Narrator: Ms. Chua is a famous investor in the Philippines.

Meanwhile, a two tourism students from a

prestigious school graduated with flying colors. As these freshly graduates find a job, Ms. Chua noticed
these students because of their outstanding performance in their school. She offered them an
opportunity that could change their lives.

Ms. Chua: Would you like to build a travel agency with me? I could finance all the things that you
needed. You don’t need to worry about the money. But make sure that this travel agency will bloom
soon.

Girl 1: Oh my gosh! Is this real? Can you pinch me? I’m not dreaming right?

Girl 2: Yes you’re not, it’s real!

Ms. Chua: So what can you say? Are you up for it?

Girl 1: But what if it doesn’t work?

Girl 2: Yeah, we’re only fresh graduates. Why us?

Ms. Chua: Because I could see the potential in you guys. Forgive me but I already did a background
check on you. The school that you graduated in was my alma mater, so I know that they are going to
produce bright students.

Girl 1: we are very thankful for this opportunity Ms. Chua. But if this plan doesn’t work, your money will
be wasted for nothing.

Ms. Chua: I know that you guys know your capabilities. I hope that you trust yourselves regarding with
this matter.

Girl 2: W will do our best Ms. Chua!

Girl 1: We will not disappoint you.

Narrator: The girls started their research regarding with putting up a travel agency and they are ready to
report all of the things to Ms. Chua.

Girl 1: Good morning Ms. Chua, so the first thing we should do is to apply for DOT Accreditation. It’s a
certificate that an establishment has complied with the departments’ minimum standards of its
operations to ensure the comfort and convenience of its clients.

Girl 2: It’s also an important requirement prior to the application for an LGU Business License or Mayor’s
Permit, provided it proposes to directly facilitate and service the travel and tour needs of its clients and
is classified as a “primary tourism enterprise”. Outbound travel agencies are excluded from this
requirement as they are classified as “secondary tourism enterprise”.

Girl 1: I can apply for it through online, and you can apply for the Mayor’s Permit.

Girl 2: okay then. Ms. Chua after the permit or license has been issued, we have to be registered with
these agencies: The SSS, BIR, Pag-Ibig Fund, and Phil-Health.

Girl 1: we must also consider 2 factors which is the sub-agent and the IATA agent. For the sub-agent we
must be connected to another agency of to IATA agency issue ticket. For the IATA agent, so that you
have the stock to issue ticket and have to comply some IATA requirements.

Ms. Chua: Okay, we will name this Smart Friends Travel and Tours. How could we generate sales?

Girl 1: actually there are 4 ways Ms. Chua, as travel arrangers or consultant, we charge an open and
negotiated professional or handling fee (cost plus), which may be a fixed amount per transaction or a
percentage of the travel cost, for the travel information and advice, processing or travel arrangements
and documentation assistance, and charge the supplier’s product at cost.

Ms. Chua: (nodded)

Girl 2: As for brokers for transportation companies, we receive either fixed commissions on regular fares
(rate minus) or are allowed a reasonable mark up on a net fares (net plus), for the sale of passage which
are hidden from the client. Some transportation companies encourage this scheme because it enlarges
their sales network at no cost to them, unless a sale in made. Other prefers to rely on their agency’s
sales and focus on direct selling to the travelling public.

Girl 1: As for brokers for other suppliers of travel services, such as hotels, tour operators and car rental
companies, travel agencies also receive fixed commissions (rate minus)

Girl 2: For certain ancillary services, such as those for travel documentation, travel agencies collect
service fees from the clients.

Girl 1: And in some cases they also receive production incentives and rebates from suppliers.

Ms. Chua: How can we boost our sales?

Girl 2: Ticket promos and some other offers is really effective most of the season. For example you can
offer ticket including hotels together for your clients’ summer vacation, in that way you can make their
vacation easy at the same time you are earning. In some other way, promos is sellable as it is cheaper
compare to normal ticket fare.

Narrator: The two girls found a good place to build up a travel agency, it’s along the session road. And
they have already received their license. Now, they are now hiring travel agents so that they could make
their dream work. Two days later, two applicants passed the first interview. And now they are into the
second one.

Girl 1: Hello good morning, you may take your seat. So what’s your name?

*both girls nagpakilala*

Girl 1: So what do you think are the main functions of a travel agent?

Girl 3: *raises hand* First is that they provide information and expertise. It means that first-time
traveler will always seek to acquire as much information as possible on the destination country prior to
travel. Normally, first-time travelers ask or starts with the question “how to get there”- airlines
schedules, fares, flight, arrival and departure times- and progress to the “where to stay” and “what to
do”. Also, some travelers today prefer to surf the various travel websites to acquire information.

Girl 1: what’s next?

Girl 4: The second one is to recommend destinations, products and services best suited to the needs of
the client. Once the prospective travelers are verified, it is the time that we recommend a specific mode
of transportation or an airline schedule best suited to the client and recommend the hotel best suited to
the client’s location preference, budget and purpose of travel. Lastly, the staff can also recommend
activities that would live up to the client’s expectations.

Girl 1: okay good, what else?

Girl 3: They process travel arrangements. It means that they place the reservations, obtaining
confirmations and issuing corresponding travel and tour documents in behalf of the suppliers.

Girl 1: *nodded* okay next?

Girl 4: The 4th one is they provide assistance in securing travel documents such as passports and visas,
and immigration clearances. If the travelers doesn’t have the necessary travel documents, we will
provide assistance in securing these for free.

Girl 3: like everything else nowadays, the internet has automated some phases of the processing of
these documents. Visa applications may now be filled out and filed online. Visa fees may also be paid
online. However, the human advice provided by us—travel agents—can never be replaced.

Girl 1: *smiles* very good. The last one is?

Girl 4: Lasly, we assist in cases of refunds and cancellations. In the event the travel arrangements made
for the clients’ trip were not availed of in full or in part, due to circumstances beyond anybody’s control,
and legitimate claims for refunds are in order, we will also assist the clients to decure these from the
suppliers. This assistance extends to changes in the travel arrangements that require additional
payments or refunds.

Girl 3: in short being a travel agent, our main function is to provide our clients a good service and
accurate information regarding their travel queries. To make their travel more comfortable, easy, and
memorable. Travel agency success depends on the travel agents’ professionalism. That’s all maam.

Girl 1: Wow, I’m very satisfied with you both. You can start next week already. That’s all.
Girl 3 and 4: Thank you maam!

Narrator: after five months, the Smart Friends Travel and Tours is already popular. Ms. Chua didn’t
regret that she invested in this business because the girls proved their worth. After all the hardships that
they went through, they are now happy achieving their dreams together.