize surveys and employing customers observation tools. Secondly, the secondary ways consists of collecting important information from various diversified sources that are based on past data. Apart from this, tourism sectors is booming and earning are incurred in a full swing that leads to growth for tourism sectors for the purpose of increasing visitors growth at the same time. Some essential aspects are needed to be taken into accounts. Such as:

Negative impact: It is necessary for any kind of research that place of tourism is utmost important function for travelers otherwise simple mistakes can make unbearable experience such as causing offense to domestic people those are hurting their culture.

Loss of culture: There are certain cultural value of tourist places that gets degraded in case of any alternation is done in the crafts in order to draw the attention of most of the visitors. In accordance to deal with all kind of demand of tourist, it is necessary to make analysis of cultural values that are needed to be settled (Kim and Ritchie, 2014).

Positive effects: In context to this possibilities of negative influences over tourism as well as make aware about positive results that are taken in the form of feedback from various travelers. In the current time, creating specific jobs to the people would be more valuable concern to the legal bodies. It is said to be potential sector of developing new jobs for interested people.

Task 2

2.1: Evaluation of current trends that influence change

Adventure tourism: The main targeted customers on the basis of which all strategies should be formulated by Titan travel is young generation who would prefer to visit at different tourist places on regular basis. According to the report, mostly people are preferred to visit at such destination place where various adventurous activities are conducted. For example, Urban Jungle, Bungee Jump net of the O2 arena are some places where adventurous activities may get by customers while visiting in Britain. Africa is another country where the visitor would like to visit in various forest in order to get adventurous experience (Kim and Ritchie, 2014).

Sport tourism: It is also one of the popular trend which attracts and influences the interest and buying behaviour of travellers. Through this, such sector generated huge revenues every year with the help of tourism companies who are liable to formulated all strategies and plans over there. The trend of visiting at sports places comes through the Olympics and Paralympics where large number of sports activities are played. For example, Henley Regatta, Cheltenham festival in UK are such places where the customer can experience sports activities.

As it has been clearly shown from above picture that during last past years, the number of overseas visits to Britain continuously increases. In comparison to 2016, the inbound number of visit such as 39.7 in July.

The main reason behind increasing in the number of foreign visitors is changes in trends that exist in travel and tourism business. Adventure as well as sports tourism are mainly two reasons which attracts large number of customers through out the world.

2.2: Covered in Poster

Task 3

3.1: Analysis of way in which Whitbread businesses could respond to change

It is always important for every organization to respond changes in order to sustain in market for longer period of time. Therefore, Whitbread should required to make improvement in their management strategies and plans so as to achieve desired goals and objective within limited period of time (Luh Sin, Oakes and Mostafanezhad, 2015). After that, it is essentially required to develop effective plans regarding change which have appropriate information and outlines all the essential steps that need to be taken by Whitbread and the way in which all steps can be executed. Through this, the company can achieve their desired target.

Management, corporations and individuals fails to recognize how to manage effectively and efficiently. In order to adopt changes, there are 4 points which need to be focused by Whitbread which are as follows:

  • Identifying past mistakes and make sure than it would not be repeated again.
  • The needs and requirements of employees should also required to be considered which contributes maximum in growth and success of company.
  • Adopting advanced technologies and tools in order to reduce cost of production and marketing process.
  • Knowledge about the market and their needs and demands which may influences their strategies and decision making process (Wachowiak, 2016).

3.2: Strategies development in relation to response to changes by selected business entity

There are number of changes need to be done within an organization in order to deal with changing environment and operate business functions in more effective and efficient manner. Whitbread Plc is one of the Largest Hotel, restaurant and coffee shop which has been operated with 50,000 employees. The business operates in two divisions Premier Inn and Restaurants, Costa (Luh Sin, Oakes and Mostafanezhad, 2015). There are various types of products and services which attracts large number of customers. There are two companies operated by Whitbread Plc thus need to be required an effective strategies and plans in order to expand their business:

Premier Inn Restaurant: It is one of the largest hotel brand in UK which has operated its business functions in various locations including city centers, suburbs. It contains 65000 rooms and has attained 750 hotels due to which the company achieved huge customer strengths.

Costa: It is one of the multinational company which deals in supplying roasted coffee to caterers and specialist Italian coffee shops. It has operated more than 3401 stores in more than 31 countries. In UK, it has operated 2121 restaurants due to which the company have attained huge customer strengths.

To expand their different business, Whitbread Plc need to make an effective strategy relating to marketing which are as follows:

Price: As Costa and Premier Inn Restaurant both attained brand image in competitive market due to which they charges high prices on their food products. Therefore, it is important for both companies to adopt marketing tools through which they provide the benefits of their products and services in order to influence buying behavior of customers.

Product: Whitbread has operated many businesses such as Costa and Premier Inn Restaurant which deals in providing quality products. Therefore, using marketing tools help them in motivating customers to buy quality instead of checking price of products and services.

Place: Whitbread has operated many business which is located in UK and across worldwide. Through this, the company already attained huge customer strengths and generate huge revenues. Collecting feedback from the customers will help in making new decision regarding expansion of business to such places where the demand of their products and services are more (McKercher, 2016).

Promotion: In order to maintain their strong brand image in market, the company must requited to advertise the products and services through out the world by following various marketing tools such as social media or e-newsletter etc.

3.3: Justify the strategies which are using in response to modification

There are various problems or challenges that may arises in the process of executing business activities which brings negative outcome to company. As Whitbread has already attained strong brand image and goodwill in market which need to be maintained by them in order to achive huge customer strengths and generation of huge revenues. Thus, adopting various marketing strategies will provide an opportunity to attract and influence the interest and buying behavior of customers.

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Premier Inn Restaurant: It is one the largest hotel brand which has operated 750 hotels in various locations including city centers, suburbs and airports in order to attract large number of customers. In order to capture large market share in competitive business world, the companies such as Premier Inn Restaurant need to make decisions and plans in order to market the products and services they offered at market place so as to grab attention of customers towards their products and services (Oviedo-García, 2016).

Costa: It is one of the largest coffeehouse in the United Kingdom and attained second position in market. It has operated moire than 3401 stores across 31 countries due to which they capture large market share. In order to maintain their stable position in market, marketing tools should be selected as the strategy of product improvement which help them in identifying the taste and preferences of customers and accordingly fulfill demand in more effective and efficient manner. Changes in pricing policies, menu card, quality of products are such example which need to be considered while making an effective decision and policies.

Task 4

4.1: Implication of problems and trends that drivers changes with tourism sectors

Travel and tourism is consist to be the most developing industry which has a huge impact on the growth and development of economy (Standing, Tang-Taye and Boyer, 2014). The sector of Travel and tourism has faces various kind of issues and conflicts which has direct or indirect influence on the operations and activities of tourism industry. As a large business enterprises Trailfinders Ltd. conduct its business operations world wide and known for its high quality services. It is essential for each business firm to implement change in order to attaining high growth and success at market place and this also create value in gaining attention of customers towards the firm or its offered goods and services. There are different area in which firm develop change:

Employment level: In the event that any change happens in labour rate, at that point it put coordinate effect on people who are working in firm. High cost happens in utilizing labour in organization which specifically influences its tasks. Any change that happens in business is required to be impart on time with the goal that their powerful execution can happens and business exercises can perform as needs be (Reisinger, 2015).

Alteration in structure: It is a kind of change that takes place in travel sectors that is directly make impacts the activities for “Trailfinders Ltd.”. For instance, in case of merger and acquisition the resources and share capital of the company become double and leads to increase overall capacity for the company. Basically, it will consists in order to increase overall profit as well as market share during the period of time.

Technology: It is utmost important aspect that assist in analyzing growth and success of firm. In case of getting more reliable and outcomes they need to be make use of appropriate technology in accordance to get high growth and return for the company.

4.2: Likely consequences of businesses failing to respond change

Trailfinders Ltd. a private owned company which has operated with 32 travel centres in United Kingdom and Ireland and has attained more than 1000 staff. Therefore it is important to respond changes systematic way in order to maintain their exist position and continue providing products and services. In case if the company fails to adopt changes then it will bring negative outcome to company (Timothy, 2014). The implication of failing to adopt changes are briefly described as below:

  • It will brings negative result to company in form of losing large number of customers as they preferred to go to other industry. This will make huge impact on their huge customer strengths as as market share which were captured by them already. It will spoil company's image and reputation as well.
  • Failing in adopting changes will lead to decrease in wage of affiliation and hamper the position and goodwill of company. This will increases the cost of company as well as losing competitive position.
  • It will also damage the relationship of company with their suppliers due to which supply of raw materials will affect through which the quality of products of company (Current Issues in Travel and Tourism, 2017).

Conclusion

It has been concluded from the above project report that there are number of changes occurred in travel and tourism industry which drives them to make improvement in their decision and plans in order to operate business in more effective and efficient manner. The management of companies which are engaged in travel and tourism sector required to identify the issues and problems that may affects their business operation and accordingly implement tools and techniques in order to respond change effectively.

References

  • Baker, D. M. A., 2014. The effects of terrorism on the travel and tourism industry. International Journal of Religious Tourism and Pilgrimage. 2(1). p.9.
  • Cohen, S. A. and et. al., 2014. Understanding and governing sustainable tourism mobility: Psychological and behavioural approaches (Vol. 43). Routledge.
  • Hannam, K., Butler, G. and Paris, C. M., 2014. Developments and key issues in tourism mobilities. Annals of Tourism Research. 44. pp.171-185.
  • Kim, J. H. and Ritchie, J. B., 2014. Cross-cultural validation of a memorable tourism experience scale (MTES). Journal of Travel Research. 53(3). pp.323-335.
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