Author: Andre Coleman

In 1955 Pakistan International Airline formed. It is the 16th largest airline in Asia, operating scheduled services to 73 destinations throughout Asia, the Middle East, Europe and North America, as well as an extensive domestic network linking 24 destinations.

PIA is three stars International Airline. In our report we did SWOT analysis and PEST analysis on PIA, identify major strength we find as leading market position, brand recognition, superior operating structure, network presence, hub airport at Karachi, and effective use of technology. Formulation on GOVT rule, High dependencies on passenger revenues, high debt, and reliance on oil prices are major weakness, opportunities are like having MAX route and fleet, growth demand for low cost airline, customer loyalty, shifting customer needs and industry recovery, and major threats are high interest rates, accidents, strong competition by Air blue, interest and foreign currency exchange rates, and decline in industry. In PEST analysis we discover major Government’s active role in increasing competition in the airline industry, inflation rate, turning of social environment of Pakistan liberal with the new regime. Innovation in technology, and its impact on distribution and cost synergies from industry consolidation.

We recommend PIA for better service to decentralized its management system, develop SBUs, adopt transparent promotion polices, employee empowerment to increase the employee motivation and moral. Try to decrease its overhead cost, adopt effective marketing policy, two way communication and TQM. Upgrade its fleet; purchase new Airplane with twin engines these will reduce the operating cost of PIA. Improve control over fares. Hire the services of IT specialists; improve service standards focusing on quality.

Pakistan International Airlines

Introduction:

When Pakistan was founded in 1947 it comprised two territories on either side of the expanse of India. It was in this unusual circumstance that Pakistan International was formed in 1955. Despite wars and economic trouble, the carrier survived to grow and prosper. Pakistan International Airlines is the flag carrier airline of Pakistan, based in Karachi. It is the 16th largest airline in Asia, operating scheduled services to 73 destinations throughout Asia, the Middle East, Europe and North America, as well as an extensive domestic network linking 24 destinations.

Its main bases are Jinnah International Airport, Karachi, the Allama Iqbal International Airport, Lahore and the Islamabad International Airport, Islamabad/Rawalpindi. The airline also has secondary bases, including Peshawar International Airport, Faisalabad International Airport, Quetta International Airport and Multan International Airport, from which it connects the metropolitan cities with the main bases, the Middle East and the Far East. The airline is owned by the Government of Pakistan (87%) and other shareholders (13%). It has 19,263 employees (at March 2007).

AIRLINE INDUSTRY IN PAKISTAN:

There are 36 operational airports. Karachi is Pakistan’s main airport but significant levels of both domestic and international cargo are also handled at Islamabad and Lahore. Pakistan International Airlines (PIA), the public sector airline, though facing the competition from a few private airlines, carries approximately 70 percent of domestic passengers and almost equal domestic freight traffic.

The transportation sector accounts for about 10.5 percent of the country’s GDP and 27.4 percent of Gross Fixed Capital Formation (GFCF) in FY06. It provides over 6 percent of employment in the country and receives 12 to 16 percent of the annual Federal Public Sector Development Program (PSDP). Government agencies dominate the sector.

Hierarchy of PIA:

This organization is divided into following departments: Human Resource and Administration, Marketing, Corporate Planning, Information Services, Finance, Flight Services, Flight Operation, Engineering, Procurement and Logistics, Customer Services, Training and Development, Quality Assurance. The organ gram of the organization follows, with the Chairman at the top and directors of departments reporting to him.

The structure is centralized with the top-level management making the decisions.

CORPORATE VISION OF PIA:

‘To be a world class airline exceeding customer expectations through dedicated employees Committed to excellence.’

CORPORATE MISSION

“As a Symbol of National Pride, We Aspire to be a Choice Airline, Operating Profitably on Modern Commercial concepts and Capable of Competing with the Best in the International as well as Domestic markets.”

VALUES:
6.1). Customer Expectations:

PIA is the most trusted name in the industry. The reason of its goodwill is according the expectation of their customers that PIA has fulfilled always. By providing competitive tariff, extensive care, and convenience to their valued and potential customers.

6.2). Service:

PIA aims at providing valuable and unique services to its customers. They are more personalized and courteous to their customers. The services are valuable and rare; this is the reason why customers trust PIA.

28 Nov 2004, Pakistan International Airlines – PIA passed the IATA Operational Safety Audit (IOSA) benchmark for global safety management The IATA Operational Safety Audit (IOSA) is the benchmark for global safety management in airlines

KARACHI, 22 October 2007 – Abacus Pakistan officially launched Abacus Travel Secure with AIG, providing local travel agents and travelers easy and convenient access to AIG’s travel insurance policies. Available for the first time in Pakistan, Abacus Travel Secure brings real time and immediate activation of travel insurance policies to the Pakistan travel industry with a more streamlined and time saving application process for travel agents

6.3) Innovation:

PIA currently has a number of 43 fleets and aims at increasing this numbers to 53 by the next few years.PIA is adoptive to changes and believe in innovation that’s create new ideas and translating these ideas into action.

6.4) Reliability:

PIA is the most experience airline with its service with more than 53 years. This has built in PIA has become the most reliable airline. PIA is known for its loyalty and consistency.

6.5) Safety:

The most challenging responsibility of any organization is to provide complete satisfaction to its employees and customers together. This satisfaction rewards favorable and easy working conditions.

The in-flight services are customers friendly and the organizational the organizational environment is also employees oriented.

6.6) Cohesiveness:

PIA has 12 departments working in their own direction and also provides a number of services including speedex courier service, catering etc. The most impressive part is these all department and services are integrated in a cohesive way.

Services

PIA offers two types of services.

Business Class

Economy Class

Business Class

It’s the only Business Class service that feels like First Class. A comfortable seat makes all the difference on a long flight. PIA’s Business Class Seats elevate the concept of luxury to a new level, fully endorsing your decision to choose PIA Business Class Sit back and relax in our exclusive Business Class Lounges at the Karachi, Lahore, and Islamabad airports.

Our hospitable staff will ensure that you’re well looked after during your stay with us at the airport Business Class passengers arriving at Airport will receive a warm welcome from PIA.

Our representatives will walk you right through all the arrival formalities so that you don’t have to stand in line or worry about clearance.

Economy Class:

PIA’s economy class is also comfortable for passenger as Business class. Economy Class offer seats with a 32-inch pitch, adjustable footrests and “winglet” headrests for improved neck comfort. The personal TV provides on-going entertainment including audio and video on-demand choices.

Passengers enjoy the same caring service from our flight attendants, along with skillfully prepared meals and a wide range of in-flight entertainment options to choose from. Free newspapers are also provided to all Economy class passengers.

The PIA in-flight magazine, Hamsafar, is provided to all passengers on all international flights. Humsafar was introduced on PIA flights in 1980 and it is published bi-monthly.PIA is providing its service in twenty-five cites of Pakistan domestically which are as follows:

Giigit

Chitral

Skardu

Saidu Sarif

Islamabad

Peshawar

Sialkot

D.I,Khan

Lahore

Faisalabad

Multan

Zhob

D.G.Khan

Quetta

Bahawalpur

Rahim Yar Khan

Dalbandin

Sukkar

Panjgor

Sukkar

Jacoababad

Turbat

Moemjodaro

Gwadar

Pasni

karachi

Revenue Composition:

According to the latest report of PIA, 87% of revenue generates from passengers, 8% of revenue generates from cargo and remaining 5% consists of others. Fleet Pakistan International Airlines fleet includes the following aircraft (as of May 2008)

Major Competitors:

PIA is holding the first position in market. It has 48% market share. Its major competitors are Airblue and Shaheen International Airline. Airblue has a market share of 35% while Shaheen International Airline has 17% market share. People feel prestigious to travel with PIA as compare to Airblue and others.

Latest products by PIA nad qulaity achievements:

Boeing-777 operating to middle east

Flight Barcelona

Linking Abu Dhabi and rahim yar khan

Flights from D.I.Khan to Peshawar and Islamabad

Early buy cheaper fly

Bradford- Islamabad Nov stop! Pak & Glasgow

Flight from Multan and D.G khan to Dubai

Lowest business class fare paksitan Dubai

Connecting Multan and Quetta, Islamabad with Chitral and Nawabshah with Hyderabad.

Promoting web ticketing and SMS booking, Ticketing delivery at Door step

9.1) IATA Operational Safety Audit (IOSA) benchmark:

28 Nov 2004, Pakistan International Airlines – PIA passed the IATA Operational Safety Audit (IOSA) benchmark for global safety management The IATA Operational Safety Audit (IOSA) is the benchmark for global safety management in airlines.

9.2) E-Ticketing:

KARACHI, 22 October 2007 – Abacus Pakistan officially launched Abacus Travel Secure with AIG, providing local travel agents and travelers easy and convenient access to AIG’s travel insurance policies.

Available for the first time in Pakistan, Abacus Travel Secure brings real time and immediate activation of travel insurance policies to the Pakistan travel industry with a more streamlined and time saving application process for travel agents.

9.3) 3Star Ranked airline :

SKYTRAX introduced the World Airline Star Rating® programme in 2000 – the Quality Analysis system that ranks airline product and service standards, based on professional evaluation by airline audit specialists.

To achieve SKYTRAX Approved Airlinea„? status, airlines are subjected to a very detailed Quality evaluation across all areas of their front-line Product and Service standards by Skytrax – covering all areas that passengers will “typically” experience during their trip.

SKYTRAX Approved Airline evaluation covers over 750 aspects of product and service quality measurement, and is split across both airport and onboard environments – airport services based around an airline’s home base airport.

QUALITY RANKING USED IN AIRLINE RATING SUMMARY BELOW

= Excellent

= Good

= Fair

= Poor

= Very poor

:: PIA PAKISTAN INTERNATIONAL ::

a 3 Star Airline

PIA Pakistan Int’l Passenger Comments

Home Base Airport Ranking = Karachi Airport

SUMMARY RANKING

Combined Quality of Product / Staff service in airport and onboard environments

Business Class

Premium Economy Class

Economy Class

Airport Services

Check-In service – Business Class

Check-In service – Economy Class

Transfer Services – Business Class

Transfer Services – Economy Class

Arrival Services

Business Class Lounge – product facilities

Business Class Lounge – staff service

Onboard Features

Inflight entertainment may vary according to aircraft type

Cabin Safety Procedures

Inflight Entertainment

Amenities, Blankets, Pillows, Towels etc

Airline Magazine, Newspapers & other mags

Cabin Seat Comfort Seat Guide

Seating may vary according to aircraft type

Business Class – long haul

Business Class – short haul

Premium Economy Class – long haul

Economy Class – long haul

Economy Class – short haul

Onboard Catering

Business Class – long haul

Business Class – short haul

Premium Economy Class – long haul

Economy Class – long haul

Economy Class – short haul

Cabin Staff Service

Business Class – service efficiency

Business Class – staff attitude & friendliness

Premium Economy Class – service efficiency

Premium Economy Class – staff attitude & friendliness

Economy Class – service efficiency

Economy Class – staff attitude & friendliness

Responding to Passenger requests

Cabin presence through flights

Assisting Parents with children

Staff Language Skills

SWOT ANALYSIS

10.1) STRENGTHS:

. LEADING MARKET POSITION:

PIA is one of Pakistan’s leading air carriers, with more than 800 daily flights. Around 150,000 passengers a month fly on PIA, making it one of the major operators in the domestic market in terms of passenger kilometers.

PIA’s international market share was 43.5%, In the Domestic market, its market share was 69.4%. On a system-wide basis, PIA’s market share was 51.2% at the end of year 2007.Its strong market position is driven by consistently low fares as well as reliable service, frequent and convenient flights, use of new technologies like e-ticketing and self check-in terminals, comfortable cabins and superior customer service.

BRAND RECOGNITION:

PIA has high brand recall. It is recognized by travelers all over the country. PIA is a national airline, operating passenger and cargo services covering eighty-two domestic and foreign. PIA has earned the number one ranking in customer satisfaction. This strong market position gives the company a scale advantage and helps it strengthen its brand image.

SUPERIOR OPERATING STRUCTURE:

PIA has maintained its position as the low cost carrier. It has been first class Pakistani airline to use the latest technology. Factors’ contributing consists of different series of Boeing and Airbus and an efficient, high-utilization and point- to-point route structure.

Flying one type of aircraft significantly simplifies scheduling, maintenance, flight operations, and training activities. PIA has continually achieved high asset utilization and employee efficiency. Superior operating structure serves as the primary competitive advantage of PIA.

NETWORK PRESENCE:

PIA enjoys a strong network in key domestic and international destinations. The company’s network includes three the major airports in Pakistan, as well as major international airport such as Dubai International Airport. Having a strong network means that PIA can generate traffic feed for both its domestic and international Flights.

HUB AIRPORT AT KARACHI:

PIA operates from its hub in Jinnah International Airport, Karachi. Jinnah International is one of the world’s busiest airports in terms of number of passengers carried. It is also one of the largest international gateways to Asia. It is also the leading international air passenger (and cargo) gateway to Pakistan. The company’s strong presences in airports with heaviest traffic levels in Pakistan give it a competitive advantage.

EFFECTIVE USE OF TECHNOLOGY:

PIA has successfully incorporated latest technology in all its systems, giving it an edge over competitors. PIA takes credit for introducing most new technologies to the Pakistani market. It was the second carrier in Pakistan to incorporate the c-ticketing system and the second in South Asia to introduce self check in systems at the Jinnah International Airport, Karachi.

10.2) WEAKNESSES:

FORMULATION OF GOVT. RULES:

The Basic flaw of this organization is its consolidation that is centralized system. The key policies, strategies and set of laws are designed by the upper management. The centralized system is one of the biggest obstacles of long term success of PIA. PIA centralizes structure lead to barrel between different level of management, decreased motivation, hard access to information.

HIGH DEPENDENCE ON PASSENGER REVENUES:

Passenger revenues accounted for 87 percent of the PIA’s total revenue in 2007. Cargo services allow airlines to generate additional revenues from existing passenger flights. In addition, cargo revenues are usually counter cyclical to passenger revenues and have lower demand elasticity than passenger business, which allows airlines to pass on fuel price hikes to customers.

DEBT:

PIA has a significant amount of 42 billion debts. Current and future debts could have important consequences for stakeholders of the company. For example, debt could impair PIA ability to make investments and obtain additional financing for working capital, capital expenditures, acquisitions or general corporate or other purposes. Debts could also put PIA at a competitive disadvantage to competitors that have lesser debt and could also increase the company’s vulnerability to interest rate increases.

RELIANCE ON OIL PRICES:

PIA’s sustainability, growth and revenues directly depend on oil prices. A steep rise in oil prices can seriously damage the long term viability of any airline. Recently many airlines around the world went bankrupt due to rising oil prices. Airlines need to hedge against this risk by taking proper measures.

OPPORTUNITIES:
. HAVING THE MAXIMUM ROUTE AND FLEET:

PIA is having the maximum route and fleet domestic and international destinations network in Pakistan as compared to its Competitors. Route and fleet expansion will positively impact the company’s operations by increasing revenues.

GROWING DEMAND FOR LOW COST AIRLINES:

The growing demand for air travel is driven by lower fares and consumer confidence. A survey by International Aviation Authority showed that ticket price is the number one criterion for passengers when selecting a flight, well ahead of the availability of a non-stop service.

CUSTOMER LOYALTY:

PIA’s frequent flyer and loyalty programs can help it retain customers. PIA’s Awards+plus (frequent flyer program) was established to develop passenger loyalty by offering awards and services to frequent travelers. Such schemes encourage repeat travel on PIA, as passengers seek to accrue the benefits given to regular travelers. This enables the airline to retain customers and reduce costs, as it does not have to spend money targeting new customers to replace those lost to other airlines.

SHIFTING CUSTOMER NEEDS:

The needs of air passengers are increasingly changing, as they are becoming more and more price sensitive. If PIA succeeds in making its prices more competitive, then the company will be able to gain significant market share.

INDUSTRY RECOVERY:

Market analysts believe that the global airline industry will experience an upturn in fortunes over the next few years. This represents an opportunity for PIA, as it could generate increased revenues and command market share if it capitalizes on increases in demand.

. THREATS
HIGH INTEREST RATES:

The past few years have seen State Bank of Pakistan impose high as well as low interest rates to check inflation and the over heating of Pakistani economy. Inflation in Pakistan may see another raise in the short-term.

ACCIDENTS:

There had been five accidents with PIA listed as below:

Pakistan International Airlines Flight PK 705 was a Boeing 720 – 040 B that crashed while descending to land on Runway 34 at Cairo International Airport on May 20, 1965 resulting in 119 fatalities.

Pakistan International Airlines Flight PK740 was a Boeing 707-340C that crashed after takeoff from Jeddah International Airport on November 26, 1979. All 156 aboard were killed.

Pakistan International Airlines Flight 268 was an Airbus A300B4-203, registration AP-BCP, which crashed on approach to Kathmandu’s Tribhuvan International Airport on September 28, 1992. All 167 on board were killed.

PIA Flight 554 is the flight number of a Pakistan International Airlines (PIA) Fokker F27 that was hijacked on May 25, 1998. The flight started its journey at Gwadar in Balochistan after originating in Turbat, and was flying to Pakistan’s southern port city of Karachi. The aircraft was carrying 24 passengers and 5 crew members.

Pakistan International Airlines Flight 688 (PK688, PIA688) was scheduled to operate from Multan to Lahore and Islamabad at 12:05 pm on July 10, 2006. It crashed into a field after bursting into flames a few minutes after takeoff from Multan International Airport. All 41 passengers and four crewmembers on board were killed. PIA has to continuously ensure utmost safety and security of its passengers.

Accidents can adversely affect customer confidence in PIA and result in declined revenues intensifying competition.

STRONG COMPETITION BY AIRBLUE:

PIA is now competing against carriers such as Airblue and Shaheen Airline. PIA remains Airblue’s strongest competitor because of the huge market it has gained over time, strong brand image and customer loyalty.

PIA has started new low-fares subsidiary “PIA Express” to stop the Airblue market share growing to fast. Moreover, major legacy airlines have been focusing on restructuring costs, which has improved their competitiveness. With costs restructured, the legacy airlines are becoming more formidable competitors in terms of increasing capacity, matching prices and leveraging their frequent flier programs. Increasing competition could adversely affect the company’s margins.

INTEREST AND FOREIGN CURRENCY EXCHANGE RATES:

Fluctuating foreign currency exchange rates can have a significant impact on PIA’s earnings. For example, as PIA is providing its services to the UK. Negative or positive effects arise from exchange rate movements as change in expenses.

Strengthening of foreign currencies against the British Pound will positively impact PIA and vice versa.

DECLINE IN AIRLINE INDUSTRY:

A number of factors have caused the current decline in the airline industry. For example, the threat of further terrorist attacks since September 11 and a fall in the number of business travelers have both caused passenger numbers to fall.

These and other factors may continue to affect demand for air travel in the future, which will affect revenues of PIA. The threat of terrorism may discourage people from traveling by air and could especially reduce the number of passengers traveling on international flights.

PEST ANALYSIS

The macro-environment includes all factors influencing a company that are not within its control. These include political, social, economic and technological factors. These are known as PEST factors.

A technique of analysis of the macro environment is PEST analysis. Environmental analysis should be continuous arid precede all aspects of planning. Since the airline industry is very much influenced by changes taking place in the environment and has undergone rapid and dramatic changes during the last decade, this analysis is especially important for PIA.

POLITICAL FACTORS:

Political factors always have a great influence on the way businesses operate in the airline industry and the spending power of customers. In recent years it has been observed that government played an active role in increasing competition in the airline industry. A number of new airlines such as AirBlue and JS Air have been awarded licenses to enter the domestic market.

Pakistan has achieved some political stability in recent years. If the management of PIA believes that the present government will perform well (consistently), then there will be more investment in the form of purchase of new airplanes and latest technology. The over all industry will grow resulting in more luxurious and comfortable flights. With the military takeover government policies have become more liberal.

ECONOMIC FACTORS:

Currently, Airlines industry has three major players: Pakistan International Airlines, an Airblue, Aero Asia and Shaheen Airlines. Their target market includes domestic travelers as well as Pakistanis living abroad particularly in the UK and USA. These countries have strong economies coupled with high purchasing power. Customers’ purchase behavior depends very much on prices of the competing airlines as well as services offered. As inflation rate is unstable in Pakistan, spending power of consumers has effected in the long term. In fact growth in Pakistani economy has resulted in an increase in spending power and has positively impacted the airline industry.

Economically, the new millennium has been highly volatile; the September 11 attacks revolutionized the whole world. Consequently, there was a global depression in the North America, South America, Australia and Europe. However, in Asia especially Pakistan the effect in the short term was otherwise. The economy began to boom because of greater remittances from abroad and whole sum immigration by expatriates. As a result, demand for air travel in South Asia rose.

Economic conditions of Pakistan are however improving. PIA has cost a advantage over its competitors because of its newly acquired, improved, long distance aircrafts from Boeing’ which give longer range and better fuel economy than any other jet currently produced. This cost advantage is a barrier to entry for new firms. However, this cost advantage will not be significant on domestic routes.

SOCIAL FACTORS:

The social arid cultural influences on business vary from country to country. The social structure of Pakistan is closely tied. The trend is now changing as the general public is educated and is pursuing professional goals. Customers are more aware of market conditions and available options and want to get best value for their money.

They spend considerable time and money on entertainment hence increasing the need of in-flight entertainment systems. Also, word of mouth has a significant impact in the use of airline services.

Hajj attracts a huge number of customers. The social environment of Pakistan is turning liberal with the new regime. The initiative to automate check-in and ticket booking process might not be very popular with the general public (even educated population) is still technology averse.

E-ticketing might also face significant challenges as consumers are generally reluctant to provide their credit cards information over the phone and the internet. The consumers, however, have a warm reaction to the prospect of less costly but quality service flights.

vi) TECHNOLOGICAL FACTORS:

Technology is vital for competitive advantage and is a major driver of the airlines industry. Major technological changes are taking place in the airlines industry with innovations in the reservations and booking systems. In-flight entertainment systems and auto check in counters are two examples of such innovations. Internet plays a key role in e-ticketing as consumer can easily reserve tickets or check the status of the flight.

A key issue will be the extent, to which technological advancements (such as Internet) impact distribution and cost synergies from industry consolidation, can offset upward pressures on costs. PIA has always led the path of technological innovations by introducing new technologies ahead of its competitors such as its auto check-in counters which has helped it gain market share. It was the first airline in Pakistan to install Sabre system followed by the market leader.

RECOMMENDATIONS FOR PAKISTAN INTERNATIONAL AIRLINES
Decentralization:

PIA should decentralize its structure that would lead to the easy management, increased motivation, easy access to information and resolution of the conflicts (as they would be resolved by the immediate manger time span would then reduced). Since employees’ issues regarding their behavior would lessen, so it would ultimately lead to more satisfied employees that would result in enhanced productivity of the organization.

Strategic Business Unit:

PIA should make its different departments into Strategic Business Unit. Every SBU should have a defined business strategy and a manager with sales and profit responsibility.

As PIA is a large organization, so it must be convert into SBUs.Different factors should be determined for the success of SBUs which as follows. The degree of autonomy given to each SBU manager. The degree to which an SBU shares functional programs and facilities with other SBU’s

The manner in which the corporation evaluates and rewards the performance of its SBU managers

Transparent policy adoption:

PIA should adopt transparent policy that employees should be promoted on merit basis. And Chairman of PIA should be appointed from with in the organization. Union should support it, it will motivate the employees and PIA will grow in profit.

PIA should not induct new employees till the time they are needed on the basis of my personal observation at Rawalpindi station I have seen that a task which can be performed by person PIA had 3 employees for that.PIA should give bonus to the industrious and competent employees.

Employee Empowerment:

PIA should make efforts towards empowering the employees that is going to lead to more employee participation in the decision making process and also result in more employee satisfaction and enhanced motivation. Apart from this, employees would feel more independent to discuss the issues explicitly without hesitation.

This would also enhance team work process at PIA as quality team and cross-functional teams. The employees will work with more commitment and dedication and every employee would work to his/her fullest due to increased motivation.

<

It was founded by J. R. D. Tata in July 1932 as Tata Airlines, a division of Tata Sons Ltd. On 15 October 1932, J. R. D. Tata flew a single-engine De Havilland Puss Moth carrying air mail (postal mail of Imperial Airways) from Karachi’s Drigh Road Aerodrome to Bombay’s Juhu Airstrip via Ahmedabad.

Air India serves 11 domestic destinations and 18 international destinations in 11 countries across Asia, Europe and North America. Air India has two subsidiaries and two affiliated carries. Together Air India, Air India Cargo, Air India Express, Indian and Air India Regional form the National Aviation Company of India Limited.

Air India Cargo

It was started in 1954. The airline operates cargo flights to many destinations. The airline also has on ground truck-transportation arrangements on select destinations. As a part of the IATA carriers Air India carries all types of cargo including dangerous goods and live animals.

Air India Express

Air India Express is the low-cost subsidiary of the airline which was established in 2005 during the aviation boom in India. It operates primarily to the Persian Gulf and South East Asia through scheduled passenger services

Indian

Indian which is based in Delhi focuses primarily on domestic routes, along with several international services to neighbouring countries in Asia.

Air India Regional

Air India Regional or better known as Alliance Air serves mainly on Regional routes. Its main hub is Delhi’s Indira Gandhi International Airport.

Tangible Assets
Fleet and Material Resources

Air India is gradually expanding its fleet. In the recent times seventeen new aircraft – eight B777-200LRs and nine B777-300ERs have so far joined the fleet and apart from this 15 Airbus A-321s and 16 A-319s have also joined for Indian operations. Air India now operates 28 weekly services on the international network to three destinations in the USA – New York, Newark and Chicago including a daily NonStop flight between Mumbai-New York and Delhi-New York following the induction of brand new Boeing 777-200LR in its fleet. With a fleet of 136 aircraft, Air India has been gradually expanding its network to cover new destinations in India and abroad. Given below are the details of the Air India Fleet:

Network

Air India currently operates international flights from Mumbai and 16 other Indian cities, viz. Ahmedabad, Amritsar, Bangalore, Chennai, Delhi, Goa, Hyderabad, Kochi, Kolkata, Kozhikode, Lucknow, Jaipur, Varanasi, Tiruchirapalli, Gaya and Thiruvananthapuram. Commencement of international operations from these cities has obviated the need for passengers from these regions to necessarily travel to Mumbai and Delhi, the traditional gateways, for taking international flights. Passengers boarding or deplaning in these cities can now complete their immigration and custom formalities at their city airport, both at the time of departure and arrival.

Additionally, Air India has code-sharing arrangements with other international carriers.

International Hub: After taking the path of consolidation during the past one year, the airline has taken a major initiative towards strengthening its global network and has restructured its operations to Europe and USA by making Frankfurt its operational hub for West-bound flights.

Indian Hub: The Indian Hub resides at Delhi & Mumbai Airports which houses facilities for connections to all major Indian cities. On the domestic front AI operates to 64 stations out of which 17 are connected to our international destinations. The 172-seater Airbus A321 aircraft connects all major metros, including all flights on the Delhi-Mumbai sector. Spacious cabin, comfortable seats and the luxury of in-flight entertainment make this a superior product that travellers look forward to.

Star Alliance

There has been a quantum jump in product profile resulting from induction of new aircraft and consequent expansion of network, Air India will be all set to join the Star Alliance by March, 2011. Once Air India becomes a member, passengers will enjoy enormous benefits, including seamless transfers while travelling across the world, more frequent flyer mileage points, code-sharing leading to a wider choice of flights and access to lounge facilities worldwide. Star Alliance, is a leading global airline alliance of 21 top international carriers. The Star Alliance network offers more than 17,000 daily flights to 916 destinations.

Human Resources

Air India has more Human Resources than it needs which is evident in the numbers employed. In 2009, 17% of the airline’s expenditure went towards salaries which is enormous comparing it with private carriers for whom it was 9.5%. The merger didn’t involve any retrenchment. Nor do any of the current recovery measures being discussed hold any ideas of reducing employee strength by huge numbers.

Air India has 31,000 employees and 14 recognized worker unions apart from which there are several unrecognized ones. While the unions say they are open to being supportive for the development of a better future for the airline, they do not support privatization of the airline or retrenchment

Apart from retrenchment, employees are also worried about the new structure adopted by the airline which they believe will work against their interests. This structure is the so-called SBU structure, one where a large organization is broken up into smaller units, each of which is run like an independent company in principle.

In Air India’s case, the problem as discussed by some senior editors & officials is that the strategic business unit structure isn’t perfect. Under this structure, a Delhi airport manager reports to his strategic business unit head, while his performance will actually be reviewed by the executive director of the northern region. Adding to this the decision on rewarding this airport manager with a foreign posting is in the hands of the commercial director, who is based in Mumbai. The officials recommend is that this entire structure be done away with and a more equitable and just system is brought into place which assures long term sustainability of the organization.

IT & Technology Resources

The IT integration between the erstwhile Air India and Indian Airlines is complete and new technology processes are put in place which are to assure high quality services to the customers. NACIL, the holding company of Air India, has entrusted SITA (Society International Telecommunications Aeronautics) with the task to implement an efficient online booking engine, departure control system, check-in and automated boarding control, baggage reconciliation system (BRS) and a frequent flyer programme. The deal which is a contract worth $190 million (Rs 845 crore) for a period of 10 years will also enable Air India to use SITA’s Horizon Passenger Services System. According to SITA, the systems implemented will make Air India step into the league of unmatched technological supremacy on the technological front primarily this includes an integrated IT platform will enable Air India to streamline its ticket distribution system and save on high distribution cost.

SITA’s Horizon platform provides hosted PSS services to 140 airlines boarding 120 million passengers and will be used to deliver a single airline code which is extremely critcial in order to allow the seamless integration of the former domestic carrier Indian Airlines with Air India for the first time since they merged in August 2007. Another early deliverable will be enabling Air India to meet the requirements for joining the Star Alliance.

SITA association with Air India with mission-critical services has been for more than 50 years, including network connectivity at all their domestic and international stations, check-in, air-to-ground communications, fares management and baggage tracing. Air India is now invited to join SITA’s Horizon Advisory Board which sets the strategic direction for SITA as it engages with Oracle and other partners to deliver a next generation Passenger Services System which will greatly benefit Air India as it exploits new technology and open systems architecture. SITA’s workforce in India along with its local partners – NIIT and Mindtree – now stands at almost 1,000 highly skilled personnel.

Low Cost Resources:
Livery

Air India and Indian unveiled their new livery in May 2007. The logo of the new entity is a Flying Swan with the Konark Chakra placed inside it. The Flying Swan has been morphed from Air India’s old characteristic logo, ‘The Centaur’ whereas the new ‘Konark Chakra’ is reminiscent of Indian’s logo.

While the aircraft is a new ivory in colour, the base retains the red streak of Air India. Running parallel to each other is the characteristically evident Orange and Red speed lines from front door to the rear door, subtly signifying the individual identities merged into one. The brand name ‘Air India’ runs across the tail of the aircraft in hindi signifying the importance of the National language.

The Maharaja

This Maharja which is now familiar figure first made his appearance in Air India way back in 1946. Bobby Kooka as Air India’s Commercial Director and Umesh Rao, an artist with J.Walter Thompson Ltd., Mumbai, together created the Maharajah. It began as an attempt as a design for an inflight memo pad grew to take Air India’s sales and promotional messages to millions of travellers across the world. Today, this iconic Maharajah of Air India has become a world figure.

The logo has completed 56 years and become the most recognizable mascot the world over. The various ads depicting his antics, expressions, puns have allowed Air India to promote its services with a unique panache and an unmatched sense of subtle humour. In fact the Maharaja has won numerous national and international awards for Air India for humour, sense and originality in publicity.

Dining

Air India is constantly trying to create a gourmet experience in its dining. The airline offers a choice of menus to interest all types of tastes – Indian and Continental. Apart from these, there is western cuisine, a choice of Asian specialities, and even Japanese meals on the India-Japan route. If any passenger has a special food requirement, there is a choice to choose from any of the twenty three special meals. The menus are constantly revamped and the wines carried on board live up to the food they complement. Meals are served in First Class seating to passengers in bone china crockery. Alcoholic beverages are served complimentary.

In-flight Entertainment

Air India aircraft are the envy of any radio station with a rich collection of music on board in different genres. Passengers can choose from Indian popular music, Indian Classical, beautiful Ghazals, Bollywood hits and English songs from Western Classical, Pop, Jazz, Country and Nostalgia. A special channel for Regional songs with different routes and demographics has been compiled to suit all passengers coming from different regions.

Air India’s video programmes include a choice of the most recent English and Hindi feature films. The finest in comedy, nature & wildlife, adventure, action and life style are wrapped in a One-hour video magazine. There are special movies in Tamil, Malayalam, etc selected for passengers travelling from Kochi, Kozhikode and Chennai to the Gulf and Singapore.

On Ground Facilities: Lounges, etc

Air India has its own exclusive lounges at Delhi, London, Hong Kong and New York in addition to the one in Mumbai. At other international airports, Air India has tie-ups with other international airlines or local Airports Authorities for lounge facility. There is a lounge for unaccompanied minors as well.

Online Booking, Web Check-in, etc

The quick, easy and convenient way to book AI tickets online through the Air India website. An e ticket will be generated and the details with the e ticket link will be emailed to the passenger. Air India has extensive facilities for Web check in and Tele check in for its passengers to provide ease of facilities.

How a country is perceived, both domestically and from abroad, from the quality of its goods and services, to the attractiveness of its culture and its tourism and investment opportunities, to its politics, economic policies and foreign policy, can be shaped under a brand.

In this section, we will focus on tourism, its impact on nation branding, its effect on GDP and the benefits of tourism branding. In the latter part of this section, we are going to analyse the tourism industries of India and Malaysia, their successful tourism campaigns, and further scope of improvement in the respective areas. We will also try to enumerate what are the major constituents of a tourism industry in any country – and their relative importance, in the two countries taken as our focus areas.

The early history of tourism tells us that people travelled from one place to another mainly because of food or shelter. But in due course of time, large scale mobility of people was caused by the natural elements of human pressure, livelihood or a better standard of living.

In the words of UNESCO, “tourism is a traditional instrument, which enables culture to be rehabilitated and made known to the rest of the world”. Tourism has become a popular leisure activity. International tourism activities have grown by leaps and bounds in the past years. With the dismantling of national boundaries, the tourism scenario is changing. There is a steady growth in the number of tourist arrivals and more satisfactorily the average spending of foreign tourist has gone up.

Tourism is vital for many countries – such as Egypt, Thailand, Malaysia and Maldives and last but not the least, India. The associated goods and service industries in these countries have sprouted to aid the tourism industry. These include transportation services, hospitality services such as accommodations including hotels and resorts, and entertainment venues like amusement parks, shopping malls and casinos etc.

It is universally accepted that government promotion of tourism is a good idea that brings excellent return on investments. It generates jobs like no other, and its development also leads to development of infrastructure, education and related industries.

However, promoting tourism successfully requires setting a context that will allow the tourists to appreciate what is on offer. THAT context is the brand or the overall image of a country.

If a country is widely viewed as secure, modern, clean and efficient, chances of getting tourists to frequent attractive destinations are good. If a nation is known for its unique features whether they be cultural, manmade or natural, there will a positive curiosity towards them encouraging tourists to discover first hand something new.

On the other hand, if a country is known for civil war, crime and corruption, inadequate infrastructure or unfriendly population, inviting tourists to your country is a mammoth task. They either require pretence of not existing, or there will be a lot of convincing to be done that it doesn’t impact the travel experience in any adverse manner.

Tourist choice behaviour is one of the most needed studies by today. Tourists take into account the various factors in terms of facilities, local attractions etc, before choosing their destination. Local attractions, accessibility, facilities are some of the factors that generate tourist flow to a particular location. Absence of any of these facilities may deter the tourists from travelling.

Hence, tourism has to be seen in totality and as comprising of its constituents – mainly attraction, hospitality and the transport facilities in the country. We are going to look at each of them in the following pages. The model that this section follows is as under:

Attractions

A tourist attraction is a place of interest where tourists visit, typically for its inherent or exhibited cultural value, historical significance, natural or built beauty, or amusement opportunities.

Attractions are the major factors, which ensure the flow of domestic or international tourists to a specific place. Some examples include historical places, monuments, zoos, aquaria, museums and art galleries, botanical gardens, buildings and structures (e.g., castles, libraries, former prisons, skyscrapers, bridges), national parks and forests, theme parks and carnivals, living history museums, ethnic enclave communities, historic trains and cultural events.

The history of attractions has often been inextricably linked with the development of travel industry in any country. It can be assumed generally that older attractions (either manmade or natural) were not designed to appeal to travellers. Some of the best examples include the Tajmahal, Niagara Falls and the Pyramids.

Most modern tourist attractions on the other hand, have been purpose-built for visitors, like theme parks or casinos. However, in the Asian context, this may differ as the attractions are generally perceived as more elaborate culture and history. The definition of attractions has been changing over time; and a few broad classifications of tourist attractions can be as follows:

Natural
Man-Made

Outdoor

Indoor

Heritage Based
Purpose Built for tourism

Special Global Events

Local Festivals/Events

Drawing Power (high)
Drawing power (low)

The growth of small local attractions has also been manifold due to an increase in the number of independent off-beat travellers. Interest in exotic destinations and wildlife has led to the development and upkeep of modern zoo’s and safari parks.

The continuing trend of increased leisure time, greater mobility and more disposable income has led to a boom in the attractions sector. Parallel attractions like theme parks have also emerged, and a number of shopping centres and waterfronts have become tourist attractions in their own right.

Culture and Tourism

Culture is a human construct, existing in representations and understanding by the people. Culture defines a society in a way which makes it different from the next.

Contemporary societies are not isolated, insular entities. There is a constant exchange of ideas, beliefs and faiths; travel and tourism undoubtedly play a significant role in this.

Culture and creative industries are being increasingly used to promote destinations and enhance their competitiveness and attractiveness. Many locations are now developing their tangible and intangible cultural assets as a means of developing comparative advantages in an increasingly competitive tourism marketplace.

People, when they visit a country or a destination or a city, are always keen to visit the sites that are important, the places of distinction, the question is always what is there to see, what is there to experience and the destinations provide further encouragement through the printed material, the information, the brochures that they provide to visitors. There are also wider benefits of developing relationship between culture and tourism – such as enhanced image and support for the cultural sector. Culture creates distinctiveness in a crowded global market.

Local communities are beginning to come together to develop cultural products for tourism rather than competing directly with one another. New policies are likely to feature new structures and projects involving public-private partnership and bringing together a wider range of stakeholders to use culture not only to make destinations attractive for visitors, but also to promote regions as destinations to live, work and invest in. Local communities are not only hosts; they define the sense of the place, providing cultural experience for tourists.

Culture in all its forms is likely to figure strongly in the tourism product and promotion of most regions, even those which have traditionally relied on their natural assets, such as sun and beach or mountains, for their attractiveness. Destinations are also trying to increase their comparative advantage by adding to their stock of cultural attractions. They are also trying to develop their intangible culture and creativity.

Culture creates authenticity and distinctiveness in the global tourism market. In this regard, “tourism experiences” that can connect people and visitors to local cultures are very important. In many cases, destinations are also linked to specific cultural events (e.g. connected to famous places, people or historical events) which can also play a catalyst role in this development.

The Cultural Heritage of India is a vibrant mosaic of lively and magnificent colours. Indian Culture encompasses a unique blend of food, fashion, festivals, dance and music that spellbound the four corners of the world in its euphoric nature. India is a popular destination and boasts a cultural heritage that is worth exploring. As a tourist one has many choices to explore – from cuisine to dances to music. All diverse in nature encompass to form the culture of India. Very few countries in the world have such an ancient and diverse culture as India’s. Dating back to over 5000 years old civilization, India’s culture has been enriched by successive waves of migration which were absorbed into the Indian way of life. The Indian culture comprises of Indian music, Indian Dance, Indian cuisines, costumes and Indian Festivals.

Internet has also become a universal tool which offers the possibility to tourists to package destinations and events with accommodation and travel.

Architecture and Tourism

Because tourism is such an enormous industry, which involves monuments, museums, and other special purpose buildings, it is not a phenomenon that can be controlled. It always stands within the cultural and political conditions of the environment, and the tastes and habits of tourists thronging a place.

Everything from historical monuments to exotic holiday destinations has been redesigned and packaged for mass consumption. As a result, the histories of specific sites have been re-conceptualized. Some have been preserved and celebrated, while others have been left to decay. Monuments like the Tajmahal or the Cellular Jail were not built for tourist purposes; however they have been converted into one now.

A more contemporary example of construction for attraction, and certainly one that is totally synonymous with its location is the Eiffel Tower in Paris. The association is incredibly strong and more amazing given the fact that Eiffel’s structure to celebrate the World’s Expo was designed for disassembly and should have come down in 1909 after just 20 years.

Possibly the biggest construction sites of all are to be found today in the Middle East – which has made huge strides to develop other sources of wealth including tourism, by constructing hotels and islands. Dubai has made the biggest splash, with the Burj Al Arab embedding deep in everybody’s psyche.

One of the best architectural tourism spots in the world is China. Chinese architecture ranging from the various dynasties that ruled it has undergone a great evolution. People recognize Chinese architecture from The Great Wall of China and the beautiful pagodas. But there is more to Chinese architecture than that. People who are interested in architecture will find China to be a virtual unexplored region which has some of the best monuments and buildings. China is a country of architectural marvels both ancient and modern and it is one of the best tourist destinations for people who love architecture. Some notable Chinese architecture that are a must see are Terra Cotta Warriors in the Mausoleum of Qin Shi Huang in Xi’an, the Hanging Temple, Forbidden City etc.

In Budapest, an eastern European country, architectural tourism has been promoted very well. Monasteries, churches, caves, Basilica etc are some well known attractions which pulls throngs of tourists here annually.

History and Tourism

Tourism is a powerful economic development tool. Tourism creates jobs, provides new business opportunities and strengthens local economies. When heritage and history is paid attention to and used to our advantage, it also helps to protect a nation’s natural and cultural treasures and improve the quality of life for residents and visitors alike.

In the past, the tourism industry saw its primary role as marketing ready products to travellers, such as package tours to Mumbai. But countries are now looking for new ways to attract travellers, and today culture and history are more likely to overlap than any other domains.

A concrete example is India, which with its potpourri of different religions and faiths, is a centre for people from countries following similar faith. Tourists from countries like Thailand, Indonesia or Burma (which follow Buddhism as well) desirous of visiting Bodhgaya are attracted to the history and heritage of the country. This can be exploited to promote history and heritage tourism – making India a lucrative destination for people sharing the same faith. Also an example is the International Kite Festival held in Gujarat every year, which is slowly turning into a big crowd puller year after year.

Cashing in on the history of a place and promoting heritage tourism refers to travelling to experience the places and activities that authentically represent the stories and people of the past and the present.

Food and Tourism

Food is something an increasing number of us remember from our travels. Like never before, holiday makers are choosing where they go by what they can put in their stomachs.

Food is a manifestation of a destination’s culture – which can be invaluable for giving travellers a hands-on experience. You can open a different door with every meal. The last few years has seen an incredible shift in the way holidays are created and marketed, and that is because people demand authentic experiences. Eating traditional dishes is considered “very important” on a holiday. People also willingly miss meals in their hotel or resort to try out local restaurants. Tourists are becoming more experimental as well as sophisticated in what they eat during a vacation.

Supermarkets have also played a major role in making foreign foods more available. Food festivals are another crowd puller. Singapore hosts an annual food festival each July celebrating a different aspect of its culture. The colourful opening of the West Bengal Tourism and Food Festival is a reflection of the state’s positive efforts to boost the tourism sector.

Indian cuisine ranges from the simple and bland to the lavish and complexly pungent. Each region has its specialty cuisine, though some dishes are available throughout the country. All the states have their own signature dishes which are world famous and tempt the tourists to visit those states, for having an authentic experience. Indian sweets and various varieties of tea, especially Assam Tea, boost tourism in India. The cooking styles and flavours of every region of India is unique and differs from each other. While Kashmir is famous for its 24-course banquet- the Wazwan; coastal Goa, Kerala and Bengal specialize in fish, seafood and coconut-based dishes. Gujarat and Tamil Nadu are the best states to taste vegetarian specialties. Bengal, Bikaner and Delhi are particularly famous for sweets.

Food tourism includes all unique and memorable food experiences, not just four star or critically acclaimed restaurants. Price is not necessarily indicative of quality. According to industry research, true food tourists are perfectly happy at a roadside cafe in the middle of nowhere, as long as there is something memorable about their visit.

Transport
Relevance

Though transportation as a topic can be discussed independently, tourism cannot thrive without travel. Transportation is an integral part of the tourism industry. It has been largely due to the improvements in mobility that tourism has expanded to such a stage.

Transportation links various cities and countries in some cases. Tourism is all about travel, and the role of transportation in its operation cannot be overemphasized. Accessibility and tourism activities have broken barriers and opened formerly off-the-beaten-track areas to visitors through aggressive marketing of some far-off paradise with the availability of transport.

It is, more often than not, seen as only that part of tourism which is in charge of bringing the tourists to their destinations; provide a means of getting around the place and leaving it once the stipulated duration is over. In fact, the transportation system of a tourist destination has a huge impact on the tourism experience which explains how people travel and why they choose different forms of holidays and destinations. Access to tourism sites relies heavily upon the state of infrastructure, and the efficiency of the public transport system.

Tourists arriving at international cities need mobility and few decide (or can afford) to hire private transport. Because of this, the public transport system is an essential service for this population, especially in cities large enough to need bus, metro and train systems. However, in congested cities with weak public transport networks, the influx of tourists exerts additional demand pressure on the transport system.

Modes Available

There are five modes of transportation, based on the physical characteristics of the service offered and the right of way over which a transportation carrier operates. These are air, highway, rail and water, arranged in decreasing order of speed. All modes of transportation are regulated in some manner, be it economic or non-economic.

Economic regulation has been reduced in a number of transportation markets in recent years, beginning with domestic airline deregulation in the United States in the late 1970s. Since then, many other countries have deregulated their national transportation systems to some degree, including air, highway and rail. Internationally, economic regulation has been reduced in some markets, with the European Union being a prime example of including not only air but other modes as well.

Passenger transportation plays a critical role in determining the success or failure of nearly every segment of tourism. Without a reliable and economic form of passenger transportation to, from and within a destination, enticing tourists to visit that destination may be very difficult. Island economies like Hawaii, Andaman Islands or Malaysia are almost fully dependent on air transport access.

Off-beat destinations

The transportation carrier may also become a “destination” in its own right, such as a few cruise liners in areas like Singapore, Malaysia, Caribbean and the Mexican Riviera. Other forms of transportation serving as “destinations” include “Palace on Wheels”, “The Orient Express” etc.

For about the past four years, the travel industry in Asia and the Pacific has been undergoing a dynamic change, and the growth of low cost carriers has been cited as the single most important factor currently shaping the region’s airline industry. Thus at the same time, tourism has also had a major impact on transport modes and networks through its ability to supply additional motivations for leisure and business travel.

Due to the intensity of worldwide competition and product parity, positioning strategies will become a strategic weapon for tourism destinations. Tourist destinations, for example resorts – which can be fairly similar, can succeed in developing strong and differentiated brands through excellent access to transportation facilities.

Transport policies and decisions of governments can play a big role in the destinations available to tourists. If the public sector does not cope with the demand in terms of transport infrastructures, tourism industry might not develop in those regions.

Hospitality

Hospitality is the relationship between guest and host, or the act or practice of being hospitable. Specifically, this includes the reception and entertainment of guests, visitors, or strangers, resorts, membership clubs, conventions, attractions, special events, and other services for travellers and tourists.

Hospitality is about compensating/equalizing a stranger to the host, making him feel protected and taken care of, and at the end of his hosting, guiding him to his next destination. Cultures and subcultures vary in the extent to which one is expected to show hospitality to strangers, as opposed to personal friends or members of one’s in-group.

The tourism industry has several components – food, accommodation, place of attractions, transportation etc. All these components are related to hospitality. Hospitality and tourism experiences have important emotional dimensions that traditional marketing tend to underplay. By understanding the hospitality-based transaction between guests and hosts, marketers and commercial operators can deliver customers experiences through which to build customer loyalty and a robust business better able to withstand. The guest and host relationship has a long tradition, pre-dating modern hospitality and tourism businesses by thousands of years and universally evident across all societies.

Hospitality creates an impression of hosting and hospitableness, which prioritizes guest experiences.

The Indian civilization is one of the oldest on earth, and like every culture has its own favourite stories including some on hospitality. That of a simpleton readily sharing his meagre morsels with an uninvited guest, only to discover that the guest is a God in disguise, who rewards his generosity with abundance. That of a woman who lovingly cooks up all the Khichdi she can afford, for everyone who is hungry… till one day when she runs out of food for the last hungry person to whom she offers her own share, and is rewarded by the god in disguise with a never ending pot of Khichdi. Most Indian adults having grown up listening to these stories as children believe in the philosophy of “Atithi Devo Bhava”, meaning the guest is God. From this stems the Indian approach of graciousness towards guests at home, and in all social situations.

Benefits of Tourism Branding

While many regard branding as simply creating a new look and tagline, if done correctly, a genuine brand management strategy should positively influence all aspects of a nation.

The reputation of the country we live in, work and study matters. An attractive and distinctive identity makes it easier for a city (and its citizens) to be preferred in any competitive setting because the place is seen to have qualities that resonate positively with key audiences and can enhance the well-being of its citizens.

We can retain different campaigns for a country. They can include exports, education, foreign trade etc. All these should contribute to a clear identity of a nation.

It is the tourism promotion – in whatever form (advertising, PR, websites etc) – that will have the biggest impact on the attitudes to a nation. Tourism is the acceptable public face of a national brand.

Clarke (2000) has identified six benefits of branding related to tourism destination products (TDPs):

As tourism is typically high involvement, branding helps to reduce the choice;

Branding helps in reducing the impact of intangibility;

Branding conveys consistency across multiple outlets and through time;

Branding can reduce the risk factor attached to decision making about holidays;

Branding facilitates precise segmentation;

Branding helps to provide a focus for the integration of producer effort, helping people to work towards the same outcome.

Impact on GDP

Focussing exclusively on India in this section – the tourism industry has contributed enormously in the flourishing graph of India’s economy by attracting a huge number of both foreign and domestic tourists travelling for both leisure and business purposes.

As per the Travel and Tourism Competitiveness Report 2009 by the World Economic Forum, India is ranked 11th in the Asia Pacific region and 62nd overall, moving up three places on the list of the world’s attractive destinations. It is ranked the 14th best tourist destination for its natural resources and 24th for its cultural resources, with many World Heritage sites, both natural and cultural, rich fauna, and strong creative industries in the country. India also bagged 37th rank for its air transport network. The India travel and tourism industry ranked 5th in the long-term (10-year) growth and is expected to be the second largest employer in the world by 2019.

The hotel and tourism industry’s contribution to the Indian economy by way of foreign direct investments (FDI) inflows were pegged at US$ 2.1 billion from April 2000 to March 2010, according to the Department of Industrial Policy and Promotion (DIPP).

According to the Travel & Tourism Competitiveness Report 2009 brought out by the World Economic Forum, the contribution of travel and tourism to gross domestic product (GDP) is expected to be at US$ 187.3 billion by 2019. The report also states that real GDP growth for travel and tourism economy is expected to achieve an average of 7.7 per cent per annum over the next 10 years. Export earnings from international visitors and tourism goods are expected to generate US$ 51.4 billion (nominal terms) by 2019. Furthermore, the sector which accounted for 6.4 per cent of total employment in 2009 is estimated to rise to 7.2 per cent of total employment by 2019.

Deeming the growing rate of the tourist’s arrival in the country, the Indian tourism industry designed a wide spectrum of holiday packages and cheaper airfares to attract more tourists. The booming success of Indian tourism industry has led to a drastic change in the hospitality department as well. The increase in the ratio of tourists resulted in the increase of room rates and also setting up of a wide range of hotels and other residing areas. The Indian tourism industry offers online booking system, one of the basic proofs of technological advancement in this sector. These online bookings are applicable for booking the air tickets via Internet by logging on to the website and also booking the hotel room of the place to be visited. The Role of Tourism Industry in India GDP also features medical tourism that includes traditional therapies like yoga, meditation, ayurveda, allopathy and other conventional systems of medicines is currently estimated at USD 333 million and is most likely to reach USD 2.2 billion by the year 2012.

Analysis of India as a preferred tourist destination

Tourism is the largest service industry in India. As we have seen in the previous section, it plays an extremely important role in the Indian economy by direct as well as indirect impact.

Countries such as USA, UK, Singapore, Thailand and Australia feature high on the list of favourite tourist destinations. Which leads us to the million dollar question – Where does India stand among other Preferred Holiday Destinations?

India is a Land of all seasons, where beauty beckons, culture echoes, diversity delights and tradition talks. Those who reach India are greeted with a gracious Namaste, Namaskaaram, Vanakkam or Sat Sri Akal denoting warmth, hospitality and respect – a tradition in tune with the country’s age-old motto “Atithi Devo Bhava” where the guest is treated as God. The Incredible India campaign focuses on the hospitality of our country, and the pristine and undiscovered lands it offers. The campaign has been running successfully for some time now, and has succeeded in pulling both domestic and international travellers to Indian destinations.

Graciously endowed with mist clad mountain ranges, deep blue seas, enigmatic deserts, golden beaches, emerald green valleys, palm fringed backwaters on the one hand and unique art forms, exciting fairs and festivals, interesting pilgrim centres, exclusive heritage sites, royal forts, majestic monuments, architectural marvels and exotic flora and fauna on the other, this legendary land is unique in all aspects – it is no wonder that India has emerged as one among the Top Five Tourist Hotspots of the world, with a tremendous increase in tourist traffic all through the year.

Many factors have been collectively responsible for boosting our country’s economic reserves and the impact of India’s economic growth on tourism is increasingly being felt in niche sectors.

India abounds in attractive and well-preserved historical sites, ancient monuments of architectural grandeur and not-so-ancient mosques/durgahs, churches and places of worship of other diverse faiths.

India is also known for some of its fine beaches like Goa, Mamallapuram, Kovalam, Pondicherry, Puri-Konark etc. In addition island tourism has been developed at Andaman/Nicobar and Lakshadweep Islands.

All across the country are wildlife sanctuaries whose areas extend over several thousands of square kilometres, where wildlife can be observed in their natural surroundings. Each sanctuary supports several species of wildlife, being well known for one particular species. In some cases, there are rare or even endangered species.

India is a land of fairs and festivals with atleast one fair in each day of the year. These fairs and festivals add colour to the social life of Indian people. Some of the important fairs and festivals are Pushkar fair in Rajasthan, Crafts Mela at Surajkund, Holi in North India, Pongal in Tamilnadu, Onam in Kerela, Baisaki in Punjab, Bihu in Assam, Dance festivals at Khajuraho and Mamallapuram etc. India has a treasure trove of handicrafts for any discerning shopper, in truly remarkable variety of styles and prices.

Over the years, India has developed world standard accommodation infrastructure for entertaining the visitors. There are about 60,000 classified hotel rooms in India and about 35,000 rooms are under construction. These hotel rooms scattered in various cities are of varying price range. Some of the major hotel chains in India are the Oberois, Taj Group of Hotels, Welcome Group of Hotels and India Tourism Development Corporation Hotels.

Despite the fact that India has a wealth of amazing places waiting to be seen and appreciated and an unbeatable tourism potential, India receives far lesser tourists compared to other relatively smaller countries.

Most foreigners who visit India for the first time are heard complaining about

Over priced Hotel rooms

Corrupt autos and taxi drivers waiting to take them for a ride, literally!

Lack of proper infrastructure

Confusion and chaos at the airport

Unhygienic conditions etc

Probable Areas of Improvement

India is well known for personal bonding and relations with their tourist customers. What will be promising for India is the effectiveness of proactive relationship building strategies undertaken by India.

India should focus on building and maintaining strong tourist relationships. It should also note that the selection and training of tour guides who are directly dealing with the tourists is undertaken properly. Accordingly, the holiday destination managers may undertake certain measures to improve the status of the dominant factors, which will ultimately lead to the improvement in visitors’ perception towards India as a tourist destination. Hence expertise and communication, and familiarity with tourists are the most effective relationship-building strategies.

The next effective strategy could be investing in

Introduction

The Emirate palace is the most luxurious hotel in Abu Dhabi being the second seven star hotel of the world. Construction of the hotel is done with the maximum possible standards of comfort and luxury. It is built in 1000 hectares of beautiful landscapes. Infrastructure of the hotel is highly commendable with all the facilities. It has 20 different places for culinary delights, vast parking place, 2 helipads, 300 rooms, 90 suits, 48 conference rooms, and a huge conference centre. The level of various services provided by the hotel is of very high quality. (Minghetti., 2003)

Some of the major services in the hotel industry are the customer services, room services, layout services, quality services etc. These services hold a great importance in the hospitality industry and even more for a hotel like Emirate Palace. Providing good customer services in the hotel industry is the most critical objective to remain competitive and profitable in the long run of the business. Customer service is a very significant facet of the hospitality industry. Customers of hotels need the employees to fulfill their various requirements and thus keep on interacting with them all the time during their stay in the hotel. (Fitzsimmons., 1999)

Tourism is an important sector of the UAE and thus the hospitality and tourism industry is flourishing and competitive there. There are a large number of hotels in Abu Dhabi which fulfils all the requirements of location, accommodation and budget of the customers. To gain a competitive edge in the market it is advisable for a hotel to work rigorously for the improvement of the customer services. Providing exceptional customer service is a very critical issue for the hospitality industry. Customers of hotels expect a good level of service from the hotel employees and if not provided than they may often feel dissatisfied but if they are given better service than the expectations they can be made feel special and important for the hotel and can make sure that during the next visit in the city they will stay in the same hotel. The main objective of good customer service is bringing the customers back. This can be done if the level of service provided to the customer is good enough to satisfy him so that he should a spread a positive feedback about the hotel that will attract more customers to the hotel. The main focus of customer services is the customer satisfaction to gain retention by making strong and long term relations. (Dominici., 2010)

Following figure show the service blueprint of a luxury hotel:

Mission and Vision of Emirate Palace

The mission of the hotel is to provide clients the most exclusive and unique experiences.

The strategic vision of the Emirate Palace is to serve as a world’s most luxurious hotel and leisure destination and to lead the industry. Another vision of the hotel is to contribute in making Abu Dhabi the centre of cultural activities of the Middle East and Emirate Palace a milestone in the country which can host any prestigious sporting event in Abu Dhabi.

Customer Services in Emirate Palace

Following are the main customer services offered in the Emirate Palace:

Hotel Reservations – Emirate Palace has a very nice facility to make reservations in the hotel. It has an online reservation portal where customer can make advance bookings for their stay in the hotel. Customer can also check the status of availability of rooms on the future dates when he wants to visit the hotel. Many online payment options are available on the website for the convenience of the customer to choose payment option which suits them the most. Reservation portal also gives many offers on the advance booking of rooms. (Dhabi.)

Meetings and Conferences – The Emirate Palace has 48 conference rooms, a large conference centre, a ballroom with a capacity of 2400 guests, a huge auditorium able to accommodate 1100 seats. These meeting and conference halls are best suitable for a gathering of 1000 people or a private confidential meeting of 10 people. The conference rooms have projectors, LCD screens, microphones, Wi-Fi data system and audio and video conference system preinstalled. (Dhabi.)

Guest Relations – Emirate Palace used to provide high level of customer service to the guests of the hotels. It is one of the most superior hotels in the world so the list of the hotel guests is also very exclusive. After getting pampered with the world class customer service the customers are welcomed to provide an honest feedback about their stay in the hotel. This feedback is helpful in maintaining long term relationship with the customers. (Dhabi.)

Membership – The hotel provides the facility of membership with the group. This membership facility is very useful in case of urgent bookings in the hotel. Members of the hotel are the customers who used to visit the hotel more often. This facility is the benefit of the long term relationship between the hotel and its customers. The members of the hotel are given priority in case of unavailability of enough vacancies in the hotel.

Comments/Suggestions – Collecting feedback from the customers is a critical issue for providing the best customer services in the industry. Words from the customers are very important for the hotel. These feedbacks are used to improve the quality of service if needed.

Transit Visas for UAE – UAE is the main place of attraction for the tourists all around the globe. Tourism is an important industry in the UAE and people used to visit UAE both for work and fun. The hotel helps its customers to provide transit visas for the UAE during their stay in the country. Acquiring visas is the most time consuming task for a visit in a foreign country. This herculean task is made easy for the customers by the Emirate Palace by providing them the transit visas for the UAE. The Emirate Palace get transit visas of 14 days issued for the customers within 7 working days. (Transit Visas for the United Arab Emirates)

Events Calendar – Schedule of the coming events in Abu Dhabi, UAE and Emirate Palace is available on the website of the hotel. This information can be very helpful for the customers of the hotel to make reservation accordingly if they want to attend a certain event in the hotel. The event calendar is used for getting information about the latest events going to be held at the hotel. (Dhabi.)

IT Butler Service – Till now the Emirate Palace used to provide a personal butler for every room and suite but now the butler service has taken a step ahead and the hotel is providing an IT butler for private consultation. This IT butler service is 24?7 facilities for IT assistance and support of the customer. Emirate Palace is used to host many conferences and workshops for many IT companies.

Online Printing – In case a customer needs printed copy of some of his document then he does not have to go to a printer to get his document printed. The Emirate Palace provides the service of online printing. The customer has to upload the electronic copy of the document on the web portal of the hotel and order it for printing. Nominal charges are applicable on printing of documents. This service adds value to the customer services provided by the hotel. (Dhabi.)

Leisure & Healthcare – The hotel has unlimited leisure and recreational facilities available. The hotel has health spa, fitness suites, energy zone, tennis and paddle programs for health and fitness of the customers. Many water sports activities are facilitated by the hotel where the customers can enjoy the thrill of the open sea. Sarab Land is a children playground well equipped with slides and swings and many child activities organized by the beach club. (Dhabi.)

Analysis of Customer Service Operations in Emirate Palace

Service operation management is all bout the process by which organization produce services which are useful for the customer. Operation management takes care of managing the process of production of services. The process of transformation of input resources in the output of services is called an operation. (JPC Media LLC )

The operation process of transforming inputs into outputs certainly adds some value (apart from the cost of input) to the final product or service which is called the value added to the service.

The Emirate Palace provides a very high level of service to its customer. This level of service can be produced only if the organization incorporates a service operation management which keeps a watch on the process of production of services. Various customer services in the Emirate Palace are discussed above and here these services are being analyzed on the framework of service operation management. (JPC Media LLC )

Hotel Reservation – In the Emirate Palace the hotel reservation system is a customer service. In the operation of this service the inputs given are the web portal for the reservation system where the queries for the availability of rooms on are asked, and information (like number of rooms, number of guests, adults or children, date of reservation) from the customer is also required. Another input is the payment options for the advance booking.

The transformation process of this service includes the changes in the database of the hotel reservation system. The database provides the results of the queries made by customer regarding the vacancy of room on the given date. The process of reservation also includes the transaction of amount for the reservation made in the hotel.

Output from the transformation process is the customer service for making advance reservations in the hotel. The process provides information about the availability of rooms or suites on the particular date when customer wants it. The process also provides the information about all the types of rooms and suites in the hotel, their specifications, facilities in the rooms, and charges of the rooms. Using this information customer can choose the type of room and services they need. After making the payments for the reservation customer can get his room booked in the hotel on the desired date. (JPC Media LLC )

Meetings & Conferences – The Emirate Palace is one of the best venues for government conference and summits. Meetings and conferences of many multinational companies are arranged at the conference rooms and auditorium of the hotel. The input in the operation of this facility are the space of the meeting rooms, gadgets like the LCDs, microphones, projectors, other services like, Wi-Fi internet, audio or video conferencing systems. These additional services act as input of this customer service. Another input is the piece of information provided by the customer about his requirements of the meeting or conference rooms.

Transformation process of the above input gadgets and services into the desired output of the service include a few steps. Conference rooms or auditorium are booked for various purposes. So first of all the requirements of the customer are studied and an estimation of the budget is given to the customer. If the customer needs any changes then the budget is revised otherwise next step that is installation of the extra facilities like Wi-Fi, projectors, LCDs are done in conference rooms and the rooms are ready and well furnished for the meetings going to held there.

Successful business meetings and government conferences and summits without any disturbance or interrupt due to some missing equipment or service are the output of this service operation. Satisfied customer is the intangible and most important outcome from the operation. (JPC Media LLC )

Guest Relations – Emirate Palace is one of the few hotels which provide seven star facilities to its customers. So the list of guests of the hotel becomes very exclusive as many government official, Hollywood stars, and sports star used to visit the hotel. The input in the service operation is the guests and the employees of the hotel.

The process of the operation involves the interaction between the customers and the employees of the hotel. Guests used to keep on communicating with the hotel staff during all the hours of the day and the response of the staff plays a crucial role in the process of transforming inputs in the desired output. The hotel staff is well trained in the field of hospitality and fulfills all the needs of the guests of the hotel.

The output of this service operation is the long term relationship with the customers. A happy guest with the facilities of the hotel will give a positive feedback of the customer services of the hotel. Apart from the positive feedback another important output will be the next stay of the guest in the hotel. Managing healthy and long term relations with the guests is important in the retention of the customers. (JPC Media LLC )

Transit Visas for UAE – Emirate Palace helps its customers in getting the temporary tourist visas of the UAE. Input for the service operation is the customer’s documents, and charges of the visa. These are the requirements for getting the transit visa for UAE for the customers of Emirate Palace.

The process of the service operation involves many steps as it has to go through a government protocol which is a bit time consuming but less than what it takes to get a transit visa directly from UAE embassy. Processing of the visa application takes at least 7 working days. The issuance of visas is under control of the Immigration department of Abu Dhabi.

Transit visa valid for 14 days from the day of arrival in UAE is the output of the transformation process. A scanned copy on the mail of the customer is sent as soon as the visa is approved. The customer can receive the original copy of the visa from the Immigration office at the UAE airport. (Transit Visas for the United Arab Emirates)

IT Butler Service – Personal butler service for each room is being provided by many hotels and is not enough for the Emirate Palace so has decided providing a perfect hospitality service according to day today’s requirements of the customers. Input in this service is the employee of the hotel who is well trained in the hospitality business and in IT skills as well.

The process of service operation is the training of the staff for the role of IT butler. They are trained to solve IT related problems of the customers.

Solution of the IT issues of the customers is the output of the operation. The IT butler helps the customers in setting up their office network, company’s VPN, or any handy issue with some technical tool or application. The IT butler is available 24?7 for the service of the customers.

Analysis of Supply Chain Management

Precisely speaking Supply Chain Management is “a set of approaches utilized to efficiently integrate suppliers, manufacturers, warehouses, and stores, so that merchandise is produced at the right quantity, to the right location and at the right time, minimizing the cost and improving the service quality.” This definition of Supply Chain Management depicts that each and every facility plays an important role in making the product according to customers’ requirement. The supply chain in the hotel industry is used to provide the best service in the industry to the customers. The Supply chain of the Emirate Palace is designed with a certain objective of each link in the chain. Designing the right service for the customer with flexibility should be delivered to the customer in appropriate quantity, at the right time when he customer really needs it should be provided at the minimal cost. (Supply Chain Management)

In the Emirate Palace various decisions are made at times at different levels of management for the advancement in the customer services. Long term decisions are made at the strategic level. Issues like ambience of the rooms and suites, type of customer services etc are decided at the strategic level. Decisions regarding the customer services like what services to provide, how to provide, what should be cost of a particular service etc are taken at this level.

Medium term decisions like the menu of the week, theme of a particular party, other offer on services, duty of the hotel staff etc are taken at this level of the chain. The operational level is to take day to day decisions like the attire of the staff, celebrity guest of the day etc. There is a very thin line between the functions of tactical and operational level.

Inventory management and Customer service hold a trade off with each other. If the hotel staff start being very rigid with their inventory management system then they will not be able to provide the level of customer service they are providing currently. The Emirate Palace provides a very high level of customer services which will not be possible if the hotel management is more concerned about the stocks in the inventory rather than the customer satisfaction. (Supply Chain Management)

Electronic Operations at Emirate Palace

The Emirate Palace provides many services to the customer. These services are the measure of customer satisfaction with the hotel. The hotel Management use to manage most of their tasks using technologically advanced resources these operations are also called electronic operations. The major electronic operations of the hotel are the following: (Minghetti., 2003)

Reservation System

The Reservation System of the hotel is completely web based. A web portal is provided for the customers to check the availability of rooms on particular dates and make reservations if available. There the customers can also look at the images of the different types of rooms and suites of the hotel and choose one of them for their stay in the hotel. Payments are also done online via credit card and many other payment options. The payment link is provided extra web security for security reasons of the customers. Overall the reservation system of the Emirate Palace is a value added service operation of the hotel.

Online Printing

There is another facility of online printing provided for the customers of the hotel. This facility can be availed by a customer if he has a meeting early in the morning and he needs hard copies of some of his documents of which he has electronic copy. Customer can go to the website of the hotel and click on the link of online printing. Now he can upload the soft copy of his document and order it for printing. The print outs cost nominal printing charges. (Transit Visas for the United Arab Emirates)

ATMs

The electronic operations of the Emirate Palace include all the electronic services provided by the hotel. There are three ATM machines in the hotel from where customers can make transactions in case if they need cash amount.

Internet Facility

The Emirate Palace also provides internet facilities to the customers. All the rooms and suites have a Wi-Fi internet connection of 20 mbps. This complementary line is spread in all parts of the hotel. On special demand of the customers a broad line of 80 mbps Wi-Fi internet connection is provided which has additional charges.

SWOT Analysis of the Emirate Palace

Strengths

Exclusive service and features and high brand value.

Patronage of the high profile clients thus maintained profits.

Weaknesses

Extremely heavy cost of rooms so 50% rooms vacant every year.

Exclusive and the quality service cost very high.

Opportunities

Reduction in prices may attract more guests.

Threats

Another 5 star hotel Burj-Al-Arab is a major competitor.

Profits might get reduced because of the global economic melt down.

Business Process Map of the Emirate Palace

Business process mapping is a methodology to improve the performance and efficiency of the organization by improving the process steps in the delivery of product or service. The business process of the delivery of customer services in the Emirate Palace is depicted in the figure below: (Business Process Modeling)

Customer

Order for Service

Apologize for delay and ask for time.

Deliver Service to customer

Update Service & customer Database Database

Service booked for the customer

Yes

Forward order to Inventory Management

No

Check time to make available

Available?

Processing order

Check Availability

The notations of the various figures are different in the above flow chart of the business process of the.

Decision point

Activities

Actions

Events

Service Quality Management

Quality of the service is the ability of satisfying customer needs and meets his expectations consistently. It is the duty of the hotel staff and employees to provide the level of service which is up to the mark or even better than their expectations. The Emirate Palace is a seven star hotel so the quantity of customer service will be obviously large. But the quality of service they provide should be tested on various dimensions. (Dominici., 2010)

Dimensions of Quality

The dimensions of quality are:

Performance: The services provided by the hotel are very exclusive. The innovation tem of the hotel has worked hard to provide the customers with the unique customer services.

Aesthetics: Customer services provided by the Emirate Palace are very lucrative and well designed. The reservation system of the hotel is very user friendly i.e. any newbie can use the portal and book a room for him.

Special Features: Each and every customer service of the Emirate Palace has certain unique and special feature in it. Like most seven star hotels provide a private butler for every room and suites. But the Emirate Palace is providing a private IT butler for every room and suite. The job of this butler will be to help the customers with the IT related problems.

Conformance: All the customer services of the Emirate Palace are up to the mark of the expectations of the customer.

Reliability: The consistent performance of certain customer services in the Emirate Palace is doubtful. Like the IT butler service. (Dominici., 2010)

Durability: The services offered by the hotel seem to have a long useful life. All the services provided to the customers today will be also are needed by the future customers of the hotel.

The following figure shows the Gap Model of the Service Quality

Total Cost of Quality

Failure Cost: This cost of quality is the cost of defective and faulty parts of service. The failure cost of quality of the customer services will be high for the hotel. This cost is further classified in two types:

Internal Failure Cost: This is he cost when the fault in the service is detected before the launch of the service. Some employees of the hotel must have gone under training of IT skills for doing the job of IT butler.

External Failure Cost: All the cost incurred to determine and repair the fault of the service which is detected after it is offered to the customer.

Appraisal Cost: This is the cost paid to ensure that the quality of service is maintained during the use of it. Like the cost of maintenance of the database of the hotel reservation system because if the database or the system crashes then one of the most important customer service of the hotel will be finished.

Prevention Cost: This cost is paid for the training & planning of total quality, customer satisfaction, and quality improvement costs so that defect can be prevented. A separate team of innovation and customer service is always working for the improvement in the current services and remove the faults if any.

The Emirate Palace has received the Environment Management System ISO 14001: 2004 Certification of Hospitality Services.

Recommendations & Suggestions

The Emirate Palace provides a wide range of customer services to its guests. Most of these services are value added and costs pretty high for the hotel. The reservation system of the hotel is a wonderful customer services but there are some improvements required in the system so that it can be more valuable for the customers. Reservations made on the web portal cannot be withdrawn later if the customer has any case of urgency. Full amount of the payment is forfeited by the hotel. If a customer has booked a room advance in 1 month but on the day of reservation he got stuck with some important work than the instead of forfeiting the whole amount a particular percentage of the payment should be deducted and the rest should be transferred back. The process of providing transit visas of the UAE is a bit time consuming so the hotel management must try to reduce the time taken in the process.

Conclusions

The Emirate Palace is one of the world’s few seven star hotels providing excellent level of customer services. These customer services are produced by passing through various processes of service development. Operation management, process design, service supply chain strategies, and service quality management. All these frameworks and tools are helpful for the improvement of services. Developing a service involves 3 phase of giving input, process transformation, and obtaining output. Each service is the output if this process. This objective behind these high levels of services is customer satisfaction. In the hospitality industry the guests should be treated to make hem feel special. Every customer has a certain level of expectations from the service provider and if the service provided does not live up to the expectations of the customer then the customer will never come back to buy the service again. But a satisfied customer is always necessary for spreading the word of mouth about the quality of service of the business. So an organization must always vigorously strive to provide customer services to the guests so that they get satisfied and give a positive feedback of the organization.

Kedar Country Lodge

It is a four star lodge with 85 employees, its divided into different department namely Food and Beverage, Front Office, Kitchen, Housekeeping, Maintenance, Garden, Sales, Human Resources, Administration and IT. The property is 640 hectors with antelopes animals, it has Paul Kruger Museum, 65 rooms, 7 conference rooms, Restaurant and Bar. Most of their guests come to do conferencing and as well leisure.

Task 1 Staff Organization

At Kedar Country Lodge they are using Hierarchical structure, where by each department has a leader whom the junior staff report to and then they report to the operations manager then he reports straight to the general manager.

The Roles and Responsibilities of a supervisor

The supervisor at Kedar is second eye for a manager, he/she deals with staff directly. Their roles and responsibilities are as follows:

To check day to day operations
To guide and train staff
To be present all the times if there’s service
To attend to the guest’s complains
To make sure company standards and procedures are being followed
To solve conflict among staff
To motivate staff
To make sure that staff complete their jobs before they go home
To make sure that staff are safe in their working areas

The Roles and Responsibilities of a Manager

She is the one who is in charge for everything going on at Kedar property and makes finally decisions, the roles and responsibilities are as follows:

To do plans to get business
To decide the salaries of staff
To make a finally decisions on hiring
To make sure the target and goals are being reached
To maintain good communication among staff

Planning Staff Rota

The staff rota is being done by supervisors and double checked by the manager whether it’s correct. They do it according to business occupancy and there’s no favoritism. On staff rota there are only four different shifts firstly from 06:00 -15:00, secondly from 08:00 – 17:00, thirdly from 14:00 – 23:00 and lastly from 23:00 – 08:00. Staff rota helps them a lot to see who in and who off.

They are using excel to do the staff rota, on a first column they put the staff names and followed by how many days offs did the company give you, on first raw they put the number of guests in-house followed by the dates and days, at the end there’s a column of days off being owed to staff or days being owed to the company by staff. They save staff rota in computers to keep their records or for later changes. Staff is allowed to request certain days offs if they do have some appointments but it will depend how busy it will be that day. When staff rota is done it will be taken to the relevant department and put them on notice board so that everyone can see it.

The Purpose and Features of Contract of Employment

Contract of employment is an agreement between the employees and the kedar owner, it is presented in a form paper with 5 pages and if they are hiring the employee has to sign as well as the employer. It also contains the code of conducts. At kedar the employees are working during the holidays but in return they will be paid each holiday worked.

Purpose of a Contract – to define both employees and kedar owner’s responsibilities with respect to a desired development outcome to the level of detail necessary to make both comfortable with respect to the relationship and to specify rights, obligations and conditions of employment

Features of Contract of Employment

The job title and description
Which department will employee be working with
Company residential address, post address and phone numbers
To whom the employee will be reporting to
When the employee will start working
For how long is the employee on probation
The entitlements of employee (salary, leave, days off)
The rules regarding sick leave, family responsibility leave and unpaid leave
Which shifts will the employee be working

Financial and Legal Implications of Different Types of Contract

They are using the permanent or fixed term employees and casual employees.

The permanent employees – these are the employees which the company has agreed to keep them forever as long they are still willing to work for the company. They do give them the permanent contract if they have passed the fixed or probation contract for three months and if the company is happy with their performances. Their permanent staff they are entitled to:

Holiday offs – their employees are entitled to it and its either they are off or they will be paid double for each holiday worked for.

Annual leave – they give their employees 21days leave after 12 months and they will be fully paid.

Study leave – they grant them to employees who are doing part time studies when they are writing their exams. The company will give the employee the day off during the day he/she is writing and pay them full.

Compassionate leave – they give them three days off per 12 months and pay them full salary. The compassionate leave applies when the employee has to deal with emergency involving someone who depends on him/her e.g. child, husband or wife.

Sick leave – They are entitled 12 days off sick in a year, if the employee exceeds then they will subtract the days from annual leave and give them full pay. If it may happen that they have taken the entire annual leave they then notify the employee to take an unpaid leave and they won’t pay any salary to the employee.

Time off – they are entitled to off 6 days a month of which they work five and half days and get off. They will be paid full salary.

Worker’s Compensation – If an employee gets injury at work the company will pay hospital bills and pay the employee the employee full salary during those days not at work.

Casual employees – At kedar they use casual employees when it’s too busy and they pay them an hour rate. They are only entitled to worker’s compensation when they can get injured whilst working. If they use them during holiday they pay them double the amount they are being paid.

The Cost of Employing Staff

At kedar there is few cost of employing staff which are:

Time and cost to do advertising about available position
Selecting and interviewing applicants
Type of job and number applicants
To increase the space to accommodate new employees
To buy new equipment for them to use
To pay them their salaries
To feed them
To pay transport for them
To train them so that they can be more skillful and to gain job knowledge
The cost for their entitlements, .e.g. sick leave, worker’s compensation, public holidays

Motivation

It is to make someone believe in himself/herself and like what he/she doing.

The Link between Motivation and Productivity

They motivate their staff to have good productivity. They always do have competition like the employee of the month and the employee of the year, they give prize to the winner, by doing this each employee works harder in order to be a winner and on the other hand there is a good productivity and a lot of job done. There are also the prizes of name of the employee being mentioned most by guests, this makes the employees to get involved with guests or to help them more at the end the guests will be happy for good service and they will spread the word to others by doing so a lot of guests will love the place and visit more often and company gain more profits.

The Characteristics of Effective leader

They do have good leaders who are leading the company, they treat their staff like their children and they are fair, honest, responsible, trustworthy, strong, competitive and confident. They are good motivators to their employees, they are always active in planning ahead and solving any problems amongst the employees. They are good communicators, listeners and also supportive. They do train and grow them to be good leaders as well. They are mentors of their employees and they make the company to be their second home and everyone is happy. They don’t feel bored and they are patience.

An Effective Team

The way Kedar employees are you may think they are brothers and sisters, they are one and they can die for one another because of the good unit they have, the following are the characteristics which makes them a good team:

They sacrifice for each other
They have got clear common goals
They are united
They always rotate the leadership among themselves
Honest to each other
If they do have problems or conflicts they solve them in a civilized manner
They share same stories
They don’t judge or discriminate each other
They discuss or argue about work but at the end they will come to conclusion of which its normal
They all cooperate
They are free to each other

The Principles of equal Opportunities in the Workplace

They treat their staff fair and equal regardless of where are they coming from, gender, race, age, color, physical abilities, status, language and religion.

Equal Opportunities in Employment

They respect and recognize staff’s and customer’s religion and culture
The employees are happy at the workplace all times
The more skillful employees are promoted
They are fairly treated at work
Whatever decision is being made by management it is fair to all employees
They train their employees to be better so that they can deliver good service to customers
No employee is being bullied, harassed and discriminated, they are all free

Diversity

They do understand each other and they have put their differences aside, in a safe, positive and nurturing environment. Their employees are mixed; they do have foreigners, locals, mixed races (whites, blacks, Chinese and Indians), different genders (males, females, gays and lesbians) and different ages. They are one family. They do business with more different countries and all their customers they feel welcome as if they are in their countries or home because of friendly and respectful employees.

Diversity makes their company more attractive, their employees are growing and it helps with alternatives solutions when dealing with issue or ideas to grow business. It also motivates the employees. Since they have more different tribes it helps their business grow.

Purpose of an Industry Code of Ethics

A code of ethics is a vital document for Kedar, as breaches of ethics can land the company in serious trouble with consumers, other organizations or government authorities. Creating a code of ethics makes decision-making easier at all levels for them by reducing uncertainty and considerations of individual perspectives in ethical standards. It is truly a unified effort in which Kedar works to ensure there is no compromise in service, quality, or integrity

Purpose

A code of ethics guides all managerial decisions, creating a common framework upon which all decisions are founded. This helps them to create a cohesive understanding of the boundaries within an organization and the standards set for interacting with external companies. A formal, well-communicated code of ethics helps them to protect their company’s reputation and legal standing in the event of a breach of ethics by an individual employee.

Importance of Ethics

Public image
Productivity and Teamwork
Asset protection
Retain good skillful employees

Industry Code of Practice

Industry code of practice its rules or guidelines to be followed, they are there to protect their customers and Kedar owners. It makes it clear to public or customers what they are allowed to do and what is prohibited. These rules or guidelines are made by the owners to let the customers know how they run their business some by government protecting locals or internationals.

Need for industry code of practice

To deliver a certain standard of practice
To encourage consumers confidence in a particular industry
To avoid customers or owners taking advantage

Use of IT in Tourism and Hospitality

IT stands for information technology, it is the application of computers and telecommunications equipment to store, retrieves, transmits and control data, it can be people who are well trained working with those technologies. Kedar they do have their own permanently hired IT that are responsible for programming the systems, repairing and to assist with technical related issues.

Importance of IT in Hospitality Industry

To store their important information and history of previous customers
To communicate with customers via email
To market their lodge through website
To use it for checking in and checking out of the guest
To do bookings online
To do function sheets
To do staff roasters
To capture and keep records of stocks
To print necessary documents
To show the prices and customers still to pay
To show the forecast and occupancy
For guest to access internet

The following are the IT applications used from Kedar:

Computer systems – to do various different jobs, .e.g. doing emails, writing their menus etc
Aloha system – they use it to show prices of different food, beverage and to show them what has been sold when doing their stocks.(Product mix)
Reservation system – they are using room master to check in and check out their customers, it also makes it easier to check the availability and it shows how many guests are arriving, departing and staying so that the kitchen can know how many to carter for and housekeeping to know which rooms to prepare and how.
Internet – for guest to access or to do money transfer. They have made easier for their customers by having Wi-Fi.
Mobiles – managers contact the customers using mobile

Business Letters

At Kedar they write their business letters using word program from Microsoft office 2003 of which they purchased it from Microsoft company to owner it and they installed into their computers. Their business letters are straight forward. In the letter it contains contact details on the top left and underneath contains the initials of the owners. The general manager is the one who gives the finally decision, she firstly check it.

The following are some types of letters being written at Kedar:

Apologizing letters
Welcoming letters guest on their arrivals
Welcome back letters for guests who are coming for the second or third time at Kedar
Confirmation letter for booking
Quotation letters
Anniversary letters if the guests have told them prior to arrival
Birthday letters if the guests have informed them

Spread sheet

A spreadsheet is a paper sheet that shows data in rows and columns, it is mostly used by accounts doing variances to show how company does, sales department use it to show how are they doing with bringing in the clients and to show forecast, kitchen using it to keep the records of their menus and to do their menus of the week and stock controller for capturing, displaying and controlling data. They use it mostly when doing their stocks takes. The software that has this is Microsoft offices excel.

Benefits of using spreadsheet

It does have formulas to calculate
You can keep as many as you can the data on spreadsheet as long you save it
You can do the changes and save your work
It allows you to put yours inputs indifferent colors
It does have futures that allow you to control data on how you want to put it.

The Use of PowerPoint and Access Database

PowerPoint – it is mostly used by sales and marketing doing presentation to their clients, managers or human resources doing training with employees and the managers presenting what are they planning about the company to the Director, CEO and Chairman.

Access Database – they use it to store contacts of clients,

Email

Email is another way of communicating; it is done through electronic exchanging messages through the use of internet and networks.

The use of Email in Hospitality Industry

It is cheaper than using telephone, e.g.it will be to cost full using a phone for internationals than just sending an email
It can be used as a means of marketing by sending them the information booklets and special about your hotel or lodge
It is fast and efficiency

Limitation of Email

They must be careful when using humour – it is often misunderstood
Avoid sarcasm and colloquialisms
It’s not safe or private wrong people can hack
It may happen that the receiver may not have seen the email and it was urgent

Internet

Internet is a worldwide system of interconnected computer networks that use the standard internet protocol suite to link several billion devices worldwide, it carries an extensive range of information resources and services and it consists a lot of private, public, business and government packet switched networks. Internet makes it easier for marketing and doing online bookings. If there was no internet it was going to be difficult for Kedar. Internet makes it easier for them to work.

In this section the author will analyse the different shades of dark tourism and analyse the shade and signification of Ground Zero and 9/11 Memorial Museum. In part of literature review, the author already has given out two main justifications for them, they are: memorial places and sign of the ugly side of war on terrorism. In this section, the author will have an in depth analysis these issues.

Firstly, in previons section it is seen that dark exhibitions should be full of education, so the educational aspect will be looked at first. As people known, grief will damage the physical and mental health of human, and they should pay more attention on social activities, past memorises and get a vision for the future (Parkes 2002). Base on this theory, Ground Zero and the 9/11 Memorial Museum they record the grief of 9/11 terrorism attacks, but the new building of museum and rebuild the World Trade Center is a sign for people to remember the people who died in the attacks (memories of the past) and meet the new life (vision for the future), thus the Ground Zero and 9/11 Memorial Museum confirm Parkers’s (2002) point of view, telling people vividly about history and grief, thus these two places are not just places for people to remember, but also a sign for people to start a new life.

In addition, in government website of 9/11 Memorial Museum they cooperated with New York City Department of Education and the New Jersey Commission on Holocaust Education (2011) to make teaching plans to offer useful educational programs to offer information and knowledge about the events of 9/11, history of attacks, and the post – 9/11 world. Meanwhile, they also help people who have lost people in the terrorism attacks out of the pain and grief. The government website said they received many parents message that they do not know how to teach their children the history about 9/11 and what happened in the 9/11 terrorism attacks, in this way the 9/11 Memorial Museum offer a plan on their website to all parents, on how to tell the true history of 9/11 event to their children, and this information is all free. The objective is to face up to the history is necessary for the people, and everybody has a right to understand the history, thus the teaching and learning plans of 9/11 Memorial Museum offer an effective way for people to understand their history. From these, the 9/11 Memorial Museum provided a wealth of information is telling visitors the dangers of terrorism, stay away from terrorism, against terrorism and peace – loving, has a strong role in education.

There is another reason for people to understand the real terrorism attacks in the museum that is museum cooperation with StoryCorps to record the terrorist attacks of 26/02/1993 and 11/09/2001, which include the narratives from survivors, rescue workers, witnesses, service providers and other people impacted by these events, therefore the museum tries to restore the historical truth (9/11 Memorial Museum website). Rogers and Soyka (2004) suggest through an interview, that a survivor’s description, recording and voices from the scene, and pictures of the scene, are the best ways to show a true picture of 9/11. Based on these the Ground Zero and 9/11 Memorial Museum tells the real history which expands range of educational activities. Above mentioned which not only shows education function of the 9/11 Memorial Museum, but also expression the social function, that is restore the true history to people.

Through education, they hope to publicise the harmfulness of terrorism. The other major significance of the Ground Zero and 9/11 Memorial Museum is tell people how terrible terrorism is and how human will always oppose terrorism (Espiritu and Moore 2008). Based on the voice of survivors which is on exhibition in 9/11Memorial Museum, reveals the dread, alarm, helplessness, hopelessness and pain when the attacks happened (Miller 2011). Ground Zero is rebuilding on the site of the World Trade Center, and when people pass the site, they can see the ruins, which shows the destructive effect of terrorism. Meanwhile, the pictures in the 9/11 Memorial Museum show the whole history of 9/11 and pass 9/11, it tells visitors the true ugly features of terrorism and how beautiful peace is, and the visitor will be shocked through these pictures ( Bohland 2004). To view the various of all kinds of pictures, and hear the voices in the 9/11 Memorial Museum, as well as the ruins of the World Trade Center, both show people the danger, destructive and terrible side of terrorism.

In addition, apart from except the above section, one of the major significance of Ground Zero and 9/11 Memorial Museum is to provide a venue for people around the world to remember the 9/11, as well as to commemorate the people killed in this terrorism attack. After 9/11 in 2001, many visitors that go to the World Trade Center site have visited to grieve over the deaths. Especially in 9/11 2011, the ten years of 9/11 terrorism attacks, have seem the American people hold comment that memorial activities in the World Trade Center site. BBC News (2011) on that day many people went into the World Trade Center in New York, the Pentagon and Pennsylvania to honour the victims. On September 10, former US president George – W – Bush laid a wreath to honour the victims and on September 8, there were two lights piercing the horizon from the World Trade Center site to honour the tenth anniversary after the terrorism attacks. The 9/11 Memorial Museum was opened on that day (9/11 Memorial Museum website and NY1 news, 2011). The main 9/11 Memorial Museum chose to open on the tenth anniversary to honour 9/11 attack. That day, it opened for victims’ family and was opened to the public on 12/09/2011. Because many people go to Ground Zero to honour victims, in order to reduce the traffic, as well as not to affect construction work around Ground Zero, thus the government built the 9/11 Memorial Museum. Ground Zero and the 9/11 Memorial Museum are centres of the people to remember the 9/11 terrorist attacks events.

Another significance is the sign for the war on terrorism, as mentioned in the literature review. After the 9/11 terrorist attacks, the American government published policies against terrorist, and the World Trade Center was seen as the centre of the terrorist attacks, thus the new construction on the site of the World Trade Center has become one of the important symbol of the U.S. government anti – terrorism (Melnick 2009).

Education, restore true history, shows terrible of terrorism and sign of war on terrorism are major significations related to these two sites. Ground Zero and the 9/11 Memorial Museum play a very important role on the fight against terrorism, and full of social function (education people, restore history) and service function (provide the pictures, videos, voice to people and provide places for people to remember)

Based on the significations and the shade of dark tourism mentioned in the literature review, in the next section the author will use the table 1 to analysis the shade of the Ground Zero and the 9/11 Memorial Museum.

4.2-2 Shade of Ground Zero and the 9/11 Memorial Museum

Referring to the literature review, Miles (2002) writes that authors should understand distinction between “sites associated with death and suffering”, and “sites of death and suffering”. Based on this theory, Stone (2006) gives an example of Auschwitz – Birkenau as a “site of death and suffering”, but the US Holocaust Memorial Museum in Washington DC is belong to “sites associated with death and suffering”. Because the Auschwitz – Birkenau is the direct place that the Nazi imprison and massacre the people, however, the US Holocaust Memorial Museum is a museum to memorial the massacre, it is a place to memorial the events, thus the shade of the Auschwitz – Birkenau isdarker than the US Holocaust Memorial Museum. In Stone’s (2006) paper, he suggests that,

“aˆ¦recent death and tragic events that may be transported in live memory through survivors or witnesses are perhaps ‘darker’ than other events that have descended into the distant past”

Because of this, those dark events like the Auschwitz – Birkenau and the Ground Zero which can be described as “darker” because of them can be proved by the survival and living the place could arouse a greater sense of empathy (Stone, 2006). As the above theories, the author considered the Ground Zero can be classified in “darker” and the 9/11 Memorial Museum is lighter than former, could be describe as “dark”. In the following part, the author will use table to analysis more details to explain why the Ground Zero is belong to “darker” and 9/11 Memorial Museum is “dark”

Analysis through the table 1 from top to bottom, the first one is about “polities”. As known after 9/11 terrorism attacks events, American government implementation of a series of anti – terrorism policies, and the strength is more strong than before the 9/11 events. The main and official aim is to exterminate al – Qaeda and other terrorist organizations. In 2002, the Bush administration will be the definition of “state terrorism” as the primary threat in the United States, and replace religious terrorism and defined Iraq and Iran as the main terrorism base because who have weapons of mass destruction (CNN U.S. 2002). Followed by March 2003, U.S. government sent troop to Iraq and announces the Iraq was a part of war on terrorism, it opened the prelude of the war on terrorism, and in April 2003 the Baghdad the capital of Iraq was fell and the government of Saddam Hussein was dissolved. After 9/11 events, former American President Bush, G. W. operation with former President of Pakistan to against the Taliban government in Afghanistan (USA Today News, 2006). In 2005, American government to amend the anti – terrorism policy, and requalification terrorism objects, from original single al – Qaeda expanded to more than 20 organisations (Argomaniz, 2010). Meanwhile, American government established Homeland Security Department to build a safer and more powerful structure of the Homeland Security Department (Department of Homeland Security website). This series of policy changes is the 9/11 events brought to American government, also caused changes in government policy. Based on table 1, it shows if the site has a higher political influence it will be trend to darker, thus Ground Zero as the events center it should be belong to “darker”. However, the 9/11 Memorial Museum as a new building to remember the people death in 9/11 it not influence the polities, but why it is also classified in the “darker” or “dark”, it can not just analysis one aspect, it will be explain from other element of table 1.

The next element will be analysed is education orientation. At the first of this part the author already mentioned the signification of Ground Zero and the 9/11 Memorial Museum, it include full content of education. Based on above information, Ground Zero and the 9/11 Memorial Museum are have high education for people, and the 9/11 Memorial Museum also offer many useful action to show the educational significance to visitors, and some project in museum could help the parents to teach their children, this is also played a significant role in the education of next generation. On this element, Ground Zero and the 9/11 Memorial Museum are have a very strong education role, thus them should be part of “darker”.

From history aspect, Ground Zero and 9/11 Memorial Museum both are record the history. In the table 1, it say of the sites are trend to darkest which should be the history centric and conservation of commemorative. As know, Ground Zero is build in the site of the World Trade Center, the new building is witness of this history of 9/11 events and 9/11 Memorial Museum collected many pictures, voices, stories and videos about that events, it the best save of that events, shows real history and also can restore the truth history for future generations. In term of commemorative, the author already gives out many factors to proved Ground Zero and the 9/11 Memorial Museum full of memorable. It is worth mentioning that based on the 9/11 Memorial Museum website the purpose and mission is better remember and memorial people who death in 9/11 attacks. Consequently, there is no doubt that these two places’ main function is memory. In this regard, they also trend to be “darker”.

There is another side also can prove Ground Zero and 9/11 Memorial Museum are pertain to “darker”. Based on shade of dark tourism, if product include perceived authentic it could be belong to “darker”. Although, Ground Zero is building in the site of the World Trade Center, the new building will recover the site, but the face of terrorist attacks at this site will not be changed and many memorial activates in here could engender a degree empathy to visitors. The products in 9/11 Memorial Museum are the directly materials which related to the terrorist attacks, such as pictures of the scene of terrorist attacks, video recording of the World Trade Center which was attacked., photos of victims and people can share the story about 9/11 attacks, all of these are let people feel very directly of destructive of 9/11 attacks. These products of 9/11 Memorial Museum can make a strong resonance for visitors. Direct show 9/11 and make visitors feel a real 9/11 are the feature of products in Ground Zero and 9/11 Memorial Museum.

In the table 1, it mentioned the location authenticity. In this paper the author has been mentioned many times that Ground Zero is build in the site of the World Trade Center and the 9/11 Memorial Museum is near by the attacks site, in terms of location these two place are very close to terrorist attacks.

The last one is tourism infrastructure and supply. The infrastructure is defined as basic facility and physical for an organization needed for operation or service to match the function and aim (Jeffrey, 2009). After Ground Zero build, it will be use as business it must include many high level and complete facilities and infrastructure for people, in the 9/11 Memorial Museum, in order to provide a good service to visitors the museum also use many high – tech infrastructure. Concerned to supple of 9/11 Memorial Museum, the purpose is very clear, that is to remember the 9/11 terrorist attacks, as well as the victims. Based on these two aspects and table 1, Ground Zero and 9/11 Memorial Museum they are not trend to “darker”. However, consider the issued should from different perspective to analysis and then conclude. Based on analysis from above, in the vast majority of aspects the shade of Ground Zero and the 9/11 Memorial Museum are trend to “darker” side, thus the author consider Ground Zero and 9/11 Memorial Museum are belong to “darker” in the shade of dark tourism.

4.2 – 3 Conclusion

In this section, the author give out more details about the signification, shown that Ground Zero and the 9/11 Memorial Museum are full of memorable and historical dark tourism sites. It also a major symbol of the war on terror. Especially the 9/11 Memorial Museum, is very suitable for school and parents to educate the children abut the 9/11 attacks, and make them know how horrible the terrorism is, at the same time is the best place to memorial victims. Understand the shade could help the author depth understand Ground Zero and 9/11 Memorial Museum as a multifaceted and complex tourism products. Based on Stone’s (2006) point, dark not means “bad”, the darker is closer to the actual event. In Stone (2006) paper says Auschwitz – Birkenau can be described as “darker”. In this case study, the author based on elements of table 1 (the shade of dark tourism) to analysis Ground Zero and 9/11 Memorial Museum form many aspect and concluded Ground Zero and 9/11 Memorial Museum are trend to “darker” that is rigorous and theoretical basis. Understanding of nature of Ground Zero and 9/11 Memorial Museum, enables the author better analysis the strategies which Ground Zero and 9/11 Memorial Museum they used in operations, and help the 9/11 Memorial Museum better to achieve the goals and aim. In the next part, the author will based on these information which mentioned above and through the main strategies for Ground Zero and 9/11 Memorial Museum from 2001 to 2011 to depth analysis details about strategies of Ground Zero and 9/11 Memorial Museum.

4.3 Strategies of Ground Zero and 9/11 Memorial Museum
4.3 – 1 Differentiation strategy

In this section, the author will analysis the strategies of Ground Zero and 9/11 Memorial Museum. In the table 2, the author summarized the main strategies which used during 2001 to 2011, from the table it shows the main strategies of these two places is rebuild and build a new building to memory which decided by American and New York government. In 2001, after 9/11 attacks, American government decided to rebuild the World Trade Center at the site and quickly began to implement this plan, in same year announced the Lower Manhattan Development Corporation (LMDC) as the official commission. From this, American government officially began the reconstruction of the World Trade Center. Meanwhile, in the same year, after 9/11 attacks American government published some anti – terrorist policies, this mean America declared war on terror, and rebuild the World Trade Center is also a reflection of the war on terrorism. The strategy of rebuild the World Trade Center is not only to memory the 9/11 attacks, to revive the confidence of Americans, it is also a reflection of terrorism by the American government (Melnick, 2010). During these ten years, the other main construction strategy is build the 9/11 Memorial Museum. In 2004 the official commission Lower Manhattan Development Corporation decisions design the museum and in 2005 design the mission of museum. Determine of mission is also determine the characteristically of the 9/11 Memorial Museum. Based on the 9/11 Memorial Museum website the museum has two main mission. The first is remembered and honor the victims by terrorists in the horrific attacks of February 26, 1993 and September 11, 2001 and this is a very important main mission of the 9/11 Memorial Museum. The second is respect this place made sacred through tragic loss. Based on the mission, it caused the author chose differentiation and cost leadership strategies to develop the 9/11 Memorial Museum which was mentioned in the literature review. In September 11, 2011, the ten anniversary of 9/11 the 9/11 Memorial Museum was opened for victims’ families and September 12, 2011 opened for public for memorial and the museum will open in 2013 (Cohen, 2012).

These strategies are specific actions of American and New York government, the author considered that need more professional strategy framework to analysis the Ground Zero and the 9/11 Memorial Museum and give out more details. Because Ground Zero will be as a business center in the future (Watts, 2009) and the memorial function is a part of it, thus in this section the author will pay more attention on strategies of the 9/11 Memorial Museum.

Based on the mission and Porter’s framework (Evans et, al. 2003 refer Porter, 1985) the author chose two strategies to develop the 9/11 Memorial Museum. The first one is differentiation. Evans et, al (2003) point that the main benefits for differentiation strategy are the following four aspect. The first is the products will be sale by a premium price, because the product is different from others, thus the product could be as an advantage for the organisation and the price will add more value. The second benefit is “demand for its product will be less price elastic than demand for competitors’ products”, that means the product is in a class by the organisation, the organisation could decide the elastic of price by themselves. The next is average profits can be earned. And the last one is can create good environment for entry the industry and new market. Distinctive product could help the organisation attracts more customer if the product meet the customer’s needs, and can be occupy dominant position in the competitive. Meanwhile, Evans et, al (2003) also give out the some suggestions for organisations to help them how to achieve a successful differentiation strategy. There are five ways. The first way is creating a superior product than competitors’, which is means the product will be excellent in the industry. Then is offer a superior level of service, the quality and characteristics of the product is important, but it is also very important for services, that include pre – sale service, the services of sale, as well as after – sales services. The third is the organisation should have a superior distribution channels, a good distribution channels could make the orgainsation occupy a better network and branches and will take more newcomer. The next one is creating a strong brand image, the status of the brand image in customer’s mind is increasingly important. In the same price, or a little bit of price difference, customers often choose the product which has a good brand image. The last one is offer a superior promotion, based on Evans et, al (2003) a successful promotion could give a very deep impression for customers, when they wants to buy similar products, their mind will think of the organisation’s products first and the choice of customers will take precedence.

In this case study, as the Ground Zero and the 9/11 Memorial Museum are nonprofit organisation, therefore main aim of them are not earn profit, thus the author will main focus on services, brand image and promotion to analysis.

Primarily, the author will analysis the service of the 9/11 Memorial Museum. A high quality services could offer a good atmosphere to customers. In the 9/11 Memorial Museum, the organisatin should try them best to make a good environment for victims’ families and visitors memory. In this aspect, the 9/11 Memorial Museum offers many useful products for customers and also provides services for customer’s requirements. Firstly, the 9/11 Memorial Museum offers true information about terrorism attacks for visitors, it include pictures, video, stories from survival and others. In the website of the 9/11 Memorial Museum, the author found some people ask them do not know how to tell their children what is terrorism and how to tell a real 9/11 attacks for next generation, the 9/11 Memorial Museum based on visitors’ needs to offer many documents about “talk to children about 9/11”, and cooperation with the New York City Department of Education and the New Jersey Commission on Holocaust Education to offer 9/11 lessons for people and to meet the mission of the 9/11 Memorial Museum. For visitors come to the 9/11 Memorial Museum the main purpose is to memory, based on this, the 9/11 Memorial Museum hold memorial exhibition, and the exhibition provide an opportunity for visitors to learn about the men, women and children who died on September 11, 2001 and February 26, 1993, the 9/11 Memorial Museum use a corridor to show photographs of the nearly 3000 victims form a “wall of faces” who died in the terrorism attacks to visitors. Visitor can better memory the victims through this way, and the wall of faces will help visitors more intuitive understand many people died in terrorism attacks and understand the destructive of terrorism. Not all the visitors can go to the 9/11 Memorial Museum to visit, in this reason, the 9/11 Memorial Museum use google earth to explore the 9/11 memorial within the context of the surrounding landscape of lower Manhattan. This is include mapping program, creates a virtual look at the World Trade Center site, dimensionally accurate 3D model and other planned projects at the 16 – acre site. This can better meet more people’s requirements who want to memory 9/11 and victims, and also provides a good platform for visitor to know about the 9/11 and understanding terrorism.

Then is brand image, as a memorial site the brand of 9/11 Memorial Museum is different from other organisations. The 9/11 attacks is the brand of the 9/11 Memorial Museum. Refer mentioned above, the brand image could help organisation attracts more customers, but for the 9/11 Memorial Museum it not want to “attract” visitors, it want to offer a real 9/11 to visitors. Frank (2008) refers that for a museum a strong brand image can be a major asset and should position of the institutional brand, and for a new museum it can try to establish with an unusual subject. For the 9/11 Memorial Museum, it certainly exhibition an unusual show. The 9/11 Memorial Museum as a one of the most important places to memorial of the 9/11, its position is unique. Mentioned 9/11 people would think about the World Trade Center and Ground Zero, and when mentioned where to memory the people will choose Ground Zero and the 9/11 Memorial Museum, in the other hands the purpose to build the 9/11 Memorial Museum is the government want to offer a dedicated place for memory. As a result the brand image of the 9/11 Memorial Museum is unique and it is a strong image in visitors mind who want to memory the victims died in 9/11 attacks. Frank (2008) also point out a good brand image can provide reinforcement of mission, operating stability and increased revenue. In this theory, the 9/11 Memorial Museum in order to meet the mission, it should keep and maintain unique brand, and through offer real information about 9/11 attacks and high level of service to improve the brand image to make more people choose the 9/11 Memorial Museum to memory and understand the 9/11 attacks.

The last one is promotion. As a memory place the main purpose it make visitors get more experiences from the 9/11 Memorial Museum. Carman (2010) points out the important thing for promotion to museum status is understand “why do people visit museums at all?” In this case study the author mentioned many times, the visitors go to Ground Zero and the 9/11 Memorial Museum is in order to memory and understand the real 9/11 attacks, thus the promotion of the 9/11 Memorial Museum should based on the purpose to decided. Also based on the website of 9/11 Memorial Museum it not try to attract many visitors through promotion, it just use promotion to publicity how threatening and destructive of terrorism, and will bring huge damage for human. In this reason, the promotion for the 9/11 Memorial Museum is different from other museum, in the website the 9/11 Memorial Museum established a special column about 9/11 attacks, people could share stories in there. This special column offer a platform for survivor, victims’ families, and visitors to deep feel 9/11 attacks, in this column there are many stories shared, and it is a effective way to stimulate people go to the 9/11 Memorial Museum to visit and to know more. Wherefore, the 9/11 Memorial Museum should show some experiences to people to motive them, make more visitors come to the 9/11 Memorial Museum, and achieve the aim for make more people understand 9/11 and approach the mission.

4.3 – 2 Cost leadership strategy

Based on Evans et, al. (2003) the benefits for an organisation through strategy of cost leadership are summarised as following aspects, the first one is the organisation could earn high profits and possibility to increase both sale and market share in the industry. Then is help organization entry new market and particularly valuable in a market where customers are price sensitive. How to make this strategy successful? Refer to Evans et, al (2003) they give out some way to achieve this strategy:

reducing cost : reduce cost is a effective way to occupy more market share, because the organisation has price advantage.

using less expensive resource inputs: reduce the inputs could make organisation ensure the price advantage, eg: easyJet.

Producing products with ‘no frills’, this way could reducing labour cost and increasing labour productivity.

Achieving economies of scale by high volume sales: the high volume of sales is a good way to ensure the profits.

For the 9/11 Memorial Museum and Ground Zero, they are nonprofits organisations, but they have many partner to support them, especially for the 9/11 Memorial Museum. Through the website, the partners are including: 9/11 National Day of Service, 9/11 Tribute Center, Project Rebirth, Story Corps and Voices of September 11th. All of them are helping the 9/11 Memorial Museum to enrich content. Evans et, al (2003) refer that the definition of cost leadership is “organisation and managing its value adding activities so as to be the lowest cost producer of a product (a good or service) within an industry”

The information from the website of the 9/11 Memorial Museum, the budget for the 9/11 Memorial Museum funded by private and public funds, is $530 million, and in additional, New York State grant $80 million. A wide range of support for the government decided to build the 9/11 Memorial Museum to reduce the burden. Compare with other museums, the 9/11 Memorial Museum add and attach a lot of significance which was mentioned in the above. Special signification of historical and memorable for the 9/11 Memorial Museum makes this museum has a certain degree of competitiveness. Moreover, the 9/11 Memorial Museum provides various useful products, information and hold many activities (these are mentioned in 4.2 and 4.3 – 1) to meet visitors’ needs, all of these are make this museum as the choice to memory the 9/11 for many people.

4.3 – 3 Conclusion

The 9/11 Memorial Museum as a nonprofits organisation, strategies for it not in order to earn money, the aim for these strategies are help the 9/11 Memorial Museum achieve the aim and mission. As a place for people to memory 9/11 attacks, the 9/11 Memorial Museum should provide a very high level and quality of service to people, and ensure the visitors could take experiences from the 9/11 Memorial Museum. Miles (2002) points out

“aˆ¦dark tourism site must engender a degree of empathy between the sightseer and the past victim (or product)”

For the 9/11 Memorial Museum, many products are collection by primary resources, such as photographs, videotapes, voice messages, recovered property, clothing and other personal effects, workplace memorabilia, incident – specific documents, and original writings including letters, e – mails and diaries, all of them will stimulate visual sense, emotion, empathy and mood of the visitors. However, these strategies which mentioned above are useful way for the 9/11 Memorial Museum to engender empathy with visitors.

In this section, the author anaysis how the differentiation and cost leadership strategies used in the 9/11 Memorial Museum, and give out the signification and functions of these strategies. Because of these strategies, which ensure the 9/11 Memorial Museum achieve the mission and the aim, and the continuous realisation of the aim and mission ensure the 9/11 Memorial Museum has been in a position to provide people with a positive sense. In the 4.1 the author analysis the negative and positive of dark tourism, avoid the negative aspects and develop the positive aspect is very serious for a museum, in terms of the 9/11 Memorial Museum, keep the positive mission and follow the mission to decide strategies could avoid negative aspects as much as possible.

Chapter 5 Conclusion

This chapter aims to bring together and conclude the main findings and procedures of this case study.

The author uses secondary research to collect the information and data and uses theory for analysis, starting with characteristics and properties of dark tourism, Ground Zero and the 9/11 Memorial Museum which include the nature, positive aspects and negative aspects, these analyse help the author achieve the objective about an evaluate dark tourism, and relate to Ground Zero and the 9/11 Memorial Museum is closed to the case study.

Then specific to Ground Zero and the 9/11 Memorial Museum, the chapter 4.2 analyse significance and shade of them. In this chapter the author began

ABSTRACT

The aim of this research was to examine the Chester as tourism destination for tourists USA and develop marketing strategy for tour operators. The research has accomplished following objectives: to examine the attractiveness of Chester as tourism destination for tourists USA ; to identify USA tourists preferences of Chester as tourism destination; and to develop marketing strategy for tour operators offering service for Chester. For achieving aims and objectives secondary data was collected reviewing and discussing books journals and other reports; and further primary data was collected surveying 50 USA tourists visiting Chester through questionnaire. The major results of the research are presented below.

Visit art and craft centers and visit museums and parks are the principal purposes why tourists of USA would prefer to visit Chester. In most cases tourists of USA would prefer to visit Chester by travel agent. In most cases tourists of USA would prefer to book their tour of Chester online. In most cases tourists of USA would consider concessions and packages whilst booking their tour for Chester . In most cases tourists of USA would consider low price services by travel agents whilst booking their tour for Chester. Whilst visiting Chester tourists of USA would centrally focus on service offered as convenience and quality. Whilst visiting Chester tourists of USA would rather more prefer local services and domestic services.

DATA ANALYSIS
INTRODUCTION

This chapter is structured into three parts. In the first part , the demographic data collected through questionnaire is presented. In the second part, the subjective data collected through questionnaire is presented. Finally , in the third part , the collected subjective data is analysed with reference to literature review.

DEMOGRAPHIC DATA
You would prefer to visit Chester?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

Once in a year

18

36%

36%

Twice in a year

20

40%

76%

More than twice in a year

12

24%

100%

As the data portrayal in the above table highlights: for respondents in greater majority (76% out of the total 50), they find that they would prefer to visit Chester ‘twice a year'(40%) or ‘once in a year'(36%) ; whereas for the remaining respondents (24%), they find that they would prefer to visit Chester ‘more than twice a year’ . On the whole, these data reiterate that in most cases USA tourists would prefer to visit Chester twice a year or once in a year.

Your age group isaˆ¦aˆ¦aˆ¦aˆ¦?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

Below 30 years

20

40%

40%

30 to 50 years

24

48%

88%

Above 50 years

6

12%

100%

As the data portrayal in the above table highlights: for respondents in greater majority (88% out of the total 50), they belong to age group of ‘below 30 years'(40%) and ’30 to 50 years'(48%) ; whereas for the remaining respondents (12%), they belong to age group of ‘above 50 years’ . On the whole, these data reiterate that in most cases USA tourists belong to age group of below 30 years and ’30 to 50 years.

Your gender isaˆ¦aˆ¦aˆ¦aˆ¦aˆ¦..?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

Male

32

64%

64%

Female

18

36%

100%

As the data portrayal in the above table highlights: for respondents in majority (64% out of the total 50), they are ‘male’; whereas for the remaining respondents (36%), they are ‘female’ . On the whole, these data reiterate that in most cases USA tourists are male.

SUBJECTIVE DATA
How do you see Chester as tourist destination?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

Highly attractive

36

72%

72%

Just attractive

14

28%

100%

Not attractive

0

0%

100%

As the data portrayal in the above table highlights: for respondents in greater majority (72% out of the total 50), they find that Chester is a ‘highly attractive’ tourist destination for them; whereas for the remaining respondents (28%), they find that Chester is a ‘just attractive’ tourist destination for them. On the whole, these data reiterate that in most cases Chester is a highly attractive tourist destination for USA tourists .

For what principal purpose you would prefer to visit Chester?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

Visit art and craft centers

28

56%

56%

Visit museums and parks

15

30%

86%

Enjoy playhouses’

7

14%

100%

As the data portrayal in the above table highlights: for respondents in greater majority (86% out of the total 50), they find that ‘visit art and craft centers'(56%) and ‘visit museums and parks'(30%) are the principal purposes they would prefer to visit Chester ; whereas for the remaining respondents (14%), they find that ‘enjoy playhouses’ is the principal purpose they would prefer to visit Chester. On the whole, these data reiterate that in most cases visit art and craft centers and visit museums and parks are the principal purposes why tourists of USA would prefer to visit Chester.

Which way you would prefer to visit Chester?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

By own

17

34%

34%

By travel agent

33

66%

100%

As the data description in the above table illustrates: for respondents in majority (66% out of the total 50), they find that they would prefer to visit Chester ‘by travel agent’ ; whereas for the remaining respondents (34%), they find that they would prefer to visit Chester ‘by own’ . On the whole, these data reiterate that in most cases tourists of USA would prefer to visit Chester by travel agent.

Which way you would prefer to book your tour for Chester?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

Online

40

80%

80%

Offline

10

20%

100%

As the data description in the above table illustrates: for respondents in greater majority (80% out of the total 50), they find that they would prefer to book their tour for Chester ‘online’; whereas for the remaining respondents (20 %), they find that they would prefer to book their tour for Chester ‘offline’. On the whole, these data reiterate that in most cases tourists of USA would prefer to book their tour of Chester online.

Would you consider concessions and packages whilst booking your tour for Chester?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

Yes

37

74%

74%

No

13

26%

100%

As the data description in the above table illustrates: for respondents in greater majority (74% out of the total 50), they find ‘yes’ that they would consider concessions and packages whilst booking their tour for Chester; whereas for the remaining respondents (26 %), they find ‘no’ that they would not consider concessions and packages whilst booking their tour for Chester. On the whole, these data reiterate that in most cases tourists of USA would consider concessions and packages whilst booking their tour for Chester .

Would you consider low price services by travel agents whilst booking your tour for Chester?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

Yes

32

64%

64%

No

18

36%

100%

As the data description in the above table illustrates: for respondents in majority (64% out of the total 50), they find ‘yes’ that they would consider low price services by travel agents whilst booking their tour for Chester; whereas for the remaining respondents (36 %), they find ‘no’ that they would not consider low price services by travel agents whilst booking their tour for Chester. On the whole, these data reiterate that in most cases tourists of USA would consider low price services by travel agents whilst booking their tour for Chester. .

Whilst visiting Chester you would centrally focus on which service offered?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

Convenience

22

44%

44%

Quality

19

38%

82%

Timeliness

9

18%

100%

As the data portrayal in the above table highlights: for respondents in greater majority (82% out of the total 50), they find that whilst visiting Chester they would centrally focus on service offered as ‘convenience'(44%) and ‘quality'(38%); whereas for the remaining respondents (18%), they find that whilst visiting Chester they would centrally focus on service offered as ‘timeliness’. On the whole, these data reiterate that in most cases whilst visiting Chester tourists of USA would centrally focus on service offered as convenience and quality .

Whilst visiting Chester you would rather more prefer which sort of services?

Factors

No. of respondents

Response in percentage

Cumulative Percentage

Domestic services

20

40%

40%

Local services

22

44%

84%

International services

8

16%

100%

As the data portrayal in the above table highlights: for respondents in greater majority (84% out of the total 50), they find that whilst visiting Chester they would rather more prefer ‘local services'(44%) and ‘domestic services'(40%) ; whereas for the remaining respondents (16%), they find that whilst visiting Chester they would rather more prefer ‘international services’. On the whole, these data reiterate that in most cases whilst visiting Chester tourists of USA would rather more prefer local services and domestic services .

DATA ANALYSIS
Chester as tourist destination

The research literature suggests that for travel and tourism so as to eradicate these shortcomings. The strategy to travel and tourism sector complies with three paradigms the consumer-focussed impresses the majority of the deliberation on global marketing tactical plans. There is one more paradigm that is lean over rivalry (Porter, 1980, 1990). Nonetheless, the above mentioned paradigms, or a mix of these, are apparently not adequate as they undervalue the significance of intermediaries in the domain of travel and tourism. Therefore, the third paradigm of the strategy, the trade-focussed orientation of mediators’ wishes, hardships and requirements should be looked into. The sections to follow amply with the three paradigms to tactical marketing, but they are not worth being treated as options, since they tend to be woven together into a composite strategy. Travel and tourism marketing are marked with market since the quick expansion of tourism requirement mounted throughout the globe during the last twenty years ,which displayed an expansion in emerging formats of tourism marketing into being pertaining to wishes and trends of tourists. However, every market displays great promising tourism marketing since a number of European economies are oriented towards tourism as the most suitable ideological construction for the economic growth over a long period of that among them happens to be Chester, England. Therefore, it was examined in this research as how USA tourists see Chester as tourist destination. The data collected in this context reveals that in most cases Chester is a highly attractive tourist destination for USA tourists(see figure 1).

Purposes of tourists to visit Chester

The research literature suggests that the targeted places or the destinations provide a mix of tourism offerings and services, which are make use of under the umbrella of the destination. Destinations offer an amalgam of tourism products and services, which are consumed under the brand name of the destination. On the opinion of Leiper (1995:87) , the targeted places are the locations in the direction of which people move and where they prefer to put up for a time so as to observer some attributes or specialties an imagined pleasure of some kind. In the opinion of Cooper, Fletcher, Gilbert, Shepherd and Wanhill (1998) targets or the destinations as the centre of conveniences and services planned to fulfill the requirements of the visitors. Chester enjoys the reputation of being not just a city, but also a tourists’ destination or target place. It would be worthwhile to mention here that Extensive Roman continues to be medieval city walls, Tudor rows , a renovation church, a racecourse really in the city, museums, a river suitable for the purpose of enjoying boating and pleasurable morning and evening walks besides being the most coveted marketplace in the entire north-western circle of Britain. Generally summers are a time when it is quite tough to discover a suitable place put up at when it is overcrowded with the tourists. Chester happens to be a thickly populated city; nonetheless one can without much difficulty go round in a few days’ time. One remembers Chester for seafaring, splendid homes, wonderful estates and a tranquil standard of living. Summer reminds one of vessel races, garden get together and band concerts. Therefore, it was examined in this research as for what principal purpose USA tourists prefer to visit Chester. The data collected in this context reveals that in most cases visit art and craft centers and visit museums and parks are the principal purposes why tourists of USA would prefer to visit Chester (see figure 2).

Preference of medium to visit Chester

The research literature suggests that the travel sector is greatly influenced by the quick progress of the internet and travel and tourism have left other product domains market on internet well, emerging the lone greatest domain of offerings marketed on the internet (Tourism White Paper, 2007). Unsurprisingly, the tally of the tourism planners on the web has gone dramatically up in the recently bygone years. Surprisingly enough the number of tourism operators on the Web has increased considerably in recent years. Park and Gretzel (2007 p.46) are of the view that the Web has truly brought revolution to the manner in which target marketing institutions furnish target details and the way they interact and come in contact with consumers and scholars. Tourism and travel are deemed to be uncommon since they are not in existence in case they happen to be in existence at a juncture when they are purchased, being just as details made use of to design travel tends to take much time relying on the sources of details compared to the quest on other consumer offerings and services (Fodness and Murray, 1998). The information-oriented attribute tourism offerings implies that the internet, with its universal access and multimedia capacity, happens to be more significant agency of promoting and selling tourism and travel services (Park and Gretzel, 2007). Therefore, it was examined in this research as which way tourists of USA would prefer to visit Chester. The data collected in this context reveals that in most cases tourists of USA would prefer to visit Chester by travel agent (see figure 3).

Preference of booking to visit Chester

The research literature suggests that the tourism sector is moreover marked with providing subordinate trade. For instance, the visitors tend to make use of a gamut of travel services such as air travel, car hire, place to put up at and tour facilities. These facilities are normally made available by a large number of institutions. A well-structured web can provide help in scheduling several tourism and travel services and assistance make it sure that the most suitable preferences are expressed leading to a more pleasurable realization for the visitor (Rita, 2000; Park and Gretzel, 2007; Tourism White Paper, 2007). The Internet is more and more significant to tourism since it furnishes knowledge to help customers with purchases (Connolly, Olsen and Moore, 1998), proving crucial in tourists’ travel judgements (Vellas and Becherel, 1999). Tourism happens to be information-oriented sector and internet happens to be most influential and impressive agency to o circulate and swap awareness (Rita, 2000). Therefore, it was examined in this research as which way USA tourists would prefer to book their tour for Chester. The data collected in this context reveals that in most cases tourists of USA would prefer to book their tour of Chester online (see figure 4).

Concessions and packages whilst booking tour for Chester

The research literature suggests that the benefits to all participants taking part in the tourism venture should be fulfilled. In this way, it can be seen that proper planning and administration is quite mandatory so as to achieve advantage in tourism sector. The techniques of collecting the best prices or by resorting to the exorbitant efforts, the promotion of the targets is achieved which results into dissuasion of some market domains. In this manner, marketing is made use of in terms of a device to accomplish tactical aims of target locations and therefore need directed by the policies for local development. so as to gain advantage, the proper interpretation of the target kinds and marketing schemes are significant. The marketers prove instrumental in fulfilling the requirements of the visitors; they need to be in the possession of information relating to the targets and the prospective markets which draws the visitors. Suitable products in the market and appropriate encouragement need to be accorded for the visitors, which is likely to facilitate the maximization of advantages and fine-tuning their marketing mix to their aimed markets (McKercher, 1995; Tribe, 1997). Therefore, it was examined in this research as whether tourists of USA consider concessions and packages whilst booking your tour for Chester. The data collected in this context reveals that in most cases tourists of USA would consider concessions and packages whilst booking their tour for Chester (see figure 5).

Low price services whilst booking tour for Chester

The research literature suggests that the competitor-focused to strategy focuses on competitive rivalry. The travel and tourism is currently in the phase of transition and ambiguity, with latest and sophisticated technologies and more enlightened consumers in the backdrop of certain prospects and hurdles confronting the sector. a competitive marketing paradigm is expected to create and keep up and guard the standing of an institution. Community and personal travel and tourism institutions tend either to gain leadership in terms of cost or price, or segment them to achieve an offering attribute leadership. In addition, an attention on market scopes tends to helps to win a satisfactory status (Day, 1990; Toyne and Walters, 1993). Therefore policies and activities consider the demands of all the participants, to mention, native people, firms and investors, visitors, tour planners besides intermediate agencies, and interest groups. Possibly, the most complicated crisis is ascertaining the judicious application of zero-priced community goods, like landscapes, mountains, and the sea for the well being of all participants and meanwhile conserving the assets for the generations to come. Confrontations are very much apt to conveniently create, particularly in case a number of participants make use of assets for short-spanned advantages. A negotiation including all these interests is quite tough if not plausible, however is the instrument to facilitate prolonged achievement (Buhalis, 1999 ; Buhalis & Fletcher, 1995). Therefore, it was examined in this research as whether tourists of USA consider low price services by travel agents whilst booking their tour for Chester. The data collected in this context reveals that in most cases tourists of USA would consider low price services by travel agents whilst booking their tour for Chester (see figure 6).

Visiting Chester and services offered

The research literature suggests that in theme parks, the tourists are encouraged to move to more captivating to less captivating parks making use of a promotional story or attraction, which is called as tourist administration approach. The cities which welcome only the tourists, who put up for a night and discourages the tourists who do not add much to the local economic setup by monitoring their parking activities. Providing high-quality place to live at and discourages charter flights thereby encouraging expensive tourism(Sautter & Leisen, 1999). In the opinion of Cooper, Fletcher, Gilbert, Shepherd and Wanhill (1998) targets or the destinations as the centre of conveniences and services planned to fulfill the requirements of the visitors. On account of their. tight programs, corporate tourism generate much more wealth for firms as customers are ready to make higher payment and moreover corporate tourism makes use of much higher range of local services compared to free-time tourism. Suitable transit linkage with bigger towns the world over, suitable systems at the target and sufficient arrangement of business-concerned facilities are hence quite significant. Consequent upon the corporate get- togethers occurring on the local level, city targets in the powerful financial activity and developing markets gain most of the business trades(O’Brien, 1998). Therefore, it was examined in this research as whilst visiting Chester USA tourist would centrally focus on which service offered. The data collected in this context reveals that in most cases whilst visiting Chester tourists of USA would centrally focus on service offered as convenience and quality (see figure 7).

.
Visiting Chester and services category

The research literature suggests that a target can be deemed as a mix or also a brand of whole range of offerings, services and ultimately offered on local level. It moreover helps one to evaluate the impact of tourism on the regional level besides administering requirement and allocation so as to maximise advantages for all partakers (Fletcher, Gilbert, Shepherd and Wanhill ,1998). Even though there sufficient writings dealing with the target scheduling and development of services (Gunn, 1994; Davidson & Maitland, 1997), not very large number of academic writings screening target marketing (Heath & Wall, 1992) and more smaller number of demonstrative targets as an observation facilitator for the visitors and the local peoples (Ryan, 1997). It is also obvious from the academic writings brought about in the journals and other publications related to the science. The insufficiency of target -marketing writings probably show the interests of the researchers in the event of tourism on targets. Therefore, it was examined in this research as whilst visiting Chester USA tourists would rather more prefer to which category of services. The data collected in this context reveals in most cases whilst visiting Chester tourists of USA would rather more prefer local services and domestic services (see figure 8).

SUMMARY

Visit art and craft centers and visit museums and parks are the principal purposes why tourists of USA would prefer to visit Chester. In most cases tourists of USA would prefer to visit Chester by travel agent. In most cases tourists of USA would prefer to book their tour of Chester online. In most cases tourists of USA would consider concessions and packages whilst booking their tour for Chester. In most cases tourists of USA would consider low price services by travel agents whilst booking their tour for Chester. Whilst visiting Chester tourists of USA would centrally focus on service offered as convenience and quality. Whilst visiting Chester tourists of USA would rather more prefer local services and domestic services.

CONCLUSION
INTRODUCTION

The aim of this research was to examine the Chester as tourism destination for tourists USA and develop marketing strategy for tour operators. The research has accomplished following objectives: to examine the attractiveness of Chester as tourism destination for tourists USA; to identify USA tourists preferences of Chester as tourism destination; and to develop marketing strategy for tour operators offering service for Chester. For achieving aims and objectives secondary data was collected reviewing and discussing books journals and other reports; and further primary data was collected surveying 50 USA tourists visiting Chester through questionnaire.

ACHIEVING RESEARCH OBJECTIVES
Examine the attractiveness of Chester as tourism destination for tourists USA

It was examined in this research as how USA tourists see Chester as tourist destination. The data collected in this context reveals that in most cases Chester is a highly attractive tourist destination for USA tourists. Further, it was examined in this research as for what principal purpose USA tourists prefer to visit Chester. The data collected in this context reveals that in most cases visit art and craft centers and visit museums and parks are the principal purposes why tourists of USA would prefer to visit Chester.

Identify USA tourists preferences of Chester as tourism destination

It was examined in this research as which way tourists of USA would prefer to visit Chester. The data collected in this context reveals that in most cases tourists of USA would prefer to visit Chester by travel agent. Further, it was examined in this research as which way USA tourists would prefer to book their tour for Chester. The data collected in this context reveals that in most cases tourists of USA would prefer to book their tour of Chester online.

Develop marketing strategy for tour operators offering service for Chester

It was examined in this research as whether tourists of USA consider concessions and packages whilst booking your tour for Chester. The data collected in this context reveals that in most cases tourists of USA would consider concessions and packages whilst booking their tour for Chester. Further, it was examined in this research as whether tourists of USA consider low price services by travel agents whilst booking their tour for Chester. The data collected in this context reveals that in most cases tourists of USA would consider low price services by travel agents whilst booking their tour for Chester. Moreover, it was examined in this research as whilst visiting Chester USA tourist would centrally focus on which service offered. The data collected in this context reveals that in most cases whilst visiting Chester tourists of USA would centrally focus on service offered as convenience and quality. Finally, it was examined in this research as whilst visiting Chester USA tourists would rather more prefer to which category of services. The data collected in this context reveals in most cases whilst visiting Chester tourists of USA would rather more prefer local services and domestic services.

RECOMMENDATIONS

Tour operators in USA dealing Chester tourism destination should formulate marketing strategy for USA tourists visiting Chester focusing on visiting Chester twice a year or once in a year, belong to age group of below 30 years and ’30 to 50 years, and male tourists. The marketing strategy should consist of concessions and packages. More importantly, the tour operators should offer low price services , with added focus on convenience and quality . in their packages, tour operators should include mainly local services and domestic services.

Introduction

Nowadays, the world tourism industry is growing very fast. Tourists are now visiting more remote areas and amazing places. Tourism in present’s world is no more a basic sightseeing. The tourism systems are the arrangement of people, places and organizations in particular roles and it is named as a geographical extremities. Many of the tourism systems are modeled as arrangements of five common elements which are interactive to environments (Leiper, 1990). So, this paper would like to present the Whole Tourism System (WTS) in a peaceful destination like Auckland city in New Zealand as it is famous about Eco-tourism Adventured-tourism and wonderful nature. Almost all of foreign tourists visit the Auckland city as a first city when they come to New Zealand.

In This paper will analysis Bangkok and Auckland and case study from my experience when I was an international student and stay there for 10 months. I took a Thai airway (TG) direct flight from Bangkok to Auckland. I paid for booking the round trip air ticket around 40,000 Bath. Normally, if you stay for holiday the air fares much cheaper. Maybe the price between 25,000 – 35,000 Bath. It depends on which airline you choose. During I studied in Auckland, my cousin come to travel in Auckland. At that time, He arrived by Thai airway’s direct flight but his air ticket was cheaper than my ticket because he plan to stay in Auckland for 2weeks. So, I taught him about Transit Route (TR) and also we went to Waiheke Island by Ferries boat to get into. It not far from Auckland city. However, we collected the information from Tourist Information centre at the Auckland’s Sky Tower. So, Auckland city is quite easy for travel without agency because New Zealand concern about this and also the local people speak English language.

WHOLE TOURISM SYSTEM (WTS)

Whole tourism system will help to understand about the tourism WTS is huge because every itinerary route followed by one or more tourists it is an open system its models are recognize that facts and its implementation the closed system is the one does not interact with the environment (Leiper, 2004).

In other word, many people are seeing the tourism as an industry rather than understanding the tourism as a system which includes the elements which are interrelated parts working together to complete general purposes. This is called tourism system (Mill and Morrison, 2002).

The whole systems will tells about all tourism industry business hotels, resorts airlines other business and organizations affected by the tourism. And it provides the better understanding to the people who are working the hotels and resorts to not basically provide service to customers but to understand why they are coming to the hotels (Mill and Morrison, 2002). And Leiper said that the system he thought that there should be a model of whole tourism system (WTS) to present a way of bearing in mind the complete scope of tourism. Also the whole tourism systems focus and develops tourism market for meets the requirement of a tourist. So the propose of this paper will describe and analysis a whole tourism system.

Tourists

Tourism has become a popular in a global leisure activity. According to Leiper said that the tourists are the people who travel away from the home to another place for a short-term period of at least one night, to the extent that their behaviour involves a search for leisure experiences from interactions with features or characteristics of places they choose to visit. (Leiper, 2004) And also Leiper said “At least one tourist is elementary. Without tourists there can be tourism (Leiper, 2004)”.

In this case, from the information of Tourism New Zealand show that the visitors who come to the New Zealand spend 6.2 billion us dollars by international visitor in the year to Dec 2009. So, New Zealand tourism industry from the last couple of years has emerged as a major factor in the growth of New Zealand economy with substantial foreign exchange earnings. As tourism constitutes various other related sectors including hotels, resorts, and other industries it has a significant contribution to the overall revenue.

However, Tourism New Zealand show the table about the most number of tourists will come to see the Auckland city which is once the biggest city of New Zealand before they visit another place in New Zealand. In this case, Bangkok is traveller generating region (TGR) and Tourism New Zealand said the number of Thai people come to travel in New Zealand at least 3,500 visitors, followed by March, May and October. There were 19,296 visitor arrivals from this market in the year ended November 2009. Except the number of tourists from Thailand airport comes to visit Auckland city who is not Thai people. So, Bangkok able to be a first of traveller generating region or second traveller generating region as well.

Traveller-generating region (TGR): Bangkok, Thailand

Traveller-generating region (TGR) is places where a tourist’s trip begins and normally ends (Leiper, 2004). The generating regions are the place for the essential markets of the tourist business and it is the basis of tourist industry (Bhatta, 2002). Traveller-generating region (TGR) is the origin of tourist or a place that inspire the desire to travel (Leiper, 2004).

However, Auckland city concerned about Traveller-generating region (TGR) is important. That can show from the number of travel fair which New Zealand come to promoted themself. Because New Zealand attracts a steady number of visitors from the South East Asian markets of India, Singapore, Malaysia and Thailand. The markets have shown resilience during the global economic downturn, proving their value for New Zealand tourism. Although these markets are smaller in visitor numbers, awareness of an interested in New Zealand holidays is strong. These markets also offer good opportunities to boost visitor numbers to New Zealand in autumn, which is the peak time for travel from Thailand. And visitor arrivals from Thailand decreased by 3.4 per cent in the year ended June 2008 from one year prior followed by a slight increase of 1.3 per cent in the year ended 2009. So Bangkok not only Tourist destination region (TDR) for every traveller it can be come to a Traveller-generating region (TGR) for the people who live or come to travel in Bangkok and the tourists who comes to visit can plan to next travel to go to Auckland city before go back home or other destinations anyway.

Transits Route (TR): Bangkok to Auckland

Leiper said that Transits Route (TR) is places that tourist passing through along the way in order to get to their tourist destination regions (Leiper, 2004). So, there are many international flights to New Zealand and from there are several ways to reach the main destination for Auckland city. Unfortunately, availability of airline seats is a concern for New Zealand in South East Asia, particularly for India, which is not currently served by direct flights to New Zealand. Tourism New Zealand’s Regional Manager for South East Asia is based in Mumbai, but we also have offices in Bangkok and Singapore.

Anyway, there are many direct international flights from Bangkok to Auckland. Thai Airways now flies four 777-300 non-stop services per week between Bangkok and Auckland. The airline is looking at increasing services between the two cities in the near future. In Auckland city, you can rent the car or take a punctually bus (Stagecoach Auckland) when tourist want to go travel in the city. However, the information of Tourism New Zealand showed that 50% of visitor from Thailand are coming with a group. So, it much easier to go travel in every main tourist attraction.

Tourist destination region (TDRs): Auckland, New Zealand

Tourist destination region (TDR) are places where a tourist’s main visiting activities occurs (Leiper, 2004) and Tourist destination region (TDR) can be defined as places where travels choose to stay awhile for leisure experiences(Leiper, 2004).

Followed by Leiper said, New Zealand is one of the well-known destinations of the World Tourism map with peaceful city. Auckland city is one of peaceful city in New Zealand. Population of Auckland city without traveller are around 1.3millions. Local people said Auckland city as a city of sail or queen city because Auckland city is a biggest and grow up fastest in New Zealand. Nowadays, Auckland is a centre of business and industry. Not only this, Auckland city is a city with natural resources and green the atmosphere so Auckland city becomes popular for international student and traveler more. Moreover, there are plenty of shopping areas, lot of souvenir and the tourist attraction.

Form my advised which are push factor of Auckland city;

Auckland’s Sky Tower is highlight of Auckland city. There are casino, restaurants, high jump activity and the best view point inside the tower.

Mount Eden is old volcano mountain area and the highest point of Auckland city.

Auckland Zoo is fantastic place to see Pacific Ocean’s animal. Traveler also can found Kiwi bird as the symbolic of New Zealand.

Auckland Museum is the one of biggest museum in New Zealand.

National Maritime Museum is the museum which collects the history of ocean 1,000 years before.

Auckland Art Gallery Toi O Tamaki is collecting every kind of arts of New Zealand including Maori arts too.

Victoria Park Market as a creative market for teenager and traveler.

One Tree Hill (Maungakiekie) is a volcanic cone which dominates the skyline in the southern inner suburbs. Also it is history place of negotiation about Maori people and European people.

Ericsson Stadium is a rugby stadium. It is a famous place of local people because rugby is the most famous sport in New Zealand.

Auckland Harbour Bridge is also the highlight and one of Auckland city’s symbolic.

However, Maori Culture and Maori Art easily found. Also Auckland is the best place for sheep products it is pretty cheap and the tourists can find different verities of sheep product and best quality too. Tourist visit Auckland in early morning, afternoon, or evening and also a special part of Auckland city is a night time. Especially sky tower changes colour every month. So, it is very beautiful to visit Auckland city as a Tourist destination region (TDR).

Tourism industries

Normally, tourists are booking everything from travel agency but some just booking only air ticket so Tourism industries quite important for tourist. Leiper said that Tourism industries are an organizational element which is collections of managed organizations in the business of tourism that work together to some degree in marketing tourism and providing services, goods and facilities and Tourism industries represent organizations that engage or influent the tourists activities (Leiper, 2004). The tourists arriving in Auckland were welcomed by local people. And there are various tourism industries to accommodate tourists visiting to Auckland. Kiwiexperience.com one of many choice about tourism information service which is reasonable price and many of tourist from this site are around 18-35 year old. Tourismnewzealand.com is recognized by ministry of government for give every information to traveller. However, Auckland city has a many information centre service and also there are officer who wearing a red suit will help you to give information for traveller in every main street. So it quite helpful for traveller without travel plans.

ENVIRONMENTS AFFECTING WHOLE TOURISM SYSTEM (WTS)

Environments nearby a tourism destination interrelate with tourism actions happening in the destination. Following are some environments affecting WTS in Auckland.

Physical environment

The Atmosphere in the city the architecture of the buildings reflects European style and elegance. Some of architectural is Maori style. It is the one of many major tourist attractions in Auckland. And also Auckland city is a green city and safe. So, this kind of physical environment is the first reason for the city to be a Tourist destination region (TDR).

Climate change

At the present, Auckland is facing some world environmental problems call “climate change or global warming”. So some time Auckland meets some bad effect of this problem too.

World economy crisis

World economy crisis effects to every tourist from worldwide. Tourist least spent their money and also they slow down for many holiday plan. So, just like Leiper said no tourist no tourism.

WHOLE TOURISM SYSTEM (WTS) AFFECTING ENVIRONMENTS

The environments of anything are the nearby circumstance that may have an effect on it in any way and that might be affected by it (Leiper, 2004).

Physical impacts

Mainly in Auckland mostly at weekend it is seen as physical impacts caused by the growing number of tourists coming from everywhere and the domestic tourists are visit in the weekend time. So it a lot of traveller in every beaches or tourist attractions. It is main worst part and the pollution. So, water pollutions and urban waste are increased because of activities done by tourists.

Economic impacts

Tourism has major effects on the economies of destination areas (Mathieson and Wall, 1982). So, A number of factors are responsible for the rapid growth and development of the tourism industry in New Zealand. These include the strong economic growth increase in income, breakdown of political barriers, easing of travel restrictions, liberalization of air transport, and focused marketing campaigns. Strong economic growth in New Zealand is attributed to a focus on market reforms, export oriented industries, stable currencies, diversification of the economy, and massive injection of foreign capital. Billions of Us dollars are being poured into the tourism infrastructure to accommodate a rapidly increasing Indian tourism industry. This has intensified trade, investment, and travel within the region and with the rest of the world. Tourism also helps to generate additional job placements for its people (Mathieson and Wall, 1982). Tourists are spending money in Auckland as a Tourist destination region (TDR) and also give involvement in rising per person wages in the places and also improve various businesses for other communities.

CONCLUSION

This report showed how the model of Whole Tourism System (WTS) is applied in Auckland city. There are five elements in whole tourism systems they are Travellers Generating Regions (TGR), the Transit Route (TR) and the Tourist Destination Region (TDR) Tourism Industries and Tourist.

Knowledge of how Leiper’s Basic Whole Tourist System aids in the development of a destination such as Auckland city. Throughout my study in this area I have looked at this whole system will helps the tourism planners the planners need to understand this system because this paper gives the brief understanding about each and every element in this system and how it will after the other system as well. All the system are interrelated to other systems so each and every element should work properly as if one fails to function properly wit will affect the whole tourism system. According from my point of view after studying about the whole tourism system each and every element is important to be a success full trip if one of the elements is missing from the Whole tourism system (WTS) there is no tour and then there is no tourism.

In India 454 airports and airstrips which includes Operational, Non Operational, Abandoned and Disused Airports.from which 127 are owned & operated by AAI. In India also have 16 – international, 7 custom airports and 28 civil enclaves.

Scheduled domestic air services are available only from 82 airports.

In May 2007 to May 2008 there was remarkale growth of nearly 20% and the figure increased upto 25.5 million is domestic & 22.4 million is international passengers.which was highest in the world.

The Growth Rate Projections for next 5 yrs will 15% p.a of Passenger Traffic and 11.4% p.a of Cargo Traffic

History

In 1911 first commercial flight was airmails from Allahabad to nani (10 km) and in 1932 the aviation department of Tata sons ltd was established.

In 1938 Tata airlines was established and after 8 years in 1946 Tata Air Lines converted into a public Company and renamed Air India Limited

In 1948 Air India International was incorporated and in 1953 Nationalization of Aircraft Industry was established.

At that time Air India was serving the international sectors and Indian Airlines was serving domestic sectors

Other domestic airlines are Deccan Airways, Airways India, Bharat Airways, Himalayan Aviation, Kalinga Airlines, Indian National.

In 1986 Private Sector Players permitted as Air taxi operators.These players including Jet, Air Sahara, NEPC, East West,

In1990 Open sky policy was made came into existence.

In 1995 Private Carriers permitted to operate scheduled services.

2005 was the phase of competition and low-cost carriers was entered into the market.

In 2007 Indian Airlines was merged into Air India.and Jet Airways acquired Air sahara.

In 2008 Kingfisher was acquired 49% stake in Deccan Aviation. Regulatory Authorities

Ministry of Civil Aviation was responsible for the formulation of policy, development and regulation of Civil Aviation. Its functions also extend to overseeing airport facilities, air traffic services and carriage of passengers and goods by air.

Directorate General of Civil Aviation (DGCA) was promote safe and efficient Air Transportation through regulation and proactive safety oversight system.

Bureau of Civil Aviation Security (BCAS) was the regulatory authority for civil aviation security in India

Airport Authority of India (AAI) who accelerate the integrated development, expansion and modernization of the operational, terminal and cargo facilities at the airports.

Policies

Open Sky Policy means to liberalize the rules for international aviation markets and minimizes government intervention.

It is 100% for green field operations and 74% for existing airports and 100% with special permissions.

In this policy 100% tax exemptions for 10 yrs.Airlines

In domestic airlines was 49% and 100% for NRI’s and 74% in cargo & non-scheduled airlines.

Kingfisher airlines

The Chairman of Kingfisher airlines is Dr Vijay Mallya and also CEO of Kingfisher

Airlines.

The Kingfisher Airlines Limited launched scheduled airline services on May 9, 2005 with 4 daily flights between BOM & BLR and one A-320 aircraft.

In Kingfisher airlines there are tools for mood lighting such as web chat, inseat

plugins for music, liveTV with 16 channels on each seat

Kingfisher airline provide 100 percent online ticket and many companies are following this.

The Kingfisher Airlines family will consistently deliver a safe, value-based and enjoyable travel experience to all passengers.

SWOT Analysis
Strengths

It is the first airline with full new fleet of aircraft.

It provide Quality hospitality to customers

It have already training academy.

Kingfisher have UB group backing for raising financing.

It is well capitalised airline, prepared to take losses.

It have experience to better handling of employees and staff; less centralised style of functioning.

Weaknesses

Chairman’s people skills are better but employees have to work very erratic hours.

It provide service delivery only in metros and other big cities.

It is yet not in profit position.

Kingfisher’s ticket pricing is also very high.

Kingfisher is yet to build itself into an organisation; structures yet to fall in place.

Opportunities

The non penetrated domestic market.Kingfisher entre into the market at that time when the less competitors are taken place.

International market

Untapped air cargo market

Expanding tourism industry

It is the expanding tourism industry mostely foreigners travel through aeroplanes this is the company opportunity which the company take profit as much as possible.

Threats

Due to increase in the number of Competitors the company threat increase day by day.

Infrastructure issue.

Fuel price are increasing constantly this is the main threat for the company because the company cost increases and profitability decreases due to this.

Economic slow down

Promotion and sponsorship declining

PESTEL ANALYSIS
POLITICAL FACTORS

1) Open sky policy

2) FDI limits: 100% for Greenfield airports

74% for the existing airports

100% through special permission

49% for airlines.

ECONOMICAL FACTORS

1) Contribution to the Indian economy-since the industry is operating in Indian economy,the revenue generated by the company adds to economy

2) Rising cost of fuel-the fuel price is rising because the subsidies govt is providing are being taken off.

3) Investment in the sector of aviation

4) The growth of the middle income group family affects the aviation

Sector-in todays world with increasing income of middle class,people prefer to go by air because it saves time at is all new a different experience.

SOCIAL FACTORS

1) Development of cities leads to better services and airports-metro cities first had airports but with development of the country new airports are being built up.

2) Employment opportunities-the aviation sector provided a lot of employement opportunities because the industry is so vast that a lot of people can be employed

3) Safety regulations.

4) The status symbol attached to a plane travel

TECHNOLOGICAL FACTORS

1) The growth of e-commerce and e-ticketing is now adopt the airline companies for the facilities and services to the customers.

2) Satellite based navigation system is the most advanced technological factor.

3) Modernisation and privatisation of the airports.

4) Developing green field airports with private sector for example in

Bangalore the airport corporation limited.

ENVIRONMENTAL FACTORS

The increase in the global warming due to increase in the number of aeroplanes flying in the air.this makes bad effect on our atmosphere.

2) The sudden and unexpected behavior of the atmosphere and the

dependency on whether.

3) Shortage of the infrastructural capacity

4) Tourism saturation.

LEGAL FACTORS

1) FDI limits

2) Bilateral treaties

3) Airlines acquisitions and the leasing cost.

Jet Airways

Jet Airways founded in 1993 and the Chairman of jet airways is Mr.Naresh Goyal.The Headquarter of Jet Airways is situated in Mumbai.

It is the Country’s second largest international airline and the largest domestic airline.

Its Primary hub is Mumbai’s Chaatrapathi ShivajiAirport and Secondary hubs are Bangalore, Brussels, Chennai, Delhi,Hyderabad, Kolkata and Pune.

In April,2007 Air Sahara acquired the JetLite.but now JetLite integrated into Jet Airways.

Is primary Segments are Domestic & International and Customer Segments are First class, Premiere(Business) class & Economy class.

Its Target Segments are Business class.The Business travelers contribute 48% of passengers & 66% of revenues and they ready to pay higher prices, last time booking and don’t like transit.

The Economy class leisure travelers, prefer low cost airlines, ready for transit if there is cost advantage and have large % of passengers.

The Yield Management Technique was adopted in which Positioning take place(High value for High price)

Unique Selling Price which make Customer relationship and Punctuality.

SWOT Analysis
Strengths

Market driver-jet airways is known as a renowned company in airline industry, including airline domestically and internationally

Experience exceeding 14 year-the company has now established its steps in the airline industry and has achieved a big experience.

Only private airline with international operation-now adays new international entrants are entering into market,but jet airways were once upon a time to be the most reputed international airline industry.

Market leader-leader of the airline industry,with kingfisher bieing the most big rivaler.

Largest fleet size-at airport the largest fleet which we can observe is of jet airways.

Weaknesses

Loosing domestic market share

Old fleet with average age around 4.79 years

Scope for improvement in in-flight service

Weak brand promotion

Opportunities

Untapped air cargo market-jet airways has now till not focused on cargo industry which is developing day by day as more nad more exports and imports are increasing with every passing day.

Scope in international service and tourism-the jet airways focuses maximum on domestic market and there is large opportunity for the jet airways to step at a boost level in international market.

Threats

Strong competitors-now adays new entrants like kingfisher,Lufthansa airlines are expandind there fleet into the industry both domestically and internationally.

Fuel price hike-day by day there is a price hike in fuel but the major effected are customers since with increase in price of fuel,the price of air fare automaticaaly grows up.the loss is also faced by the airline because the ratio at which the fuel price rises comparitevely the price of tickets do not rise

Overseas market competition-at an international level more and more companies are entering the airline industry due to high margin profit.

PEST Analysis
Political Issue

License issue for international

operation

Infrastructural constraint

ATF price policy

Economic Effects

Rising income level

Reduced fare but yet not enough

Social Effects

Sound Pollution

Plane hijacking

9/11 Incident

Technology Effects

Modernization of aircrafts

Modern technology like CAT3 and ILS

4P’s
Price

Economy & Club Premiere Fare

Discounted fare for senior citizens & defense personnel

Advance Passenger Excursion/ APEX Fares

One Fare

Night Saver Fares

Check Fares

US Dollar Fares & Visit India Fares

Place

Place of Service – Aircraft

Various Destinations

PromotionOffers

Companion Free Offer, One Fare, Concessional fares, JetPrivilege

Offers,

Jet Airways Citibank Credit Cards, Corporate Deal Offers, International

Specials, Camp Rock contest, Festival specials, Student specials,

Surprises etc.

Advertising and Branding

Hoardings

Brand Ambassadors

Sponsorships

Event Organization

Process
People Processing

People physically enter the service system to receive the service.

Aircraft is the

service factory where service is delivered.

Possession Processing

Cargo

Luggage & Courier

Physical Evidence
Services cape

Services cape usage – Interpersonal

Complexity of Services cape – Elaborate

Flight

Offices – Org. & Ticket Booking Agents

Virtual Services cape

Jet Airways – Performance

Jet Airways annual Revenues is Rs.9481.5 crores in 2007 to 2008 and Rs.7401 crores in 2006 to 2007.

Profit (Loss) After Tax – Rs.253 crores loss in 2007 to 2008 and Rs.27 crores profit in 2006 to 2007.

All Other Domestic Players showed loss in 2006-07.

It is a much known fact nowadays that the traffic congestion in Colombo has increased to a level that most of the personnel operating in Colombo city limits get disturbed in their day to day activities. Further it has come to the light that the traffic accidents in Colombo city area also have been increased during the recent past to a considerable amount mainly due to this congestion. Out of the overall number of traffic accidents reported within the country the most numbers are reported from Colombo city limits. Number of lives lost due to these accidents cannot be considered in light whilst minor scale accidents reported stands at large. Unreported numbers of minor scale accidents are not known but would be as double as the number of reported.

Difficulties faced by the motorists, pedestrians, traffic police officials and generally the public in Colombo area due to this traffic congestion are very high. The day to day life of the general public such as attending their office duties, attending children to schools, attending other domestic affairs are getting disturbed heavily due to the unforeseen delays they are compelled to experience at roads caused by traffic congestion blocking the smooth vehicle movements in Colombo city. This is generally wastage of innumerous number of man-hours of working people, loosing billions of rupees of income to the Gross National Product.

It is a known fact that the highest number of vehicles, comparative to the other cities in Sri Lanka, operating in Colombo city. Reason for the same is Colombo is the main city in Sri Lanka to where large number of people travel daily to do their jobs, send most number of children to the large number of leading schools located within the city. Further the Colombo harbour is situated within the Colombo city limits resulting a large number of vehicle movements for transportation of goods. Most number of star class tourists hotels located in a single city is Colombo resulting large number of vehicle movements in between Bandaranayke International Airport, Katunayaka and Colombo. Generally the main commecial city of Sri Lanka is Colombo and as a result of that almost all the personnel living at wherever the country are compelled to come to Colombo for some reason which increase the vehicle congestion in Colombo city limits.

4. When a large number of vehicles are operating within a limited area in Colombo city, it is obvious that the number of traffic accidents could be at a higher rate comparative to the number of accidents happened in other cities in Sri Lanka. But in this context what is important to be researched is the reasons for those large number of accidents. The amount of vehicle operating in Colombo city would not be a good reason for any of the citizen of this country to be met with a traffic accident and to get injured or to be killed. This being the situation time has come to analyze the causes contributing to the increase of traffic congestion in Colombo city and to come up with viable solutions to address this problem which will in turn be beneficial to the future prospects of Colombo city, as well as the country as a whole.

CHAPTER 2
METHODOLOGY
AIM

5. The aim of this research paper is to analyze the major causes which contributing to the traffic congestion in Colombo city limits and to come up with feasible measures to create a smooth traffic movement in Colombo city limits as an example for the rest of the cities in the country.

STATEMENT OF THE PROBLEM

6. Increase of traffic congestion within the Colombo city limits at a drastic rate within a very short period of time has not only resulted the general public operating in the Colombo city to experience unforeseen difficulties at roads but also to be ended up at sometime with fatalities or losses of lives. The continuance in the increase of rate of traffic congestion in Colombo city would become a major burden for the motorists, pedestrians, traffic police officials and all the communities operating in Colombo city and also will bring negative impacts to the development of Colombo as well as the country unless addressed systematically. This research is to identify the major causes which have contributed for the increase of traffic congestion in Colombo city and to recommend feasible measures to reduce the same.

THE RESEARCH HYPOTHESIS

7. Unlawful driving habits of the motorists who do not adhere to the traffic regulations is hypnotized as the main cause for the increase of motor traffic congestion in Colombo.

SCOPE OF THE STUDY

8. The scope of the study is to confined to the motorists, pedestrians and traffic police officials operating in Colombo city limits to identify their views and attitudes towards the increased rate of traffic accidents in Colombo. The paper also concentrates much on the statistical records of traffic accidents happened in Colombo during the past decade.

METHOD OF DATA COLLECTION

9. The collection of data and information for this research will be highly based on the views and the perceptions of the motorists, pedestrians, officials of traffic police department and those who have met with road traffic accidents which will be derived through systematical interviews. A questionnaire will be distributed among 50 personnel composed with 25 drivers including heavy vehicle, light vehicle and three wheeler drivers, 10 pedestrians, 10 personnel met with traffic accidents and 5 traffic police officers. Further this research analysis will be highly based on past statistics available on all traffic accidents in Colombo.

THE STRUCTURE OF THE THESIS

10. The thesis is structured as follows:

Chapter 1 – Introduction.

Chapter 2 – Methodology.

Chapter 3 – Increase of vehicle population in Sri Lanka.

Chapter 4 – Reasons contributing to the traffic congestion in

Colombo.

Chapter 5 – Observations made by the Researcher.

Chapter 6 – Analysis of data.

Chapter 7 – Recommendations.

Chapter 8 – Conclusion.

CHAPTER 3
INCRESE OF VEHICLE POPULATION IN SRI LANKA

11. It is a known fact that the vehicle population of Sri Lanka was very minimal before 1980s and wonder whether a word called traffic congestion was heard at that time. However with the influx of the concepts of open economy to the country, the vehicle population was increased but at a moderate rate during 80s and 90s. So that the road network in the country, though not developed much, was sufficient to accommodate the transportation in the country without traffic congestion. But within the last decade the vehicle population of the country was expanded at a drastic rate and almost doubled within a period of eight years. The following statistics at Table 3.1 [1] gives a clear picture of the vehicle population of the country and the composition of the same.

12. Table 3.2 [2] shows the rate of increasing of vehicles in the country with the new registrations per year. From year 2002 onwards the new registrations per year exceeds 200,000. In this context what we have to identify is whether the road network has been expanded comparatively to accommodate this number of vehicles.

13. When it comes to Colombo city, it has been revealed that approximately 400,000 vehicles move in and out of Colombo daily basis, which is approximately 15% of the total vehicle population of the country. Though the road network of the main city of the country has been extensively expanded as well, the traffic congestion due to different contributing factors could not have been avoided. It has been come to light that following are the main contributing factors for the traffic congestion in Colombo city and its suburbs.

High volume of vehicle movements within the city.

Not having a proper traffic plan in the city.

Closure of certain roads for security reasons.

Bad driving habits of drivers violating traffic rules.

Improper parking habits of drivers interrupting smooth vehicle movements due to non availability sufficient parking facilities.

Poor traffic controlling duties of traffic police officials.

Use of old vehicles not road worthy.

Increase of vehicle accidents due to high volume of vehicle movements blocking the smooth vehicle movements.

CHAPTER 4
REASONS CONTRIBUTING TO THE TRAFFIC CONGESTION IN COLOMBO

14. Colombo City is the most populated city in Sri Lanka and the living standards of the people living in Colombo is comparatively high resulting a considerable number of people out of those living in Colombo are in possession of a kind of personal vehicles. Further a huge number of people moves in and out of the Colombo city daily basis making the number of vehicles moving in and out on daily basis is very high. As per the statistics available at Traffic Branch of the Police Department, approximately 400,000 vehicles of different categories move in Colombo city daily.

15. Due to this large number of vehicles moving in and out of the Colombo city the average number of accidents reported within the Colombo city is 200 out of which 6 are fatal. It is important to have an idea of the general perception towards the contributing factors for the traffic congestion in Colombo city.

GENERAL PUBLIC PERCEPTION

16. Based on the outcome of the ideas obtained from a cross section of drivers and non-drivers operating in Colombo city through a distribution of a questionnaire attached as Annex “A”, the following factors were revealed out of which some are identified as the contributing factors for the traffic congestion in Colombo city.

Chart 4.1 – Possession of valid driving license

17. It was revealed through a distribution of questionnaires among 50 personnel driving different types of vehicles in Colombo city area only 80% are with valid driving license whilst others drive different categories of vehicles without driving or riding license as elaborated in Chart 4.1.

Chart 4.2 – Knowledge on Traffic Rules

18. Percentage of the personnel who are driving vehicles and having an average knowledge on traffic rules and regulations is 60% whilst both the categories of those with very good knowledge and poor stands at 20% each as displayed in Chart 4.2.

Chart 4.3 – Adherence of Traffic Rules

19. Adherence to traffic rules plays a major role in the context of traffic congestion of any where on the road so do at the Colombo city area and the composition of the same with regard to Colombo city area is as per above Chart 4.3. As per the statistical data received in this regard only 5% of the personnel drive vehicles in Colombo city adhering 100% to the traffic rules and regulations. 70% adhere traffic rules but sometimes violating. 20% adhere traffic rules only when they feel it is required to do so whilst 5% adhere only when traffic police are expected or to be seen on the road.

Chart 4.4 – Ratio of Drivers met with Accidents whilst driving in Colombo

The Chart 4.4 shows how rare we can find a person driving a kind of vehicle but not have met with an accident whist driving in Colombo. 80% of the drivers have met with some kind of traffic accident whilst driving in Colombo. It is important to identify the main reasons behind those accidents and Chart 4.5 elaborates the same. 30% have met with accidents due to the fact that they have not adhering to the traffic rules, at the time of meeting the accident whilst 50% have met with the accidents as a result of the violation of traffic rules by the another party. 15% have met with accident due to the congestion of traffic in Colombo, whilst only 5% due to some other reasons.

Chart 4.5 – Reasons for the Accidents in Colombo City

21. It is a known fact that use of mobile phones by the drivers whilst driving is one of the major reasons contributing for the traffic accidents so do for the traffic congestion in Colombo city. The research reveals as highlighted at Chart 4.6 that 80% personnel uses mobile phones whilst driving. It was also revealed that 10 % don’t uses mobile phones whilst driving and the balance 10% uses mobile phones however after parking the vehicle by side of the road.

Chart 4.6 – Usage of Mobile Phones Whilst Driving

22. Parking vehicles at unauthorized places by side of the roads increase the traffic congestion in Colombo city very much. Reason for that type of illegal parking varies from person to person and the Chart 4.7 shows the percentage of drivers doing illegal parking whilst Chart 4.8 shows the reason for them to do so.

Chart 4.7 – Trend of Illegal Vehicle Parking
Chart 4.8 – Trend of Illegal Vehicle Parking

23. Driving vehicles in accordance to the stipulated speed limits is also a fact required to be adhered to in order to minimize the disturbance to the other vehicles and the commuters as well. The research reveals that, almost all the drivers are operating in Colombo violate the speed limits even in sometimes.

Chart 4.9 – Adhere to speed limits

24. The general perception of those who are driving a kind of vehicle in Colombo city, towards the reasons for the traffic congestion in Colombo city is emphasized in The Chart 4.10 Though the traffic congestion in Colombo city is a result of combination of different factors, the most contributing factor was identified as the unlawful driving habits of the drivers which stands at 60%. The next main factor which stands at 20% is the huge number of vehicles entering in to Colombo city.

Chart 4.10 – Reasons for traffic congestion
TRAFFIC POLICE OFFICIALS PERCEPTION

25. Traffic Police officials performing traffic duties are one of the main resource personnel from whom an unbiased opinion towards the traffic congestion in Colombo city, could be obtained. A specifically designed questionnaire as at Annex “B” was distributed among 25 traffic police officials and the outcome of the same is as follows.

26. The very first question was to find whether they see or experience a traffic congestion in Colombo city for which the answer was 100% positive and all the police officials accept the excessive traffic congestion in Colombo.

27. The traffic police officials being the most competent personnel with their observations and experience to list out the factors contributing the traffic congestion in Colombo city were tasked to list out those factors according to the precedence and the outcome is as enumerated at Chart 5.11 Majority of them are in the view of that the bad driving habits of the drivers violating the traffic rules and regulations, come first cause for the present day traffic congestion in Colombo city

.
Chart 5.11 – Reasons for Traffic Congestion as per the precedence

28. The order of precedence explained above at Paragraph 27 was further substantiated based on the factual details of the traffic police officials as shown below at Chart 5.12 The number of personnel getting caught to police net daily for violating traffic rules in Colombo city stands above all the other offenders. Those who are driving vehicles over speeding, though taken as a separate attribute, is again an unlawful driving habit violating the traffic rules. So that the percentage of those who are driving with unlawful driving habits and getting caught to police is 60%.

Chart 5.12 – Reasons for Traffic Congestion as per the precedence

29. Views of the traffic police officials were expected to find out the most viable solution to the traffic congestion in Colombo city. Though different opinions were found as shown at Chart 5.13, the most viable solutions for which 55% agreed to address this problem was to take stern disciplinary action against those offenders who violate the traffic rules and regulations.

Chart 5.13 – Reasons for Traffic Congestion as per the precedence
CHAPTER 5
OBSERVATIONS MADE BY THE RESEARCHER

30. Further to the facts gathered through the distribution of questionnaires among general public, those who are driving vehicles in Colombo city areas, and the traffic police officials performing duties in Colombo area, the following facts were revealed through visual observations and sporadic interviews of the people hanging around in Colombo area. These were included with bus drivers, three wheel drivers, police officers, pedestrians; personnel using public transport etc. and the following observations were made.

a. It was observed that the maximum number of vehicles move in Colombo city area during the following rush hours.

0730 hrs to 0900 hrs – During this period the maximum numbers of vehicles moves in Colombo city creating a traffic congestion and the reason is the influx of people to Colombo for employments, businesses,and to attend schools etc

1330 hrs to 1430 hrs – This is the time period during when schools are getting closed and a large number of vehicles move in the Colombo city for school services. Due to the fact that a considerable number of leading schools are located in Colombo city itself, the number of light vehicles operating for school services is extremely high resulting the traffic congestion.

1630 hrs to 1830 hrs – Soon after the office hours the outward vehicle movements from the Colombo city are very high similar to the morning session creating a traffic congestion.

b. The competition of the bus drivers makes havocs in the smooth flow of vehicle movements in Colombo city. Though the buses as well as the other heavy vehicles are to drive in the leftmost lane it is being practiced only for stopping the busses at bus halts to board or alight the passengers. Almost all the bus drivers make their fullest effort to disturb the other buses to make a big catch of passengers which in turn disturb all the vehicles on the roads creating traffic congestions. However not a single bus driver is ready to accept that they are experimenting unlawful driving habits violating the traffic rules.

c. Habitual violation of traffic rules by the three wheel drivers are one of the main contributing factors for the traffic congestion in Colombo city. The number of three wheelers in Colombo city is extremely high. Easy maneuverability of three wheelers is being used by most of the drivers to get an extra advantage of reaching their destinations as quickly as possible however violating all the kinds of traffic rules. They do not bother about the difficulties faced by the other motorists and drivers due to their unethical driving patterns ultimately creating unnecessary traffic congestions.

d. Parking vehicles by sides of the roads blocking the other free vehicle movement is also a contributing factor for the traffic congestion in Colombo city. Sometimes may be due to the non availability of parking facilities, drivers are used to park the vehicles by side of the roads disturbing the other vehicles.

e. Role of the pedestrians too contributes much for the traffic congestion in Colombo city. The extremely poor road discipline of the pedestrians creates unnecessary disturbance to the smooth movement of vehicles. Even at the places where overhead or underground pedestrian crossings are there, most of the pedestrians do not and reluctant to use those facilities but used to cross the road at the shortest way which ends up not only with traffic congestions but also accidents with fatalities.

f. Less attention of most of the motorists towards the disturbances for the other vehicles due to the way they are driving also contributes for the traffic congestion in Colombo city. The classic example in this context is the use of mobile phones whilst driving creating unnecessary disturbance for the other vehicles whilst not being aware of it.

CHAPTER 6
ANALYSIS OF DATA

31. When the data collected through the systematical interviews, visual observations and distribution of questionnaires were analyzed, it was proven that the following contributory factors have resulted that the traffic congestion in Colombo city and suburbs.

High volume of vehicle movements within the city.

Not having a proper traffic plan in the city.

Closure of certain roads for security reasons.

Bad driving habits of drivers violating traffic rules.

Improper parking habits of drivers interrupting smooth vehicle movements due to non availability of sufficient parking facilities.

Poor traffic controlling duties of traffic police officials.

Use of old vehicles not road worthy.

Increase of vehicle accidents due to high volume of vehicle movements blocking the smooth vehicle movements.

Bad road discipline of pedestrians.

32. The high volume of vehicles of approximately 400,000 are operating in Colombo city daily is undoubtedly is one of the main reasons for the traffic congestion in Colombo city. Number of accidents, as mach as 200 per day consolidates this fact further. But the number of vehicles alone wouldn’t have created this much of traffic congestion in Colombo city unless the other contributing factors have popped up as a result of the high volume of the vehicles. All the endeavors have been taken to reduce the effects caused by the other factors such as reducing the violation of traffic rules, unauthorized parking etc. Since those factors play a major role than the volume of the vehicles.

33. As enumerated and hypothesized throughout the research, the unlawful driving habits of majority of the drivers operating in Colombo city are analyzed as the main contributing factor for the traffic congestion in Colombo city. When the number of vehicles are high and certain motorists are in a hurry tend to violate traffic rules and regulations and to reach their destinations as soon as possible ultimately creating traffic jams and blocks at the roads. The competition and the habitually unlawful driving practices of the bus drivers and three wheel drivers contributes this aspect at large. This research hypothesis is further consolidated by the statistical details obtained through the distribution of questionnaire with a percentage of 60% of general public and traffic police officials in the view that the unlawful driving habits of the driver causes traffic congestion in Colombo.

34. Though there are rules and regulations to bring the offenders at the roads before the courts and to be tried, it is not being practice to a satisfactory level. Though the traffic police officials reiterated that the traffic congestion in Colombo city is mainly due to the unlawful driving habits of the drivers, the actions they have taken to address this problem is not visible. The avenues available for the offenders to get themselves free from the traffic violations even after getting caught to traffic police officials are at a large but undisclosed by both parties.

CHAPTER 7
RECOMMENDATION

35. Based on the factual details obtained through systematical means and the research analysis, it is evident that the fact of unlawful driving habits of the drivers is to be addressed timely to reduce the traffic congestion in Colombo city and its suburbs at first whilst addressing the rest of the contributing factors gradually. The following actions are recommended to be initiated in this connection.

a. Traffic laws, rules and regulations are to be revised and to be incorporated with stern disciplinary action against the violation of traffic rules.

b. The traffic police officials as the law enforcing authority should be trained and handled in a more discipline way than as at present to be firm when performing their duties. Internal monitoring systems within the traffic police department are to be established and stern disciplinary action to be taken against those corrupted police officials not carrying out their duties properly.

c. A value to be added to the driving license from the time of issuing and it is to be ensured that only the competent and disciplined applicants are issued with driving license. In case of any kind of intentional violation of traffic rule the relevant diving license holder is to be kept under supervision for a standard period of time preferably one year and if found again for intentional violation the driving license is to be terminated. So that, no body will take the risk of getting their driving license terminated.

d. Parking facilities in the Colombo district to be expanded and then those who are parking vehicles at unauthorized places to be dealt accordingly.

e. Specific rules and regulations for the maintenance of discipline of bus drivers and three wheel drivers are to be brought in to force.

f. CCTV monitoring systems to be installed within the Colombo city to trace the drivers violating traffic rules and the police officials not carrying out their duties properly.

g. Island wide educational programs to be conducted to bring a behavioral change of the people driving any kind of vehicle in Sri Lanka to be disciplined at the roads and to respect the others.

h. Quality of the public transport services are to be increased to motivate the people to use public transport than their private vehicles when coming in to Colombo city which will reduce the influx of light vehicles that contributes much for the traffic congestion in the city.

i. Informing motorist about road accidents, traffic congestion and road conditions by traffic radio station which will help motorists to avoid traffic congestion. Helicopters can be use to moniter traffic. [3]

CHAPTER 8
CONCLUSION

36. It is a known fact that the difficulties faced by the general public, the traffic police officials and the wastage of national resources due to the traffic congestion in Colombo city is utmost and unaccountable. So this is a national issue required to be addressed within the least possible delay without being waiting till the problem get aggravated. As hypothesized the main fact behind the traffic congestion in Colombo city and also in suburbs is the unlawful driving habits of the vehicle users whilst few other factors contribute to increase the problem. As identified and analyzed during the research it is important to address the main factor which is unlawful driving habits of the drivers as the initial step whilst addressing the others thereafter.

37. The outcome of this endeavor to reduce the traffic congestion in Colombo city limits and its suburbs will be an example to address the similar type of traffic congestions in other main cities in Sri Lanka as well. These types of problems cannot be addressed without the support of the general public as well as the officials who are tasked to perform duties in that respect. However with the enforcement of new law and systematical programs to make the driving community more disciplined the traffic congestion of the Colombo would be gradually reduced which will be beneficial for all the people living in this country since this is a problem pertaining to the main business and industrial city of Sri Lanka.