Perishability in Tourism
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Questions and Answers

What does the term 'perishability' refer to in the context of travel and tourism?

  • The ability to forecast tourism demand accurately
  • The idea that tourism products can be stored for future sales
  • The use of pricing and promotion policies to influence consumer behavior
  • The risk of unsold tourism products resulting in lost revenue (correct)

    • Why do marketers in the tourism and hospitality sectors devise complex pricing and promotion policies?

  • To reduce competition in the tourism industry
  • To smooth out demand curves (correct)
  • To reduce the risk of empty hotel rooms
  • To increase revenue during off-peak seasons

    • What is the primary goal of yield management strategies in the tourism industry?

  • To increase market share
  • To improve customer satisfaction
  • To reduce costs
  • To maximize revenue or profits from a perishable product (correct)

    • What is a key feature of the global travel and tourism industry?

    <p>It is a truly global economic activity</p> Signup and view all the answers

    What is the purpose of using computerised reservation systems in the tourism industry?

    <p>To forecast demand and take tactical action if necessary</p> Signup and view all the answers

    What does a hotel bed or an airline seat left unsold represent?

    <p>A lost opportunity for revenue that can never be recouped</p> Signup and view all the answers

    What is the primary reason why travel and tourism products cannot be stored for future use?

    <p>They are perishable</p> Signup and view all the answers

    Why do suppliers reduce prices during the shoulder months?

    <p>To minimize the impacts of seasonal demand</p> Signup and view all the answers

    What is the main challenge faced by travel agents when selling travel and tourism products?

    <p>The products are intangible</p> Signup and view all the answers

    What is the term used to describe the period between peak and off-peak seasons when fares tend to be relatively low?

    <p>Shoulder months</p> Signup and view all the answers

    Why do travel agents use sales literature, videos, and virtual tours to promote travel and tourism products?

    <p>To increase tangibility of the products</p> Signup and view all the answers

    What is the main advantage of offering travel and tourism products at discounted rates?

    <p>To increase tangibility of the products</p> Signup and view all the answers

    What is a key characteristic of a destination in the context of travel and tourism?

    <p>A geographical area with necessary services and infrastructure to support tourism</p> Signup and view all the answers

    What is the primary goal of the 'drive to maturity' stage in the development of the travel and tourism industry?

    <p>To achieve self-sustaining growth and expansion of the industry</p> Signup and view all the answers

    What is a key factor that affects tourism, according to the learning objectives of this section of the syllabus?

    <p>The scale of the travel and tourism industry</p> Signup and view all the answers

    What is the primary purpose of the 'key terms' section in this resource?

    <p>To provide clear and straightforward explanations of important words and concepts</p> Signup and view all the answers

    What is the main focus of the learning objectives in this section of the syllabus?

    <p>To understand the nature of travel and tourism, including the main types of tourism and destinations</p> Signup and view all the answers

    What is a key characteristic of the structure of the travel and tourism industry, according to the learning objectives of this section of the syllabus?

    <p>It consists of various subsectors</p> Signup and view all the answers

    What is a destination in the context of travel and tourism?

    <p>Any geographical area consisting of all the necessary services and infrastructure to support tourism</p> Signup and view all the answers

    What is the main difference between independent and packaged tourism?

    <p>The way in which travel and tourism products are purchased</p> Signup and view all the answers

    What is an example of a packaged tourism product?

    <p>A flight and hotel package</p> Signup and view all the answers

    What is the main impact of the rapid development of online services on the travel and tourism industry?

    <p>The growth of independent tourism</p> Signup and view all the answers

    What is a key characteristic of a destination in the context of travel and tourism?

    <p>It has the necessary services and infrastructure to support tourism</p> Signup and view all the answers

    What is a major implication of perishability in the tourism industry?

    <p>Lost revenue that can never be recouped</p> Signup and view all the answers

    Why do marketers in the tourism industry use tactical pricing and promotion strategies?

    <p>To smooth out demand curves and minimize losses</p> Signup and view all the answers

    What is the primary goal of yield management strategies in the tourism industry?

    <p>To maximize revenue or profits from perishable products</p> Signup and view all the answers

    What characterizes the global travel and tourism industry?

    <p>It takes place in destinations across the world</p> Signup and view all the answers

    What is the role of computerised reservation systems in the tourism industry?

    <p>To forecast demand and adjust prices accordingly</p> Signup and view all the answers

    What is a key characteristic of a destination in the travel and tourism industry?

    <p>A geographical area with necessary infrastructure to support tourism</p> Signup and view all the answers

    What is the primary focus of the learning objectives in this section of the syllabus?

    <p>The nature of travel and tourism, including main types and characteristics</p> Signup and view all the answers

    What is the 'drive to maturity' stage in the development of the travel and tourism industry characterized by?

    <p>Growth driven by self-sustaining development, leading to increased industry complexity</p> Signup and view all the answers

    What determines the scale of the travel and tourism industry?

    <p>The factors affecting tourism, such as economy and infrastructure</p> Signup and view all the answers

    What is the purpose of the 'key terms' section in this resource?

    <p>To provide clear and straightforward explanations of important words</p> Signup and view all the answers

    Why do travel and tourism products have limitations in their sales?

    <p>Because they cannot be stored for future use</p> Signup and view all the answers

    What is one way travel agents overcome the intangibility of travel and tourism products?

    <p>By producing videos and giving virtual tours</p> Signup and view all the answers

    What is the main objective of reducing prices in the shoulder months?

    <p>To minimize losses during off-peak seasons</p> Signup and view all the answers

    What is the significance of 'shoulder months' in the travel and tourism industry?

    <p>They are periods between peak and off-peak seasons with relatively low fares</p> Signup and view all the answers

    What is a key characteristic of travel and tourism products?

    <p>They are intangible products</p> Signup and view all the answers

    What is a key concept related to the development of tourism in Less Economically Developed Countries (LEDCs)?

    <p>Exploitation of natural landscapes and wildlife</p> Signup and view all the answers

    Which of the following is an example of an emerging tourist destination?

    <p>Tanzania</p> Signup and view all the answers

    What is a characteristic of Newly Industrialised Countries (NICs) in the context of tourism?

    <p>They are gaining importance as tourist destinations</p> Signup and view all the answers

    What is a key feature of tourism development in LEDCs?

    <p>It enables positive change and development</p> Signup and view all the answers

    What is a common trend among LEDCs in terms of tourism?

    <p>They are promoting their natural landscapes and wildlife</p> Signup and view all the answers

    What is a common feature of resorts?

    <p>A high proportion of jobs and businesses are connected to tourism</p> Signup and view all the answers

    What is an example of a purpose-built resort?

    <p>Center Parcs</p> Signup and view all the answers

    What is a key feature of integrated resorts?

    <p>A range of leisure and conference facilities as well as a casino</p> Signup and view all the answers

    What is the main attraction at Resorts World Sentosa?

    <p>Universal Studios theme park</p> Signup and view all the answers

    Where are the two integrated resorts mentioned in the text located?

    <p>Singapore</p> Signup and view all the answers

    What is the primary purpose of destination marketing?

    <p>To increase the number of tourists visiting a particular destination</p> Signup and view all the answers

    What is the primary goal of a tourism master plan?

    <p>To improve tourism infrastructure and services</p> Signup and view all the answers

    What is the role of a national tourism organization in destination marketing?

    <p>To promote and develop tourism in a specific country or region</p> Signup and view all the answers

    What is the primary focus of a destination marketing strategy?

    <p>To increase the number of tourists visiting a particular destination</p> Signup and view all the answers

    What is the role of a tourism board in destination marketing?

    <p>To promote and develop tourism in a specific destination</p> Signup and view all the answers

    What is the primary goal of a tourism branding strategy?

    <p>To differentiate a destination from its competitors</p> Signup and view all the answers

    What is the role of a destination marketing organization in promoting tourism?

    <p>To promote and develop tourism in a specific destination</p> Signup and view all the answers

    What is the primary focus of a tourism marketing campaign?

    <p>To increase the number of tourists visiting a particular destination</p> Signup and view all the answers

    What is the role of a tourism information centre in destination marketing?

    <p>To provide information and assistance to tourists</p> Signup and view all the answers

    What is the primary goal of a destination marketing strategy in the context of tourism?

    <p>To promote and develop tourism in a specific destination</p> Signup and view all the answers

    What is the primary challenge faced by marketers in the tourism industry due to perishability?

    <p>Selling unsold products during off-peak seasons</p> Signup and view all the answers

    How do marketers in the tourism industry attempt to smooth out demand curves?

    <p>By using the marketing mix strategically</p> Signup and view all the answers

    What is the significance of yield management strategies in the tourism industry?

    <p>To maximize revenue or profits from perishable products</p> Signup and view all the answers

    What is a characteristic of the global travel and tourism industry?

    <p>It is a truly global economic activity</p> Signup and view all the answers

    Why is it important for marketers to understand consumer behavior in the tourism industry?

    <p>To influence consumer behavior and maximize revenue</p> Signup and view all the answers

    What is the purpose of travel and tourism suppliers reducing prices during the shoulder months?

    <p>To minimize the impact of seasonal demand on revenue</p> Signup and view all the answers

    Why is it challenging for travel agents to sell travel and tourism products?

    <p>Because products are intangible and cannot be demonstrated in advance</p> Signup and view all the answers

    What is the significance of the shoulder months in the travel and tourism industry?

    <p>A period of low demand and discounted prices</p> Signup and view all the answers

    How do travel agents overcome the intangibility of travel and tourism products?

    <p>By distributing sales literature, videos, and virtual tours</p> Signup and view all the answers

    What is a characteristic of travel and tourism products?

    <p>Intangibility</p> Signup and view all the answers

    What is the primary characteristic of a destination in the context of travel and tourism?

    <p>Any geographical area consisting of all the services and infrastructure necessary to support tourism</p> Signup and view all the answers

    What is the primary focus of the learning objectives in this section of the syllabus?

    <p>The nature of travel and tourism, including the main types of tourism and the industry's structure</p> Signup and view all the answers

    What is the 'drive to maturity' stage in the development of the travel and tourism industry characterized by?

    <p>Growth that is self-sustaining and leads to an increase in the number and types of industry</p> Signup and view all the answers

    What is a key factor that affects tourism, according to the learning objectives of this section of the syllabus?

    <p>Factors affecting tourism</p> Signup and view all the answers

    What is the primary purpose of the 'key terms' section in this resource?

    <p>To provide clear and straightforward explanations of important words</p> Signup and view all the answers

    What is a fundamental characteristic of a tourist destination?

    <p>Tourism is not the sole economic activity or function within the area.</p> Signup and view all the answers

    What can influence the development of tourist destinations?

    <p>Social, cultural, environmental, economic, and political conditions</p> Signup and view all the answers

    What is a tourist destination?

    <p>A place where tourism develops and has an impact on the local economy.</p> Signup and view all the answers

    What is a characteristic of tourist destinations in relation to tourism?

    <p>Tourism is not the sole economic activity or function within the area.</p> Signup and view all the answers

    What is a key aspect of tourist destinations in terms of local economy?

    <p>Tourism is not the sole economic activity or function within the area.</p> Signup and view all the answers

    What is the primary objective of destination management?

    <p>To balance the economic, social, and environmental impacts of tourism</p> Signup and view all the answers

    What is a key strategy for encouraging responsible tourist behavior through education?

    <p>Offering educational programs and materials about the local culture and environment</p> Signup and view all the answers

    What is the purpose of regular environmental impact auditing in destination management?

    <p>To monitor and mitigate the environmental impacts of tourism</p> Signup and view all the answers

    What is the role of community involvement in destination management?

    <p>To involve local communities in tourism development and management</p> Signup and view all the answers

    What is a key challenge in implementing destination branding?

    <p>Ensuring consistency across all marketing channels</p> Signup and view all the answers

    What drives the growth of the travel and tourism industry?

    <p>Changes in political and socio-economic circumstances, and technological developments</p> Signup and view all the answers

    What is the primary focus of travel and tourism organisations?

    <p>Meeting customer needs</p> Signup and view all the answers

    What is a key consideration in the management of tourist destinations?

    <p>Minimising environmental impacts</p> Signup and view all the answers

    What is the primary goal of sustainable tourism development?

    <p>Maximising economic benefits</p> Signup and view all the answers

    What is the key to the success of travel and tourism providers?

    <p>Adopting a strong customer focus</p> Signup and view all the answers

    What is the definition of a destination in the context of travel and tourism?

    <p>A geographical area consisting of services and infrastructure necessary to support tourism</p> Signup and view all the answers

    What is the main difference between independent and packaged tourism?

    <p>Independent tourism involves booking transport and accommodation separately, packaged tourism involves booking them together</p> Signup and view all the answers

    What is an example of packaged tourism?

    <p>Booking a flight and hotel together through a travel agent</p> Signup and view all the answers

    What has led to the creation of independent tourism?

    <p>The rapid development of online services</p> Signup and view all the answers

    What is an essential element of a holiday package?

    <p>Transport and accommodation</p> Signup and view all the answers

    What is the impact of the rapid development of online services on the travel and tourism industry?

    <p>It has led to the creation of independent tourism</p> Signup and view all the answers

    What is the primary characteristic of a destination?

    <p>It is a place that provides services and infrastructure necessary to support tourism</p> Signup and view all the answers

    What is the key feature of packaged tourism?

    <p>Booking transport and accommodation together</p> Signup and view all the answers

    What is the significance of destinations in the context of travel and tourism?

    <p>They are geographical areas that provide services and infrastructure necessary to support tourism</p> Signup and view all the answers

    What is the main impact of online services on the travel and tourism industry?

    <p>It has led to the creation of independent tourism</p> Signup and view all the answers

    Study Notes

    Types of Tourism

    • Independent tourism: a holiday organized and booked by the traveller from separate sources, not purchased as a package.
    • Packaged tourism: the simultaneous sale of at least two elements of a holiday, such as transport and accommodation, to the traveller.

    Types of Destinations

    • Resort: a destination that has a high proportion of jobs and businesses connected to tourism, with a range of accommodation and attractions.
    • Examples: beach resorts, purpose-built resorts (e.g. Center Parcs, Disneyland Paris), and integrated resorts (e.g. Resorts World Sentosa).

    Characteristics of the Industry

    • Perishability: travel and tourism products cannot be stored for future use, and unsold products (e.g. hotel rooms, airline seats) represent lost revenue.
    • Intangibility: the service product cannot be easily evaluated or demonstrated in advance of its purchase.

    Scale of the Travel and Tourism Industry

    • The industry is a truly global economic activity, taking place in destinations across the world.
    • It is a high-risk industry, with marketers needing to devise complex pricing and promotion policies to manage demand.

    Key Terms

    • Destination: a geographical area with the necessary services and infrastructure to support tourism.
    • Shoulder months: the travel season between peak and off-peak seasons, with relatively low fares.
    • Drive to maturity: a stage of growth where industry development is self-sustaining and leads to an increase in the number and types of industry.### Characteristics of Travel and Tourism Industry
    • An empty hotel room or an unsold airline seat cannot be stored for future use, resulting in lost revenue.
    • Travel and tourism products cannot be tested or sampled before purchase, making it an intangible service industry.
    • The industry is seasonal, with prices varying throughout the year, and suppliers try to minimize the impact of seasonal demand by reducing prices during shoulder months.
    • Shoulder months refer to the travel season between peak and off-peak seasons, such as spring and autumn, when fares tend to be relatively low.

    Types of Tourism

    • Independent tourism: travellers organize and book transport and accommodation from separate sources.
    • Packaged tourism: the simultaneous sale of at least two elements of a holiday, such as fares on public transport and commercial accommodation.
    • Sports tourism and medical tourism are examples of specialized tourism.

    Destination

    • A destination is a geographical area consisting of all the services and infrastructure necessary to support tourism.
    • Destinations are places where tourism develops and are influenced by social, cultural, environmental, economic, and political conditions.

    Scale of the Travel and Tourism Industry

    • Travel and tourism is a truly global economic activity, taking place in destinations across the world.
    • It is a significant contributor to the global economy, with a global economic contribution of US$7.6 trillion in 2015.

    Features of Travel and Tourism Industry

    • Perishability: travel and tourism service products cannot be stored for sale on a future occasion.
    • Intangibility: the service product cannot be easily evaluated or demonstrated in advance of its purchase.
    • Key concepts: global and growing, change and development, customer focus, and sustainability and responsibility.

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    Cambridge International AS and A Level Travel and Tourism Coursebook PDF

    Description

    Learn about the concept of perishability in the tourism industry, where unsold travel and tourism services result in lost revenue. Marketers must develop complex pricing and promotion policies to mitigate this risk.

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