Tolo Travel and Tours (TTT) Started operations in April 2006 and provide Travel and Tours Services to people in Afghanistan, specifically Kabul area. TTT is poised to take advantage of Market growth and lack of competition with an experienced staff, excellent location, and effective management and marketing.

The company's goals over the next three years are:

• Sales of $3,0000 by year three.
  
• Maintain margins of 10% on all airline travel.
  
• Achieve 15% of sales from the Internet. 
• Develop strategic alliances with service providers nationally, internationally, and in the Kabul area.

In order to achieve these goals TTT needs to focus on the three key areas of:

• Effective segmentation and targeting of adventure travelers within the larger travel market.
  
• Successfully position ourselves as travel solutions specialists.
  
• Communicate the differentiation and quality of our offering through personal interaction, media, and regional marketing.
  
• Develop a repeat-business base of loyal customers in order to create sufficient sales.

The travel agency market is competitive, and technology, namely the Internet and Computerized Reservation Systems (CRS), has changed the way travel agencies operate. The Internet gives agencies and individuals the ability to perform travel related research. Discount airfare brokers have taken advantage of the Internet by offering tickets online at discounted rates. This has increased price competition. Computerized Reservation Systems have increased the speed and efficiency of the agency-to-customer transaction. They have also increased the start-up costs for travel agencies who wish to be competitive. One notable trend in the travel industry is increased deregulation.

Deregulation has increased the need for differentiation and has, in many cases, lowered the prices of airfare and other travel-related services. Additional trends include caps on agency commissions by many of the larger airlines, increases in adventure travel, and reduction of profit margins.

TTT is researching the market to identify potential opportunities for future sales in this rapidly changing environment. TTT’s long-term goal is to establish itself as an internationally recognized provider of top-of-the-line travel and adventure tour operator. This goal does not prohibit TTT from participating in additional segments. It does, however, provide a corporate focus and a differentiated offering.

TTT has established relationships with providers of travel-related products and services. Two major airlines have been selected as our primary ticket providers in part because they do not cap the agent's profit on tickets. TTT will take advantage of trade shows, travel industry publications, and other sources of industry-related information to monitor the quality of its offering.

The company does not expect any problems with expenses or cash flow within the next three years. Annual cash flow for the first year of operation becomes positive in the second quarter of operation.