Alliances in the International Travel Industry

Abstract

The tourism literature has viewed sustainability in terms of the issues pertaining to the sustainability of physical, cultural, or social environments or considered the underlying policy frameworks. However, it is argued that sustainability in a tourism context can also be viewed as an aspect of the competitive environment. The globalisation of business, the intensity of competition, the increased use of information technology and the increasing sophistication of consumers have all had an impact on the increasing propensity of companies to form alliances. This trend has been particularly discernible in the international travel industry that has grown to serve the needs of tourists. This paper traces the development of alliances in the travel industry through the presentation of a number of travel industry case studies and questions the extent to which alliances represent sustainable strategic options. Drawing on the business management literature, lessons for alliance survival and success are discussed. The paper concludes that individual strategic alliances in the travel industry are rarely sustainable as external pressures and internal commercial imperatives combine to force them apart but the notion of working collabo-ratively is indeed a sustainable way of working.