industry analysis

1. INDUSTRY ANALYSIS
ON
TOURISM INDUSTRY
SUBMITTED BY:
GAYATHRI

2. Tourism Industry…
 Travel for
Recreational,
leisure or
business
purposes.
 Popular Global
Leisure activity
 Major source of
income for many

3. Tourism Industry
Classifications
 Medical Tourism
 Wild life Tourism
 Adventure Tourism
 Pilgrimage Tourism
 Eco tourism

4. Top 5 Travel Companies in
India

5. Top 5 Key Players in Indian
Tourism Industry

6. Market share of the key
players

7. MICHAEL E PORTER
 Born on 1947
 Professor in
Harvard Business
School.
 Introduced Porter’s
5 Forces Model.
 Written 18 books &
over 125 articles.

8. Porter’s 5 Forces Model

9. Threat of New Entrance
Threat of new entrance in tourism
industry is Medium to High
Major determinants of the market
environment can be changed by new
entrants.
Online Channels are growing rapid at
rate.
Govt. Regulations

10. Threat of Existing Rivalry
Organized players would barely have
40-50% of market place.
Most of organized players are present
in metros & mini-metros
As the growth of tourism industry is
growing faster the threat of existing
rivalry is Medium to High.

11. Bargaining Power of Buyers
Bargaining power of buyers is Medium
to High.
Switching costs for buyers is not high
as Brand Loyalty is low.
Better facilities are available in other
countries.
Luxury segment is brand conscious to
and willing to pay a premium for great
experience and service quality

12. Bargaining Power of
Suppliers
Power of suppliers in Indian tourism
industry includes airlines, hotels,
transportations, travel agency etc.
The bargaining power depends on the
product which are supplied by suppliers.
Thus bargaining power is Medium to
Low.

13. Threat of Substitutes
Alternative products which gives
competition are less.
Other entertainment purposes like
amusement parks, creation of relaxation
within boundaries.
Therefore threat of substitute is Medium
to Low.

14. Industry Attractiveness
Tourism brings in large amounts of
income in payment of goods & services.
According to World Tourism
Organization estimates, India will lead in
South Asia with 8.9 million arrivals by
2020.
India has been emerged as the 2nd
fastest growing(8.8%) tourism economy
in the world over 2005-14 according to
the World Travel & Tourism.

15. SUMMARY
 Threat of New Entrants – Medium to High.
 Threat of existing Rivalry- Medium to High.
 Bargaining power of Buyers – Medium to
High.
 Bargaining power of Suppliers – Medium to
Low.
 Threat of Substitutes – Medium to Low.

16. THANKYOU…