Deck 4: Bringing Travelers and Tourism Service Suppliers Together

Question 1

When Thomas Cook organized the first group tour, he was serving as a(n) ________.

A) consortium
B) intermediary
C) conductor
D) missionary

Answer 1

intermediary

Question 2

Which of the following is NOT a value-added function provided by intermediaries?

A) providing information
B) marketing excess inventory
C) making reservations
D) risk-shifting to service providers

Answer 2

risk-shifting to service providers

Question 3

Which of the following segments of the tourism industry has continued to nurture a close Working relationship with travel agents?

A) airlines
B) theme parks
C) cruise lines
D) hotels

Answer 3

cruise lines

Question 4

The simplest form of distribution, providing direct access to tourism suppliers, would be classified as a ________.

A) traditional distribution channel
B) two-level distribution channel
C) three-level distribution channel
D) one-level distribution channel

Question 5

The difference between the price for which travel agencies can obtain the service and the price They can charge when selling the service is called _______.

A) value-added service
B) commission
C) discount
D) markup

Question 6

Travel agencies can be classified into all of the following categories EXCEPT ________.

A) no-frills agencies
B) Internet agencies
C) cruise-only agencies
D) mega agencies

Question 7

The financial network and clearinghouse that allows travel agencies to sell domestic airline tickets is ________.

A) OTA
B) FIT
C) CRS
D) ARC

Question 8

Traditionally, wholesalers provide what percentage of all room revenues in destinations such as Hawaii and the Caribbean?

A) 50 to 60
B) 40 to 50
C) 60 to 70
D) 30 to 40

Question 9

The most structured type of tour and usually the most complete in its components is a ________.

A) escorted tour
B) independent tour
C) hosted tour
D) foreign tour

Question 10

The typical markup on tour package components is ________.

A) about 36%
B) between 40%-50%
C) more than 50%
D) about 20% or less

Question 11

Which of the following buys excess inventory of unsold airline tickets and then resells the tickets at discounted prices?

A) franchises
B) consortiums
C) consolidators
D) intermediaries

Question 12

One of the most pressing responsibilities of meeting planners is to ________.

A) control costs
B) provide on-site registration
C) provide Web-based services
D) create service guarantees

Question 13

Win-win situations for both tourism customers and suppliers are created through a process called ________.

A) global distribution systems
B) customer relationship management
C) personal selling
D) dynamic packaging

Question 14

Sales people who educate others about their company's services so those services can be sold More effectively are called ________.

A) missionaries
B) facilitators
C) customer service representatives
D) tour operators

Question 15

Which of the following is the salesperson's first contact with a client?

A) building relationships
B) qualifying the client
C) trip planning
D) approaching the client

Question 16

Which of the following is an agent's post-Internet role?

A) client follow-ups
B) transactional focus
C) overall travel experience management
D) transactions processing

Question 17

The final step in the selling process is ________.

A) following up to ensure client satisfaction
B) delivering the service
C) writing a contract
D) collecting for the sale

Question 18

You should ask travel agents all of the following questions EXCEPT ________.

A) What are your relationships with specific industry members?
B) What discounts can you offer?
C) What will I receive for your fee?
D) What are your qualifications?

Question 19

All of the following are domains of knowledge for event managers EXCEPT?

A) marketing
B) design
C) finance
D) risk management

Question 20

As an example of multiple distribution marketing, Carnival cruise line is using which channel?

A) direct through travel agents
B) direct on Carnival's website
C) indirect in mall locations
D) direct through fire sale agencies

Question 21

In a two-level channel, travel agents serve as intermediaries, bringing suppliers and consumers together.

Question 22

Intermediaries in tourism distribution channels perform a variety of value-adding functions.

Question 23

Technology has rendered travel agents useless in the distribution function.

Question 24

Travel agencies take title to the services they sell.

Question 25

The majority of cruises are booked through travel agents.

Question 26

Only a small portion of a travel agent's day is spent making reservations.

Question 27

The Olympic Games are an example of a mega-event.

Question 28

Travel agent commission on hotel bookings can be as high as 33% of the room price.

Question 29

An independent tour is the least structured tour package.

Question 30

The guests on an incentive trip are typically a homogenous group.

Question 31

Tour operators and wholesalers are heavily regulated at the national level, creating significant barriers to entry for new companies desiring to provide these services.

Question 32

A receptive service operator coordinates the local suppliers serving the needs of tour groups.

Question 33

Participants travelling to meetings represent $1 out of every $4 spent on air travel.

Question 34

The number-one factor that associations consider when selecting a meeting site is quality of service.

Question 35

Problems like natural disasters and political unrest cannot reduce the profit margin for a tour wholesaler.

Question 36

The best way for tourism professionals to gain information about a particular location is through a fam trip.

Question 37

Tourism Confluence International is the world's largest international travel marketplace.

Question 38

A successful sales person is constantly gathering additional knowledge that will be useful to existing and potential clients.

Question 39

The sales presentation entails asking questions to discover specific needs and budgetary considerations.

Question 40

Dynamic packaging creates opportunities for greater margins.

Question 41

Events are temporary and purposive gatherings of people.

Question 42

Because corporations are operating with leaner budgets, the need for meeting planners is declining.

Question 43

Trip-cancellation insurance protects you if you change your mind about going on the trip.