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Brick and Mortar versus Online Travel Agencies

Please help me with the following:
I. Explain how the supply chain was modified from "brick and mortar" by the Web sites: Travelocity, Expedia , Priceline.
a). Introduction -
b). Sales and purchasing activities -
c). Procurement and negotiation with airlines, hotels, car rental agencies, etc.
d). Distribution and logistics
e). Conclusion -

Solution Preview

a. Online travel sites have definitely modified brick and mortar businesses because it elminates the need for a physical location as well as for most live customer service representatives. The positives of this type of business is that some major costs are eliminated which enables the business to provide a cheaper product to the customer as well as allow for more profits to the business. However, this type of business also takes away some of the personalized customer service that some people really enjoy having when receiving a certain type of service.

b. Sales in a "brick and mortar" type of business are handled through point of purchase where a client comes through a physical door and is offered certain options for a product he desires. Then, once the desired product is negotiated with the airlines and hotels through the travel agency, the customer purchases the products. However, when going to an online web site, the negotiations have already taken place and each of the three online ...

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