Power and Politics in Canada Essay Example | Topics and Well Written Essays - 750 words

Power and Politics in Canada - Essay Example In addition, the Canadian Heritage oversees affairs relating to the royal family members’ visits in and outside Canada. The department of Canadian Heritage funds various native cultural objects namely languages, women’s programming, friendship centers, action Canada, arts presentation, scholarship for post-secondary students and language assistant part time package. The department also funds athletic activities, book publishing, broadcasting projects, multipurpose youth centers and museum initiatives. One of the Canadian Heritage Minister’s obligations would be to make provisions for funds in enabling institutions in other countries associated with Canadian national heritage. Also, institutions intending to purchase objects but for which export permits remain not granted would be funded by the department. Public funding follows the attainment of public authorities and designation of institutions requirements with a movable cultural property grant (Ivir, 2005). Ca nadian cultural objects remain significant in preserving Canadian traditions. Also, the activities for which public funding remains allocated have considerable contributions to the economic and social domains of the country’s economy. ... Furthermore, certain instances such as a sale from private entity and auction purchases may necessitate full funding after successful price negotiations have become achieved. Taking these requirements into consideration, it would be recommended that public funds be used to create and support Canadian cultural objects (Ivir, 2005). Canadian cultural heritage exists as a mosaic society continuously progressing into a more culturally assorted society under the influence of native Canadians as well as the Anglophone and francophone populaces. Constitutionally, the Canadian federal government shares the obligation for developing culture at the national level. In order to facilitate integrated planning and policy along with enhancing partnerships with Canada’s cultural society and the private sector in relation to cultural development, public funding for Canadian cultural objects becomes necessary. In addition, public funding would promote cultural involvement, encourage philanthrop y and voluntarism, and facilitate professional development and training in the arts. Most Canadian based arts establishments such as public galleries, museums and performing arts firms remain entirely nonprofit establishments thus making them eligible to become charitable establishments when tax considerations become considered (Ivir, 2005). Similarly, Canada’s corporate sponsorship for arts continues to grow dramatically in the previous decades thereby causing a proportionate increase in the demand for federal funding. However, only few foundations exist in Canada with the capability of supporting and developing arts activities. Additionally, the

Financial Statement on Netflix Essay Example | Topics and Well Written Essays - 500 words

Financial Statement on Netflix - Essay Example Looking at the cash flow statement of the year, certain major components stand out. During this year, they bought back $90 million worth of their own stock. The buying of this stock was made possible due to the large increase in price (Houston and Brigham, p. 248). In the year 2013 and 2014, the company spent over half of the total revenues on subscription. Expenses on subscription were 57.2% of the total revenue in 2013 and 55.1% of the total revenue in 2014. It therefore means that subscription expenses increased by 14.1%. These subscription expenses are as a result of shipping off DVDs to customers. They also result from buying of content from distributors. Shipping costs include package, postage and labels. In 2013, more DVDs were shipped since there were more subscribers. The operating expenses for Netflix include expenses incurred on technology and development, marketing and administration. There was an increase of 26.3% for expenses on technology and development between 2013 and 2014. The increase in these expenses was because of need for more personnel to stream content on the internet. In terms of total revenue, these expenses were 6.2% in 2013 compared to 5.7% in 2014. Expenses incurred on marketing reduced by 8.5% from 2013 to 2014 and comprised 15.6% of total revenues in 2014 compared to 16.8% in 2013. The reduction in marketing expenses is a reflection of Netflix’s resolution to decrease its advertisements to potential customers. In terms of assets, cash and cash equivalents accounted for 94% of current assets owned by Netflix in the year 2013. In 2014, cash represented 47% of Netflix’s current assets. This reduction in cash is attributed to the company’s use of cash for short term-term investments. The company invested in corporate debt securities, asset and mortgage backed securities and agency securities (Houston

The Indian Construction Industry Construction Essay

The Indian Construction Industry Construction Essay Abstract The project mainly depends on the health and safety issues in India and UK construction industry. The Construction industry contributes most of the countrys economy for both UK and India. At the same time the issues related to health and safety is increasing in both the countries. The measures taken on workers safety are insufficient even though workers play a major role in all construction projects. This dissertation mainly focuses on the health and safety of the workers involved in construction projects. During this process the researcher has well understood about the construction industry and has collected background information about the UK construction and Indian construction industry in order to make a sufficient development in the construction industry. In this process the researcher has compared the health and safety issues of the UK and Indian construction industry. For this research, the researcher has used the secondary data research, since the methodology is genuine and it was arduous task to gather materials through books, journals and articles. Chapter I INTRODUCTION 1.1 Introduction Construction industry provides employment for around 180 million people and contributes 7% of global employment. The industry is tarnished for its reputation as Dirty, Difficulty and Dangerous the three Ds (Murie, 2007, pp. 5 7). According to International labour organization, the industry which accounts 7% of the global employment is responsible for 30 to 40 percent of worlds fatal injuries. The Construction industry is not a homogeneous sector due to its nature of work involved. It is composed of various competitive firms; the majority is who brought together for one, bespoke project before transferring to other projects. Construction industrys characteristics are in controversial behaviour, lack of co-ordination, lack of customer focus, deprived co-ordination and lack of investment in research and development. In most of the building projects clients raise their demands and cut down the initial capital and ongoing operational and maintenance costs set against an already competitive industry. Construction organisations are under pressure to develop or implement innovative technologies and practices in order to satisfy their demands (sexton et al, 2005). Construction industry has a poor reputation for lack of innovation, and for being slow to adopt new technologies. Occurrence of large number of fatal accidents and poor health and safety concern of the labourers is the main drawback of construction industry. As per International Labour Organization (ILO), in construction industry the rate of fatal accidents is 60,000 per year. Also about 30% of labourers are affected by health problems such as musculoskeletal disorders, back pains and other bone related health issues. All the construction industries are temporary in nature. In most of the projects the progress is delayed mainly due to human errors, which results in contract penalties. The employees of construction industry have a great value at all levels, in particular the construction site managers and the foremen as they have the main responsibility to maintain health and safety in the construction sites. It is very important to be updated with regards to the new legislations and recent developments (Hughes and Ferret, 2008). The main concern over number of years of health and safety issues in construction industry particularly in 2006/2007 when there was a rapid increase of 28% in construction fatalities. The legal health and safety requirements for all places are of numerous and complex. (Hughes and Ferret, 2008). 1.2 Background of the study India is the second fastest growing economy of the world at present. India has recorded one of the highest growth rates in the 1990s (P.R. Swarup. 2006-07).Construction industry in India is the second largest industry. The construction industry employs around 17.62 million worker shall comprise 55% of the unskilled, 27% skilled labour and rest consists of support and technical staff (Kulkarni, 2007). Even though there is a great increase work force, the industry remained labour intensive due to financial constraints often employs hazardous technology and relatively inexpensive this is particularly true for unorganized small scale sectors (Brindha, 2005) The construction projects often face complex situations due to bad weather conditions. Most of the workers in this industry are drawn from low income groups who face predictable occupational injuries and illness. The construction workers die from work related trauma at a rate three times higher and suffer from dermatologic conditions, hearing loss, musculoskeletal, and lung diseases when compare to workers from other industries. In particular, the national cost from lost production, worker compensation and medical care and other related claims remains very high, which contributed cost $7billion annually (NIH, 1993). In India, there are no authentic data in respect of the accident rates, and the prevention and causes taken by the industry. However, one study reported 165 per 1000 workers get injured during construction activities. This is very high compared to the rates in the developed countries and even certain developing countries (Damodaran, 2006). In India, the construction industry is regulated by the following acts. The Building and Other Construction Workers (Regulations of Employment and Conduct of Service) Act, 1996. The Building and Other Construction Workers Cess Act, 1996, The Contract Labour Act, 1970. The Inter-State Migrant Labourers of Employment Conditions of Service Act, 1979. Construction workers do not get benefit under the Employees State Insurance Act 1948, but are covered by the Workman Compensation Act, 1923 (Parveen Patil, 2009). The Britains Construction Industry is said to be one of the safest in Europe, and industry is in a period of strong growth with the infrastructure and constructive sectors. The UK construction sector output is the second largest in Europe and contributes about 8.2% of the nations Gross Value Added and 8% of Gross Domestic Product and construction outputs of  £102.4 billion at current percent. The UK construction industry employs more than 2 million people, this is because the mature of work they do have a high incidence of occupational health (Health and Safety, 2011). The Construction industry provides an essential material for homes, schools, hospitals, industries, roads and railways etc. In UK, the laws are strict which encourages the workers to eliminate the accidents. In addition, the preference for health and safety is much higher in UK, than the many other countries and also provide regular Health and Safety training for site supervisors and project engineers. 1.3 Statement of the problem Most of the construction projects are often results in cost delay in completion, due to the fatalities involved in the construction site. The construction workers The construction workers are more prone to accidents, thus the industry is considered as one of the most hazardous industrial sectors. In India, the report from International Labour Organization (ILO, 2009) revealed that every year nearly 50,000 Indian die from illness or work related accidents and in particular construction activities, on an average, 165 workers are injured. However, these figures are higher than UK (Tony Baxendale et al, 2000). In developed countries like United Kingdom, there is strict legal enforcement of safety in the construction industry and also in the implementation of safety management systems which are designed to minimize or eliminate accidents at work place. Safety and health in the Indian construction industry has lagged behind most other industries as evidenced by its disproportional high rate of accidents. There are annual at least 60,000 fatal accidents on construction sites around the world, according to an ILO report published for World Day for saf ety and Health at Work, 2005

Cruelty and Insanity in Wide Sargasso Sea by Jean Rhys Essay -- Wide S

Cruelty and Insanity in Wide Sargasso Sea by Jean Rhys Wide Sargasso Sea provides unique insight into the gradual deterioration of the human mind and spirit. On examining Antoinette and her mother Annette, the reader gains a new perspective of insanity. One realizes that these two women are mentally perturbed as a result of numerous external factors that are beyond their control. The cruelty of life and people drive Annette and her daughter to lunacy. Neither mother nor daughter have a genetic predisposition to madness, and their downfall is an inevitable result of the actions of those around them and the unbearable nature of their living situation. Antoinette's condition owes its beginnings to the solitude of her childhood, thus the cold, unfeeling treatment she receives from her husband does not create her mental instability, only exacerbates it. At the beginning of the novel, it becomes apparent that solitude is a primary cause of theCosway women?s insanity. Antoinette?s narration reveals that her mother is not accepted by other white people in Jamaica because she originated from Martinique, and the Jamaican ladies in particular ?never approved? of her mother ?because she pretty like pretty self?. Her only friend, Mr. Luttrell, commits suicide after he tires of waiting for monetary compensation for the loss of his slaves. Annette is left with no one of her colour or class to associate with. In describing her childhood, Antoinette only speaks of one friend, a Negro girl named Tia, but this was an ephemeral friendship. Antoinette had no one belonging to her age group or class that she could associate with. For the most part, the young girl is very isolated and alone, quite like her mother. Utter lon... ...umstances of the lives that Annette and her daughter lead in Coulibri serve as the foundation for their insanity. The reader cannot attribute their downfall to a genetic trait, but must instead understand that the process of going insane would not have started if their life at the beginning of the novel was not so lonely and miserable. Fate is cruel to these two individuals, and the cruelty of the Negroes is the only human cruelty inflicted on Annette and Antoinette at Coulibri, thus their lunacy begins as a result of both sources. Antoinette?s childhood leaves her with emotional scars and prohibits proper mental and personal growth, thus she marries her husband with these already established problems, and her husband?s actions only serve to develop the existing unstable tendencies. Work Cited Rhys, Jean. Wide Sargasso Sea. New York: Norton, 1982.

Banyan Tree Essay

Minimal advertising, still high level of brand awareness through company’s public relations and global marketing programs. Faced the challenge of translating and maintaining the success of a niche Asian hospitality brand into various market segments on a global scale ‘Innovative niche product that could also bridge the price gap in this market’ Building a resort comprising individual villas with locally inspired architectural design and positioned as a romantic and intimate escapade for guests; ‘Sanctuary for the senses’. Banyan Tree Gallery: ‘local culture and heritage and promoting cottage Crafts, retail outlet showcasing indigenous crafts, works closely with village cooperatives and not-for-profit craft marketing agents. Marketing: high-end travel magazines in key markets – public relations – global marketing programs (increase editorial coverage) – few key wholesalers in each targeted market – agents specializing in exlusive luxury holidays targeted at wealthy customers – membership in the Small Luxury Hotels and Leading Hotels of the World – GDS cose ‘BY’ (own global distribution system used by travel providers to process airline, hotel, car rental and other distribution partners around the world. Actively caring for the natural and human environment, revitalizing local communities, worked actively to preserve, protect, and promote the natural and human environments in which BYT resorts where located. Minimizing the impact on the environment Green Communities = planted trees, engage local communities, associates, guests to share the causes of climate change and actions that can reduce our collected carbon footprint. Green Imperative Fund to further support community-based and environmental initiatives in the regions where it has a presence. The company believed in building profitable resorts that would benefit the surrounding environment and contribute to local economies through the creation of employment and community development projects. Businesses with local farmers and traders by making it a point to purchase fresh produce from them. Community Relations Department was set up to develop and manage community outreach programs. Seedling: BTHR’s formalized program which aimed to help  young adults from local communities and motivate them and provide the means for completing their education to successfully enter the labor force as adults. Future: openening city hotels and angsana hotels in Dubai and London (angsana brand in response to the demand for hotel operators in Asia that were keen to introduce spa services in their hotel, it is more contemporary and affordable brand. Musem Shop by banyan tree: joint partnetship with Singapor’s national heritage board to showcase Asi’a rich and diverse cultural heritage through unique museum-inspired merchandise. Banyan Tree Holdings (Banyan Tree) is an investment holding company involved in managing and developing premium resorts, hotels and spas in the Asia Pacific. To date, the Banyan Tree Group manages and/or has ownership interests in close to 36 hotels and resorts, around 73 spas, 91 galleries  and 3 golf courses in 28 countries The company operates in Asia, Mexico and Morocco, New Zealand, Africa, Dubai, and the UK. Banyan Tree operates through three business segments: hotel investment, property sales, and fee-based. 1: The hotel investments segment relates to hotel and restaurant operations. The property sales segment comprises hotel residences, Laguna property sales and development project/site sales. Hotel residences business relates to the sale of hotel villas or suites which are part of hotel operations, to investors under a compulsory leaseback scheme. Laguna property sales business relates to the development and sale of properties which are standalone vacation homes in Laguna Phuket. Development project/site sales relates to pure development land sales or development land sales which are fully or partially developed with infrastructure. The fee-based segment comprises the management of hotels and resorts, the management of an asset-backed destination club, the management of private-equity funds, the management and operation of spas, the sales of merchandise, the provision of architectural and design services, the management and ownership of golf courses, and rental of retail outlets and offices. The company’s subsidiaries (dochterbedrijf) include Banyan Tree Spa Bangkok, Banyan Tree Spa Bintan, Banyan Tree Spa Ringha, Banyan Tree Spa Phuket, Banyan Tree Sanya, and Banyan Tree Macau, among others. Banyan Tree Holdings (Banyan Tree) is engaged in the management and development of premium resorts, hotels and spas. The company’s key services include the following. Hotel and restaurant operations Sale of hotel villas or suites – Development and sale of properties – Pure development land sales – Management of hotels and resorts – Management of an asset-backed destination club – Management of private-equity funds -Management and operation of spas – Architectural and design services – Management and ownership of golf courses – Rental of retail outlets and offices. The following companies are the major competitors of Banyan Tree Holdings Limited: Central Plaza Hotel Public Company Limited – Four Seasons Hotels Inc – Associated International Hotels Ltd In the past few years, such events risks as the Tohoku earthquake and tsunami, bird flu, floods and riots in Thailand have been hard on our industry, causing tourism as a whole to dry up in their wake. By comparison, economic recessions are part and parcel of the business cycle, which we are able to take in our stride and counter with a variety of measures. During the year, the world remained mired in the European sovereign debt crisis and American economic weakness. Although these conditions affected our arrivals primarily from Europe, we were able to capitalise on the flourishing Chinese market. At our four resorts in the Maldives, for example, the number of Chinese guests surpassed those from Europe. In our continuing efforts to rebalance the Group’s assets, we made the bargain purchase of Banyan Tree Seychelles which gave rise to a net gain. We also sold and leased back Angsana Velavaru in January 2013. The hybrid structure of this deal is a first for Banyan Tree, and we are pleased with how it allows us to rebalance our portfolio while still participating in the profits from the operations of Angsana Velavaru. 2012: with overall revenue growing 3% to S$338. 4 million. Due to improved results from our hotel investments and fee-based businesses, as well as a higher contribution from completed sales of property units. Group EBITDA was S$74. 5 million, up 51% on the back of higher revenue and a gain on the bargain purchase of Banyan Tree Seychelles. This in turn resulted in PATMI increasing by 856% (S$14.9 million), tempered by higher finance costs and income tax expenses. HOTEL INVESTMENTS Our hotel investments delivered a stronger performance in 2012, with Group-owned hotels posting total revenue of S$187. 7 million, up 15% from the previous year. This was due to the higher contribution from our Thai properties and the consolidation of revenue from Banyan Tree Seychelles from 2Q12 onwards. These gains were partially offset by lower revenue from our Maldives properties as Banyan Tree Vabbinfaru and Angsana Ihuru were temporarily closed for refurbishment. As a result of the increase in revenue, EBITDA for this segment grew by a healthy 69% to S$36. 6 million. PROPERTY SALES Revenue from property sales was S$42. 7 million. The 36% decrease was due to the sale of development sites in Lijiang, Yangshuo and Huangshan to our China Fund in 2011. Excluding those transactions, revenue and EBITDA from property sales saw growth of 43% and 74% respectively, thanks to a higher contribution from completed sales of property units. FEE-BASED Total revenue from our fee-based businesses registered growth of 9% to reach S$108. This was attributable to an increase in fees from hotel management and architectural and interior design and other services. Accordingly, EBITDA for our fee-based businesses grew by 23%. 2013 appears to be another challenging year for the global economy. We anticipate continued weakness in our European target markets. In Asia, which has been the world’s economic engine these past four years, growth is likely to moderate. Despite the cooling of China’s economy, the tourism market both inbound and outbound is expected to continue to grow. The Chinese government is aggressively promoting domestic tourism as part of its strategy to increase domestic consumption, thereby cushioning the slowdown in export manufacturing. Banyan Tree’s strong branding and rapidly expanding footprint in China will position us to take advantage of this trend. Our seven regional marketing offices in China will be invaluable in enabling us to tap the vast potential of this market and to enhance awareness of our hotels with key accounts in China. Our strategy going forward will include continuing with our asset rebalancing to unlock value and deploy capital to more promising markets. At the same time, we are exploring the possibility of extending the successful Fund model into other areas. In terms of growing particular segments, we will be focusing on increasing income from our fee-based and property sales businesses. We have built the fee-based segment to a point where it now has an impetus of its own. On the property sales front, we plan to move into selling more primary and serviced residences. Primary residences under the Banyan Tree brand, â€Å"We will also be going forward with the establishment of a third brand of residences to be wholly sold and managed by us. † Rather than compete with local property developers, we will leverage our branding and design skills to market to a niche audience in China. We will also be going forward with the establishment of a third brand of residences to be wholly sold and managed by us. Catering to an entirely new market of price-conscious buyers, these properties will be smaller in size yet deliver the quality and innovation that are hallmarks of Banyan Tree. Strongly associated with our brand is the concept of a triple bottom line. In our pursuit of economic, social and environmental success, we made major investments in resource conservation, training and benchmarking, greening and community efforts in 2012. Under the EarthCheck system of sustainability certification, we also planted in six-year a total to over 220,000 trees. Banyan Tree Hotels and Resorts offer an intimate retreat experience featuring its signature blend of romance, rejuvenation and exotic sensuality. Our philosophy is based on providing a place for rejuvenation of the body, mind and soul – a Sanctuary for the Senses. Placing special emphasis on providing guests with a sense of place, each Banyan Tree property is designed to fit into its natural surroundings, using indigenous materials as far as possible and reflecting the landscape and architecture of the destination. Pioneering  the tropical garden spa concept with Asian health and beauty remedies passed down from generations, Banyan Tree Spa was created as the signature experience in all Banyan Tree resorts, to complement the â€Å"Sanctuary for the Senses† wellness concept. With the emphasis on high service standards and consistency, therapists are professionally trained at Banyan Tree Spa Academies in Phuket, Thailand, and Lijiang, China. The Banyan Tree Gallery supports local communities by exhibiting and retailing indigenous handicrafts, which are also found in the resorts. A quintessential highlight of the Banyan Tree experience, Banyan Tree Gallery aspires to recreate the unique Banyan Tree experience with  its extensive selection of  Asian-style furnishings, Banyan Tree Spa collection, eco-friendly products, indigenous village handicrafts, ethnic apparel and accessories, and objects d’art. Banyan Tree Holdings Limited is a leading, international hospitality brand that manages and develops premium resorts, hotels and spas. Its innovative business model is based on seven business segments generating multiple income streams that is unique in itself within the hospitality industry. This formula of developing and managing complementary product offerings with in-house talent makes it difficult for competitors to duplicate with the same level of success. Banyan Tree’s vertically integrated business model comprises: Hotel investment– Banyan Tree owns and manages luxury hotels under its brands, as well as hotels that are managed by other world-class operators. Hotel management– Banyan Tree additionally manages properties under the Banyan Tree and Angsana brands for other owners. Canopy Marketing Group Pte Ltd – A company wholly owned by Banyan Tree Services, Canopy Marketing Group Pte Ltd provides high-level strategic insights on various global niche markets to drive top line performance of our diverse range of lifestyle products including hotels, resorts, spas, gallery, destination club and residential ownership. It has a full-suite of marketing capabilities specializing in the branding, marketing and promotion. Spa operations– Banyan Tree Spa pioneered the tropical garden spa concept, and has since grown to over 60 outlets worldwide. Gallery operations– The retail arm is consolidated under Banyan Tree Gallery, which comprises five brand segments located in over 70 stores worldwide. Hotel residences – Hotel inventory are primarily sold under the brand name Banyan Tree Residences. Property sales – Properties that are not part of hotel operations are sold by our subsidiary company, Laguna Resorts and Hotels, and its subsidiaries, in Laguna Phuket. Design and other services – Revenue from design services is earned by Architrave, Banyan Tree’s in-house architectural arm. Other service fees include income from operating golf clubs. Real Estate Hospitality Funds – Banyan Tree Capital was set upto tap private equity and other sources of investments in order to provide a cost efficient structure to fund the Group’s future developments. With about 8,000 associates of over 50 nationalities, the diversity of its workforce is a key feature of the Group and helps to inspire its international outlook. To address its talent development needs, Banyan Tree launched Banyan Tree Management Academy (BTMA) in 2008. This centralised training facility located in Phuket, Thailand will train future Banyan Tree leaders needed to sustain organisational effectiveness and to meet the demands of its rapid global growth. Part of Banyan Tree’s vision has always been to grow into a global business, with a portfolio of properties strategically placed around the world. The Group’s mission is inextricably intertwined with its commitment to corporate social responsibility and sustainable growth, as it continues to expand globally. The launch of Banyan Tree Residences, which allows investors to buy their own signature villa, townhouse or apartment in Banyan Tree resorts. Banyan Tree Private Collection was launched to cater to the growing niche for destination club membership 2005: Marking the group’s long awaited foray into China is Banyan Tree Ringha, in Yunnan. 2001: Banyan Tree established the Green Imperative Fund to formalise its corporate social responsibility efforts. The Banyan Tree Spa Academy was set up to provide training for new therapists as well as research new treatment recipes and techniques. Banyan Tree Capital is a real estate fund management company established by the Banyan Tree group, a renowned luxury hospitality company listed in Singapore, to focus on hospitality-based real estate investment. Banyan Tree Capital raises, develops and manages branded hospitality funds in key development markets of the Banyan Tree group. With a combination of fund management and asset development capabilities, Banyan Tree Capital leverages on the group’s expertise in premium hospitality real estate development and management to generate attractive investment returns for its investors. Banyan Tree Capital is headquartered in Singapore with offices in China and Vietnam. We have successfully achieved higher room rates than the existing market in locations such as Lijiang, the Maldives and Seychelles. We have also found that our iconic brands also help raise the value of the surrounding land. Our innovative city products combine all the iconic elements of our brand and differentiate developers within established, high cost city markets. We have the flexibility and capabilities to adapt our model to various locations so as to maximize returns for the developer As part of our strategy of enlarging our footprint in China, we will also be launching two more hotels in Shanghai and one in Tianjin, adding to our ever growing presence in various gateway cities. We are also employing our capabilities all across China, where large tracts of land are being developed into gated residences and luxury hotels offered to the Chinese elite. One of Banyan Tree’s prime concerns is its associates. We pride ourselves in providing high levels of service excellence and providing tailor made training and career development programmes for our employees. No stone is left unturned in regards to training and proper introduction before a Banyan Tree is put into operation. Trained to the basic standards of 5 star hotels. Employees were empowered to exercise creativity and sensitivity although the strict administrative rules of the management. Employees were taken to and from work in air-conditioned buses, access to various amenities (good-quality canteens, medical services, childcare facilities). Banyan Tree is one of the world’s biggest and well known spa operators. Our levels of quality and service are unparalleled and uncompromised. We are the only vertically integrated hospitality company with strong capabilities to tackle and anticipate the challenges of master planning and developing an integrated resort. We are able to take a property from inception to delivery with efficiencies that is entirely brand specific. Our  in-house design team, Architrave, and project services team are extremely involved in all phases of the development – master planning, designing, developing and coordinating, to ensure developers a timely delivery of their asset. Being experienced developers, we are able to ensure that efficiencies and economies of scale are maximized along with guest experiences. Bintan, the Maldives and Phuket where the Angsana resort is positioned next to a Banyan Tree resort with shared back of house facilities. This model has allowed us to lower costs without cannibalizing rates, thereby boosting returns for our developers.

Profit Margin and High End Segment

Cost Leadership After contemplating many different strategy options and evaluating our markets, the Ferris group decided that we would utilize and follow a strategy discussed in chapter 6 of Wheelen and Hunger’s text[1]: cost leadership. This strategy focuses on â€Å"a lower-cost competitive strategy that aims at the broad mass market and requires efficient scale facilities, cost reductions, and cost and overhead control. This strategy avoids marginal customers, and aims for cost minimization in R&D, service, sales force, and advertising. If used effectively, this strategy should reduce and control your labor and overhead costs. This would in turn decrease variable expenses and simultaneously increase your contribution margins, and ultimately your net profits. To follow this strategy, we decided to take the following actions: 1. We refrained from introducing any new products in order to prevent paying large start-up costs without efficient funding. It would have been wise to introduce a new product if we had more rounds during the simulation.This would have allowed us to specialize in the markets we were efficient in and dropped those that were costing us money. If we were to introduce a product however, to see any benefits of this initiative during the simulation, the product would have had to been launched within the first few rounds. But, spending a lot of borrowed money early on in the simulation did not make sense for our cost leadership strategy. We would have had to wait until we could fund it with our retained earnings in order to be in alignment with our strategy.However, this would not have been an option until the 3rd or 4th year, and by then much too late to see positive benefits by year 6. 2. We remained quite frugal with our allocated expenses to marketing (promotion and sales budgets) to keep our costs low and contribution margins high. 3. We decided to increase our automation for products that did not have rapidly changing market buying criteria specifications (i. e. if expectations regarding size and performance stayed fairly similar throughout the six rounds because their drift rates were small, then we increased automation for that particular line within the first year). . We attempted to use a Just In Time (JIT) strategy which meant that we tried to calculate the exact quantity each market would purchase of our products and we then produced only enough to have no more or no less on hand at the end of each forecasted year. †¢To calculate this precise forecast, in each segment we took the actual sales from the previous year and multiplied it by the market growth rate for the corresponding market segment. We then multiplied that number by a conservative (i. e. 90%) and optimistic (i. e. 10%) rate to get the respective marketing and production forecasts. †¢The only time we produced a little higher than the conservative forecast calculated using the above formula was if we stocked out of an item in the pr evious year and could then expect even higher sales the following year; essentially preventing ourselves from short-changing our forecast for the next year. If this was the case for a previous year, we would be a little more aggressive with our forecast fro the following year and used conservative and optimistic rates of around 90% and 120% respectively. . We decided to decrease the Mean Time Before Failure (MTBF) of those products (The Traditional and Low End segments) in which MTBF as a buying criteria was not very important to the customer to the minimum specification within the acceptable range to the customer (i. e. If the desired range for MTBF was 22,000 – 27,000 for a product that did not base much of their purchasing decision on MTBF, we would set the MTBF for that product at the minimum of 22,000).This was done to keep costs low by decreasing the reliability (which saves money in production costs) of those products in which customers did not care about the MTBF. Ove rall Company Performance Mistakes During the simulation, we made quite a few costly mistakes that put us in a really bad spot in comparison to the other teams. These mistakes are as follows: 1. We missed the opportunity to launch a new product because right out of the gate we were focused on the products we already had and making them all profitable.We were not willing to create a new product until we could finance the investment with our retained earnings instead of taking on debt to finance such a project. The problem was that it took us about 4 rounds to build up a cushion of cash that allowed us to feel comfortable making such an investment. Unfortunately, since it takes 2 rounds to launch a new product, we did not feel that the timing was right after round 4 because we would not have generated profits for the new product by the end f the simulation; we were unable to justify the investment for a long term project with only 2 years left in the simulation. Therefore, we did not m ove quickly enough within the first few rounds in assessing our markets as a whole and making long term investment decisions. 2. My group was also quite concerned with not increasing debt and rather building our retained earnings and collecting cash as a cushion. However, this tactic was not such a great one because it cost us points for wealth creation. We should have been using that saved cash to invest in our company, rather than hanging on to the money. . We never created any long term plans during the simulation. This was probably what hurt us the most because all we were focused on was the previous year’s results and how to make them increase. We never actually set specific goals which would have then forced us to create a detailed plan of action to help us achieve those goals; rather we were blindly just trying to be or stay profitable. 4. We continually implemented the same strategies that were not producing stellar results; especially with regards to individual segme nts.We continually tried executing the same tactics (i. e. low cost, JIT, etc†¦) without changing any details (i. e. more product development, repositioning, etc†¦) and kept hoping that things would get better. Our performance did get a little better within our underperforming segments after about 3 rounds, but not enough to push us ahead of our competition as a whole company. 5. We did not invest in automation for a few lines (Performance and Size) like we should have in the beginning.For whatever reason, a few team members believed that increasing the automation for a line that has a product with specifications that change rapidly from year to year (the High, Performance, and Size segments) was a bad idea. They were convinced that increasing the automation for these segments would be useless and that it would in fact return to where it originally started at each year end. Looking back, we should have dramatically increased the automation for these segments to keep our va riable costs low and in alignment with our strategy. . One of our biggest problems was that we kept making mistakes that cost us immensely. Some of those mistakes include: †¢Wrong Growth Rate. We used an excel spreadsheet to determine the forecasts for each segment throughout the entire simulation. However, we did not realize until we were making decisions for round 4 that the formulas were actually entered wrong into the spreadsheet and every segment was being forecasted at the Traditional segment’s growth rate rather than the actual growth rate that corresponded to each segment. Inversion of Specifications. We accidentally inverted the size and performance specifications for the High End segment during round 3. This dramatically reduced our net profit margin for this particular segment (Please see Exhibit 1). Sadly, this was originally one of our best markets and because of this mistake we missed a huge opportunity to increase our profits and perform well as a company. †¢Long Revision Dates. We did not notice until the round 4 processed that the revision date for the High End segment for round 4 was not until 2 years later.Therefore, we were unable to keep the product for this segment competitive for the remainder of the simulation; especially after our setback in round 3. In fact, this mistake dramatically decreased our contribution margin for this segment and even brought our net profit margin for the segment to a deep negative (Please see Exhibits 2 & 1 respectively). Again, we dramatically messed up one of our best selling products and were continually trying to play catch-up from our mistakes with this line; therefore, we missed a huge opportunity to increase our profits.Performance Measures To determine whether or not our company was doing well, we assessed a few areas of the Capstone Courier: 1. Contribution Margin Percentage (Please see Exhibit 3). We looked at this percentage after each round was processed to determine whether or no t it was increasing. If it was not increasing, we knew that our strategy of lowering our costs was not effective for the round in question; alerting us to lower our costs. 2. Contribution Margins (Please see Exhibit 2). We looked at the contribution margins for each segment to concentrate on each individually.Looking at whether or not the segment in question was increasing or decreasing was effective because it showed us which products were costing us the most in variable costs (i. e. materials, labor, etc†¦); showing us which segments we needed to cut costs for. 3. Net Profit (Please see Exhibit 4). This was our first indicator on the courier as to whether or not we did well in the previous round. We started off doing pretty badly but by round 3, we brought our net profits up by about $5,200 from round 1. However, the mistakes mentioned above led to dramatic decrease the following year 4 that put us in an even worse spot than we were after round 1. Luckily, we made strides to overcome those obstacles (discussed below in the Product Line Performance section) which increased our profits the following year by almost $9,500. 4. Net Profit Margins (Please see Exhibit 1). This measure was quite useful in determining how our net profits could be assessed for each segment. This told us the story of which products were profitable, which were most profitable, and which were actually costing us money to sell.Our goal for each round was to have each of the segments positive and turning a profit; which we accomplished in rounds 5 and 6, finally. Product Line Performance Errors We had many issues and made many errors with my particular line (High End – Fist) as mentioned above. During round 3, we inverted the performance and size specifications. In addition, during round 4 we did not realize that our revision date was 2 years away; this meant that my product was unable to be competitive within its segment for 3 rounds and the remaining year was spent catching u p to the competition.Once the mistakes were made, there was nothing we could do to correct our mistake. However, we did try to redirect our focus from staying competitive 100% within the High End segment with Fist, to using this product to be more competitive within the Traditional segment during round 4 while our revision date neared. To do this, we dropped the sell price from $39. 00/unit to $28. 00/unit. We did this for a couple of reasons: 1. Fist lay most closely to the Traditional product on the perceptual map.Therefore, we figured we would make the most of our mistake, which could not be undone, by trying to stay competitive on the edge of both the High and Traditional markets. 2. Luckily, the lowest price within the range for the High End segment was $28. 00/unit and the highest price within the range for the Traditional segment was $28. 00/unit as well. For this reason, we decided to sell Fist during the segments’ crisis at a price that was acceptable for both market s; this was done in hopes of picking up customers from each market since we were well aware that we would not be very competitive during round 4 within the High End segment.Statistics/Performance Below is a table to show that we were steadily climbing in our progress for Fist during the first 2 rounds and then our mistakes made this segment unprofitable during both rounds 3 and 4 (highlighted in grey) and decreased within every statistic (our customer satisfaction dropped due to the product not being competitive in the High End market, our contribution margin percentage dramatically decreased due to fewer sales/revenue, and our market share almost completely disappeared).During rounds 5 and 6, we were slowly climbing our way back to a profitable position for this segment; once we were again able to reposition Fist within the High End market we started to improve. High End Segment (Fist) Statistics Round123456 Revenue$21,615$27,099$17,301$22,253$23,470$32,026 Market Share19%20%11%6%1 2%17% Contribution Margin$7,823$9,624$4,735$4,105$6,698$9,929 Contribution %36%35%27%10%28%31% Net Margin$2,628$3,689($1,403)($1,028)$1,814$4,449 Customer Score242910111815 Functional Area Strategies and Performancelo0Due to my expertise with regards to my educational focus and previous work experience, my functional area was marketing (alongside Ashley Barnes). Unfortunately, we were not well informed about how to maximize our marketing efforts/investments (promotion and sales expenses) for the simulation until round 4. Promotion and Sales We initially remained quite frugal with our promotion and sales budgets to keep our costs low and contribution margins high in order to follow our cost leadership strategy previously.However, by investing larger amounts into sales and promotion within the first two rounds, we would have better followed our strategy. This would have been the case because we would have paid less in expenses in the later rounds since we would’ve only had to i nvest enough to maintain our accessibility and awareness percentages after the initial higher investments; essentially reaping more benefits in the later rounds of our early investments. After we learned of the formulas for producing good customer survey results however, we did quite well in certain segments.For example, we blindly allocated money to our Size segment during the first 3 rounds and slowly climbed our customer survey score. However, once we learned how to use the formulas given in the Capstone Debrief Rubric, we were able to go from a customer survey score of 16 in round 3, to a 50 in round 4, and even higher to a 57 in round 5. The formula we used came from the Capstone Debrief Rubric and stated that in order to get: †¢3 Points – The promotional budget had to lie in between $1. 4M and $2M. The Sales budget had to lie in between $2. 2M and $3M. 2 Points – The promotional budget had to lie in between $1M and $1. 4M or in between $2M and $2. 5M. The Sa les budget had to lie in between $1. 5M and $2. 2M. †¢1 Point – The promotional budget had to lie in between $. 7M and $1M or in between $2. 5M and $3M. The Sales budget had to lie in between $. 7M and $1. 5M. †¢0 Points – The promotional budget had to be lower than $. 7M or higher than $3M. The Sales budget had to be lower than $. 7M or higher than $3M. Once we started to use these formulas, we were able to allocate the right amount of funding to each segment that was appropriate.For example: if a certain segment was projected to lose money by allocating $1. 4M to the promotional budget to get the full 3 points, we would cut the budget to about $1M and still be able to get 2 points without jeopardizing our contribution margin. This is proven in the Capstone Debrief Rubric; we were allocated 3 points to our higher performing segments (Traditional, Low, and High) for rounds 4, 5, and 6 but were only granted 2 points for our lower performing segments (Performan ce and Size).In addition, we always strived to keep our size and performance specifications at exactly the current buying criteria plus the drift rates outlined on page 2 of the Industry Conditions Report. This would keep the product at what the customer expected so that they were receiving what they were asking for. Customer Buying Criteria We made it a priority to keep our prices as high as we could in each segment without disappointing our customers; this was our way of aligning our marketing strategies with our overall company strategy of cost leadership.We noted what criteria were most important to the customer to determine if we could increase our prices for each product. For example: Price was the least important buying criteria within the Size segment; meaning that these customers were not as sensitive to price changes/increases. Therefore, we were able to charge closer to the high price for the Size segment product (Fume) because this increase would not really affect the ma rket buying decisions for the Size segment; much unlike the Low End segment