Key Definitions

Question 0

Interdependence

Answer 0

Where one sector is dependent upon another.

For example, a tour operator may depend on the travel agent to sell holidays

Question 1

Incoming Tourism

Example?

Answer 1

When a tourist comes into a country which they do not live in.

For example, if someone who lives in the UK and goes on holiday to the USA, they would be a incoming tourist to the USA.
Or
Someone who lives in another country comes to visit the UK

Question 2

Enabling Factors

Answer 2

Enable us to be travellers and tourists.

This includes level of disposable income, education, mobility and level of urbanisation.

Question 3

VFR

Answer 3

When you visit friends and relatives.

Question 4

Adventure Tourism

Answer 4

Holiday for the purpose of challenge, and may involve an element of risk. Adventurous holidays appeal to active people who like to do exciting, unique or thrilling activities.

For example, skiing, whitewater rafting, quad biking.

Question 5

External Factors

Answer 5

Outside the control of the travel industry e.g. Natural disasters (Icelandic volcano disaster), WARS (Egypt), EXCHANGE RATE, MEDIA COVERAGE, CLIMATE CHANGE, TERRORISM, ECONOMIC CLIMATE.

Question 6

Economic Climate

Answer 6

Refers to the state of the economy of a country. A poor economic climate is one with low exchange rates and a falling stock market, which is in recession.

Question 7

Perishable

Answer 7

Where products and services have a self life as tonight’s hotel accommodation can’t be sold tomorrow.

Question 8

Horizontal Integration

Answer 8

Occurs when 2 similar organisations (e.g. 2 travel agencies) merge or where one is taken over and absorbed by the other one

For example, First Choice and Thompson

Question 9

Vertically Integration

Answer 9

When an organisation merges or takes over 2 or more companies on two or more levels of the travel and tourism industry.

For example, “The Big 4”, e.g. Thomas Cook. They all own an airline, travel agent and a tour operator.

Question 10

Independent Travel Agent

Answer 10

A travel agent who books flights, hotels, airport transfers, tours and car rentals, but who are not associated with an airline and therefore can freely book with any airline and hotel service.

Question 11

Motivating Factors

Answer 11

They are factors which make people want to travel (a burning desire to travel). They can be described as Pull or Push factors. They may include TV programmes, films or adverts.

Example of motivators include, health, wellbeing, stress reduction, a desire to visit other cultures, meeting new people, escaping work/home life, weather in destination or at home.

Question 12

Domestic Tourism

Answer 12

When a person visit to different parts of their own country.

For example, Liverpool to London.

Question 13

Outgoing Tourism

Answer 13

When a person travels from their own country to a different country.

For example, the UK to France

Question 14

Long-haul Tourism

Answer 14

When people travel a long distance, like across the work.

For example, UK to the USA and/or China

Question 15

Interrelationship

Answer 15

Where different sectors work with each other by providing complementary services or to produce a single product. Some companies interrelate by merging together, such as tour operator taking over a travel agent, so they are at the more than one level of the chain.

Question 16

Intangible

Answer 16

Products can’t be touched or experienced at the time of purchase, like a holiday that you experience but can’t pick up or hold.

Question 17

Currency Fluctuations

Answer 17

Currency fluctuations are where the exchange rates change between 2 countries over a period of time.

For example $=1.82 British Pound Sterling

Question 18

Business Tourism

Answer 18

Traveling related to work, like going from Manchester to London for a meeting/trade fairs/conferences.

Question 19

Independent tourism

Answer 19

When a customer books transport arrangement separately from their accommodation arrangements over the internet.

Question 20

Package Tourism

Answer 20

Where people book all parts of the holiday - flights, accommodation and transfers as a package with a tour operator like Cosmos. Can be sold by a travel agent.

Question 21

Climatic Changes

Answer 21

Climate changes over time, for example average temperatures are increasing at present. This causes drought in some areas, higher rainfall in others and ice caps to melt. This is caused by human activity e.g. air travel.

Question 22

Leisure Tourism

Answer 22

When people travel in their free time to take part in activities that interest them and not because they are told to.

Question 23

Excursion

Answer 23

A trip away to a tourist destination. These are particularly popular with older people e.g. coach trips. School trips is also an excursion.

Question 24

Private sector

Answer 24

Companies funded by people, which trade for a profit. The travel and tourism industry is predominantly made up of private companies.

Question 25

Public Sector

Answer 25

When companies that are funded by the government.

Question 26

Government legislations

Answer 26

Can affect the host tourism country or the departing tourist in their home country. For example, if a tourist destination’s government decides it increase business taxes, tourist and operators would find themselves paying more.

Question 27

Travel Agent

Answer 27

Travel agencies all belong to the private sector. They sell the products and services produced by the tour operator, cruise companies, airlines and hotel chains to travellers and tourists. They sell ‘on demand’ so do not stock up beforehand. They have contracts to sell tickets, seats, beds, etc.

Question 28

Tour Operator

Answer 28

Buy in and combine the various elements that make up a ‘package deal’. The products are then sold on down the line to the agencies, for distribution in the market place.