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Impact of BREXIT on Tourism Operators In UK

University: University of Warwick

  • Unit No: 8
  • Level: Post Graduate/University
  • Pages: 7 / Words 1694
  • Paper Type: Assignment
  • Course Code: TLH302
  • Downloads: 210
Question :

This assessment will cover following questions:

  • Explain some of the critical success factors for tourism businesses.
  • Examine the impact of a macro-environmental event on stakeholders.
Answer :

INTRODUCTION

Tourism sector is considered as the effective industry which provides contribution in the growth of nation. Its generated revenue also provides contribution in the economic development of the nation. BREXIT is identified as the important event which have affected performance of United Kingdom a lot (Ateljevic, 2017). BREXIT have placed higher impact over the overall tourism industry in many forms. The current project is the continual part of CW1 in which work of impact of BREXIT over Macro environment along with two of its main stakeholders had been explained. In this current project, the main focus has been placed on response strategies taken up by the two stated stakeholders in order to reduce impact of BREXIT on them.

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MAIN BODY

Overview of the event

BREXIT is termed as the initiative taken by United Kingdom to keep themselves away from European Union. The respective event initiated in the year 2017 but is still in the status of in process. It is expected that it will completely completed by 31st January 2020. The main reason behind this event was that UK was not able to execute their work at their own level due to boundation presented by European Union. Along with this, it was difficult for the businesses to grow their work at their own level because they have to discuss their proposed plan and policies (Berry and Ladkin, 2017). This directly delays the project functioning of companies working in United Kingdom. In addition to this, it has been further analysed that the respective event has not only affected businesses of United Kingdom but at the same time it has also placed major influence over the tourism industry of UK. Th respective influence can be seen on positive form as after BREXIT event Britain become so much popular across the world that which have attracted maximum number of tourist towards them in effective manner. On the other hand, it has been later analysed that the influence of BREXIT on tourism industry was also negative. This simply means that figures which depicts number of traveller of UK states that they are declining with the passing time.

Stakeholders affected by Brexit

The overall event named as BREXIT places impact over two of the main stakeholders of tourism industry which are tourism operator of United Kingdom and Government of United Kingdom. Influence on both the stakeholders are stated as below:

Impact of BREXIT on Tourism Operators

It has been mainly analyzed that post BREXIT number of consequences as well as uncertainty in UK has been increased. This uncertainty can be seen in the form of economy decline. In addition to this, it can be said that economical condition of nation is not strong than it would not be possible for them to attract maximum number of travelers or visitors towards them (Clayton, 2013). Along with this, it has been further analyzed that the overall impact over the tourism sector can be seen in the form of decline in number of visitors within the country with 3% by comparing it with the data received from the records stated in the year 2017. Along with this, it has been further analyzed that number of traveler are total 1.2 million in UK. This simply states that post impact of BREXIT could be seen in the form of decline in number of people.

Impact of BREXIT on Government of UK.

Along with this, it has been further evaluated that government of UK has also suffered a lot due to post BREXIT. This simply means that it has delayed in entrance of UK's border. Along with this, it has been analyzed that the air fare of the company has also been increased post BREXIT that have also influenced interest of tourist towards the visiting UK because they do not want to visit the nation whose transportation is very expensive to them (Easterling, 2015). This also shows that the overall contribution to this industry declines with the passing time as number of travelers are declining towards the same.

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Response strategies taken up by the 2 stakeholders

Response strategies are termed as the strategy adopted by specific individual towards the issue so that they can easily cope up with the following issue. With reference to the current provided scenario, it is essential for the individual to adopt right strategy so that they can easily cope up with the impact which is being faced by them due to the event (Gannon, 2014). Response strategies for both the stakeholders are stated as below:

Response strategies taken up by Tourism operator

  • At the first, it is essential for tourism operator of UK to make use of effective promotional technique related to their specific destination so that they can develop their understanding over several destinations in UK. This will directly spread knowledge of people about the places which will definitely influence their interest to visit the place at least once in the lifetime. This promotional activity can be effectively done by making use of campaigns that highlighted attractive places of United Kingdom that are popular for all people and will also influence interest of individuals with its beauty effectively. By making use of these activities, it would be easier for tourism operator of UK to develop knowledge of people regarding the hidden attractive places of UK.
  • The next strategy that could be adopted by tour operators of UK for reducing their Brexit impact over their market performance is to bring some innovative approached to add on in their services or packages (Sofield and Li, 2011). In this the tour operators can approach their target market by offering some sort of additional benefits in their travel packages for attracting maximum number of visitors or travellers towards them.

You may also like to read - Dealing Issues Faced by Tourism Industry

Response strategies taken up by Government of UK

Government of UK is looking forward to undertake raft of measures as to effectively boost tourism in a well defined manner (Walle, A. H., 2015). It has been seen that with the decrease in value of pounds foreign visitors makes affordable trips. Further government duly announced deregulation drive in order to benefit Britain tourism. Along with this, this some of the regulatory changes are made by government that allows B&Bs to duly serve their customers with alcohol and further allow owners to lift their guests from train stations to their accommodation. In addition to this, it has been identified that government have also announced series of new single-booking fox rail itineraries as to effectively encourage large base of visitors from all across the globe (Tribe, J., 2019). With the help of all these measures it has been seen that there are wide scale response strategies that has been undertaken by government in order to duly boost up UK tourism after Brexit. In addition to this, UK government also announced different set of projects that duly encourage tourists from all around the world. Further it has been identified that Tourism play key essential and most important role in development of UK. It has been seen that there are number of tourists location in UK that attracts tourists from all around the world. Thus, it is essential for government to UK to undertake strategic measures in order to strengthen this sector in best effective manner. As this sector not only provide country with economic growth but also aid them to increase living standards of individuals within country by providing them number of employment opportunities. Country is having stunning countryside, world-class museums and fantastic heritage sites that satisfies needs of customers in terms of tourism. In addition with this, with the help of Discover England Fund and working with organisations in tourism industry government of UK is looking forward to effectively strengthen tourism sector within country. Along with this, UK government has announced a £40 million (around €46.8 million) fund in order to boost up tourism within UK. Thus, as per the above mentioned report it has been analysed that The UK travel and tourism industry play significant role to increase economic growth of country. For this in order to boost tourism government is undertaking use of different strategies and measures. For example, visa-free travel and offering more safeguarding measures for transport links has been offered by government (Toh, M. H., 2018). With the help of all these significant measures company is looking forward to increase overall efficiency of UK tourism.

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CONCLUSION

As per the above mentioned report it has been identified that , tourism sector significantly play key essential role in UK government as it significantly increase economic growth of country. It has been identified that there after brexit there are significant changes that has been seen in travel and tourism industry of UK. For this country government undertake use of different types of strategies as well measures to boost this sector as it is one of the most important source of country income level. Government of UK effectively maintain customer confidence in travel and further entitled them with high value.

REFERENCES

  • Ateljevic, J., 2017. Small tourism firms and management practices in New Zealand: the Centre Stage Macro Region. Tourism Management. 28(1). pp.307-316.
  • Berry, S. and Ladkin, A., 2017. Sustainable tourism: A regional perspective. Tourism Management. 18(7). pp.433-440.
  • Clayton, A., 2013. Policy coherence and sustainable tourism in the Caribbean. International Journal of Contemporary Hospitality Management. 15(3). pp.188-191.
  • Easterling, D. S., 2015. The residents' perspective in tourism research: A review and synthesis. Journal of Travel & Tourism Marketing. 17(4). pp.45-62.
  • Gannon, A., 2014. Rural tourism as a factor in rural community economic development for economies in transition. Journal of sustainable tourism. 2(1-2). pp.51-60.
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