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BSS057-6: As industry leaders TUI AG and TUI Travel have market-leading tourism, hotel, and cruise brands with a rich heritage: Corporate Innovation and Entrepreneurship Assignment, UOB, UK
| University | University of Bedfordshire (UOB) |
| Subject | BSS057-6: Corporate Innovation and Entrepreneurship |
As industry leaders TUI AG and TUI Travel have market-leading tourism, hotel, and cruise brands with a rich heritage of over 40 years in this industry. Passionate about the businesses TUI AG and TUI Travel PLC has cooperated closely together since TUI Travel was created in 2007 and TUI Group is the natural progression where two TUI’s become one. Since the merger in 2007, colleagues from both businesses have either cooperated or worked closely together and aim to share a common understanding and drive.
Having for more than 70 years been an industrial business operating as Preussag AG the company we know today as TUI AG entered the Tourism market in 1997 with the acquisition of one of Germany’s leading tourism companies Hapag-Lloyd. Further tourism acquisitions followed and the company started to exit from its industrial businesses. Acquiring some of the biggest names in European tourism including, Thomson, Fritidsresor, and Nouvelles Frontières, and shareholdings in the hotel groups RIU and Magic Life TUI AG created one of the world’s leading tourism groups.
In 2007 the tour-operating businesses of TUI AG merged with the UK-listed First Choice Holidays PLC, a tour-operating business started in 1973 which had both Mainstream and Specialist businesses to form TUI Travel PLC, listed on the London Stock Exchange. The company’s major shareholder with a stake of 54 percent was TUI AG.
TUI is one of the world’s leading tourism groups. The broad portfolio gathered under the Group umbrella consists of strong tour operators, 1,600 travel agencies and leading online portals, five airlines with around 150 aircraft operated by five tour operator airlines, flying around 13 million customers per annum, over 400 hotels, 16 cruise liners, and many incoming agencies in all major holiday destinations around the globe. It covers the entire tourism value chain under one roof. This integrated offering enables the provision of an unmatched holiday experience to 27 million customers in 180 regions.
In the 2019 financial year, the TUI Group with a headcount of around 70,000 recorded a turnover of about €19bn and an operating result of €893mio. The TUI Group’s share is listed in the FTSE 250 index, in the Quotation Board of the Open Market on the Frankfurt Stock Exchange, and regulated Market of the Hanover Stock Exchange. TUI Group is a highly complex organization that has grown through the acquisition of other companies, each with its own
organizational culture and ways of working, leading to fragmentation and siloes, rather than a shared vision and culture.
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