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CASE STUDY

DARSHAN.N
PES1202202698

CASE FACTS

 Rao established the IHB travel company in 1989 to meet the demands of
international visitors to India with amenities including airport shuttles,
hotel reservations, and vacation packages.

 IHB serviced about 5,000 travellers annually and had a staff of 20 travel
agents. Its gross profit margins were from 25 to 30 percent. With a 6.6%
GDP contribution, 40 million jobs supported, and 8% of all employment,
tourism is a significant and expanding sector of India's economy.

 The three main consumer groups associated with the Indian tourism
sector are outbound foreign visitors, Indian visitors, and business
travellers. Foreign visitors often choose to travel to India in the cool
winter months. the inbound carrier visitor numbers are annual and
influenced by the weather in India.

 India was the third-fastest-growing getaway in the world in 2013, and the
industry generated over sixteen billion dollars in revenue abroad.Over
the ten-year period (2015-2024), it was predicted that the world's
tourism business will expand at a typical annual pace of roughly 8%.

 Up to five million extra international tourists year-round and a rise of 1.8


million employment over a duration of three years may be expected if
India's visa policies were improved.

 With over 470 airports, a properly handled rail the system, and promises
to further promote the industry with a spending plan of INR19 billion, of
Indian the administration's efforts to construct infrastructure have
considerably aided the expansion of the tourism business.

BRIEF INTRODUCTION

Anand Rao established the "India Holiday Bureau (IHB)" in 1989 to serve the
particular requirements of foreign visitors. The case study centres on the
subpar customer service IHB offered to its clients in 2013 during the busiest
travel season as a result of inadequate planning and forecasting. Rao had to
handle a flood of phone calls from disgruntled tourists demanding a rationale
for the poor care that they had received. The case study also emphasises the
expanding significance of India's tourism sector, which in 2013 backed 40
million jobs nationwide, contributed around 6.6% of the country's GDP, and
made up almost 8% of all employment.

PROBLEM STATEMENT

The "India Holiday Bureau's (IHB)" issue is a lack of precise forecasting and
careful planning, which results in subpar treatment of customers and stranded
passengers during India's busiest travel season. Anand Rao, the CEO, is aware
that in order to effectively estimate and satisfy customer demand, the business
must get ready for future expansion. IHB must find a means to remain
competitive and satisfy the demands of foreign visitors to India as the country's
tourism industry is expanding quickly.

ALTERNATIVES

 Boost the capacity for forecasting and planning: The business might
spend money on precise forecasting systems to foresee demand during
the busiest travel seasons and organise its operations accordingly. This
can assist IHB in preparing for the anticipated rise in demand and
ensuring that it has sufficient staff and assets to meet client demands.

 Invest in technological IHB can do so to make its reservation and booking


procedures more efficient. This can assist the business in automating its
processes and lowering the possibility of mistakes and delays in client
service. Technology can assist IHB in giving consumers real-time updates
on their scheduling and other services.

 Increase staff size: IHB can take on more employees to accommodate the
rising demand during the busiest travel season. This might assist the
business in offering superior client relations and lowering the possibility
of complaints from clients.

 Partner with extra service providers: In order to check that it has the
resources necessary to meet the demands of the clients, IHB can
collaborate with different vendors of services including hotels,
transportation providers, and tour operators. Additionally, this may
enable IHB to provide its clients with more comprehensive and
specialised packages.
BEST ALTERNATIVE

The "India Holiday Bureau's (IHB)" best course of action would be to invest in
precise forecasting and thoughtful planning to manage the company's
expansion. In order to do this, historical tourist data and trends would need to
be examined, along with aspects like seasonality, buyer habits, and exchange-
rate fluctuations. By doing this, IHB might become better prepared to foresee
and satisfy the requests of its clients, including making sure that hotels have
enough employees to manage the surge in bookings during busy times.

IHB could also think about collaborating with other tour companies or travel
agencies to broaden its coverage and reach as well as possibly provide its
clients with more comprehensive services. To increase the efficacy as well as
precision of its operations, another option would be to pay for technological
assets like a platform for reservations online or relational marketing software.

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