Scientific Quarterly Journal

Identifying and Explaining the Legal Challenges Travel Agencies Encounter with the Rise of Online Travel Agencies (OTAs)

Volume 6, Issue 23
Winter 2026
Pages 58-75

Document Type : Original Research Article

Authors

Faculty of Tourism, University of Science and Culture, Tehran, Iran

Abstract
The tourism industry in Iran has faced fundamental developments with the advent of online travel agencies (OTAs). However, the relevant rules and regulations, which are mostly implemented for traditional business models (approved in 2002), have lost their efficiency due to the rapid emergence of the dynamic digital space. Their legal non-compliance creates unfair competition against traditional travel agencies, as it might threaten their survival. 
The research aims to identify and deeply analyze the challenges and legal gaps facing traditional travel agencies in Iran by growing OTA activities; it also tries to provide legal and structural solutions to create a well and sustainable competitive environment. The study has adopted an exploratory qualitative research model by using qualitative content analysis. The research data was gathered by applying semi-structured interviews with 12 persons who were experts on tourism and technology in Tehran city until theoretical saturation. The MAXQDA software was used to code the qualitative data by using a combined deductive-inductive method.The research findings display the multi-layered legal challenges of traditional offices, which are mostly arising from inadequacies of the current legal system, inconsistency in regulatory organizations, including unclear responsibility of online activities, and imbalance in compliance requirements, and also the lack of support in international financial interactions and weaknesses in facilitating digital transformation. To guarantee the survival of traditional offices and the efficiency of the market, it is a critical necessity to urgently review and develop the current legal system, implement clear regulations for online liabilities, and create government infrastructure an support.

Keywords

Subjects
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  • Receive Date 20 October 2025
  • Revise Date 04 December 2025
  • Accept Date 07 February 2026