Environmental Issues Affecting the Travel Industry

Protecting the environment is now one of the most talked-about and hotly-debated topics across the globe. Many companies are spending hundreds of millions of dollars to create products or make their products environmentally friendly. An example is the electric car that is being looked at as a viable option to that of the present gasoline powered car. In 2009 world leaders met in Copenhagen to discuss ways in which they can prevent global warming and reduce on the effects of climate change, in effect protecting the environment. The travel industry too has not been left out of this issue. In an industry where the number of people engaged in international travel has been predicted to reach the billion mark in 2010, there is concern about its contribution to the damage done to the environment. Also like every other industry the travel industry needs to be concerned about ways of doing business that are environmentally friendly. Outlined below are some of the environmental issues affecting the travel industry which stakeholders need to address and in some cases seek out long term solutions.

1. Aviation which ferries hundreds of thousands of tourists across the globe is of great concern to those seeking to protect the environment. A major concern for the industry is greenhouse gas emissions and their implication for climate change. Aviation produces at least two percent of emissions. One way the aviation industry is working on this problem is by rolling out newer planes that have fuel efficient engines which means less carbon emissions. However not all airlines especially in the poorer countries can afford buying new aircraft.

2. Mass tourism. With the cost of travel becoming cheaper and more and more people venturing further away from their countries to places that were previously inaccessible but can now be reached because of air transport, areas of environmental and historical significance are becoming crowded. This is putting pressure on ecosystems within these areas and threatening the flora and fauna. Also climate change is going to mean that certain places will not favour visitors because of weather conditions becoming extreme which will lead to overcrowding in other places with more favourable weather conditions. Again this presents a danger to the ecosystems in the overcrowded areas and to the tourism of the area.

3. Deforestation. In spite of the worldwide call to protect the environment there are still areas where massive logging is taking place. This is also contributing to destruction of flora and fauna and is a threat to the tourism in those areas.

4. With the call to go green affecting all industries across the globe the tourism industry has not been left out. There is pressure on those who are in the industry to find methods of doing business that are sustainable and environmentally friendly. For example can the hotel industry build hotels that are more environmentally friendly? What methods can they use to conserve energy and reduce on chemicals that are used in the dry cleaning of tons of laundry used in the industry?

5. Human encroachment. With populations continuing to grow worldwide there is now competition between man and animals for space. Humans are now encroaching on areas like National Parks that are protected and marked for wildlife. This has led to reports of people and their livestock being killed by wild animals which in turn leads to people hunting and killing these animals that are considered to be a threat. This is a threat to the tourism of the area. Human encroachment is also forcing animals to move away from their habitat to other areas where they cannot survive leading to the extinction of certain species.

Top Airline Industry Analysts Predict the Market For 2010

There is no doubt that the airline industry has been totally creamed over the last many years, and thus, there seems to be a rather timid approach towards expansion as 2010 by all sides of the sector including airliner manufacturers, airports, airlines, related travel services, and aircraft leasing, financing, and corporate bonds in the airline industry. Question is; what do those in the know really say about it all?

Consider if you will that in 2008 - 2009 the industry saw $28 billion in losses (2009 was 11 Billion of that). Indeed, air cargo got hit the hardest and was horrible, with a complete price collapse as air cargo was down over 14%, and now perhaps thus, has the biggest forward growth projection. In fact, things have been very good in the first quarter as air cargo returns. Unfortunately it was too late for JAL and a few others, but those who'd weathered the incessant turbulent weather are looking at clear skies ahead.

The largest airlines took on massive debt especially the legacy airlines during this Great Recession, a global economic catastrophe felt round the world and will be felt for years to come; a case in point perhaps is the reality that "First Class" is now deemed a dead product, also high-end hotel accommodations, concierge services, and green travel seem to be a dead end. Most of this will eventually come back and there are positive signs; finally, but no one is out of the woods yet, look at Oil Barrel prices near $90.

Many large airlines had their market cap or value, so low you could buy them for about $100 million, of course you'd have had to take on massive debt in the 10s or even 100s of billions. In 2010 traffic growth is expected at 4.5% but no one believes that they will be back to the norms of 2007 until maybe the fourth quarter of 2012. And that's a bummer for those who believe in the Mayan Calendar end of the world theory!

In 2010 is all about cash, as borrowing will be tougher. Many believe there is still too much capacity in the industry upwards of 20% still, and yet many airlines in Middle East and Asia are out buying new planes? The reality is things are not the same in all regions even though for the most part this is a very Global Industry. There have been massive global losses, and even as things return some airlines may not be able to hold on, so there will be some mergers and acquisitions, but fuel is still the big kicker oil could go either way, in 2010.

Management says it didn't fail in airlines, each of the major industry's problems have been brewing for a while, and they were exacerbated by the 2008 global economic crash. Labor issues are still huge challenge for the industry, just look at the recent high-profile strikes in Europe? Some airlines are actually doing quite well like Asian air, and were growing throughout the Global Great Recession, but they were far and few between. Asian Air showed profits the entire period, which is absolutely an Outlier in retrospect. Please consider all this.