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Strategic Planning - Travel & Tourism

University: University of Sunderland

  • Unit No: 11
  • Level: Diploma
  • Pages: 8 / Words 2029
  • Paper Type: Business Plan
  • Course Code: IEMA6028
  • Downloads: 718
Question :

This written assignment attempts to examine the concept of strategic tourism development. The major tasks which will be covered under this project are as follows:

  • Examining the major benefits offered by producing tourism strategic plan with the help of an example.
  • Conduct an evaluation of one planning approach for tourism development along with an example.
  • Assess how the reuse of historic buildings contributes to the development of strategic tourism by taking one example of one London historic building.
Answer :
Organization Selected : Churchill Hotel


Strategic planning is identify as an process of organisation for defining its direction or strategy, and making effective decision on allotting its resources with aim to pursue its plan of action (Strategic planning, 2018). It is an essential process and activity through which administrator implement and formulate strategics with motive to achieve long term goals and objectives. It is a formal procedure which is design to assist an enterprise in order to retain a best alignment with the most significant components of its environment. There are different features of the strategic-planning which help travel and tourism industry to attract large number of visitors for particular destination (Chapman and Speake, 2011). These are includes questioning, time horizon, pervasive process, focus of attention, co-ordination, and many other. It is more essential for the organisation to maximise their sales and revenues in an effective and systematic manner. So that, it help to accomplish their predetermined goals and targets in given time duration. With the help of this planning, an enterprise can gain competitive advantages, financial benefits and promote innovation and motivations. Further it support for travelling industry to minimise risk and increase their turnover in an effective manner. This report is based on travel and tourism sector which mainly cover two parts. These are based on the benefits of strategic plan and evaluation of co-operative and community based approach. Reuse of historic building of London that contributes to the development of strategic tourism.



(A). Benefits of producing tourism strategic plans and an example of a destination that has benefited

Strategic plans: It is essential to an enterprise because it renders a sense of guidelines and highlights measurable goals (Carlsen and Butler, 2011). It is a best tool and technique that is valuable for directing day-to-day judgements and also for analysing success and modifying methods when moving forward. It is starts with identifying a business mission with is significant to the business because it distils and synthesizes the overarching plan linking its practical plan of actions. It is important part of the travel and tourism industry to attract maximum number of tourist and maximise their profitability level. With the help of these planning tour operator capable to launch an effective package for the middle and upper class people. Further, they plan different aspects such as product, location, price, transportation facility, accommodation services and many other which help to satisfy basic needs and wants of tourist.

Planning for tourism is identified as a set-by-set process or activity which should be comprehensive, continues, environmental and integrated, emphasizing of accomplishing community involvement and sustainable development. Tourism planning is essential which should be oriented towards four important goals such as integration of local community, sustainable and optimum utilisation of resources, business success and enhanced economy, improved visitor satisfaction level (Choi and Turk, 2011). All these are important for the business entity to increase their effectiveness and profitability within an organisation.

Benefits of tourism strategic-planning: There are different benefits and advantages of strategic-planning for travel and tourism sector which are determined as below in detail way:

Financial benefits: Travel and tourism sector whose make an effective strategic plan that have good sales, high earning per share, low costs and high profits. Better strategic-planning assist to attract large number of visitors which turn in the higher benefits and growth of business in marketplace.

Competitive advantages: It is another benefits of strategic-planning which assist to gain competitive edge in limited time period. It is the role and responsibility of tour operator is to apply different channels for introducing their innovative tour package in marketplace (Cuccia and Rizzo, 2011). So that customers are aware regrading the products and services of organisation. Thus interest level of the customers for such industry are maximised which help them to attain competitive edge easily.

Minimise risk: Strategic-planning is also essential for providing information or data with motive to assess risk and frame an effective strategies in order to decrease uncertainty and capitalise in safe business opportunities. In the travel and tourism sector there are different number of risks are available such as technological, natural, biological, civil and political. It is the role of tour operator is to identify this and overcome them to plan an essential strategy.

Increased profitability and market share: Strategic-planning is also essential for the travel and tourism sector to capture large number of market share as well as maximise profitability level within an organisation (Ebrahimzadeh, Kazemizad and Eskandari, 2011). For example: strategic thinking and focused planning will uncover the segmentation of visitors, market conditions, service and product rendering that are one of the best interest of enterprise. So it is essential for the company to maximise their effectiveness and market share.

Promotes innovation and motivation: It is another benefits of strategic-planning which is useful for the travelling industry. It is the role of tour manager is to make innovation in their services and products because it attract million number of visitors to travelling in particular destination (Elbanna, 2016). For achievement of this, business manager should try to to guide and motivate their employees about this topic, so that they are able to deal with difficult situation as well as increase visitors attraction on this.

In London there are different destinations such as Warner Bros. Studio Tour, Buckingham place tour, Coca-Cola London Eye, Hop on hop off bus tour, Aadame Tussauds London, SEA LIFE, Tower of London, The view from the Shard, Kensington place, London Dungeon etc. all these are attractive places. Chosen destination in London is London eye which is more attractive and beautiful place for the tourist. It is the Ferris wheel which has a diameter of 394 feet. It is located on the south bank of the River Thames in London.

(Source: Tourist destination, 2018)

Strategic-planning in this particular destination is more beneficial for the them to attractive large number of visitors because of its beautiful wheel (Giaoutzi, 2017). Main purpose and motive of such planning is to develop plan of action or scheme for a predictable future and create them effectively. Moreover, the travel and tourism industry objectives and goals can be attained in more efficient and effective way if carefully integrated and planned into the specific country's development program and plan (London Eye, 2018). The plan will render guidance for leading future funds and efforts aimed at maximising tourism activities and functions within organisation. The main intention for touring such destination was to happily enjoy various cultural value,s sites natural beauty and the historical implications. There are different benefits of strategic-planning in London Eye which are determined as below:

Attract large number of visitors: Strategic-planning is essential to identify the tourist attraction centres which is direct within a large number of interrelated external and internal environmental factor that influence the site. For example: different tourist attraction places play an essential role in protecting and conserving the nature and building of historic heritage. As an output, managing different attractions in effected by range of problems (Horng and Tsai, 2012).

Maximising the average amount of visitor or tourist expenditure: London eye is one of the best and beautiful destination in London. In order to increase average amount of tourist and visitor expenditure, strategic-planning play an important and vital role in designing effective policies and strategy which assist to attract million number of travellers. So that, it is benefited for the London eye to increase their profitability and effectiveness in an effective and efficient manner.

Product diversification: London eye has classified its products or services in such way that completely meets the demands and needs of the visitors. Their commodity range from river cruises, Ferris wheel, dining halls to rendering services, accommodation facilities and many other (Komppula, 2014). All these are possible with the help of accurate strategic-planning because without these they can not offers these facilities accurately.

Technology and innovation strategies: Strategic-planning is important for the London eye to maximise their sales and revenues by providing quality products and services to the visitors. In order to cater large number of tourist, London eye apply high level of technology. For example: an organisation has luxurious services such as spacious rooms and hotels for travellers who interested to spend their essential time and night in the centre. On the other hand innovation also play vital role in attracting maximum number of visitors. It is a part of strategic-planning which help to give relax and satisfaction to visitors. With the help of strategic-plan Ferris wheel improved with higher technology aspects like high-tech glass capsules, it can not be damaged by any kind of project in an easy manner.

Differentiated pricing: It is the role and responsibility of tour operator to plan an effective decision about price. It is also a part of strategic-planning which is beneficial for the London eye (Kylänen and Rusko, 2011). This planning set the different price for children and adults. For instance: London eye has implanted prices for various services considering accommodation, river cruises, riding in the Ferris wheel and so on.

Marketing strategies: In this role of strategic-planning is to plan an effective strategy such as 4P's of marketing mix that help them to introduced their innovative services and products in marketplace and to the visitors in an effective and effective manner. It is fundamental aspects that the London eye provides different number of products such as river cruises, riding in the Ferris wheel, dining and hotel among many other main purpose and motive to render the tourists with the fantastic view of the city (Malek and Costa, 2015). In advertising its commodities the business apply their website and different other advertising media channel in the nation. In this way, an organisation is capable to increased profitability and attract maximum number of tourist.

Also Read: Strategic Marketing Planning for Cadbury

(B). Evaluation of Community Approach and Co-operative based approach

Planning is function of management in which plans are decide in advance about the future. This help in achieve goals and objectives in effective manner. This process help in identifies goals or objectives which every organisation want to achieve, this help in formulate strategies. This is future oriented process because it help in predict the future with the ability of human to control the affect on future.

Community based planning is process which basically focused on community. This approach is basically focused on poor communities. In this community means the practice where individuals are geographically different but share common interest and experiences. In this various researchers give their views in the form of community tourism (Morgan, Pritchard and Pride, 2011). This is more sustainable in comparison to mass tourism. Community tourism plan is written document produced on behalf of community with group of people those represent cross section of interest within that community. This plan is grown with the help of recommendation of tourism. Tourism is the way through which business can attract many visitors and fulfil their needs also. This plan help in minimise or eliminate the negative impact which help in increase the result from tourism. In this if they want to achieve success it is necessary to involve local community people in decision making process. They analyse the needs and wants of local people it is very important for tourism sector. This approach also give rise in problem which is related very expensive and time consuming (Moutinho, 2011). And this increase the complexity at the time of implementation of plan. It basically focus on development of community not on people.


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