Ajax Minerals and the Problems at Perrier case study Assignment

Ajax Minerals and the Problems at Perrier case study - Assignment Example The leadership team at Ajax Minerals wanted a change in the operational activities as they were planning for future activities. They were concerned about the challenges they have to face  in the near future from their competitors. In order to continue their operations easily, they required certain changes without which  the future of Ajax Minerals was  considered  to be in danger. The supervisors and workers did not foresee any such threats which the leadership considered dangerous. All of  the labor force at Ajax Minerals was poorly managed, and there has always been poor management and labor relation. The employees (labor) always considered that any meeting held would result in redundancy or cut-offs. The laborers resist to change because of their past experiences (Hall & Hord, 2014). The main reason of resistance to change at Ajax is because of the lack of coordination between the management and the lack of job security. The laborers have always resisted to change because of such reasons and at this moment they had the same perception about the change which the leadership team wanted to implement. The leadership team at Ajax was aware of the reaction of the employees and tried to deal with this situation opposite to the customary manner (Hiatt & Creasey, 2003). Before implying any changes, the management team and the supervisors interacted and discussed the changes. This policy was never opted in the past, but they considered it important as it was the only way to implement the changes. In the meetings, the managers discussed the problems that the company was expected to face and even asked for their advice. The managers at the company also used an open book approach through which all the employees gained access to the financial performance of the company. The above two strategies were opted by the managers at Ajax to avoid resistance to change by the employees (Hall & Hord, 2014). In every organization,

Law of International Trade Essay Example for Free

Law of International Trade Essay Introduction Coffee Beans that were bought in Sao Paulo, Brazil are to be transported to a depot based in Durham, England. The total weight of the Coffee Beans to be shipped is 1500 tonnes. At first, this may seem to be an ordinary shipment on the surface. However, when putting into perspective the amount of legalities to be fulfilled and the massive quantity of beans involved, the daunting nature of the task becomes evident. Every country has its own set of peculiar trade laws. These laws become more complex and stringent when it comes to International trade. However, while trading across boundaries, the local domestic law needs to be respected at any cost. An International trade law is a combination of the law of the land and international laws governing the transactions of goods or services across borders (Cornell, 2005). Multilateral treaties are also signed between countries to resolve disputes and effectively enforce mutually consented terms and conditions. This is done to standardize the entire process and prevent conflicts. For instance, the Convention on contracts for the International Sales of Goods  (CISG) is one such international trade agreement put forth by the UN to govern International trade operations. The different modes of transportation available for transportation need to be considered, keeping in mind a host of factors. This includes ensuring the safe transit of the beans at each and every point, right from the spot of purchase to the destination depot. Efforts also need to be made to make the process as economical as possible. The reduction in transportation charges would translate to higher levels of profit. The sharing of the costs involved in shipping the beans should be properly worked out and the decisions should be incorporated into the agreement. The point at which the seller’s liability ends also needs to be appropriately documented.   It is usually indicated by the INCO terms. Although economy in transportation is essential, it should not come at the cost of invaluable time. The goods also need to be transported within a reasonable timeframe. The laws regulating trade in the departure as well as destination points need to be properly interpreted, in order to avoid confusion at a later point of time. This calls for relevant paperwork which would certify the legitimacy of the whole process. To start with, the whole process needs to be broken down into different steps. The purchase of coffee beans can either be from a manufacturer or a wholesaler. Relevant proof of purchase provided should be provided by the seller, after receiving the agreed price. Other export licences should be purchased, in order to ship them to the depot in Durham. Then, the purchased beans are moved to a warehouse. Since the purchased goods are quite voluminous and bulky, transporting the goods through best the most cost-effective solution. However, the goods from the seller’s premises have to be transported to a warehouse. A warehouse is usually an empty storage with adequate facilities for moving goods. It is used by manufacturers, businesses, importers, wholesalers, exporters and customs agency to intermediately store goods. The seller would have to notify the buyer about the estimated time of arrival. The seller would also have to provide necessary proof documents of each stage involved in the carriage of the goods. A host of expenses are usually incurred during the carriage of goods from one country to another. This includes expenses incurred in Warehouse storage and labour, export packing, loading charges, inland freight, terminal charges, forwarder’s fee, vessel loading charges, charges upon arrival, ocean/ air freight, excise duty, taxes, customs and charges upon delivery at the destination. While carrying out International trade, the main concern is the surety of obtaining payments within an acceptable period of time. This concern is addressed by the concept of Documentary Credits. Documentary Credit is a system by which the buyer instructs his bank to pay the seller. On the basis of customer trust, the bank transfers the funds to the seller’s bank account on the behalf of the buyer. However, adequate documents in support of the concerned transaction will have sent from the ship to the seller’s bank. After verifying these documents, they are sent to the buyer’s bank for further processing (Fraud Aid, 2005). In this arrangement, the bank becomes the primary obligator, thereby promoting healthy International trade by eliminating doubts and concerns about payment. The written instruction given by the buyer to his bank is also commonly known as letter of credit (L/C). The International Chamber of Commerce has defined some internationally recognised trading terms. These terms are otherwise referred to as INCO terms 2000. These trading terms are commonly used during the overseas transportation of goods. They are used to indicate whether it is the seller or buyer that has to produce the required documents essential for carrying out trade on a global scale. The INCO terms should be followed by the named place mentioned in the contract (International Business Institute, 2000). The named place in this case is Durham, England. These terms are capable of designating the liabilities as well as rights of each party involved. Incoterms 2000 ‘Ex Works’ refers to type of delivery where the entire cost and risk of transporting the goods from seller’s premises to the final destination is borne by the buyer. This model is highly beneficial to the seller, since there is no risk involved. The seller does not even have to take up the responsibility of loading the goods from his premises, as the only obligation will be to make goods available. The relevant invoice and testimonials mentioned in the contract will also have to be provided by the seller. The short term for Ex Works is EXW. ‘Free Alongside Ship’ transfers the risk and cost of transportation when the seller transports the goods to the quay, alongside the ship. The abbreviation for Free Alongside Ship is FAS. In ‘Free Carrier’, the responsibility of ensuring the safety of the goods ends for the seller when the goods are handed over to the Carrier’s custody at a mutually agreed location. This location is referred to as the named point. In Free On Board, the seller bears the liability until the goods are put on board the ship at the Port of shipment. The port of shipment is mentioned in the contract. From this point, the risk transfers to the Buyer. This is commonly known as FOB. In Cost Freight (CFR), the seller ships the goods to the named Port of destination mentioned in the contract, by paying the freight charges. The buyer then takes up complete responsibility when the goods pass over the ships rail at the Port. The conditions of Cost Insurance Freight are similar to the previous one. However, the Seller has to take the additional responsibility of paying the insurance premium on the buyer’s behalf. This is denoted by CIF. The seller has to also incur expenses in insuring all the risks until the named destination, in the case of Carriage Insurance Paid (CIP). When the seller bears the freight charges of the goods until they reach the mutually agreed location, it is mentioned as Carriage Paid (APT). As soon as the goods reach the first carrier, it becomes a liability of the buyer. In Delivery at Frontier (DAB), the seller bears the charges and liabilities until the goods enter the Frontier.   When the goods reach the Customs process, it risk transfers to the buyer. Delivered Duty Paid (ADP) is most favorable to the buyer, since the seller will bear all charges incurred in delivering the goods to the buyer. Delivered Duty Unpaid is similar to ADP, with the exception of import duty and other official import charges that are borne by the buyer. In Delivered Ex Ship (DES), the responsibility and cost of transferring the goods passes from the seller to the buyer when the ship carrying the goods reaches the destination port. It will be the buyer’s responsibility to discharge the goods.   Delivered Ex Quay (DEQ) is of two types; Duty Paid and Duty on Buyers Account. The seller has the obligation to deliver the goods in the quay of the destination port. Either the buyer or the sealer takes up the responsibility of the paying the duty, according to the initial agreement. Farther considerations Many factors have to be considered when it comes to structuring a carriage contract agreement. There are three forms of carriage; common carriage, contract carriage and private carriage. Common carriage is a type of carrier service catering to the general public to perform common transportation services. These services have to be authorized by various government regulatory agencies. The tariffs that are charged for the service lawfully demanded locations are held by these agencies. Contract carriage involves transportation services to an unlimited number of posts. These agencies also have to get necessary authorization from the same agencies. Relevant contracts consisting of details about the minimum rates and charges are filed at different granting agencies and. Copies of this contract are also retained at the facilities of the shippers as well as the carriers.  Private carriage offers transportation services to business enterprises.   This service is for meant for manufacturers and distributors that transport their goods in their private vehicles driven by their own employees. It is also commonly known as shipper-carrier. The ‘distinct needs’ provision takes care of distinguishing the different carriage types. It is very essential to distinguish between a normal contract and a carriage contract; failure to accomplish this could result in several liability issues on both sides. This distinct needs provision helps to distinguish a carriage contract from a regular one. This provision incorporates certain unique terms and conditions including specific requirements of a shipper and the obligations that need to be satisfied by the contract carrier. Some of the commonly mention distinct needs in a carriage contract agreement are price adjustment clauses, terms of credit, incidental transportation charges, cargo transfer charges and specific delivery schedules. However, the shipper should truly comprise these unique services if they are mentioned. A certain degree of reasonableness should be allowed while dealing with carriage contracts. First of all, one has to understand various shipping term in order to comprehend the shipping rules better. ‘Carrier’ is a term used to refer to the person who signs the contract of carriage with a shipper. It is usually the owner or charterer who hires a ship to carry their cargo, passengers or other goods. ‘Shipper’ refers to the person who pays money to the carrier to transport his goods (Arnold, 2003). Hence, the term ‘shipper’ may either refer to the buyer or the seller of the beans, depending upon the INCO term in use. Carrier is the company or agency which undertakes to ship the beans from Brazil to England. The Contract of carriage will apply to agreements mentioned in the bill of lading or any similar document that concerns the carriage of goods by sea.   The term ‘goods’ is used to refer to wares, merchandise and other articles. However, live animals are not included in the goods category. Goods such as brandy and gun powder were classified as dangerous goods. The validity period of the Contract of carriage starts from the time of goods being loaded until they are unloaded from the ship. Hague Hague Visby Rules Hague rules were framed by the International Convention for the Unification of Certain Rules of Law relating to Bills of Lading and Protocol of Signature. It came into effect on 25 August 1924 in Brussels. It was an effort to constitute a minimum mandatory liability for carriers, since most of them were evading the liability due to loss or damage of cargo. According to the Organisation for Economic Co-operation and Development   (OECD), this was a move by the International community to fabricate a fair system for the shipper as well as the carrier. Even today, these rules act as the foundation for framing marine trading laws for a majority of the nations around the world. According to Hague Rules, the carrier will be liable to bear the cost of damaged or lost goods only if the shipper is able to prove that the shipper’s lack or absence of diligence. However, the carrier would not be held liable if the ship was unseaworthy. The carrier will also lose the liability to compensate for the goods, when the damage is caused by a natural calamity termed as ‘Act of God’ or a fire accident which is caused to due to any reason other than a fault in the carrier vessel. The carrier will also not be liable for damages caused due to the act of terrorists, war or and other anti-social elements like pirates. The carrier would not be responsible for a delay in the delivery of goods, if the delay was caused due to an emergency situation like lockouts, quarantine operations or public strikes. The shipper would not be able to claim damages from the carrier, even in the event of neglect of the duty by the employees of the ship.    Hence, this enabled the carrier to get away with liabilities arising as a result of errors made by the people working on board such as mariners and the carrier’s working staff, if the carrier was in a position to prove that the ship was seaworthy and adequately and appropriately manned (Admiralty Law Guide, 2006). Since this provision lets carriers to get away scot-free, it has posed a serious conflict in balancing liabilities between the carrier and shipper. Transportation of goods involves two main types of contracts. They are Carriage Contract Agreement and Bill of Lading Contract. Carriage Contract Agreements are usually signed when long shipments are involved. It serves as a continuing contract that stands for the safe delivery of goods to promised destination. It usually covers multiple shipments that are necessary to carry out a long shipment process. The complete shipment process may involve other modes of transportation such as ground and air shipment.   However, carriage contract can not serve as a receipt of merchandise. The Bill of Lading is issued by the carrier as a proof of receiving the goods and serves as receipt of merchandise. A Bill of Lading is an agreement for a single shipment process which may be a part of a long process. In the practical sense, it is a list of expenditures incurred towards loading goods into a vessel. It is governed by all the terms and conditions mentioned in the Carriage Contract. It also acts as certificate that verifies the authenticity of the loaded goods. Further, it indicates whether the received goods were in good condition or not. Depending upon condition of the goods and packaging, the Bill of Lading is classified as Clean or Foul Bill of Lading. It also is further proof of the existence of a Carriage Contract (Wikipedia, 2006). However, the Bill of lading and Carriage Contract are completely different entities and they serve different purposes. Hence, the Bill of Lading can not be used as a Contract Carriage and vice versa. There are three types of bill of lading; straight bill of lading, order bill of lading and bearer bill of lading. In straight bill of lading, the consignee can claim damages from the consigner when the goods are not delivered on time due to defaulting or negligence of the consigner. This bill of lading is non-negotiable. In order bill of lading, the consignee can obtain delivery of goods if the consignee provides a bill and evidence showing the consigner’s interest to transfer. This bill of lading is negotiable. In bearer bill of lading, any person holding the bill of landing is entitled to receive the goods. When the consigner does not mention the consignee’s name, it becomes a bearer bill and can be negotiated. Goods that are issued with a negotiable bill of lading can be received only if the original documents are presented at the time of delivery. However, the speeding of trade and transit operations has given way to the issue of non-negotiable documents for goods, which enables the consigner to receive the goods by just presenting the non-negotiable bill of lading (Forwarder Law, 2005). Some of the standard obligations that have to be fulfilled by the consigner include providing the carrier with consignees name and address and destination of the carriage. The nature, weight, volume and the quantity of the goods to be shipped are also to be clearly stated. Even the packing and wrapping style, number of packages and any other details needed to identify the goods need to be provided by the consigner. The consignor would be held be responsible for any damages, in the event of false or insufficient details being provided. According to Article 283 of the Carriage of Goods by Sea Act (CGSA) (1924), the Bill of Lading can be issued either in the name of a particular person or the bearer.   It usually consists of the following details, 1) Date of issuing the bill. 2) Venue where the bill was signed and brought to effect. 3) Place of departure and destination. 4) Names and addresses of the consignor, consignee, carrier and the carriage commission agent. 5) The value and identification details of the shipped items. 6) Date of shipping. 7) Freight and other expenses with an indication of whether they are payable by the consignor or the consignee. 8) The conditions pertaining to the loading and unloading, type of transport means required to be used for carriage, the route to be followed, a determination of the responsibility and any other special conditions which may be included in a carriage contract. In addition to the bill of lading, the carrier also issues a non-negotiable receipt called waybill which proves to be useful in a situation when the goods arrive before the transaction documents. It is also issued when the consignee and the consigner is the same person (Evans, 2001). This option can be chosen when the consigner decides to reduce paperwork. A ships delivery order is another document that undertakes to carry goods by sea. The provisions for this document are provided by the CGSA (1992). However, this document can neither substitute a waybill nor a bill of lading. According to Article 284 of the CGSA (1924), the carrier would be required to issue a bill of lading to the consigner. Alternatively, the carrier can also give a receipt mentioning the details of the goods carried and date of consignment to the consigner. The consigner would be required to deliver the goods to be shipped at the carrier’s premises. The consigner should also produce relevant document deemed necessary for shipping. The consigner will be held responsible for any liability arising as a result of inaccurate or incomplete information in the documents provided. According to Article 288 of the CGSA (1924), Since the carrier possesses the right to examine the packaged goods and the standard of packing before the carriage, the damage of goods arising due to improper packaging is not entirely borne by the consigner; the liability is shared with the carrier. According to Article 289 of the same Act, the initial examination of the goods would require the presence of the consigner, if opening of packaging is involved. If the consigner is absent during the inspection process, the examination would progress and examination costs would be levied from the consigner. If the carrier finds the goods to be unsuitable for transit, the consigner would be informed about the same. Such goods would be shipped by the carrier only if the consigner bears the liability of damage of goods and the consigner’s consent about the same is incorporated into the Bill of Lading. Cargo Insurance compensates the shipper with losses caused due to fire, loss of cargo and damage. However, losses that can be recovered from the carrier will not be compensated by Insurance Company. It is also popularly known as Marine insurance. It is further classified into Inland and Ocean Marine Insurance. Inland Marine Insurance is issued for goods that are transported without the involving any form sea transport and Ocean Marine Insurance is meant for goods that are shipped through waterways. The three pillars of Marine Insurance are insurable interest, utmost good faith, and indemnity (Export 911). Marine Insurance is not mandatory, unless it is mentioned so in the agreement. The proof of Insurance is provided by the Insurance policy duly signed by the authority of the Insurance Company.   Generally, the insurance would cover the loss or damage of coffee beans under normal circumstances. However, the insurance would become void when the shipper tries to or succeeds in causing intentional damage. When the loss of coffee beans is meagre or caused as a result of improper packaging, the insurance would not cover the loss. According to Article 292 of the CGSA (1924), the carrier is obliged to travel in the mutually agreed upon route mentioned in the agreement. However, the carrier is expected to take the shortest route if a route is not mentioned in the agreement. However, the carrier can change course if any unavoidable situation arises and the carrier would not be held liable for any loss caused to the consigner due to the late delivery of goods, provided a genuine reason is established. The goods being transported by the carrier should be properly safeguarded. The costs incurred in achieving this objective, such as repackaging charges are solely borne by the carrier. However, this does not imply taking additional care of the goods being transported. For instance, when animals are being shipped, the carrier will not be responsible for maintaining the health of the animal by providing food and water. The same condition will stand good while transporting plants as well. However, the carrier would have to take up such responsibilities, if such conditions governing the well-being of plants and animal are incorporated in the agreement Generally, the carrier will have the obligation to discharge the goods from the ship and bear the charges incurred towards it. In the event of the agreement not requiring the delivery of the shipped item to the consignee’s facility, then the consignee would have to receive the same on a particular date fixed by the carrier. If the consignee fails to do so, then s/he would have to bear the charges incurred by the carrier for storing the shipped item. However, the consignee has the right to examine the contents before acknowledging the receipt and refuse the same, if the carrier is not co-operating. The next protocol towards the emancipation of the shippers came in the form of the Brussels protocol in 1968. It was responsible for infusing an important clause called the container clause. It enabled shippers to claim the compensation for each container specified in the Bill of Lading (Admiralty Law, 2005). As a result, this liability system came to be known as the Hague-Visby Rules. An additional protocol was added in 1979 to enhance and revise the rules. However, neither of two supplementary protocols of the Hague rules was able to effectively modify the basic liability provisions. Hamburg Rules The Hamburg rules were enforced at the United Nations Convention on the Carriage of Goods by Sea held in Hamburg on 30 March 1978. The chief objective was to enforce a system that would share the liabilities and obligations between shipper and carrier in fairer manner. However, it was only able to mildly move the liabilities to the carrier.   In addition to the terms carrier, shipper, goods and ship, a term called ‘Actual carrier’ is defined by the Hamburg rules. It refers to a person or an agency to which the carrier hands over the complete or partial responsibility of carrying the goods. The time period for claiming the liabilities caused by the carrier is also specified by the Hamburg rules. The shipper can sue the carrier for any liabilities with a two year time period from the date of delivery of the goods. This period can be extended by issuing appropriate legal declarations. However, this time period gets reduced to 90 days, in the case of a second claim after the verdict is reached for the first claim. First of all, a written complaint has to be instituted to the carrier within the next working day, in the case of apparent damage or loss. However, in the case of damage or loss not being evident, the shipper would have to file a written complaint to the carrier within 15 days of receiving the goods. In order to be in a position to claim damages due to delay, the carrier would have to give a compliant to the shipper within 60 days of the delivery. The complaint can be sent to the carrier in writing or via telegraph. Adequate facilities will also have provided by both parties to inspect and clarify these claims. If the shipper fails to satisfy any of the aforementioned conditions, he or she will not be able to claim damages from the carrier. The Hamburg rules also specify the limits for liability compensation. The compensation for the liabilities arising as a result of damage or loss can not exceed an amount more than 2.5 units of account per kilogram or 835 units of account per package. This unit is quantified by the International Monetary Fund as a result of a Special Drawing Right. If the shipper’s State is a member of the International Monetary Fund, then the units would be changed into the State’s currency on the judgment day. If the shipper’s State is not a member of the International Monetary Fund, the units would be converted according to the State’s local laws. The liabilities for delay in the delivery of goods should not be more than the total freight payable; it can be up to two and a half times the freight payable for the goods that are delayed, under the contract of carriage. Arbitrations Disputes The arbitration of these claims and general disputes would normally take place in a venue of the claimer’s preference. However, the place should be with in accordance to the stipulations mentioned. It should not be a place outside the State where the defendant’s business or residence is located. It can also take place in a State where the contract was signed or at the place of loading or unloading the goods. Judicial action may also be taken against the carrier in the same places mentioned above. It is better to insure the coffee beans before they are to be shipped onboard a vessel, due to the risks involved in transportation. Since the carriers have only restricted limitations, it does make sense to obtain insurance. Most carriers shipping from Sao Paulo to Durham, for instance ‘Xiameter’ (2006) follows Carriage and Insurance Paid (CIP) delivery. Therefore, it is better to ship the coffee beans through a reputed carrier, in order to minimise risks and complete the shipping within a desired period of time. Bibliographies ACE- Baracuda, Guide to Incoterms, http://www.ace-baracuda.com/template7.asp?pageid=26 (accessed at: 23 April 2006) Admiralty and Maritime Law Guide, International Convention for the Unification of Certain Rules of Law relating to Bills of Lading (Hague Rules), and Protocol of Signature: http://www.admiraltylawguide.com/conven/haguerules1924.html (accessed at: 23 April 2006) Briel, E. (1947) International Straits: A treatise on International law, Nyt Nordisk Forlag, Copenhagen. Brooks, M, (2000) Sea Change in Liner Shipping: Regulation and Managerial Decision-Making in Global Industry, Pergamon press, Amsterdam. Brown, E.D. (1997) Law of Sea History. Bernhardt, R. (Ed), Encyclopaedia of Public International Law, Amsterdam, Northern Holland. Brugmann, G. (2003) Access to Maritime ports, Master of Laws (LLM), Books on Demand GmbH, Noderstedt, Germany. Caron, D. (1989) Ships, Nationality and Status. Bernhardt, R (Ed) Encyclopaedia of Public International law, Vol. 11, Amsterdam, Northern Holland. Lex Mercatoria: Information on United Nations Commission on International Trade Law (UNCITRAL), UN Convention on the Carriage of Goods by Sea 1978: http://www.jus.uio.no/lm/un.sea.carriage.hamburg.rules.1978/doc (accessed at: 23 April 2006) References Admiralty Law (2005) Hague-Visby Rules. Available from: http://www.admiraltylaw.com/statutes/hague.html (accessed at: 29 April 2006). Admiralty Law Guide (2006) Hague Rules. Available from: http://www.admiraltylawguide.com/conven/haguerules1924.html (accessed at: 28 April 2006). Arnold, A (2003) Relocation Terminology. Available from: http://www.aarnold.net/terminology.htm (accessed at: 28 April 2006). Evans, J (2001) Law of International Trade, 3rd Edition, Old Bailey Press, London. Cornell Law School. (2005) International Trade. Available from: http://www.law.cornell.edu/wex/index.php/International_trade (accessed at: 29 April 2006). Export 911. Principles of Cargo Insurance. Available from: http://www.export911.com/e911/ship/principl.htm#xInstitute (accessed at: 30 April 2006). Forwarder Law. Status of Seaway Bills. Available from: http://www.forwarderlaw.com/library/view.php?article_id=237 (accessed at: 30 April 2006). Fraud Aid. (2005) Documentary Credit. Available from: http://www.fraudaid.com/Dictionary-of-Financial-Scam-Terms/documentary_credit.htm (accessed at: 28 April 2006). International Business Institute. (2000) Incoterms 2000. Available from: http://www.i-b-t.net/incoterms.html (accessed at: 29 April 2006). Organisation for Economic Co-operation and Development (OECD). Hague Rules of 1924. Available from: http://www.oecd.org/document/41/0,2340,en_2649_34367_2086825_1_1_1_1,00.html (accessed at: 29 April 2006) (2006) Bill of Lading. Available from: http://en.wikipedia.org/wiki/Bill_of_lading (accessed at: 28 April 2006). Xiameter (2006) Incoterms 2000 Descriptions. Available from: xiameter.com/content/bxrules/incoterms.pdf (accessed at: 24 April 2006).

Product and SWOT analysis of kinder bueno

Product and SWOT analysis of kinder bueno Kinder Bueno is a chocolate bar from Ferrero. Ferrero SpA is a producer of chocolate in Italian with other confectionery products. It founded by confectioner Pietro Ferrero in 1946 and based in Pino Torinese, Italy. There is a Reputation Institutes 2009 examination ranks that Ferrero is the most trustworthy company in the world. Ferrero is a private firm owned by the Ferrero family. It has been described as one of the worlds most secretive company (wapedia, 2010). Strengths The Ferrero success story as a main result of the strengths is its brands. In the Ferrero family, all best in their types: Ferrero Rocher, Nutella, Kinder Bueno, Kinder Surprise, Tic Tacà ¢Ã¢â€š ¬Ã‚ ¦ Although Kinder Bueno is a chocolate bar, it is so characteristic. Firstly, Kinder Bueno is 43g. So it is light and it easy to take. Here is an example. Chocolate is the most popular snake for peoples life. Almost of people can put some chocolate into their bags. When someone is hungry and he cannot go anywhere. The chocolate is the best choice. Kinder Bueno has two bars inside. They are detached pack. If people want to share with friend, that is a good idea. Secondly, Kinder Bueno is delicious combination. It includes crispy wafer and creamy hazelnut filling all wrapped up in smooth milk chocolate (kinder bueno, 2010). By explanation, milk is a wholesome healthy food, and the fact that Kinder Bueno has increased milk and decreased cocoa. Thirdly, Kinder Bueno has two kinds of taste: milk chocolate and white chocolate. People get one more choice. Weaknesses Chocolate market is one of the most competitive and crowded in the world, with more than 500 brands and many kinds of taste products. For any brand, they need try their best to achieve standout in such a scene is a hard job. In these companies, Ferrero does not have the price superiority. If price is a bit higher than other brands, people in Australia prefer Cadbury, Nestlà © or other substitutions. For instance, the net weight is the same such as hazelnut chocolate. The price of Kinder Bueno 43g is $1.15, but Cadbury Dairy Milk Hazelnut gives a lower price ($1.09) in Woolworths. If these two companies have the similar quality and credit worthiness, more customers may prefer Cadbury Daily Milk Hazelnut rather than Kinder Bueno. The second disadvantage is type. Now there are so many types of chocolate in the market. For example, black chocolate, milk chocolate, with fruit and so on. People not only choose with hazelnut today. So it will be reduced profit. The last one, Kinder Bueno just has one package. One package only has two bars. If Kinder Bueno has four bars or six bars each package and price decreases 5-10 cent, it will keep some customers. Opportunities Chocolate is the most popular in peoples life in Australia. Almost of people eat chocolate every day. Kinder is as a German word which the meaning is children (Kinder-chocolate.com, 2009). Today Kinder strives to provide an alternative to the traditional brands, and it has instituted itself as a strong player in the childrens chocolate confectionery market. As a confectionery brand, offering a wide range of products including chocolates, biscuits and toys. Kinder planed particularly for children. Children are important customers in the market. Parents hope their child is healthy and has a happy life. All Kinder products get free from artificial colourings and preservatives. Although there are many kinds taste of chocolate in the market, but Kinder still have more than five kinds of products. They are Kinder Chocolate, Kinder Schocolade, Kinder Surprise Eggs, Kinder Happy Hippo Cocoa, Kinder Bueno, Kinder Happy Hippo Hazelnut, Kinder Country, Kinder Shoko-Bons, Kinder Riegel and so on(12 kinds of products)(Wikipedia, 2010). Each of products has their own character. So both of points, they can keep a lot of children and parents. Anyway, Australia as important as stockbreeding, so milk is specialty in Australia. Using local milk, Ferrero SpA can get some profit. Threats Today, we can see more and more different kind taste of chocolate or different brands in supermarket. As well as we know that more and more substitutions, Cadbury, Nestlà ©, Lindt and so on. If Ferrero has no new goods or special goods, its hard to keep some customers. Today, there are some new competitors in chocolate market. Because of Kinder Bueno package is made of plastic, it can not be recycled. It must pollute environment. Product Ferrero SpA provides many brands. It excludes Nutella, it still produces many different products: the chocolates Ferrero Rocher, Confetteria Raffaello(coconut candy), Pocket Coffee, Giotto(wapedia, 2010). Kinder product series include Kinder Chocolate, Kinder Surprise Eggs, Kinder Happy Hippo Cocoa, Kinder Happy Hippo Hazelnut, Kinder Bueno, Kinder Schocolade, Kinder Country, Kinder Shoko-Bons, Kinder Riegel ,Kinder Delice and so on(Wikipedia, 2010). People can choose any taste or needs if they want. Ferrero SpA also provides other parts of goods such as drink. However no more competitors provide these different kinds of goods in the supermarkets, like Woolworths, Coles and so on. They consider the market of special customers, designing the packaging easy to open. For example, Kinder Surprise Eggs, as well as we know that children are main customers for Kinder series of products, so the packaging must to be easy to open for children. In addition, a small one is easy to take such as Kinder Bueno 43g. Ferrero SpA was established in 1946 which company has a long history. The older brand may affect consumers. When people buy some goods, they more like to choose the brand which they have heard it before. In another words, awareness index of a brand may influence people to rely and accept its goods. Ferrero has the advantage in this area. That makes Ferrero steadier in peoples mind. The Kinder brand as one successful brand of all Ferrero Brands whose has a secret the ability to convert a TRADEMARK into a strong and powerful BRAND (Brioni.G, 2009). As well as we know that children are main customers for the Kinder, so that sits in childrens minds and has a strong attachment to their hearts. Ferrero has another advantage is the packaging. About the packaging, Ferrero has two unique features make them so appreciated by consumers. Kinder Bueno is packaged in boxes with two small chocolate bars. It has individually-wrapped in order to better keep the product and allow the portion control. Another special packaging is Ferrero Rocher. Its an imaginable way to celebrate the holidays, birthday and other special day and show that special someone who you care. Some heart shaped boxes and square boxes look like so beautiful. They are clear plastic boxes. Ferrero Rocher is available in all sorts of different sized. The small size has three packs inside. The big size is called Ferrero Collection has three taste (Rocher, Raffaello and Rondnoir ) (amazon.com, 2010). It looks like so amazing. Every Ferrero series product can has a nutrition label printed in the wrapping paper. Customers can see the different number of energy, protein, fat-total and sodium in different kinds of chocolate. For example, Kinder Bueno 43g per package has two packs. So quantity per 100g has energy is 2365kj and protein is 9.3g or quantity per serve has energy 508kj and protein is 1.9g. Chocolate can get some benefits for peoples health. It clear to know that, cacao is included in chocolate which contains antibacterial agents that battle tooth decay (momscapers, 2010). The smell of chocolate can increases brain waves, making people relaxation. Chocolate also contains phenyl ethylamine which makes people mood mild. For example, people like eating chocolate who lives a year longer than those who do not (momscape, 2010). According to a study shows that 8000 male Harvard graduates of chocoholics lived longer than abstainers (chocolate, 2010). Accidentally or not, there are many oldest super centenarians in the world such as Jeanne Calment (1875-1997) and Sarah Knauss (1880-1999) were chocoholics and overpoweringly love of chocolate. Jeanne Calment habitually ate two pounds of chocolate per week, but her physician induced her to give up sweets at the age of 119 until after three years her death aged 122. These rich benefits are reason to purchase these goods. Price As we all know that price and demand are Mutual Influence. When the price increases, the demand will decrease. And when the firm finds the quantity of the consumers purchase is too low, they will try to decrease the price to improve the demand. There are two factors to influence the changing of the price. The first one is the competitors. In fact that Ferrero SpA has many mighty competitors such as Cadbury, Nestlà © and so on. Ferrero does not have the price superiority in the market. If price is a bit higher than other brands, people prefer Cadbury or Nestlà © or other substitutions in Australia. But Ferrero give special price of Kinder Bueno for customers in supermarket such as $0.99 for each one. Sometimes, it is reduced about 2 for $1.5. Some consumers who do not care the brand will choose the cheaper one as the substitutes. The other factor is the cost. Australia is a predominantly agricultural country. Australia milk is really popular in the world. If Ferrero series products use the preponderant location to reduce the cost of production, that can get a higher profit to Ferreo firm. Place The distribution component of the marketing mix focuses on the decision and actions involved in the making products available to customers when and where they want to purchase them. Ferrero using special channel which moves good from the producer to a retailer and then to customers. Ferrero firm has their own logistic team deliver their products to different retail stores and supermarkets. The three types of utilities (time, place and possession) are suitable to put in the Ferrero daily business operation. They need to analysis how long will the quantities of chocolate sell out; which location is the best place to sell to customers and estimates the number of stock to sell the products. Intensity of market coverage Kinder Bueno marketers must determine the intensity of coverage of the product should get such as the number and kinds of outlets in which it will be sold. Kinder Bueno is a convenience product, so it uses intensive distribution method to distribute their products to all available outlets. With the strong coverage of the well established local network and high quality of the support service. Ferrero products can be found in the supermarkets, school, mass retail stores, primacies, convenience stores and many other food selling storesà ¢Ã¢â€š ¬Ã‚ ¦etc. Promotion Kinder Bueno spends lots of money on the promotion part to stimulate product demand. Through different methods of promotion, Kinder Bueno can gain several benefits such as create awareness, stimulate demand, retain loyal customers to achieve companys sales goal. There are four elements in the promotion mix: advertising, personal selling, public relations and sales promotion. Kinder Bueno uses those four elements to promote its product. Advertising Chocolate is a convenience product. It is easy to buy in the market. Kinder Bueno spend huge amount of money on the advertisement to promote their brands product. The mass media such as television, radio, the internet, newspapers, magazines, outdoor display and signs on mass transit vehicles are the main tools to get the target market group attention. Personal Selling In general, Kinder Bueno is rare to use this method to promote their product. This is due to Kinder Bueno has enough image in the customers mind. The cost of reaching one person through personal selling is considerably more than through advertising. Kinder Bueno will only use this method when it lounge new products. Public relations Cause of personal or environmental reason, a lot of healthy problems are paid close attention to. The big problem is over-eating. The incidence of obesity and its rapid growth make Ferrero SpA to support food education and sponsored together with the Health and Consumer Protection Directorate of the European Commission actively (ferrero, 2009). Sales Promotion In Australia, there is almost of chocolate is being sold in the supermarket. Woolworths, Big W, Coles and Frinklin share in the mass retail store sector. Therefore, Kinder Bueno does lots of sales promotion in those supermakkets. The sales promotion includes have a special price on buying 2 or 3 items in the same time; discount ont the individual package product. Kinder Bueno also use the point of purchase material likes outside signs, window display, display racks and self-service cartons to attract attention. Conclusion Through doing the marketing mix analysis and select the target customers, companies will know the product sell to which type of customers. They can put more resources on promoting the selected target customers to receive maximize profit. Company also can set a goal and make a long term marketing plan to achieve the goal and for the long term growth of the company. Frerro SpA is one of the most successful companies on building their brand equity, positioning itself in the market and expands their product line to enhance their target customers. Reference lists Amazon.com, 2010, viewed 02/09/2010 Brioni.G, 2009, TRADE MARKS AND BRANDS, PP.2, viewed 02/09/2010 Chocolate, chocolate: Directory Of Chocolate, viewed 02/09/2010 http://www.chocolate.org/index.html Ferrero, 2009, COMMUNICATIONS POLICIES, viewed 09/09/2010 Kinder bueno, viewed 02/09/2010. Kinder-chocolate.com, 2009, Kinder, viewed 02/09/2010 http://www.kinder-chocolate.com/ Momscapes, The Health Benefits of Chocolate: Can Chocolate Benefit Your Health? viewed 02/09/2010 Wapedia, Ferrero SpA, modified 02/09/2010, viewed 02/09/2010. Wikipedia, Kinder Chocolate, modified 26/07/2010, viewed 02/09/2010

Eduard Munch :: essays research papers

Eduard Munch (1863-1944) was a Norwegian painter, engraver, and printer. He is often reputed to have been a loner and a misogynist. Many of his works revolve around a motif concerning women and their obscene vulgarity. The two works that will be described here are Vampire (1893) and Jealousy (1896). These two depict women as creatures of temptation, petty provokers of pain, and selfish enslavers of vulnerable men. To just marginally understand Munch’s hatred of women, one must read upon his tragic past. Tuberculosis killed his mother when he was only five years old; it killed his sister, Sophie (whom Munch felt closest to), nine years later. In addition to these tragic events were his unsuccessful love affairs which all together bludgeoned his faith in women. In Vampire, Munch displays a scene in which a woman seems to be embracing a man. She appears to be kissing him on the neck, but the title of the work diminishes that meaning. Although Munch intended the action of the work as just a kiss, he later changed the name to â€Å"Vampire,† possibly to capitalize on the 19th century literary obsession with vampires. The intense switch in meaning plays on the mind of the viewer very curiously. It turns from compassion for the two lovers to sympathy and sorrow for the victimized man. The woman’s red hair becomes almost demonic and the background’s darkness transforms from a sorrow-filled unity between the two figures to a desolate ambiance of confusion. The dark green in the background is tranquil, but the viewer’s knowledge of the situation happening to the vulnerable man leaves the viewer in a state of ambiguity. A peaceful image is portrayed, but the woman is literally sucking the life out of the man. The red hair can be seen as a rainfall of blood emasculating the victim. The man has been deceived into finding love where there is unhappiness. He has found the tortures of being in love. The distorted and tangled strokes in the wh ole work represent the man’s faith in love being distorted and tangled. The strokes can also portray the woman’s deception, which is so fabricated by her â€Å"loving† embrace. Jealousy also carries the tormented-man motif. In this scene, a woman is chatting with and exposing her body to a man as her husband stands by, swallowing his painful jealousy. The husband’s face is close-up and facing the viewer, demonstrating his quiet enragement.

Main Cultural Differences Between Arab and Us Managers

ISCTE – SCHOOL OF MANAGEMENT COMPARATIVE INTERNATIONAL MANAGEMENT Similarities and Differences between Arab and American Managers Predominant Characteristics 1 2 3 Leadership Style Arab Stereotype Egalitarian, emphasis on peer approval and gain personal acceptance. Consultative Ritual, display a high desired for long-term relations, affective, e. g. , appeals to emotions and feelings, concession seeking. Hard work is a virtue in the light of the needs of man and the necessity to establish equilibrium in one's individual and social life. Family and work are the center of life. Necessary to avoid chaos and to build a family-type environment.American Stereotype Materialistic likes â€Å"wheeling and dealing,† emphasis on opportunities to get ahead. Participative Direct, seeking short-term relations, emphasis on facts and logical analysis,; concessions are made on occasion. Decision Style Negotiation Style 4 Work Orientation Hard work is a virtue by itself, work is the cent er of life. 5 Attitudes Toward Organizational Authority Important to the extent that it facilitates work, less emphasis on hierarchical relations and rules. Impersonal, emphasis on results, thriving on competition, gamesmanship, calculated risks, and maneuvering, documentation is highly valued.All directions written, routine, formal, engages in manipulation of facts, which is justified through the manipulative â€Å"flexible ethics. † Seniority increases in pay are not as effective as merit, incentive awards, opportunity for advancement, and money is extremely important because it's the â€Å"name of the game. † 6 Business Conduct Highly personalized, emphasis on honesty, moral aspects, and verbal commitment, documentation is not highly regarded. Face-to-face, informal, urgent, emphasis on human interest, and stress actual case studies or examples of how programs have benefited the people.Accept longevity and seniority oriented pay increases, emphasis on recognition by the superior for a good job by the group and personal growth as a part of humanity . Motivation comes from social relations, interpersonal transactions, egalitarian value, and opportunity to get paid for helping other. Informal, generally judgment based, emphasis on human relations aspect of the individual performance. Highly subjective, selection depends on personal contacts, nepotism, regionalism, and family name. A sign of something is going wrong, used only in crisis situation. 7 Communication System 8 Reward Systems Motivational System Motivation comes from high achievement, hierarchical advancement and material gains. 10 Performance Appraisal A goal-oriented and wrapped into the organization's planning system, generally objective-based and emphasis on immediate feedback. Relatively objective, standard developed, merit and experience are considered. 11 Recruitment of Personnel Use of Management Consultants 12 Highly regarded and used frequently. Abbas Ali (1988): â€Å"A CROS S-NATIONAL PERSPECTIVE OF MANAGERIAL WORK VALUE SYSTEMS† In Advances in International Comparative Management, Vol. 3, pages 151-169. 5

Manchester United Essay

We aim to increase our revenue and profitability by expanding our high growth businesses that leverage our global community and marketing infrastructure. The key elements of our strategy are: Expand our portfolio of global and regional sponsors: We are well positioned to continue to secure sponsorships with leading brands. Over the last few years, we have implemented a proactive approach to identifying, securing and supporting sponsors. In addition, we are focused on expanding a regional sponsorship model, segmenting new opportunities by product category and territory. As part of this strategy, we have opened an office in Asia and are in the process of opening an office in North America. These are in addition to our London and Manchester offices. Further develop our retail, merchandising, apparel & product licensing business: We will focus on growing this business on a global basis by increasing our product range and improving distribution through further development of our wholesale , retail and e-commerce channels. Manchester United branded retail locations have opened in Singapore, Macau, India and Thailand, and we plan to expand our global retail footprint over the next several years. In addition, we will also invest to expand our portfolio of product licensees to enhance the range of product offerings available to our followers. Exploit new media & mobile opportunities: The rapid shift of media consumption towards internet, mobile and social media platforms presents us with multiple growth opportunities and new revenue streams. Our digital media platforms, such as mobile sites, applications and social media, are expected to become one of the primary methods by which we engage and transact with our followers around the world. In addition to developing our own digital properties, we intend to leverage third party media platforms and other social media as a means of further engaging with our followers and creating a source of traffic for our digital media assets. Our new media & mobile offering s are in the early stages of development and present opportunities for future growth. Enhance the reach and distribution of our broadcasting rights: The value of live sports programming has grown dramatically in recent years due to changes in how television content is distributed and consumed. Specifically, television consumption has become more fragmented and audiences for traditional scheduled television programming have declined as consumer choice increased  with the emergence of multi-channel television, the development of technologies such as the digital video recorder and the emergence of digital viewing on the internet and mobile devices. The unpredictable outcomes of live sports ensures that individuals consume sports programming in real time and in full, resulting in higher audiences and increased interest from television broadcasters and advertisers. We are well positioned to benefit from the increased value and the growth in distribution associated with the Premier League, the Champions League and other competitions. Furthermore, MUTV, our global broadcasting platform, delivers Manchester United programming to 54 countries around the world. We plan to expand the distribution of MUTV by improving the quality of its content and its production capabilities. Diversify revenue and improve margins: We aim to increase the revenue and operating margins of our business as we further expand into our high growth commercial businesses, including sponsorship, retail, merchandising, licensing and new media & mobile. By increasing the emphasis on our commercial businesses, we will further diversify our revenue, enabling us to generate improved profitability. The five forces model of Michael Porter looks like the following if applied to Mu Ltd.: SUPPLIER POWER High diversity of suppliers Volume is important to supplier MU differentiates of inputs Inputs have a high impact on costs and differentiation Switching costs of firms in the industry are low There is a low Presence of substitute inputs BARRIERS TO ENTRY There is quite an easy access to inputs The is a government policy promoting quite free entry in case certain registration type of requirements are fulfilled There is economies of scale High capital requirements There are strong brand identity in the succer sector of the sports industry Switching costs are high Easy access to distribution Low expected retaliation THREAT OF SUBSTITUTES Low switching costs Buyers are not highly inclined to substitute Price-performance, to a certain level, has no influence on the preffered team Trade-off of substitutes DEGREE OF RIVALRY High exit barriers Low industry concentration High fixed costs/High value added Low industry growth Low product differences Low switching costs High brand identity High diversity of rivals BUYER POWER Bargaining leverage is neither high, neither low Buyer volume upon successful times are high Buyer information can be considered high Brand identity is strong Price sensitivity is not extremely high Product differentiation is very high Buyer concentration vs. industry is low Many substitutes are available Source: http://www.quickmba.com/strategy/porter.shtml Key Performance Indicators (KPI) The other, as mentioned before, is the KPI, or key performance indicators. As the Affiliated League Club lists, the KPI of a sports klubs must be the following( p.3,http://nemjfa.homestead.com/BUSINESSPLAN.pdf ): Sound business plan Stable administration, close communication between all levels of Club Management High quality coaches at both senior and underage levels High profile and acceptance within the community Strong Club presence in schools, both primary and secondary Sound oval management, high standard of club facilities Sound financial management, expenses kept in line with income base Development of Juniors, particularly local based players Manchester United Ltd. is a very professional company, and is in possession of these characteristics. It actually needs so, if it wants to achieve its declared goal, „to be the most successful teem in football† (http://ir.manutd.com/manutd/about/bustrat/). As to the last part of the question, identifying internal and external factors, please refer back to the Porter’s Five Forces Model above Major cost categories of the company, the drivers behind these costs, and the internal and external factors that influence costs the most There are three major cost categories, those related to the operation and development of the corporate Manchester United, the costs related to the operation and development of the sporting club, and other, related costs. The corporate costs include such costs as dept and maintance costs, and costs related to the commercial activities of the company. Examples of club related cost include the compensation of the players and staff, and purchase of new players and stuff. The other costs include, for instance infrastructural costs, such as the maintance and development cost of the stadium of MU, the „Old Trafford†. The drivers of the costs of Manchester United, and the internal and external factors that influence the cost structure and levels of these cost in all the three major categories can be observed in the second part of question 1, in the Porter’s Five Forces Model. What companies are comparable companies Other English football club corporations like Chelsea and Arsenal of London, Everton, and Liverpool. Companies operating football clubs are very dinstinct from companies of other industries, and the larger football clubs are probably very similar to each other in how they conduct their business, all having some income sources, tickets, clothing, that are the same. Method most appropriate to assess the value of the company, advantages and disadvantages of the relative and the DCF methods. If we are looking at the performance of the company, probably the profitability is the measure that should be used, because it measures the efficientcy of the financial performance of the company. DCF Method: Advantages: As DCF analysis is based on the assumptions of the CAPM, it is an analytically correct valuation method. In contrast to the Comparable Companies analysis, volatile market conditions do not have an impact on the results. DCF therefore is often used as an additional point of reference. Since the discount rate is usually derived from the WACC, the DCF takes account of the relative riskiness of the projected cash flow. Accounting rules do not influence this approach, as valuation is based on projected cash flow. growth period period of stable growth. Multiples appropriate for the comparison of the company with other comparative companies, what financial and non-financial measures should be a basis of compari Probably the best multiple to measure the success of a club is the games won to the sum of tied and lost games. This is important, because the more games a club can win, the more the corporate club can achieve in its merchadising, and the more sponsors it will be able to attract. This multiple would be considered to be a non-funancial measure. A financial measure applicable to football corporations would be profitability if the company, as it, though with limmitations, measures how efficiently the club is operating. Another financial measure would be the revenues per players in a complete season. Shortcomings: Since the terminal value often represents more than 50% of the entire DCF value it is therefore highly sensitive to the underlying assumptions, especially regarding the growth component in the terminal value and the discount rate. Using historical stock returns when estimating the beta depends heavily on the choice of the index. For volatile companies the beta is very high, resulting in a relatively high discount rate and a low net present value of cash flows. Estimating a â€Å"correct† value by applying the DCF approach therefore depends to a large extend on the expertise and industry knowledge of the person doing the valuation. Moreover, the DCF approach neither considers different management options nor future investment opportunities. It only works if cash flows are subject to little uncertainty and the company is managed by a static management team. It does not capture the â€Å"true† value if there are large initial losses, highly  volatile earnings or immense initial growth rates.† (WEITZEL, GELLINGS, BEIMBORN and KÃâ€"NIG, 2003, IS Valuation Methods- Insights from Capital Markets Theory and Practice –, p.5-6.) Relative method: Advantages: As the comparable companies method is based on public information, market moods and perceptions are reflected, since it measures the relative and not the intrinsic value. Relative valuation is based upon fewer assumptions and can be conducted faster than DCF valuation. Shortcomings: The simplicity of valuation by multiples is its deficiency [Benninga/Sarig 1997, 305]. Since no value determinants are analyzed, it is important to carefully select comparable firms. Also, outside variables like mergers and acquisitions in the respective sector can influence stock prices. Figures often fail to capture intangible assets, like quality of management. Hence, CC based valuation should provide a valuable â€Å"sanity check† to assure the validity of a DCF analysis, but it should not be the only valuation method used [Benninga/Sarig 1997, 305].† (WEITZEL, GELLINGS, BEIMBORN and KÃâ€"NIG, 2003, IS Valuation Methods- Insights from Capital Markets Theory and Practice –, p.7-8.) Limitations of applying the relative and the DCF methods to the evaluation of the company, what can be done to overcome this problem There are a number of limitations of applying the relative and the DCF methods to the evaluation of the company. For instance, purchasing new players and coaches cost a lot of money; it is not rare that that amount of money reaches one million euros. As it was seen in the above summary of the disadvantages of the DCF method. A possible solution to this problem, though not very humane, the cost of these players and coaches could be depreciated over the time frame of the contract involved, just as it is done in the case of new infrastructural expenditures. In the case of the Relative method, the problem is that the progression of the team in the national, that is in the Premier League, and in the international cups and championships, were much different both in the near past and will probably be in the future also. This increases the risk of the cyclicality of the business. This cyclicality can be much different in the case of the different corporate clubs, which makes the incomes and thus other results of the companies very difficult to  compare. Links for more information Porter five forces analysis – Wikipedia, the free encyclopedia Porter’s five forces is a framework for the industry analysis and business strategy development developed by Michael E. Porter of Harvard Business School in 1979. It draws upon Industrial Organization (IO) economics to derive five forces that determi Performance indicator – Wikipedia, the free encyclopedia A performance indicator or key performance indicator (KPI) is a measure of performance. Such measures are commonly used to help an organization define and evaluate how successful it is, typically in terms of making progress towards its long-term Manchester United Official Web Site The official site with news, transfer rumours, online ticket sales, live match commentary, video highlights, player profiles, mobile content, wallpapers and more. Manchester united  Manchester United (ManU) is one of the leading football clubs in the world. ManU has won many titles in the football competition making the club to be the most successful football club in the world. The success of this club is contributed by the good management of Sir Alex Ferguson who has been the manager since 1986 when Ron Atkinson left (Official website, ManU). Introduction The football industry in UK has become popular because of the first successes in the industry, an attribute that made it a viable business. The main aim of this report is to analyze the SWOT and PEST analysis of Manchester United. From this analysis, it will be possible to identify both the internal and external strengths of the company. SWOT analysis SWOT analysis can be used to know the success factors of ManU as well as to identify the strategies to be overcome the club’s weaknesses. Moreover, SWOT analyses will enable the company to identify the opportunities to improve performance. SWOT analysis of Manchester United is presented below: Strengths The key strength of Manchester United is its well recognized brand all over  the world. ManU has achieved such good brand name by heavy advertisement through the internet, TV and magazines (Andrews, 2004). This massive advertisement has made the club to get various sponsors. This means that whenever the company raises any merchandise in the market, indicating their name and symbol, it will be identified by its funs all over the world. Strength of the club is the presence of a big fan base which has improved the financial stability of the club. This big fan base has made a very high purchase figure whenever the tickets are being sold. Furthermore, Manchester United has various distribution channels which enable it to deliver new products introduced into the market. Furthermore, these channels can be used by the Manchester United to obtained feedback from the market concerning their products and performances. Weaknesses From the website of the company, it shows that the major weakness is the products and product variety. It is evident that the company has been introducing many diverse products at different occasions. All these diverse products have been introduced from the jersey to credit cards indicating that the company has exploited the available sources of income within the company. This action needs to be researched as soon as possible so as to help the company to situate and analyze it products, adopt the use of effective instruments such as the Boston Matrix which will help the company to identify that the products are doing well in the market. Lastly, the club has been so affluent, and it is still operating on such a high level, there is a worrying within the management of the company that it will loose its origin, which has a diverse concentration of the club from football to the proceeds. Such moves might have a great effect to its fans because the fans come from all over the world. Oppor tunities Penetration of the Manchester United to the American market has been one of the major opportunities to the company. The company will in future structure its club by entering into coalition with the New York Yankees. The New York Yankees is one of the well-off teams in the world. This will assist the company by ensuring that exclusive distribution channels are established in the United States of America. Through this the company will be in a position to enter and present their products in a new market. Furthermore, the  Manchester United will be in a position to lead all the football clubs in the America, though there will be superior height of risks concerned. The managers believe that by entering a coalition with the Yankees, this threat will be reduced (CNN, 2010). Threats Manchester United operates under a great threat in this field because other big teams like Manchester City and Arsenal which are currently improving in their performances. These and other teams have become very big competitors to the club. Furthermore, the Manchester United FC has been facing internal threats to the team. There is a frequent change of leadership in the company making the club to be disunited. Nonetheless, this will affect the sale of merchandise. Lastly, the club is lacking enough finances for financing academies and junior football, so that they can train the best footballers to ensure smooth succession in the future. PEST Analysis of the Manchester United The club’s decision has been affected by macro-environmental factors such as the changes in taxes, new laws, demographic changes and the changes in government policy. The managers of Manchester United can classify these as the political, economical, social and technological factors. Political factors This comprises of the laws which govern the issues affecting the activities of the club. Currently the team is undergoing a problem of paying out its debts which amount to $1.5 billion, a figure which was misappropriated by the greedy owners. The fans of Manchester United from England are preparing to join their efforts to force legislators to consider pro-football legislation in parliament which will aim at fighting the total arrears which has not being paid because of corrupt owners who misuse the funds of the club. Such an action has exploited the loyalties of fans of Manchester United. Economical factors The club has boosted the economy through employment opportunities which have been created to the players and the officials. The positive effect of Manchester United FC is felt globally because they employ the best players globally. Secondly, this soccer club has been a catalyst in the regional development because of the positive financial flows which are generated by the supporters of the team across the world. Lastly, the club has a positive influence on the economy because its officials are thrown from all over the world. These officials spend an average of 15on basic needs such as food, drinks etc. in a single match. If the supporters are from foreign countries they bring in foreign currencies which will eventually boosts the Balance of Payments in the country Technology Technology has contributed positively to the foot ball games since the players are capable of playing at night due to the availability of electricity. Furthermore, technology has facilitated various people from different parts of the world to watch football irregardless of there locations. Technology has facilitated fans of the club to obtain information from the internet concerning the performances of the company. This has benefited those Manchester United fans to get updates incase they had missed to watch the game. Social Manchester United just like any other football team has united many people especially the funs of football. People have interacted all over the world because of football. People from different age groups normally watch football because it is either their favorite game or because they want to watch just for leisure. Football has become part of the society in the current world, everybody in the world talks of football, either English Premier League or the world cup championships. This is very important since it has affected the society in a positive way i.e. it can create employment in the region. For example, the world cup will be in South Africa this year. The South African government will collect a lot of revue in terms of taxation, sales of tickets and any other taxable stuff. This will have close relationship with the social cultural factors though indirectly (Masterman, 2009). Manchester United has contributed a lot in the context of the social cultural factors as it employs play ers from different parts of the world. They normal select stars from different leagues and employ them. From a research done by Masterman, Manchester is the leading club in the payment package they offer to its employees. Business strategy The team has carried research concerning their product development in the market. This is very important as it will help the team to improve their performance in their product in the present market before strategizing on how to enter the new market. Conclusion Manchester United is the leading team in the football industry and to maintain this position, they have to focus on the market and the needs of its clients and followers. The company has further improved on their product through carrying research; these improvements have brought success in the club and improve the support of the team. The board of directors has also done their best by employing the best players to represent the club. This will make the team to perform well in the field whenever they have a game. Furthermore, these directors ensure that the discipline is well maintained in the company because the fans and its competitors are closely watching what is going on in the company. Bibliography Andrews, D. L. (2004) Manchester United: a thematic study. Routledge: UK. Barthold, D. 2009. The Business of European Football. GRIN Verlag, (3). Pp 36-38 Masterman, G. 2009. Strategic Sports Event Management: Olympic Edition Hospitality, Leisureand Tourism Series. Butterworth-Heinemann, (2). Pp 65-67 Manchester United. 2008. The Official Manchester United Annual 2009 Official Manchester The Manchester United Football Club is one of the most popular football clubs in the world. This English football club has its base at Old Trafford Stadium, which is located in Trafford, Greater Manchester. Manchester United is the founder member of 1992 Premier League. Being the second most successful team in the entire history of English football, Manchester United Football Club has over 330 million fans globally. The club has been participating in the top division English football since 1938. The Manchester United Football Club is also popular by its nickname, â€Å"The Red Devils†. In November 1986 when Alex Ferguson became the manager of the Club, Manchester United reached to the peak of success and won 20 major titles. The Manchester United Football Club has won the Premier League and First Division 17 times and is trailing behind Liverpool by just one title. Manchester United became the first English Football Club to win the European Cup in 1968. The Club has the record of winning maximum number of FA Cup titles. From late 90’s until date, Manchester United remains one of the richest football clubs with a total value of  £897 million. In 1998-99, Manchester United became the first ever and the only club to win the Treble. In the year 2000, the club became a founding member for the G-14 group. This is a group of the Big European football clubs. In the year 2005, American businessperson Malcolm Glazer took a controlling interest in Manchester United. With the Red Football Ltd as the investment vehicle, Malcolm took 75% control of the club and the club was de-listed from the Stock Exchange. Initially the jersey of Manchester United was yellow and green in color but in 1902, the club changed it to red jerseys with white shorts and black socks. Manchester United has sponsorship deals with various companies. AIG, Nike, Audi, Budweiser, Betfred, Xfm Manchester are some of the sponsors for the club. The Manchester United football club has its own football ground at Sir Matt Busby Way, Old Trafford, Greater Manchester, England. The stadium opened on 19 February 1910 and the total capacity of the stadium is 76,212. It is a difficult job to determine the greatest rival of Manchester United Football Club. According to some people, Liverpool is the biggest rival of Manchester. Leeds, Manchester City and Arsenal are also the other known rivals of the Club. So far, the Club has bagged 3 European Cup/ UEFA Champions League, 1 UEFA Cup Winner’s Cup and 1 European Super Cup. Manchester United Football Club has also won 1 Intercontinental Cup/ World Cup Championship. Facts:  · 5% of the world population is the supporters of Manchester United Football Club.  · The Club has won 10 Premier leagues, 7 First division leagues and 2 Second division leagues.  · Manchester United won 11 FA Cups, 2 League cups and 16 FA Charity/Community Shield. In the next few articles, let us understand about the sports team’s brand-building strategies. The most common strategy followed by most of the teams is: Sponsorship with other global brands  Being associated with other international brand names lends global presence to brands as they go worldwide. If we talk about the most richest soccer club, Manchester United, they have 44 official sponsors associated with the club. One of the biggest tie up then in the year 2002 was Manchester United’s tie up with Nike. Both Manchester United and Nike gained in global stature after the announcement of their global tie-in 2002. Now such is the case that Nike has to discuss a  £303 million kit supply deal with Manchester United and they might well have to anyhow shell out this huge sum of cash if they want to maintain their association with Manchester United. One month from now, this strategically important meeting will be talking place and the American sport wear company will have to come up with an enormous sum to satisfy the club’s owners. The ‘Swoosh’ logo has adorned some of the greatest teams and players in the history of the game, including Manchester United legends Eric Cantona, Ruud van Nistelrooy and Cristiano Ronaldo. Of the current squad, Wayne Rooney, Javier Hernandez, the Da Silva twins, Chris Smalling, Patrice Evra, Paul Scholes and Rio Ferdinand all wear Nike boots along with the standard kits. In recent years, Manchester United has formed commercial alliances with a number of global players in other industries: Vodafone, Pepsi, DHL and Aon were all added to the clubâ₠¬â„¢s sponsorship list. Under these arrangements, the club gains from sponsors’ international reputations and sponsors gain from their association with a such big sports brand. And Manchester United is talking full advantage of this to reach out to new segment of soccer fans and in turn helping in strengthening its brand equity. In July, United announced a staggering  £357 million deal with General Motors for the Chevrolet logo to be worn on their shirts for seven seasons from 2014. Chevrolet’s eight-year partnership with Manchester United kicked off this summer with a series of friendly matches, bringing the world’s favourite football team to their fans in South Africa, Europe and China. The support for, and commitment to Manchester United and its passionate fans worldwide will go far beyond the pre-season games as General Motors look to join the fans in celebrating all that is beautiful about the game. One of the biggest logistics company which is present in 220 countries and territ ories worldwide has tied up United in 2011. DHL were made responsible to undertake a range of logistics services on behalf of Manchester United for three years. Just like DHL, Manchester United stands  for passion, teamwork and can-do spirit. And it’s those same characteristics that have enabled both DHL and Manchester United to remain at the top of their game and thus join together and build its brand. The last two deals done recently by Manchester United were with the two sponsors from China (Wahaha, a soft drinks manufacturer and China Construction Bank (CCB). Both have tied up for a three year deal. CCB will hold the exclusive rights to produce the official Manchester United branded credit card in Mainland China. Wahaha has been the largest beverage producer in China for the past 11 years and will be the club’s first official soft drinks partner in the country. This is just one of the many strategic decision taken by this 135-year-old soccer club from Britain. In the coming article, I would write about Manc hester United’s Asian Strategy, mainly highlighting its entry into the Indian market.

Social Media Approval Process How to Build the Best One For You

Social Media Approval Process How to Build the Best One For You Trying to approve the numerous social media posts your try to publish every day is exhausting. The time it takes for your content to get approval all the way up your ends up costing the precious time your team needs. With a social media content approval process, your team will get back that much-needed time and publish content faster and easier. In this blog post youll learn: How to create your social media approval process How to plan out your teams time by tracking how long it takes to complete projects How to save your teams time by shortening your approval processHow to Create the Best Social Media Content Approval ProcessHow To Create Your Own Social Media Approval Process Creating your own social media approval process will take time. Remember before we start, that the social media approval process that we create for this example may look different then the one you create for your team. Thats okay! Lets get started. 1. How Much Time Do Your Higher Ups Need To Approve Content? If you have to send content up to your boss (or another level or two above them) it's going to take a while for that content to make its way up the ladder. Which means you need time. Talk to your boss (or their boss), and help determine how much time it will take them to review a standard social media campaign. For us, a standard social campaign contains: 1 Facebook post 10 Twitter posts 3 Pinterest pins 2 Google+ posts 2 LinkedIn posts Your campaigns could contain more Facebook posts, fewer tweets and more pins. How you build your campaigns will be determine by your audience, and where you want to concentrate your efforts. To keep track of what your standard social media campaign looks like, download our social media approval process workbook, and follow along with this post to fill it out. So if your social media manager takes three days to look over that content, your marketing manager takes 5  days to review that content, and your CMO takes seven  days, you have to send your content to your managers at least 15 days before publish. Time for approval may change if your standard social media campaign changes so don't be afraid to adjust times for different numbers of posts. Recommended Reading: How to Crush Social Media Campaign Planning How Much Time Does Your Social Media Specialist Need To Write All That Post Content? Now that you determined how much time your managers need to approve content, you need to figure out how much time your social media specialist needs to write that content. Again, we're going to use our standard social media campaign post numbers for this example. So you know that for our social media specialist writing social posts takes: 20 minutes per Facebook post 10 minutes per Twitter post 15 minutes per Pinterest post 10 minutes per LinkedIn post 10 minutes per Google+ post So with that information in mind you can continue filling out the workbook. With our social media campaign set you can estimate that it would take your social media specialist about 3 hours to complete the writing for the campaign. A little less than half a day. Recommended Reading: The Best Social Media Copywriting Guide to Be a Social Word Ninja 3. How Long Does It Take Your Media Team To Create Video/Graphics For Your Social Campaigns? As a final step to your planning, you have to figure out how long it takes your media and graphics team to work through and create their content. For some campaigns, this process could take much longer than the writing and approval process combined. Graphics + Design Let's start with your design team. So let's pretend that we need a standard graphic for each one of our example social posts. 1 for Facebook 10 for Twitter 3 for Pinterest 2 for LinkedIn 2 for Google+ That's 18 graphics. Now say those graphics, on average, take about 30 minutes a piece to design and 20 minutes to edit. That's about an hour per graphic. If we went by our example, it would take one graphic designer about 2 and a half days to complete the designs for one social media campaign. So what's the fix? Talk to your designers about the different kinds of graphics that they've created for your social media sites including: Static Images GIFs Infographics Have an estimate created on how much time it will take your designers to complete each image. By recording those estimated times you know: How far in advance you need to talk to your designers What types of graphics you have available for each channel Recommended Reading: How to Make the Best Social Media Images the Easy Way (+84 Free Images) Social Media Video How long your video can be on certain social sites will vary, so make sure you triple check those times before talking to your video team. Facebook Time Length: 45 minutes Twitter Time Length: 2 minutes and 20 seconds Instagram Time Length: 60 seconds Pinterest Time Length: no limit Google+: 15 minutes (but they can be longer since you can connect your Google+ and YouTube accounts) LinkedIn: no limit So if you go back to our example, we would need either: One video that is no longer then 2 minutes and 20 seconds long to fit all the channels Five different videos that can vary in length So how does that look in our workbook? Talk to your video team and layout the different video lengths you would need for each channel and the time they think it would take to film. Now are you ever going to have a 45 minute Facebook, probably not. But once your team knows how long it will take to film a five-minute video for Facebook, they'll know how long it will take to film a five-minute video for Google+. Once your video team can estimate filming time, they can move on to editing. It's important to include both times as it may take your team longer to edit a video then it did to film it. So for this example, we would need to let our video team know about the social media campaign 7 days before it needs to go to the first manager for approval. Recommended Reading: How to Get Started With Twitter Video Marketing How to Do Facebook Video Marketing the Right Way Transfer All Your Data Into An Approval Process So now that you have all your teams on a deadline, it's time to transfer all of that into an approval process. Our example would look something like this. Video creation and editing (23 days before publish) Graphics creation and editing (19 days before publish) Write social posts (18 days before publish) Approve content by Social Media Manager (16 days before publish) Approve content by Marketing Manager (13 days before publish) Approve content by CMO (8 days before publish) Publish content (0 days before publish) Looks pretty good huh? But that process means you still need to plan your content at least a month in advance. What if I told you I could make that process faster? How To Shorten Your Approval Process You can cut your approval process time in half. I'm not kidding. Wanna know how? Cut Out The Need For Your Content To Go All The Way Up To Higher Management If you're a CMO reading this, (and even if you're not) you probably know how long it takes to get the social content you need to see approved. It takes even longer if your team is trying to publish a lot of content. Shortening the approval process and cutting out the need for upper management to make smaller decisions not only free's up your time, it free's up your team's. In fact, The Harvard Business Review did a whole article on how a 4-step process can help your senior management team make decisions. But, you may think to yourself, letting my team role with the punches is nerve-wracking. Look at what happened to Sea World, Applebees, and Cracker Barrel. Sea World has a disastrous social media campaign that completely backfired on them. Applebees faced an angry mob and instead of fixing the problem, pour gasoline on to the flames. And then there's Cracker Barrel. They still have yet to respond to the extreme social media backlash they faced when they refused to answer a question posed by the husband of a fired employee. All of these companies bounced back, but the internet never forgets what happens with social media. It becomes vital that your team is vigilant, careful and incredibly observant of trends and what's going out on your social pages. This might make you panic and never want to send another social post without an extreme approval process. You can counter those fears by thoroughly training your team. Show them what you expect your social posts to look like, how to spot and correct errors, and what to do if something does go wrong. By showing your team how to correct the work and make decisions without you, you're empowering them to get more done. If you needed even more reason to remove yourself from the approval process, remember this. As a leader you're not judged by the product your produce but by your team. If you're able to show that your team is not only effective but extremely efficient, what better win for you is there?

Marketing Campaign for a 3 stars resort with and innovative concept in Mallorca

Marketing Campaign for a 3 stars resort with and innovative concept in Mallorca Resort description Resort All Inclusive is a 3-stars hotel that recently entered the Mediterranean Basin hotel industry. The hotel is strategically located at Mallorca Island. The hotel industry in Mallorca has been characterized by rampant growth over the past decades as a result of increment in the rate of tourism in the region (Buswell, 2009).Advertising We will write a custom essay sample on Marketing Campaign for a 3 stars resort with and innovative concept in Mallorca specifically for you for only $16.05 $11/page Learn More Decision to locate the resort at Mallorca was motivated by the need to exploit the tourism resources in the Mediterranean Basin. According to Buswell (2009), Mallorca is characterized by physical resources that are significant in development of tourism. The main resources include beaches, vegetation and fascinating mountains. To attract both local and international customers, Resort All Inclusive is committed at ensuring that client s attain a high level of customer satisfaction. To attract and accommodate a large number of customers, the resort has 4 buildings that have a total of 600 rooms. The rooms are specially designed and furnished to give an appealing ambience. Jenkins and Pigram (2006) are of the opinion that resorts should offer a range of leisure, shopping, transport, recreation, accommodation and entertainment facilities. Inclusion of these components is fundamental in attracting and retaining tourists. This arises from the fact that customers have diverse tastes and preferences. Firms’ management team should undertake a comprehensive market research in order to develop a comprehensive understanding of customer needs. The research should focus on both the consumer and the competitor. The resort has incorporated a number of entertainment facilities which include a football courtyard, table tennis, 4 swimming pools, a volleyball court and a mini golf court. Additionally, the resort is also cons tituted of 3 restaurants, 1 oriental thematic restaurant, 3 bars, a pizzeria, snack bar and a barbecue.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Corporate mission Most businesses derive their success from adhering to the set objectives and principles outlined in their mission statement. The mission statement guides the various activities undertaken by businesses (Kazmi, 2008). In the course of its operation, the resort is guided by an effective mission that entails providing unique hospitality experience to customers. The resort intends to achieve this by offering high quality services to customers in addition to promoting a business environment that is fosters a high level of friendship, openness and comfort. To improve its public image, the resort has incorporated the principles of environmental responsibility and sustainability. Objectives and goals One of the aspects th at the resort’s management team has identified being critical in its quest to attain competitiveness entails creating sufficient market awareness. Consequently, the resort intends to develop a comprehensive marketing campaign. The campaign is aimed at attaining a number of financial and non-financial objectives as outlined below. To provide the resort’s owners with reasonable return on their investment. The firm intends to achieve this by increasing the firm’s sales revenue with a margin of 20% within one year after launching the marketing campaign. To continuously increase the resort’s growth in sales revenue during the summer and winter months and attain global market awareness in 3 years. To create new revenue opportunities by diversifying its source markets. To double the size of customer base within 5 years. Segmentation, targeting and positioning According to Jenkins and Pigram (2006) market segmentation is ranked amongst the most important strate gic management concepts in marketing. Segmentation entails dividing the entire market into small and distinct components depending on variables such as buyer characteristics and customer requirements (Havaldar, 2010). Market segmentation is very important in ensuring that a particular firm effectively addresses the target market needs.Advertising We will write a custom essay sample on Marketing Campaign for a 3 stars resort with and innovative concept in Mallorca specifically for you for only $16.05 $11/page Learn More One of the ways through which market segmentation achieves this is by formulate effective marketing strategies. There are various variables that firms can use in the process of segmenting the market. One category of variables includes demographic variables. Johnson, Scholes and Whittington (2008) define targeting to include the process of assessing the most optimal market segment to select. Upon determining the segmentation and targeting stra tegies to be incorporated, it is fundamental for marketing managers to ensure that a clear and appropriate image with regard to the firm and its products or services is developed amongst consumers. To achieve this, marketing managers are charged with the responsibility of ensuring that effective positioning strategies are incorporated. Johnson, Scholes and Whittington (2008) further define positioning as ‘the process of designing distinctive offerings and images for target markets’ (p. 261). Over the past decade, Mallorca hotel industry has become very competitive. Intense competition is mainly evident in the 3-star sector. According to Buswell (2009), 55.2% of hotels in Mallorca were 3-star hotels. However, by 2008, the number of 3-star hotels had declined to 52.8%. This shows that 3-star hotels have lost some ground. One of the factors that have led to decline in the number of 3-star hotels relates to emergence of 5-star hotels which have gained substantial publicity. However, their market share is relatively small (Buswell, 2009) Considering the above changes in the hotel industry, it is important for the resorts’ management team to institute effective segmentation, targeting and positioning strategies.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More To attain competitiveness, Resort All Inclusive has adopted demographic variables in segmenting the market. Segmentation will aid in determination of the most effective methods to incorporate in its marketing campaign. The firm segmented the market on the basis of social class. The three main social class constructs that will be considered include lifestyle, income and occupation. To increase its profitability, Resort All Inclusive will target tourists, the business community and visiting business travellers in the Island. The resort will also target high-end consumers who have a relatively high income and have incorporated leisure in their consumption process. To maximize sales revenue, the resort will target both domestic and international tourists. To appeal to a large number of potential customers within the target customer groups, the resort has developed an effective positioning strategy. The positioning strategy entails differentiating the services provided thus increasing th e probability of customers attaining exceptional experiences. Exceptional value will be attained by incorporating the concept of value addition. The resort intends to position itself as a 3-star plus hotel that is strategically located and committed towards provision of differentiated services that will lead in customers feeling respected, appreciated and valued. According to O’Quinn, Allen and Semenik (2009), advertising campaigns are fundamental components in firm’s effort to create awareness of their brand. Advertising campaign Resort All Inclusive; â€Å"Stay Resort All Inclusive, Go Everywhere†. â€Å"Go Chill†, â€Å"Go Foodie† and â€Å"Go Refresh†. Media plan The firm appreciates the importance of incorporating an effective media plan in the advertising campaign. According to Drewniany and Jewler (2008), hoteliers should undertake an optimal selection of the media to use in the advertising campaign in order to achieve the intended o bjectives. The campaign will be conducted through both traditional and emerging advertising mediums. Some of the traditional mediums used include posting the advertising message in travel magazines, business dailies and newspapers. To appeal to customers, the firm posts the ad message and images on bill boards that are strategically located. The message is also conveyed to customers through television and radio adverts. The adverts are also posted on the firm’s website and social media such as You Tube and Facebook in order to reach a large number of potential customers. The media plan used by the firm has been very effective in attracting customers. This arises from the fact that it effectively communicates the unique quality of products and services offered at the hotel. By patronising the hotel, customers are guaranteed maximum satisfaction. The satisfaction is derived from the wide range of products offered. Different foods and drinks that are prepared by qualified chefs are offered in the 3 restaurants in the resort. Consequently, customers’ tastes and preferences are taken into consideration. The hotel rooms will be fitted with necessary technologies such as Wi-Fi, and free internet in order to cater the needs of business customers and tourists. In effort to appeal to a large number of potential customers, Resort All Inclusive has also adopted use of video in its media plan. The firm posts videos and images of the hotel and the products provided on various mediums such as magazines newspapers, it official website, You Tube and Facebook. Posting images and videos related to Resort All Inclusive products and services such as the sporting facilities, foods and drinks on the internet significantly influences the target customers in their decision making process. The hotel room image below is one of the images posted on the firm’s website, Facebook and You Tube. This plays a significant role in attracting potential customers by appealing their emotion. Public relations campaign In addition to the ad campaign Resort All Inclusive is committed at developing a strong customer relationship. Gregory (2000) asserts that public relation campaigns are fundamental in developing customer relationship. Considering the fact that the resort is located along the Mallorca Beach, the hotel hosts kite surfing events dubbed ‘Resort All Inclusive, Leisure with a difference†. The event is usually held during the summer and winter seasons. The event is comprised of various surface water sports which include paragliding, windsurfing, extreme sports, gymnastics and wakeboarding. The event attracts different water sports fans within and without Mallorca. Additionally, the hotel also hosts other sports events such as football, table tennis and tennis. Some of the celebrities that the events attract include Roger Federer and Rafa Nadal. The celebrities play an important role in endorsing the event. In the process of making their consumption decisions, consumers are influenced by celebrities. This explains why Resort All Inclusive has appreciated the importance of endorsements of its products and services by renowned celebrities. The event is very famous that it attracts both domestic and international sports journalists who cover the event. Consequently, the resort has been able to develop sufficient market awareness both domestically and internationally. Upon introducing new products and services or improving the existing products, Resort All Inclusive conducts press conferences. The press conference is aimed at creating awareness to target customers regarding the new products and the improvement undertaken. In the press conference, Resort All Inclusive explains the benefits that customers will derive by consuming the new products or services. Both domestic and international journalists are invited in order to create awareness to large number potential customers. According to Marchand (2000), press confere nces are an important element in firm’s promotional and public relations efforts. To improve its effectiveness in developing a strong customer relationship, the resort also undertakes electronic public relations campaign. To achieve this, the firm has developed a Wiki and a Blog through it interacts with its customers. These tools provide customers with an opportunity to communicate their opinion regarding the services provided by the firm. On the other hand, Resort All Inclusive is able to clarify various issues that arise from the market. Consequently, Resort All Inclusive is able to access market sentiments hence undertaking the necessary product and service improvements. Upon launching an advertising campaign and public relations campaign, the resort’s management team objective is for the campaign to run for one year. It is the objective of Resort All Inclusive management team that one year is sufficient to create the desired level of market awareness. However, the firm is cognisant of the need to ensure that consumers are constantly informed. Consequently, the firm allocates a substantial amount of money in its budget for the campaign. In this campaign, the firm has allocated $2 million to cater for the campaign. Despite the cost involved, the advertising campaign is very effective in enhancing the firm’s long term survival (O’Guinnn, 2009). Conclusion There is a high probability of Resort All Inclusive succeeding in attaining a substantial market share in the 3-star hotel industry in Mallorca. This arises from the fact that the firm is committed at creating sufficient market awareness. The advertising and public relations campaign have been very effective in influencing the consumers in their decision making process. From the analysis conducted, it is evident that Resort All Inclusive hotel is committed at increasing its sales revenue by undertaking a comprehensive advertising and public relations campaign. The objective of th e ad campaign adopted by the resort will enable the firm to continuously develop sufficient level of market awareness amongst the target customer groups. The firm will derive its success from the effectiveness with which it creates market awareness. By adopting the above advertising campaign, there is likelihood that the resort will attract both domestic and foreign customers. This arises from the fact that the resort will continuously appeal to its target customer groups hence influencing their purchase decisions. The use of traditional and emerging marketing communication mediums will create awareness to a large number of potential customers. Consequently, the firm will increase its customer base. The public relations campaigns will improve the effectiveness with which the firm interacts with its customers. The sporting event attracts numerous sports athletes and fans hence improving the resorts publicity. To determine the effectiveness of the advertising campaign, Resort All Incl usive undertakes continuous review of the campaign. The review aids Resort All Inclusive in the process of making the necessary adjustments hence improving its effectiveness. Reference List Buswell, R. (2009). Mallorca and tourism. History, economy and environment. Mallorca: Channel View Publications. Drewniany, B. Jewler, J. (2008). Creative strategy in advertising. New York: Cengage. Gregory, A. (2000). Planning and managing public relations campaign. New York: Kogan Page. Havaldar, K. (2010). Business marketing: text and cases. New Delhi: Tata McGraw-Hill. Jenkins, J. Pigram, J. (2006). Encyclopaedia of leisure and outdoor recreation. New York: Routledge. Johnson, G., Scholes, K. Whittington, R. (2008). Exploring corporate strategy: Text  and cases. London: Prentice Hall. Kazmi, A. (2008). Strategic management and business policy. New Delhi: Tata McGraw Hill Education. Marchand, D. (2000). Competing with information. New York: John Wiley and Sons. O’Guinnn, T., Allen, C. Semenik, R. (2009). Advertising and integrated brand  promotion. Mason, OH: Cengage.