Travel Industry
Industry: Email Alert RSS FeedMisguided reasoning. (Travel Law).(reasoning behind U.S. Department of Transportation proposed computer reservation systems' regulations is misguided)
Travel Agent, April, 2003 by Das, Surya
The DOT has received dozens of comments from a broad spectrum of travel-related organizations and companies regarding its proposed rule changes for computer reservation systems. The comments range from urging the DOT to merely modify the existing rules to requesting their elimination so the GDS industry will he totally deregulated. The GDS vendors are split, with Amadeus and Galileo asking for modifications and both Worldspan and Sabre urging the DOT to eliminate the rules.
The proposed regulations, if adopted without changes (which is unlikely) would alter the GDS landscape because the regulations would prohibit productivity pricing, which has provided a revenue stream to travel agencies of all sizes for many years. We believe eliminating productivity pricing...
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