Report on Travel and tourism industry

Table of Contents

Scale and nature of global tourism 3

Emerging market economies influence tourism growth in terms of scale and nature 3

For travel technology is driving force 3

Transport is now less and cheap tiresome 4

Travelling is more enriching then ever 4

Individuals have more capacity to spend more 4

Emerging markets factors affecting global tourism 4

Growth and characteristics of key emerging markets 5

Key factors influencing travel and tourism to determine growth of key global tourism 5

Economic factors 5

Geopolitical factors 6

Technological factor 6

Sociocultural factors 7

Development of global tourism 7

International organizations influencing global tourism development 7

Investigate the role and responsibilities of these organization’s 9

Evaluate significance in affecting the growth and development of global tourism. 10

Threats, issues and challenges global tourism 10

Threats, issues, and challenges facing global tourism 10

Recommendations 11

Conclusion 12

References 12

Scale and nature of global tourism

Emerging market economies influence tourism growth in terms of scale and nature

There are various interesting trends which are occurring in the global tourism and travel industry and one of the significant and notable is growing impact of the affluent travellers from the countries of emerging markets travel which is spending as well as on investment. 

The impact of the emerging market travellers which could also see in the patterns of the travel in the US. In 2014 approximately more than half of overseas travellers of the US originated in the emerging markets. The difference of the travel industry which is spending on the patterns among the emerging market and the affluent travellers as well as the more traditional affluent travellers.  The high-end retailer which has the greatest beneficiary’s for the emerging affluent spenders that are also disproportionately for luxury goods as compare to the traditional affluent counterparts (Martín, 2015). 

In terms of scale and nature there are following trends of the travel and tourism industry;

• For travel technology is driving force  

• Transport is now less and cheap tiresome 

• Travelling is more enriching then ever 

• Individuals have more capacity to spend more 

For travel technology is driving force  

The technology which could be credited by the furthering of almost every travel and tourism industry, so there is no different tourism. Technology advancement which is also created and it is much easier to discover the new places as well as the potential growth which knows no bounds. Connected by the simplicity of technology of the gifts travellers when the booking of the trips as well as organizing their itinerary.  

Transport is now less and cheap tiresome 

The improvement in the transports which is the massive factors and it also encouraging the people which escape the confines of their own country as well as it’s also become the international explorer.  

Travelling is more enriching then ever 

The travelling abroad is supposed one the great fulfilling journey which could also take in the lifetime as well as it’s also becoming true. The ability which is also trying to exotic cuisines and it is also immersed in the various cultures and take part in the new customs. The variety which is about the 69% of travellers and it saying which would be something new in the 2016 and it is the great stimulator for the global travel and tourism industry  

Individuals have more capacity to spend more 

In the previous 50 years the people that become wealthier and relatively so they have to more disposable income as well as more leisure time to paid the leaves (Milne et al , 2001). 

Emerging markets factors affecting global tourism

Tourism as well as the travel industry has been considered as a significant industry in an administration area. An administration area comprises of different sorts of businesses, for example, monetary administrations, social insurance administrations, as well as data division administrations. Among these businesses, a travel industry is one of a most significant pointer of monetary commitments for both created as well as creating nations. A financial effect of a travel industry is critical, since colossal measure of outside inflow originate from a travel industry. A travel industry has gotten one of a most critical area in an enormous number of developing markets. Developing markets mention to nations that have quickly developing economy or that are in a transitional stage among created as well as creating status. Developing markets involve a greater part of a total populace, represent a huge portion of world yield, as well as have high development rates These rising nations have a solid impact to a worldwide economy all in all (Baimai et al , 2009).

Growth and characteristics of key emerging markets

Key factors influencing travel and tourism to determine growth of key global tourism 

The tourism as well as travel industry is the one of the greatest contributor to the world GDP. The people which have the tourism sectors and it’s also employs directly which creates the employment for the people of different sectors. There are the following factors which influence the tourism and travel industry to evaluate the growth; 

Economic factors of Travel and tourism industry

The UK economy is standing on different pillars and one of these pillars is the tourism and travel industry. So, it means that the travel industry and economy are very much relevant to each other, and both will make an impact. It is also vital to mention that the GDP of UK has been showing good performance over the years, and facts & figures have proved its superiority as compared to many other countries from OECD. The country is experiencing strong growth in its GDP, which is leading to more economic stability. It is a positive sign for the travel industry especially the higher tourism industry, where tourism industries look for a better future (Nordin, 2005). 

• Current economy and position trends which is growing, declining and the stagnant 

• There is effect of globalization on the economic environment

• Exchange the relations and the rates of fluctuation with Chocolate and the confectionary manufacturing

• Access the loans and credits which effects of the gentle Monster

The economic factors have the significant impact on the business. The change in economic environment will not have the major impact on business because currently, it will serve the UK which has a strong economy and minor economic shocks do not cause any huge difference. Due the depression effect which decreases the consumer spending sales has been dropped .At the 1st quarter of 2013 the growth of the economy is predicated about the 0.5%. This gives the results of the increasing investments and the also increasing in the spending. Also including the environmental factors that will affect the energy 

Geopolitical factors of Travel and tourism industry

The geopolitical factor which also have the deep effect on the demand of tourism. The stable geopolitical situation could also lead the healthy increase in the tourism demand as compare to the instability could also affect it’s negatively; 

• Deregulations along with the trend of regulations which effects on the change of business regulations 

• Legislative change in the Time scale 

• The property of the law rules along with the rights is the strength, plus its ratio by the organized and corruption crimes (Lomax, 2007). 

Technological factor of Travel and tourism industry

It is a fact that technology has not only made an impact on other industries, but the on travel and tourism industry has also been affected by the essence of technology. It has been said that in coming years, the people of UK will require to have digital programs, and technology to remain competitive in the workforce. 

There is great modification in the technology which is increased the communications in the travel and tourism industry increases the consumer’s relationship between the business, and the production, manufacturing is well-organized. The internet source is very important because the consumer view the industry performances which discover the new products. The technological factor is such factor which keeps on changing and businesses have to adapt themselves according to the latest technologies. If the businesses will not use the latest technology then they will lose competitive edge over their competitors (Nejati et al , 2014)

Sociocultural factors of Travel and tourism industry

Social factors for any industry are as important as any other factor is. A society with values, culture, traditions, and various other elements shows its true essence in so many ways. As far as population is concerned, the country has smaller pollution when it is compared with so many other countries. According to stats, the population of UK in 2018 was around 23m. The society is based on multicultural values, having a variety of social classes. It has been observed that the life expectancy rate in UK is different for both men and women. The good thing for travel and tourism is that people have good enough income to support their tourism. So, the people of UK are investing in their tourism. Moreover, these positive social factors are grabbing the attention of people from various countries all around the world (Pratap, 2020). 

Development of global tourism 

International organizations influencing global tourism development 

Different international organizations are working to improve tourism such as UNWTO and UNESCO. The organizations are contributing to the planning, development and preservation of tourist destinations in the hope of a more sustainable future. Planning and development are both important factors that have a positive and negative impact on the local communities, environment, and tourist destinations. The tourism development organizations are international, non-governmental and national. These organizations consider training education, environmental management, investment, marketing regulations and other socio-cultural programs. One of the most important tourism organization is the world tourism organization (WTO) and this organization is a specialized agency that deals with the development of tourism (Oecd- ilibrary. org, 2020). 

WTO also work as a global forum that issue policies for tourism and play a central role to promote sustainable, responsible, accessible and areas that require development.  World travel and tourism council (WTTC) is a private sector international tourism organization and their membership includes cruise lines, online distribution, airlines, tour operators, the gaming industry and hotels.  

Pacific Asia travel association (PATA) is another leading authority that is responsible for the tourism industry in the Asia Pacific region. National tourism organization (NTO) is a primary governing body that regulates, promote and develop tourism in different destinations. Some other originations include national tourism organization of Serbia, Korea tourism organization, and Japan National tourist Organization (JNTO) are working to improve the tourism in respective areas. International civil aviation organization (ICAO) is promoting civil aviation on a worldwide and they are working in 134 governments (Delener, 2010). In Philippine, the primary government agency "Philippine tourism agencies" is responsible for developing, encouraging, and promoting the socio-economic activity towards the generation of employment and foreign currency. 

The organization is owned by the government and they are responsible for international marketing, participation, trade expositions, trade mission, regional and international tourism organization. These organizations are working together or independently to preserve the arts, cultures and tourism places. The tax- and duty-free merchandising systems are developed and operated by these organizations to improve tourism at international levels. The main role of these organizations is to establish a firm bridge between industry and government (Axonlatam. com, 2019; Milne et al , 2001).   

Investigate the role and responsibilities of these organization’s 

The main concern of the international tourism organizations is development and planning that have a positive and negative impact on the environment, destination of tourist, and local communities. The impact is also on the cultural tourism, lifestyle, and history of the local community. An understanding of sustainable tourist development allows developing the culture without the loss of the original authentic identity. The statement shows the importance of planning so it can avoid a negative impact on the communities. Sometimes, the effect of tourism is severe for the destination from the natural and cultural perspectives as it can destroy, therefore, the role of organizations is vital in preserving and maintaining the places for the new coming future generation to have an idea of their ancestors and forefathers (Eturbonews. com, 2016). The roles and responsibilities of international tourism organizations are significant in the world economy and the facilitator work for the expansion and economic progress. 

The potential impact of tourism is to increase revenues, generate foreign exchange, and employment opportunities in the destinations. The branches are doing economic benefits that allow countries to redeploy the jobs and wealth for the establishment of urban areas to the regional communities. The tourism industry supports economic development by enhancing infrastructures such as electricity networks, roads, health, education, and communication services. The prospective role is to encourage sustainability and growth by protecting cultural and natural heritage (Milne et al , 2001). The developing nations are focusing on tourism development. The ultimate role is to improve pole position for diversity management due to extensive focus on the prominence in the tourism sector. Tourism can be motivated by large numbers if they discover a staff who can relate the aspects. The staff diversity in the organizations can be heightened through the merchandises that sold to tourist (Atherton, 2016).   

Evaluate significance in affecting the growth and development of global tourism.

The international organizations of tourism are affecting growth, development of global tourism and sustainability. The most significant fact is sustainability according to the past few years. The projected effects will remain to influence the shaping of trends in the future. Sustainability refers to principles, guidelines, and practices that are related to the approach of the organization for the management of issues (Pratap, 2020). The main concern of these organizations is to manage issues such as economy, socio-cultural, and environmental aspects in the tourism industry. The sustainability involves moral and ethical principles for the decision making and management of the tourism industry. The key constituents for sustainable development in the sector of tourism are to provide efficient use of environmental resources. The process uses ecological considerations that conserve natural heritage and biodiversity. The international organizations work on the incorporation of moral and ethical principles that work in critical decision making and practice the management of the tourism industry (Delener, Nejdet, 2010).    

Threats, issues and challenges global tourism

Threats, issues, and challenges facing global tourism

The global tourism industry is facing a number of issues, threats and challenges and principle issues for the tourism industry are listed below,

1. Increase in mass tourism is causing further straining in the infrastructure of tourism.

2. The physical plants are no longer adept for current and modern tourism. Most of the airports are not equipped well to handle the tourists. The lack of infrastructure cause unpleasant and poor experience (Delener, 2010). 

3. The high taxation on the tourism industry is increasing the cost of travel, exit payment, entrance conditions, and economic saturation limit that diminution the profits of tourism.

4. The lack of good facilities, not well-maintained hazards, poor roads, heavy taxes, and street quality can reduce the tourism and warning signs can be headed towards future problems. 

5. Efficient customer services are the main keys to the health tourism industry. the least expensive tourism experience and quality customer services from the organization and tourism industries increase tourism (Oecd- library. org, 2020). 

6. The threat of terrorism is posing the greatest threat. In the recent analysis, foreign visitors only consider the shunning destinations that are not requiring any consideration for the security, hotel occupancy rates and dramatic failing in the areas (Axonlatam. com, 2019). 

The statistics of France shows that 45 per cent decline in revenues were faced after the Paris attacks and tourism in France make more than 7% of the total annual GDP.  The explosions in two towns of Europe, in Phuket and Hua Hin, resulted in a loss of 200,000 tourists by the end of the year. the statistics of airlines shows that 50% change in the demand of traditional hotels and Airbnb reported that the primary focus of the customers is towards the longer duration, leisure, and single night stay segments. online travelling agencies (OTA) are predicted to fall in brand values. Different diseases such as Ebola, Hepatitis, Typhoid, and yellow fever-induced detrimental impact on the travel industry in recent years. The advanced medicine level in western Europe, the United Kingdom, and America are protecting travelers from threatening diseases. Currently, the outbreak of novel COVID-19 restricted travel across different countries therefore, disease reduce potential tourism (Atherton, 2016).  

Recommendations of Travel and tourism industry

In this section, different suggestions are considered that can increase tourism across the world. Development of tourism vision is necessary by the government rules and regulations. The national and international organizations are supposed to work collectively to improve the tourism and community response towards the tourists. These organizations must produce a vision that is obtainable and realistic and overcome the obstacle stand by creative ideas. Different countries could take initiatives to simplify the laws and procedures for currency exchange. The hard currency can produce a great deal in tourism for particular locations (Eturbonews. com, 2016). Different exchange centers such as hotels and banks can provide low price currency exchange and the tendency of legal services can be increased.  OECD reports underlined different facts for the sustainability and development of tourism. The development of tourism in a country depends on the ability of the location and destination to improve the social, political, economic, and environmental trends. The private sector and local communities can promote the inclusive growth rate.  The monitoring tools can be used for sustainable, optimal, and long term economic operations (Godreau, 2019). 

Conclusion of Travel and tourism industry

The complex activities in the tourism are higher for the economic, political, social and environmental challenge. Adequate management is required to improve the facilities for incoming tourists. Monitoring effects must be focused for instance UNWTO initiatives that are towards the statistical framework are designed for the measurement of sustainability of tourism (MST). Most of the tourist destinations are confronted towards the development of policies and to promote sustainability under the defined terms and approaches. the decision making must be improved with the sustainable tourism indicator system that enables the evaluation of policies, instruments and strategic decisions.

References of Travel and tourism industry

Atherton, M. (2016). Facing New Threats: Challenges and Risk in Today's Travel Industry - Pt. 1. Retrieved from www.manticpoint.com: http://www.manticpoint.com/blog/facing-new-threats-challenges-and-risk-in-todays-travel-industry

Axonlatam. com. (2019). 7 recommendations in the tourism sector for 2019. Retrieved from www.axonlatam.com: https://www.axonlatam.com/en/update-with-our-contents/7-recommendations-in-the-tourism-sector-for-2019/

Baimai et al , C. (2009). Market Potential Estimation for Tourism in Emerging Markets. Pasosonline, 515-524.

Delener, N. (2010). Current trends in the global tourism industry: Evidence from the United States. Revista de Administração Pública, 44(05), 1125-1137.

Delener, Nejdet. (2010). Current trends in the global tourism industry: evidence from the United States. Revista de Administração Pública, 44(05), 01-10.

Eturbonews. com. (2016). Principal issues facing the tourism industry. Retrieved from www.eturbonews.com: https://www.eturbonews.com/134325/principal-issues-facing-tourism-industry/

Godreau, A. (2019). How global tourism can be more sustainable. Retrieved from www.weforum.org: https://www.weforum.org/agenda/2019/09/global-tourism-sustainable/

Lomax, W. (2007). CIM Coursebook 05/06 Analysis and Evaluation. Routledge.

Martín, R. (2015, May 7). How emerging market growth is changing tourism. Retrieved from https://www.weforum.org/agenda/2015/05/how-emerging-market-growth-is-changing-tourism/

Milne et al , S. (2001). Tourism, economic development and the globallocal nexus: Theory embracing complexity. Tourism Geographies, 3(4), 369-393.

Nejati et al , M. (2014). Investigating the key factors influencing the travel decisions of international tourists.  International Journal of Leisure and Tourism Marketing, 4(2).

Nordin, S. (2005). Tourism of Tomorrow: Travel Trends and Forces of Change. Utredningsserien / European Tourism Research Institute,.

Oecd- ilibrary. org. (2020). Tourism 2020: Policies to Promote Competitive and Sustainable Tourism. Retrieved from www.oecd-ilibrary.org: https://www.oecd-ilibrary.org/docserver/tour-2010-4-en.pdf?expires=1588613398&id=id&accname=guest&checksum=8DB63548450A88D7335D1DE11AA78CF9

Pratap, A. (2020, April 4). FACTORS AFFECTING DEMAND IN THE TOURISM SECTOR. Retrieved from https://notesmatic.com/2018/02/factors-affecting-demand-in-the-tourism-sector/