Business Question

Welcome to the Consulting Division (UECD). As an intern, you will be reporting to Lukas, the Director of Economics and Business Analytics and assist him in carrying out consultancy projects for clients all over the world. This summer, however, Lukas was trampled by a running bull while holidaying in Spain and his leg is in a cast. He cannot travel so you now must take the lead in the following projects:

One thousand words for each project!

PROJECT : MADRID. Your first client is the European Commission’s General Tourism Directorate. Once you arrive to their regional offices in Madrid, you meet Amaia, the Deputy Commissioner, and she explains the project: “One of the major economic activities in the European Union is tourism, at least it was before the covid crisis, and we expect it to continue after we return to normal, hopefully in 2022. Still, it is unclear for how long travel restrictions (mandatory testing, quarantines, etc…) will remain in place since each European country has radically different trends and policies. We are particularly concerned with the post-Brexit UK as one of the main origin markets for holiday travel into the EU and we are constantly negotiating with them. In order to aid those discussions, our office wants a robust quantification of the impact these covid-related travel restrictions are actually having on monthly UK visitor numbers. This is where you come in. The last time I met with your manager he talked about carrying out an econometric study to estimate those impacts. The only requirement he had is that we should provide some critical data needed to do the regression. I have been looking into our files and the best that I can provide is a dataset with the monthly number of airline arrivals from the United Kingdom to all airports in the world between January 2016 and July 2021 (available as the attachment). It is up to you to decide how many destination cities or countries to include in your analysis, but you should endeavour to have diversity in travel restrictions (have a look at the UK travel lists). Also, you will need to complete the dataset with other variables from publicly available sources.”

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