旅游业PEST与波特五力模型分析.doc

战略管理课程论文

PEST and Porter’s FIVE-FORCES Analysis
on Tourism

班级：11712
姓名：唐振祥
学号：1107414045

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PEST and Porter’s FIVE-FORCES Analysis on Tourism
Tourism has grown at accelerated pace over the last few decades and forecasts indicate an ever faster rate of growth into the new Millenium, with Asia and the Pacific becoming the second most important tourism destination of the world by 2020. One of the pillars of the tourism industry has been mankind's inherent desire to see and learn about the cultural identify of different parts of the world. We analyze the factors of policy, economy,society and technology to make sure the impact of tourism development brought by the change of these factors .
POLITILAL
The innovation policy declared by the government has effects on tourism. First, the government support the travel agency with abundant tourism resources,clear system to list on the market and seek financing. Second, it also support the listed tourism enterprises to refinance or take advantage of capital market to achieve mergers and acquisitions. As a result, single traditional travel agencies change into diversified development of large travel companies. Therefore, the tourism enterprises can improve operational efficiency,enhance the brand and their capital strength, and indirectly promote the development of tourism resources as well as improve product innovation and service quality.
ECONOMIC

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Let me introduce the influence of economy to tourism. The GDP has grown heavily in recent years. Furthermore, the living standard of every family has improved. They rather to seek the spiritual enjoyment than the material needs. So traveling is their best choice to relax themselves. Besides, the economic policies have a large effects on tourism. The government invest much fund to the infrastructure, such as the cable car and glass walkway in ZhangJiajie, which attracts more tourists to there.
SOCIAL
I will introduce two biggest social phenomenon, which has impact on tourism. The first is “The Tourism Golden Week”, like Spring Festival, National Day. The tourist and tourist income increase during the Spring Festival and National Day year by year. It is changing people consumption custom as a tourist culture. The second is The Two Biggest Crowd, the old and the young.The old and the young take the biggest proportion in tourism and they would like to spent money or energy on travel. The old have steady savings, they would have more free time when they retired. And The young have more energy, more strong social intercourse desire and thirst for knowledge. So, they want to meet new world and different people by travel.
TECHNOLOGICAL
Technology also contribute to the development of tourism. The modern vehicles like CHR and plane instead of walk and car, which makes easier to go another place. Therefore, people are able to get to another city just within hours and don’t feel tired. The development of camera makes it easily to record the beautiful memory. And with smartphone, we can search for tourist information and contact others anytime. With the advance of Internet,we can buy tickets online.
As is mentioned above, all of them have influence on tourism from a macro perspective.Now lets’s analyze the micro influenced factors with Porter’s 5-FORCES model.
1. INTENSITY OF RIVALRY
Competition within the tourism industry is fierce. First, there is a large amount of enterprises engaged in tourism and one differs from another immensely. There are multinational corporations such as Jinjiang Group and Air China Company as well as huge central enterprises like National Travel Agency, but more are private company distributed in various regions. Next, the market increase fastly under the central policy that rapidly develop tertiary industry and the tourism flourished in all parts of country. Then because of the low fixed cost and entering threshold, different enterprises developed characteristic tourism based on their local color. Furthermore, provincial tourism resources are different and can not be replicated, the high differentiation between services and products accompanied with a high switching cost. Finally, there are low exit barriers.
2. THREAT OF NEW ENTRANTS
Tourism industry of our country has low enter barriers because that large-scale companies haven’t established a corresponding scale and network of operation. Government at all levels encourage the development of tourism in order to invite investment. The capital barriers are low. So there are numerous potential entrants. Foreign tourism tycoons are also significant potential threats apart from internal competitors due to their advanced management experience and abundant capital.
3. THREAT OF SUBSTITUDE
The rapid development of internet and e-commerce make it possible for consumers to book flight ticket and hotel and search for travel information. The development of SNS(Social Networking Services) has given birth to a group called “Pinker”, they look for companion to travel together through internet rather than take part in a travel agency. In addition, with people’s living standard promoting, self-driving travel is becoming a popular option.
4. BARGAINING POWER OF BUYERS
With the rapid development of economic and promotion of living standard, people are more willing to spend money on pursuing the quality of life. So going out to travel is a reasonable and popular option. Consumers of tourism are getting more and more, with a strong power of consumption. But what they want are higher-quality travel products and services simultaneously with a lower price, which results in fierce competition within the market by lowering price so as to weaken profitability of enterprises.
5. BARGAINING POWER OF SUPPLIERS
There are several factors that have impact on tourism. At first government of all levels are the most upstream in tourism, they are able to exert pressure on the downstream enterprises by setting market access, which impact tourism industry a lot. Secondly, the developers of tourism resources, who determine the characteristic and scale of the scenic spot and set the price of ticket. Thirdly the accommodation and catering industry, which directly affect public praise of scenic spot, then consumers’ choice. Next is transportation industry. Transportation cost is in direct proportion to travel cost. At last, tourism commodity is a new revenue growth point, so it is important to supervise suppliers to ensure the quality of goods.
Above-mentioned five forces make tourism a highly competitive industry which has more room to grow. Tourism environment and resources, as the suppliers of five forces, is the key factor that influence enterprises competition. Secondly the other enterprises within tourism industry.

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