Links and Working Together &
Horizonal and Vertical Integration
Horizontal Integration occurs when companies are bought out or merged at the same level in the chain of distribution, such as travel agencies buying each other. Often original brand names are retained so the general public are unaware of the takeover, for example First Choice and Tui are both tour operators and they merged together, now Thomson own both them two and Tui is frequently advertised on Thomson broachers but it is in a smiley face style; Co-op Travel and Thomas Cook have recently merged to save costs and make more profit.
Vertical Integration occurs when two companies at different levels in the chain of distribution merge together or are bought; such as Tui owns 50% share in the sol y mar hotel chain.
Merging is when both businesses come together to be a single business, tour operators with to integrate with a chain of travel agents so they can expand the business, make profit, get a greater market share and get greater recognition of the brand name.
There are many links and aspects that work together in the Travel and Tourism Industry, such as work with transport companies; they get business from packages that travel agents sell, by using transport in the country you are in such as abroad if there are trips or destinations you need to get to, the transport brings visitors to attractions. When you get to your holiday destination if you're in a full packaged or all inclusive holiday normally your tour rep will have a talk with you the morning you arrive or the morning after which then they will sell and promote different trips and visits and this will then promote businesses, from doing this the business they has sold and promoted; they will then get commission for that. TIC's- Tourist Information Centre's and websites (Travel and Tourism businesses) they help to promote attractions in the local areas, whether it be in Bolton or Spain they always help to advise you about the best places to go. Local Attractions help to promote each other, if Bolton Museum are advertising Bolton Library by using leaflets or books then if you go to Bolton Library they would be showing leaflets and books; advertising Bolton Museum.
Alton Towers have sponsors such as Cadburys, Alton Towers will be getting money of Cadburys for them to sponsor their prouduct around their grounds, but then Cadburys will also be getting money back of Alton Towers for selling their product there. With Alton Towers promoting Cadburys their name will then be getting promoted so it will be better known to tourists who may have never heard about the product before. It may be that only Cadbury products are being sold at Alton Towers this then is giving them exclusivity. Also Alton Towers have their food provided, as they have a burger king, KFC and pizza hut there, these then Alton Towers will be paying them to sell their food there but also Alton Towers will be given money back off the food places for selling their food there, this means then the quality of food is quite popular and the "brand" is doing quite well, again this will then make the food places more likeable and recognizable and if they're so good to be promoted at Alton Towers the public should know what to expect.
Vertical Integration occurs when two companies at different levels in the chain of distribution merge together or are bought; such as Tui owns 50% share in the sol y mar hotel chain.
Merging is when both businesses come together to be a single business, tour operators with to integrate with a chain of travel agents so they can expand the business, make profit, get a greater market share and get greater recognition of the brand name.
There are many links and aspects that work together in the Travel and Tourism Industry, such as work with transport companies; they get business from packages that travel agents sell, by using transport in the country you are in such as abroad if there are trips or destinations you need to get to, the transport brings visitors to attractions. When you get to your holiday destination if you're in a full packaged or all inclusive holiday normally your tour rep will have a talk with you the morning you arrive or the morning after which then they will sell and promote different trips and visits and this will then promote businesses, from doing this the business they has sold and promoted; they will then get commission for that. TIC's- Tourist Information Centre's and websites (Travel and Tourism businesses) they help to promote attractions in the local areas, whether it be in Bolton or Spain they always help to advise you about the best places to go. Local Attractions help to promote each other, if Bolton Museum are advertising Bolton Library by using leaflets or books then if you go to Bolton Library they would be showing leaflets and books; advertising Bolton Museum.
Alton Towers have sponsors such as Cadburys, Alton Towers will be getting money of Cadburys for them to sponsor their prouduct around their grounds, but then Cadburys will also be getting money back of Alton Towers for selling their product there. With Alton Towers promoting Cadburys their name will then be getting promoted so it will be better known to tourists who may have never heard about the product before. It may be that only Cadbury products are being sold at Alton Towers this then is giving them exclusivity. Also Alton Towers have their food provided, as they have a burger king, KFC and pizza hut there, these then Alton Towers will be paying them to sell their food there but also Alton Towers will be given money back off the food places for selling their food there, this means then the quality of food is quite popular and the "brand" is doing quite well, again this will then make the food places more likeable and recognizable and if they're so good to be promoted at Alton Towers the public should know what to expect.