Uk Online Air Line Industry: Advantages And Disadvantages Of Ict

6424 words - 26 pages

UK Online Air Line Industry: Advantages and Disadvantages of ICT

UK Online Air Line Industry: Advantages and Disadvantages of ICT

Statement of Problem

What are the advantages and disadvantages of Information Communication Technology on the online travel industry in the United Kingdom?

The Purpose of the Study

This study will elaborate the gains and pitfalls of introducing ICTs on the online travel industry in the United Kingdom. The research includes the changing trends of ICTs used in the online travel industry in United Kingdom from the 1990s to date. Further the study identifies the need of world-class organizations within the online travel industry to adopt the right ICTs to gain competitive advantage and remain ahead in the game. The architecture of technology within organizations in the online travel industry determines whether the technology will be a success or not. The study discusses issues related to technology architecture. The research also addresses issues related to knowledge transfer in conjunction with implementation of new ICTs within the online travel industry.

Objectives of the Study

The aim of the research is to explore the advantages and disadvantages of information communication technology on the online travel service providers in the United Kingdom. Further the study highlights how online travel service providers use information and communication technologies to maximise the value of their product offerings, which leads to enhanced profitability and improvement in their competitiveness. The objective of research in the given area is to gain knowledge on the following:

Firstly define and explain the scope and progress of information and communication technology in the online travel industry in the United Kingdom from the 90s until the present.

Secondly an understanding of the online travels industry in the United Kingdom.

Background of the Study

Aviation and air services industry is a large, competitive, and challenging industry, characterised by high capital and labour requirement, together with customer participation during transactions hence service fulfilment. Providing great reach and the potential for rich interaction, the Internet is a natural medium for travel transactions. Airlines are turning to e-commerce to keep business flying, and the reason they are focusing on selling tickets through their Web sites is that it is the cheapest distribution channel.

From the customers perspectives, Internet have revolutionised the way of buying flight ticket. Customers can now purchase their tickets directly from the airlines via the Internet using intermediaries and/or cybermediaries in order to find the possible cheapest ticket. Moreover, online discount travel services, such as Priceline and Hotwire, allow airlines to dump excess inventory. They can use these channels, along with their own online specials, to drive traffic to less-popular routes, such as flights with...

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