ABSTRACT

This chapter helps the students to understand the evolution of the tour operation business. It discusses the risks involved in the tour operation business. Tour operation basically involves a wide range of activities associated with arranging facilities and services for travellers while on a journey; and designing, marketing, selling and executing package tours in keeping with the number and characteristics of potential tourists. While acting as an intermediary in the whole system of tourism, tour operators focus on facilitating the travel of a tourist and on enhancing the touristic experience. Thomas Cook is regarded as the father of modern tour operation. The more the tourists come, the greater the expansion in the supply environment. Moreover, the supplementary/ancillary sectors will also flourish. Altogether, local entrepreneurship will be enhanced due to the inflow of tourists. Tourists, the final consumers of the tourism product, certainly enjoy a range of benefits by purchasing package tours.