TOURISM MARKETING IN INDIA PROJECT REPORT (A REPORT SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MBA IN JNTUH) MASTER OF BUSINESS ADMINISTRATION (TOURISM AND HOSPILITALITY) JNTUH UNIVERSITY KUKKATPALLY HYDERABAD – 500 072 2008 – 2010 BY SARVANI B REG NO: 09P41E0026 MBA (2009-2011)
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TOURISM MARKETING IN INDIA
PROJECT REPORT(A REPORT SUBMITTED IN PARTIAL FULFILLMENT OF THE
REQUIREMENTS FOR THE DEGREE OF MBA IN JNTUH)
MASTER OF BUSINESS ADMINISTRATION(TOURISM AND HOSPILITALITY)
JNTUH UNIVERSITYKUKKATPALLY
HYDERABAD – 500 0722008 – 2010
BY SARVANI B
REG NO: 09P41E0026MBA (2009-2011)
CERTIFICATE
This is to certify that the Project Work titled “TOURISM MARKETING IN INDIA” is a bonafide work of Ms. SARVANI B. Enroll No: 09P41E0026 Carried out in partial fulfillments for the award of degree of MBA: TOURISM & HOSPILATITY (Branch) of JNTUH – Hyderabad University under my guidance. This project work is original and not submitted earlier for the award of any degree / diploma or associate ship of any other University / Institution.
Signature of the Guide
Name and Official Address of the Guide
Guide’s Academic Qualifications, Designation and Experience
Place:Date:
Submitted to Project Viva Voce held on _____________________________.
Internal Examiner External Examiner
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DECLARATION
I, Ms. SARVANI B hereby declare that the Project Work titled “TOURISM MARKETING IN INDIA” is the original work done by me and submitted to the JNTUH through NITHM in partial fulfillment of requirements for the award of Master of Business administration in Tourism & Hospitality is a record of original work done by me under the supervision of Mr. A. RAGHU of NITHM
Enroll No: Date:
SARVANI B
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ACKNOWLEDGEMENT
I would like to thank Mr. A.RAGHU, Dean and project guide under whose guidance this project has taken a successful shape. He helped me a lot in holistically completing this study.
I would also thank our beloved Director Dr. P. Narayana Reddy and all the faculty and staff of NITHM for extending their help at various levels of the project.
I would specially thank the librarian Mr. Ramesh and Assistant librarian Mr. Giri without those help it would have been difficult to find the right books for the reference.
STRATEGIES OF MARKETING TOURISM IN INDIA
MARKETING OF TOURISM AS A SERVICE INDUSTRY
PROMOTION OF TOURISM INDUSTRY IN INDIA
POMOTIONAL ACTIVITIES CARRIED OUT BY INDIA TOURISM SECTOR FOR ATTRACTING TOURISTS
WAYS OF MARKETING TOURISM
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PROJECT REPORT:
Tourism Marketing in India
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CONTENTS
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TABLE OF CONTENTS
1. Acknowledgement
2. Declaration
3. Introduction
4. The Indian Scenario
5. Limitations of Study
6. Research Methodology
7. Role of Governments
8. Sub-Sectors of Tourism
9. Analysis and Interpretation
Charts:
- India Estimates and Forecasts
- Indian Travel & Tourism Total Demand
- Indian Market Share of South Asia Total Demand
- South Asia Travel & Tourism Total Demand
- Indian Market Share of World Total Demand
- World Travel & Tourism Total Demand
10. Hospitality
11. Ways to Market Tourism
12. Conclusion
13. Bibliography
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INTRODUCTION
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INTRODUCTION
From Gandhi to the Ganges, Bollywood to the Taj Mahal, India is a land of mystique,
contrasts and contradictions. While it appeals to the romantic imagination, it is a
country where tourism has huge potential to be unleashed. The means to achieve this
goal is tourism marketing in India.
The mission of tourism marketing in India should be to promote India as a desired
destination to the traveler, not simply as an attractive vacation but as an experience to
cherish.
From the earliest historical periods, travel has been a fascinating activity for people all
over the world, be it for exploration, trade or pleasure. Nowadays, travel has become a
way of life. Owing to industrial development, evolution in transportation and rise in
disposable income, the urge to travel has become irresistible. More so in the face of
increasing globalization.
Tourism is a human activity of great significance. It involves a temporary break from
normal routine to engage with experiences that contrasts with everyday life, with the
mundane. Over the years, the definition of tourism has undergone a change along with
the historical changes. According to Himziker and Krapf tourism is “the sum of the
phenomena and relationships arising from the travel and stay of non–residents, in so
far as it does not lead to permanent residence and is not connected to any earning
activity”.
With the increasing growth of tourism and its associated opportunities, the concept of
marketing tourism in India assumes a lot of significance.
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In making an attempt to explore the potential of marketing tourism in India, the report
focuses on the analysis of the Indian tourism sector while drawing parallels from other
parts of the world. A few marketing strategies to market tourism in India have been
discussed. The report also discusses innovative approaches to marketing tourism like
rural tourism marketing.
The scope of the report includes governmental role, international organizations, types
of tourism India can promote and opportunities as well as the challenges associated
with them.
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THE INDIAN SCENARIO
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THE INDIAN SCENARIO
Tourism has major potential for India at our stage of transformation and development.
It puts equal value on our untouched natural resources and culture. As India opened her
gates towards a more open economy, tourism has evolved into a highly structured
industry with the potential to earn immense revenues. Being in the services industry, it
offers high value-added markets with considerable returns on investments. Tourism has
a multiplier effect on people involved in hospitality, transportation, travel agencies,
proprietors of tourist business and entrepreneurs supporting the tourism industry.
India’s tourism industry has also recorded phenomenal growth. The rate of
international arrivals in India in recent years has been to the tune of about 19 lakh
arrivals per year. The unprecedented growth in tourism in India has made it the second
largest foreign exchange earner. This is not surprising since India possesses a whole
range of attractions normally sought by tourists and which includes natural attractions
like landscapes, scenic beauty, mountains, wildlife, beaches, major rivers and manmade
attractions such as monuments, forts, palaces and havelis. However, in global terms,
inspite of such attractions, tourist arrivals in India are a mere 0.30% of the world
arrivals. Receipts are similarly low, just a 0.50% of the world receipts. We are still
quite far from the target of 50 lakh tourist arrivals per year.
Most popular destination
Rajasthan has emerged in the last decade as one of the favorite tourist destinations for
domestic and foreign tourists alike.
The state receives 600,000 foreign tourists and 7,000,000 domestic tourists every year.
The world famous "golden triangle", comprising Delhi, Agra and Jaipur, has put
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Jaipur on the world tourism map. Almost 60 percent of foreign tourists visiting India
visit these places. Rajasthan has registered record tourist arrivals in the first half of
2004 of over 400,000 foreign tourists and 5.5 million domestic visitors. This has
effectively meant a 63 percent rise in foreign tourists and 33 percent increase in
domestic visitors to the state over the previous year.
Some additional statistics are presented below in order to reinforce the fact that Indian
tourism is one major sector to look out for investors and entrepreneurs alike.
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LIMITATION OF STUDY
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LIMITATIONS OF STUDY
The data is not available on the net (statistical).
The questionnaires made were artificially filled.
The customers showed fake response.
There was no originality.
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RESEARCH
METHODOLOGY
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RESEARCH METHODOLOGY
Data can be classified under the two main categories, depending upon the sources used
for the collection purposes, i.e., ‘Primary data’ and ‘Secondary data’. The validity and
accuracy of final judgment is most crucial and depends heavily upon how well the data
is gathered in the first place. The methodology adopted for date gathering also affects
the conclusions drawn there from.
Primary data: Primary data are those data, which are collected by the investigator
himself for the purpose of a specific enquiry or study. Such data are original in
character and are generated by surveys conducted by individuals or research
institutions. Thus we can say that the data that is being collected for the first time is
called primary data.
In this project report, primary data is collected by the help of questionnaires.
Secondary data: When a person uses data, which has already been collected by
someone else, then such data is known as secondary data. Secondary data should be
used with extra caution since someone else has collected it for his/her use. Before
using such date the investigator must be satisfied with regard to the reliability,
accuracy, adequacy and suitability of the data to the given problem under investigation.
In this project report, secondary data refers to the brochures and the data collected from
the website of the company and other documents which are used in completion of this
project report
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ROLE OF THE GOVERNMENTS
The role of government, central and state level, in promoting tourism cannot be
overemphasized. The extent of government intervention is linked to the importance of
tourism to the economy, the political and economic system of the country, the level of
development and the establishment of the country in the international tourism scenario.
The government should not only facilitate growth through its policies and incentives,
but also make the presence of the nation felt at global level summits and events and
showcase it as an attractive destination. The impact of infrastructure on tourism
development is only increasing with the increasing expectations and this calls for huge
investments possible only through the government. Political stability is a major factor
for foreign investors to invest in a newly emergent high growth Indian economy with
myriad openings for investments in the hospitality and aviation sectors. The nation
needs to projected as a haven for investing with a large reservoir of skilled and semi-
skilled manpower. The policies should be backed by a degree of national consensus.
Issues like war and terrorism act as severe deterrents for tourism in general and
inward tourism, returning diasporas and business travel in particular. The government
ought to prevent such unpopular actions and come up with properly thought-out
damage limitation measures. Political decisions can change and impact the brand image
of a country. For example, Malaysia has succeeded despite an autocratic president and
being labeled a “Muslim nation”. It has taken care to ensure minimum negative impact
on its image from extreme factions. Singapore rapidly controlled SARS and did its
image a lot of good. India is not looked at as a rogue state. But the focus on terrorism is
a crucial element of a country’s image. India and Pakistan have not signed the Non-
Proliferation Treaty whereas Iran has. India and Pakistan possess nuclear weapons,
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which, in the case of Iraq, was one of the official reasons for the US to justify its
military invasion. Being on “the right side” politically is a crucial factor in the way
the US and the West perceive other states. This calls for sound leadership, smart
political positioning and maneuvering.
The government should create a small, dynamic and powerful steering group in
order to promote the nation as an alluring destination (similar to Public Diplomacy
Strategy Board, UK), which has the personal backing of the PM or the President.
Easing bureaucracy, visa regulations, single window clearances, improved
infrastructure would be huge steps towards greater tourism. Many companies today are
proud of the fact that they achieve despite the governmental policies. This calls for a
mindset change at the top.
The recommended functions of a National Tourist Organization (NTO) as listed by
the UN are:
1. Research
2. Information and promotion within the country
3. Regularization of standards of lodging and restaurants
4. Control of activities of private travel agencies
5. Publicity overseas
6. Technical and judicial problems
7. International relations
8. Development of selected areas
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9. Overall tourism policy and promotion
Each of these functions would require efforts of the NTO in administration, production,
marketing and financing. The Department of Tourism, which operates under the
Ministry of Tourism was created to achieve the objectives. Also, Indian Tourism
Development Corporation (ITDC) at the national level and similar bodies at the state
level were created. The Department of Tourism has offices in India and abroad to
liaison with the state governments to promote tourism in India and to handle tourist
enquiries, disseminate tourist information and publicize. The Indian Tourism office at
Tokyo won two international awards for the best booth design and best folklore
competition at Tour Expo held at Daegu, South Korea for excellent tourism promotion.
The government has been active in promotional activities and it is doing its bit to give
a fillip to the sector. The Incredible India campaign has recently won two Pacific
Asia Travel Association (PATA) gold awards at the annual meet of the association in
Macau. Lately, the government has identified 31 villages across the country (Himachal