Essay On Tourism Integration

5- Integrations in Tourism Industry Xiaoyan (2012) shows that in tourism industry there is strong comprehensive nature, high interrelatedness, long industrial chain, and in particular, featuring integration with industry. As tourism is the industry to be defined according to tourists’ need, tourists consumption of service of food, transportation, accommodations, sightseeing, shopping and entertainment in the travel process will naturally link with a number of industries. It can almost associate with every industry of national economy. And create a new set of demands and new markets, new products and new technologies and new services, spawned a number of new form of tourism and full of vitality. The new form of tourism based on traditional

The EU treats tourism as an attractive economic profession which enables generating revenue through the so-called invisible export. Not only is tourism the factor of world economy growth and development, but it is also the founder of integration on the level of macro-region. Tourism integrations differ from economic-political ones since they are not based solely on economic-political development trend in Europe, but also on the existing natural attractiveness of European macro-regions and their integral evaluation (Petrovic, & Gligorijevic, 2009). Salinger (1990) points out that concentration in the tourism industry would appear to increase profits and efficiency. In general terms, moreover, large firms are more profitable because they both exploit their market power and they are more efficient due to economies of scale. Hamilton & Mgasgas (1997) assure that in the general management literature, horizontal and vertical integration have been seen as determining the profit rates of an industry, while permitting greater economies of scale, innovation and product differentiation. Horizontal integration within each of tourism's component sectors is seen as decreasing costs, especially if the merged companies are administratively centralized and rationalized, while vertical integration can enable "firms to gain a competitive advantage over

Also in United States this period saw the emergence of two hotel companies, Hilton Hotels and Sheraton, that would go on to become major accommodation chains. Both grew from small beginnings. From the1970s onward, Hilton has oriented itself around the lucrative connections, leading the development of casino-hotels, first in the US and then internationally. The Mirage organization has expanded consistently in hotels, casinos and entertainment. In 1985, it launched a hostile bid for Hilton International (the company in charge of Hilton operations outside the US), which eventually failed. Ladbroke Group PLC succeeded in taking over Hilton International in 1987, bringing synergies with its gambling operations and hotels. After a long process of litigation between Hilton Hotels and Ladbrokes, an agreement was reached, permitting each company to purchase up to 20per cent of the other, and joint marketing ventures were established (Lafferty & Fossen,