Enron Case Essay

1.What led to the collapse of Enron under Lay and Skilling? There were various reasons as to why Enron collapsed under Lay and Skilling. One reason Enron collapsed under Lay is because Lay simply did not practice what he preached. Lay did not live by his code of ethics and neither did his corporation. Not only that, but Lay and top management gave Andrew Fastow an exemption to the code of ethics to continue doing business. Another reason that Enron collapsed, under Skilling, is that Skilling had a performance evaluation process for all Enron employees that didn’t express the code of ethics that they should’ve followed which caused employees to rank their peers lower as to enhance their own position in the firm. 2.How did the top leadership at Enron undermine the foundational values of the Enron Code of Ethics? The top leadership at Enron undermined the foundational values by granting an exemption to Andrew Fastow to continue bringing in dirty money through his actions. Also, the top leadership allowed an unethical culture of ethics by promoting to the employees that they had to make the numbers literally any way they could even if that meant to break the law. 3.Given Kenneth Lay’s and Jeff Skilling’s operating beliefs and the Enron Code of Ethics, what expectations regarding ethical decisions and actions should Enron’s employees reasonably have had? Enron had a great and respected code of ethics among its peers. Also, Lay and Skilling had respectable operating beliefs since they also represented the Enron Code of Ethics. So, reasonably, the employees’ expectations should have fun to do the right thing morally and ethically as well as to uphold the respect, integrity, communication, and excellence Enron stood for. 4.How did Enron’s corporate culture promote unethical decisions and actions? Enron’s corporate culture promoted unethical decisions and actions simply by  the greed that the top management showed and carried out. For example, Skilling’s implementation of performance evaluations for all the employees was unethical because it was geared to fire the lower one-fifth of the employees. Not only that, but partnerships were mostly created only to hide the companies’ losses through the bonus program. 5.How did the investment banking community contribute to the ethical collapse of Enron? The investment banking community contributed to the ethical collapse of Enron because not only were they enablers but they also participated in the frauds as well. For example, Enron would book loans called prepays to their operating cash flow. Also, Andrew Fastow was also allowed to use a tactic where a poor performing asset would be taken off the books and be sold back to the company at profit after the end of quarters after the earnings had been booked.

Software Engineering Assignments

1.For each of the following documents, indicate in which phse(s) of the software life cycle it is produced: final user manual, architectural design, SQA plan, module specification, source code, statement of work, test plan, preliminary user annual, detailed design, cost estimate, project plan, test report, documentation.2.Order the following tasks in terms of the waterfall model: acceptance testing, project planning, unit testing, requirements review, cost estimating, high level design, market analysis, low-level design, systems testing, design review, implementation, requirement specification.3.How does a phased life cycle model assist software management?SOFTWARE METRICS1.What is McCabe’s cyclomatic number? Determine the same for:2.In Halstead’s metrices, what is the significance of : (i)operators and operands (ii)potential operands, (iii)Length (iv)Estimated length (v)Volume (vi)Potential volume (vii)Implementation Level3.How is effort and time calculated in Halstead method?4.Why is the number of decisions + 1 an important method for calculating McCabe’s cyclomatic no.? (Ans: It would be very time consuming to have to construct the control flow graph for large programs).5.Why is monotonicity an important characteristic of a size or effort metric such as Halstead’s effort metric? (Ans: If adding more code can cause the value of the effort metric to decrease, then the metric’s behavior is not understandable. It may also mean that the metric is manipulated).6.Why is complexity not readily measurable? (Ans: Complexity is not well defined and each one has different interpretation. It is interaction between person and code that makes it difficult to define). 7.Calculate McCabe’s complexity on the following source code. Draw a control flow graph. Read x,y,z;Type = ‘scalene’; If(x= =y or x= =z or y = =x) type = ‘isosceles’; If(x= =y or x= =z) type ‘equilateral’; If(x> =y+z or y > =x+z o r z>= x+y)) type ‘not a triangle’; If(x< =0 or y< =0 or| z

Compare and contrast Blake and Wordsworth’s view of London Essay

The poets Blake and Wordsworth both wrote poems about England’s capital city, London. The poets themselves each came from different backgrounds which may have influenced their view of London. Wordsworth was born and brought up in the Lake District and spent the majority of his life there, which may have led him to concentrate on the natural features of London. In contrast Blake was more aware of the industry and poverty of the capital City. He had lived all his life in London, receiving little formal schooling and even witnessing the death of his brother from consumption. Wordsworth’s poem â€Å"Composed upon Westminster Bridge† presents a calm and relaxed view looking across the water and the city. He writes about what he sees and views London as a majestic royal palace. Wordsworth reflects upon his subject with deep felt emotion, seeing it as a spiritual place of peace. â€Å"Dull would be the soul who could pass by, a sight so touching in its majesty†. He describes a special morning when the city seems to be asleep and is in awe of the tranquillity â€Å"never saw I, never felt, a calm so deep!†. Wordsworth is therefore commenting on the natural beauty that he sees rather than the daily life behind this scene. In contrast Blake’s poem is entitled â€Å"London†. Talking directly about the city itself it is the account of a person walking down the street saying what he sees. He is more concerned with the people who make up the City. Instead of seeing beauty he sees pain in the emotions of the people he meets. â€Å"In every cry of every man†. Blake concentrates on the oppression and poverty of the city. He blames the Church and authorities for their lack of attention and care for the people of London. â€Å"Every blackening Church appals†. The tone of the poem shows a lack of awareness; some safe inside while pain goes on outside, â€Å"and the hapless soldier’s sigh runs in blood down Palace walls†. In keeping with this pessimistic view, Blake’s poem is structured in a methodical and measured tone. It is written to a steady beat in four stanzas. This has the feel of a walking pace as he wanders around the city viewing its misery. Blake uses repetition to emphasise his point â€Å"in every cry, in every voice†. It is a formal bleak approach giving the bare facts as he sees them. Wordsworth’s poem is altogether more flamboyant. As a ‘romantic’ poet he writes this poem in the form of a sonnet. This style is mainly used in ‘love’ poetry. This structure emphasises the way Wordsworth concentrates on the physical aspects Wordsworth views around him. One line flows into another in an informal way. It is descriptive and reflective but does not attempt to look beyond the outward appearance â€Å"all bright and glittering in the smokeless air†. Wordsworth as a rich man, the son of a lawyer, views London on face value. He looks down upon the city from his lofty position unaware of the poverty below. His tone is full of grandeur â€Å"earth has not anything to show more fair†. He feels moved in his spirit and in harmony with his environment. Wordsworth’s tone is full of wonder, focusing on the magnificent buildings and seeing the city itself as a living being full of emotion. Blake expresses his feelings of frustration and sadness. He describes â€Å"chartered† streets and â€Å"chartered† Thames, which emphasises how everything has been taken over and oppressed. He comes from a lower middle class background; the son of a hosier and the tone of this poem expresses his awareness of the poverty around him â€Å"marks of weakness, marks of woes†. This sadness turns to aggression as the poem proceeds, criticising the Church and even the corruption of marriage. â€Å"And blights with plagues the marriage hearse†. There is a hopelessness and desperation expressed within this poem. Blake refers to â€Å"mind-forged manacles†, the metaphorical chains in which the people’s minds are held. This is typical of the negative images used throughout. The one beat rhythm and child-like tone emphasises the steady march towards an inescapable fate. This language underlines the lack of control which people have, their lives grinding out a pre-set pattern. Everything is â€Å"owned† – each chartered street. Even the Church is â€Å"blackening†, sinful, cruel, with a lack of purity and care. The oxymoron â€Å"marriage hearse† shows the conflict within society – the hypocrisy of marriage whilst poverty encourages prostitution to flourish â€Å"the youthful harlot’s curse†. The words are stark and shocking, exaggerating the problem to gain our attention â€Å"blasts the new-born infant’s tear†. The language used by Wordsworth is full of splendour â€Å"never did the sun more beautifully steep†. He paints pictures with his words, using the images of the â€Å"shining sun†, the â€Å"gliding river† the â€Å"beauty of the morning†. He extends a simile of the city by personifying it as clothed in sleep. â€Å"The city now doth like a garment where the beauty of the morning, silent, bare†. Wordsworth creates a feeling of awe and wonder at the beauty of creation. He uses the metaphor of the city like a â€Å"mighty heart lying still†. The sounds evoked by Wordsworth poem are very peaceful and calm â€Å"the river glideth†, â€Å"the morning silent†. In contrast Blake uses sharp sounds which are onomatopoeic in nature – â€Å"blasts†, â€Å"curse†, â€Å"cry†. He uses a strong heavy rhythm emotive of the oppression felt with repetitive force â€Å"and mark in every face I meet, marks of weakness, marks of woe†. The tone of Wordsworth’s poem is soft and lilting â€Å"a sight so touching†, â€Å"a calm so deep†. This is set against the harsh cry of Blake’s London. The approach used by these two writers promotes a different response from the reader. Wordsworth’s flowery imagery encourages a warm view of London. He is optimistic in his approach, concentrating as he does upon the immediate sights and sounds of a peaceful morning scene. Blake however conjures up a feeling of misery for the plight of the people of London locked in a prison of poverty which he blames on the â€Å"establishment† who have no care for their situation. Blake concentrates on social injustice, perhaps borne out of his own upbringing, whilst Wordsworth seems unaware of anything but the natural beauty of the environment and not its inhabitants. Two seemingly different views of one city seen from varying perspectives.

The Role of Cultural Brokers Research Paper Example | Topics and Well Written Essays - 750 words

The Role of Cultural Brokers - Research Paper Example The investigator interviewed nurses, doctors, community members, and pharmacy personnel in one of the public healthcare facilities and a neighboring community. Analysis of the results indicated that it is vital to incorporate healthcare brokers into the healthcare systems. Healthcare negotiators review interviews that occurred between clients and healthcare providers. They also analyze the clinical reports and case conferences to infer meaning and refer clients accordingly. Additionally, brokers in the healthcare system mediate the varied viewpoints held by the clients and healthcare providers. Further, they help to bring about the clients’ cultural experiences, values, and expectations. In understanding the impacts of the cultural aspect, many organizations and healthcare personnel can offer the best services to their esteemed clients. Despite the challenges facing the cultural brokers, it is of utmost importance to find the means to involve cultural brokers in the delivery o f the healthcare services. It is conclusively paramount to have the healthcare cultural brokers to ensure achievement of goals and missions of the healthcare systems. Cultural brokering refers to the process through which an individual act as an advocate or a link between persons of divergent cultural backgrounds. An active agent displays the acquaintance, sensitivity, and skills of being aware of the cultural influences that affect people’s lives. Further, the broker has the appropriate training to act within the profession as an informed go-between (Major & Gooden, 2012). Understanding the concept of cultural brokerage entails a critical look at culture, co-culture, mediation of culture, health culture, and culture broker. For instance, the role of a cultural broker links with aims of cultural competence.  Ã‚  

Super man Essay Example | Topics and Well Written Essays - 1000 words

Super man - Essay Example Superman constructs a certain role model of manliness reflecting popular 20th century concepts of masculinity. The most attractive feature in Superman figure is that he can transform from his superhero image to â€Å"the mediocre man of flesh and blood† which serves the mask to his extraordinary abilities. The personality of Superman is split. He has a private life which has nothing to do with his public heroism. In everyday life Superman is Clark Kent, ordinary journalist, clumsy and soft. The contrast between two identities is maximized to emphasise masculinity features. The dual identity of the hero from the launch of Superman series became a formula of masculine image. On one hand the superhero has body which is vividly masculine as well as the confidence and power which suggest of the ideal of man, on the other hand he is soft, powerless, unconfident representing a feminized man. Superhero images have always blended masculinity with muscles. The most obvious external signifier of masculinity has been the male body. Male body images reflect all the conventions related with male superiority. Muscles symbolizing masculine physical strength serve as a code for sexual difference. The muscular body is clear sign of masculine power. (Brown, 1999 p.25) Muscles are associated with masculinity so strongly that women like professional body builders who exhibit ‘noticeable muscularity’ are accused in manliness while men who lack muscular power are criticized for being too feminine. The contrast of two identities of the hero plays an important role in shaping masculinity image. That makes Superman a masculine ideal of 20th century. Superman possesses exceptional qualities like flying, gliding on air currents, seeing through walls. He gets more and more powers equalling to God. Besides, he is a defender of truth with exceptional feeling of justice and handsome looks. Clark

Comedian Russell Peters' jokes are controversial in that it is racial Essay

Comedian Russell Peters' jokes are controversial in that it is racial - Essay Example Many authors consider him a comedian using every slang term to make audience laugh at the cost of the racial identities. In the subsequent part of this paper, first race and comedy are elaborated and is followed by the analysis of the racist jokes of Peters before summarization. Race and Comedy The race based comedy is not new. In the older times, it was a part of the entertainer’s role to include openly racist stereotypes, degrading the socially deprived groups living within the community with no sign of apology. Undoubtedly, such stereotypes represented the existing realities in which certain races were clearly highlighted as superior to other races. Everyday racism exists in a wide range of interactions (Tator and Henry 27). The racist expressions involve in the many and small ways in which racism is experienced in the manifestations such as anecdotes, behaviors , racialised, sexualized and ethnicised jokes, gestures, glares and glances and in other forms of speech. And, mo st of the time, not the perpetrator but the victim painfully feels the impacts of the racially based comments. Although racist sentiments may be highlighted in less overt ways in the recent times, some racists use comedy as an ideal tool for mocking ethnic and other minorities. In this regard, Billig contends that if today there are taboos against the outward expression of racism, then the racist joke represents a way of expressing the unsayable (Humor and Hatred 285). Hutcheon argues that humor is not far from hatred, reaching at the level of unambiguous gender or ethnicity stereotypes along with requiring suspension of empathy where the victim being an object of ridicule (268). Humor consists of complex connotations. Hutcheon states that humor represents paradoxes as the utterance of humor may leave opposite pragmatic effects: what is welcomed as polemical and transgressive to some might be insulting to others and what is subversive for some may be offensive to others (p.52). This makes an analysis of ethnic humor so complex; is there a point making the joke as non-offensive? Absolutely not, the potential to offend lies within many types of humor, even if majority of the audience cannot stop roaring with laughter (Hirji 570). Analysis of Russell Peters Jokes The main function of racist jokes is to reinforce the presumed superiority of one ethnic or racial group over another (Howlitt and Owusu-Bempah 50). Without question, Peters does make audience a good laugh. However, what is the root of the racist joke? Is the joke offering difference depending upon who is the subject (Hirji 575)? Hijri quotes some lines of Peters as saying that somebody is going to get hurt real bad (575); delivered in a thick Indian accent with an aim of highlighting a mimicking fathers who threaten their children with violence and severe punishment; pertaining to his own family or to South Asians generally: This joke does highlight the issues around race and in particular cultures and its integration in a humorous way; at the same time, it does raise some questions about the domestic violence as well. In one of his famous jokes in which he speaks about the difference between Asians and South Asians saying that I think the god that making Indian people was making some kind of practical joke with all the other gods†¦. It’s hot and we’re hairy. Men and women [laughs at audience reaction]. Indian girls are getting mad, putting down their sleeves [mimics their angry reaction] ‘

Learning agreement Essay Example | Topics and Well Written Essays - 500 words - 1

Learning agreement - Essay Example Kim. This will be the best opportunity to capitalize on his experience as well as maximize on the growing interactions I will have with other employees at the workplace. The department has three main areas where I will spend at least five hours a week at each to learn as much as I can during my internship program. This will provide at least three intense rotations as explained below. The first rotation will involve the shelving of the goods as they come. With the busy schedules here, the number of suppliers is also high and the work required when shelving will be intense. I will be receiving the supplies and making sure that they are shelved. Before shelving hem, I will have to check the expiry date. This will mean that the first foods to go will be those having short expiry dates and making sure that the arrangement reflects the need to follow the restrictions accorded (Ojugo 116-7). The obsolete stock will have to be shelved in other areas away from the fresh supplies. I will also need to take stock of the expired stock, spoiled stock, damaged stock and provide evidence of the same. In the process of documenting these stocks, I will have to check on the environment of the stocks and make sure that everything is working as required. The goal is to establish the proper storage requirements and standards (Ojugo 117). The second rotation will involve serving. With the growing need to make everything work towards the growth of my skills, it is only important to learn how to make good servings and also appreciate cleanliness as a way of making everyone happy with my work. I understand that the pressures emanating from the different orders within the workplace will always make it difficult to reach the level of indulgence needed to attain growth within my preferred level of indulgence. The third rotation will be in the management sector where I will be conducting trainings. The aim is to ensure

Federalism and Separation of Powers Essay Example | Topics and Well Written Essays - 500 words

Federalism and Separation of Powers - Essay Example This structural change in the government is embedded in the articles 1-3 of the US constitution and its main agenda is to reduce the tyranny within the country and to control government powers. This essay seeks to analyze the difference between federalism and separation of powers and hence their influence on the current state of governance. In a federal system, the national government grants power to the states government to apply own strategies in their own state and to induce innovation according to the laws of the state. In other words, each state is a free entity and is free to exercise own policies and to engage in diverse government cultures as they deem fit for the people of the particular state (Gerston, 2007). The advocates of this system support it on the ground that it is the best practice that is only effective in managing a diversified population such as one that exists in the United States, and that it allows the local people to have a better access to their leaders (Topher, 2007). In addition, each state is allowed to be creative and to learn from other states that are successful. In this system, the country government reserves most of the powers and acts by controlling power in the United States. However, the federal government has the disadvantage that it allows a non-unified policy implementation which often brings out confusion among the people, and that power control is minimal. The effect of the separation of powers is that the three branches of the government would act as a check and balance mechanism to protect the people over power abuse. Any policy would have to be analyzed by each branch of the government before its implementation. There is quite a difference in the two systems of power sharing with regard to the current system of power sharing in the US government. For instance, in the federal system, the citizens in overlapping states may be faced with confusion and they may

Pick on topic from my uploaded resources Assignment

Pick on topic from my uploaded resources - Assignment Example Economists determine recession with the help of some conventional Macroeconomic indicators like Investment Spending, employment, business profits, capacity utilization, household income and inflation. If the general level of all these macroeconomic indicators is falling, then the economy is most likely to encounter recession. It is pertinent to mention here that as the level of these indicators fall, the level of unemployment and bankruptcies rise on the other hand. The two most important factors that have significant importance on levels of recession are Unemployment and Inflation. In the time of 1930s, when our world encountered Great Depression, most economies of the modern world like Germany were facing hyperinflation. Inflation exceeding the boundaries of Galloping Inflation can make the economy go down thousand times faster .Moreover, inflation accompanying unemployment causes the economy to collapse completely. Recession can be controlled by implementing different policies and by triggering different factors. Countries usually try to overcome recession by announcing sound and stringent Fiscal and Monetary policies. Interest Rates are raised and unemployment is eradicated with the help of different schemes and policies. We know that the global oil market is a complete oligopoly being run by a few powerful oil exporting countries and consortiums. The oligopoly of oil Market is very strong because of the fact that the International demand for oil barrels is relatively inelastic. Due to this reason, leading oil exporting countries have taken the market completely and are running the market according to their own terms and conditions. This type of competition in the global oil market has made the prices inflexible. With the fact that the prices of many other things are dependent on the rates of oil which is being obtained from the global oil market, therefore, oil being a complementary good controls the pricing

Claudius has been presented in the theatre as a worthy King Essay Example for Free

Claudius has been presented in the theatre as a worthy King Essay Claudius has been presented in the theatre as a worthy King and Polonius as an amiable and sensible father. What is your response to the ways in which Shakespeare presents one of these characters? It is hard to judge the character of Polonius in Shakespeares Hamlet, due to the fact Shakespeare presents many of the events not only through Hamlets eyes, but the eyes of Polonius children and the King, and through these different people he is presented in different ways. However, there is a great deal more to this multi-faceted character in the play, as his presence and actions in the play is of great importance, before and after his death. Polonius is presented in different ways in various stage productions; usually, he is presented as a wise man, and one with great influence upon his son and daughter, Laertes and Ophelia, and of a man highly respected by King Claudius, Queen Gertrude and the people of Denmark. Despite this, he can become a rather comic character, if the company wishes Hamlet to be presented more positively. As Polonius is presented through different productions in different ways, it is difficult to evaluate his true nature. As the play is largely presented through Hamlets eyes, it is from him we draw many of our opinions. It is eventually Hamlet that kills Polonius, stabbing him through the arras, and Hamlet who sends him off with such harsh words as a foolish, prating knave; it can be said that he encompasses aspects of this statement, as we see in different parts of the play. However, to be deeply cynical of Polonius is somewhat hard to do. Polonius, in the eyes of Claudius, the Queen, the words and actions of Laertes, Ophelia and the Danish people, and the obediency of Reynaldo give us a more reasoned insight into Polonius. Polonius can be seen as foolish mainly when talking to his servant, Reynaldo, wherein he directs Reynaldo as to how to spy on Laertes. During his speech, Polonius gets wrapped up in his own words, and seems to lose the points he is trying to get across; And then, sir, does a this he does what was I about to say? By the mass I was about to say something. Where did I leave?; Shakespeare also transfers from blank verse into prose, accentuating Polonius loss of grip. However, this may actually be cleverly checking if Reynaldo is listening; the fact he quotes him directly back At closes in the consequence, at friend or so, / and, gentlemen' suggests many positive factors. For one, it is a reflection on Polonius authority and importance that Reynaldo remains attentive and quotes him back perfectly. Also, if this is a trick, Polonius may feel the matter is so important to his sons welfare that he needs to test Reynaldo to see if he really is listening so that the surveillance can be perfectly executed. Polonius may be seen to lose his grip in his bouts of prating to the King and Queen in parts of the play too. His speech to Claudius and Gertrude concerning Hamlets madness is a prime example of Polonius prattling, as we see in his long-winded build up to his conclusion, that Hamlet is mad; Therefore, since brevity is the soul of wit,  And tediousness the limbs and outward flourishes,  I will be brief. Your noble son is mad..

The Advantages And Disadvantages Of ERP

The Advantages And Disadvantages Of ERP An enterprise resource planning (ERP) system is an integrated computer-based application to control internal and external resources including tangible assets, financial resources, materials, and human resources. Before accounting systems that performed manually but today is help by computer. So, information technology facilitated to improve the cost and management accounting procedure. Therefore, IT play an important role of accounting as like weapon to support object which must increase money for IT because IT investment to their total budget higher. 2.0 The role and purposes of Enterprise Resource Planning Systems in organizations Face threatening that arrival of the information age, position on unrestrained direction to encourage of a high speed development, we hold the information technology having a great influence or authority on the hand to power of the leading way in the information war. Usually, every enterprise pursues for interests and benefit in the economical activity of organizing. Particularly, on one occasion only that organization belonging in a big structure, its information management that cannot be done without the need of development in the information era. In truth, enterprise could grow faster and more efficiently than ever, when the essential factor to put into the correct position whether the outcome of one enterprise information management has already considered about something in specified way. ERP (Enterprise Resource Planning) can help an enterprise to complete successfully of the revolution of its development as the most powerful weapon. Another that no one seems to know much about but those buzzwords that everyone talks of. ERP (Enterprise Resource Planning) are more about how the several kinds of division in Enterprise functions, it not just about planning resources. It aims to provide single software which will combine all the divisions in organization planning, manufacturing, sales, marketing, finance, human resources but at the same time fulfil each division information and planning needs by an ERP solution. The purpose of this article is to provide further insights through the enterprise resource planning (ERP) systems and influence in an organisational performance. It point to challenge existing claims of ERP vendors with regard of the benefits for their products to provide chain management to supply evidence of the benefits of bundling ERPS. 2.1 Critical elements for a successful enterprise resource planning implementation in small-and medium-sized enterprises For the last few years, small and medium-sized enterprises (SMEs) have been increasing promptly of body research relating to the implementation of enterprise resource planning (ERP) system. Especially for SMEs, want successful in ERP implementation is very important in this situation. In SMEs, they aim to look carefully the critical elements which establish a successful ERP implementation by research. Constituent within the critical elements is to recognize to an objective Research if want in a successful ERP implementation that necessary critical elements and management at each stages of implementation. In SMEs, the consequence if want to improve success rate of ERP implementation must aims by provide researchers and practitioners with guidelines. 2.2 The Advantages and Disadvantages of ERP Enterprise Resource Planning having a strong power in benefit. In the past, it used to solve a numeral problem that have plagued in the large organization. Sometime, it also has disadvantages. If this solution thoroughly needs, it being able to weigh of the both company to decide it. Firstly, it should observe that companies which is unsuccessful to utilize system as ERP may generates when using various software packages that cant function well by each other. Therefore, the company will get the less efficient than it should for the long run. There have many of processes which company may be combination together. Design engineering is the one of processes. Designing product is in produce or creating it is important in the ultimately consequence. ERP is the best because it can help a company to find the good quality of design process. Another part of ERP is order tracking. When company receives product in order that also can help the company to track and get detailed information to the customers and marketing strategies. The data is not correspond when people using the different software package. Accounting application can made combination of the cost, profit and revenue information of sales and also can granular way in a manner. Nevertheless, Enterprise Resource Planning can change how a product is manufactured. It is important because it permits the company to keep better product and produced the good quality in higher level. ERP is the secure tool that can prevent against crime in company such as embezzlement or industrial espionage. Whatever, there also have some disadvantages. Possibly in technology one of the biggest disadvantages is the cost. Large enterprise only can really get benefit which offered by this technology at this moment. Many researches that show the biggest challenges in companies will face implement ERP deals with investment. It is important for companies make sure the integrity of the data is defended so that employees must know how to use it and trained non-stop. ERP has many of limitations. This system can successful is fully relied of the workers understand how to use it. That why the company must train them properly but some companies have attempted to save money to reduce the cost of training. Even the company has much money to implement EPR but impossible successfully to use it because they dont have enough money trained their workers how to use it on the process. The biggest disadvantage of ERP is difficult to customize. Not much company can utilize effectively of ERP out of the box. I t must change slightly to suit their needs and to process but both of this so expensive and tiresome. In the beginning, the company doesnt change system what the limited they can do. Most ERP vendors will not permit the structure of the software usage of change. ERP of one advantage is that making changes to use it that possibly will make a company reduce competitive in the market. Beside that, the costs involved implemented ERP and training the workers to utilize that ERP vendors may charge extra license fees, put some energy on companies to pay them if dont have sufficient resources. Therefore, the technical support of ERP departments afraid get the trouble arise due to security so they must give some information to the technology support them. ERP Cyclical structure 2.3 Role and purpose of Accounting Information Systems (AIS) Part of which may incorporate information technology and collects of mutual relation parts that is accounting information system. The purpose of AIS is to gather data, process it becomes information to make decision and that can use by internal and external. It creates and maintains a professional identity by researches and professionals, and educators. Members can through between communications and interaction. Private sectors, bodies in government provide something interest or activity contact in education that influence and control the nature information system. IS field and profession create a vision for the future. So, to publish books, journals, and other materials, to do together with organizations interested for further and practice of information systems, to function research; to support high professional standards, to support the information systems when growth, and to improve the quality of professional in every part of the world by AIS intends. In the economy, accountants play important role of significant. Business not having the ability to evaluate their cost and profit position, gauge product or business unit performance, or to plan future financial success, if accountant without expert knowledge or skill. Now accountant, use of computer software by increasing that automates to help creating and designing AIS to serve as more efficient management in hand. In companies required a sizeable investment and maintenance cost in accounting system position. Thus, installing the system that companies has detail objective are the function of management, management decision making and dad-to-day operations of the firm support by AIS. 2.4 On the ERP system, the impact of accounting information system The most famous international business management at the present is ERP. Economy for today Chinese enterprises of knowledge-based, we must increase core of competitiveness and using the most recent management result and strengthen into business operation and management. Nowadays, it establish on the base of information technology to management systematic thinking and worker for business decision-making tools for decision-making operation management platform. ERP systems development, it has point on information technology and advanced management ideas in one through the Development and improvement until today, the various departments of the enterprise, such as procurement management, sales and consignment, inventory management, financial systems, production management, quality management, human resources management, supply chain management, linked together to become a modern enterprise running mode of the combination of information technology. In the ERP system, reveal every information of enterprises in the corporate LAN, distributed in several kind of regions of the Enterprise Management personnel with the range of the default through by their own particular account and password of Internet and self-management data and information relevant of respo nsibilities to address of exchange information in the company and having effective of delivery problems. In the ERP system of accountancy, we fully realized that the accounting model to comprehensive transformation in managerial. Therefore, ERP system is a logistics, capital flow, information flow combination that embodies the system management and control of a clearly ideology, example, sales and accounts receivable system, the user can set credit limits for personal customers, credit period, sales can get discounts and cash discounts, it usually charge of a higher settings. Must enter customer orders, the system will automatically make sure the availability of the customers arrears for more than credit period, a original amount owed plus the availability of the order greater than its credit limit, over the limit order should special marked ERP system automatically until the customers refund the money that can having a particular delegate authority in order to delivery. Customers o rder must examination, the system was permitted an open up sales of single-notification warehouse shipping, warehouse shipments and should be based on sales alone. Sometimes, Sales and accounts receivable system in a manner that it consistent with confirmed delivery of sales orders and already make sure that sales price for each product in sales invoices out automatically through the system based on value-added tax rate pre-prepared and auto-transfer certificate as accounts receivable, loans charge by business income; payable, tax payable-payable VAT; sales an output tax. 2.5 Major of implications for AIS Reporting is to summary, timely information used by decision-making and financial reporting in accurately in a major tool of organizations. So that, pulls data from the centralized database, processes and transforms is the accounting information system. Eventually, it can occurs a summary by data as information and easy for consumed from today and analyzed in business analysts, managers or other decision makers. These systems to ensure that the reports occurring immediately so decision-makers are not act or irrelevant information and rather can act quickly and effectively based on report. Consolidation is the greatest hallmarks in reporting because people no need to get through the largest number of transactions. For example, end of the month, the financial accounts consolidates are paid vouchers by running the system in the reporting. The systemà ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒ ¢Ã¢â‚¬Å¾Ã‚ ¢s application of the data from database and support the report with total amount paid to vendors for parti cular month. Nevertheless, to generate large volumes of transaction data, running reports that AIS can spend days or even weeks make report to large corporation. In the large companies as Tyco International, Enron and WorldCom, important to emphasis was put on enforcing public companies to implement strong internal controls of their transaction-based systems. So, this was made in law of the Sarbanes Oxley Act of 2002 regulation that companies was generate of internal control report who is responsible for an organizations internal control and outlines of the overall effectiveness of the control. From scandals were rooted in the companies accounting practices, the most to emphasis of Sarbanes Oxley was put on computer-based accounting information systems. Nowadays, AIS vendors tout of their governance, risk management, and obedience features which ensure business processes are protected and organizations assets are in secured. 3.0 Conclusion The results will get what you might expect from ERP system. Few months, the considerable gains in productivity, efficiency and visibility become obvious and you can rise operational quality even reduce your human resourcing intensity because have not much repetitive tasks need to do and concentrate on higher added-value work through adopted Open ERP. For the past, accounting information systems focused on recording, summarizing and validating of data about business financial transactions. The results revealed which is hug gap between what AIS and what should be.

Analysis of Holiday Tour Operators

Analysis of Holiday Tour Operators Chapter 1: Introduction Outline This research focuses on three UK holiday companies Kuoni, Thomas Cook and STA Travel and their marketing strategies. This research is comprised of following chapters: Rationale This study highlights many issues related to marketing of tourism companies; more specifically it will be looking at the three companies mentioned above and will be giving a broad analysis to marketing strategy as a marketing tool. The purpose of this dissertation is to conduct a detailed analysis on three different UK holiday companies which are Kuoni, Thomas Cook and STA Travel, who target different segments of the market. I believe that this investigation will broaden my understanding of the tourism marketing as well as the techniques and strategies that they use as a key factor to their success. (Morgan, 2001)Overall I believe that it is an interesting area to study because I can use and demonstrate while conducting this investigation the skills and knowledge that I had obtained while studying my degree. In addition, I have chosen to carry out my dissertation on the following three companies, because I believe that they differ in their market segmentation, however they have a common goal and they are competitors. I would like to introduce the companies that I will be focusing on and provide some brief introduction for each of them. But first of all let us talk about the role of tour operators. (Wang, 2002) Tour operators today play a very important role in creating the images of destinations. In this global capacity, they can significantly influence international tourism flows towards a country hit by safety and security risks. Even decisions of individual tourists on where to spend a holiday very often depend on the attitude and practice of tour operators towards a particular destination. But people have their own choices and preferences. In this paper we are going to analyse Kuoni, Thomas Cook and STA Travel tourism and travelling services as this is one of the best tour operator agencies world wide and the first choice of tourists. (Buhalis, 2001) From 1950 to 1998 the number of international tourist arrivals in the world increased from 25 million to 635 million (WTO 1999b), with an average annual increase of 6.97%. Over the past 15 years, international tourism receipts have grown 1.5 times faster than world GDP, with no signs of slowing down. In 1998 international tourism accounted for an estimated 8% of the worlds total earnings and 37% of exports in the service sector (WTO 1999a). According to data from the International Monetary Fund, in 1998 international tourism receipts and passenger transport amounted to more than $504 billion, putting it ahead of all other categories of international trade (automotive products, chemicals, food, petroleum and other fuels, computer and office equipment, textiles and clothing, mining products, etc.). (Driver, 1999) This rapid development of international tourism can partly be explained by the xxpackage holidays promoted nationally and internationally. Indeed, tour operators represent one of the most powerful and most influential entities in the tourism industry. They have a strong influence on international flows from main generating markets to various destinations. According to World Tourism Organization estimates, tour operators nowadays have a share of about 25% in the total international tourism market. This means that in 2000 tour operators organized at least 175 million international tourism trips. Therefore, the success of many destinations depends on whether foreign tour operators include them in their programs. (Buhalis, 1998) Travel Industry As the travel industry consists of numerous sectors and divisions, companies within the industry vary greatly in their activities and the segments of the market they are involved in. Three of them Kuoni, Thomas Cook and STA Travel leaders in their respective field and I would like to commence with Kuoni in the following segment. (Riege, 2000) Introduction to Kuoni, Thomas Cook and STA Travel Companies Kuoni Travel Holding Ltd. oversees one of Europes top five travel and tour groups. Based in Zurich, Switzerland, the company is particularly strong in both its domestic and U.K. markets, but is also present throughout Europe, especially in Scandinavia, with a rising presence in the United States and Asian markets. Kuoni Travel operates in three primary areas of business: Leisure Travel, which accounts for more than 85 percent of the companys sales; Business Travel, through its BTI unit, which handles travel coordination activities for the small and mid-sized and large-scale corporation markets; and Incoming Services, which provides travel destination services, such as touring and sightseeing packages. (Morrison, 1994)The company markets it high-end tours and travel packages under the Kuoni name. Discount travel packages are offered under the Helvetica brand name. Switzerland remains the companys single largest market, representing slightly less than one-third of its total sales. The U.K. and North American markets together provide less than one-third of sales. The European continent, including Scandinavia, added another roughly 30 percent to Kuonis total sales, which topped SFr 4 billion in 1996. (Schonland and Williams, 1996) Kuoni has been stepping up the pace of its acquisitions at the turn of the century. After being disapponited in its attempt to merge with the United Kingdoms First Choice Holidays Plc, which would have helped the company create a counterweight to Europes market-leading Preussag-Thomson alliance announced in early 1999, Kuoni has changed direction, targeting the Scandinavian, Indian, and North American markets for its future growth. (Weber and Roehl, 1999)Listed on the Swiss stock exchange, Kuoni is led by Chairman Daniel Affolter and President and CEO Hans Lerch. (Bonn and Furr, 1999) A native of Chur, Switzerland, Alfred Kuoni moved to Zurich to open a travel agency in 1906. If the companys nameTravel Bureauwas not all that original, Kuoni quickly established itself as a pioneer in exotic travel destinations. One of the companys first organized tour packages took Swiss citizens on a guided tour to far-off Egypt. (Hu, 1996) In 1925, Kuoni reincorporated as a joint-stock company, with shares remaining within the Kuoni family. Through the years leading up to World War II, Kuoni expanded from its original location to include a number of sales offices throughout Switzerland. Despite its success in its home market, the company recognized early on that Switzerland was too small for its growing ambitions. The company also opened its first international office, in Nice, in the south of France. Further international moves were not realised due to the buildup to and outbreak of World War II. (Baker and Hozier, 1994) Kuonis international expansion began almost immediately after the end of the war. In 1948, the company opened its first international subsidiaries, in Italy and France. Kuoni also continued to venture to new and exotic travel destinations, such as the organization of the first charter flights to Africa. (Pizam and Mansfeld, 1999)In 1957, the Kuoni family established the Kuoni and Hugentobler Foundation under which to group their holding; much later, with Kuonis public listing, the foundation would became the companys primary shareholder. (Dev and Olsen, 2000) Thomas Cook AG is an international leisure group, created in 2000 by CN Touristics purchase of Britains Thomas Cook Holdings Ltd., with roots tracing back to 1841. (Bitner and Booms, 1982 )The company is represented in the sales markets of Germany, Great Britain, Ireland, France, Belgium, Luxembourg, the Netherlands, Austria, Hungary, Poland, Slovakia, Slovenia, Egypt, India and Canada, providing products and services in most market segments, including airlines, hotels, tour operators, travel and incoming agencies. Thomas Cook AG is the third largest integrated tourism group in the world, serving some 14 million customers. Thomas Cook AG, encompasses 32 tour operators and around 3,600 travel agencies, selling the groups products worldwide, as well as a portfolio of 76,000 controlled hotel beds, a fleet of 87 aircraft and a workforce numbering some 28,000. Its services also include travel shops and charter airlines. (Koh, 1995) Evidently, the scale of operations of Thomas Cook AG in his respective market, has allowed him to realize economy of scale, affording a strong advantage over competition and in turn benefiting his clients. Because of the large volume of business provided to many resorts by Cook, he currently have excellent buying power, enabling him to negotiate the best possible airfare, hotel rates and transfer rates, which are translated into attractive selling prices, better rooms and overall greater value for his clients. Numerically, Cook has realized triumphs and broken records in his area. In 1993, Thomas Cook AG excels, as it achieved sales of some eight billion Euros and served more that 13 million customers in the 2001-2002 financial year alone. (Ioannides and Debbage, 1997)In appreciation of his expertise and as an acknowledgement of his proficiency in his operations, Thomas Cook AG has both received numerous awards and tributes over the years for a variety of enterprises. For example, th e Mexican government awarded the Best Tour Operator Worldwide Award in 1998. Thomas Cook AG is nominated every year in several categories in the World Travel Awards, as well as having its various subsidiaries and companies receive numerous awards worldwide. (Riege and Perry, 2000) STA Travel, a subsidiary of privately held Diethelm Keller Holding Ltd., markets itself as â€Å"the world’s largest student travel organization helping students travel in over 90 countries.† STA Travel specializes in student travel, a market niche accounting for approximately 20% of all travel bookings. In 2005 STA Travel reported revenues of 215 Million CHF (Swiss Francs) on total transactions of 1,542 CHF, down from 241 on 1539 the previous year. That same year, the firms 2,358 employees working from 375 travel agency offices in 17 countries and through franchises in 83 others, provided travel advice and booking services to approximately 6 million travelers. (Fick and Ritchie, 1991) Founded in 1979, STA Travel had grown and expanded its global reach through a series of mergers and acquisitions. While the brand well known in parts of Europe and Australia, where it had operated for many years, STA Travel’s US brand, born with the acquisition in 2003 of Council Travel, was still less well known. Historically, STA Travel reached its customers through retail travel agencies, many located near or on college campuses. Beginning in the 1990’s, however, the internet brought new online competitors. Among these were Student Universe and Student City as well as less focused on line providers of travel services including Travelocity and Expedia. By 2007 the internet was predicted to account for more bookings than offline alternatives. Aims and Objectives Following are the aims and objectives of this study: Introduction to Kuoni Holiday Company Introduction to Thomas Cook Holiday Company Introduction to STA Travel Holiday Company Marketing strategy of these companies Research Questions The study seeks to answer the following questions: â€Å"An investigation into the marketing strategy of three UK holiday companies who target the different sections of society with reference to their marketing strategy.† (Kuoni, Thomas Cook and STA Travel) Chapter 2: Literature Review Role of Tour Operators The role of tour operators unlike the travel agencies who sell holiday and a range of other travel products tour operators actually assemble the component parts of a holiday, package holidays i.e. the means of travel, accommodation, facilities, transfers, excursion and other services. The famous name which comes into my minds is Thomas Cook for their packages and services. (Field, 1999) If we consider that the travel agents are the retailer arm of the travel business, then the tour operators can be linked to wholesalers, since they buy in bulk from the providers of travel services, such as the hoteliers and airlines, break the bulk into manageable packages and offer the finished product the inclusive tour for sale to the travel agencies or direct to the consumer. (Kaynama and Black, 2000) Peace, safety, and security are the primary conditions for the normal tourism development of a destination, region, or country and thus are the basic determinants of its growth. Without them, destinations cannot successfully compete on the generating markets, even if they present in their marketing campaigns the most attractive and best quality natural and built attractions. Tourism contributes to peace as much as it benefits from it (Savignac 1994). According to Pizam (1999), every minute of every day a crime or a violent act occurs at a destination somewhere in the world. At the same time, it would be difficult to deny that many types of safety risks co-exist in everyones daily lives, and within tourism as well. However, an important difference exists: People are rarely in a position to change their place of living, but nothing can force them to spend a holiday in a place that they perceive as insecure. (Kaynama and Black, 2000)The basic requirement of contemporary demand is higher quality supply and services, and that quality has become the most important factor in the existing climate and development of that demand. But usually do not mention factors which are the condition sine qua non—peace, safety, and security, now generally taken for granted. Any threats to the safety of tourists causes a decrease or total absence of activity, not only in a particular destination, but also very often in neighbouring regions or countries as well. Consequently, since tourism is an important contributor to national economies, host countries will find it necessary to take substantial measures to bring the country hit by crisis back onto the market as quickly as possible. Taking the example of three companies discussed below we further try to explore their role and business strategy. (Medlik and Wang, 2002) Kuoni, Holiday Company Kuoni began looking farther afield in the 1960s. In 1963, the company made its first entry into the Asian markets with the opening of a branch office in Japan. (Medlik and Wang, 2002 )Two years later, Kuoni entered what was later to become one of its most important single markets when it acquired the United Kingdoms Challis Benson Ltd. The importance of the U.K. market to Kuoni was seen at the beginning of the 1970s when the company changed its nameand its U.K. operations nameto Kuoni Travel Ltd. (Buhalis, 1998) The companys listing on the Swiss stock exchange provided fuel for new growth, while opening up the companys shares to new partners, including SwissAir, which built up a 30 percent share in Kuoni. The public listing enabled the company to step up its international growth. After opening a subsidiary in Austria at the beginning of the decade, Kuoni now launched subsidiaries in Germany and Spain, both in 1973, and a subsidiary in Greece the following year. The year 1974 also saw Kuoni step up its position in the U.K. market, when it acquired Houlders World Holidays, based in England. (Buhalis, 1998) While building up its international network, Kuoni also was launching new products. In 1977, the company began marketing its first around-the-world tour. In the 1980s, Kuoni began to acquire properties in many of its most popular destinations, adding a number of hotels, including the Hawksbill Beach Hotel in Antigua in 1981 and the Discovery Bay Beach Hotel in Barbados, bought in 1984. In 1986, Kuoni became the first tour operator to offer around-the-world charter flights on the Concorde supersonic jet. (Morrison, 1996)Although this latter product catered to the companys strong high-end and high-margin clientele, Kuoni also launched a new brand name, Helvetica, to encompass its discount tour and travel operations. The worldwide travel industry remained highly fragmented in the 1990s, with numerous small-scale operators competing against a smaller number of quickly growing industry heavyweights. Kuoni, which had already captured the lead in the Swiss market, was determined to maintain a leadership position as the travel industry headed into a drawn-out consolidation drive leading up to the turn of the century. The company acquired Reiseburo NUR Neckermann in 1987, boosting its position in the Austrian market. Three years later, the company regrouped its Austrian activities, launching the NUR Neckermann Reisen AG joint venture with Germanys Neckermann Touristic. Kuonis part of the joint venture remained at 49 percent. (Morrison, 1996) Back home, the company continued to consolidate its dominance of the Swiss market, acquiring Privat Safaris, the countrys leading operator of tours to eastern Africa, and Reiseburo Popularis, which combined retail offices with direct sales operations marketing discount tour and travel packages. Yet Kuonis strong position in the Swiss market and its growing share internationally soon led it to become the target of a takeover attempt. The sale of SwissAirs 30 percent holding created the opening for Germanys Krauthof AG department store group to acquire a 50.1 percent majority of Kuoni in 1992. (Middleton, Clarke, 2001) Kuoni, through the Kuoni and Hugentobler Foundation, nonetheless retained majority control of the companys voting rightswhich provided the leverage to the resolution of the takeover attempt. In 1995, the Kuoni and Hugentobler Foundation bought out Krauthofs stake in the company. The company then changed its name to Kuoni Travel Holding, a move that also reflected a new diversification drive: in 1995 the company acquired Danzas Reisen AG, a Switzerland-based specialist in business travel services. The Danzas acquisition led Kuoni to create a dedicated business travel unit. The company also acquired retailer Kewi Reisen, while integrating its majority share of Railtour Suiss SA, acquired the year before. With its independence assured, Kuoni launched its own acquisition drive in the late 1990s. In 1996, Kuoni added Frances Voice SA, and Scanditours, focused on the Nordic region. (Middleton, Clarke, 2001)The company moved into The Netherlands with the acquisition of Special Traffic that same year. Kuoni also looked to the potentially huge market of India for the first time, acquiring SOTC Holiday Tours, which provided the basis for its Kuoni India Ltd. subsidiary. Two other acquisitions completed the companys busy years, those of Rotunda Tours, expanding Kuoni into South Africa, and CIS Intersport, a Swiss company catering to the growing demand for sports-oriented holiday packages. In 1996, also, the companys Edelweiss Air launched its charter flight operations. (Walle, 1996) Kuonis expansion campaign continued strongly through the end of the century, including the launch of the P O Travel Ltd. joint venture with Peninsular and Oriental Steam Navigation Company, based in Hong Kong, with offices in Bangkok and Singapore. The 1997 joint venture strengthened Kuonis position in the Asian market, which, despite the austere economic climate in the region at the end of the decade, promised to become one of the worlds stronger holiday markets. Closer to home, Kuoni continued lining up acquisitions, especially Voyages Jules Verne, a U.K. upscale tour operator, and Switzerlands Manta Reisen, which specialized in scuba and other deep-sea holidays. The company also acquired German business travel specialist Euro Lloyd Reisenburo, which it combined with its other German operations into the new subsidiary BTI Euro Lloyd, one of that markets top five business travel companies. Also in 1998, Kuoni launched a joint venture with Italys Gastaldi Tours. The next year Kuoni face a major setback. At the beginning of 1999, the company announced its agreement to merge with the United Kingdoms number three travel operator, First Choice Holidays. The merger, agreed to by both sides, was thwarted by a surprise takeover attempt from rival U.K. operator Airtours Plc, which offered a higher per-share price. When the majority of First Choices shareholders chose to back the Airtours offerwhich itself was blocked by the European monopolies commissionKuoni pulled out of the merger talks. The First Choice merger might have allowed Kuoni to become not only a major player in the U.K. travel market but to boost its position to the top ranks in all of Europe. After the collapse of the merger, however, Kuoni redirected its strategy to other markets. Three markets in particular were to receive its attention: the United States, Scandinavia, and India. In 1999, Kuoni acquired upscale travel company Intrav, based in St. Louis, Missouri; the Intrav acquisition, which cost Kuoni $115 million, gave it a strong opening into the booming U.S. market for luxury vacations. The following year, the company acquired T Pro, an incoming services specialist based in New York and the number three incoming services provider to the U.S. market. The year 2000 saw Kuoni not only strengthen its hold on the Swiss travel markettaking a 49 percent share in ITV, Switzerlands third largest tour group and subsidiary of Germanys Preussagbut also expand its presence in its new target markets of Scandinavia and India. The first was served by the acquisition of 49 percent of Apollo Resor, based in Stockholm, Sweden, and then boosted by the acquisition of Denmarks Dane Tours. In March 2001, the company announced its decision to restructure most of its Scandinavian holdings into a single subsidiary. Thomas Cook Holiday Company Thomascook.com has pledged to bring in a quarter of sales through its website in 2006 and appointed a new digital agency to plan and buy all online media.The move will include an increase in online advertising spend of around 50% and will see an integration between traditional campaigns in print and outdoor with online marketing. Harvest Digital will take on all online media planning and buying through existing travel portals, plus drive a new strategy with the likes of Metro.co.uk, GM.TV and the Lonely Planet websites.Head of online marketing at Thomas Cook, Manuel Mascarenhas, said: â€Å"We selected Harvest Digital because they have delivered on an imaginative plan, using competitions, contextual advertising and sponsorships against tight CPA targets. They have a core audience of repeat bookers and want to ensure we continue to acquire new customers online. The new marketing strategy will target what has been labelled the lucrative and web-savvy audience of 35 to 45 year olds that several holidays a year, including packages, flights, ski holidays and cruises. Harvest Digital partner Emma Wilson added that Thomas Cook is the oldest name in travel but has a very contemporary approach within its sales channels. Also Thomas Cook Signature has won the award for Best Long Haul Operator at last years British Travel Awards, receiving 31% of the vote, while in 2002 Thomas Cook India Ltd has been awarded the Institute of Directors prestigious Golden Peacock National Award for excellence in corporate governance, awarded for transparency, excellence in conducting business at various levels of management, social and environmental responsibility, ethical business practice and consistent creation of value for all the stake holders. Thomas Cook Group has acquired Elegant Resorts, the Chester-based luxury travel firm with 160 staff and gross assets of  £22m. Thomas Cook acquired Hotels4U.com from Centurion Holiday Group for an initial  £22m. This company closed 150 travel shops and six offices throughout the country with the loss of up to 2,800 jobs, affecting sites in Rochdale, Manchester, Rawtenstall and Denton; not only this but Thomas Cook based 40 head office jobs in London following its merger with Mytravel, but this is not expected to affect the jobs at its existing headquarters in Peterborough. Apart from this, Thomas Cook of Peterborough merged with MyTravel of Rochdale to form a combined holidays business with more than 32,000 staff, Thomas Cook is to conduct a strategic review of its UK tour operating business, prompting speculation that it will seek buyers for Club 18-30, Style villa holidays, Neilson skiing and Sun World. Accenture has won a  £110m 10-year contract from Thomas Cook to set up an IT and finance service centre, which will involve the transfer of about 400 Thomas Cook staff. Thomas Cook has launched a branded digital TV channel, which features its full range of holidays and other travel products; also reduced costs in its European travel business by shedding 2,600 jobs, closing 100 shops and grounding four aircraft. Today, Thomas Cook is a leading travel company and one of the most widely recognised and respected brands in the world. Employing over 11,000 staff, Thomas Cook operates throughout a network of 616 locations in the UK and overseas. The company is wholly owned by Thomas Cook AG (formerly CN Touristic AG), which announced its acquisition of Thomas Cook in December 2004 and was granted EC approval in March 2005. (Marvell, 2005) Thomas Cook AG is now the second largest travel group in Europe and the third largest in the world. One reason for the companys longevity and continued success is its commitment to providing exceptional service. Thomas Cook once described himself as the willing and devoted servant of the travelling public. Today, 160 years after his pioneering excursion, these words remain a fitting epithet to the company he founded. (Bloch and Segev, 1997) Thomas Cook, a major UK Tour Operator, has signed an agreement to pilot AXS-Ones new AXSPoint(R) electronic invoice delivery service to travel agents. The new AXSPoint service, which has been approved by the Civil Aviation Authority (CAA), a UK regulatory body for use by tour operators holding an Air Travel Organisers Licence (ATOL), will eliminate the need for tour operators to issue hard copy invoices to travel agents, thereby providing tour operators such as Thomas Cook Holidays with potential savings of up to 80 percent on their annual invoice distribution costs. For travel agents involved in the Pilot program, invoices will now arrive electronically on the same day as dispatch. The AXSPoint service will offer travel agents the ability to automatically match and reconcile invoices to bookings, thereby reducing administration costs and allowing quicker turn-around of invoices to the agents customer. (Richer and James, 1998) The AXSPoint service will significantly enhance the service we provide to our travel agent customers and the service they provide their customers in turn, commented Manny Fontenla Novoa, Chief Executive Officer, Thomas Cook (UK). The speed and efficiency of electronic distribution will reduce our costs considerably while benefiting agents and customers alike. Commenting on the development, Mark Donkersley, Managing Director, AXS-One UK, said: While Thomas Cook is the first tour operator to pilot this system, we are receiving strong interest from other tour operators and travel agents. The issuing of paper invoices has been expensive to tour operators and agents alike in terms of money, time and customer service. Today, this activity costs the regulated tour industry over $25 million per year and we are currently working with the leaders of this sector to bring them on board our system. By providing these services electronically, and securely, we save them a considerable amount of money, while at the same time adding value to each part of the distribution chain and generating recurring revenue streams for AXS-One. (Richer and James, 1998) Superficially, the differences between Thomas Cook AG and other agencies are evident, as one is a national tour operator, while the others are global travel conglomerates. Nevertheless, if we examine deeper below the surface and truly analyze other companies, we can appreciate the great difference between Cook and others’ services. All the agencies have become trusted and highly respected in their markets, as well as being among the best-known names in them, but Cook’s services is most appreciated by his customers. This is the reasons his company is the most preferred one. Thus, we can infer that Cook has the same presence and effect in his comparative market, it being tour operation in the U.S. for other companies and the world for Thomas Cook AG. (Trochim, 2001) STA Travel Company To be responsive to their globally dispersed and culturally diverse customer base STA Travel sought to â€Å"delegate as much autonomy, responsibility and authority as close to the action as possible,† while using a single integrated information system â€Å"to provide global support and solutions when that can improve their experience.† They described this philosophy, ‘as local as possible, as global as necessary’. An evolving business strategy called One Company sought to â€Å"align business operations with customer needs across the world†. Global teams were charged with developing and delivering â€Å"a single supplier strategy, one service standard, one set of operating standards and guidelines for management of our corporate identity†. To support that model the company was providing BLUEe, â€Å"a single sales and booking system to every STA Travel point of purchase backed by a single network, infrastructure, finance, and reporting syst em.† (Trochim, 2001) To ensure they remained â€Å"as local as possible,† each major country maintained its own sales and marketing arms. While most country’s home web page was consistent in look and feel, country marketers were each free to design their marketing campaigns including methods to harness the internet. The US office, for instance had run a successful viral marketing campaign called â€Å"body shots,† intended to promote spring break in the U.S. They had also initiated advertising on Facebook and Myspace, two sites popular with the demographics desirable by the firm. The STA Travel U.S. website, itself was a popular destination, registering some 600,000 unique visitors each month. Over 400,000 customers and prospective customers also contact the U.S. Division each month by email. The STA Travel’s North American division’s had initiated development of STATRAVEL193.COM, a highly interactive web site featuring video reports from STA customers about travel destinations. (Gall Borg, 2003)They had also been the first division to explore the possibilities of Second Life as a marketing tool. The idea had received a welcome endorsement, and a matching investment, from STA Travels headquarters in the U.K. Craig Hepburn, STA Travels Global Webmaster, was responsible for the content management system that fed the various country websites and that was being rolled out throughout the world. His team had also supported development of personalized travel blogs, that allowed STA Travel customers to document their travel. Hepburn was enthusiastic about SL as a marketing channel, but knew it would be met with resistance by the marketing departments in other countries. The initial strategy STA Travel had conceived for their web presence had two prongs. The first element was to create several destination islands to attract prospective travelers. For instance, one idea was to create an island featuring the great wall of China. The second element of the plan was to hold a machinima competition among current Second Life residents. Machinima, a style of movie making, uses avatars as members of the cast; the movie is then filmed in the context of a virtual wor Analysis of Holiday Tour Operators Analysis of Holiday Tour Operators Chapter 1: Introduction Outline This research focuses on three UK holiday companies Kuoni, Thomas Cook and STA Travel and their marketing strategies. This research is comprised of following chapters: Rationale This study highlights many issues related to marketing of tourism companies; more specifically it will be looking at the three companies mentioned above and will be giving a broad analysis to marketing strategy as a marketing tool. The purpose of this dissertation is to conduct a detailed analysis on three different UK holiday companies which are Kuoni, Thomas Cook and STA Travel, who target different segments of the market. I believe that this investigation will broaden my understanding of the tourism marketing as well as the techniques and strategies that they use as a key factor to their success. (Morgan, 2001)Overall I believe that it is an interesting area to study because I can use and demonstrate while conducting this investigation the skills and knowledge that I had obtained while studying my degree. In addition, I have chosen to carry out my dissertation on the following three companies, because I believe that they differ in their market segmentation, however they have a common goal and they are competitors. I would like to introduce the companies that I will be focusing on and provide some brief introduction for each of them. But first of all let us talk about the role of tour operators. (Wang, 2002) Tour operators today play a very important role in creating the images of destinations. In this global capacity, they can significantly influence international tourism flows towards a country hit by safety and security risks. Even decisions of individual tourists on where to spend a holiday very often depend on the attitude and practice of tour operators towards a particular destination. But people have their own choices and preferences. In this paper we are going to analyse Kuoni, Thomas Cook and STA Travel tourism and travelling services as this is one of the best tour operator agencies world wide and the first choice of tourists. (Buhalis, 2001) From 1950 to 1998 the number of international tourist arrivals in the world increased from 25 million to 635 million (WTO 1999b), with an average annual increase of 6.97%. Over the past 15 years, international tourism receipts have grown 1.5 times faster than world GDP, with no signs of slowing down. In 1998 international tourism accounted for an estimated 8% of the worlds total earnings and 37% of exports in the service sector (WTO 1999a). According to data from the International Monetary Fund, in 1998 international tourism receipts and passenger transport amounted to more than $504 billion, putting it ahead of all other categories of international trade (automotive products, chemicals, food, petroleum and other fuels, computer and office equipment, textiles and clothing, mining products, etc.). (Driver, 1999) This rapid development of international tourism can partly be explained by the xxpackage holidays promoted nationally and internationally. Indeed, tour operators represent one of the most powerful and most influential entities in the tourism industry. They have a strong influence on international flows from main generating markets to various destinations. According to World Tourism Organization estimates, tour operators nowadays have a share of about 25% in the total international tourism market. This means that in 2000 tour operators organized at least 175 million international tourism trips. Therefore, the success of many destinations depends on whether foreign tour operators include them in their programs. (Buhalis, 1998) Travel Industry As the travel industry consists of numerous sectors and divisions, companies within the industry vary greatly in their activities and the segments of the market they are involved in. Three of them Kuoni, Thomas Cook and STA Travel leaders in their respective field and I would like to commence with Kuoni in the following segment. (Riege, 2000) Introduction to Kuoni, Thomas Cook and STA Travel Companies Kuoni Travel Holding Ltd. oversees one of Europes top five travel and tour groups. Based in Zurich, Switzerland, the company is particularly strong in both its domestic and U.K. markets, but is also present throughout Europe, especially in Scandinavia, with a rising presence in the United States and Asian markets. Kuoni Travel operates in three primary areas of business: Leisure Travel, which accounts for more than 85 percent of the companys sales; Business Travel, through its BTI unit, which handles travel coordination activities for the small and mid-sized and large-scale corporation markets; and Incoming Services, which provides travel destination services, such as touring and sightseeing packages. (Morrison, 1994)The company markets it high-end tours and travel packages under the Kuoni name. Discount travel packages are offered under the Helvetica brand name. Switzerland remains the companys single largest market, representing slightly less than one-third of its total sales. The U.K. and North American markets together provide less than one-third of sales. The European continent, including Scandinavia, added another roughly 30 percent to Kuonis total sales, which topped SFr 4 billion in 1996. (Schonland and Williams, 1996) Kuoni has been stepping up the pace of its acquisitions at the turn of the century. After being disapponited in its attempt to merge with the United Kingdoms First Choice Holidays Plc, which would have helped the company create a counterweight to Europes market-leading Preussag-Thomson alliance announced in early 1999, Kuoni has changed direction, targeting the Scandinavian, Indian, and North American markets for its future growth. (Weber and Roehl, 1999)Listed on the Swiss stock exchange, Kuoni is led by Chairman Daniel Affolter and President and CEO Hans Lerch. (Bonn and Furr, 1999) A native of Chur, Switzerland, Alfred Kuoni moved to Zurich to open a travel agency in 1906. If the companys nameTravel Bureauwas not all that original, Kuoni quickly established itself as a pioneer in exotic travel destinations. One of the companys first organized tour packages took Swiss citizens on a guided tour to far-off Egypt. (Hu, 1996) In 1925, Kuoni reincorporated as a joint-stock company, with shares remaining within the Kuoni family. Through the years leading up to World War II, Kuoni expanded from its original location to include a number of sales offices throughout Switzerland. Despite its success in its home market, the company recognized early on that Switzerland was too small for its growing ambitions. The company also opened its first international office, in Nice, in the south of France. Further international moves were not realised due to the buildup to and outbreak of World War II. (Baker and Hozier, 1994) Kuonis international expansion began almost immediately after the end of the war. In 1948, the company opened its first international subsidiaries, in Italy and France. Kuoni also continued to venture to new and exotic travel destinations, such as the organization of the first charter flights to Africa. (Pizam and Mansfeld, 1999)In 1957, the Kuoni family established the Kuoni and Hugentobler Foundation under which to group their holding; much later, with Kuonis public listing, the foundation would became the companys primary shareholder. (Dev and Olsen, 2000) Thomas Cook AG is an international leisure group, created in 2000 by CN Touristics purchase of Britains Thomas Cook Holdings Ltd., with roots tracing back to 1841. (Bitner and Booms, 1982 )The company is represented in the sales markets of Germany, Great Britain, Ireland, France, Belgium, Luxembourg, the Netherlands, Austria, Hungary, Poland, Slovakia, Slovenia, Egypt, India and Canada, providing products and services in most market segments, including airlines, hotels, tour operators, travel and incoming agencies. Thomas Cook AG is the third largest integrated tourism group in the world, serving some 14 million customers. Thomas Cook AG, encompasses 32 tour operators and around 3,600 travel agencies, selling the groups products worldwide, as well as a portfolio of 76,000 controlled hotel beds, a fleet of 87 aircraft and a workforce numbering some 28,000. Its services also include travel shops and charter airlines. (Koh, 1995) Evidently, the scale of operations of Thomas Cook AG in his respective market, has allowed him to realize economy of scale, affording a strong advantage over competition and in turn benefiting his clients. Because of the large volume of business provided to many resorts by Cook, he currently have excellent buying power, enabling him to negotiate the best possible airfare, hotel rates and transfer rates, which are translated into attractive selling prices, better rooms and overall greater value for his clients. Numerically, Cook has realized triumphs and broken records in his area. In 1993, Thomas Cook AG excels, as it achieved sales of some eight billion Euros and served more that 13 million customers in the 2001-2002 financial year alone. (Ioannides and Debbage, 1997)In appreciation of his expertise and as an acknowledgement of his proficiency in his operations, Thomas Cook AG has both received numerous awards and tributes over the years for a variety of enterprises. For example, th e Mexican government awarded the Best Tour Operator Worldwide Award in 1998. Thomas Cook AG is nominated every year in several categories in the World Travel Awards, as well as having its various subsidiaries and companies receive numerous awards worldwide. (Riege and Perry, 2000) STA Travel, a subsidiary of privately held Diethelm Keller Holding Ltd., markets itself as â€Å"the world’s largest student travel organization helping students travel in over 90 countries.† STA Travel specializes in student travel, a market niche accounting for approximately 20% of all travel bookings. In 2005 STA Travel reported revenues of 215 Million CHF (Swiss Francs) on total transactions of 1,542 CHF, down from 241 on 1539 the previous year. That same year, the firms 2,358 employees working from 375 travel agency offices in 17 countries and through franchises in 83 others, provided travel advice and booking services to approximately 6 million travelers. (Fick and Ritchie, 1991) Founded in 1979, STA Travel had grown and expanded its global reach through a series of mergers and acquisitions. While the brand well known in parts of Europe and Australia, where it had operated for many years, STA Travel’s US brand, born with the acquisition in 2003 of Council Travel, was still less well known. Historically, STA Travel reached its customers through retail travel agencies, many located near or on college campuses. Beginning in the 1990’s, however, the internet brought new online competitors. Among these were Student Universe and Student City as well as less focused on line providers of travel services including Travelocity and Expedia. By 2007 the internet was predicted to account for more bookings than offline alternatives. Aims and Objectives Following are the aims and objectives of this study: Introduction to Kuoni Holiday Company Introduction to Thomas Cook Holiday Company Introduction to STA Travel Holiday Company Marketing strategy of these companies Research Questions The study seeks to answer the following questions: â€Å"An investigation into the marketing strategy of three UK holiday companies who target the different sections of society with reference to their marketing strategy.† (Kuoni, Thomas Cook and STA Travel) Chapter 2: Literature Review Role of Tour Operators The role of tour operators unlike the travel agencies who sell holiday and a range of other travel products tour operators actually assemble the component parts of a holiday, package holidays i.e. the means of travel, accommodation, facilities, transfers, excursion and other services. The famous name which comes into my minds is Thomas Cook for their packages and services. (Field, 1999) If we consider that the travel agents are the retailer arm of the travel business, then the tour operators can be linked to wholesalers, since they buy in bulk from the providers of travel services, such as the hoteliers and airlines, break the bulk into manageable packages and offer the finished product the inclusive tour for sale to the travel agencies or direct to the consumer. (Kaynama and Black, 2000) Peace, safety, and security are the primary conditions for the normal tourism development of a destination, region, or country and thus are the basic determinants of its growth. Without them, destinations cannot successfully compete on the generating markets, even if they present in their marketing campaigns the most attractive and best quality natural and built attractions. Tourism contributes to peace as much as it benefits from it (Savignac 1994). According to Pizam (1999), every minute of every day a crime or a violent act occurs at a destination somewhere in the world. At the same time, it would be difficult to deny that many types of safety risks co-exist in everyones daily lives, and within tourism as well. However, an important difference exists: People are rarely in a position to change their place of living, but nothing can force them to spend a holiday in a place that they perceive as insecure. (Kaynama and Black, 2000)The basic requirement of contemporary demand is higher quality supply and services, and that quality has become the most important factor in the existing climate and development of that demand. But usually do not mention factors which are the condition sine qua non—peace, safety, and security, now generally taken for granted. Any threats to the safety of tourists causes a decrease or total absence of activity, not only in a particular destination, but also very often in neighbouring regions or countries as well. Consequently, since tourism is an important contributor to national economies, host countries will find it necessary to take substantial measures to bring the country hit by crisis back onto the market as quickly as possible. Taking the example of three companies discussed below we further try to explore their role and business strategy. (Medlik and Wang, 2002) Kuoni, Holiday Company Kuoni began looking farther afield in the 1960s. In 1963, the company made its first entry into the Asian markets with the opening of a branch office in Japan. (Medlik and Wang, 2002 )Two years later, Kuoni entered what was later to become one of its most important single markets when it acquired the United Kingdoms Challis Benson Ltd. The importance of the U.K. market to Kuoni was seen at the beginning of the 1970s when the company changed its nameand its U.K. operations nameto Kuoni Travel Ltd. (Buhalis, 1998) The companys listing on the Swiss stock exchange provided fuel for new growth, while opening up the companys shares to new partners, including SwissAir, which built up a 30 percent share in Kuoni. The public listing enabled the company to step up its international growth. After opening a subsidiary in Austria at the beginning of the decade, Kuoni now launched subsidiaries in Germany and Spain, both in 1973, and a subsidiary in Greece the following year. The year 1974 also saw Kuoni step up its position in the U.K. market, when it acquired Houlders World Holidays, based in England. (Buhalis, 1998) While building up its international network, Kuoni also was launching new products. In 1977, the company began marketing its first around-the-world tour. In the 1980s, Kuoni began to acquire properties in many of its most popular destinations, adding a number of hotels, including the Hawksbill Beach Hotel in Antigua in 1981 and the Discovery Bay Beach Hotel in Barbados, bought in 1984. In 1986, Kuoni became the first tour operator to offer around-the-world charter flights on the Concorde supersonic jet. (Morrison, 1996)Although this latter product catered to the companys strong high-end and high-margin clientele, Kuoni also launched a new brand name, Helvetica, to encompass its discount tour and travel operations. The worldwide travel industry remained highly fragmented in the 1990s, with numerous small-scale operators competing against a smaller number of quickly growing industry heavyweights. Kuoni, which had already captured the lead in the Swiss market, was determined to maintain a leadership position as the travel industry headed into a drawn-out consolidation drive leading up to the turn of the century. The company acquired Reiseburo NUR Neckermann in 1987, boosting its position in the Austrian market. Three years later, the company regrouped its Austrian activities, launching the NUR Neckermann Reisen AG joint venture with Germanys Neckermann Touristic. Kuonis part of the joint venture remained at 49 percent. (Morrison, 1996) Back home, the company continued to consolidate its dominance of the Swiss market, acquiring Privat Safaris, the countrys leading operator of tours to eastern Africa, and Reiseburo Popularis, which combined retail offices with direct sales operations marketing discount tour and travel packages. Yet Kuonis strong position in the Swiss market and its growing share internationally soon led it to become the target of a takeover attempt. The sale of SwissAirs 30 percent holding created the opening for Germanys Krauthof AG department store group to acquire a 50.1 percent majority of Kuoni in 1992. (Middleton, Clarke, 2001) Kuoni, through the Kuoni and Hugentobler Foundation, nonetheless retained majority control of the companys voting rightswhich provided the leverage to the resolution of the takeover attempt. In 1995, the Kuoni and Hugentobler Foundation bought out Krauthofs stake in the company. The company then changed its name to Kuoni Travel Holding, a move that also reflected a new diversification drive: in 1995 the company acquired Danzas Reisen AG, a Switzerland-based specialist in business travel services. The Danzas acquisition led Kuoni to create a dedicated business travel unit. The company also acquired retailer Kewi Reisen, while integrating its majority share of Railtour Suiss SA, acquired the year before. With its independence assured, Kuoni launched its own acquisition drive in the late 1990s. In 1996, Kuoni added Frances Voice SA, and Scanditours, focused on the Nordic region. (Middleton, Clarke, 2001)The company moved into The Netherlands with the acquisition of Special Traffic that same year. Kuoni also looked to the potentially huge market of India for the first time, acquiring SOTC Holiday Tours, which provided the basis for its Kuoni India Ltd. subsidiary. Two other acquisitions completed the companys busy years, those of Rotunda Tours, expanding Kuoni into South Africa, and CIS Intersport, a Swiss company catering to the growing demand for sports-oriented holiday packages. In 1996, also, the companys Edelweiss Air launched its charter flight operations. (Walle, 1996) Kuonis expansion campaign continued strongly through the end of the century, including the launch of the P O Travel Ltd. joint venture with Peninsular and Oriental Steam Navigation Company, based in Hong Kong, with offices in Bangkok and Singapore. The 1997 joint venture strengthened Kuonis position in the Asian market, which, despite the austere economic climate in the region at the end of the decade, promised to become one of the worlds stronger holiday markets. Closer to home, Kuoni continued lining up acquisitions, especially Voyages Jules Verne, a U.K. upscale tour operator, and Switzerlands Manta Reisen, which specialized in scuba and other deep-sea holidays. The company also acquired German business travel specialist Euro Lloyd Reisenburo, which it combined with its other German operations into the new subsidiary BTI Euro Lloyd, one of that markets top five business travel companies. Also in 1998, Kuoni launched a joint venture with Italys Gastaldi Tours. The next year Kuoni face a major setback. At the beginning of 1999, the company announced its agreement to merge with the United Kingdoms number three travel operator, First Choice Holidays. The merger, agreed to by both sides, was thwarted by a surprise takeover attempt from rival U.K. operator Airtours Plc, which offered a higher per-share price. When the majority of First Choices shareholders chose to back the Airtours offerwhich itself was blocked by the European monopolies commissionKuoni pulled out of the merger talks. The First Choice merger might have allowed Kuoni to become not only a major player in the U.K. travel market but to boost its position to the top ranks in all of Europe. After the collapse of the merger, however, Kuoni redirected its strategy to other markets. Three markets in particular were to receive its attention: the United States, Scandinavia, and India. In 1999, Kuoni acquired upscale travel company Intrav, based in St. Louis, Missouri; the Intrav acquisition, which cost Kuoni $115 million, gave it a strong opening into the booming U.S. market for luxury vacations. The following year, the company acquired T Pro, an incoming services specialist based in New York and the number three incoming services provider to the U.S. market. The year 2000 saw Kuoni not only strengthen its hold on the Swiss travel markettaking a 49 percent share in ITV, Switzerlands third largest tour group and subsidiary of Germanys Preussagbut also expand its presence in its new target markets of Scandinavia and India. The first was served by the acquisition of 49 percent of Apollo Resor, based in Stockholm, Sweden, and then boosted by the acquisition of Denmarks Dane Tours. In March 2001, the company announced its decision to restructure most of its Scandinavian holdings into a single subsidiary. Thomas Cook Holiday Company Thomascook.com has pledged to bring in a quarter of sales through its website in 2006 and appointed a new digital agency to plan and buy all online media.The move will include an increase in online advertising spend of around 50% and will see an integration between traditional campaigns in print and outdoor with online marketing. Harvest Digital will take on all online media planning and buying through existing travel portals, plus drive a new strategy with the likes of Metro.co.uk, GM.TV and the Lonely Planet websites.Head of online marketing at Thomas Cook, Manuel Mascarenhas, said: â€Å"We selected Harvest Digital because they have delivered on an imaginative plan, using competitions, contextual advertising and sponsorships against tight CPA targets. They have a core audience of repeat bookers and want to ensure we continue to acquire new customers online. The new marketing strategy will target what has been labelled the lucrative and web-savvy audience of 35 to 45 year olds that several holidays a year, including packages, flights, ski holidays and cruises. Harvest Digital partner Emma Wilson added that Thomas Cook is the oldest name in travel but has a very contemporary approach within its sales channels. Also Thomas Cook Signature has won the award for Best Long Haul Operator at last years British Travel Awards, receiving 31% of the vote, while in 2002 Thomas Cook India Ltd has been awarded the Institute of Directors prestigious Golden Peacock National Award for excellence in corporate governance, awarded for transparency, excellence in conducting business at various levels of management, social and environmental responsibility, ethical business practice and consistent creation of value for all the stake holders. Thomas Cook Group has acquired Elegant Resorts, the Chester-based luxury travel firm with 160 staff and gross assets of  £22m. Thomas Cook acquired Hotels4U.com from Centurion Holiday Group for an initial  £22m. This company closed 150 travel shops and six offices throughout the country with the loss of up to 2,800 jobs, affecting sites in Rochdale, Manchester, Rawtenstall and Denton; not only this but Thomas Cook based 40 head office jobs in London following its merger with Mytravel, but this is not expected to affect the jobs at its existing headquarters in Peterborough. Apart from this, Thomas Cook of Peterborough merged with MyTravel of Rochdale to form a combined holidays business with more than 32,000 staff, Thomas Cook is to conduct a strategic review of its UK tour operating business, prompting speculation that it will seek buyers for Club 18-30, Style villa holidays, Neilson skiing and Sun World. Accenture has won a  £110m 10-year contract from Thomas Cook to set up an IT and finance service centre, which will involve the transfer of about 400 Thomas Cook staff. Thomas Cook has launched a branded digital TV channel, which features its full range of holidays and other travel products; also reduced costs in its European travel business by shedding 2,600 jobs, closing 100 shops and grounding four aircraft. Today, Thomas Cook is a leading travel company and one of the most widely recognised and respected brands in the world. Employing over 11,000 staff, Thomas Cook operates throughout a network of 616 locations in the UK and overseas. The company is wholly owned by Thomas Cook AG (formerly CN Touristic AG), which announced its acquisition of Thomas Cook in December 2004 and was granted EC approval in March 2005. (Marvell, 2005) Thomas Cook AG is now the second largest travel group in Europe and the third largest in the world. One reason for the companys longevity and continued success is its commitment to providing exceptional service. Thomas Cook once described himself as the willing and devoted servant of the travelling public. Today, 160 years after his pioneering excursion, these words remain a fitting epithet to the company he founded. (Bloch and Segev, 1997) Thomas Cook, a major UK Tour Operator, has signed an agreement to pilot AXS-Ones new AXSPoint(R) electronic invoice delivery service to travel agents. The new AXSPoint service, which has been approved by the Civil Aviation Authority (CAA), a UK regulatory body for use by tour operators holding an Air Travel Organisers Licence (ATOL), will eliminate the need for tour operators to issue hard copy invoices to travel agents, thereby providing tour operators such as Thomas Cook Holidays with potential savings of up to 80 percent on their annual invoice distribution costs. For travel agents involved in the Pilot program, invoices will now arrive electronically on the same day as dispatch. The AXSPoint service will offer travel agents the ability to automatically match and reconcile invoices to bookings, thereby reducing administration costs and allowing quicker turn-around of invoices to the agents customer. (Richer and James, 1998) The AXSPoint service will significantly enhance the service we provide to our travel agent customers and the service they provide their customers in turn, commented Manny Fontenla Novoa, Chief Executive Officer, Thomas Cook (UK). The speed and efficiency of electronic distribution will reduce our costs considerably while benefiting agents and customers alike. Commenting on the development, Mark Donkersley, Managing Director, AXS-One UK, said: While Thomas Cook is the first tour operator to pilot this system, we are receiving strong interest from other tour operators and travel agents. The issuing of paper invoices has been expensive to tour operators and agents alike in terms of money, time and customer service. Today, this activity costs the regulated tour industry over $25 million per year and we are currently working with the leaders of this sector to bring them on board our system. By providing these services electronically, and securely, we save them a considerable amount of money, while at the same time adding value to each part of the distribution chain and generating recurring revenue streams for AXS-One. (Richer and James, 1998) Superficially, the differences between Thomas Cook AG and other agencies are evident, as one is a national tour operator, while the others are global travel conglomerates. Nevertheless, if we examine deeper below the surface and truly analyze other companies, we can appreciate the great difference between Cook and others’ services. All the agencies have become trusted and highly respected in their markets, as well as being among the best-known names in them, but Cook’s services is most appreciated by his customers. This is the reasons his company is the most preferred one. Thus, we can infer that Cook has the same presence and effect in his comparative market, it being tour operation in the U.S. for other companies and the world for Thomas Cook AG. (Trochim, 2001) STA Travel Company To be responsive to their globally dispersed and culturally diverse customer base STA Travel sought to â€Å"delegate as much autonomy, responsibility and authority as close to the action as possible,† while using a single integrated information system â€Å"to provide global support and solutions when that can improve their experience.† They described this philosophy, ‘as local as possible, as global as necessary’. An evolving business strategy called One Company sought to â€Å"align business operations with customer needs across the world†. Global teams were charged with developing and delivering â€Å"a single supplier strategy, one service standard, one set of operating standards and guidelines for management of our corporate identity†. To support that model the company was providing BLUEe, â€Å"a single sales and booking system to every STA Travel point of purchase backed by a single network, infrastructure, finance, and reporting syst em.† (Trochim, 2001) To ensure they remained â€Å"as local as possible,† each major country maintained its own sales and marketing arms. While most country’s home web page was consistent in look and feel, country marketers were each free to design their marketing campaigns including methods to harness the internet. The US office, for instance had run a successful viral marketing campaign called â€Å"body shots,† intended to promote spring break in the U.S. They had also initiated advertising on Facebook and Myspace, two sites popular with the demographics desirable by the firm. The STA Travel U.S. website, itself was a popular destination, registering some 600,000 unique visitors each month. Over 400,000 customers and prospective customers also contact the U.S. Division each month by email. The STA Travel’s North American division’s had initiated development of STATRAVEL193.COM, a highly interactive web site featuring video reports from STA customers about travel destinations. (Gall Borg, 2003)They had also been the first division to explore the possibilities of Second Life as a marketing tool. The idea had received a welcome endorsement, and a matching investment, from STA Travels headquarters in the U.K. Craig Hepburn, STA Travels Global Webmaster, was responsible for the content management system that fed the various country websites and that was being rolled out throughout the world. His team had also supported development of personalized travel blogs, that allowed STA Travel customers to document their travel. Hepburn was enthusiastic about SL as a marketing channel, but knew it would be met with resistance by the marketing departments in other countries. The initial strategy STA Travel had conceived for their web presence had two prongs. The first element was to create several destination islands to attract prospective travelers. For instance, one idea was to create an island featuring the great wall of China. The second element of the plan was to hold a machinima competition among current Second Life residents. Machinima, a style of movie making, uses avatars as members of the cast; the movie is then filmed in the context of a virtual wor