Travel industry also called Tours Operators, Travel Agencies, Travel and Hotel Industry, Travel and Tourism industry, Internet Travel Industry, Internet Vacation Industry, Hospitality and Travel Industry, Cruise Industry, Tourism Industry, Online Travel Industry, Travel and Hospitality Industry, and Travel Reservations.
Travel industry means, companies that provide various types of travel services, including travel agencies, tour operators, cruise lines, and Internet vacation reservations and services.
Travel industry deals in providing help in traveling. It may be plain, may be train, bus, taxi or any other means. Travel industry is related with all other industries. In other words we can say that travel industry is the root of every business. Like tourism is solely depends on travel industry.
Travel organization Management
A number of travel trade associations like TAAI, IATO, ASTA, LATA and PATA which are quite active in the promotion of travel trade at global. Essentially, every travel company should be approved by these associations to avail financial and non-financial incentives and commissions from the Airlines, hotels, railways etc.
The travel agencies need to maintain close ties with many other organizations offering travel related services like cultural and entertainment organizations, foreign tour companies, regional passport office, department of tourism both at centre and states, sports operators, transport operators, food and beverage business etc.
In fact, these organizations play a vital role in making travel a complete product.
Travel companies provide business to above cited organizations and in return receive commissions. However, there are few other organizations that help the agency to run travel business smoothly and promote India as a tourist destination. Technically, a travel company cannot work in isolation but is interdependent with other travel related enterprises.
Importance of travel industries in the development of tourism
Today, travel companies have become an essential part of travel and tourism industry accounting for more than 50 percent towards the foreign exchange earnings, generating huge employment opportunities and more importantly building the image of a host country as a tourist destination.
No other sector of Indian economy has generated huge employment opportunities like the travel and tourism industry. The industry employs over 20,000 people directly and thousands of indirectly in India. The world travel and tourism council forecasts that during the next decade more than 10 million jobs will be created by travel and tourism industry alone across the world economy.
Earnings of foreign currency
The foreign exchange brought to India by the travel companies is a vital contribution toward the national economy. It is a major factor on India’s balance of payment position. Therefore, the government has taken various steps either through collaboration or through their own tourist offices abroad, to maximize the tourist receipts.
Organizations, formation and purpose
The selection of suitable form of organizations is based on various factors such as capital requirement, legal, formalities, tax incentives, limited liabilities, professional requirement, location, nature of business, size of business, stability and continuity, financial and non-financial incentive availabilities, economic considerations, market factors, demographic, geographic, and psychographic and behaviorist variables etc
The role and contribution of travel companies have been fully appreciated in advanced countries like USA, UK, Japan and France. Unfortunately in developing countries like India the role and contribution has not been appreciated and recognized due to the unorganized sector. Still the travel companies have the greatest impact on account of balance of payment, employment, international understanding and national integration.
Well, travel industry is a growing, dynamic, and satisfying industry. Earlier, it was an unrecognized industry. But now it has a separate ministry. And the government is also giving special emphasis to this sector.