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Facets of Economic and Financial Crisis Impact on Strategic Planning of travel Agencies

Author

Listed:
  • Claudia E. Tuclea

    (Bucharest University of Economic Studies)

  • Dragos C. Vasile

    (Bucharest University of Economic Studies)

  • Andreea F. Schiopu

    (Bucharest University of Economic Studies)

  • Monica Marin

    (Bucharest University of Economic Studies)

Abstract

The purpose of this paper is to explore the strategic behavior of travel agencies in Romania and their strategy development process before and during the current economic crisis. Using 88 in-depth interviews with Romanian managers of travel agencies of different sizes, we pursued the understanding the extent to which they use strategic management, the role of strategic management on leading travel agencies before and during the crisis, and the changes of their strategic planning process due to the crisis. The research also aims to identify how they perceive the impact of the crisis on the business environment and the behavior of competitors. The findings suggest that, at first, travel agencies followed an informal strategic planning process, with a high emphasis on the short-term objectives given the turbulence of the environment affected by the economic crisis. This turned into a tougher emphasis put on financial and cutting costs measures. The crisis prolonged and the managers rediscovered the role of strategy, trying to find new ways of creating value for the customers, reconsidering the role of competitive advantage. The paper offers an image of strategic management processes of travel agencies and the changes in their strategic direction and behavior as a result of the financial and economic crisis, approaching a well-defined theoretical and practical need.

Suggested Citation

  • Claudia E. Tuclea & Dragos C. Vasile & Andreea F. Schiopu & Monica Marin, 2014. "Facets of Economic and Financial Crisis Impact on Strategic Planning of travel Agencies," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 16(Special 8), pages 1222-1222, August.
    • Handle: RePEc:aes:amfeco:v:37:y:2014:i:16:p:1222
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    References listed on IDEAS

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    More about this item

    Keywords

    strategy; strategic planning; travel agency; competitive advantage; economic;
    All these keywords.

    JEL classification:

    • M10 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - General

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