Unit 1 - Investigating the Travel and Tourism Sector
M1 - explain the roles of different organisations within the travel and tourism component industries and how they interrelate
Unit 1 – Investigating Travel and Tourism
M1 – Explain the roles of different organisations within the travel and tourism component
industries and how they interrelate.
In this assignment I will be explaining the roles of two organisations. I will be looking at the airline British
Airways (BA), and the hotel chain The Hilton. I will also be explaining how they interrelate.
British Airways have a role to meet key organisational aims. Because British Airways is part of the private sector
they aim to make a profit. British Airways annual report and accounts for the year 2014 said that that ‘’BA has
made an operating profit of £975 million in 2014.’’ In 2013 they made a profit of £708 million. The difference
between 2013-2014 is £272 million. By having a huge increase in profit like this means that the company can
carry on being successful. Hilton Hotels are part of the private sector and aim to make a profit. I couldn’t find
the exact figure of profit however I found out that Adjusted EBITDA is projected to be between $2,840 million
and $2,870 million, an increase of $10 million at the midpoint.
British Airways will also aim to maximise sales revenue. According to BA’s annual report 2014 they now offer a
new premium luggage concierge service. Somebody who works for BA will collect a customer’s luggage from
baggage reclaim and will deliver it to the customers chosen destination in London. They also maximise sales
revenue by producing in-flight meals. On the annual report it said that they offer an a la carte menu for
customers who are travelling BA’s first, club world (business class) and world traveller plus cabins. Hilton Hotels
also aims to maximise sales revue. They might do this by putting mini bars in rooms and the customer will be
charged for what they drink. Hilton Alexandria Kings Ranch also has a spa on sight. Guests will pay extra for this.
Finally they must also aim to ensure compliance with regulations. British Airways will work with regulatory
bodies such as the CAA (Civil Aviation Authority). The CAA is an independent statutory body. Under the UK Civil
Aviation Act 1982, the CAA is responsible for supervising many aspects of an airline’s financial condition,
management and operations. European airlines are also subject to EU regulations. Hilton must also do the same.
They must ensure that all of their electrical equipment in the rooms has been tested so that it is safe to use. If a
customer was to get injured by faulty electricals the company would be in trouble.
British Airways have a role of providing products and services to customers. BA sell scheduled flights to their
customers in order to make a profit. British Airways offer economy flights, premium economy flights, business
class flights and first class flights which is the highest class of travel. They have created a new aircraft called the
Dreamliner 787. This air craft offers customers a more pleasant flying experience. It has larger windows, more
moisture in the air and a lower cabin altitude which will help to reduce jet lag. British Airways also provide
accommodation on their website. They promote hotels such as Hilton Hotels, Hard Rock Hotels, Four Seasons
Resorts and K+K hotels. They offer deals if you book a flight an accommodation. They also offer a range of
airport parking. You can purchase airport parking near the airport or you can drive straight to the airport
terminal and somebody will park your car for you. Hilton also provide products and services. They provide
accommodation for the guests. As well as accommodation they also have spas and gyms for customers. When
staying in a Hilton Hotel the guests can require room service and also members of staff will carry the bags to the
room. On their website it said ‘’ Our Team Members are always ready to provide friendly, individualized service
to our guests. We’re also happy to offer a range of services to meet your needs.’’
British Airways have a role of being responsible to stakeholders. They have to be responsible to the shareholders
of British Airways. Because they own part of the organisation they have the right to know how the company is
performing. British Airways create annual reports which lets shareholders see a finical report, see what has went
well during the year and also what changes they wish to make. These annual reports can be found on the
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