The Consequences of COVID-19 on Tour Operating Companies in Addis Ababa, Ethiopia

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Addis Ababa University


The corona virus pandemic leads crises significantly on tour operating companies. From the tourism industry tour operating companies are the major one which are affected by COVID-19. Most of the extent studies are conducted on boarder restrictions, healthy problems, consequences on major economic poles in overall. This study examines the consequences of COVID-19 on tour operating company in Addis Ababa. To achieving the study descriptive research design and mixed research approaches were used, both primary and secondary data collection method was also used. In order to achieve the objectives 217 respondents were taken by using Taro Yemane formula and processed by SPSS version 20. The reliability was analyzed by Cronbach’s alpha test and p>0.80 in all five dimension. The number of tourist arrivals is heavily decreasing for both foreign and domestic tourist in 2020 compared with 2019 and from total surveyed tour operating companies, 138 have not received any tourist. During to the outbreak of COVID 19, from 2019 to 2020 there was a drastic fall in the number of employees working in tour operating companies from. This in turn led to many social problems including psychological crises, family disturbance and shocking. Immediate response level of firms was low on average criteria. Small number of tour operating firms changes their business. Digital marketing, domestic tour practice were not exercised by tour operating companies. Regarding with government measure small amount of loan were given as retention purpose only. Effect reduction mechanisms taken by governments in tour operating companies was low. Government must facilitates and converts heavily affected tour operators and their employees by providing loans and change into production processes and permits to rent tax free import cars. Tour operating companies would also practicing domestic tourists and develop digital marketing experiences were tips that recommend.



COVID-19 Pandemic, Tour operating company, Crises management, Addis Ababa, Ethiopia