Fundamentals of Tourism

Tourism Industry is a smokeless industry. It is dependent on several other industries like hotel, transport, banking, retail, entertainment, food and beverages, insurance. However the authenticity of a tourism product is very different from that of a tangible product as it gives real life experiences. Tourism is purely dependent on a person's leisure time and disposable income. It further helps people in availing services across the globe. Tourism industry sells experiences to the tourists and these experiences in return brings profit to the firms of this sector.

It is utmost important to know about the background of tourism industry as it holds the originality of a particular event or a particular activity in this area. History has influenced people's behavior since time immemorial.  Since the primitive stage people wanted some movement and activity in their life and with the advent of tourism in particular, these activities gave a new direction for the industry to boom. Social advancement, amalgamation of culture, social upliftment, technological advancement, economic stability molded this industry in an efficient way. The requirement for travel has kept on changing as per the time and situation.

Apart from the content mentioned already, some more points to be noted:

* People like Al Biruni has contributed by their writings in the form of books like 'Tark Al Hind' particularly on knowing about the religion of India and 'Al Usad' on situation of India in 11th century. Similarly Adi Sankaracharya is believed to have established Peethas and Dhamas on all the four parts of India. By such establishments, he gave the message to the pilgrims to travel these places at least once in a lifetime.  Hueng Tsang, a chinese traveler contributed his writing in books like 'Journey of the West and India' and 'Great Tsang Records on Western Regions'. Similarly Fa Hien another Chinese traveler, travelled India to explore places of Buddhist interests and contributed his writings on various Indian cities like Magadha and declared Patliputra as a prosperous city.

Other than this, there are few more terminologies that are important:

1.  Affinity group- These are formal/informal groups that are non-commercial and from an organization that shares common goal, interest, hobby or activity. Some examples could be family groups, destination weddings, study trips, private social clubs

2. ARC (Airline Reporting Conference)- They are the groups of two or more members of individual or a company or government  having common goals and work for airline companies. They by agreement provide a method of confirming authorized agency the location for transportation sale. Also it is a procedure which is cost effective process for records and fund processing.

3. American Plan- This is a meal plan of a hotel. It offers the heaviest meal as it comprises room rent, one minor meal i.e., breakfast and two major meals i.e., lunch and dinner.

4. Bulk Fare- These are the fares available to the tour operators or travel agencies. They buy a specific block of seats from a carrier relatively at low price without commission and sells them further including the commission along with the markup.

5. Carrier- It comprises the transport sector including airways, cruises, road transport like coaches, rails, etc that carries passengers to the destination.

6. CTP (Certified Tour Professional)- The National Tour Associations usually this designation to those people who has completed a prescribed course of academic study, tour employment, professional service and travel industry requirements.

7. CTC ( Certified Travel Counselor)- It s a designation provided to those

8. Charter- It is a legal contract between an owner and an organization for providing transport hiring facilities to the travelers.  This is often applied to the airlines sector.

9. Commercial Rate -This is a rate agreement between a company and a hotel.  At this point the hotel usually supply rooms at a specific quality and the rates with their clients especially corporate clients.

10. CRS (Computer Reservation System)- These are used for managing inventory by hotels, airlines and other facilities. This system allows the travel organization to check availability, make bookings and bring out the tickets.

11. DMC (Destination Management Company)- This is an organization working specifically for a destination's booking and arrangement for tours, accommodation, transfers, sightseeing, meetings, special events and conferences. They have their specialists for local language.

12. Emigration- This is a process when a tourist leaves one native country or region to another and goes through the process of document verification of passport and further formalities.

13. Ethnic tour- These are the tour designed for people that are of same culture and they travel to their native origin or a place of ethnic relevance.

14. European Plan- This is a meal plan that consists of room rent with no meals.

15. Group Tour-  This is a pre-arranged prepaid travel program for the groups provided with trips, accommodation, accessibilities, amenities or activities.

16.  High Conservation Value- These are the sites that have recognition of significance of natural or any cultural site.

17. High Season- These are also called as peak season or on season when the demand of the package tours are highest. There are high usage of rooms in the hotel or high demand for transport or any other facilities at the destination.

18. Immigration- This is a process when a tourist enters another country or region and goes through several formalities like verification of passport, citizenship and issuance of visa.

19. Indigenous community- These are the group of people also referred to as first people, ethnic group, aboriginal people, native people or autochthonous people that belong to a particular region, area or native place.

20. Intermediate Carrier- These are the carrier that act as transport of baggage or passenger during the inter-line movement.

21. Itinerary-  It is a tour plan of a day wise trip consisting describing all the components including timing of transportation and details all the facilities and activities in a tour package.

22. Leisure Travel- These are the trips that seeks pleasure for the tourists and are non-remunerative.

23. Mark up- It is the difference between the cost price and the selling price of a specific travel product. It can also the difference between the net rate that are charged by the tour operator, accommodation suppliers, or any other suppliers and the selling price of the service that is for retail purpose.

24. No-frills- These are the low cost pre- scheduled travel package that minimizes operator's cost and service and these are further provided to the customers at a much cheaper rate. 

25. Off-peak or Off season- This is a period in which the destination or the hotels there does not have much demand as is not a busiest season.

26. Pax- Person approximate which means passengers, usually used in tourism industry.

27. Protected area- These are those land or area that serves for the purpose of protection and maintenance of natural or cultural resources and are generally handled legally or by other means.

28. Transit Visa- These are the endorsement on passport provided to allow the tourist to stop over in a country so as to make a brief visit there.

29. Visa- stamp of approval or endorsement on passport  recoded to enter a country for a particular purpose.

30. Visa waiver- These are among those program to eliminate the visa requirement for some selected countries. These are generally provided by the government.

Apart from the two major forms of tourism, there are other forms as well. National and Internal Tourism. National Tourism categorizes outbound and domestic and internal tourism categorizes domestic and inbound

The International Air Transport Association was established in the year 1945. The headquarter is located at Montreal, Canada.
I.A.T.A regulates all the air ticketing operations and transportation throughout the world. I.A.T.A have partnership with more than 200 airlines around the globe. The major function of I.A.T.A is to decide the airfare so as to avoid the disparity in charging these from the customers.
I.A.T.A has divided the world in the three traffic conference areas and global indicators. Global indicators decided the routes of airlines and accordingly charges are fixed.

Aims: I.A.T.A aims for the valuable creation and insures safe, secure and most profitable air transport industry. It provides services to airlines industry so as to facilitate them in a best possible way so as to lead in the world tourism market

Objectives:

1. I.A.T.A ensures the regularity, safety and enhances economic growth of aviation industry

2. Handles collaboration with other international/ national bodies

3. Handles any misconduct or wastage caused in the unreasonable competitive market

4. Provides platform for operation for the tourism industry professionals , i.e., tour operators and travel agents

5. Provides training and development programs in the aviation sector

6. I.A.T.A also cooperate with International Civil Aviation Organization

Membership

I.A.T.A has two types of membership:

1. Active Members- These are the trade association and trade association members. These are the ones who are licensed to operate schedules air transport services between territories of two countries. They have various rights, duties and authorities.

2. Associate Members-This membership is for organization in travel, hotel, transport sectors who provides/helps in providing tourism services.

3. Allied Members-They are the ones authorized for dealing with airlines ticket and using IATA logo. They are mainly the travel agencies, tour operators or the ones selling airline tickets.

Source: www.iata.org (official website)

UNWTO, popularly known as United Nation World Tourism Organization was established in the year 1975. Its headquarter is located at Madrid, Spain. The major responsibility of UNWTO is the promotion of universally accessible, responsible and environmentally sound sustainable tourism worldwide.

Aims and Objectives

• Helps in stimulation of economic growth and job creation in tourism sector

• Protects the environment and cultural heritage across the world

• Promoting peace, prosperity and respecting rights

• Enhances mutual friendship

• Stimulates the public-private partnership

• Encourages global code of ethics for this sector

• Co-ordinate and Co-operate with international agencies for promotional champagnes

• Focuses on destination development

The three main membership include:

1. Full- Sovereign states

2. Affiliate-Mostly governmental, non- governmental and internal bodies having specialized interest in tourism. They are open to any public or private organizations, NGOs, airlines, travel agencies, destination promotion boards, hotels, educational institutions, trade unions, IT companies, training and research centers or any firm involved in tourism related activities.

3. Associate-They are mostly those territories not responsible for external relations but their membership is approved by states deals with external affairs.

It is United Nations specialized agency that generates market knowledge and promotes sustainable and competitive policies for tourism industry. It further conducts different training and education programs.

source-www.unwto.org (official website)

International Civil Aviation Organization

This is another organization as United Nation Specialized Agency which controls civil aviation throughout the world. It was formed in 1944.  I.C.A.O ensures safe service of air navigation by Chicago Convention. This Chicago Convention was established as agency of the United Nation which was responsible for regulating and coordinating international air travel. It has approx 193 members, out of which 191 are part of I.C.A.O. The headquarter of I.C.A.O is located at Montreal, Quebec (Canada).

Responsibilities:

• Ensures safety, security of aviation sector in the area concerned

• Investigates on flight fares decision

• Promotes aircraft design and technology of aircraft

• Promotes infrastructure of international civil aviation

• Work in collaboration with other organization

• Sets policies and standards

• It undertakes audits, undertake research and studies

• Maintains aviation capacity

• Protects the rights of member countries , so that each member has opportunity to operate and compete in aviation market

Source- www.icao.int (official website)

Pacific Asia Travel Association (PATA) was first established as an NGO so as to promote and facilitate travel into Pacific destinations. This organization stimulates interests in the Pacific regions. The organization was established in the year 1951. PATA is suppose to have its first conference at Honolulu in Hawaii in January 1952.  PATA's head office is located in Bangkok since 1998

Responsibilities:

• Assists potential destinations for better infrastructure

• Provides both practical and theoretical experience to people and members concerning tourism industry

• Conducts research and development activities through education and conduct marketing programs for their concerning products

• Conducts research and education program for the human resource development

Membership

1. Active government- Primary official organization of Nation falling partly or fully in Pacific area

2. Associate government- Those organization, apart from primary official organization of tourism that carry responsibilities of domestic and overseas tourism promotion either outside or  within the Pacific area

3. Active carrier member-They are government recognized, certified regular or scheduled air or steamship passenger carrier

4. Associate carrier- They are government recognized, certified regular or scheduled air or steamship passenger carrier with minimum capacity of twelve or fewer passengers or with no passenger service on regular common carriage

5. Active Industry-They are the members of hotels having management authority  with capacity of one thousand guest rooms in Pacific areas along with the tour operating firms excluding air or ship transportation

6. Allied members- Travel agencies, tour operators, hotel representatives, ship transporters

7. Affiliated allied members-They are the branch offices of the allied member tour operators and travel agencies

8. Associate members- They are mainly the media representatives, public relation team, advertising and research agencies

   
   

Source: www.pata.org (official website)

The Universal Federation of Travel Agent Association (UFTAA) is an international organization for travel agents and tour operators that represents the travel industry. UFTAA was created in Rome (Italy) ion 22nd November 1966. The headquarter of UFTAA is located in Rome. UFTAA is the longest establishing partner for negotiation with the leading travel firms. It closely co-operate with IATA.

Functions of UFTAA:

1.  It acts as an international forum where matters relating to travel industry are addressed.

2. It unites and consolidate the federations of travel agents and enhances the interests of the members.

3.  Works to adopt certain measures for easing travel for the consumers and offering services to member federation

4. It acts an investigation and information center and supports the work of member federation, also offers information for technological development.

5. Time to time organize the world congress for travel agents and several meetings for exchange of travel related knowledge.

Memberships:

1. Affiliate- Affiliate members are individual agencies, inbound and outbound tour operators, hotels/resorts, hospitality providers, tour/sightseeing operators, destination management companies, specialized tour agencies, cruise sales promoters, MICE organizers, transport companies, technology providers, allied service providers, education providers like institution conducting tourism and hospitality courses, professional aviation training staff members, global placement companies, visa service providers, foreign exchange,/debit or credit card providers, communication companies, meet and assist agencies at airports or inside the city

2. Associate- These are the members from tourism boards, destination management companies, cruise liners, airline companies,  hotel chains, transport companies, health centers, tourism or theme park centers, Freight promotion companies, MICE promoter companies, insurance companies, manpower training institutions, institutions with UFTAA approval. 

3. Associations- There are  several national associations connected with this organization. The membership of these organization are associations like travel agencies, tour operators, specialized tour agencies, companies in the hospitality business, MICE organizers, transport companies, charter companies, allied service providers like online companies, education and technology providers, members who are part of other related filed.

Source: www.uftaa.org (official website)

World Association of Travel Agencies

This is an international non-profit organization that takes care about the growth and development of travel and tourism related activities. This organization was establish to focus on the interests of travel agencies worldwide & providing them means for collaboration with the airlines, hotels, cruises, transport organization.  The association was established in the year 1949. The headquarter of WATA is located at Geneva in Switzerland. This organization brings destination management companies on the basis of one per country. It provides services for both leisure and MICE travel and collaborates with offices that specializes in tailor made leisure groups and FITs.

The functions of WATA are:

1. Works for the promotion of tourism

2. Takes care of ethic standards and further promotes them

3.  Conducts research and development on tourism

4. Negotiates with several other organizations

5. Provides technical help to sectors of travel sectors

6. Organizes worldwide conferences and seminars

7. Provides training and education programs

8. Takes care of International collaboration

9. Brings out several projects for the benefits of members

Membership:

Full and exclusive membership -Applicable to inbound travel agencies and tour operators with highest professional ethics.

Source : https://www.wata-dmc.net/ (official website)

The American Society of Travel Agent

ASTA is one of the largest and leading professional association which was established in the year 1931 in the name of Asian Steamship and Tourist Agent Association and the name was changed in 1945. ASTA works for educating and training its members. It provides a common forum for several discussion on travel related services. It organizes seminars, conferences and conventions. ASTA provides several means for collaboration and time to time publishes materials for the promotions of tourism industry.

Functions:

1. Mainly ASTA provides assistance in professional and technical assistance.

2. Provides forum for exchange of ideas

3. Conducts several market researches worldwide to offer best travel solutions

4.  Conducts research studies and works for marketing and publicity for upliftment of travel agencies.

5. Conducts further training and education programs for supervising employees of travel companies

6. Further works for co-operation with other travel organizations.

Membership:

1. Active Member- These are mainly the travel organizations that are actively involved in travel business activities like that of travel agencies, tour operators,

2. Allied and Associate Member- These are those members that are not actively involved in travel and tourism business activities but supports it as a supplier like airlines, hotels, railways, government organizations.