X UNIT - III Tourism Business - II (English)

 

3.1 Introduction – Business of Tourism 

  • Tourism is a dynamic (constantly changing) industry.

  • It has its own identity and special requirements.

  • Earlier, tourists depended on:

    • Travel agents

    • Tour operators

  • Now, due to the internet, tourists can:

    • Book tickets online

    • Reserve hotels directly

    • Get destination information easily

  • Important Point:
    Even after digital growth, travel agents and tour operators are still important for:

    • Expert guidance

    • Package tours

    • Handling complex travel needs

  • Tourism business involves:

    • Different activities

    • Unique functions

    • Special terminologies

  • This unit helps to understand:

    • Tourism-related terms

    • Work of travel agencies

    • Difference between domestic and international travel

3.2 Travel and Hospitality Terminology 

  • Every industry uses special terms (terminology) for communication.

  • In tourism, these terms are:

    • Often short words or acronyms

    • Used in ticket booking, hotel reservation, tour planning

  • These terms come from:

    • Tourism sector

    • Hospitality sector

  • Learning these terms helps to:

    • Understand tourism business

    • Communicate professionally

    • Work efficiently in travel industry

Key Definitions

  • Tourism Industry:
    The industry that provides services like travel, accommodation, food, and entertainment to tourists.

  • Travel Agent:
    A person or agency that helps tourists in booking tickets, hotels, and travel services.

  • Tour Operator:
    A company that designs and sells complete tour packages including transport, accommodation, and sightseeing.

  • Hospitality:
    The service of welcoming and taking care of guests (e.g., hotels, restaurants).

  • Terminology:
    Special words or phrases used in a particular profession or industry.

✅ 3.2.1 Terminologies Related with Tourist

  • Guest – A person who actually uses the services provided by a travel agent or hotel.

  • Customer – A person or organization who pays for the services.
    Example: A company paying for its employee’s business trip.

  • PAX (Passenger) – Refers to the number of passengers travelling.
    Example: “No. of PAX = 5”

  • FIT (Free Individual Traveller) – Refers to individual travellers or a couple travelling alone.

  • GIT (Group Inclusive Tour) – Refers to a group of travellers travelling together on a tour.

✅ 3.2.2 Terminologies for Types of Rooms

  • Single Room – A room with a single bed for one person.

  • Double Room – A room with one double bed for two people (may be king size or twin option).

  • Twin Room / Twin Bedded Room – A room with two separate single beds.

  • Cabana Room – A room located near or adjacent to the swimming pool.

  • Lanai Room – A room with an open-air patio, usually with a garden or hanging garden view.

  • Efficiency Room – A room equipped with a small kitchen facility.

  • Penthouse – A luxurious set of rooms located on the top floor of a hotel, with part of it open to the sky.

  • Suite – A set of at least two rooms, including a bedroom and a living area.
    Example: Presidential Suite, Mughal Suite.

  • Junior Suite – A large room divided into two sections by a partition (often wooden).

✅ 3.2.3 Terminologies for Meal Plans

  • European Plan (EP) – Includes only room rent (no meals).

  • Continental Plan (CP) – Includes room rent + continental breakfast.

  • American Plan (AP) – Includes room rent + three meals (breakfast, lunch, and dinner).

  • Modified American Plan (MAP) – Includes room rent + any two meals.

  • Bermuda Plan (BP) – Includes room rent + American breakfast.

  • Jungle Plan (JP) – Includes room rent (usually on AP basis) + jungle safari (commonly used in India).

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✅ 3.2.4 Few More Terminologies

  • American Breakfast – Includes cooked food along with continental items such as eggs and cereals.

  • Continental Breakfast – No cooked food; includes juice, bread, butter, jam, jelly, marmalade, tea or coffee.

  • EMT (Early Morning Tea) – Tea served early in the morning, usually before breakfast.

  • FOREX (Foreign Exchange) – Conversion of one country’s currency into another.

  • Guest Folio – A record containing guest details such as date of birth, anniversary, and stay information.

  • IBT (Inbound Tours) – Tourists coming into a country / inbound tourism department.

  • OBT (Outbound Tours) – Tourists travelling out of a country / outbound tourism department.

  • Sold Out – When no rooms are available in a hotel.

  • Transfer – Transportation of a guest from airport/railway station to hotel and vice versa.

  • VIP Guest (Very Important Guest) – A guest given special attention and services.

  • Voucher – A document issued as proof of prepaid services like hotel booking, transport, or tours.

  • Walk-in Guest – A guest who arrives at a hotel without prior reservation and requests a room.


REVIEW QUESTIONS

✅ 1. What do you understand by Tourism Terminologies? What is their importance?

Tourism terminologies are special words or short forms used in the tourism and hospitality industry to communicate easily and professionally.

These terms are used by travel agents, tour operators, hotels, and other stakeholders while booking tickets, rooms, and planning tours.

Importance of Tourism Terminologies:

  • They help in clear and quick communication in the tourism industry.

  • They make work easy and professional.

  • They help in avoiding confusion while booking services.

  • They are useful in understanding tourism operations.

  • They help a person to work efficiently in travel agencies and hotels.

✅ 2. Mention the terminologies associated with room with meal plan

  • European Plan (EP) – Only room rent (no meals included).

  • Continental Plan (CP) – Room rent + continental breakfast.

  • American Plan (AP) – Room rent + three meals (breakfast, lunch, and dinner).

  • Modified American Plan (MAP) – Room rent + any two meals.

  • Bermuda Plan (BP) – Room rent + American breakfast.

  • Jungle Plan (JP) – Room rent (usually with meals like AP) + jungle safari.

3.3 Activities in a Travel Agency

A travel agency plays an important role in the tourism industry. It works as a link between tourists and service providers like hotels, airlines, transport companies, and tour operators. Even though many services are now available online, travel agencies are still important because they provide guidance, convenience, and complete travel support.

Main activities of a travel agency

1. Information Provider
A travel agency gives information about destinations, flights, hotels, transport, weather, and tourist activities. It helps customers choose the best option according to their budget, age, and interest. Information is given through brochures, pamphlets, pictures, and visuals.

2. Ticketing
Ticketing is one of the main activities of a travel agency. It includes booking air tickets and railway tickets for domestic and international travel. The agent also helps the customer choose the best fare and service. For example, low-cost airlines may offer cheaper tickets but fewer services.

3. Tour Packages
Travel agencies sell tour packages of different tour operators. They also prepare customized packages according to the customer’s needs. These packages may include transport, hotel stay, sightseeing, and documentation. Now cruise packages are also included in tour services.

4. Documentation
Travel agencies help tourists with important travel documents such as passport, visa, and health certificate. These documents are necessary for domestic and international travel.

5. Foreign Exchange
Some travel agencies also provide foreign exchange services. They help tourists get the currency of the country they are visiting. This service is available with RBI permission.

6. Insurance
Some travel agencies provide travel insurance through government or private insurance companies. This helps travellers during emergencies or unexpected problems.

7. M.I.C.E.
MICE stands for Meetings, Incentives, Conferences, and Expositions. Travel agencies organize business meetings, conferences, corporate incentive tours, and exhibitions. This is an important source of income for travel agencies.

8. Other Services
Travel agencies also arrange car rentals, guides, airport transfers, and other services as per the needs of tourists.

Conclusion

A travel agency makes travel easy and comfortable. It saves time, reduces confusion, and provides complete travel support to tourists.

REVIEW QUESTIONS

1. What do you understand by M.I.C.E.?

M.I.C.E. stands for Meetings, Incentives, Conferences, and Expositions/Exhibitions. It is an important part of the travel agency business where travel agents arrange events, meetings, and group travel for companies and organizations.

Simple meaning:
It is the business of organizing large events and corporate travel.

Importance of M.I.C.E.:

  • It brings good revenue to travel agencies.

  • It helps in organizing business meetings and conferences.

  • It is useful for corporate tours and incentive trips.

  • It helps hotels, travel agents, and other service providers earn more.

2. What is the most important job of a travel agent?

The most important job of a travel agent is to act as an information provider.

A travel agent gives correct information about:

  • destinations,

  • hotels,

  • transport,

  • airline timings,

  • weather,

  • tour packages,

  • and other travel services.

This helps tourists make the right decision easily and enjoy hassle-free travel.


3.4 Documentation for Travel

Tourists need proper documents while travelling. The documents required may change according to the destination, but some documents are common and necessary for travel. A travel professional should know these documents well because tourists must follow the rules and regulations of the country they are visiting.

Types of Tourists

  • Domestic Tourist:
    A person who travels within his or her own country.
    Example: A family from Punjab visiting Shimla.

  • International Tourist:
    A person who crosses the border of his or her country legally to visit another country.

  • Inbound Tourist:
    A foreign tourist who visits a country.
    Example: Europeans visiting India.
    This also helps the country earn foreign exchange.

  • Outbound Tourist:
    A citizen of a country who goes to another country.
    Example: An Indian visiting the U.S.A.

Important Documents for Travel

  • Passport:
    A government document that proves identity and nationality. It is needed for international travel.

  • Visa:
    An official permission given by a country to enter, stay, or travel there.

  • Health Certificate:
    A medical document showing that the traveller is fit to travel or does not have a serious disease.

  • Other Travel Papers:
    Some destinations may require extra documents depending on their rules.

TIM (Travel Information Manual)

  • TIM is a publication by IATA airlines.

  • It gives information about the documents required for travel to different destinations.

  • It helps tourists and travel agents understand travel rules clearly.

3.4.1 Passport, VISA and Other Permits

A tourist who wants to travel abroad must have a passport. A passport is an official document issued by the government of a country to its citizens as proof of identity and nationality. It has a validity period, so the traveller must check whether it is valid before travelling or returning to the country.

A traveller also needs a visa to enter another country. A visa is permission given by a foreign country to enter its territory. The most common visas are tourist visa and business visa.

For some places in India, a tourist may also need special permits such as:

  • Restricted Permit

  • Protected Area Permit

  • Inner Line Permit

These are required for visiting certain sensitive or restricted areas. For example, some islands in Andaman & Nicobar can be visited only with permission from the proper authority.

A travel facilitator must make sure that the tourist has proper and valid documents. If documents are not correct, the tourist may face problems like:

  • Detention

  • Deportation

  • Loss of time and money

3.4.2 Medical Requirements

Some countries have medical rules for travellers before allowing entry. These requirements are meant to protect the traveller and the country from the spread of disease.

The tourist may have to:

  • Take certain vaccinations

  • Submit a health certificate

  • Show proof from a recognised medical practitioner

For example, in some countries of Africa and South America, yellow fever vaccination is compulsory. This vaccination is valid for 10 years.

Medical emergencies like Ebola or SARS have shown that health issues can affect travel plans. So, tourists should check medical requirements before applying for a visa.

3.4.3 Travel Insurance

Travel insurance protects a traveller against unexpected risks during travel. It gives financial support in case of:

  • Medical expenses

  • Trip cancellation

  • Accident

  • Loss of baggage

  • Financial failure of travel suppliers

  • Other travel-related losses

Travel insurance is useful for both domestic and international travellers. It gives safety and peace of mind during the journey.

Travel agents also provide travel insurance to tourists and get a commission from insurance companies.



1. What do you understand by VISA?

A visa is an official permission given by a foreign country to enter its territory. It is usually stamped on or attached to the passport. A traveller must have a valid visa to visit another country.

In simple words:
A visa is a legal entry permit for foreign travel.

2. What is the significance of Health Certificate for travelling abroad?

A health certificate is important because it proves that the traveller is medically fit to travel. Some countries ask for this certificate before giving a visa.

Significance of Health Certificate:

  • It helps the traveller enter countries with medical rules.

  • It shows that the traveller does not have a dangerous disease.

  • It is required for some vaccinations like yellow fever.

  • It protects both the traveller and the country from health risks.





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