Vikas Madhukar and Deependra Sharma
This paper aims to investigate the role of information technology (IT) applications in the profitability of the Indian travel and tourism industry.
Abstract
Purpose
This paper aims to investigate the role of information technology (IT) applications in the profitability of the Indian travel and tourism industry.
Design/methodology/approach
Qualitative research was conducted and an in-depth interview technique was applied for the collection of primary data. Traditional travel agents, tour operators, online travel agents and hoteliers in Gurgaon were investigated to explore issues pertaining to the study, and all responses were recorded and later transcribed. The identities of interviewees and their properties are not revealed to preserve confidentiality.
Findings
The analysis reveals that IT plays a significant role in the profitability of the tourism and travel industry. These include competitive pricing attained via dynamic pricing especially in the hotel industry, promotion and improved efficiency in rendering services to tourists and access to tourists virtually anywhere and at any time.
Practical implications
The findings have direct and indirect implications for different stakeholders – notably, travelers, owners and executives of businesses in the travel industry, as well as for researchers. Executives and owners can discern the critical implications of adopting IT to take their businesses to a new level. They should also be able to appreciate the fact that to remain competitive, practitioners must explore the potential opportunities emerging through IT.
Originality/value
Organizations in this sector are moving from traditional business models to more technologically dependent approaches. In particular, this study shows how the use of IT applications is influencing the profitability of the travel and tourism industry especially in India.
Details
Keywords
Gunjan M. Sanjeev and Richard Teare
The purpose of this paper is to profile the experiences of the theme editor and the writing team of Worldwide Hospitality and Tourism Themes (WHATT) theme issue “What should…
Abstract
Purpose
The purpose of this paper is to profile the experiences of the theme editor and the writing team of Worldwide Hospitality and Tourism Themes (WHATT) theme issue “What should Indian tourism and hospitality managers focus on to stay competitive in the coming decade?”
Design/methodology/approach
This paper uses structured questions to enable the theme editor to reflect on the rationale for the theme issue question, the starting point, the selection of the writing team and material and the editorial process.
Findings
This paper identifies key issues shaping the Indian tourism and hospitality industry and some of the implications for managers. It also identifies ways of improving competitiveness and some of the ways in which the Indian Government (at national and state levels) is investing in and facilitating community-focussed tourism development.
Practical implications
The theme issue outcomes provide lines of enquiry for others to explore and reinforce the value of WHATT’s approach to collaborative working and writing.
Originality/value
This paper draws on discussion and applied research with industry to identify and assess the likely impact of innovation, information technology, social media and related developments on tourism and hospitality industry development in India. The theme issue collection of this paper provides a rich picture of the occurring changes and prospects for the future.
Details
Keywords
Sonia Mehrotra, Uday Salunkhe and Ishani Chakraborty
Strategy.
Abstract
Subject area
Strategy.
Study level/applicability
MBA.
Case overview
On 20 May 2016, the Management team at Patanjali Ayurved Limited (PAL), an Indian fast-moving consumer goods (FMCG) company, had assembled in their Haridwar office, India, to discuss their future growth plans. The team was in a celebratory mood, as their internal reports suggested the annual revenue forecasts for the year 2016-2017 to be INR 10bn, an increase of 100 per cent as compared to the previous fiscal year 2015-2016 that recorded annual revenues of INR 5bn. PAL incorporated in 2006 and co-founded by Acharya Balkrishna operated in four business segments of foods, personal care, home care and Ayurved products. The products sold under the brand name Patanjali were single-handedly promoted by Swami Ramdev (hereafter referred as Ramdev), a popular Yoga practitioner and preacher amongst the Indian masses, as well as PAL’s co-founder. Ramdev recommended PAL’s products in his yoga sessions on television and yoga shibirs which had led to huge positive “word-of-mouth” publicity for their brand Patanjali. Their fast-paced growth in less than a decade had generated a disruption in the Indian FMCG sector, resulting in a negative impact on the sales of established multinational corporations (MNCs) such as Colgate-Palmolive, Hindustan Unilever Limited (HUL), ITC Limited (ITC), besides the domestic players such as Dabur India Ltd. and Emami Ltd. This had led their FMCG competitors to launch plans to strengthen their product portfolios so as to provide a tough competition to PAL. The management team at PAL, though confident of achieving their annual revenue targets, were apprehensive of this new competition from the big players of the FMCG sector. Were they capable of continuing their success story? Going forward what strategic steps would ensure them a sustainable growth and a market leader position? The mood turned reflective as the team pondered on some of these questions.
Expected learning outcomes
The case is structured to enable discussion on: conducting and understanding a general environment analysis and industry and competitive analysis and critically evaluating the firm’s strategic positioning and scope in a competitive environment.
Supplementary materials
Teaching Notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.
Subject code
CSS 11: Strategy.