Divine Word College of Bangued

Bangued, Abra

College of Hospitality Management

MODULE ELEVEN
Future World Tourism and Hospitality Issues

Learning Outcomes
At the end of this lesson, you should be able to…

1. discuss the importance of safety and security in tourism and hospitality;

2. describe the impact of the world's economy on tourism and hospitality;
3. explain the responsible management of sustainable tourism;
4. discuss the significance of tourism policy and strategic planning;
5. describe the use of e-commerce tools in tourism and hospitality;
6. explain the importance of tourism and hospitality education and training;
7. describe the emerging tourism and hospitality markets;
8. get acquainted with the quality tourism and hospitality products and services;
9. explain the impact of partnerships and strategic alliances on tourism and hospitality;
10. discuss the impact of health issues on tourism and hospitality;
11. explain the effects of natural disasters on tourism and hospitality; and
12. analyze the impact of climate change on tourism and hospitality.

This lesson introduces selected major tourism and hospitality issues that are significant to the future of a vibrant
tourism and hospitality industry. Looking toward the future requires imagination and foresight. According to Mark
Twain, the American writer and humorist, "Prophecy is very difficult especially with regards to the future. The travel
world of tomorrow will be different from what we know today and experienced yesterday. "

Safety and Security in Tourism and Hospitality

The first issue of universal concern is the relationship of tourism and hospitality to terrorism or, in the larger
context, to safety and security. Safety and security in tourism and hospitality will be the greatest challenge for tourism
policy and planning for many years to come (Edgell, 2008). Much of the discussion on safety and security pertains to
terrorism. The terrorist attack in the United States on September 11, 2001 paved the way for the adoption of
international and national policies to counteract the impact of terrorism. The result of this tragic event encouraged
many countries to act together to combat the devastating effects of terrorism.
Safety and security, particularly from crime and terrorism, have been very important issues in the tourism
and hospitality industry for many decades. Since the September 11, 2001 terrorist attack in the United States, there
has been an increased awareness regarding the vulnerability of the tourism and hospitality industry to the challenges
of world events.
At present, there is an increase of terrorism that specifically targets tourism destinations. The peak of
tourism activity occurred in the early 1990s. In 1993, the US government and the private tourism and hospitality
sectors developed an action plan to help travelers have a safer and more enjoyable travel experience. Between
1990- 2006, there have been 264 terrorist attacks, which targeted tourism in 42 countries. Egypt, Turkey, France,
and Spain have the highest number of terrorist attacks during the past three decades.
Crimes against tourists such as robbery, murder, and kidnapping are also important concerns for destination
planners. In several places, statistics regarding a victim's status as resident visitor is not regularly reported or
collected by local police agencies. However, when crimes against tourists are featured in international media reports,
the result is often harmful to the overall image of the destination in spite of the low level of risk and number of actual
offenses.

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 Divine Word College of Bangued
Bangued, Abra

College of Hospitality Management

In order to manage visitors’ safety and security and preserve the image of the destination, the South African
government has created a National Tourism Safety Network composed of travel-related organizations. This group
has organized a Tourism Safety Communication Strategy, which distributes tourism safety tips to visitors and handles
crisis communications and management when incidents occur. The stakeholders realize that terrorism activities in
neighboring countries can have a negative impact throughout the region or even throughout the continent (Edgell,
2008).
Travelers now demand security measures. Safety and security must be included in the destination
development strategies especially in areas where terror and danger exist. The following are important items to be
included in a destination's security strategy. Dr. Peter Tarlow, an expert on tourism and security issues, proposed
these points:
1. destinations and attractions must compete on their readiness to keep visitors safe and secure;
2. destinations that provide sound security coupled with customer service will prosper;
3. the lack of a comprehensive approach will create a false sense of security. For example, only having gas
masks available for hotel guests may give false hopes if the hotel’s water supply is poisoned;
4. all members of the local tourism and hospitality system should be included when developing a
comprehensive tourism and hospitality strategy;
5. media coverage of a local incident can spread the negative public relations effects to the entire continent;
6. the safety development needs of the components of the visitor experience, including transportation,
infrastructure, accommodations, highway rest areas, and food sources should be assessed; and
7. establish a place for visitors to turn to, if a terrorist attack were to occur, and openly communicate the
location and purpose of the center in advance in case of any threats.

International travel has increased in spite of the efforts of terrorists and criminals to disrupt the tourist
experience. Although terrorist attacks have threats to the sustainability of any destination, safety and security issues
can also create opportunities for destination planners. These opportunities are the implementing strategies which
increase the safety of the area. Destinations that can counter-balance the force of terrorism are those destinations
where tourism and hospitality will continue to prosper.

The Impact of the World's Economy on Tourism and Hospitality

The world economy has a major impact on the future of international travel. With a flourishing world
economy, more people will travel. If there is a greater distribution of a country's wealth, more people will have the
financial means to travel. Related to the world economy is population growth. According to the US Census Bureau
"World POP Clock Projection," the present world population is more than 6.5 billion. China, India, the United States,
Indonesia, and Brazil are the five most populous countries. If the economies of these five countries will improve,
tourism and hospitality will grow.
Research shows that tourism and hospitality is a useful tool for economic development that can be used to
alleviate poverty. Developing countries recognize the important contributions of the tourism and hospitality industry
particularly in the establishment of small local industries; many of which employ women. Table 2 shows that by 2020,
the top three receiving regions are Europe (717 million tourists), East Asia and the Pacific (397 million), and the
Americas (282 million), followed by Africa, the Middle East, and South Asia. East Asia and the Pacific, South Asia,
the Middle East and Africa are forecast to record growth at over 5% a year, compared to the world average of 4.1%.
The UNWTO strongly encouraged tourism growth to the world's poorest countries to bring out economic
wellbeing, social development, and mutual understanding. If other regional organizations such as the Asia-Pacific
Economic Cooperation (APEC), the Organization for Economic Cooperation and Development (OECD), and others
will place tourism and hospitality as a high priority, the economies of many countries will be strengthened.

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This module is a property and is exclusively used by DWCB-College of Hospitality Management. Any duplication and reproduction, storing in
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 Divine Word College of Bangued
Bangued, Abra

College of Hospitality Management

Managing Sustainable Tourism in a Responsible Manner

The third tourism issue is managing sustainable tourism in a responsible manner . Sustainable tourism is of
utmost importance at present and in the future. Measures too advocate tourism agencies, host communities, and
travelers about sustainable tourism must be continued as the world population increases. Respect for our natural and
built environments will be the country's legacy for future generations. Sustainable tourism has been a major concern
for destination planning as well as regional and national policy-making in the last decade. In the last three years,
there have been more books written about sustainable tourism than there were 25 years ago. There are several
conferences on sustainable tourism held across the globe every year. These efforts will continue and we can expect
new approaches to planning and policy changes in the field of sustainable tourism (Edgell, 2008).

Tourism Policy and Strategic Planning

Tourism policy and strategic planning is the fourth major world tourism and hospitality issue. The
sustainable benefits of tourism and hospitality for local communities will continue to grow in importance. There will be
greater efforts toward partnership of private and public sectors to alleviate poverty, develop policies to combat the
negative impacts on tourism and hospitality, and support the economic, sociocultural, and environmental
contributions of tourism and hospitality to the world. Goeldner and Ritchie states that, "Good policy and sound
planning need to be conducted to ensure that a destination will be both competitive and sustainable. While policies
show the big picture and plans contain the details, both deals with the future development of tourism.
Developing new tourism and hospitality projects, maintaining present destinations, and improving travel-
related facilities and services require comprehensive policies and detailed plans that combine local needs, market
competitiveness, and tourism and hospitality sustainability. Destinations, sites, and countries that formulate policies
and implement detailed strategic plans will be able to sustain their tourism and hospitality products in the future.
When the policies and plans include all aspects of tourism and hospitality and promote the concept or cooperation
and competition, the opportunities for future success are greatly intensified.

Using E-commerce Tools in Tourism and Hospitality

The fifth world tourism and hospitality issue is the use of e-commerce tools in tourism and hospitality. More
than 50% of travelers in the United States use the Internet in planning their travel and vacations. This occurrence is
growing globally. If a destination does not have a good website, it will miss tourism and hospitality traffic.
A positive effect in developing destination websites is that developers can find good websites that are
similar to their destinations and copy the best features. As Internet access continues to increase in many countries,
online travel revenues will also increase. The number of Internet users around the world was estimated to be 747
million in 2007, a 10% increase from 2006. The growth was due to the expanding economies of India (33%), Russia
(21%), and China (20%). Online travel revenues were expected to reach two billion US dollars by 2010.
It is evident that the use of e-commerce tools for tourism and hospitality will continue to grow in the future.
Several e-commerce tools equip tourism and hospitality for a high-tech future. Since tourism and hospitality is a
combination of products and services, the multimedia qualities of electronic commerce can be applied effectively to
tourism and hospitality in order to increase the attractiveness of a destination.
Since a large part of tourism and hospitality is marketing, tourism and hospitality promoters who are
technically knowledgeable about interactive marketing will have competitive advantage over less-skilled competitors.
The emerging e-commerce tools are web blogs, podcasts, and Internet marketing.

Tourism and Hospitality Education and Training

The sixth major tourism and hospitality issue is tourism and hospitality education and training. Globalization
and innovation will be the outstanding feature of tourism and hospitality education and training in the future. Several
innovations are taking place in some universities. The University of the Balearic Islands in Majorca, Spain has a
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any retrieval system, distribution, posting or uploading online as well as transmitting in any form or means ( photocopying & electronic sharing )
of any part, without prior written permission from the owner is strictly prohibited.
 Divine Word College of Bangued
Bangued, Abra

College of Hospitality Management

Master and PhD in Tourism and Environmental Economics that is really unique with students coming from several
countries. It is a well-designed program which offers several courses. More than 50 visiting professors from different
countries teach in the program.
Many initiatives and changes are already taking place (Edgell, 2008) in tourism and hospitality education
and training. New trends include the collaboration between tourism agencies and educators of tourism colleges and
universities to address the changing needs of the tourism and hospitality industry. A good example is the
collaboration between the Business Enterprises for Sustainable Travel (BEST) with the Education Network (EN). The
group holds annual international tourism and hospitality research conferences in various locations worldwide. In
these conferences, sustainable tourism topics are discussed; and curriculum modules are developed to be used in
tourism courses and programs around the world. These conferences enable the promotion and sharing of the latest
best thinking and best practices in tourism and hospitality education in order to produce effective and efficient tourism
and hospitality managers in the future.
Other important current and future trends in tourism and hospitality education and training are closely
related to globalization and political stability. Bremmer (2006) states, "Openness enables change. Change is an
essential ingredient in growth and prosperity. Only the free exchange of information, values, ideas and people can
build a sustainable global stability that enriches all who take part in it" This can only happen with the continuous
reduction of barriers to the flow of international tourism and hospitality education and training. Today's international
students will be leaders of their countries tomorrow. All will leave their host countries having contributed to and
gained intercultural understanding and appreciation (WTTC, 1994).
At present, there are 234 million international jobs created through the provision of travel and tourism
products and services. Hence, a highly educated workforce is needed due to the continued growth and success of
the global tourism and hospitality industry. Marriott International recently announced a major expansion in the global
marketplace with the addition of 30,000 new hotel rooms in India and China, together with tens of thousands of
rooms added through acquisitions to the US and Canada portfolio. China was expected to lead the world in tourism
and hospitality growth through 2016. Marriott International has currently 30 hotels in China. Marriott, an undisputed
world leader in quality hospitality products and services, will invest millions of dollars in the education and training of
its newly recruited international workforce to meet this global growth strategy. According to Chairman and CEO J. W.
Marriott Jr., the lodging industry is a global business dominated by four factors, namely, global wealth,
demographics, trade, and world-class quality service workforce . The fourth factor, a world-class quality service
workforce, requires a commitment to outstanding international tourism and hospitality education and training.

Emerging Tourism and Hospitality Markets

The seventh major tourism and hospitality issue refers to emerging tourism and hospitality markets. China
and India are the two emerging tourism and hospitality markets in the near future. These two countries account for
about one-third of the world's population. Each country's economy is exploding and a greater segment of the
population is anxious to travel. Both countries are emerging as important receiving and generating countries for
tourism and hospitality (Edgell, 2008). Russia could also become a country generating and receiving tourists in the
future. In terms of arrivals and tourist receipts, Europe continues to account for one-half of the world's tourism and
hospitality market. Asia and the Pacific have been the fastest-growing regional market, surpassing the Americas
(Edgell, 2008). The Americas will still be strong, insofar as international tourist receipts are concerned, largely due to
the combined influences of the United States, Canada, and Mexico.
In terms of major generating and receiving countries, the United States and much of Europe will continue to
produce millions of tourists every year (Edgell, 2008).

Quality Tourism and Hospitality Products and Experiences

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any retrieval system, distribution, posting or uploading online as well as transmitting in any form or means ( photocopying & electronic sharing )
of any part, without prior written permission from the owner is strictly prohibited.
 Divine Word College of Bangued
Bangued, Abra

College of Hospitality Management

The eighth major tourism and hospitality issue is quality tourism and hospitality products and experiences.
Tourists demand greater variety, flexibility, and quality in their tourism and hospitality products (Edgell, 2008). Quality
in tourism and hospitality experiences is usually high on the tourist's list.
Air travel remains a travel issue as far as quality is concerned (Edgell, 2008). Air travel receives several
complaints in terms of quality. Air travelers experienced higher quality airline services in the 1970s and 1980s. In
general, they are not very happy with air travel nowadays although air travel is less expensive at present than it was
in the 1970s and 1980s. This situation is shown in travelers more frequently driving to destinations they formerly flew
to visit (Edgell, 2008).
In the future, the number and variety of tourism and hospitality products will change. Adventure travel
(jungle tours, safaris, trekking, and underwater exploration) to space travel is being experienced by adventure
travelers. There will be no shortage of activities for the active travelers (Edgel, 2008). India, for example, realized that
healthcare is the growing global industry. Hence, it has developed hotel-style healthcare centers in which the family
of the patient is able to stay in beautiful surroundings and encouraged to take part in tourism and hospitality-related
activities.
Tourists look for a clean environment, more nature-based tourism, and cultural tourism. Tomorrow's
travelers will be better informed than today's travelers with regard to tourism destinations because e-commerce tools
are used more effectively in the planning of travel. Thus, the future of tourism and hospitality will greatly depend on
the introduction of new quality tourism and hospitality products and experiences.
Destinations that offer high quality tourism and hospitality products will receive the benefits.
Space tourism, regarded as the century's newest tourism product, will grow tremendously as s0on as price
becomes more reasonable. At present, a space trip package costs $20 million. Dennis Tito, a US businessman,
became the first tourist to reach outer space in 2001, traveling in a Russian space shuttle to the International Space
Station. The others were Mark Shuttleworth in 2002; Gregory Olsen in 2005; Anousheh Ansari, the first female space
tourist in 2006; and Charles Simonyi who paid $25 million for a two-week trip to the International Space Station in
2007. In the very near future, Russia may begin to offer trips around the moon for $100 million. So far, Russia is the
only country with an effective space tourism policy.
Undersea tourism is emerging as a tourism market that will likely expand in the future. Exploring the bottom
of the ocean is not as expensive as space tourism. Another new global tourism product that is gaining popularity is
volunteer vacations. In 2006, 6% of the world's population undertook a vacation to help less fortunate people or to
support a humanitarian cause.

Partnerships and Strategic Alliances in Tourism and Hospitality

The ninth major issue is partnerships and strategic alliances in tourism and hospitality. New partnerships are
occurring such as the partnership between the UNWTO and the Meeting Industry on November 28, 2006 in which the
United Nations Tourism Satellite Account will measure the global economic contribution of the meeting industry.
Other partnerships are introducing coopetition, the use of cooperation and competition in which the available
opportunities are unlimited.
A recognized form of coopetition is the rewarding of frequent travelers with points which can be used with
car rental companies, hotels, airlines, and other components of the tourism and hospitality industry. Hotels that have
strategic alliances with certain airlines will give the visitors points for room nights spent at a hotel which accumulate
and are redeemable for free airline tickets or upgrades or for use in booking future hotel rooms.
Tourism and hospitality partnerships are a form of cooperation to facilitate competitive, and at the same
time, mutual interests. They occur in the local, regional, national, and international levels and can be a combination of
private and public sectors establishments. Two important words in partnerships are responsibility and collaboration. It
is through connectivity that successful partnerships are formed.

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of any part, without prior written permission from the owner is strictly prohibited.
 Divine Word College of Bangued
Bangued, Abra

College of Hospitality Management

Tourism strategic alliances are formed when the different sectors of the tourism and hospitality industry are
connected by a common bond such as a market opportunity or threat to market stability like war or a terrorism event,
and when they recognize the need for joining the alliance for their mutual benefit. Strategic alliances, just like tourism
and hospitality partnerships, can occur on many levels.
Through strategic alliances in tourism and hospitality, the tourism and hospitality industry can maximize its
use of outsourcing particularly in the areas of cost effectiveness, cost reduction, and brand loyalty. Outsourcing can
provide information on flights, weather, crisis management, or services that the traveler may demand. In short,
partnerships and alliances in the tourism and hospitality industry can help in the establishment of alternative
companies and service providers. Coopetition can encourage a competitive yet cooperative relationship of new
companies and well established agencies to explore the growth and expansion of tourism products and services.

The Impacts of Health Issues on Tourism and Hospitality

The tenth major tourism and hospitality issue is the impact of health issues on tourism and hospitality. Most travelers
avoid the areas that have high health risks. Diseases spread more rapidly due to travel, particularly through
international aviation. Reports released by Harvard Researchers showed that the flu virus spread more rapidly due to
the international tourism and hospitality, especially air travel. Fear of disease reduces travel demand. Other diseases
that affect tourism and hospitality are AIDS, SARS (COVID-19), and foot and mouth disease. AIDS was originally
brought to the United States and Canada by a flight attendant who contracted the disease in Africa. SARS spread
rapidly throughout Asia and Canada. The foot and mouth disease spread from the United Kingdom to Continental
Europe. Due to the SARS scare, the hotel occupancy rate in Hong Kong went down from 82% to 5%. After the
outbreak of SARS and the subsequent travel advisories from the World Health Organization (WHO), tourist arrivals in
China, Hong Kong, Vietnam, and Singapore decreased. After the outbreak of the foot and mouth disease in Europe,
the United Kingdom lost between 💷 2.7 and 💷 3.2 billion due to postponement and cancellation of trips. Policy
makers now need to react to health crises in their own countries. They should formulate strategies to provide support
to individual countries and recommend restricted travel to affected countries. Tourism and hospitality organizations
must take leading roles in the development and support of tourism and hospitality health measures and safeguards.

Effects of Natural Disasters on Tourism and Hospitality

The eleventh major tourism and hospitality issue is the effects of natural disasters on tourism and
hospitality. Natural disasters have devastating impacts on the tourism and hospitality industry. People avoid travel to
affected areas. Once this occurs, there is limited opportunity to use tourism and hospitality to restart the economy or
to obtain new revenues to reinvest in the tourism and hospitality industry and in the well-being of the local residents
(Edgell, 2008).
Airline disruptions caused by storms result in delays and cancellations in weather-affected locations. In
addition, delays and groundings cause airplanes to be misallocated for the start of the next round of flights.
Two major storms such as Hurricane Katrina in New Orleans, USA and the tsunami in Phuket, Thailand
caused mass disruptions in domestic and international tourism. After the hurricane, the New Orleans tourism and
hospitality industry lost $5 million per day due to the lack of tourist arrivals. The tsunami resulted in huge losses in
tourism and hospitality in Thailand. Tourist arrivals in Phuket went down to 44.7% after the first four months. New
Orleans and Phuket slowly recovered from the disaster they have experienced.
Other types of natural disasters also have lasting impacts. Mudslides disrupt business enterprises, generate
huge cleanup costs, and destroy landscapes. Venezuela suffered severe mudslides in the 1990s. This resulted in the
decline of tourist arrivals by more than 25% in 1999.
Because of the negative impacts of natural disasters, new public policy tools and best practices need to be
developed that respond to natural disasters. Travelers need transportation systems and alternative accommodations,
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This module is a property and is exclusively used by DWCB-College of Hospitality Management. Any duplication and reproduction, storing in
any retrieval system, distribution, posting or uploading online as well as transmitting in any form or means ( photocopying & electronic sharing )
of any part, without prior written permission from the owner is strictly prohibited.
 Divine Word College of Bangued
Bangued, Abra

College of Hospitality Management

access to telephones and other communication devices, and places to stay in case their present lodging is destroyed
or damaged. Safety concerns include clean drinking water and the physical safety of tourists. Tourist organizations
need to review contingency plans for workers. Policy formulation needs to address the following: provide the
immediate needs of the industry and guests; long-term recovery and rebuilding: and lastly, prevention and impact
reduction.

Climate Change and Tourism and Hospitality

The twelfth major tourism and hospitality issue is climate change and its impact on tourism and hospitality.
Global warming is a growing concern for travelers. The recently published research by the World Wildlife Fund
documents the ecological footprint of human activities around the world, many of which are embodied in international
travel and tourism. Results show that the world's ecosystem is being degraded by humans at an unsustainable rate
that cause irreversible damage to the planet as well as triggering population declines at about 31% in land animals
since 1970, freshwater creatures by 38%, and marine animals by 27%. Consumption exceeds by about 25% of
earth's capacity to provide resources and absorb waste. Recent projections by the Pew Research Center show that
global warming will cause major shifts in tourism and hospitality with locations that have higher altitudes and latitudes
becoming the winners, while warming countries experience declines by about 20% (Washington Post News Service,
2006).
Climate change can cause a ripple effect in tourism and hospitality. Climate change will affect which certain
locations will tourists visit and at what times of the year. This shift in travel patterns and travel periods can have an
impact on travel destinations which, in turn, affects the environment, which in turn changes when visitors desire to
come. Environmental impacts will emerge-from fossil fuel power and oil generation that support various forms of
transportation-from accompanying greenhouse gas production (Edgell, 2008).
Tourism and hospitality managers need to look for information proactively and take the lead in creating
responses to projected changes. Tourism and hospitality industry sectors should adopt long-term policies to protect
their environments and their livelihoods. Local tourism and hospitality managers must focus on environmental issues
to enhance the tourism and hospitality industry.

“All that is gold, does not glitter,

Not all those who wander are lost.”
-J.R.R. Tolkien, The Fellowship of the Ring

References

Bremmer, I. The J Curve: A New Way to Understand Why Nations Rise and Fall. New York: Simon and
Schuster, 2006.

Clark, E. SARS Strikes Down Asia Tourism. Retrieved September 10, 2006 from
http://news.bbc.co.uk/2hi/business/3024015.stm.

Edgell, David, Maria Allen, Ginger Smith, and Jason Swanson. Tourism Policy and Planning. Amsterdam:
Butterworth-Heinemann, 2008

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This module is a property and is exclusively used by DWCB-College of Hospitality Management. Any duplication and reproduction, storing in
any retrieval system, distribution, posting or uploading online as well as transmitting in any form or means ( photocopying & electronic sharing )
of any part, without prior written permission from the owner is strictly prohibited.
 Divine Word College of Bangued
Bangued, Abra

College of Hospitality Management

Eilperin, J. "Warming Called Threat to Global Economy." Washington Post. Retrieved October 3, 2006 from
http://washingtonpost.com/wp-dyn/content/article/2006/10/30/AR2006103000269.html.

Goeldner, Charles and J.R. Brent Ritchie. Tourism Principles, Practices Philosophies. 10th Ed. New Jersey:
John Wiley and Sons Inc., 2006.

United Nations World Tourism Organizations. "2020 Vision." Retrieved November 28, 2006 from
http://www.to.org/facts/eng/vision.htm

US Census Bureau. Retrieved January 5, 2007 from http://www.census.goo/ipc/www.clockworld.html.

Wilmilt, I. C. Marriott Announces Global Strategy, the Examinee. Retrieved October 20, 2006 from
http://www.examinee.com/print-er353435.htm.

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This module is a property and is exclusively used by DWCB-College of Hospitality Management. Any duplication and reproduction, storing in
any retrieval system, distribution, posting or uploading online as well as transmitting in any form or means ( photocopying & electronic sharing )
of any part, without prior written permission from the owner is strictly prohibited.