Chapter 2
Contemporary Issues and
Approaches in Transport &
Tourism
1
Contents
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Contemporary issues and approaches in transport
The economist and tourist transport
Economic issues in analyzing tourist transport
Transport, tourism and economic development
The demand for tourist transport
The Supply of Tourist Transport
Geography and tourist transport
Globalisation and tourist transport
Tourism geography and tourist transport
The car and tourist travel
Congestion
Tourism geography, transport and analytical concepts
2
Contemporary issues and approaches in transport
• Tourism, like transport studies, is a
multidisciplinary field of study that has borrowed
and refined concepts and theories from other
subjects as it establishes itself as a legitimate area
of academic study.
• This poses a number of problems for researchers
when exploring the relationship between
transport and tourism in the context of tourist
transport systems.
3
Contemporary issues and approaches in transport
• In most cases research is based on those social science
disciplines
• This has an important bearing on the analysis of tourist
transport systems because the types of question a
researcher asks, and the focus of their work,
• This chapter commences with a broad overview of
some of the key issues associated with transport and
tourism in the 21 century to highlight what types of
concepts and approaches are needed to understand
them
4
Contemporary issues and approaches in transport
• As Figure 2.1 shows, understanding the themes
and issues associated with tourist transport spans
many subject areas.
• While this list of themes is by no means
comprehensive, it does highlight two key points:
1. to understand each theme requires a distinctive
set of concepts and approaches, and
2. increasingly these themes cannot artificially be
divided into different subject areas because of
the interconnections between them
5
6
Contemporary issues and approaches in transport
• Figure 2.1 identifies the broad themes which
have an associated set of questions through the
contribution made by different subject areas to
the analysis.
• Many subject areas have made distinctive
contributions to the study of tourism
• Social science subjects such as social psychology,
sociology, and business and management
studies have an interest in tourism and transport
studies.
7
Contemporary issues and approaches in transport
However, for the purpose of this chapter, there
are a number of subject areas identified for
consideration, since they have made a direct
contribution to the analysis of tourist transport
systems. These are:
• economics
• geography
• marketing
• management
8
Contemporary issues and approaches in transport
• Although other cognate (related) areas such as
logistics, planning, environmental science and
behavioural sciences (e.g. psychology) do have a
bearing, these are discussed throughout the book.
• However, the discussion in this chapter emphasizes
the main subject areas whose contribution is
documented and concludes with a focus on
management that provides a practical setting in
which the contribution of each subject area is
uniformed for a practical purpose
9
The economist and tourist transport
• The economist's approach to the analysis of
tourist transport is based on two distinct areas
of research: transport economics, and tourism
economics, and each area of study uses similar
concepts to understand how the tourist
transport system functions.
• For this reason, it is useful to consider what
issues are examined by economists as a basis for
a more detailed discussion.
10
Economic issues in analyzing tourist transport
• Economics is concerned with the economy or
economic system ... [and] the problem of
allocating resources is a central theme of
economics.
• Economics is also the study of methods of
allocating scarce resources and distributing
the product of those resources, and the study
of the consequences of these methods of
allocation and distribution
11
Economic issues in analyzing tourist transport
Microeconomics is therefore concerned
with certain issues, namely:
• the firm
• the consumer
• production and selling
• the demand for goods
• the supply of goods
12
Economic issues in analyzing tourist transport
On the other hand, macroeconomics is mainly
concerned with:
• how the national economy operates;
• employment and unemployment;
• inflation;
• national production and consumption;
• the money supply in a country.
13
Transport, tourism and economic development
• the economist's interest in transport is primarily
focused on its role in creating economic benefits
for the economy.
• Where transport systems operate efficiently, they
can improve accessibility, create beneficial
impacts and improve the mobility of people and
goods.
• For ex., in the 1933-45 period in Germany where
the concept of the Autobahn was also used as a
tool to promote tourist travel
14
Transport, tourism and economic development
• The role of transport in sustaining the
UK's productivity and competitiveness
and argued that transport and economic
growth are coupled together and vital to
the health of the economy:
• such arguments are rarely compatible
with pro-sustainability.
15
Transport, tourism and economic development
• The importance of large urban centers for
economic activity and as a focus of transport
activity, with 89 % of congestion delays
occurring in urban areas and the need to
address problems in:
- congested urban areas and their catchments
- key inter-urban corridors
- key international gateways
reflecting the advice and arguments put forward
by the wide range of industry bodies and transport
economists/geographers.
16
Transport, tourism and economic development
• At a macroeconomic scale, some studies suggest that
transport may account for around 10 % of a country's
GDP as well as over 10 % of household expenditure.
• So it has a significant impact on national economies,
enabling consumers and producers to be accessed
easily, while being a key element in economic
development.
• This is often most visible at a regional scale where
transport infrastructure investment and provision may
be used to pump-prime (help) the economic
development process
17
Transport, tourism and economic development
• If tourism is brought into the equation, then
the role in GDP and economic activity
increases.
• The relationship between transport, tourism
and economic development is a greatly
debated area, with many transport
organizations arguing that there is a broadly
positive relationship between GDP and
demand for transport.
18
Transport, tourism and economic development
• This is especially the case with air travel.
• But while transport may improve connectivity
and accessibility for tourism, it can also have a
negative effect if it makes outbound travel
more attractive.
• In other words, travel account runs in deficit
because of the accessibility of outbound travel
opportunities while other sectors of the
economy point to the benefits offered by
improved access and connectivity
19
Transport, tourism and economic development
• Nevertheless, transport is viewed as a
prerequisite to achieve economic
development, particularly where that
development is related to tourism.
• Not only is this a function of infrastructure
provision (e.g. roads, ports, airports and railways), but
this infrastructure needs to be designed to
provide an efficient connection between the
tourist and destination if it is to gain a
competitive advantage so that tourism can
develop
20
Transport, tourism and economic development
• More recent research by tourism economists
have begun to model the importance of
transport in explaining the economic
development of tourism, measured through the
impact on tourist arrivals as reflected in study of
Mauritius.
• This repeates the importance of other studies
demonstrating the crucial role of transport
infrastructure in promoting destination
development
21
The Demand for tourist transport (xxx)
• transport economists examine the demand for
different modes of travel and the competition
between such modes in relation to price,
speed, convenience and reliability.
• Economists attempt to understand what affects
people's travel behaviour and the choices they
make in relation to transport as something that
is rarely consumed for its own sake; it is usually
demanded as a means of consuming some
other goods or service
22
The Demand for tourist transport
The demand for tourist transport is also
characterised by:
• its almost instantaneous and unpredictable
nature, which requires operators to build
overcapacity in the supply to avoid dissatisfied
travellers
• the variability in demand, ranging from derived
demand (such as business travel) to primary demand
(for vacation purposes)
• non-priced items (e.g. service quality, reliability and
punctuality).
23
The Demand for tourist transport
• Transport economists have developed
mathematical models to analyse the tripmaking behaviour of travellers, the factors
influencing demand and why variations
occur in the trip-making behaviour of
consumers due to relationships between
socio-economic factors (e.g. age, income,
profession and family status) and the effect of
macroeconomic conditions (e.g. The state of the
economy).
24
The demand for tourist transport
• In contrast, tourism economists have examined
the demand for travel and tourist products,
recognising the significance of demand as a
driving force in the economy.
• This stimulates entrepreneurial activity to
produce the goods and services to satisfy the
demand
• More specifically, tourism economists examine
the effective demand for goods or services,
which is the aggregate or overall demand over a
period time
25
26
The Supply of Tourist Transport
• Economists are also interested in the supply of
a commodity (e.g. tourist transport), which is often
seen as a function of its price and the price of
alternative goods.
• Price is often influenced by the cost of the
inputs, but in the case of tourist transport it is
difficult to identify the real cost of travel.
• For example, state subsidies for rail travel in
some European countries are used to support
the supply of services in the absence of a major
demand for social reasons.
27
The Supply of Tourist Transport
• Similarly, aviation enjoys relatively favourable
treatment in view of its exemption from
taxation on aviation fuel in most countries.
• As a result of subsidies, the price charged may
not always reflect the true cost, particularly
where tourist transport providers use crosssubsidies in their operations.
• Cross subsidization implies that profits from
more beneficial routes are used to support
uneconomic and unviable services to maintain
a route network.
28
The Supply of Tourist Transport
the supply of tourist transport can be characterised by:
• major capital requirements for passenger carriage
(e.g. the cost of aircraft, passenger trains and ferries)
• government regulations and restrictions to monitor
the supply, which is determined by state policy
• competitive reaction from other businesses involved
in tourist transport
• a high level of expertise required to operate and
manage tourist transport enterprises.
29
The Supply of Tourist Transport
• Economists also have an interest in
macroeconomic issues associated with the
supply of tourist transport services.
• For example - economists have examined the
effect of company strategy in the tourism and
transport sectors in response to market
competition.
• These different market conditions may range
from near-perfect competition to a situation
where the 3 conditions may occur;
30
The Supply of Tourist Transport
three conditions are;
• oligopoly, where the control of the supply of a
service is by a small number of suppliers;
• monopoly, where exclusive control of services is
by a single supplier;
• duopoly, where two companies control the
supply of services.
For the consumer, such activities may have a
significant effect on the choice, price and degree
of competition that occurs
31
The Supply of Tourist Transport
• In some cases, a monopoly situation or a variant
may lead to anticompetitive practices and may not
necessarily be in the public's interest.
• As discussed earlier, transport and tourism
economists have also retained an interest in the
macroeconomic effects of tourist transport on
national economies.
• Such considerations have an important bearing on
public or private sector investment decisions when
examining the costs and benefits of building new
tourist transport infrastructure (e.g. a new airport).
32
Geography and tourist transport(xx)
• Within geography, the study of tourist transport has
largely been undertaken by transport geographers
and tourism geographers
• The main concern of geographers when considering
tourist transport can be related to 3 key concepts
that characterise the study of geography
 space: area,usually the earth's surface
 location: the position of something within space
 place: an identifiable position on the earth's surface
33
Geography and tourist transport
• Geographers are therefore interested in the
spatial expression of tourist transport as a vital
link between tourist-generating and touristreceiving areas.
• In particular, geographers are concerned with
the patterns of human activity associated with
tourist travel and how different processes lead
to the formation of geographical patterns of
tourist travel at 3 different scales; national (e.g.
country), regional (e.g. county) and local levels (e.g. an
individual place)
34
Geography and tourist transport
• Geographers have typically analysed travel as a
response to satisfy a human desire for
movement and the spatial outcome of such
journeys.
• They have also considered the spatial
variables in the transport system (e.g. location
and places) and how these affect the costs and
production of other social and economic
activities.
35
Geography and tourist transport
Geographers have considered:
• the linkages and flows within a transport
system;
• the location and places connected by these
linkages (usually referred to as 'centres' and 'nodes')
• the system of catchments and relationships
between places within the network
36
Globalisation and tourist transport
The changes resulting from globalisation include:
• longer and more customised transport links
• greater sensitivity to the timing of connections,
arrivals and departures; and
• greater reliance on communication and
computer networks,
as global operators achieve economies of scope
from their production.
37
Tourism geography and tourist transport
Geographical research on tourism initially
focused on:
• the spatial analysis of the supply and
demand for tourism
• the geography of tourist resorts
• tourist movements and flows
• the analysis of the impact of tourism
• the development of models of tourist
space
38
Tourism geography and tourist transport
• Advances in transport technology have altered
the patterns of tourist flows and made tourist
travel more flexible and diffuse.
• Prior to the expansion of car ownership and
mass air travel, the patterns of tourist travel
were linear.
• It was constrained and confined to transport
corridors or the destinations served by sea.
• the car has been a major catalyst in making
patterns of travel more diffuse
39
The car and tourist travel
• In the post-war period the growth of car
ownership has not only made the impact of
recreational and tourist travel more flexible, it
has caused overuse at accessible sites.
• This ease of access, fuelled by a growth in
road building and the upgrading of minor
roads in many developed countries, has been
a self-reinforcing process leading to overuse
and a greater dominance in passive
recreational activities.
40
The car and tourist travel
• The importance of seasonality and timing of
pleasure trips by car and the dominance of
the car as a mode of transport for urban
residents.
• The role of the journey by car as a form of
recreation in itself, as well as the importance
of the car as more than just a means of
transport.
41
The car and tourist travel
Leisure travel initiatives that have been devised
to adress problems associated with the car;
• Encouraging travel closer to home, to local as
opposed to regional facilities
• Containment/restriction strategies
• Generation of traffic on uneconomic public
transport routes
• Improving opportunities for cycling and
walking
• Private sector initiatives
42
Congestion
• Experts indicate that global increases in car
ownership, where the example of the UK saw
ownership rise from 30 % of households in
1960 to 70 % in 1995, with the fastest growth
being in multiple car ownership for many
households
• In 2000 the USA had also exceeded one car per
licensed driver in urban areas
• to prevent congestion, numerous options have
been used, such as congestion charging that is
now being used in London
43
Congestion
Congestion is classified into:
• recurring (repeating) forms, which occur at the
same place and same time every day,
particularly amongst commuters or on school
runs due to peaking of demand
• non-recurring forms, often arising from
temporary conditions such as road works or
interruption to the normal transport network
explained in terms of a bottleneck.
44
Congestion
• the car to be viewed as a positive entity, in much
the same way that the road user lobby groups do,
but with a warning that the car has provided unparalleled mobility and levels of economic
development
• the car is still to stay as a personalised form of
transport.
• The alternative that is presented is for public
transport to provide niche products (e.g.
commuter use, tourist use and other uses).
45
Congestion
There are more 'sensible policy directions' for
transport in the early 21. century that encompass
the car, including the following arguments :
• encouraging the development and use of less
polluting and sustainable engines for cars
• accepting that car congestion will never be
eliminated and that, as levels rise, policy
interventions should be aimed at managing
this congestion
46
Congestion
• niche markets are best served by public
transport, as widespread switching from the
car will not occur without system-wide
investment in public transport to improve
ridership
• road pricing may be a better option to pursue
than congestion charging, with a view to
supporting fuel-efficient, low-emission car
use, varying the pricing of time/day/location
47
Congestion
• Public transport does not hold the answer to
congestion, since it is not a new phenomenon
(though it is in relation to the car),
• but that policies designed to more carefully
manage our use of the car would be more
worthwhile than trying to revitalize public
transport usage that fitted the needs of
previous societies and their economies.
48
Tourism geography, transport and analytical concepts
• Both air transport and car travel have
provided new opportunities for more
flexible patterns of travel although, air
travel and the expansion of international
tourism are largely a nodal transport
system dependent upon the airports (the
nodes) and the flights (the flows) serving
them.
49
Tourism geography, transport and analytical concepts
• In the case of the Mediterranean, the
expansion of charter airlines has provided a
closer link between the tourism markets and
potential destinations, and the increase in the
geographical range of charter aircraft and
reduced costs of air travel have led to an
expansion in the scale and distribution of
tourism in the Mediterranean.
50
Marketing and Tourist Transport
• The diversity of transport modes used in
tourism makes it difficult to generalize
about transport and marketing.
• Public and voluntary sector organizations
involved in transport for tourism that all
have different marketing objectives
• Sometimes transport may be sold as a selfcontained product, sometimes as part of a
large composite product (e.g. an inclusive tour)
51
How is marketing used in tourist transport?
• Marketing is a process whereby individuals and
groups obtain the type of products or goods
they value.
• These goods are created and exchanged
through a social and managerial process which
requires a detailed understanding of
consumers and their wants and desires so that
the product or service is effectively delivered to
the client or purchaser.
52
Marketing and tourist transport
Three key areas exist in marketing
• Strategic planning
• Marketing research
• The marketing mix
Strategic planning
• Defined as “the process of developing and
maintaining a strategic fit between the
organisation’s goals and capabilities and its
changing marketing opportunities”.
53
Marketing and Tourist transport
The first stage requires a company to consider:
• What business is it in?
• Who are its customers?
• What services do its customers require?
The stage following the setting of objectives and goals
is termed the business portfolio.
Here the company analyses its own products or
services in terms of its own business expertise and
how competitors' products and services may affect
them
54
Marketing and Tourist transport
This is frequently undertaken as a SWOT
analysis, which considers:
• the Strengths
• the Weaknesses
• the Opportunities
• the Threats
of its products and services in the business
environment.
55
Marketing and tourist transport
• Part of the wider strategic analysis of the
business environment will also involve
environmental scanning.
• This involves a wide-ranging analysis of
informal and formal sources of information
to understand key uncertainties which will
shape the future.
• Figure 2.6 is one illustration of this
environmental scanning approach.
56
57
Marketing and Tourist transport
For those operators who may wish to develop a
strategy, a number of options exist these can be
divided into:
• Marketing consortia, where a group of operators
cooperate to create and develop a product such
as the European joint railway ticket, permitting
rail travel on different European railways.
• Strategic alliances, where different businesses
agree to cooperate in various ways. This has
varied by sector in the tourism industry, but may
involve marketing.
58
Marketing and tourist transport
the nature of such alliances among airline
companies, which included
• joint sales and marketing
• joint purchasing and insurance
• joint passenger and cargo flights
• code sharing
• block spacing
• links between frequent flyer programmes
• management contracts, and
• joint ventures in catering
• ground handling and aircraft maintenance.
59
Marketing and tourist transport
• Acquisition, which is the purchase of equity in
other operations,
• Joint ventures, where operators seek to create
new carriers.
• Franchising, where major operators use their
market presence and brand image to extend
their influence further.
• Ancillary activities, the development of which
adds value to the operator or organisation's
core business.
60
Marketing and tourist transport
The strategic issues that arise in passenger
transport for tourist operators are:
• forecasting demand
• finding ways to reduce marketing costs
• building corporate product and brand strengths
• relationship marketing
• strategic linkages and alliances
which are issues addressed at different places in
this lecture.
61
Marketing Research
• Marketing research is an organised process
associated with the gathering, processing,
analysis, storage and dissemination of
information to facilitate and improve decision
making.
• The actual research methods used to investigate
different aspects of a company's business
ultimately determine the type of research
undertaken.
62
Marketing Research
The main types of research can be summarized
into the following categories:
• market analysis and forecasting,
• consumer research,
• distribution research,
• evaluation studies,
Clearly marketing research allows the company to
keep in touch with its customers to monitor
needs and tastes that are constantly changing in
time and space.
63
The marketing mix
• The marketing mix is 'the mixture of
controllable marketing variables that the firm
[or company] uses to pursue the sought level of
sales in the target market‘
• there 4 four main marketing variables which it
needs to harness to achieve the goals
identified in the marketing strategy formulated
through the strategic planning process
64
The marketing mix
These variables are:
• Product formulation - the ability of a company to
adapt to the needs of its customers.
• Price - the economic concept used to adjust the
supply of a service to meet the demand,
• Promotion - the manner in which a company
seeks to improve customers‘ knowledge of the
services it sells.
• Place - the location at which prospective customers
may be induced to purchase a service the point of
sale
65
The marketing mix
• As marketing variables, production, price,
promotion and place are normally called the 4 Ps.
• These are incorporated into the marketing
process in relation to the known competition and
the impact of market conditions.
• Thus, the marketing process involves the
continuous evaluation of how a business operates
internally and externally and can be summarised
as 'the management process which identifies,
anticipates and supplies customers’
66
Tourist transport as a service
• The growing importance of service quality and
consumer satisfaction in tourism in the late
1980s.
• In the context of tourist transport, what is
meant by a service?
• Defining the term 'service' is difficult due to
the intangibility, perishability and
inseparability - of services
67
Tourist transport as a service
These 3 terms mean
- Service intangibility - a service is something
that cannot be seen, tasted, felt, . heard or
smelt before it is purchased.
- Service perishability - a service cannot be
stored for sale or use at a later date.
- Service inseparability - a service is usually
produced and consumed at the same time and
cannot be separated from providers.
68
69
Tourist transport as a service
The intangible nature of a service is determined by
the fact that, a service is provided and consumed at
the same time and same place, making it difficult to
define and communicate its form to customers.
Even so, it is possible to identify six core elements in
a service if it is defined as a product, :
 the image of the service;
 the image of personnel with whom customers
interact;
70
Tourist transport as a service
• image differences within the same sector as
the service provider (e.g. how a service
compares with those offered by its
competitors)
• the customer group targeted
• the influence of the physical environment in
which the service is delivered (e.g. the building)
• the working atmosphere in which the service
is formulated, designed and delivered
71
Tourist transport as a service
Authors point to the specific services offered to
tourists as transport combining:
 service availability
 cost in comparison to competitors on the same
route
 comfort and speed
 ambience
 convenience and ticketing arrangements
 contact with staff
 image and positioning of each operator.
72
73
The consumer benefit
• The supplier of a service tries to understand what the
consumer wants and how they may benefit,
• At this stage a detailed understanding of consumer behavior
is required
• These include social, economic, cultural, business and family
influences and how they condition and affect the attitudes,
motives, needs and perceptions of consumers.
• In the case of tourist transport services, a significant
amount of research on the social psychology of tourists has
examined what holidays tourists choose, the mode of
transport selected and the factors affecting their decisionmaking as consumers
74
The service concept
• The supplier examines the means of producing a
service and how it will be distributed to
consumers.
• Marketing research at both the consumer benefit
and service concept stage is essential to assist in
identifying the specific market segment
• Lastly, the producer identifies and develops the
image that is to be associated with the service,
Having established what the service will comprise
in concept form, it is developed further into the
service offer
75
The service offer
The service concept is given more shape and
developed within precise terms set by
managerial decisions, which specify:
• the elements - the ingredients
• the form - how it will be offered to consumers
• the levels of service - what the consumer will
expect to receive in terms of the quality and
quantity of the service.
76
The service delivery system
• This is the system that is developed to deliver
the service to the customer and will comprise
both the people responsible for different aspects
of the service experience and the physical
evidence,
• The tourist's experience of these components is
embodied in the service encounter
• The pursuit of excellence in service delivery has
meant companies monitoring what the
consumer wants and then providing it.
77
Management studies and tourist transport
• Management is concerned with the ability of
individuals to conduct, control, take charge
of or manipulate the world to achieve a
desired outcome.
• In a practical business setting, management
occurs in the context of a formal environmentthe organization
• Within organizations (small businesses through to
multinational enterprises) people are among the
elements that are managed.
78
Management studies and tourist transport
• Management defined as 'getting things done
in organizations through other people‘
• In a business context, organizations exist as a
complex interaction of people, goals and
money to create and distribute the goods and
services that people and other businesses
consume or require.
• Organizations are characterized by their ability
to work towards a set of common objectives
(e.g. the sale of holidays to tourists for a profit).
79
Management studies and tourist transport
Within organizations, managers are grouped by
level in the organization:
• Chief Executive Officer (CEO) or General
Manager at the top who exercises
responsibility over the entire organization and
is accountable to a Board of Directors.
• Top managers are one level down from the
CEO and their role is usually confined to a
specific function, such as marketing or sales.
80
Management studies and tourist transport
• Middle managers fill a niche in the middle of
the hierarchy with a more specialised role
than the top managers.
• First-line managers are the lowest level of
manager in an organisation, but arguably
perform one of the most critical roles the
supervision of other staff who have nonmanagerial roles and who affect the day- today running of the organisation
81
Management studies and tourist transport
Managers can also be classified according to the
function they perform
three types can be grouped:
• Functional managers manage specialised
functions such as accounting, research, sales and
personnel.
• Business unit, divisional, or area managers
exercise management responsibilities at a
general level lower down in an organisation.
• Project managers manage specific projects that
are typically short-term undertakings, and may
require a team of staff to complete them.
82
Management studies and tourist transport
The goals of managers within organizations are
usually seen as profit driven but, as the following
list suggests, they are more diverse:
• Profitability, which can be achieved through
higher output, better service, attracting new
customers and by cost minimization.
• In the public sector, other goals dominate the
agenda in organizations. In many government
departments in developed countries private
sector, profit-driven motives and greater
accountability for the spending of public funds
now feature high on the agenda.
83
Management studies and tourist transport
Competencies can be divided into three groups:
• understanding what needs to be done;
• getting the job done;
• taking people with you.
While the concern with competencies questions
the traditional planning, organizing, leading and
control model as a description of the
management process.
84
Management studies and tourist transport
Four commonly agreed sets of tasks are;
1.Planning, so that goals are set out and the means
of achieving the goals are recognised.
2.Organising, whereby the work functions are broken
down into a series of tasks and linked to some form
of structure. These tasks then have to be assigned to
individuals.
3.Leading, which is the method of motivating and
influencing staff so that they perform their tasks
effectively.
4.Controlling, which is the method by which
information is gathered about what has to be done.
85
Management studies and tourist transport
Specific factors can also influence the organizational
environment:
• Socio-cultural factors, which include the behavior,
beliefs and norms of the population in a specific
area.
• Demographic factors, which are related to the
changing composition of the population (e.g. birth
rates, mortality rates etc.).
• Economic factors, which include the type of
capitalism at work in a given country and the
degree of state control of business.
86
Management studies and tourist transport
• Political and legal factors that are the
framework in which organizations must work
• Technological factors, where advances in
technology can be used to create products
more efficiently.
• Competitive factors, which illustrate that
businesses operate in markets and other
producers may seek to offer superior services
or products at a lower price.
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Management studies and tourist transport
• International factors, where businesses
operate in a global environment and factors
that obtain in other countries may affect the
local business environment.
• Change and uncertainty are unpredictable in
free market economies, and managers have
to ensure that organizations can adapt to
ensure continued survival and prosperity
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Change and uncertainty
Techniques can be used to help to overcome
internal resistance to change within organizations.
• education and communication
• participation and involvement
• facilitation and support
• negotiation and agreement
• manipulation and co-optation (selection)
• explicit and implicit coercion (pressure)
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End of Chapter slides
http://www.slideshare.net/crisedren8884/transportation-sector-tourism
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