n with a customer, and enables organizations to reach a broad audience. Most communications and transactions are now also supported by Web-based systems. Given how IT is reshaping the structure of both commerce and society in general, Buhalis & O’Connor pointed out that tourism companies have changed dramatically in the way they conduct their business; they are also under pressure to invest further in new technologies to maintain their competitive advantage (as cited in Gretzel & Fesenmaier, 2009) Which influence of information technology to the tourism and hospitality industry affected you the most? In what way?
Tourism and Information Technology
The tourism industry comprises organizations involved in the production and distribution of travel and tourism
products. It can be viewed as an umbrella industry with a complex distribution chain containing a set of
interrelated businesses, such as transportation companies, accommodation facilities, attractions, food and
beverage enterprises, intermediaries, and providers of recreation and leisure facilities, as well as a multitude
of government agencies, according to Werthner and Klein (as cited in Gretzel & Fesenmaier, 2009).
Information technology (IT) is defined as the collective term given to the most recent development in the
mode (electronics) and machines (computers and communication technology) used for acquisition,
processing, analysis, storage, retrieval, dissemination, and application of information (Haque & Rahman,
2012). In tourism, unlike other industries, it is not a physical product but information that moves from
suppliers to customers. This information must be able to flow smoothly among consumers, intermediaries,
and suppliers involved in serving customer needs.
As a result, according to Buhalis, IT has become an almost universal distribution platform for the tourism
industry and has emerged as the “info-structure” that supports internal and external processes in tourism
organizations (as cited in Gretzel & Fesenmaier, 2009). It reduces the cost of each transaction by minimizing
print, coordination, communication, and distribution costs. It also allows short-notice changes, supports oneto-one interaction with a customer, and enables organizations to reach a broad audience. Most
communications and transactions are now also supported by Web-based systems.
Given how IT is reshaping the structure of both commerce and society in general, Buhalis & O’Connor pointed
out that tourism companies have changed dramatically in the way they conduct their business; they are also
under pressure to invest further in new technologies to maintain their competitive advantage (as cited in
Gretzel & Fesenmaier, 2009)
Which influence of information technology to the tourism and hospitality industry affected you the most? In what way?
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