- The production and consumption of travel products take place in the same space. Travel products cannot be transported to every place to serve customers. Customers can only satisfy their needs when transportation meets customers. Thus, customers are a directly involved part that cannot be separated from the production process.
In addition to the above characteristics, tourism business activities depend quite a lot on natural factors, free time, people's education level as well as people's income. From the above basic characteristics, it can be seen that tourism business is very risky, which requires companies.
A good company must have a wide network of partners, suppliers and employees.
1.3.2 Contents of the business activities of the company.
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Characteristics of the Tourism Market
The most typical and basic content of the tourism business is the business of package tourism programs. Tourism business activities include the following 4 contents:
1.3.2.1 Market research and organization of tourism program design.
Market research is essentially the study of tourists' preferences, tastes, free time, travel timing and needs, consumption characteristics, and payment ability. Market research is the study of tourism supply factors in the market (priorities of tourism resources, accessibility to tourist attractions, reception capacity of tourist destinations) and direct competition in the corresponding market. On that basis, we will proceed to organize the production of tourism programs to meet the needs of customers that the business chooses. Organizing the production of tourism programs
The tour program must comply with the following four-step process:
- Step 1: Collect full information about the tour route, the value of the tour destination, customs and practices and information related to the organization of the tour such as: type of vehicle and transportation, type of accommodation and quality, price of services and other information such as customs procedures, visas, currency exchange, insurance policies for guests...
- Step 2: Map out the tour route, schedule and detailed itinerary of the routes, tour length, departure points, transportation and accommodation services. When designing a tourism itinerary, businesses must carefully consider the feasibility of the program, through research and field surveys, and contracts with service providers.
- Step 3: Pricing of the tour program must be based on the total
Tour program costs include fixed costs (transportation, advertising, management, tour guides) and other variable costs (food, accommodation, insurance, sightseeing) and the expected profit of the business. The total price of a small tour program is lower than the price of the services provided in the tour program. The price calculation must ensure accuracy and sufficient calculation to cover the expenses as well as bring necessary profits to the business and have the ability to attract customers.
- Step 4: Write a description for the tour program, each tour program must have a description. An important point in the description is to state the value of the route and tourist destinations. The description must be clear, accurate, figurative, and expressive to reflect and enhance the quality and value of the destinations.
1.3.2.2 Advertising and organizing the three-way traffic
After building and calculating the price of a tour program, businesses need to advertise and promote it. In reality, each business has a different way of presenting its program. However, the main contents that need to be provided for a complete tour program include: program name, code, duration, price, and daily itinerary. The items not included in the package price are drinks, souvenirs and other necessary information depending on the specific characteristics of the tour program. The tour program is a virtual product, customers do not have the opportunity to try it before deciding to buy. Therefore, advertising plays a very important and necessary role in stimulating demand, persuading, helping customers choose and making purchasing decisions. The commonly used means of tourism advertising include: Advertising in printed products, advertising on mass media, etc.
Tour operators sell their tour programs in two ways: directly and indirectly. Direct selling means that tour operators directly sell their tour programs to customers. Tour operators have direct relationships with customers through sales contracts. Indirect sales are travel companies that authorize the sale of their travel programs to travel agencies. The company has relationships with travel agencies through agency groups.
1.3.2.3 Organize the implementation of tourism programs according to signed contracts.
Including the process of implementing the following stages: organizing tours, entertainment, shopping, completing customs procedures, arranging accommodation and travel. To organize and implement corporate tourism programs, certain preparations are needed regarding: tour guides, equipment, etc.
information about the tour, notes on the itinerary and other necessary elements. During the process of organizing and implementing the tour program, the tour guide will be the main responsible person. Therefore, tour guides must be able to work independently, have professional qualifications, have knowledge of history, culture, politics, economics, law and have a good understanding of customer psychology, health... to respond and make timely decisions to customers' requests and ensure the tour program. The furnace is operated according to the contract.
Tour guides will have to conduct transactions with service partners in providing services in accordance with the contract, ensuring the implementation of the signed tour itinerary (helping guests declare procedures related to the trip, promptly handling arising situations...) and providing guests with necessary information about customs, destinations, transportation networks, and entertainment services. extracurricular entertainment program... Monitor the services provided and promptly report any problems arising in the tourism program to the competent management level for resolution.
1.4.3.4 Contract settlement and experience in contract implementation
After the tour program has ended, the travel agency needs to complete the contract settlement procedure with the financial settlement agency and resolve any remaining issues to draw lessons from the contract implementation.
When making financial settlements, the business usually starts with the advance payment to the tour guide before the trip, to the expenses incurred during the trip and the amount of money refunded to the business. Before finalizing the financial settlement, the tour guide must report the financial situation to the tour operators when approved by the tour operators.
Then it will be transferred to the accounting department of the business for payment and management according to professional procedures. After completing the tour program, the travel business will create reports to evaluate what customers like and dislike about the trip in order to learn from experience and have solutions for the next tour program. These reports are usually created from survey forms printed by businesses and distributed to customers so that customers can self-evaluate the advantages and disadvantages of the tourism programs they have recently participated in.
All of the above reports are reviewed by tour operators and tour planners to make adjustments and changes to the program. These changes can be applied immediately to subsequent trips or for the following travel season.
1.5 Factors that promote tourism business development
1.4.1 Labor
For a business, labor is an important input factor in any production and business process, it determines the business efficiency of the business. Because people are the main subjects carrying out all production and business activities to achieve the goals of the business. In a mining enterprise, there are two types of labor: contract labor and surplus labor.
Management staff includes: Enterprise Director, Deputy Enterprise Director, Heads of functional departments, Heads of cooperative departments and managers. In which, Enterprise Director is the person who is generally responsible for the business activities of the enterprise according to current law. Deputy Enterprise Director is the person authorized by the Enterprise Director.
responsible for certain areas of work in the business operations of the enterprise. The number of deputy directors of an enterprise depends on the jurisdiction and complexity of the business area of the enterprise. Heads of functional departments (heads of accounting departments, heads of financial management departments) are middle-level managers. Their role is to advise and assist business directors in resolving specialized issues in the business operations of the enterprise. The heads of the operational departments (marketing, operations, and guidance departments) are the departments directly involved in the business activities of the enterprise, while managers are those who undertake the work of assisting or advising the enterprise director, conducting market research, developing strategies and planning. business plan, research and handle situations arising in the project.
Unskilled workers include: market staff, tour operators and guides, and other employees such as accountants, security guards, etc. In which, market staff are responsible for researching the market and designing tourism programs. Tour operators are responsible for coordinating with marketing department staff to sign sales contracts and assign tour guides to groups. Tour guides are people who go on tours to guide guests and help guests meet any needs that arise during the trip.
In the operation of the hospital, the staff in the department
Service staff (marketing staff, operations staff, tour guides) play an extremely important role. They are the people who directly decide the quality of service and represent the business, directly contacting customers, providing and satisfying the services that customers demand to help customers.
Customers have a positive impression of the service and the business. Therefore, this workforce must have solid professional qualifications, understand the Party and State's policies, and be responsive to external changes, otherwise it will negatively affect the business activities of the tourism enterprise. In particular, the instructor must be a person with foreign language proficiency, communication skills, the ability to work independently, and be able to solve problems well. To do so, businesses must have reasonable policies on recruiting, training, fostering, and rewarding employees to maintain and develop the workforce, attract and retain talented people for the business, constantly improve product quality, and meet customer expectations to develop business activities. business of steel
Besides, determining the quantity and quality of labor to arrange and use it reasonably also contributes significantly to the production capacity of the enterprise. Managing labor use as well as rationally organizing labor will stimulate the creativity of workers, which is a factor directly affecting business results. For travel businesses, labor becomes even more important because travel businesses are businesses that primarily use living labor.
1.5.2 Capital and technical infrastructure
In order to be able to develop and grow, not only tourism enterprises but all enterprises in general need to have a business plan. In tourism business, the capital of an enterprise is not only invested to cover the costs of designing tourism programs, paying staff salaries, but also used to equip and purchase facilities and technical equipment,... to serve tourism business activities. It can be affirmed that a strong enterprise with the conditions to provide quality tourism products and services is a good enterprise.
Enterprises have financial potential. Therefore, in the process of doing business, travel enterprises must have measures to manage capital, mobilize capital flexibly so that the initial capital is recovered quickly and has the ability to generate the greatest profit. Capital protection and development is an urgent requirement for every tourism business to meet the modern needs of tourism business, tourism products and services and create conditions for businesses to be able to compete and integrate with the region and the world.
In which, the enterprise's technical infrastructure system includes all material facilities and labor resources to produce all service products for tourists. Investing in reasonable physical facilities not only helps travel businesses save costs, but also helps travel businesses have conditions to create tangible physical evidence of their products to limit risks with customers and contribute to attracting customers. In addition, modern technical facilities are a condition for enterprises to improve product quality as well as working conditions and productivity for enterprises. Technical facilities are an extremely important condition for enterprises to develop tourism business activities.
1.4.3 System of products of the enterprise
Products in a travel business are all types of services that the business provides to tourists: travel programs, information provision and consulting services, travel agencies... The services that make up the products of a travel business are mostly provided by partners. Manufacturers use the products of that system to produce a variety of products.