The group agreed on setting a Travel Agency business for the following reasons: 1.It is related to our course BS Tourism
2.We acquired knowledge in Travel Agency Management & Operations in the previous semester.
INTERNAL FACTORS AFFECTING DECISION MAKING
A.THE CURRENT MARKET
Setting up as a travel agent shouldn’t be confused with being a tour operator. The difference is that the former sells the holidays while the latter organizes them. It’s possible to set up as an independent tour operator but there is a lot of competition for big firms that have the buying power to keep prices lower.
This isn’t to say travel agents are any less competitive but most are doing good business at the moment and apparently looking forward to a boom year next year. If this proves to be the case it would appear to be as good a time to start as any.
Business travel is a significant expense for companies of all shapes and sizes. Indeed, business observers cite travel costs as one of the largest expenditure areas for many companies, along with payroll, data processing, and a few others. Given this reality, business surveys often cite cost containment as the single most important element of travel management.
Certainly, several American industries rely on business travelers for their continued existence (business travelers account for more than 50 percent of airline revenues in the U.S., for example). But while business travel is commonly associated with huge corporations, many small businesses rely on the practice as well to make sales, keep in contact with vendors, market their products or services, and keep up with industry trends (via trade shows, conventions, etc.). Indeed, intelligent choices in the realm of business travel can be a major boon to small businesses hoping to curb spending without sacrificing in other business areas.
Don’t look for profit in the first couple of years but go all out to make your name known and get as much business as possible. Once this is achieved you’ll have increased bargaining power for your commission rate and access to a greater number of holidays – and hopefully will be able to start looking at profit and budgeting.
Man, the first of the five M's is the most important. The right personnel for the right position is a sure bet for organizational effectiveness and efficiency. No two ways about that. Thus, lateness and absenteeism, unsafe acts, alcoholism, poor training, incompetence are just some of the attributes of man at work that could upturn the apple cart of business ventures. Human resources determine the workings of the other four basic business resources. People make sure materials, machines, minutes and money are utilised in a productive manner to achieve goals or aims and objectives of organizations and enterprises. Poor employment practices are inimical to the sustenance of such ventures. With the right man in the right job, a large portion of effective business management will have been achieved.
Without materials, human resource is made redundant. Thus every right thinking and right planning organization knows that materials needed for any business or service mist be in place before 'man' can be of use in any business activity. Supply chain departments grew out of this thinking and has been a very useful and effective aspect of business management. A group of cement factory workers waiting for supply of limestone may have nothing much to do for as long as the supply does not arrive. Even if it arrives, but in poor quality, the production is certainly doomed for a loss. Quality compromised is business pauperized. Poor quality of materials potentially ruins entrepreneurship.
The metal contraptions called machines have made man fulfil almost effortlessly various dreams of creating things that make a existence more worthwhile. Machines have replaced man in tilling,...