Business Tourism: Attractions in London - Assignment Example

1.0 Introduction The Olympic Games - a worldwide sporting, cultural and commercial extravaganza - is coming to Britain. The Games will be showcased in the heart of London, but the spill-over effects will allow for tremendous opportunity in both trade and business tourism throughout Britain. Such is the scope of the commercial activity set to accompany the Games that multinational conglomerates; government agencies and the private sector are scampering to ready Britain for the massive economic windfalls to be realised. The report aims to consider the full impact on the economy - specifically that of London - of the impact of Business Tourism. This is a sector that has been found to be substantial, both in terms of profitability and long-term economic growth. The report will detail the effect on the economy of the preparations for the 2012 Olympic Games. The planning that is required to assist in the smooth operation of the Games is considered in detail as are the specific tactical objectives needed in order to realise an effective timetable for project management. The report looks firstly at the value to Britain of Business Tourism, given the history and future potential of this sector. There will be emphasis on the economic contributions of various tourism sectors on the British economy as well as detailed statistical data from various government ministries. 2.0 Method The information and quantitative data for the report has been compiled with the use of detailed research obtained from various notable authorities including Michael Hirst (Chairman of Business Tourism Partnership); online travel publications (Incentive Travel; Visit London; Visit Britain); The Secretary of State, the honourable James Purnell; the UK Skills Passport Initiative; Review of the Impact of the London 2012 Olympic and Paralympic Games on the South East Region through their Web Site Seeda and Ian Whiteling of Oxford University 2.1 Findings Quoting Michael Hirst - the Chairman of Business Tourism Partnership: "Business tourism is worth over 20 billion." This figure reflects such factors inclusive of, "delegate expenditure on travel, shopping, pre and post conference tours. In addition the value of business transacted at trade events is estimated to exceed 100 billion a year." The Press Release of 20 November 2006 further highlighted that, "Over the past 10 years there has been a growth of 53% in all business trips exceeding the overall tourism growth rate. Over 8 million visits are made to the UK each year for business purposes, contributing some 4 billion to the British economy. The sector generates 28% of all overseas visitors and 29% of inbound tourism earnings. British tourism opportunities create high quality, year-round employment for some 530 000 jobs, directly and indirectly." (Business Tourism Partnership.BusinessTourismpartnership) 2.2 Factors to consider The key to creating a sustainable and profitable business tourism market as the major beneficiary of the 2012 Olympic Games is dependent on several factors namely: The conference, sporting and leisure facilities available for delegates and business tourists alike; the hospitality sector and the quality of its personnel; the public safety; transport and telecommunications networks and of course the ability to provide high quality service through hospitality, tourism and communications networks. London as the centrepiece for the 2012 Olympics has a myriad of arts and cultural interest venues. The metropolis is renowned not only as one of the fashion capitals of the world, but also as a major economic powerhouse. As such, the city's infrastructure is highly developed along with its transport, communications and hospitality establishments. The business tourist, as an individual with a discerning taste and a larger budget, is more likely to partake in the accoutrements of London's noted fanfare. These include dining out; theatre; merchandise; sporting events and of course luxury accommodation. The peripheral expenses include car-hires; taxis and chauffeur driven vehicles. The tourism industry, which sports expansive domestic and international flight routes, will boom in the wake of the 2012 Olympic Games. As such, many of these positive externalities are bound to register significant profits. In and of itself, London is fully capable of supporting the mass influx of tourists. 2.3 Attractions in London The facilities and conference centres in and around London are rated among the best in the world. The latest venue to catch the attention of tourists is London's 4m Wembley Arena Pavilion. This new facility is able to host large conferences inclusive of meetings, concerts and gala events. The arena underwent extensive renovation and refurbishment in 2005, to the tune of 32m. The Wembley Arena has a 10 000 capacity. The facility is 165 meters long and 70 meters wide, including an astounding height of 17 meters. In accordance with international conference standards, it is both insulated, sound-proofed and sports exceptional hospitality. There is a hospitality area as well as a backstage village for organizers (Facilities and Conference Centres in the UK: Incentive Travel) The city of London is a marvel to behold. It is a place of fusion - that of a rich and decorated history juxtaposed onto the canvas of a modern thriving metropolis. London is able to provide thrills and spills; fashion and fame and an unparalleled shopping extravaganza in addition to top-drawer performances and sporting excellence. London not only provides this amazing display of both classical and modern architecture, replete with museums, galleries, palaces, a harbour and entertainment galore, it is also the ideal corporate venue. Take the famed London Eye; ExCel conferences; a stroll through Covent Gardens, Piccadilly Circus or Canary Wharf. Whether it's black-tie or botox; the London Zoo or Formula 1; Premiere League Football or First Class Cricket, London truly has it all to offer. 3.0 The Plan In expectation of the mass influx of business tourism leading up to 2012, several major developments have been taking place. In his report dated September 2007, Secretary of State James Purnell, and the Minister for Tourism, Margaret Hodge. This practical application for the attainment of Britain's tourism objectives has been highlighted and expounded in full partnership with Visit London and Visit Britain. (What's new in Britain this month Visit Britain & Places to go. Visit London) The Secretary of State, the honourable James Purnell stressed the importance of upgrading London's accommodation to meet with international standards. The Secretary of State stressed that despite only 34% of accommodation providers in the capital being accredited; there are bold incentives by the London Development Agency (to the tune of some 1.6M) to increase the number of accredited accommodation in London ahead of the 2012 Games to 50% by 2010. Beyond the numbers, there are initiatives aimed at dramatically improving the quality; skills and management potential of hospitality sector staff. This has been undertaken by the UK Skills Passport Initiative. (A high value sector. Business Tourism Partnership) 3.1 Development Britain With facilities and centres being developed and opened all throughout Britain, the massive expected tourism influx will effectively be absorbed. Such bold endeavours include the following: The Vale Resort, Wales' 4-star independent hotel, golf and spa resort offering conferencing facilities for 520 delegates or 280 for a sit-down dinner; The ACC of Liverpool - Arena and Convention Centre Liverpool (ACC Liverpool); The Museum Hall of Earl's Court; Manchester's Revolution MOSI - a project that 'aims to create a dynamic and environmentally sustainable 'Museum Quarter' for 21stC Manchester. Annual visitor numbers are expected to double to 1 million when the gates open in 2012.' Another ambitious project is the XS!TE a major events arena for West Yorkshire creating a massive live music and conference venue. (Wales gets new Hotel and Conference Centre Facilities and Conference Centres in the UK: Incentive Travel.co.uk) 3.2 Development London But for the purposes of Business Tourists wishing to remain in the thick of the action there is much that London alone has to offer. The Queen Elizabeth II Conference Centre; Alexandra Palace; Olympia and Earls Court are renowned. These venues are capable of hosting anything from banquets to grand conferences. In addition the recently opened O Centre which offers significant entertainment and conference ideas. The refurbishment continues unabated with the Wembley Stadium (a gargantuan 90 000-seat football stadium) which incidentally hosts up to 1000 conference delegates or triple that number for receptions. The entertainment facilities don't stop there. London has much to offer the astute traveller; the curious onlooker or the Olympic Games spectator. There is fascinating shopping to be had at world-famous venues such as Harrods, Selfridges and Liberty's. There are many of the finest gourmet restaurants in the world and there's many a fine taste to tickle the most discerning tastebud. If it's high-performance theatre that a traveller is after, then London's West End has the best in the business. But when a tourist is enjoying such high-class entertainment and dining, quality accommodation is a top priority. London has it all. Whether it's 1 star or 5 star comforts that a traveller seeks, London Hotels can provide it all - in abundance. Classic beauties include the 5-star Radisson Edwardian Mayfair Hotel or perhaps the elegance of the Claridges Hotel. Tourists have the option of British Grand Prix; Premier League Football; Wimbledon Tennis; Lords Cricket Ground and many, many more exciting sporting attractions. Venues such as the Beaufort Polo Club offer hands on Polo for enthusiasts. There's always the Cotswold Clubhouse of London, a fantastic venue for gala events and lavish lunches. London Telecom giant BT has already secured the rights to provide networking and internet access for the 2012 games. The 2bn event will be brought directly into the digital age with British Telecommunications. All the magic of the 2012 Olympic and Paralympic Games will be broadcast in the highest resolution digital communication media possible. With Internet, telecom, data and land-line services for all athletes and staff. BT has ensured that professionalism will be maintained at all times. (London 2012 Olympics chooses BT to supply communications: Computing) 4.0 Conclusions The spill-over effect of the Olympic Games of 2012 will allow for a reported 20% increase in enquiries to the University of Oxford and its colleges, according to (2012 Olympic announcement will create business growth in Oxford. Events Review) This follows the announcement that Oxford University's sports facilities have been selected to appear in the London 2012 Pre-Games Training Camp Guide for Athletes. Organizers have drawn parallels between the Olympics in Sydney where the ripple-effect generated huge revenues for the city of Melbourne. According to James Purnell, the Secretary of State, "We believe that with the right improvements the London 2012 Olympic Games and Paralympic Games could generate an estimated 2.1 billion in additional tourism benefits (2006 Prices) for the UK over the period 2007 - 2017." The Secretary added that while the games would be based in London, the entire country would stand to benefit from the upgrades and tourism to take place. All in all, the overarching goal is to give tourists a 'first-class experience'. (Hon. James Purnell MP: First Class Experience") The Secretary further alluded to the express goals of the strategy of the 2012 Olympic Games. Such explicit objectives include the engagement of all UK tourism businesses and improving the international perception of Britain. In addition there is a strong emphasis on delivering a first-class welcome to all visitors to Britain. In order for these objectives to be attained, it is necessary to first improve the skills of the workforce and make a concerted effort towards improving the quality in accommodation available. While this is underway, it is necessary to maximize the opportunities for increasing business visits and events with international business tourism. The ripple-effect of such profitability must be distributed in order that sustainable development takes place. In addition, the value of business tourism has been stressed by the ministry. Approximately 8 million business visitors entered Britain in 2005 - a figure that accounts for over 25% of all overseas visitors. The ripple-effect is widespread with sectors such as associated travel, shopping, tours and entertainment absorbing significant profits from this lucrative sector - estimated at 22 billion a year according to International Passenger Survey Figures. It is further estimated that the average business traveler spends 120 a day - almost double that of a typical tourist. This allows for in excess of 500 000 jobs, many of which have become full-time positions. The UK is now firmly established as the third most desired destination for business travelers, outside of the US and Germany. It is this desire to bring business tourism to Britain that has resulted in multiple initiatives aimed at inviting conference organizers to the country. Research figures point to a figure of 16% of business delegates able to be influenced to come to Britain. These delegates account for 6% of total visitors expenditures - some 900 million. An organization entrusted with the task to spearhead this initiative is EventBritain. According to the analysis of the previous Olympic Games in Atlanta, Barcelona and Sydney, business visits can accumulate up to 50 % of the total tourism revenue for hosting the 2012 Games. (Review of the Impact of the London 2012 Olympic and Paralympic Games on the South East Region. Seeda) 5.0 Recommendations Thus London in particular stands to benefit immeasurably from a concerted effort aimed at improving the city's attractiveness ahead of the 2012 Olympic Games. The ripple-effect will ensure that all industries within the expansive range of the Games will profit. Growth in the lucrative business tourism industry in particular will be lasting and substantial. The changes earmarked for the London area have been carefully scrutinized and meticulously planned. With government involvement at all levels and significant private sector involvement the project is tagged to be a resounding success. The encouragement of Business Tourism, in and of itself, will allow for significant growth prospects; employment creation and income generation for London in particular and Britain as a whole. The way forward begins today with widespread initiatives aimed at: Improving service quality and personnel training Upgrading facilities and constructing new ones Branding Britain as the number one destination for the 2012 Olympic Games 6.0 References "A high value sector" "Wales gets new Hotel and Conference Centre Facilities and Conference Centres in the UK" "What's new in Britain this month" Read More