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SWOT ANAYLSIS STRENGTH Indias geographical location, accumulation of deserts, mountains, forests and beaches. Diversity of culture i.e.

.e. blends of various civilizations and their tradition. Manpower costs in the Indian hotel industry are one of the lowest in the world. This provide better margin for the industry. A very wide variety of hotels is present in the country that can fulfill the demand of the tourist. There are international players in the market such as Taj and Oberoi. Thus the needs of international tourists and travelers are seen to while they are on a visit to India. Rich culture heritage and colorful festivals.

WEAKNESS Lack of sufficient infrastructure. The road condition in India is very bad. A narrow minded attitude among certain sections of people. No proper marketing Indias tourism abroad. Foreigner still thinks of India as a land of snack charmers. There are many places where the image of India is one of the poverty, and diseases.

Opportunity More proactive role from the government of India in the terms of framing policies. Asian development bank is preparing a sub-religion plan for development in tourism in India. Availability of high quality human resource. Allowing entry of more multinational companies into the country giving us a global perspective. Growth of domestic tourism. The advantage here is that domestic tourism and international tourism can be separate easily owing to the difference in the period of holidays.

Threat Economic condition and political turmoil in other countries affects tourism. Political turbulence within India in Kashmir and Gujarat has also reduced tourist traffic. Terrorism is a major setback of the region. Disorganized tourism development. Environmental factors also impose a threat. Aggressive strategies adopted by other countries like Australia, Singapore in promoting tourism. Strong competition within states of India and abroad.

PEST ANALYSIS POLITICAL The Indian tourism industry is built on the backbone of government support. All the support service like the hotel industry, the airlines industry, and the tourist operators to name some are heavily dependent on the support and the cooperation of the government. The hotel industry has been getting many incentives and state governments are encouraging the growth of major hotels in their states.

Economical The spending power of the people has been increasing in the country and all over the world. There have been more people coming into the country with more cash than ever before. People who previously used to come to the country on a shoestring budget and hunt around for the cheapest accommodation can now afford to go in for luxury hotels. This has is led to an increase in the number of the hotels in the country. The increase in the spending is also evident in the increase in the number of the people travelling by air.

Social People become careful, especially of the international tourists. People are now adopting themselves to the fact that tourism pays and it can be major source of income for them.

Technology Similarly better transportation facilities have lead to a dramatic increase in the number of tourists visiting any particular place. The presence of an airport and the availability of frequent flights are a great convenience to any traveler. Better communication facilities are one of the first fundamentals for growth in the flow of tourist. This has been made possible with technology.

Political factors Terrorism and security Infrastructure Bad government and ubiquitous red tape Relations with its neighboring countries Religious intolerance Lack of international representation Worlds largest democracy Indias role in international politics

Technological factors New transportation methods Super terries and cruise ships New land bridges Space tourism Growth of e-commerce A potential earnings of $2 billion is projected for tourism in India Chaos and inability to service tourist at airports and train station Bad quality standards airports and train stations

Environmental factors Global warming Urban air quality Energy dependence and costs Clean drinking water and related facilities Go green ideology/ sustainable development

Demographic factors Increasing population Global language second only to the U.S

Government factors Aggressive advertising campaign incredible India Up to 100 % of NRI investment is allowed Tax exemption of 50% of profits derived by travel agents and tour operators One of the lowest spenders on tourism Increase in rate of service tax for hotels from 10% to 12%