Case Study

Topics: Tourism, World Tourism Organization, Paris Pages: 7 (1964 words) Published: June 1, 2013

Table of contents
1PESTEL Analysis4
1.1Political Factors4
1.2Economic factors4
1.3Social Factors5
1.4Technological factors5
1.5Environmental Factors5
1.6Legal Factors6
2Porter’s Five Forces6
2.1Force.1 Threats of New entrants6
2.2Force.2 Threat of substitute products or services6
2.3Force.3 Bargaining power of buyers (Customers)7
2.4Force.4 Bargaining power of suppliers7
2.5Force.5 Intensity of competitive rivalry7
The competitive rivalry .7
3Industry Life-Cycle7

Executive Summary
The Europe is renowned for its tourism sector and the attractions, accessibilities and facilities for the tourist destination in the Europe is in satisfactory level. But with the passage of time, the tour operators of Europe face the challenges of contemporary issues in Europe. The Fiscal crisis, unemployment rates and the political instability lead the tour operator of the Europe to have a slow growth in the tourism sector. The study aims to scrutinize the factors and reasons behind the rigorous competitions in the tourism industry and low growth of tour operators in the Europe.

An analysis of the external environment of European tour operators Tour operators in Europe are playing a vital role in attracting tourists of Europe. The tour operators of Europe are more organized, structured and are very efficient in providing services to the tourists. All over the Europe the tour operators are segmented and are operating their business with multi dimensional and multiple offices. At the end of the 2008, it has been seen the tourism sector of the Europe is generating 219.8 employment opportunities throughout the Europe that is 7.6 percent of the total employment of the Europe. PESTEL Analysis

Pestle analysis is used to explain the current situation in the market that is involved with the mode of the business operation and that helps in making decision for the business. Pestel analysis is composed of political, economic, social, technological, environmental and legal factors that are being discussed in following Political Factors

The political factors in Europe are directly and indirectly influencing the tourism industry of the Europe. The recent political incidents of Grece,frequent unwanted political conditions in UK are some example how the political situations are hampering the tourism industry to flourish. For the sound political conditions in Europe the tourism industry has been grown in the past and it favored the tourism industry to boom throughout the Europe. But the student agitations, people movements and political demands are being added in the list of the impediments of the tourism industry in the Europe. Tourists want their security about their life, assets and their belongings but the terrorists and criminal activities of Europe are making the situation less complex. But avobeall the political conditions of the Europe are good enough compared to the developing countries of the world (Baywater, 1994). Economic factors

The economic picture of the Europe is very large, vast and dominating in the world economy. The economic factors of the Europe were strong and good enough once for the growth of the tourism industry in the Europe. But the after the incident of the one eleven in US when the world economy faced a bad conditions , then the growth of the tourism industry was in a stake and the the tourists number and their volume decreased in a remarkable way. When the fiscal crisis and the economic bad condition started to begain in the Europe at the end of the 2008, then the tourism industry also had a bad time and the amount of the travel of the tourists at all over the Europe decreased greatly. Social Factors

Social factors in the Europe are also vital in attracting tourist in Europe. The unemployment rate, social security, life index...
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