Chapter One: Introduction To Hospitality And Tourism Marketing PDF

**CHAPTER ONE** **INTRODUCTION TO MARKETING FOR HOSPITALITY AND TOURISM** Can you describe tourism in your own words? Take a moment to think about this question. You might find it easy to answer this question in general terms, but more difficult to answer if you were asked to provide specific deta...

**CHAPTER ONE** **INTRODUCTION TO MARKETING FOR HOSPITALITY AND TOURISM** Can you describe tourism in your own words? Take a moment to think about this question. You might find it easy to answer this question in general terms, but more difficult to answer if you were asked to provide specific details. In fact, you might find yourself facing a task similar to the one depicted in Figure 1.1. Tourism is much like the elephant: diverse and sometimes hard to describe, but, just like the elephant, too big to be ignored. As a manager in a global economy, marketing will greatly assist your personal career and the success of the enterprise you manage. In today's hospitality/travel industry, the customer is global and is king or queen. This title is bestowed not because of hereditary rights but because customers have the ability to enhance or damage your career through the purchase choices they make and the positive or negative comments they make to others. The travel industry is the world's largest industry and the most international in nature. International travel has receipts of over \$1.33 trillion and over 1.25 billion travelers. China's 1.4 billion people take over 3.3 billion domestic trips each year, spending U.S. \$375 billion. The rapid growth of domestic tourism in China, combined with over 135 million inbound tourists, has led to a rapid growth of hotels, resorts, airport facilities, and other facilities to support tourism. China is not alone in its promotion of tourism; other national, regional, and local agencies across the globe are also aggressively promoting their destination. The world's travel industry is alive, exciting, and competitive. Hospitality companies and destination marketing organizations (DMOs) hire thousands of college graduates each year. As the competitive environment becomes more complex and marketing management changes at an ever-increasing rate, there is a great demand for people who have the knowledge, skills, and attitude to compete in today's environment. Today marketing isn't simply a business function: it's a philosophy, a way of thinking, and a way of structuring your business and your mind. Marketing is much more than a new ad campaign. The task of marketing is never to fool the customer or endanger the company's image. Marketing's task is to provide real value to targeted customers, motivate purchase, and fulfill consumer needs. Marketing, more than any other business function, deals with customers. Creating customer value and satisfaction is at the heart of hospitality and travel industry marketing. Many factors contribute to making a business successful. However, today's successful companies at all levels have one thing in common: They are strongly customer focused and heavily committed to marketing. As a manager, you will be motivating your employees to create superior value for your customers. You will want to make sure that you deliver customer satisfaction at a profit. This is the simplest definition of marketing. Travel and tourism is a market that reflects the demands of consumers for a very wide range of travel-related products and the supply of services by a wide array of commercial and public sector organizations. It is widely claimed that this total market is now serviced by the world's largest industry. In the twenty-first century increasing interest is being shown in many countries in the potential of travel and tourism as an important contributor to economic development, measured in terms of investment, employment and balance of payments. Effectively managed, tourism can play an important role in more sustainable developments at visited destinations; tourism is also of interest because of its ubiquitous nature. There are very few regions of the modern world where tourism and the contribution of the visitor economy to residents' lives are not a relevant consideration and travel extends to all parts of most countries. As a result tourism sustains not only international organizations such as airlines, tour operators and hotels but also thousands of small and medium-sized enterprises (SMEs) that are vital elements in most economic systems. 1. **What Is Hospitality and Tourism Marketing?** The **purpose of a business** is to create and maintain satisfied, profitable customers. Customers are attracted and retained when their needs are met. Not only do they return to the same cruise line, hotel, rental car firm, and restaurant, but they will also post pictures with favorable comments on social media. "What about profits?" Some hospitality managers act as if today's profits are primary and customer satisfaction is secondary. This attitude eventually sinks a firm as it finds fewer repeat customers and faces increasingly negative word of mouth. Successful managers understand that profits are best seen as the result of running a business well rather than as its sole purpose. When a business satisfies its customers, the customers will pay a fair price for the product. A fair price includes a profit for the firm. Managers who forever try to maximize short-run profits are short-selling both the customer and the company. Consider the following episode: In the hotel industry, marketing and sales are often thought to be the same, and no wonder: The sales department is one of the most visible in the hotel. Sales managers provide prospective clients with tours and entertain them in the hotel's food and beverage outlets. Thus the sales function is highly visible, whereas most of the non-promotional areas of the marketing function take place behind closed doors. In the restaurant industry, many people confuse marketing with advertising and sales promotion. It is not uncommon to hear restaurant managers say that they "do not believe in marketing" when they actually mean that they are disappointed with the impact of their advertising. In reality, selling and advertising are only two marketing functions and often not the most important. Advertising and sales are components of the promotional element of the **marketing mix**. Other marketing mix elements include product, price, and distribution. Marketing also includes research, information systems, and planning. **Marketing** has been defined as 'the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual customer and organizational objectives (Kotler, 1984)' According to the American Marketing Association, "marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational goals." Beckman et al, (1973) define marketing as: "**the process in a society by which the** **demand structure for economic goods and services is anticipated or enlarged and satisfied through the conception, promotion, exchange and physical distribution of such goods and services**". If marketers do a good job of identifying consumer needs, developing a good product, and pricing, distributing, and promoting it effectively, the result will be attractive products and satisfied customers. Marriott developed Moxy Hotels; Darden designed the Olive Garden Italian Restaurant. They designed differentiated products, offering new consumer benefits. Marketing means "hitting the mark." Peter Drucker, a leading management thinker, put it this way: "The aim of marketing is to make selling superfluous. The aim is to know and understand customers so well that the product or service fits them and sells itself." The only way selling and promoting will be effective is if we first define our target market, understand their wants, and then prepare an easily accessible and available value package. The two main industries that comprise the activities we call tourism are the hospitality and travel industries. Few industries are as interdependent as travel--hospitality. This interdependence will increase in complexity. The travel industry will require marketing professionals who understand the big picture and can respond to changing consumer needs through creative strategies based on solid marketing knowledge. Although we normally think of marketing as being carried out by sellers, buyers also carry out marketing. Today's digital technologies, from online sites and smartphone apps to the explosion of social media, have empowered consumers and made marketing a truly two-way affair. Thus, in addition to customer relationship management, today's marketers must also deal effectively with customer-managed relationships. Marketers are asking not only "How can we influence our customers?" but also "How can our customers influence us?" and even "How can our customers influence each other?"  2. **What is Tourism and Types of Tourism?** Tourism is a complex phenomenon, which is difficult to describe in a few words. Most people have a spontaneous and often simplistic perception of the word tourism. It is mainly thought of as people going on a holiday, visiting a particular place for sightseeing and visiting friends and relatives. They may spend their time sunbathing, relaxing, engaging in various sports and going on a tour. In other words, people traveling away from their homes for recreational purposes. But what about business travelers, students on a study trip, sports teams going on a tournament in another city or country and people going on pilgrimages? Considering the subject further it is clear that these people are tourists too. Therefore when attempting to define tourism it is necessary to consider the various groups that participate in and are affected by the tourism industry. **Tourism** as a human activity has expanded and transferred knowledge and made than ever through travelling and wandering. In order to make the tourism sector as productive as all other economic activities, it needs a reformation of its foundation, legislation and organization, to support services such as means of transportation by sea, air and land. Stability, safety and security are the most important and central factors required for the tourism sector in any country, because, without them, the economic activity becomes immobile due to its high compassion to the tourist\'s feelings of insecurity in an unstable and safe country [([www.me-gate.com],](http://www.me-gate.com/) 10/2005). World Tourism Organization (WTO, 2004) define tourism as: "**Tourism comprises the** **activities of persons travelling to, and staying in, places outside their usual environment for not more than one consecutive year for leisure, business and other purposes".** There are three overall categories of visitor demand with which any country is concerned; each is a different sector of the total market: i. ii. iii. The following are the principal terms: - - - As outlined above, these three categories are easy to understand. In practice the technicalities of achieving statistical precision in measuring visitor numbers are extremely complex and, despite agreed international guidelines, no uniformity yet exists in the measurement methods used around the world. **[The same day tourism]**: Same-day visitors are mostly people who leave home and return there on the same day, but may be tourists who make day visits to other destinations away from the places where they are staying overnight. **[International Tourism]**: People who travel to and stay in countries other than their normal country of residence for less than a year, are described as international tourists. They are usually treated by governments as the most important market sector of tourism because, compared with domestic tourists, they typically spend more, stay longer at the destination, use more expensive transport and accommodation, and bring in foreign currency which contributes to a destination country's international balance of payments. **[Domestic Tourism]**: People who travel and stay overnight within the boundaries of their own country are classified as domestic tourists. Estimates of the size of this sector of the market vary because in many countries domestic tourism is not adequately measured at present. League nations in 1934 defined tourist in the following way. "Tourist is any person visiting a country other than in which he usually resides for a period of at least 24 hours." Temporary visitor stay at least 24 hours in the country visited and the purpose of his/her Journey can be classified under one of the following leading. Leisure (Recreation, health, study, religion and sports) Business, family, mission and meeting. The 19th century dictionary defines **'tourist' as "a person who travels for pleasure of** **traveling out of curiosity, and because he has nothing better to do."** The term tourist, the oxford dictionary tells us, was used as early as 1800. According to the dictionary universal, the 'tourist' is a person who makes a journey for the sake of curiosity, for the fun of traveling, or just to tell others that he has traveled. Tourism attractions determine different types of tourism: **Pleasure Tourism**: This is concerned with leisure and rest and to recover physical and mental stamina. It includes holiday for change, to take rest, to witness folk dance, songs or to taste different cuisines. **Cultural Tourism:** This is concerned with learning habits, language and customs of the people in the foreign lands, visiting places rich in historical monuments, ancient civilization or paying a visit to art galleries, Museums or to participate in music, art, dance and festivals. **Sporting Tourism**: Theses are of two types: i. ii. **Business Tourism**: All tours undertaken by businessmen, industrialist or professionals to a place of their interest for selling, buying, or taking orders etc. of the products related to business. **Conference Tourism**: Traveling to participate in trade fair, conference, meetings and exhibitions. **Social Tourism**: It is practices by the low-income group and is rendered possible by the help of third party or governments or association by means of subsidies, holiday with pay and other measures. **Water based tourism**: This type of tourism is based on water transportation e.g. cruise tourism, yachting tourism and River Tourism. **Nature based tourism**: This type of tourism is based on nature related activities, e.g. ecotourism or Wildlife Tourism. **Adventure Tourism**: Here risk, danger and spirit of adventure is involved e.g. White water river rafting, mountain biking, Para sailing etc. **Types of Tourist Attraction** Peter's Inventory of Tourist Attractions. - - - - - 3. **Marketing Concepts in Hospitality and Tourism** If a hospitality organization is to market its product-service mix successfully, it is essential that the marketing concept be thoroughly understood and fully implemented. Understanding the marketing concept is not difficult, but implementing it may prove to be very challenging for management. Simply stated, the marketing concept is a consumer-oriented philosophy that focuses all available resources on satisfying the needs and wants of the consumer, thereby resulting in profits. As an old rhyme states, "To sell Jane Smith what Jane Smith buys, you've got to see things through Jane Smith's eyes." Clearly, it is difficult to sell something to someone who has no need for it. If the firm adopts a consumer-oriented marketing philosophy, however, the product-service mix will be designed in direct response to unsatisfied consumer needs. As a result, very limited actual selling will be necessary. In such instances, supply and demand are in balance, and both the consumer and the hospitality providers are satisfied. Table 1.1 illustrates the two different philosophies of the marketing concept that are often practiced in the hospitality and tourism industry. One demonstrates the actions of a manager who applies the marketing concept; the other demonstrates actions that are not consistent with the marketing concept. The key question to ask when trying to distinguish between the two approaches is whether consumers are given priority, or whether the operation is run to suit the needs of the employees, management, or owners. Decision When the marketing concept is applied When the marketing concept is not applied -------------------------------------- --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- -------------------------------------------------------------------------------------------------- Menu design "Let's conduct focus group interviews using our current and target market customers to determine which potential new menu items we should add to our menu." "Let's add two steaks to the menu; that's what I like to eat." Pricing "How do you think our guests will perceive the price value of our new weekend package if we increase the price by 5 percent?" "Let's increase the price by 5 percent; that's what we did last year." Guest service "I'm very sorry that you had to wait 20 minutes for your breakfast this morning. May I offer you a complimentary breakfast today, or would you like the credit applied toward your breakfast tomorrow?" "I'm sorry you had to wait, but we were short-handed today. One of the servers called in sick." Guest requests "We don't have any rooms with a king bed available at this time, but I can have one ready for you in 30 minutes. Can I have the bell staff check your bags until then?" "We don't have any rooms with a king bed left. You'll have to take a room with two double beds." Reactions to negative guest comments "That is a very good idea. I'll talk about it at our staff meeting tomorrow and see if we can use your suggestion to improve service. Thanks for suggesting that." "Your idea isn't feasible, and besides, it's against our policy." The difference between selling and marketing is very simple. ***Selling focuses mainly on the firm's desire to sell products for revenue***. Sales people and other forms of promotion are used to create demand for a firm's current product(s). Clearly, the needs of the seller are very strong. ***Marketing, however, focuses on the needs of the consumer, ultimately benefiting the seller as well.*** When a product or service is truly marketed, the needs of the consumer are considered from the very beginning of the new- product development process, and the product-service mix is designed to meet the unsatisfied needs of the consuming public. When a product or service is marketed in the proper manner, very little selling is necessary because the consumer need already exists and the product or service is merely being produced to satisfy the need. 4. **The Marketing Mix of Hospitality and Tourism** The company's marketing strategy outlines which customers the company will serve and how it will create value for these customers. Next, the marketer develops an integrated marketing program that will actually deliver the intended value to target customers. The marketing program builds customer relationships by transforming the marketing strategy into action. It consists of the firm's marketing mix, the set of marketing tools the firm uses to implement its marketing strategy. The term *marketing mix* has been used by marketing managers for a long time. The concept of the marketing mix has gained universal acceptance. It is important for hospitality marketing students to understand this concept, both conceptually and strategically. A successful hospitality organization is one that focuses on the needs and wants of the consumers and markets the product-service mix of the operation. Management of this type of operation involves integrating the components of the marketing mix into a marketing program that will appeal to potential consumers and meet the goals and objectives of the firm. Marketing Mix strategy is choosing and implementing the best possible course of action to attain the organization's long-term objectives and gain competitive edge. The Marketing Mix, more popularly referred to as the 8Ps of Marketing is a set of controllable and interrelated variables that a company assembles to satisfy a target group better than its competitor. The tourism product unlike a car or a computer that consists of a combination of tangible and intangible items and the potential customers "buy" the product before "acquiring" the product. **[Product]** The difference between selling and marketing is very simple. ***Selling focuses mainly on the firm's desire to sell products for revenue***. Sales people and other forms of promotion are used to create demand for a firm's current product(s). Clearly, the needs of the seller are very strong. ***Marketing, however, focuses on the needs of the consumer, ultimately benefiting the seller as well.*** When a product or service is truly marketed, the needs of the consumer are considered from the very beginning of the new- product development process, and the product-service mix is designed to meet the unsatisfied needs of the consuming public. When a product or service is marketed in the proper manner, very little selling is necessary because the consumer need already exists and the product or service is merely being produced to satisfy the need. **Core product**: - the fundamental need or want that consumers satisfy by consuming the product or service. e.g.:- the aircraft seat **Generic product**: - a version of the product containing only those attributes or characteristics absolutely necessary for it to function. e.g.:- the economy class seat **Expected product**: - the set of attributes or characteristics that buyers normally expect and agree to when they purchase a product. e.g.:- leg room, safety **Augmented product**: - the inclusion of additional features, benefits, attributes or related services that serve to differentiate the product from its competitors. e.g.:- onboard lounge, cds **Potential product**: - this includes all the augmentations and transformations a product might undergo in the future. To ensure future customer loyalty, a business must aim to surprise and delight customers in the future by continuing to augment products. e.g.:- use of leather for a/c seats **[Price]** Price refers to time, travel cost and lost opportunities that are spent on attending an event or purchasing a product. It may be defined as the value of product or service expressed in monetary terms which a consumer pays or is expected to pay in exchange of the expected or offered product or service. Price gives a product or service a perceived value in the eyes of the consumer. It is the only mix that generates profit for the company. Factors that affect pricing includes: internal factors; Marketing Objectives, other marketing mix elements, costs (direct and indirect), nature of market demands and external factors; competitors price & offer, environmental factors (government laws and regulations...), consumer perceptions or price and value, price elasticity of demand. Pricing approaches in tourism industry includes: - **Rack Rates** -- This is the full rate before any discounts are applied and typically is what is provided to wholesalers and printed on brochures for the season ahead. However accommodation operators -- particularly those in the middle of the market will be changing pricing almost daily for the month or 2 months ahead to fill gaps. - **Seasonal Pricing** - Using a mix of pricing throughout the year to cover low, high, and shoulder seasons is a standard way for tourism businesses to cater for differing levels of demand due to the time of year. - **Last Minute Pricing -** A common method for accommodation suppliers to fill those last minute gaps in inventory availability, last minute pricing is basically discounting daily prices according to forward bookings and promoted on last minute booking websites. - **Discounting -** While discounting has its place, and often unavoidable in a competitive market such as tourism, be very wary about continually discounting your prices to stimulate demand. Consider adding conditions to a discounted price like a minimum stay or number of travelers in the booking. - **Package Deals -** Strike up deals with local businesses to provide a full package and share business with each other -- you should be able to get their products or services at a "net" rate so the package pricing is better than if they had purchased each component separately. This Packaging can also be used to target niche markets effectively. Eg - Golf weekend - **Commissions -** Many bookings will come via some sort of third party who will charge you a commission such as a retail travel agent, wholesaler, inbound tour operator or online travel agent (OTA). But this should actually be considered in the setting of your rack rates. **[Promotion]** **[Place]** **[People]** Tourism is all about people; the tourist, service personnel and the local population. The tourist as well as the service personnel affects the tourism product. Behavior, expectations, mood, stress etc can affect the quality of the product. Therefore staff training, appearance, commitment, customer contact etc is very important to focus on. It is also essential to keep in mind that the local population is part of the product/destination. Physical appearance, behavior, knowledge, grooming and attitude has a powerful impact on customers' perception of the tourism & hospitality product. Ensure staff are trained to ensure the product or service is delivered in accordance with the marketing strategic plan. **[Packaging]** In marketing tourism there is a need to understand that the tourism product is made up of a complex set of goods and services (travel agent, airline, car rental, hotel, restaurants, museums and other attractions, taxi etc). Packaging refers to combining two or more elements of the tourism experience into one product. Tour operators provide packages with transportation, accommodation, transfers, and visits to attractions, travel insurance and other tourism components. A destination packages the tourism product by marketing bundles of different activities, attractions and events at the destination. Regional tourism organizations market the region as integrated packages of attractions, events, activities and other tourism related services. A package tour, package vacation, or package holiday comprises transport and accommodation advertised and sold together by directly or by a vendor known as a tour operator. Other services may be provided such a rental car, activities or outing during the holidays. Packaging and distribution defines that business can either package events with other attractions and services or offer them on their own. **Advantageous of choosing a package includes:** Cost Saving (The Company offering you the holiday package is much more aware of the best air fares, hotel tariffs and rates of every other thing), Zero Headache (Everything will be done on your behalf by the tour operator and would simply be paying the charge), Complete Tour (Holiday packages are designed specially are major spots in a place so that customers get best value for their money), Best Service (By opting for an all-inclusive holiday package you can enjoy the best of all services available at hotel/ destination Eg -- Swimming Pool, Spa and Sauna, Safari and etc.), Safe Travelling Companies that offer tour packages are completely aware of situations in a particular place, the risks and the safe zones. By planning a trip on your own, may fall in trouble at unknown place), Planning (Tailor Made tours allows you to make your own planning and inform the travel agent). **Disadvantageous of choosing a package includes:** Traveling too quickly (May be it seems fun to see 5 cities in 7 days but in reality the pace of the tour might be too fast), Lack of flexibility (You have to stick on their schedule. This means you can't decide where you go), Big Crowds (While on group tours, You'll constantly be herded around in a big group with little time to be on your own), Limited interactions with locals (You'll see the sights but no the personalities that make up the culture you're exploring), Communication (For any problem that is encountered, the first point is always the travel agent. This may cause inconvenience especially for those who travelling different countries). **[Programming]** Programming within the event is also a marketing decision, especially by the way of creating targeted benefits. It involves the elements and the quality of style of the event. This P focuses on how to better package events, special activities and other programs for the customer. It aims at adding to the appeal of a destination and increasing customer spending. A number of attractions can be linked together in order to have a mix of products and experiences. In attempt to move away from standardized holiday packages programs can be added to, for example the traditional Caribbean beach holiday package offered by tour operators. Programming is basically customer-oriented activities designed to increase customer spending or length of stay, or to add to the appeal of packages...Example - special events, festivals, special activities or etc. One way to add value to the standard product and to distinguish a particular offering from competitors is to offer exclusive programming. Customers will purchase a product that cater to their particular interest. Special programming can address such preferences and draw in additional customers. Programming within the event is also a marketing decision, especially by the way of creating targeted benefits for the customers. **[Partnership]** Partnership refers to the **common partners**, usually being governmental agencies. Where packages are **jointly marketed**, event managers and partners will have to modify their prices of each product to **become more attractive** and to therefore be able to sell well. Partnership marketing is all about brands working together to reach new audiences through mutually beneficial campaigns. It also known as cooperative marketing, increasing the reach and impact of marketing efforts. Partnership marketing is now much more about true collaboration, with partners working to achieve the same goals of extended reach, maximizing budgets and driving acquisition, rather than each individual organization working in isolation. As previously discussed there is a high degree of interdependency among all tourism stakeholders and a need for cooperation. Stakeholders are coming together in partnerships such as strategic alliances. In the tourism industry this started with airlines working together across countries and continents in order to get a greater market share. The alliances have expanded to include car rental companies, hotels, restaurants and shops. These working relationships are built not only with colleagues but sometimes also with competitors. The largest and longest established alliance is Star Alliance (see www.staralliance.com). Another example is Air Jamaica's a Frequent Flyer program, 7^th^ Heaven, which rewards customers for trips taken which then can be used for buying an airline ticket within the same group 7th Heaven. Members of the group include Air Jamaica, Delta, Virgin Atlantic, Air Canada, Hertz, Island Car Rental Jamaica, Travel Master Card, and Court Leigh Manor Hotel Jamaica. There are also special airport parking discounts in Miami and Baltimore. These strategic alliances benefit the members of the group in their attempt to keep the customer, but it also benefits the customer in being awarded for their loyalty. New technologies and mobile are also mentioned and recognized as platforms via which a partnership marketing strategy can stand out and cut through. Partnership marketing lends itself to communicating with customers across their lives and therefore over multiple touch points, matching the way consumers now interact with their world. **Benefits of partnership marketing includes:** Effective use of budget; Partnerships are able to provide an effective and efficient use of companies' budgets by enabling them to substitute purchasing assets with leveraged brand equity in mutually beneficial partnerships which require minimal financial investment from both parties. Expanding reach; Domestic firm may wish to engage in a partnership for a variety of reasons; for example Ethiopian Airlines is formed strategic alliance with different companies to provide customers with maximum satisfaction. 5. **A Tourism Model**  In an attempt to overcome some of the problems encountered in describing tourism, the **model** presented in Figure 1.2 was developed to highlight important participants and forces that shape the tourism industry. The model, like a photograph, provides a picture that begins to capture the dynamic and interrelated nature of tourism activities. Its open nature and how each of the segments is related to the others. Let's begin our study of tourism by looking at travelers (tourists), who serve as the focal point for all tourism activities and form the center of our model. Radiating from this focal point are three large bands containing several interdependent groups of tourism participants and organizations. Individual tourists may deal directly with any of these tourism service suppliers, but they often rely on the professional services provided by tourism promoters shown in the first band of our model. Tourism promoters, such as travel agencies and tourist boards, provide information and other marketing services. Moving to the next band of our model, we see key tourism suppliers who provide transportation, accommodations, and other services required by travelers. Tourism suppliers may provide these services independently; they may compete with each other; and, at times, they may work together. For example, airline, bus, railroad, cruise ship, and car rental companies may compete individually for a traveler's business. However, they may also team up to provide cooperative packages such as fly--ride, fly--cruise, and fly--drive alternatives. Or, as airlines have discovered, they must establish strategic alliances with many other carriers to provide seamless travel across states, nations, and continents. Hotels and resorts may also compete against each other for the same traveler's patronage yet cooperate with transportation providers to attract tourists to a specific location. Service providers representing all segments of the tourism industry may often work together to develop promotional packages designed to attract tourists to destinations. How closely these individuals and organizations work together is ultimately influenced by the forces shaping the face of tourism activities. As our model shows, the tourism industry does not operate in a vacuum. All of the participants, either individually or as a group, are constantly responding to a variety of social/cultural, political, environmental, economic, and technological forces. These forces may range from subtle changes, which are noticeable only after many years, to more dramatic changes, which have immediate and visible impacts. Examples of these forces can be found all around us. Gradual changes may be noticed in destinations that were once fashionable but eventually faded in popularity, such as Niagara Falls on the Canadian/U.S. border and Brighton in England. Similar shifts can also be seen in transportation. Steamship passage across the North Atlantic was eclipsed by the faster and more efficient airplane, which opened new horizons for travelers. Immediate impacts can be seen in sudden shifts brought about by currency devaluations, wars, fuel shortages, natural disasters, and economic conditions. Rapid adoption of new technologies such as the Internet can have immediate and far-reaching impacts on tourism activities and service providers. A country that was once avoided may suddenly become a popular tourism destination because it is more affordable or accessible. Conversely, a once-popular destination may be avoided because of a recent natural disaster or political upheaval. 6. **Historical Development of Tourism and Hospitality**