IDENTIFY THE REASONS WHY INTEGRATION IS ESPECIALLY IMPORTANT FOR MANY ENTERPRISES IN TRAVEL

Expert Solution

Integration in travel industry always occurs when the company owns more than one distribution process. Horizontal integration occurs when the both companies owned by the parent company are at same level of distribution process. Vertical integration occurs when the company owned by parent company are at level of integration process.

Integration is important for many travel enterprises because travel enterprises have many tourists who want to travel from one place to another and these travel enterprises should ensure that these travel they are doing is smooth without any problems. So for these travel enterprises have to deal with different types of transportation ,hotels and legal procedures to see that the tourist don't have any problems while travelling. Hence travel enterprises should have integration with different and same level companies for their customers.

Example: Some one want to travel to India and stay their for three weeks as tourist to visit places in India. For his tour he came to your travel enterprise and told you his plan and requirements. Now you have to see what are the places he will go and arrange to tickets , rooms and vehicle for his stay for all those days in India.

So Integration is necessary for this travel enterprise as they have talk to so many other travel enterprises, hotels and etc too see that your customer have no difficulty in his tour.

Rahul Sunny answered 2 years ago

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