116387755 project report tourism

8/13/2019 116387755 Project Report Tourism

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AN

IN DEPTH STUDY

OF

TOURISM INDUSTRY

PRESENTED TO:

MR PRANAV YADAY IV SEMESTER - 520429452

DISTANCE EDUCATION

SIKKIM MAINPAL UNIVERSITY.

5TH MILE, TADONG, GANGTOK - 7371!

IN PARTIAL FULFILLMENT OF THE RE"UIREMENTS

FOR THE #MANAGEMENT RESEARCH PRO$ECT% COURSE IN THE

MASTER OF &USINESS ADMINISTRATION PROGRAMME


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PREFACE

Today a stiff competition is seen in the economy, Now, the Present

scenario of the business world is quite different from the past. Ethics, Conflicts,

new ideologies, new ideologies, energy scarcities and crazy dogmas are just.

The few of the characteristics that mae the present quite different from the

past.

!n order to cope up in the e"er#changing en"ironment, the nowledge of

all business worlds is a need today. $.%.&. programs and management

institution pro"ide a global manager to this modern business world. %ut only

nowledge is not enough for the business %ut successful implementation of the

now s the ey to success.

'ence in order to get acquainted with the practical nowledge eachstudent is required to implement the theoretical aspects of the subject in to the

practical life wor.

&fter a lot of brain storming we decided tourism industry as a title of

project. (e decided to wor on this title.

(e referred so many magazines, wed sites, boos and newspapers for.

The study purpose. This project will be fruitful for us in the future also. (e are

presenting this report, which comprise of secondary data and to out best

nowledge it is true and fair.


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ACKNO'LEDGEMENT

!t would really difficult for me to complete the project without find co#

)peration of certain people. !n other words are so many e*ternal who directly

help me in our project.

+irst of all we are grateful to $r. aianthan -ir who guided us regarding

the project contents and issues related to it. +urther we are "ery grateful to $r.

ajesh /anatra who pro"ided their "aluable guidance to us regarding the

project.

(e are also "ery grateful to out friends, who helped us and guided us

egarding the sources of information related to particular industry (e are also

"ery grateful to my concern 01i"ine %irds 2 $aninagar3 staff especially

librarian, (ho helped us and consider our con"enience and gi"e priority to us.

(e are also "ery grateful to the librarian of &$& who guided us

regarding the sources of information.


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E(ECUTIVE SUMMARY

Tourism !ndustry is one of the fastest growing industry in the world with

an a"erage /1P of 44.56. Changing lifestyle of the people because of a sudden

increase in their income le"els accredited to the opening up of the economy and

$ultinational Corporation has led to the steep growth of tourism industry in

!ndia. Tourist7s attention is shifting from established destinations such as

European countries to emerging destination such as &sia#pacific countries.

Tra"el barriers ha"e been broen and there is a flow of free trade. Tourism has

become multiple acti"ates focused with the integration of shopping and

recreation, entertainment and education and culture and meeting8business center

de"elopment.

!ndia 2 a subcontinent sprawling se"eral hundred ilometers, with

population o"er nine hundred million, is undoubtedly the largest democracy in

the world with a thousand year old ci"ilization. T)* +*/0 +2*4 6089 0 0)* 24 *464 I62 &*26; 4/) 4;)0 0* 0240

*4026026.

The !ndian Tourism industry comprise go"ernment of !ndia, tour

operators, tour agents, hotels !ndian Tourism de"elopment corporation etc.

further, the project categorizes tourism industry as follows9 H82< 024=,A*60* 024=, P28;2=;* 024= 6 E/ > 024=, *0/.

!n !ndia there are many tourist destinations, which are not mareted

properly. -o in this project we ha"e con"ersed about the important of

M9*026; M2?in the !ndian Tourism !ndustry, which consist of Product $i*,

Promotion $i*, Price $i*, Place and people.


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Tourism !ndustry is deeply affected by the 4/28, 0*/)68;2/8,

*/6=2/ /04.&ll these factors ha"e been gi"en their due credit in the

project. Economy being the bloodline of any country has been de"oted a major

chun in the study of these factors followed by social and technological factors.

/o"ernment policies pro"ide a basic framewor, which minds and controls

e"ery industry. Therefore, it has to be studied so that not a single factor remains

untouched.

+or the de"elopment of any industry the basic infrastructure facilities are

"ery important. !ndian railway is the world7s largest networ under a single

management. The railway is one of the facilities required for tourism besides

a"iation, telecommunications and accommodation.

Tour operators and tra"el agents perform the role of a liaison and a

catalyst too in this industry without whom it is "ery difficult to operate.

P=0268 /02202*4play an important role in the de"elopment of any

acti"ity. !nternational road shows, conferences, tourism awareness programs,

sporting e"ents, media it, etc. ha"e contributed a lot in promoting !ndian

tourism. The project also gi"es a brief about the promotional measures.

&s we now that tourism industry of !ndia is growing at a "ery fast paceso in this we ha"e +*/0 84 *84 @20) 0)* /*60 4/*62 6 0)*

/)88*6;*4 /* < 0)* 024= 2640< I62.

The tourism industry is also */0* < 0)* 6;26; @ *0@**6 USA

6 IB.!f this war continues for the longer time the tourist would not tra"el

in the European countries.


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& few suggestions about de"elopment of tourism in !ndia ha"e been

maret in the project such as planning, organizational structure, business

process reengineering, information systems, operations management, mareting

strategy formulation, en"ironmental impact assessment and project

management.

%esides tourism industry as a whole a study has been made about

Tourism Corporation of /ujarat :imited. &n o"er"iew of the organization and

its policies and abo"e all an attempt has been made to perform a -()T analysis

for both the industry at the macro le"el as well as for the origination at the end

of the project study.


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RESEARCH O&$ECTIVES

T)* */02* *)26 6*0926; 0)24 +*/0 24:

; To ha"e nowledge about the woring of the industry in !ndia.

; To pro"ide an outloo both the people already in the industry as well as

for any entrepreneur who wants to enter the industry.

; To ha"e an in# depth nowledge about the woring of the tourism

industry in !ndia

; To identify the specific problems a tourism industry is facing.

; To study the impact of the tourism industry on the local economy and to

establish benchmars for the industry to realize its full economic

potentials.

SOURCES OF DATA COLLECTION

S*/6< D0 C88*/026

S*/6< 0 @288 * 026* = 4/*4 829*:

4. /CC!

. $agazines?. @ournals

5. Newspapers


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CONTENT

Certificate

Preface

&cnowledgement

E*ecuti"e -ummary

esearch $ethodology

SR. NO. PARTICULAR PAGE NO.1. D*262026 0 T24= I640< 1

4.4 Tourism 4

4.< (ho is a Tourist 4

4.= 1efinitions followed in !ndian and across the world =

4.> !nternational definitions ?

!. H240< T24= I640< 7

3. A6 I640< *2*@ 1!

=.4 Challenges faced by the /lobal Tourism !ndustry 4=

. F*0*4 T24= I640< 155. T24= 26 A42 1

?.4 Tourism /rowth factors 4A

?.< Economic /rowth 4A

?.= !ncrease in !ncome and :eisure time :iberalizations of &ir transport


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A.> 1estination ?

A.? $anagement of &irport ?

A.5 &irlines ?A

A.B ail and oad and Transportation ?A

A. 'otels ?AA.A esort epresentati"es 54

A.4 'otels 54

1. S'OT A68

4.= )pportunities 5?

4.> Threats 55

11. PEST A68 Technological A=

1!. P0*%4 F2* F/* A68.4 !ncorporation and Commencement of %usiness 444>.< -hare Capital 44

4>.= %usiness of the Company 44

4>.> Types of +inancial &ssistance for Tourism Projects 44A

4>.? Norms of &ssistance 4.5 Technological En"ironment 4.B Norms for &utomatic &ppro"al of foreign 1irect

!n"estment

4


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15. &;*0 I=+/0 6 T24= 1!

4?.4 !mpact on 'otels 4=

4?.< !mpact on &irlines 4=4

4?.= !mpact on ailway %udget on Tourism 4==

45. Challenges faced by Tourism !ndustry 4=545.4 'urdles to /rowth 4=5

45.< !nfrastructure 4=B

45.= Tourist +acilitation and security 4>4

17. I=+/0 '4 1!

1. R*/==*60264 1

1. G0 T24= 15!

4A.4 !ntroduction 4?4A.> $areting 4?>

4A.? $ajor de"elopments 4??

4A.5 )bjecti"es 4?B

4A.B Proposed approach and strategy 4?

4A. Planning for tourism de"elopment 4?A

4A.A 'uman resource de"elopment 45=

4A.4 -()T &nalysis 2 /ujarat Tourism 45>

4A.44 Gey -uccess +actors 45?

%ibliography&nne*ure


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The abo"e definition can be "astly different from what we generally

percei"e. 'owe"er, when the facts and the figure are calculated as to the

number of people "isiting a country, the abo"e definition is taen into

consideration.

')2/) 0


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I6 ;*6*8 0240 *:

; Persons tra"eling for pleasure, health and domestic reason.

; Persons arri"ing in the course of sea cruise.

; Persons tra"eling for business purpose.

; Persons tra"eling for con"ention.

1.3 D*2620264 88@* 26 I62 6 /44 0)* @8

I60*60268 V2420

&n international "isitor is any person "isiting the country on a foreign passport

and the main purpose of "isit is other than e*ercise of an acti"ity remunerated

from within the country or establishment of residence in the country. This

definition co"ers two segments of "isitors Jtourist and same day "isitorsJ.

F*2;6 T240

& foreign tourist is a person "isiting !ndia on a foreign passport, staying atleast hours in the country, the purpose of whose journey can be classified under

on of the following headings.

; :eisure

; %usiness, family, meeting.

1. I60*60268 *2620264

F=4 T24=

D=*402/ T24=9 !n"ol"es resident of a gi"en country tra"eling only

within this country.

I66 T24=: !n"ol"ing non# resident tra"eling in the gi"en

country.

O06 024=: !n"ol"ing resident tra"eling in another country.


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!nternal tourism, which comprises domestic tourism and inbound tourism.

National tourism which comprises demonstration outbound tourism.

!nternational tourism, which consist of inbound tourism and outbound

tourism.

&42/ T24= 6204

&ll types of tra"elers engaged in tourism are described as "isitors.

Therefore the term "isitor represents the basic concept for the whole system of

tourism statistics.

T*8*4

; isitors

; )ther tra"elers

&lso tourist are o"ernight "isitors while the rest are same day "isitors.

I60*60268 24204

+or statistical purpose the term international "isitor describes any person

who tra"els to a country other than that in which he or she has usual residence

but outside his 8 her usual en"ironment for a period not e*ceeding 4< months

and whose main purpose of "isit is other than e*ercise of any acti"ity

remunerated from within the country "isited.

!. H240< T24= I640. . .4 .4

/ermany ?=?< ?.B 4=.< .= .4

+rance B= .? .=4 .4

@apan 5==A A?. =.? . .4Canada ?5>>4 A5.> 4.? .4 .=

C:- ?5=B 4.= 4B.= .4 4.4

-ingapore >>4?B 5


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satisfaction of users the focal point around which all the functional areas of

mareting cluster. (hile clarifying the perception of tourism mareting, it is

essential that we assign due weightage to the three important considerations, the

first generations of fits by the tourist organization second world class ser"ices to

the tourists rich help !n satisfying them and the third positi"e contributions of

tourist organizations to the process of social transformation and ecological

balance.

(e consider mareting a human acti"ity that direct the flow goods and

ser"ices from producer to consumer or users. Golter finds mareting a social

and managerial process by which indi"iduals and groups obtain what my need

and want through creating and e*changing products and "alue with others !n

"iew of the abo"e, the following points emerge regarding tourism mareting9

Tourism mareting is process of creating a product or pro"iding a ser"ice.

Tourism mareting comprises fact finding, data gathering, analyzing 0mareting

research3, communication to inform and promote 0Promotion3, ensuring andfacilitating sales, selection of mareting planning 0distribution3, Coordination,

Control and e"aluation 0mareting planning and auditing3, de"eloping

Professionally sound personnel0people3.

; Tourism mareting is an integral effort to satisfy tourists and more so, it

is a 1e"ice to transform the potential tourists into the actual tourist.

; Tourism mareting is the safest way to generate demand, e*pand maretand !ncrease the $aret share.

; Tourism mareting is a managerial process to promote business acti"ity

directed at satisfying the needs id wants through e*change processes. The

&merican $areting &ssociation defines mareting as the performance

of business

.1 U4*4 T24= S*2/*4


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nown as habitual users.

.! M9*0 S*;=*60026 T24=

The beha"ioral scientist feels that appeal, strategy and tact "ary from

segment to segment in a natural way necessities a change in strategic decisions.

The modern mareting theory prefers the formulation of mareting policies and

strategies for the each maret segment which an organization plan to solicit. !t is

natural that different segments react in a different way. -egmentation maes

possible tailoring of products and mareting programmes uniquely suitable for

each sub#segment. & maret is not only an aggregate demand for a product but

the sum of demands of different maret segments. +or getting a positi"e

response in the maret, it is pertinent that the mareterJs of the tourist

professionals are well aware of the different maret segments. !t is against this

bacground that we need to study maret segmentation for tourist ser"ices.

&t the outset, it is essential that the tourist organizations select a suitable

base for segmenting the maret. The selection of base has a for reaching impacton studying the target maret. Though there are a number of bases for

segmentation, we find lifestyle an important base since the tra"eling decisions

are fantastically influenced by the changing lifestyles. The emerging trends in

the le"el of income, the a"ailability of leisure hour of course influence the

process but the main thing is the lifestyle. This is supported by the logic that if

we earn more, we spend more.(e prefer to utilize our leisure time for gaining pleasure or for enriching

the nowledge ban. This necessitates an in#depth study of lie style for maing

segmentation proacti"e. The li"ing styles of &mericans and !ndian canJt be

identical, the decision maing of both of them are to be different. The &merican

prefer to tra"el and therefore they assign due weightage to the tra"eling

decisions while scheduling or ordering their engagements. The !ndians a"oid

tra"eling albeit we find them earning more or sufficient leisure time or holidays


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in their hands. This maes it clear that for segmenting maret, we find this

"ariable constituting a place of outstanding significance.

The aforesaid facts mae it clear that for getting a positi"e response, the

segmentation of tourism maret needs an intensi"e care. The tailoring of

products with the e*pectations of tourist or a fair synchronization of

touristJs e*pectations and potentials of the tourist organization would hardly be

possible unless we segment the maret in a right fashion. The opinion leaders

prompt the whole drama of mareting where the word#of#mouth promoters play

an incremental role. The process of segmentation simplifies the tas of

mareters. Tour operations, the transport operators the tra"el agents, the tourist

guides, e hotels find it easier to mae the mareting decisions. They e"en with

the minor intelligence and diligence are found successful in identifying the

maret the potential tourists. !t is right to mention that the needs and

requirements well as the le"els of e*pectations canJt be uniform.

The segmentation benefits tourist organization in different ways. &n

optimal mareting plan, a balanced de"elopment of mareting resources,true gauging of the le"el of e*pectations, formulation of creati"e strategies

for getting a positi"e response mae it clear the tourist organizations

assign due weightage to segmentation. They are supposed to select a

suitable base for segmentation out of numerous bases lie day base, purpose

base, demand base, geographical base, Psychological base, demography base,

socioeconomic base, se* base, age base or so.These bases help professionals in studying and understanding the

changing beha"ioral profile of users. The maret segmentation bases mae it

clear that geographic, demographic, psychographic and socio#economic aspects

canJt be underestimated to ha"e clear picture of the tourism users.

1. H82< 4 &4* # $ass $aret, Popular $aret

!. D*=6 4 4* # Primary, -econdary opportunity


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3. G*;+)< 4 4* # Cities, Pro"inces, egions, Countries

. P4


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inno"ate their strategic decisions accordingly. The de"elopment of mareting

resources in tune with the changing le"els of e*pectations mae the ways for the

stimulation of demand and simplify the tas or mareters. !t is in this conte*t

that we need to segment the maret for the different allied industries helping the

tourism industry in many ways.

.3 D*42;626; P/9;* T

!n the process of formulating a sound product strategy, there are a number

of factors to be gi"en due attention. The designing of a pacage tour occupies a

place of outstanding significance. +or the profitable mareting of tourism

ser"ices, it is pertinent that the different components of product are managed in

a right fashion. This gra"itates our attention on the offering of a pacage

holiday product which necessitates management of the following factors.

. D*4026026

The de"elopment of destination or tourist sites has a far#reaching impacton attracting the tourists. !t is essential that destination or the tourist sites are

easily accessible. This necessitates safe, fast and reliable transportation facilities

hither and thither the tourist sites. To be more specific for promoting world

tourism or attracting the foreign tourists, it is essential that the flying time is

made proportionate. The site should be clean, the beaches should be sandy, sun#

shine should be certain, the entertainment facilities at the site should be ofquality the site should be safe to wal about, the local people should be friendly,

the tour operator, the tra"el guides and others should ha"e competence of

speaing English and other regional languages. These facilities at the

destination would add attractions.

.5 M6;*=*60 A2+0

(hile managing the tourism product, the airports are required to be


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managed carefully. The airport should be local and con"enient. The

arrangement for car paring should be safe and adequate. !t should not be

congested but it should be spacious. !n addition, the shopping facilities should

be duty free. The airport should be clean and the "ehicles should be a"ailable so

that tourist doesnJt face any trouble. %esides, the security arrangement should be

tight to protect the passengers and their "aluables. The aesthetic management

occupies a place of significance in the "ery conte*t.

. A2826*4

The flights should maintain the time schedule otherwise a dislocation

may in"ite multifaceted problems, not only to the tourists but e"en to the airport

authorities. The ser"ices should be reliable, good and polite. The sophisticated

modern aircrafts of new generation should be included in the fleet to attract the

tourists. The safety record should also be up to mar to remo"e the fear

psychosis or psycho#fobia.

.7 R 6 R28 T64+0026

+or the tourists preferring to tra"el by buses of railways, it is significant

that the stations are well managed. The booing and reser"ation counters should

be managed scientifically. The enquiry should be controlled by efficient and

well beha"ed staff. The safety arrangement should be adequate to counter the

law and order signposts should be positioned at right places to help thetra"elling passengers.

. H0*84

+or managing the hotel ser"ices, it is essential that we are also careful to

the hotel accommodation facilities. !t is pertinent that hotels are easily

accessible to the tourist sites or beaches or shops. The hotel personnel


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trustworthy and competent enough to spea English and other regional

languages. They are supposed to be friendly. The management of facilities at

hotels need due care. Though the standard of ser"ices, amenities and facilities

depend upon the grade of hotels still it is essential that hotels offer the promised

ser"ices to the users. The gap between the ser"ices#promised and ser"ice#

offered should be # bridge o"er. The hotels should be well maintained, the decor

should be attracti"e possibly a fair mi* of eastern and western culture, the

atmosphere should be calm and quiet specially at the night time, public rooms

should be adequate in number, the swimming pool should be neat and clean

where inflow and outflow of water should be scientific to protect the danger of

water contamination or pollution. There should be bar with good range of

drins.

The bedrooms should be spacious in which balcony facilities should be

made a"ailable. The childcare ser"ices should also be made a"ailable.

Particularly at the beach resorts, the sea "iew should be possible with all rooms,

in#room telephonic ser"ices should be a"ailable, in, and room#T should bepro"ided. There should be adequate cupboard space. The hangers should be

attracti"e and artistic, toilets should be neat and clean and well equipped with

east and west pro"isions. The lighting and "entilation arrangements should

be adequate. The intensity of light at different points should be gi"en due

weightage. (hile managing hotels, the restaurants and cafeterias also

need due care. The restaurants and cafeterias should be well managed. Thefood and drins should ha"e taste#orientation. The "arieties of meals and drins

should be a"ailable. The seating arrangements should be comfortable, the meal

should be fle*ible and the hotel personnel should be polite and friendly.

. R*40 R*+*4*6002*4

egarding representati"es of resort, they should be#nowledgeable

friendly, accessible and competent.


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; 1i"ersity of culture i.e. a blend of "arious ci"ilization and their traditions.

; & wealth of archeological sites and historical monuments.

; & "ery wide "ariety of hotels is present in the country that can fulfill the

demand for

; The accommodation of tourists.

; There are international players in the maret such as 'oliday !nn and

)beroi. Thus, the needs of the international tourist7s tra"elers are seen to,

while they are on a "isit to !ndia.

; $anpower costs in the !ndian hotel industry is one of the lowest in the

world. This pro"ides better "alue for money to the tourists. .

; !ndia offers a readymade tourist destination with the resources it has.

Thus the magnet to pull customers already e*ists.

; &irline is the most preferred mode of transportation by the foreign

tourists as the con"enience pro"ided by the airlines is higher. Thus, the

sa"ing in time that this mode of transport offers is immense to the

international tourists.; !ndia has one of the largest road networs in the world. The countryJs

total road length was =,4?,#A?. Thus connecti"ity to the

tourist destination is quiet high.

'*96*44

; :ac of adequate infrastructure.; & *enophobic attitude among certain sections of people.

; No proper mareting of !ndiaJs tourism abroad. +oreigners still thin of

!ndia as a land of snae charmers.

; 'igh ta* structure in the industry maes the industry worse off than its

international equi"alent. !n !ndia the e*penditure ta*, lu*ury ta* and sales

ta* inflate the hotel bill by o"er =6. Effecti"e ta* in the -outh East

&sian countries wors out to only >#?6. -o this directly affects the


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spending of tourists.

; )nly ?, hotel rooms are a"ailable in !ndia today, which is less than

the %ango total hotel capacity. -o accommodation facilities are quiet

less.

; The ser"ices currently offered by the hotels in !ndia are only limited

"alue added ser"ices. !t is not comparable to the e*isting world standards.

This is the reason why international tourists prefers other &sian countries

than !ndia.

; !nefficiency of the domestic airlines# there are number of instances of

flight being cancelled or delayed. -econdly frequent stries by the pilots

and maintenance problems are a major cause of concern. This is one of

the reasons that mae a tourist disheartened.

; Tra"el agents are most affected by the ta*es that are part of the industry

so at last tourists are the sufferers.

O++06202*4

; &llowing entry of more multinational companies into the country gi"ing

us a global perspecti"e.

; /rowth of domestic tourism.

; 1emand between the national and the inbound tourists can be easily

managed due to difference in the period of holidays. +or international

tourists the pea season for arri"al is between -eptember to $arch whenthe climatic conditions are suitable where as the national tourist waits for

school holidays, generally the summer months.

; 1e"elop a well# studied master plan for tourism in the country, which

should mae it easier for in"estors as well as the authorities.

; -upport and encourage pri"ate sector to in"est in facilities.


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; +ight pollution and littering by law.

; &dopt strict measure for ci"il hygiene and cleanliness.

; Pro"ides essential basic facilities lie toilets and resting facilities

throughout tourism routes.

; 'a"e an effecti"e international mareting agency to promote

!ndia as a destination.

; !n"est on P measure abroad mobilizing the media to a greater e*tent.

; Project people, culture, lifestyle, food festi"als etc to offer the human

element appeal than the natural beauty of the land for long lasting result.

There are other naturally beautiful places in the world, but it is the people

that mae a place unique.

; The de"elopment of tourist resorts, such as hotels on mountains or hill

tops, should be low density and low rise to retain the cool temperature as

main attraction of these locations.

; The rele"ant authorities must ensure that security measures are enforced

at all time.

T)*04

; Economic conditions and political turmoil in the country is affecting

tourism.

; &ggressi"e strategies adopted by other countries lie &ustralia, -ingapore

and $alaysia in promoting tourism are also posing as a serious threat toour country.

; Changing trends in the west demand similar changes in !ndia, which here

are difficult to implement due to high project costs.

; Pollution is a major menace to the industry, which has to be tacled by

the go"ernment through legislation. /arbage, Plastic, sound pollution

near tourist centres and all such discrepancies need immediate action

from the go"ernment otherwise it will pose a major threat for tourism


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way the industry players perform. +or e*ample, the /o"ernment charges high

rates of ta*es on the lu*ury and the star category hotels and this has always been

a cause of disagreement between. The hotel association and has been getting

many incenti"es and many has been getting the go"ernment .There are many

areas where the growth of tourism has not been rapid or has been dramatic fall

because the political en"ironment has been conducti"e. E*amples are the North

East for the former and Gashmir for the later. The neglect of the /o"ernment in

1e"eloping the North East leads to a situation where there is practically no

tourism in the se"en.

-imilarly, the political turmoil in the state of Gashmir has seen the "irtual

decimation of the flourishing tourism industry. The H'ea"en on EarthH is &

"irtual hell for the industry. There has been a major change in the policies of the

/o"ernment as regard to the industry. The hotel industry has been getting

many incenti"es and many -tate /o"ernment are encouraging the growth of

major hotels in their states. &fter years of tight control o"er airportinfrastructure, /o"ernment has finally taen the decision to pri"atize the

airport. Cobwebs and e"en rats were the frequenters in the arri"al lounge at a

major international airport of !ndia . !t is the only way to impro"e their

condition.

Tourism has been a Neglected sector in !ndia .Though it was recognized

&s a priority sector in the -e"enth +i"e Kear Plan but hardly anything was doneto promote this industry. ecently, the %@P /o"ernment has e"en dropped it

from the National agenda. !t is true that !ndia has yet to reach the prosperity

le"el where leisure acti"ity can be included in the Priority -ector but, if sol"ing

the countryJs unemployment and foreign E*change problem are on the top of the

National agenda. The potential of this industry cannot be neglected.

The $inistry of Tourism, /o"ernment of !ndia is the nodal agency for


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The formation of national policies and programmes and for the coordination of

acti"ities of "arious central and state go"ernment agencies and the pri"ate sector

for the de"elopment of Tourism .'owe"er, all the en"ironmental regulation are

enforced by the $inistry of En"ironment and +orests. The national Tourism

policy en"isages a "ery big role for all the staeholders in the decision maing

process. They are in"ol"ed in the de"elopment of tourism and ha"e contributed

substantially is sustainable Tourism in the country.

The National Policy on Tourism lays emphasis on sustainable

de"elopment of tourism. !n addition, the /o"ernment has brought out a

comprehensi"e Eco Tourism Policy and /uidelines .&ll issues rele"ant to

sustainable tourism are co"ered in the policy and guidelines.

The Eco tourism policy and guidelines will ensure regulated growth of

eco tourism and nature#based tourism with its positi"e impact of en"ironment

protection and community de"elopment.

There are established procedure stipulated by the $inistry ofEn"ironment and +orest for project clearance and monitoring. There are

deterrent in these strategies to chec, control or penalize damaging

en"ironmental practices on the part of business and "isitors.

There are se"eral &cts and laws, which ensure sustainable tourism. These

are the (ild life Protection &ct 4AB


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61/132

e*perience to tourist.

=. -urface, air and water transport facility for tourists

I6/*602*4 I6*40=*60

4. =6interest subsidy to hotel project in 4 to = star categories onloans

sanctioned by appro"ed financial institutions pro"ided the projects are

outside the metre cities of 1elhi, $umbai, Golata and $adras.

. 'otels, tra"el agents, tour operators, and other organization connected

with tourist trade are now co"ered under :iberalized E*change ate

$anagement -ystem. &uthorized dealers are now allowed to releaseforeign e*change without the prior appro"al of 1epartment of Tourism.

?. +acility to open and operate E*change Earners +oreign Currency &ccount

e*tended to hotel M tourism related industry.


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connections.

P+4* I6/*602*4 26 0)* 26;

4. & capital subsidy of s.


63/132

The state go"ernment has declared its policy of promoting tourism, and

more particularly of encouraging pri"ate in"estment in this sector. The main

points of this policy are9

a. (elcoming of pri"ate in"estment in creating tourist facilities as well as

related infrastructure.

b. Encouraging the transfer of technology in tourism related industry.

c. +le*ibility in policy on joint "entures, participation, and terms for %uild,

)perate and )wn or Transfer models.

The legal en"ironment is also a major determinant for the industry .The

laws that go"ern industry are not the same in all the parts of the country. :aws

lie the urban :and Ceiling &ct limit the amount of land any organization can

hold and this se"erally limits the growth of hotel rooms in many areas of the

country. $any of the :aws that are in effect are old and archaic ,and not geared

to meet The challenges of the


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used to hunt around for the cheapest accommodation now Can afford to go for

lu*ury hotels. This has lead to an increase in the number of hotels in the

country. 'owe"er, an increase in the spending does not only limit itself to

accommodation. The increase in the spending is also e"ident in the number of

people tra"eling by air. E"en The number domestic tourist tra"eling by air#has

dramatically gone up. To#day the world economy is transiting towards

ser"ices. The global e*port of ser"ices is rising faster than the e*port of goods.

!ndia is Dnfortunately still pursuing manufacturing with the enormous lead that

the west has in manufacturing, it is "irtually impossible for !ndia to catch up. To

day, with large number or less e*pensi"e, educated and silled worers, !ndia

comparati"e ad"antage lies in ser"ices, not in manufacturing. !ndia can grab the

opportunity and cur"e aniche for herself by directly leapfrogging to ser"ices.

Dnfortunately !ndia has not realized the potential of the ser"ice sector, as

yet. The tourism industryJs foreign earnings in !ndia are aroundL=.< billion,

tourism is the highest foreign e*change earner if we consider the fact that net

"alue addition in /ems, and @ewellery is less than =6 where as, in tourism it ismore than A6.

E/6=2/ E626=*60

The !ndian economy has grown rapidly o"er the past decade, with the real

/1P growth a"eraging some 56 annually, in part due to the continued

structural reform, including trade liberalization. -ocial indicators, such aspo"erty and infant mortality ha"e also impro"ed during the last ten years. !n

order to achie"e further significant reduction in po"erty. !ndia is currently

targeting higher real /1P growth of between B6 and A6 0compared with ?.>6

e*pected for


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+or any country /.1.P. has great impact on the economy. /.1.P. show

how the economy of that country is growing up. -o, it is "ery crucial factor for

any industry especially to tea industry.

Though the constitution proclaims !ndia to be a socialist country, it is in

truth a mi*ed economy with a strong and influential pri"ate sector. Public sector

undertaings controlled by the state are in"ol"ed in many industries though the

need for disin"estments is being increasingly felt. !ndia has a planned economy.

!t is largely an agrarian economy. ice, wheat, oilseed, cotton, jute, tea, coffee,

rubber, sugarcane and potatoes are the bul of the produce. :i"estoc include

cattle, water buffalo, sheep, goats and poultry. Coastal communities and those

who li"e on ri"erbans are often dependent on fishing for li"elihood.

The major foreign e*change earner for !ndia is te*tile, followed by

!nformation Technology. (ith !ndian !T professionals maing it big in the

Dnited -tates and !ndian !T companies pro"ing to be among the best in the

crop, there is new international interest in !ndian professionals. Precious and

semi#precious stones, leather products, engineering goods and chemicals arealso e*ported.

$ajor trading partners include D-, DG, /ermany, 'ong Gong, @apan and

the D&E. $ajor industries include steel, chemicals, food processing, steel,

transportation equipment, cement, mining, petroleum and machinery. &round


67/132

thousand and changed the whole culture of the state. This had a ripple effect on

the country. People became cautious Especially of the international tourists.

(hene"er a certain place became +amous, the e*ample of /oa was cited to

discourage the inflow of !nternational tourists.

&lthough the abo"e my sound may discouraging , the scene is fast

Changing. Those places that ha"e .been able to strie a balance between their

own culture and the demands of the international tourist ha"e profited

handsomely. The e*ample that come to mind are Gerala and ajasthan, as

discussed ahead in the report. People are now adopting themsel"es to the fact

that tourism pays and it can be a major source of !ncome for them. E"en people

themsel"es ha"e started tra"eling. !n addition, tourism as a form of recreation

has really caught on. People are willing to tra"el to a place that is out of way

and e*otic. (hen pre"iously tra"eling on a holiday meant going to a hill

stations and beach, now people are willing to go in for ad"enture tourism as

well as "isit places that cannot be really be called hospitable. Now places lie

:eh and :aswadeep are mentioned in the same breath as /oa or Gashmir.

D*=;+)2/ /04:

H&n indi"idual is a core unit society H a group with similar needs create a

maret for particular product. !t means people or population is the most

important factor. The mareter must ha"e to eep watech on the population size

M growth rate education le"el regional characteristics and house hold patterns.

1. P+8026

&s !ndian population growth is around < 6


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&s !ndian le"el of income will increase the le"el of e*penditure would

also be increased. &nd le"el of income increase would result in the change of

life style of people and they will shift from unbranded to branded tea.

L20*/< R0*

!ndian literacy rate is around ?


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. E/026 G+

The population in any society falls into fi"e # education group.

4. !lliteracy.

. College degree.

?. Professional degree.

!n !ndia adult literacy rate is ?.46.5>6 of total male population and >


70/132

!ndia has much di"ersity in groups. Each group has distinct taste

preference, benefits and "alues. This distincti"eness affects their choice of

product and %eha"iour as well as consumption beha"ior.

-o mareter has to understand their culture and social di"ersity and

respond by way of designing their product. -o social and culture e"aluation

helps the mareter to target and positioned its products, and ad"ertising in

"arious members for "arious masses.

; eligion

; :anguage

; +ood

; Culture M Crafts

; Education

The fabric of !ndian society is wo"en with myriad threads. The result is

multi#te*tured, many layered and though this di"ersity has fuelled some

dissension, it continues to be !ndiaJs strength. !ndia is predominantly 'indu and

it also has the worldJs largest population of $uslims. -ihs, %uddhists, @ains,Christians 0oman Catholic, Protestant and -yrian Christian3, @ews and

Ooroastrians people this great land. There is phenomenal ethnic di"ersity too.

(hile the people of the north are mainly !ndo#&ryan, in the south they are

mostly 1ra"idian. The tribal population in the northeast is of Tibeto#%urmese

e*tract, while the Jadi"asisJ of $adhya Pradesh and /ujarat are probably proto

&ustraloid. :anguage "aries almost e"ery ten miles and !ndiaJs billion#strongpopulation has a total of 4?=? recognized dialects.

)ne of the most mared things about !ndian society is the great di"ersity.

This applies to religion, ethnicity and language as much as to the economic

situation. The yawning gap between the rich and the poor is bridged by a large

middle class of small businessmen, professionals, bureaucrats etc.


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$ost !ndians acti"ely practice their religion, and despite the creeping

westernization, most of !ndia is socially orthodo*. That means that caste

distinctions ha"e not been forgotten, man#woman interaction may be frowned

upon, and the public display of affection is strictly no#no. The cow is sacred and

Jall ye who forget that#be doomedJ. The left hand, which is an indispensable tool

for !ndian ablutions, is considered impure and isnJt used in passing things

around.

)n the whole the !ndians are a warm welcoming people. The guest is ne*t

only to /od and croos and touts notwithstanding, and curious loos and

probing questions notwithstanding, youJll find that they are great hosts. Their

idiosyncrasies just mae it all the more interesting be patient and you will learn

to lo"e the complete pacage.

R*82;26

!ndia probably has the most religious di"ersity in any country. !tJs thebirthplace of 'induism, %uddhism, -ihism and @ainism. !tJs among the few

places to ha"e a resident Ooroastrian population. The -yrian Christian Church is

well established in Gerala the %asilica of %om @esus in /oa, old churches in

Calcutta and 1elhi, synagogues in Gerala, temples from the tiny to the

tremendous, JstupasJ, JgompasJ and the %odhi tree, the &jmer -harif and Galiya

-harif in %ombay, all reflect the amazing multiplicity of religious practice in!ndia. Tribal people in the northeast, $adhya Pradesh and /ujarat practice

forms of nature worship. -ecularism is enshrined in the Constitution.

L6;;*

The national language of !ndia is 'indi, which in one form or another is

spoen all o"er the north. !n the 1eccan 0south !ndia3, the languages are

completely different. The states were formed on the basis of language so each


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has its own. )n the whole though, dialects, accents, idioms and linguistic

flourishes change e"ery few miles. There are 4 official languages but o"er a

thousand recognized dialects. English is widely spoen.

F

+rom 1C to 1aota, (arwic to what#ha"e#you, !ndian spices are letting

off steam e"erywhere in the whole wide world. &nd you come to !ndia and

realize......hey, thereJs nothing authentic about itU E"ery itchen, e"ery man,

woman, coo, chef does it different.

& meal in the north would typically constitute chapattis or rice with dal

0lentil curry3 and a dish of "egetables or meat. Pappads 0wafers fried or toasted

to a crisp3, yoghurt and picle are usual accompaniments. The chapatti

is a round flat unlea"ened bread of which you tear bits to scoop the curry.

ariations of the chapatti are paratha, poorie, bhatoora, and Tandoori naans.

!dli, dosa, "ada, sambar, uppamaU !n the south, too, a meal centers on a base ofrice, or as in the -outh #!ndian case, semolina preparation. The idli is a steamed

rice cae and the crisp salty pancae often stuffed with potatoes is the dosa.

Eaten alongside is the -outh#!ndian dal #HsambharH, sour, hot, souped #up with

"egetables. The %rahmins are "egetarian, but the rest consume sour#hot fish,

mutton, and chicen with gusto. !n Gerala seafood is simmered in coconut mil

and delicately +la"oured with curry lea"es. $ost !ndians eat three meals, eachone full#fledged.

-a"oury snacs lie paoras pep the e"ening cuppa. &nything coated in

batter 0of chicpea, flour et al3 and deep#fried will pass for paora. &lso, readily

a"ailable on the roadside are snacs lie bhel puri 0spiced up puffed rice3 and

paapri chaat 0wafers and boiled potato doused in curd and sauces3. egetarians

will feel lie theyJ"e come home, especially in the south. %ut no matter where


73/132

you are, in a plush restaurant or a roadside JdhabaJ, in Gunnur or Gullu, you can

be sure of sumptuous "egetarian meals.

&ll along the coast and e*tensi"ely in the northeast fish is consumed

almost as a staple. %oth fresh water and sea fish are popular. !ndians lo"e their

sweets. There is great regional "ariety and among the most popular types is the

%engali HmishtiH. ThereJs also a huge "ariety in drins. %esides JchaiJ 0tea3 and

coffee, sweetened8salty churned yoghurt called lassi, the ubiquitous Jneemboo#

paniJ or lemon#water, fruit juice in tetra pacs and aerated drins are readily

a"ailable in !ndia. !$+: e*pands into !ndian made +oreign :iquor and spans

the entire range from beer to whisey. -ome e*amples of local brews are

JchaangJ in &runachal, toddy in the -outh and /oaJs famous JfeniJ.

C80* C04

M42/.

$uch of !ndiaJs classical music is de"otional and a lot of that, de"oted to

the flute playing god, Grishna. The North !ndian 'industani and -outh !ndianCarnatic streams are distinct and both ha"e a comple* JragaJ framewor.

/hazals in Drdu reflect on life and are light on the ear. E"ery region has a

distincti"e fol tradition too. !nstruments that would typically accompany

!ndian music are the stringed "eena, sitar, and the !ndian drum9 tabla or

mridangam in the south.

D6/*:


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The legacy of dance in !ndia is tremendous. )n temple walls, on an urban

stage, in impromptu bursts by a mellow e"ening fire, men and women twinle

their toes in e*pression of joy. The classical dances of !ndia are numerous.

Characterized by stylized mo"ements and elaborate costumes, these dances

communicate age#old tales of lo"e, longing and rage. Gathaali of Gerala,

%haratnatyam of Tamil Nadu, Guchipudi of &ndhra Pradesh, $anipuri and

)dissi from )rissa are the prominent dance forms in this country that sways to

an altogether no"el beat. The robust bhangra of Punjabi men, the graceful

whirling of ajasthani women, the gentle sway of northeastern dancers,

"igorous tribal dances, e"ery comer has de"eloped its own unique form.

T)*0*:

There is a robust theatrical tradition. The Kashagana, nautani and

puppetry are ancient fol forms that li"e on till date. This tribe of wandering

performers is on the decline but there still are occasional performances on the

rudimentary stages of the rural areas. ustic and coarse the fla"our might be,but the techniques are surprisingly sophisticated. There is a growing body of

contemporary wor both in English and in the "ernacular.

A0:

The earliest specimens of !ndian painting are the ones on the walls of the

&janta Ca"es dating bac to


75/132

arma, the paintings of $.+. 'ussain, @amini oy and /anesh Pyne among

others rule the art scene.

C04:

(ord craft, handicrafts, architecture and sculpture all contribute to this

rich and "aried domain. !ndian literature, both in English and in the "ernacular,

is e"er more popular around the world. 'andicrafts are as "aried as the country

itself. The $ughal and colonial structures and the temple architecture across the

length and breadth of the country are testaments to the lands e*citing past.

-culptures adorn temple walls, stupas, street junctions and ancient ca"es. The

oldest schools are the /andhara and the $athura.

M2*4:

The 'indi mo"ie industry is the most prolific in the world. %ased in

%ombay, hence Hollywood, this spool#spitting machine taes on the onerous

responsibility of fuelling !ndiaJs prime passion. There is sheer joy in the easystereotypes of muscle#fle*ing machismo, leering "illainy and leading ladies of

'indi filmdom, but not all 'indi films are a simmering brew of action,

romance, and song and dance. There is a parallel stream of HartH cinema though

itJs not nearly half as popular as the HcommercialH stream.

/i"ing competition to the 'ollywood masala film is the equally spicy

south !ndian fare. egional cinema is fairly popular in its local conte*t and withserious cinemagoers.

C2/9*0

)h for the lo"e of a si*#erU !ndia grinds to a halt when the countryJs

ele"en don their colours. !n cricet#crazy Calcutta, old fol gather to trash the

Jnew fangledJ limited#o"ers format in front of a million T sets, four million

pray for "ictory 0often nowing theyJre praying for a miracleU3 tirelessly. !tJs a

mad#mad#mad world and in !ndia cricet stars adorn the doors of innumerable


76/132

cupboards. 'ocey, football and now the &TP tour too ha"e a decent following.

E/026

?A.?6 of !ndia is literate9 B..=6 females. Gerala is the

model state as far as education le"els are concerned boasting figures of almost

AA6 literacy. 'igher education in !ndia has a formidable reputation. (hether in

engineering or medicine, business management or social science education,

!ndia uni"ersities are at par with the best in the world.

D. T*/)68;2/8

Technology although does not seem to be a major influence at the first

glance, stillJ it plays a major part in the promotion of a place. %etter

communication facilities are one of the first prerequisites for growth in the

inflow of tourists. This has been made possible with technology. %etter

technologies in the field of communication with cheaper costs ha"e seen many

remote and inaccessible areas of the country get connected to the rest of theworld. This connecti"ity has made these places "isible to the world. %etter

communication means access to media. &nd that is "ery important if any place

wants to be on the world tourist map. -imilarly better transportation facilities

ha"e lead to a dramatic increase in the number of tourists "isiting any particular

place. The presence of an airport and the a"ailability of frequent flights are a

great con"enience to any tra"eler.

FIVE FORCE ANALYSIS

Professor $ichel porter of 'ar"ard %usiness -chool has con"incingly

demonstrated the state of competition in an !ndustry !s a composite of fi"e

competiti"e forces which are as under.

43 The ri"alry among competing sellers.


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=3 Competiti"e pressures from substitute products.

>3 -upplier# seller collaboration and bargaining.

?3 -eller#buyer collaboration and bargaining.

(e ha"e analysis here the fi"e force competition in conte*t with Tourism

industry analysis of the fi"e force of competition, are as under relating to

Tourism !ndustry.

T)* R28< =6; C=+*026; S*88*4.

The strongest of the fi"e competiti"e forces is usually the joceying for

position and buyer fa"our that goes on among ri"al sellers of Tourism !ndustry.

!n the tourism industry cross country ri"alry is centered on price Competition M

promotional scheme. i"alry among competitors is "ery high in case of tourism

industry 1ue to the following reason.

R*464 F H2;) R28


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at present and hold the status of the worldJs on 4 !ndustries There is currently

can estimated > million !nternational tra"elers world wide. The figure is

e*pected to rise to 55 million by the end of the year


79/132

!f the company wants to launch at National le"el them its requires the

huge !n"estment so it is not easy for new companies to come in sector. -o the

entry is not so easy for new companies. 'igh &mount at capital is required to

produce qualitati"e product. The cost of other !nfrastructure facilities is also to

be considered by new entrants so, capital requirement is also one of the entry

barriers.

!. E/6=2/4 S/8*:

Economies of sale are the main barriers to entry in tourism !ndustry bases

they force potential competitors either to enter on large scale or to accept cost

ad"antage. !f new entrant enters with large scale it may not capture the maret

in proportion of supply. !f new entrant accept cost disad"antage it may not

sur"i"e in tough competition.

3. C40 6 R*4/* 2460;*4:

E*isting firms may ha"e cost and resources ad"antages not a"ailable to

potential entrants. These ad"antages can include partnerships with the best andcheapest suppliers of ser"ices.

. L*626; 6 E?+*2*6/* C* E*/04:

(hen lower unit costs are partly or mostly a results of e*perience in

producing the product and other learning cur"e benefits new entrants face a

potentially significant cost disad"antage competing against e*isting firms with

more accumulated now how.

5. R*;80< P82/2*4:

/o"ernment agencies are limit or e"er bar entry by requiring licenses and

permits stringent go"ernment mandate safety regulations and en"ironmental

pollution standards are entry barrier because they raise entry costs.

C=+*0202* P*44*4 F= S40200* P/04.


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Tourism !ndustry gi"en entertainment to the tourist and also pro"ide

some. Gnowledge of that place as per that we can says, media, 'ollywood, and

all type of entertainment industry are the substitute of the tourism industry. %ut

we canJt say that they are close substitute of industry. %ecause they are different

thing than tourism.

Thus, tourism industries has no problem for the close substitute because

they are not other product or ser"ice which is use as substitute of tourism so the

tourism industry is being fearless from the substitute.

S++82* S*88* C88026 6 &;2626;:

(hether supplier seller relationship represents a strong or wea

competiti"e force depends on whether supplier can e*ercise sufficient

bargaining power to influence the terms and condition of supply and the e*tent

of supplier. -eller collaboration in the tourism industry.

-upplier are liewise relegated to a wea bargaining position whene"er

there are good substitutes for the item they pro"ide and buyers find it neither

costly nor difficult to switch their purchases to the suppliers of alternati"e items.

-uppliers also tend to ha"e less le"erage to bargaining o"er price and other

terms of sale when the company they are supplying is a major customer.

S*88* - &


81/132

R*464:

1. L;* 6=*


82/132

&s many as AB6 of the foreign "isitors tra"el by air maing ci"il a"iation a

prime influence on the course of tourism growth. This maes both these sectors

far too interdependent.

The liberalization of ci"il a"iation policies in !ndia mared by licensing

of pri"ate airlines to operate on routes ser"ed for > years by the state owned

carriers was prompted by the demands of tourism. &ccording to the (orld

Tourism )rganization of which !ndia is the member, tra"el and tourism account

for 4


83/132

tra"eler can journey to any part of the country by !&Js fleet or aircraft. No less

than


84/132

star to fi"e star delu*e depending upon size and amenities. &bout =6 of the

rooms fall under the ?# star or ?# star delu*e categories.

The hotel should pro"ide facilities lie reception, cash and information

counter attended by well qualified, trained and e*perienced personal,

conferences in the form of one or more conference rooms8banquet halls and

pri"ate dinning rooms. There should be a recognized tra"el counter, money

changing and safe deposit facilities, luggage room and medicines on the

premises. The hotel should offer both !nternational and !ndian Cuisine and the

food and be"erage ser"ice should be highest standers. The hotel staff should be

well qualified and should be able to understand and spea English. There should

be pro"ision of laundry and dry cleaning.

(ith a "iew to maintaining standards and enforcing control, the

1epartment of Tourism $inistry of Tourism and Ci"il &"iation,

/o"ernment of !ndia has de"eloped a system of categorizing the a"ailable

accommodation as per certain criteria. &ccordingly, the hotels are either

appro"ed or unappro"ed.

The appro"ed hotels are found of international standard and normally the

foreign tourists prefer to stay in that category of hotels. This is due to the fact

that the appro"ed hotels ha"e the stamp of official recognition. &ppro"al in

itself simplifies the tas of promotion. The hotels professionals bear the

responsibility of identifying the emerging segments.)f late we a new trend e"en in !ndia condition because women ha"e been

found staying in hotels or eating in hotel restaurants. There are women

e*ecuti"es and women going on holidays in all age group albeit without

accommodating men. & number of married women ha"e been found taing an

e*tra holiday on their own. $iddle# aged, di"orce or single women ha"e also

been found staying in hotels. !t is against this bacground that we find women

segment emerging as an important segment for the hotel business.


85/132

It is natural that we in! a !ieren"e in the in!ustr# in the intensit# $

%$th the "ate&$ri'es $ t$urists(

1J D=*402/ T2404: !n the group of domestic tourists, the different

categorizes are pilgrims "isiting the sacred places, students on

educational tours, officials on deputations, political representati"es, film

stars on location shooting. Gnowledge seeers on de"eloping their

credentials, sportsmen playing national games. The domestic Jtourists stay

in hotels with a different moti"e. (e find a change in the le"el of

domestic users. /enerally the domestic customers pay less attention on

"alue and more on price. & majority of the domestic tourists are found

price sensiti"e and therefore the hoteliers are supposed to mae pricing

decisions moti"ational.

!J F*2;6 02404: !n the group of foreign tourists, we find political

representati"es on peace mission, trade representati"es on business

promotion, educationists, sportsmen, culture representati"es, film stars,pilgrims, etc. These categorizes of foreign tourists "isit hotel with di"erse

aims and objecti"es. They normally prefer to stay in the classified hotels

where the ser"ices are found standardized. (e also find cases where

foreigners stay e"en in the unclassified hotels. To be more specific the

e*isting world wide economic depression has made e"en the foreign

tourists sensiti"e to price and this maes it significant that policy maersand the senior e*ecuti"es assign due weightage to this new de"elopment.

13.3 R28@


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R28 T24=

To de"elop rail tourism the !ndian ailways ha"e come up with "arious

methods and inno"ati"e ways to promote tra"el by rail. They are9

:aunching of eight new e*clusi"e lu*ury tourist trains on the Palace

on heels pattern to operate on popular tourist circuits.

'otel infrastructure at 4 railway stations in places of tourist interest.

1isco"er !ndia !ndrail passes for use from half#a#day to A days.

Networ of /-&s around the world.

-uperfast inter#city ajdhanis and day return -hatabdi trains.

ail holiday pacage tours.

S+* L?< T240 T264.

The !ndian railway has identified the launching of eight super lu*ury

trains designed lie ?# star hotels on wheels. )perating on a B#night itinerary

tra"eling between


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The !nternational Tourism %ureau deals with foreign tourists intending to

Tra"el by rail in !ndia. !t pro"ides assistance to foreign tourists and N!s

elated to booings, reser"ations, itinerary planning and other inquiries through

its tourism guides and staff con"ersant with foreign languages.3 !ndrail passes

are issued to foreign tourists enabling them to tra"el as they lie from any

station to the destination of their choice to any point by rail within the period of

"alidity of the passes.

The !T% arranges accommodation in retiring rooms and ail Katra

Nowise as also bedrolls in trains on demand.

!nformation can also be obtained from &gra, &hmedabad, &urangabad,

%angalore, $umbai, Golata, /orahpur, @aipur, @odhpur, @aisalmer, Chennai,

Puttaparthi, ameshwaram, -ecundrabad, Tri"andrum, adodara, asco#da#

/ama, ijaywada and aranasi.

1- )0*8 P*/0

!ndian railways ha"e formulated a mega project to set up 4 railway

hotel3 at stations of tourist importance to pro"ide the infrastructure inputsneeded. +or implementing the tourism action plan of the

go"ernment to attract ? million tourist by


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13. R

&irports being a wea lins in !ndian tourism, tourists are forced to use

oads. $ore than6 of the tourists has to use road networ but the deplorable

road conditions in !ndia do not mae the tra"eling easier. The major factor that

hampers the de"elopment of road sector is the go"ernment control o"er all the

road properties. !nternationally, all the major cities within the country are

connected with si* lane highways. %ut in !ndia, e"en the four metros are not

well connected. Thus, the basic infrastructure to support the tourism industry is

missing.

& de"eloped country possesses e*cellent roads since this opens for them

new "istas of de"elopment. Contrary to it in a bacward country, the road

Present a "ery gloomy picture. The roads strengthen our infrastructural %ase

and so become instrumental in acti"ating the process of de"elopment. &s

compared to other forms of transport, the road transport is found cheaper of

course in the !ndian perspecti"e, the !ndian ailways ha"e been offering

economic ser"ices to the users which are found cheaper than the road transport.The operational cost of railways, steam#ship or airplanes. ailways or steamship

or airplane can be used by anyone e"en without maing a direct payment. This

clarifies the significance of road transport in todayJs perspecti"e.

-electi"e up gradation of road maing equipments and construction

Practices can achie"e high standards of road quality demanded by the modern

generation of road "ehicles .!t is found that large programmes of roadconstruction ha"e an ad"erse effect on the en"ironment or ecosystem.

Pre"ention of ribbon de"elopment, pro"ision of wide#side amenities,

landscaping and drainage and the landslide areas need an intensi"e care.

$aintenance through normal repairs, periodic renewals and rehabilitations

di"ert a close attention. The thrust towards the modernization of the road sector

requires adequate bacup in the form computerizing, introduction of

$anagement !nformation -ystem and planning and monitoring agencies. The


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)rganization#!mmersed, these instruments are to be installed on :ong distance

e*press and mail trains of !ndian ailways. This follows the success of satellite

telephones were e*perimentally fitted to two ajdhani E*press trains in

4AA?.This has become so popular that it has been decided to equip all the ele"en

ajdhani trains with satellite phones as well as any new train that enters the

ser"ice. 'ospitality ser"ices are not the only beneficiaries of these aids but also

at times the cause of their creation. -ince there has been telecom re"olution

today tourismJs growth is greatly conditioned by the web and the net.

13. T*8 ;*604 6 0 +*04 T*8 A;*60

& tra"el industry is found to be uncoordinated people trying to achie"e a

coordinated result. & tra"el agent is one who acts on behalf of a principal, i.e.

the original pro"ider of the tourism ser"ices, such as 'otel Company, airline,

tour operator a shipping company. & tra"el agency is also called a

manufacturing of tourist product, i.e. an inclusi"e of pacaged tour.

T +*0

& tour operator is one who buys the indi"idual elements in the tra"el

product on his own account and combines them in such a way that he is selling

the pacage of tra"el, the tour to his clients. & tour operator bears the

responsibility of deli"ering the ser"ices.3'e creates his own pacages by buyingor reser"ing necessary supply elements and often retails through tra"el agents,

their own offices or by direct mail "ia booing form in brochure or by direct

enquiries from consumers.

Tra"el agents and tour operators form the bacbone of the industry. They

play an important role in promoting the country as a tourist destination. &n

e*ample, City Cross Tra"els Pri"ate :imited, $umbai is promoting tourism in

@ammu and Gashmir despite the "iolence that place some times ago. -imilarly


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other tra"el agencies are also trying to project a peaceful picture of !ndia

abroad. The tra"el agencies pro"ide pacage that lure the foreign tourists

towards our country. These pacaged tours e*tract the best out of places and

gi"es a foreign tourist a feel of the rich cultural di"ersity of our country.

This business is competiti"e. The success depends on the prices, which

ha"e to be the lowest since holidays ha"e become a standardized product. This

is particularly true in case of a large number of holiday maers seeing the three

-Js# sun, sea and sand. & particular destination for e.g. !n the case of beach

holiday is not so important for the customer to as its Price if it gi"es hi "alue for

his money. !f he finds that it is o"erpriced he -ubstitutes for another destination,

which offers the same product for lower price.

&s regards to this it, also coupled with increasing competition from

domestic competitors, it becomes "ery essential for the tra"el operator to maret

itself.

F** +2/*:

(ith profit margins coming down pacage tour companies ha"e to ladle

out unbelie"able offers to attract tourists that these freebies are laden with

hidden costs is different thing.

$aret leader -)TC "irtually triggered off a war of freebies when itad"ertised its offer of free air ticets on its tours to Europe and D.-. )ther tra"el

biggies lie Thomas Coo and Co* M Gings immediately whipped up almost

identical offers. -harply increasing competition has ensured lower margins

which are down from


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S*2/* - 0)* 9*< 0 440*66/*

!t appears to be the unanimous feed bac from most tra"el agents that

nothing will beat the ser"ice factor, aptly aided by technology of course. !t will

definitely read the motto of toe )lympics in tra"el to...faster, higher.... %etterU

Now, more than e"er ser"ice will be the ey component. %attle will need to be

fought or lost at the front des. No more does the consumer ha"e time for

queues to get a patient hearing. 'e will need a smile and a laugh and much

more, a "eritable dream he can go home with. 1estination tra"el, as the a"erage

!ndian is waing up to is all about the e*perience. (e sell him a dream and we

will need to fulfill e"ery aspect of his dream to disco"er the repeat customer.

The e*perience at the front des is where the battles between big and small will

be fought, and won or lost, and therein lies our new horizon a new frontier # our

great opportunity.

1. T24= F266/* C+026 I62

1.1 I6/+026 6 C==*6/*=*60 426*44

T+C! was incorporated on


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1.3 &426*44 0)* C=+6 5

T240 F8@ 0 I6228 D*40260264 26 G0.

S.

N.

D*4026026 T240 F8@

4. &hmedabad ,4?. api 4,B5,A5

5. alsad 4,?=,>

B. %haruch M &nleshwar ?,>4,

A. Dbhrat ,


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4?. @amnagar ?,?5?

4A. @unagadh 4,5A,>,4?

. $and"i#Gutch >=,A

116387755 project report tourism

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