Background

Tourism is an important catalyst in the socio-economic development in the modern times, contributing in multiple ways and strengthen the inter-connected processes. While often portrayed as panacea for many evils such as underdevelopment, unemployment, poverty eradication, social discrimination and so on; its contribution in creating a global and regional socio-political environment for peaceful co-existence of the cultures and societies has been equally established at various levels. Perhaps, this realization took many advocators to position tourism as one of the biggest peace industries, a means to strike equilibrium of global peace process though development. Because, tourism practiced in responsible and sustainable manner bring about the peace and prosperity of the people and that its stakeholders share benefits in fair manner, which is a necessary condition for the equilibrium of sharing to sustain. Due appreciation of such key role of tourism in development and global solidarity is forthcoming in recent years. The U.N systems have been well on record about the growing significance of tourism, which can be traced back to the 1980s. The latest being the candid endorsement of U.N Secretary General who went on to state as precursor to his World Tourism Day 2011 message: tourisms ability to generate socio-economic opportunities and help reducing the gap between rich and poor is more important than ever. This statement acquires significance in the face of the economic crisis in recent times. Hence, any formulation on tourism and its role in the society and economy must be rooted in due cognizance to the contribution of tourism in the development process and according its rightful place and position in the economic planning and programming. Understanding Present Status of Global Tourism: The phenomenon of tourism since 1950 has been remarkable in terms of growth, spread and diversification. The international tourist arrivals since then have grown from mere 25 million to reach 940 million in 2010. The fast growth and spread not only resulted the globalisation of peoples movements as never before but also contributed in creating a vibrant industry and opportunities for millions of people.

Fig- 1: International Tourist Arrivals and Receipts- 1990-2010

It is equally remarkable that irrespective of many challenges- at times far reaching in nature like economic threats, war and political instabilities, natural calamities and the liketourism as an economic activity could withstand the test of the time and demonstrated its resilience as well as positioning in the modern way of living. Figure- 1 is revealing of the contemporary nature of tourism. During 1990-2010, international tourist arrivals grew from 435 million to 940 million, recording an average annual growth of 5.8%, hiccups in some years notwithstanding. During this period, the international receipts also recorded considerable growth from USD 262 bn. to USD 919 bn., and its average growth has been more than double to that of the arrivals at about 12.54%. Regionally, international arrivals can be seen growing faster in emerging economies at a rate of about 7% compared to the world average of 4.45% during 2005-2010 (Table-1).

Table : Regional Trend in International Tourist Travel

Tourism Industry, World GDP and Employment:

Further, the employment effect of international tourism appears to be optimistic in the medium to long-term. According to the UNWTO forecasts, the sector is expected to provide nearly 296 million jobs by 2019 given that there would be sustained growth of global tourist arrivals and the major economies maintain its momentum.

Recent Trends In Indian Tourism

The tourist numbers and activities in India seem to suggest more of an optimistic scenario. The gloomy phase of 2008-09 has been mediated successfully with focused policy interventions and industry initiatives that in turn added momentum to the growth process. From a negative growth of -2.2% in 2009/08, foreign tourist arrivals increased considerably to register a growth of 8.1% in 2010/09. This turn-around is indeed encouraging given the fact that global economy was still recovering and has not reached its usual growth trajectory. Notwithstanding this, it is not heartening to mark that Indias share in the world tourism pie has never crossed the threshold of 0.7% at any point in time.The reversal of foreign tourist arrivals was equally evident in the strong momentum being observed in the foreign exchange earnings post 2008. For, the earnings in rupee terms recorded an increase of around 28%, i.e. from Rs. 50730 crores in 2008 to Rs. 64889 crores in 2010. In the contrary, the increase in dollar terms was comparatively less at about 20.8% during the same period. This could perhaps be attributed to the factors like variations in the exchange rate as well as reduced tourist expenditure. Another pertinent dimension worth noticing is the relationship between the growth in tourist arrivals and the earnings during this period. For instance, in rupee terms, the annual increase in earnings has been much faster to that of arrivals with the figures for 2009/08 and 2010/09 recording 8.3% and 18.1% respectively. Further, while examining the monthly change, it was also observed that the earnings were fairing much better with only first three months of 2009 accounting a negative change over corresponding months previous year. But, when it came to the arrivals, barring December, as Fig. 2 would suggest, the scenario in 2009 was that of either negative or negligible growth compared to 2008.

Fig: Percentage Change in Monthly International Tourists Arrivals and Revenue India

Post-recession trend in domestic tourism is rather poised for a leap if the growth of 18.8% (2009/08) and 10.6% (2010/09) in the subsequent years are any indication (Table-3). However, we often tend to underestimate the massive nature and significance of domestic tourism in the country despite the fact that it generates nearly three-fourth of total tourism revenue and that it acts as the backbone of Indian tourism industry. Needlessly, negating the contribution of the segment could jeopardize overall momentum of growth of tourism sector, both in short and long terms.

Table-3: Trend in Domestic Tourist Arrivals in India (Source: Tourist Statistics, Goal); *Provisional The domestic tourist data further reveals a pattern of a few states garnering a larger chunk of the growing traffic. For instance, top five states namely Andhra Pradesh (155.8 mil), Uttar Pradesh (144.4 mil), Tamil Nadu (111.6 mil), Maharashtra (48.5 mil) and Karnataka (38.2 mil) constitute around 67% of the total traffic in 2010. This is indicative of a trend in spatial concentration of tourist activities, which indeed has been consistently observed over many decades owing perhaps much to the religious/pilgrim tourism and location of important cultural attractions in those states. Not that Indians are touring only within its national limits. It is rather interesting to observe two main features of their overseas travel patterns. First and foremost is a consistent increase in the numbers of Indians taking international vacation travel over the years, which Table- 4 would suggest growing from 7.2% in 2005 to 12.3% in 2010. Even when the global tourist movements

fallen substantially as a result of global recession, Indian outbound traffic has been growing with consistency and stability. Second, rather more pertinent from the perspective of travel account balance, is the difference in terms of inbound and outbound tourist numbers where the later can be seen double to inbound numbers. The phenomenal growth in outbound travel could be a byproduct of many economic and social factors, most important being material prosperity and urge for travel and life styles. Other contributing factors being ease of travel documents like passport, visa, relaxation in foreign exchange regulations, better awareness of destinations and benefits of travel etc. As regards travel segments, the MICE and business travel are arguably growing faster compared to the leisure segments. The quantum of Indian nationals on overseas vacations increased from 6.2 million in 2004 to 11 million in 2009.

Table: Indians Going Abroad

2011 2021 INRb % of Growt INR % of Growt n total h bn total h2 1570. 3414. 5 1.9 8.7 8 2 8.1 3680. 8523. 4 4.5 8.7 1 4.9 8.8 24931 37655 678.6 3509. 6 3003 1196. 6 1233 5 7.5 3.8 4.3 3.7 1.5 4.7 2.4 2.4 5.7 9.1 7.5 11.1 12.2 30439 47480 1344. 7 7758. 3 6332. 8 2791. 8 2627. 5 5.2 8.1 2.1 4.4 3.6 1.6 4.8 2 2.3 7.1 8.3 7.7 8.8 8.7

INDIA Direct Contribution to GDP Total Contribution to GDP Direct Contribution to Employment Total Contribution to Employment Visitor exports Domestic Spending Leasure Spending Business Spending Capital Investment

Table: Contribution of Travel and Tourism Sector in India As regards to employment generation in 2011, the sectors direct contribution worked out to be 5% and the total effects- direct and indirect together- to stand at 7.5% in the countrys total employment pie. Respective figures might rise to 5.2% and 8.1% by 2021 and such prospects need to be taken as an important indicator for concerted policy interventions and programming for tourism sector. Because, as already established, the sector has a key role to play in the eradication of poverty and underdevelopment by way of creating employment and income opportunities for millions of the marginal and less empowered sections across the country. As it evolves, what is encouraging is an atmosphere of growing confidence for investments in the travel and tourism sector in India. Instantaneous being, as revealed by WTTC estimates, India ranks 4th in terms of travel and tourism investment in 2011 with a total of USD 26.7 billion (Table-6). The Table would further suggest that in terms of investment, India is much ahead of most countries in the Asian region. Many factors can be attributed to this like a consistently growing economy, fast expanding travel and tourism demand and supply, dynamic business environment, global integration and so on.

Table : Investment Scenario of Travel and Tourism Sector in Asia.

Industry Perspective

The opening of the Indian sky to private players has resulted considerable dynamism in Indias aviation market. Along with the national carrier, entry of 12 private domestic airlines has not only resulted expansion of the networks and capacities but it also brought in intense competition and made air travel accessible to millions of people. Further, with 454 airports (including grass runways), of which 16 with international status, India may also be rated as one of the leading countries in Asia with regard to airport density. Perhaps such concomitant processes became instrumental in fast growth and expansion of Indias domestic passenger traffic to reach 44.51 million mark in 2009. Understandably, a huge chunk of this, amounting to over 75% has been garnered by private airlines. However, it is also widely known that the airline economics is very sensitive and some airlines continue to suffer from losses owing largely to vagaries of global economic cycles and consistent rise of oil prices. Perhaps, this is not just an Indian phenomenon rather many leading airlines in the world are also falling as victims of the global economic doldrums and spiralling oil price besides other factors like lack of appropriate business models adequate enough to factor in such vagaries and market dynamics. Despite a volatile environment, the aviation sector in India is gaining confidence and is posed for further growth and expansion as being evident in the bulk orders for aircraft procurements by Air India, Indigo and other airlines. The air passenger traffic is estimated to grow at a CAGR of 15% in 2010-11. Under the new economic policy regimes, the aviation sector is a critical enabler and enhancer of the overall business environment and economic growth. The growing optimism in the aviation business is also becoming instrumental for substantial investments flow in the form of new investments and/or for merger/ take-over. Investors also smell enough opportunities in aviation infrastructure and putting in huge money for creation and/or modernisation of the airports and aviation infrastructure in the country made it possible as an ongoing process. The hotel industry, another major component of tourism, is also moving northward consistently notwithstanding some occasional hiccups. For instance, during 2005-2010, it grew at an impressive compound annual growth rate (CAGR) of 9.5% with Rs. 131 billion earnings in 2010 (Fig-3). The sector is also expected to provide over 400,000 jobs (FHRAI).

Indias vibrant economic development is needlessly a catalyst for generation of more business and leisure travels and that is driving the hotel industry to greater heights. Customers are also becoming diverse, more demanding, value conscious and that make the hotel business more challenging. In such a market environment, differentiation, customization and efficient delivery are keys and that the hotel industry is in throws of deploying all critical tools of competition. New technology has also been greatly leveraged in almost every functional domain to remain sustainable and relevant. Customized software and customer relationship management systems are also being used to monitor satisfaction and preferences. As per WTTC estimates, tourist demand in India would be growing at the rate of 8.2% between 2010- 2019 but the major constraint is that the hotel room availability in not even half to meet such burgeoning demand. At present, room available in the approved category is only around one lakh and the scarcity is reportedly huge in the budget categories, especially to cater to an expanding middle class tourists. This offers great opportunities as well as many challenges. The culpable challenges are long gestation period and scarce supply of suitable land for hotel projects. However, a recent survey offers optimism and states India's hospitality sector expected to see an estimated investment of US$11.41 billion in the next two years (Ma Foi Management Consultants). Around 40 international hotel brands would also make their presence in the country by 2011.

Objectives of the company

Our business strategy will revolve around the need to provide quality service to our various target customers, in the process fully satisfying their needs. This shall be undertaken through recruitment of a professional team and the provision of good quality custom-designed travel packages, catering to the client's particular needs. With time our marketing campaign will increase the awareness of our services in the various market segments we shall be targeting. This is particularly so with the organization looking at establishing a clear advantage(s) in an increasingly competitive market. We will provide clients with the opportunity to focus on their core activities whilst their transportation side needs are fully satisfied. Marketing material shall be professionally done so as to be reflective of our intended image and reputation. We shall position ourselves as a quality commercial transportation operator that provides customer-need fulfillment, enjoyment, reliability and a good image. We intend to establish a good rapport with all the relevant stakeholders, especially hotels and travel agents. We also intend to have well-designed brochures and other promotional material that will enable clients to have an understanding of the types of services we offer and advantages of utilizing them. In addition well-done, informative brochures, fact sheets and business cards often have a triggering effect on clients contemplating utilizing our services. Hence this will undoubtedly generate increased sales of our service. In summary we intend to attain the following objectives:

Continuously provide enjoyable quality excursions/trips on time and on budget. Develop enthusiastically satisfied customers all of the time.

Establish a market presence that assures short-term and long-term profitability, growth and success. We are fully committed to supporting growth and development in the tourism and overall economy of India.

Advance towards being World Scale Travel and Tours Service Provider. Contribute positively to our communities and our environment.

Mission
Internally we intend to create and nurture a healthy, exuberant, respectful, and enjoyable environment, in which our employees are fairly compensated and encouraged to respect the customer and the quality of the service we intend to provide. In addition follow-up will be mandatory so as ensure customer satisfaction and make any improvements as recommended by the customers in future. We seek fair and responsible profit, enough to keep the company financially healthy for the short and long term, and to fairly remunerate employees for the work and effort.

Key to Success
The keys to Global Travel and Tours success will undoubtedly be effective market segmentation through identification of several niche markets and implementation strategies. Along these lines the company intends to implement advertising, personal selling and direct marketing strategies to the target markets. Our personal selling marketing strategies will rotate around keeping in touch with hotels and travel agencies for major customers, and advertising for more individual customers. Hence our key success factors will include the following:
1. Excellence in fulfilling the promise: We intend to offer completely enjoyable,

comfortable and informative travel excursions that will ensure that travelers are thoroughly satisfied and appreciative at the end of their trip.
2. Timely response to customers' requests: We cannot afford to delay our clients for

whatever reason, as this will have a negative bearing on our image and reputation, including future business. Hence we need to be continually communicating with the client, including hotels and lodges so as to ensure that we are constantly available to the client meeting their expectations.
3. Solid and fruitful strategic alliances: Considering the nature of our services and our

relative infancy on the market, we realize the importance of establishing and maintaining fruitful strategic alliances with various stakeholders, including hotels, lodges, and travel

agencies, amongst others, so as be assured of a constant flow of customers, fulfilling their needs at every opportunity.
4. Marketing know-how: As a relatively new company on the market there will be a need

to aggressively market our business and the services we provide so as to be continuously at the top of our prospective clients minds. This will also act as a temporary deterrent for companies contemplating entering our market. Advertising shall be undertaken on a regular basis.

Company Summary
Global Travels and Tours Pvt. Limited is the private and profit oriented business which is totally focused on satisfying the tourist (international or domestic) by providing best and premium services than other travel and tours companies. This company will be initiated from New Delhi and managed and invested by twelve partners. This business is totally computerized business. It intends to provide individual and group travel to leisure clients. Services and products provided by Global will initially include pre-arranged tours, custom packages according to clients specifications, travel consultation, and as time progresses making reservations for lodging amongst other related services. Global Tours seeks to differentiate itself as the premier adventure travel company in the overall India. As it grows it will take on people and expand into related markets and services in other countries. It will also look for additional leverage by establishing relationships and representations with appropriate strategic allies. We have strategy of providing easy booking service at reasonable price as per our level of standard quality. Customers can find the variety of travelling plan and their particular information in our web site. We have different section for the variety of package that makes easier to customer to choose their destination at reasonable price. Customers can choose and can book as per their requirement, from the booking sections. And, we have maintained the sections of feedback as complaint section in our site. Further for feedback, we have comment section. So,

that customer can have proper right to comment on our service provided so that we can bring some improvement in our services.

Company Ownership
Our business organization is established as a Private Limited Company under the Company Act of 1956 incorporated in Registrar of the Companies through the foresight and vision of 12 young girls and boys having a good experience in varied category of Tourism and hotel industries.

Company Location
Global Travel and Tours will have its corporate head office in Patel Nagar, New Delhi. However, as time progresses, the intention is to move into more accessible and attractive offices in a prime area despite of the fact that the type of our business is not too much dependent on physical location and size. Most of our dealings will be online and we will try to focus on virtual aspect of the company presence along with the linkages of different members of our supply chain across the nation.

Services
Global Travel and Tours is a tourism based company that intends to deliver leisure travel excursions along with entertainment through exploration of natural beauties to its internal as well as external customers. Global intends to guide customers in selecting a trip(s) based on predefined vacation criteria. This analysis will be based on user profiles, set by the consumers, which include preferences such as: Platinum label (who are the affluent class families and can afford more) Gold label (customers of relatively high standards of living) Silver label (customers of average level)

A traveler will hence be able to select areas of interest based on their preferences and subsequently identify destinations to visit. The intention is to provide customers with access to exclusive travel destinations, service to fully appreciate destinations through information

packages, not just sight-seeing, and access to special interest travel according to the group's/individual's preferences. So, talking about the facilities of Global, following will be our offerings to our valued customers:

Providing easy online booking service of hotel reservation and air ticketing. Providing tourist guide of various regional languages for domestic customers as well as guides for foreigners like English, German, Chinese, Thai and Japanese.

Arrangement of paragliding, rafting, bungee jumping, etc. Booking of hotels. Arrangement of guides as per customers demand Arrangement of trekking, hiking, paragliding, mountaineering, rafting, etc. Arrangement of package tours, honeymoon tours, etc. Providing customers with easy payment without lengthy banking procedures Service order is taken online and service is provided physical delivery The feedback system is taken regularly and providing timely maintenance

Feasibility study
A feasibility study is a preliminary study where the information needs of prospective users and the resource requirements, costs, benefits, and feasibility of a proposed project are determined. It is an evaluation of a proposal designed to determine the difficulty in carrying out a designated task. Generally, a feasibility study precedes technical development and project implementation. In other words, a feasibility study is an evaluation or analysis of the potential impact of a proposed project.

Technology and System Feasibility

Technical feasibility can be demonstrated if reliable hardware and software capable of meeting the needs of a proposal system can be acquired or developed by the business in the requirement. Adequate technologies are available for building the system. Our system will be using PHP as the front-end which is powerful, reliable and rapid application development tool. PHP has capacity to develop the system reliable and easy to use as well. It also uses the renowned database system MySQL as the backend database. Apart from that MySQL database has advantages of data security, portability, data consistency and scalability which ensure that the database is always in correct state. Also the new technologies, tools and software needed for development and implementation will be managed by the outsource providers. So the project is technically feasible.

Economic Feasibility
Economic analysis is the most frequently used method for evaluating the effectiveness of a new system. More commonly known as cost/benefit analysis, the procedure is to determine the benefits and savings that are expected from a candidate system and compare them with costs. If benefits outweigh costs, then the decision is made to design and implement the system. An entrepreneur must accurately weigh the cost versus benefits before taking an action. We are outsourcing the software. So the System can be developed at considerably less cost without investment in new technologies, tools, software, experts and infrastructures. It will reduce the development cost. So this is a cost-effective way of starting a business. We will be the Open Source Software like PHP and MySQL. Apart from this, we will be having linkages with thousands of sub and local agencies through our networking so that we will be able to save huge amount of money in establishing our branch location all over india at our initial phase. We will focus more on tie-ups with major hotel of every segment along with their travel partners so that our start cost will be at an optimum level.

Operational Feasibility
Operational feasibility is the willingness and ability of the management, employees, customers, customers, suppliers and others to operate, use and support a proposed system. All the infrastructures and human resources required for the development will be managed by the

outsource providers for our system. They will be considering seriously the quality of service and the timeline within which the development is to be completed. As management is concerned, we have experts of related fields as the owners who have good exposure to the tourism industry and specialized knowledge of locations for recreation, fun and enjoyments and good skill to handle all the allied tasks. So we are operationally sound. Products and Services

Products and Service Description

Our business house is named as Global Travels and Tours Pvt. Limited with an objective your destination our arrangement. The main idea of our business house is to provide the maximum satisfaction as per customer requirement. Our business is a click business. We will be taking all the booking online and payment from internet. We provide products like tours package, trekking, wild safari, paragliding, rafting, peak climbing, mountain biking and bungy jumping, etc with a good stay at quality hotels and lodges across the nation. Foreigners can get a good opportunity to learn Indian culture, tradition, religion and social values which through us and enjoy the Indian natural beauty..

Competitive Comparison