History Of Tourism In Italy Tourism Essay

History Of Tourism In Italy Tourism Essay Tourism is one of the most important and vital sectors in Italy. Italy is probably one of the first countries that made tourism what it is today. International travel first became important under the Roman Empire. Latin was the common language day. The word feria first appeared in the ancient Rome, which means festival and it took the meaning of vacation. The Latin festival was the first mobile holiday, far from ones residence. Domestic tourism flourished within the Roman Empires heartland, it attracted thousands to the city and country all over the empire which included most if the Mediterranean, North Africa, mainland Great Britain and the parts of the Middle East. Traders and merchants came to Italy from several parts of the world. However tourism in Italy could have started from as way back as the gladiator fights in ancient Rome. As years passed the ceremonies were promoted and thousands of people flocked to Italy to see these bloody warfares. These events were always held in the Colosseum, which was also a major attraction. The people came from all over the Roman Empire and regions of Africa, Italy, and Rome. The games were a way of entertaining the wealthy as well as the common people. When the Empire fell, Rome governed the governed the growing Christianity and it remained one of European greatest religious centers and places of pilgrimage. These pilgrimages started the early forms of religious tourism. Renaissance became very popular in the 16th and early 17th century and many students came to Italy to study Italian architecture. The beginning of the Grant Tour was the peak of real tourism in Italy in the second half of the 17th century. Italy was considered the most popular destination. British travelled most parts of Europe, most famously, Italy to study architecture and culture of those places. These students were accompanied by a tutor and this trip often lasted 3 years or more. Travel for the reasons of education was encouraged but the fact that under Elizabeth I a special license had to be obtained in order to travel abroad. While the Grand tour was educational, as with the spas, the appeal soon became social, and pleasure-seeking young men of leisure travelled, to enjoy the rival cultures and social life of Europe. Every city in Italy was a sight to see and was the major attraction in the 17th century. However, by 1840, when rail transport was introduced and visiting Italy was no longer considered something for the elite, the first form of mass-tourism was introduced. Places such as Venice and Sicily still remained the top attraction. The first sea side resorts, such as those in the Ligurian coast. Those around Venice, coastal Tuscany and the Amalfi coast became popular. Grand Hotels and holiday resorts began to be built and islands such as Capri, Ischia, Procida and Elba became more popular and were mostly visited by wealthy foreigners and academics. By 1913, tourism had become an opportunity, and there was about 90,000 British visitors, this is because of natural and historical characteristics of the country. The Italian State Tourist Office was created in 1919, and was given a mandate to gather different data and information in order to make a legislative proposal that will help to promote the countrys domestic tourism, thus focusing on the international tourism, as well as to f acilitate different bank credit for the hotels. Tourism in Italy remained very popular until the late 1920- early 1930s, when, with the Great Depression and the economic crisis, several could no longer visit the country and the increasing political instability in the country meant that less and less tourist came. With the impact of the Great Depression during 1929, the economic and political uncertainty between the two worlds was the primary reason of the first intervention of the national government of Italy to get involved in the tourism industry. After a big slump in the number of tourist, tourism became popular again in Italy with the Italian economic miracle raised living standards and also the popularity of the Italian films brought back tourism to the country. The country had completed its postwar economic reconstruction during 1958 that helps to restructure the country from an agriculture-based to an industry-centered economy. It had helped to maintain the stability of the t ourism industry. During the said year, the international tourism industry of the country increased to $8.7 billion. Cheap Hotels were built in 1960s, and anyone could afford a holiday somewhere along the Italian coast. Mountain Holidays and skiing had a mass-popularity in the late 1960s. Despite the significant slump of tourist in the late 1970s and early 1980s because of the economic crises and political instability, by the late 1980 and early 1990s, the tourism regained in popularity. Now at the beginning of the 21st century tourism in Italy faced a number of challenges, the September 11 attacks in the US, made many tourists scared to travel and the economic meltdown in 2008 caused a significant drop in Tourism worldwide and Italy is now in state of recovery. Life Cycle Analysis Launch/Discovery Many tourist visited Italy for centuries, but the first actual tourist was said to have visited during the Grand Tour in the 17th and 18th century. Roman Empire was also a major pull factor that attracted thousands of people from around the world. People also came to Italy to witness the bloody warfare which was held in the Colosseum and this attracted many people also. When the Empire fell, many pilgrims would come to Italy and this could have been the early form of religious tourism. Italy, at this time was said to be a favorite destination by many. However, about 90,000 visited the country because of its natural and historical characteristics. In 1919, tourism had become an opportunity and the Italian State Office was created to promote international tourism and assist with different bank credits. Growth During 1958, Italy had finished its postwar economic reconstruction and the country moved from agriculture based to an industry- centered economy. Tourism became popular again, with the Italian economic miracle and raised living standard, and the popularity of Italian Films such as La Dolce Vita abroad and this brought back tourism in the country tremendously. In the late 1960s there was a mass influx of tourist, who came to the island because of the popularity of mountain holidays and skiing, which was offered for the elite in the 1930s. Many hotel chains became interested in the economy as a result of the management of government regarding the tourism industry. During the years of 1985 until 1995 the revenue for the industry increased extensively from 8.7 billion to 27.4billion. Moreover the country was ranked as top 4 country destinations from 1980 to 1996. By this time the annual growth rate for each year was 2.5% and the country enjoyed a considerable market share at this time. The development helped Italy to move from third to second rank for tourism receipts among the global top tourism earners, having an outstanding growth rate of 8.4%. Maturity From the period of 1996 2006 Italy saw a 10 year maturity growth rate in the tourism sector. Slight Progress has been made in 2006 and 2007 and there was a 3% increase in visitors after several years of maturity. Saturation In the years of 2007- 2008 was a steady rate of tourist coming to the country. Year Arrivals of tourist 2007 43.7 million 2008 42.7 million 2009 43.2 million Although the figure shows a fluctuation of the arrivals of tourists, on average it is a steady flow of tourist arriving in Italy at that time period, therefore showing the relative stagnation of the destination. Decline/Rejuvenation Decline Due to the economic global crisis, different visitors and foreigners are looking for countries to visit that are reasonable in cheap prices, However Italy is one of the most expensive destinations in Europe which have resulted in a 25% decline in British visitors coming to the country during 2008. The fall has been worst for local business owners in the tourism industry, who watched business falter by 50% over the past year. Also hotel owners said that visitors are now shortening their stays which would result in a decline in revenue. Venice was a major attraction, but due to the sinking ground level, rising sea level, pollution in the lagoon in which it is located, atmospheric pollution, congestion on the main canals from motorized traffic and increase flooding, there was a huge decline in tourist arrivals presently. Rejuvenation Italy has made a number of efforts to rejuvenate its tourism industry. Earlier this year Italy created a new marketing brand with a new logo and slogan. http://www.italymag.co.uk/images/italy-logo.jpg .Italy leaves its mark Italys local economy is now trying keeping their prices competitive for many and they hope that the bargains would attract more tourists to the country. Also since Italy won the 2006 FIFA world cup tourist regained a new interest in coming to the country once gain. Italy also brought back a reintroduction of films in the year 2008 to regain popularity. Present Situation Italy is the fifth most visited country in the world and the country receives approximately 43.7 million tourists a year. These tourists visit mainly for Italys prosperous culture, history, art, cuisine and fashion. After the recession affected tourism and Italys economy greatly in 2008, the tourism industry in Italy today is beginning to flourish again. Cities like Milan which have become popular tourist destinations saw a rise in tourists since it became known as the business and fashion capital of Italy. Rome which is one of the most important tourist destinations in the world and is third most visited city in the European Union also saw a rise. While the world economic crisis forces many consumers to change spending habits, at least the religious tourism in Rome is left unchanged, the Vatican City, the spiritual home to the worlds 1.1 billion Catholics, boasts more than 30,000 churches and sanctuaries according to the countrys Ministry of Culture. According to United Nations Worl d Tourism Organization statistics, seven of the worlds 10 most visited Christian sanctuaries are in Rome. Other regions which generate masses of tourists include: the romantic city of Venice, Tuscany, Naples and the popular tourist island of Sicily. The Italian Government Tourist Board (ENIT) has made efforts to promote all year round tourism with the countrys many equipped beaches, sport and ski facilities, 65 percent of the worlds artworks and historical monuments, and agri-tourism farms where tourists enjoy the land production, like wine, and olive oil and fruits. There are approximately 40,000 hotels in order to cater to Italy high influx of tourists coming to Italy daily. Italian tourism operators are increasingly engaged in improving the quality of their product and in promoting Italy as a destination. Italy  may not take up much space geographically on the globe, but it consistently ranks among the top vacation destinations on the planet. Tourism is considered as one of the most important and vital industries in Italy. It is one of Italys most developing and most profitable industrial sectors, with estimated revenue of $42.7 billion. Tourism  is one of the fastest growing and profitable sectors of the Italys economy. The industry plays a strategic role and has a major impact on Italys economy because of this constant influx of tourists.  Tourism  in  Italy  is one of the countrys biggest income sources. Italys Gross Domestic Product  in 2009 reached $1.8 trillion, 69% is represented by the services sector, whose strong point is tourism, approximately 29% is owing to the automobile industry, engineering industry, apparel/textiles industry and the construction industry and the remaining 2% is derived from agriculture. The geographical distribution of the nations wealth is as follows: approximately 31.8% of Italys Gross Domestic Product is produced in the Northwest regions of the country, 22.3% in the Northeast regions, 21% in the regions of Central Italy, and finally, approximately 24.8% can be attributed to the regions of Southern Italy. In 2009 the expenditures by international inbound visitors (tourist receipts) made Italy the fourth highest tourism earner. The everyday tourists in Italy spends varying amounts daily and the average daily spend will vary widely based on seasonal variations and desired destinations. The fact is that some tourists may enjoy a great two-week adventure in  Italy  and  spend  less than $4,000, while others may let a commercial tour company make the decisions for them and end up spending $15,000. Italy  isnt cheap, although however compared with the UK and northern Europe the situation is not so bad. What you  spend  on accommodation will depend on various factors, such as location, season (August which is the peak), the degree of comfort you want. The cheapest pensione  (small hotel) is unlikely to cost less than à ¢Ã¢â‚¬Å¡Ã‚ ¬25 for a basic single or à ¢Ã¢â‚¬Å¡Ã‚ ¬40 for a double room. You can stumble across comfortable rooms with their own bathroom from à ¢Ã¢â‚¬Å¡Ã‚ ¬50 to à ¢Ã¢â‚¬Å¡Ã‚ ¬80. Midrange hotels in the more expensive places such as Rome, Florence   and    Venice  can easily cost from à ¢Ã¢â‚¬Å¡Ã‚ ¬80 to à ¢Ã¢â‚¬Å¡Ã‚ ¬150 for singles or à ¢Ã¢â‚¬Å¡Ã‚ ¬120 to à ¢Ã¢â‚¬Å¡Ã‚ ¬200 for doubles. Eating out is just as varied in  Venice  and  Milan  , while  tourist  magnets such as  Florence  and  Rome offer surprisingly affordable options. On  average  you should reckon on at least à ¢Ã¢â‚¬Å¡Ã‚ ¬20 to à ¢Ã¢â‚¬Å¡Ã‚ ¬50 for a meal (two courses, dessert and house wine). Backpackers usually stick religiously to youth hostels, they snacking at midday and travelling slowly, spending approximately à ¢Ã¢â‚¬Å¡Ã‚ ¬40 to à ¢Ã¢â‚¬Å¡Ã‚ ¬50 per day. Your  average  midrange  daily  budget, including a sandwich for lunch and a simple dinner, as well as budgeting for a couple of sights and travel, might come to anything from à ¢Ã¢â‚¬Å¡Ã‚ ¬100 to à ¢Ã¢â‚¬Å¡Ã‚ ¬150 a day. Many tourists come to Italy for many different reasons whether it is for leisure or business the average length of stay according to the UNCTAD Handbook of Statistics is 3.81 days. Tourism represents an opportunity but also a fascinating challenge for the country in terms of economic growth, international image and improvement of relations with other nations. However, tourism is important because of its economic and employment potential, it is a sector that employs nearly three million persons which is equal to approximately 12 percent of the total work force and is expected to increase in many years to come. Italy is also the ideal tourist job destination. There are ski resort jobs in the Alps in the North part of the country in the winter, beach resort jobs in the summer, and restaurant and hotel jobs all year long. There is also a huge demand for city guides in Rome, Venice, Pompeii, and many others during the summer. Tourism also contributes to the prospect of wealth and opportun ities to the less developed minor regions in Italy in order for them to progress economically. With the expansion of international tourism, along with the countrys enormous potential, Italy has to maintain and upgrade its tourism industry over the next years to maintain and expand its market share and provide economic growth. Market Analysis of Tourism in Italy With more than 43.7 million tourists a year, Italy is the fourth highest tourist earner, and fifth most visited country in the world behind France, Spain, United States and China. . Domestic tourism, or the travel of Italians within their own country, is the markets largest sector. The majority of foreign tourists coming into Italy originate in Europe. Germany in particular is a major source market for tourism in Italy. Figure 3 gives a fairly good idea of how big the German market is in Italy. According to UNWTO World Tourism Barometer for January 2010, Italy was one of the very few countries that maintained their market share in terms of foreign tourist arrivals, remaining firmly among the top five most successful destinations worldwide. Figure 3 shows a Pie chart representing 10 major source markets of tourist and their respective percentages. Source: Invitalia elaboration of Istat data, Capacity of accommodation facilities , March 2010 Figure one further re-iterates the largest percentage of tourists coming into Italy are in fact Europeans. Italy has always been one of the most desired and visited travel destinations worldwide. In relation to the age group of the Italian tourist market, Italy attracts many young people between 20-30 years old. ADDD INFO ON THE YOUTH MARKET However, 55% of the Italian tourist market is over 55 years old. The summer of 2010 has shown that Italy is definitely recovering from the worldwide economic crisis and is enjoying an increase of visitors from many of its major source markets in comparison to the previous year. According to ENIT , there is an upturn in international markets in relation to Italy, opting for shorter holidays, favoring of all inclusive formulas that make it possible to better evaluate the prices in relation to the product purchased, and increased interest in holidays in contact with nature. Arrivals from the USA are showing a favoring index of about 25%, to art cities, lakes and mountains. South American countries such as Brazil and Argentina also show a rise of at least 20%. As far as the Asian and Oceania markets are concerned, Japan shows a growth trend towards Italy as a destination. The art cities and best known seaside resorts are confirmed as the favoring destinations. In India, on the tourist front, the height of the season ended in April and was without a do ubt marked by an excellent increase in tourist demand for the Europe product in general, and specifically for what Italy has to offer (+20%). In terms of the European market, there are also positive signs for the car travel segment to neighboring destinations, while there is a downturn in air travel. As previously stated, Italy enjoys a leadership position on the German market. Summer of 2010 has shown an increase of 5% of German arrivals when compared to 2009. Italy also saw a slight increase in sales among Austrian tourists (+5%). The positive trend for Italy on the markets in Belgium (+10%) and Holland(+3%) continues while Spanish tourism outlets have seen a drop in bookings. Italys Unites Kingdom market is showing a growth in demand for lesser known destinations in rural areas of Italy while the French market is favoring sea and beach offers like Sicily and other areas such as Tuscany and Lazio, for its cultural attractions. Charter flights to Italy have also increased for Russia, coming from Moscow. According to ENIT, the packages sold have shown an increase of more than 30%, while tourists coming from the Czech Repub lic favor coach tours to seaside centers and big art cities. People mainly come to Italy for its rich art, cuisine, history, fashion and culture, its beautiful coastline and beaches, its mountains and priceless ancient monuments, especially those from the Greek and Roman civilizations. UIC data on inbound tourism in Italy indicated that travellers expenditure was connected with the following reasons; cultural, environmental, social and visits to family and friends Figure 4 Figure 4 shows a pie chart indicating various reasons travellers expenditure in Italy and their respective percentages This information gives us an idea of Italys target markets and how they would choose to proportionately allocate funds aiming at these markets. Although the information in figure 2 gives us a good idea of the reasons people go to Italy, it isnt as detailed as it could be. *Add some info different markets such as wine and food tourist, cultural etc* The sports tourism market in Italy is a growing one. Football fans in particular venture into Italy to watch the seasonal Italian Serie A football matches. Occasionally , Italy is blessed with UEFA champions league football matches .The UEFA champions league has one of the biggest followings in football. In addition to this, Italy were the winners of the 2006 FIFA world cup finals. That in itself draws sports fans to the country of Italy. Italy also caters to huge fashion tourist market. Milan is seen as the fashion capital of the world. Fashion designers and fashion followers alike flock to Milan in numbers for the various fashion shows and exhibits. Religious Tourism is one of the major market segments of tourism in Italy. While the world economic crisis forces many consumers to change spending habits, this economic sector has so far been barely touched. Official figures are hard to come by because visitors to Italy are not required to indicate whether or not their vacation is religious in nature. However, tour operators and travel agents say that the number of religious tourists in Italy hasnt changed much. Michael Patano, the director of Aurea , a 6-year-old trade fair for agencies that market religious tours, said Religious pilgrims still want to have the same experiences. The high point for religious tourism in Rome is Easter, which takes place on Sunday. The Vatican says that if the weather is good, attendance at the Easter Mass in St. Peters Square usually surpasses 100,000 people. Although there are few official figures indicating the importance of religious tourists to the tourism market, it can be assumed that religious tourism has a significant market share of tourism in Italy. All in all, Italys market has been relatively constant over the years and there are areas where Italy can try to diversify their appeal and also penetrate further into existing markets. After all, Italy has a wide range of fascinating attractions that can appeal to a cross section of tourist markets. Product Analysis A product can be defined as a good or service offered with the purpose of satisfying a want or need. Italy itself, so rich in history, art, architecture, religion, fashion, cuisine, music and landscape, is a very diverse product since it has so much to offer, to many different markets with its many amenities and attractions. Here, we will identify and examine just what Italy has to offer. An attraction refers to one thing being drawn or enticed to another. In Italy, there are many, many lures that draw foreigners and even locals to the many parts of the country. One of these attractions is the Colesseum, which is located in Rome. The ruins of what once was a great amphitheatre used to host gladiator duels and public spectacles still remains very popular today. This mammoth of a structure sees an estimated 4 million visitors yearly, many of whom come to sight-see, learn about its history and study its marvelous architecture. 800px-The_Colosseum_during_Christmas.jpg Photo Of The Colloseum In Rome Also located in Rome, is the Vatican City which is actually considered a separate state within Rome. This city is ruled by The Pope, who is the Bishop of Rome and leader of The Roman Catholic Church worldwide. Catholicism is the largest denomination of Christianity and has the largest religious following in the world with approximately 1.1 billion persons. However many Christians and Non-Christians visit the Vatican City yearly touring its museums and hoping to see The Pope. Still in Rome we find Pompeii, a unique attraction in a partially buried town. Pompeii was destroyed and buried by a volcanic eruption and was rediscovered in 1599, but with the excavation of the ash, we see preserved parts of a city in the pinnacle of the Roman Empire. Rome is additionally known for the Spanish Steps or Scalinata Spagna; the longest and widest staircase in Europe, which links The Spanish Embassy located in the piazza below to the French church; Trinità  Ã‚   dei Monti, above. Also popular is th e Trevi Fountain, the largest Baroque fountain in the city which is well known and often featured in movies. Rome also boasts of popular restaurants such as the Antica Pesa La Pergola and hotels such as the Bernini Bristol and the Westin Excelsior. Another popular Region in Italy is Tuscany which is renowned for its heartwarming landscapes, brilliant wine and art, and its luxurious villas. In Tuscany we can find the City of Pisa which is the home of The Leaning Tower of Pisa. The tower is actually the bell tower to the citys cathedral and began construction in 1173, taking nearly 200 years to complete. Shortly after construction began, the tower started to lean to the right due to the poor construction of the foundation. Today, millions of visitors come to Pisa to see the towers distinct architecture and signature lean. Tuscany is also where we find the province of Florence, home of many elegant squares, renaissance palaces, cathedrals, museums and galleries. Most popular of these galleries is the Uffizi Gallery, where the works of popular artists such as Michelangelo, Botticelli and Leonardo da Vinci can all be found. One of da Vincis most popular works, The Last Supper can be found in the monastery of Santa Maria delle Grazie in Milan. This is world renowned painting of Jesus and his disciples before he was betrayed and is frequented by visitors of the region. Milan is also popular for its magnificent football stadium, the San Siro. This stadium is home to A.C Milan and F.C Internazionale Milan which are two the biggest football clubs in Europe with millions of fans worldwide. Moreover, Milan is best known for fashion and design, and is regarded as one of the fashion capitals of the world. Major Italian brands such as Valentino, Gucci, Armani, Prada and DG all now have headquarters in Milan making their selves more accessible to the citys high end fashion market. The City of Venice is known for its gothic architecture, tourism and romantic lure, and is also known as The Floating City, The City of Bridges or The City of Canals. The city has been given these names since it is comprised of 117 islands joined together by 409 bridges, and the main mode of transport is by boat. Its common in Venice to see couples being rowed along in a gondola; classical Venetian boat. Travel by waterways is the most popular method of travel in Venice since there are no real roads but only walkways and bridges. In regions near the Mediterranean, the country is very popular for its waters. However, not only does Italy have white sandy beaches as we can find on the Amalfi Coast, but also thermal waters with healing properties. This has led to the development of thermal spas and even resorts around the country which are encouraging for medicinal tourism. Italy also has a rich history in classical and symphonic music and stemming from this come their love for operatic singing and ballet dancing. Many shows and recitals are held annually all over Italy by the opera houses which have seasons for both symphonic singing and ballet. Furthermore, the Vatican is not the only place which has a religious pull but rather its a nationwide affair with visitors coming from far and near to explore Italys many cathedrals. Other notable attractions in Italy are its mountainous snow covered regions with perfect conditions for camping and alpine skiing, its many nature parks and reserves and the unique experiences offered on the islands on Sardinia and Sicily. italy-ski-resorts.jpg Photo Of a The Alps Millions of tourists visit Italy yearly and due to the course of recovery the country is currently on, millions more could be added to the total, but Italy can be said to be prepared now having over 40 000 hotels. These hotels vary in standard from 1 star to 5 star deluxe, and in Milan, Italy has set the benchmark being the first country in the world to have a 7 star hotel; Town House Galleria. Additionally, Italy has its own distinct cuisine and beverages, and has a holistic cooking style combining healthy with delicious. Their love for pasta, cheeses, sauces, meats, vegetables, fish, pizza, gelato, coffee and wine has set them apart. This love has spread worldwide with Italian cafes and restaurants being found in most countries, however, this hasnt stopped visitors from coming to Italy to have a firsthand taste of their cuisine. Present day Italy has hundreds of thousands of eating facilities ranging from cafes to pizzerias to fine dining restaurants. Moreover, with this cuisine a good wine can always be expected, and why not since Italy is one of the foremost wine producers in the world with its signature Rosso (red) and Bianco (white) wine. This extensive high level production can be attributed to Italys rich soil and climate. Vineyards can be found all around the nation in regions such as Aosta Valley, Lombardy, Tuscany, Sicily and Venito. The wine industry is a massive contributor to the Italian economy both on its own and through tourism. Italy has made itself very accessible having 30 major airports and 43 major seaports; 2004. Additionally, Italy has an extensive and highly maintained road network making transport between cities easy, which encourages local travel. Italians also have large bus fleets to service the public from town to town, and city to city; SITA, but in Venice there is a waterbus fleet. Visitors crossing the borders are also accommodated with the border crossings connecting to France, Austria, Switzerland and Slovenia being opened 24 hours daily. Furthermore, Italy has an established railway system comprising of both electric trains and locomotives which run through the country and connect with bordering countries, and a water fleet of ferries to service the inland rivers and canals. Promotional Strategies The objects of the promotion and communication activities are Italys image and its overall tourism product. ENIT is the institution in charge of promoting Italys tourism product. ENIT pursues its institutional goals through activities such as studying international markets and in particular the connotations and trends in demand for individual and organized tourism. ENIT is also constantly monitoring the development of tourism demand. Italys tourism board is constantly involved in planning designed operating strategies in agreement with Italian tourisms public and private players. This includes the Ministry of Production Activities, Regions, central public administrations boards, professional associations, and producers of services for tourism i.e. transport, hospitality, food service, public businesses, and so on. One of the most important aspects of promoting tourism in Italy is developing planning objectives employing, for each market or homogenous consumption area, just the right combination of a number of operating tools. These tools could be in the form of; Multimedia communication Mass media advertising Print, multimedia, and audiovisual production Creating and managing data and image banks Traditional and telematic information distribution Material distribution Press relations in Italy and overseas Sectoral analysis and business strategy consulting service for the Regions and private Italian operators Organizing marketing meetings between Italian supply and foreign demand Organizing seminars for professional users Providing assistance to visits by Italian economic operators abroad ,and by foreign economic operators in Italy Meetings with administrative authorities, opinion makers, personalities, and representatives of cultural and artistic areas in the various foreign nations where ENIT offices are located Organizing and taking part in fairs, expositions, exhibitions, and large-scale events in Italy and abroad. Providing assistance and operative cons

John Steinbeck’s The Chrysanthemums Essay -- John Steinbeck The Chrysa

In John Steinbeck’s The Chrysanthemums, the reader is introduced to the seemingly timid and shy Elisa Allen. Elisa is routinely planting her yearly sets of Chrysanthemums, which appear to be the sole receptor of her caring and gentle touch, but all the while it is evident that â€Å"the chrysanthemum stems seemed too small and easy for her energy.† Her hidden eagerness seems not only out of place, but out of touch with her dry and wilted surroundings, of which her husband, Henry, abruptly interrupts her steady pace. Inquiring of dinner plans, he is quickly shuttered  out, so that Elisa can continue her work in the fenced in flower bed. This seems to be the only place on the ranch that belongs to her, and thus devoting the entirety of her time, and consideration, towards this lonely sandy square.   Ã‚  Ã‚  Ã‚  Ã‚  It isn’t long before another interruption comes cluttering up to country road toward the Allen Ranch. This time it comes in the form of a worn wagon, drawn by two mismatched horses, and a large rugged man sitting behind the reins. Elisa appears to be somewhat static as she introduces herself to the peddler, making it known that he is drawing her away from her duties. But the peddler, who is just trying to find something to fix-up for money, sparks a vigor in Elisa, and she suddenly gains interest in everything he says, as benign as it may be. This peddler, who merely altered Elisa’s routine, has immediately altered her life. The change in routine is the first in many years for her...

Managing Risk

Abstract This analysis is to submit a proposal that the CFO and I can work on together to evolve into a policy that assists each Risk Management department. In this proposal we will develop a system to evaluate enterprise and financial risk. However, Due to the fact that there are two models that are inconsistent we will have to figure out ways to work together to get on the same page to reduce confusion and getting the job done. In this proposal I will illustrate how to use the ERM Framework to address risk, will discuss how to support the Insurance Marketing Process.Also I will discuss how to evaluate â€Å"Risk Bearing† and â€Å"Risk Sharing† activities, and how to assist in implementing a Workers' Compensation program that is fair and equitable. Developing a process to identify organizational risks will assist management in determining what risks can impact strategy and the achievement of organizational goals. Some of the same methodologies used to identify risks i n conventional risk management programs can be deployed in an ERM program and include both formal and informal methods. (Youngberg, 2011).A successful enterprise risk management (ERM) initiative can affect the likelihood and consequences of risks materializing, as well as deliver benefits related to better informed strategic decisions, successful delivery of change and increased operational efficiency. To use the ERM Framework to address risk, I will follow the 5 steps that organization uses to develop and implementing the ERM programs. Which is Identify and engage an executive-level champion, for any organization there should be someone in charge to make decision about certain policies or project.This will reduce migration and everyone will be in the same page. Second is to select a steering committee and working task force. â€Å"The benefit of the steering committee is to develop a timeline for program development. The committee meets quarterly to review and also to approve proj ect, receive status reports on existing project and to review strategic plan for organization†. (Youngberg, 2011). Third is to Review strategic plan for organization, which means organizations should be aware of the work strategic direction.You can’t be a team leader without knowing what’s your organization plan is. As stated in the course text: the strategy plan should be reviewed with the steering committee and the working task force to ensure that the goals and objective are clearly stated that ERM program support the existing plan, and that conflict do not arise† (Youngberg, 2011). Fourth is to Identify and review current risk-identification tools. Which mean the working task force should review all existence methods to identify risk.These methods may be internal or external to the organization and may be formal or informal. Last but not least, â€Å"the organization should be compile and share resource lists and reference materials, and identify subje ct-matter experts. For example, the working task force will be responsible for compiling the reference materials in an online library for easy reference†. (Youngberg, 2011). Also follow the surveys and risk interviewing method. To support the Insurance Marketing Process is to understand the steps and to have a better understanding of how the process works.What I would do is before beginning the marketing process with another organization I would find out what are the objectives and strategies for transferring risk to the commercial-insurance market place. We both should come together with an agreement and be aware of the current risk-financing plan before the process. Also to identify and analyze potential insures. If I have to choose whose will be my potential insurer, this candidate should meet all of the organizations objectives. It’s also my responsibility to collaborate with other potential organizations and which candidates will the best carrier to do business wit h.The steps that will be taking are: â€Å"Organizations should be reviewing exiting financial plan, identify potential markets, collecting data and lose information, reviewing loss forecast and prepare analytical summaries, developing program options. Finalize submission, submit to market, meet the underwriters, obtain quotations and perform comparative analyses, negotiating place policies and monitoring results and relationship†. (Youngberg, 2011). According to health affairs articles, Balancing Risk Bearing and Risk Sharing is a system that is entirely risking bearing.The primary purpose of a cost-allocation system is to encourage participation in risk management programs, reduce overall costs and the frequency and severity of losses, and share proportionately in the cost of the program. The easiest way to achieve this is by allocating the costs to the parties that generate them. A risk-sharing system allocates all medical liability costs in proportion to each departmentâ €™s exposure. The proper allocation system for most organizations lies somewhere between these two extremes. (Youngberg, 2011).The number of risk-sharing arrangements between health plans and providers grew rapidly. More recently, however, there is evidence that plans and providers in some markets are losing interest in developing new or continuing existing risk-sharing arrangements. Several factors appear to be contributing to this change: the financial instability of risk-bearing organizations; consumer and provider backlash against managed care; and an increasingly restrictive regulatory environment, which may extend to plan-provider contracting arrangements. (Marsha R.Gold. 2003). Risk sharing is attractive on several fronts. For plans, it provides a mechanism for controlling costs; for providers, it preserves their autonomy by shifting to them responsibilities for managing service use, costs, and quality. However, it also has a down side, particularly if the amount of risk transferred is large or payments are not commensurate with expected costs. (Kleffner, A. Drohetrty, N. 1996) Many provider organizations have little experience managing risk and lack the necessary infrastructure to manage it effectively.If the degree of risk transferred to providers is more than they can absorb, their continued viability, as well as that of plans with whom they contract, may be jeopardized. This in turns raises the likelihood that the level and quality of care available to enrollees could be negatively affected. (Marsha R. Gold. 2003). Base of what the most important factor to evaluate Risk Bearing† and â€Å"Risk Sharing† activities is whomever created the risk should be encouraged to participate in risk management cost and activities.From my perspective, worker’s compensation can be defined as all of the rewards earned such as direct financial compensation consisting of pay received in the form of wages, salaries, bonuses and commissions provid ed at regular and consistent intervals. Indirect financial compensation including all financial rewards that are not included in direct compensation and can be understood to form part of the social contract between the employer and employee such as benefits, leaves, retirement plans, education, and employee services.Non-financial compensation referring to topics such as career development and advancement opportunities, opportunities for recognition, as well as work environment and conditions by employees in return for their labor. In determining effective rewards, however, the uniqueness of each employee must also be considered. People have different needs or reasons for working. The most appropriate compensation will meet these individual needs.To a large degree, adequate or fair compensation is in the mind of the employee. A good compensation strategy includes a balance between internal equity and external competitiveness. Compensation and benefits affect the productivity and happ iness of employees, as well as the ability of your organization to effectively realize its objectives. It is to your advantage to ensure that your employees are creatively compensated and knowledgeable of their benefits. (Gomez-Mejia, L. , & Wiseman, R. M. 1997). ConclusionDeveloping a process to identify organizational risks will assist management in determining what risks can impact strategy and the achievement of organizational goals. There several tools to follow when working as a team, the two most common method is used in ERM program are surveys and risk interviews. If we’re going to work as a team we have to open-minded and be responsible and thoughtful. Communication is the key to be successful in a organization. Also following the five steps of developing and implement an ERM program can help an organization moves forward.

death of a salesman Essay - 821 Words

An excellent father will make every effort to constantly do what is best for his family. He will put his needs last, ensuring that his family is well cared for and not lacking for any necessities. And, most significantly, a first-class father will make his family his main concern, coming before his job, his friends, or even himself. In Arthur Miller’s Death of a Salesman, Willy Loman is a prime example of a horrific father in every way mentioned previously. Not only is Willy Loman not a good father and spouse, but he furthers his failure by being a typical anti-hero and by failing to accomplish the American Dream. There for I believe the play is not necessarily what Miller and Kazan perceive it to be. Here I will be discussing Willy†¦show more content†¦Furthermore, Willy is unable to admit his faults. His pride is so great that he even lies to his own family, borrowing money weekly and then saying it is his salary. He tried, in the past, to justify his affair with a strange woman when caught by Biff. He will not admit that he has made mistakes, for he will not sacrifice his pride. In all respects, Willy has failed to be a good father, or even a father of mediocrity. Instead, as a father, he is a pathetic and selfish failure, which is furthermore defined in every other aspect of his life. nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;nbsp;Moreover, Willy is a textbook example of an anti-hero. He has never been successful, even in his prime, yet lives in a daydream of the â€Å"good old days†, refusing to accept reality. The reader therefore strives not to be like the protagonist, but rather, unlike him. He is not respected, even by his sons, and most frequently is disregarded by those around him. Even at his funeral, the only people who attend are his wife, his two sons, and his neighbor, Charley. He never achieved t he love of those he interacted with, never gained any honor, and completed his life as a failure, never gaining success in business or in life. Any reader would desire to be,Show MoreRelatedThe Death Of A Salesman1496 Words   |  6 PagesIntroduction Today, the play The Death of a Salesman is celebrated in many theatres. The play is regarded as one of the finest dramas of American theater play. It was written in 1949 by an American playwright Arthur Miller. After the play was produced, it was first opened at the Morosco Theatre and starred Lee J Cobb as Willy Loman, Cameron Mitchell as Happy, Mildred Dunnock as Linda, Howard Smith as Charley and Arthur Kennedy as Biff. The play has been revived on Broadway four times and won manyRead MoreThe Death Of A Salesman857 Words   |  4 PagesSome stories have stood the test of time. These stories are relatable are leave readers feared perplexed. Oedipus the King is the tragic story of a man whose figurative blindness at a young age lead to his literal blindness at an old age. The Death of a Salesman converts this to a modern society of a man who just wants to do good for his family but doesn t see the effect of his actions. Although 2400 years separate these stories, readers can still relate to both the same. The genre of tragedy is interpretedRead MoreDeath of a Salesman990 Words   |  4 PagesDiscuss â€Å"Death of a Salesman† as a film. How could this film be more film-like? The well known late 1980’s play Death of a Salesman was beautifully crafted and opened my mind up to the reality of some people’s fantasies. When I first began to watch the play, I had immediately noticed that it was a play and not a movie. Usually in a film, there is a hero, heroine, climax, something they are fighting for, and usually (nine times out of ten) a happy, heroic ending. This movie included none, atRead MoreDeath of a Salesman606 Words   |  3 PagesWilly Loman: Victim of the American Dream Arthur Miller’s Death of a Salesman tells the tale of Willy Loman, a man who falls from the top of the capitalism system in a resonant crash. Being controlled by his fears of the future, and stuck in his memories of the past, Willy fully contributes to his self-victimization by putting little blame on his own mistakes. Although Willy is perceived as selfish, it is important to see that he is misguided. His character is one of a common man, he has neverRead MoreThe, Death Of A Salesman909 Words   |  4 Pagesdesire to be the breadwinners of the family, wish to achieve only success, become unemotional and might take dangerous risk to prove manhood. Many feminist novels, plays or short stories such as Frankenstein, â€Å"A Dollhouse†, â€Å"Yellow Wallpaper†, â€Å"Death of a Salesman† showcase the ill effects of gender roles. Women had to fight to have the same advantages and opportunities that men possess. Before modern times, many people would believe that a woman s place is in the home but now it is common for the modernRead MoreThe Death Of A Salesman1024 Words   |  5 PagesVictoria Gutierrez Professor Gilbreath Drama 10 6 April 2015 1026 Words The Death of A Salesman San Joaquin Delta College presented Arthur Miller s Death of A Salesman on Sunday the twenty-second of March at 2 o clock in the afternoon. This play is about a young man and his father coming to terms with the past and their futures. Willy Loman, an old salesman, is dealing with both financial and health difficulties. He is put under even more pressure when his unsuccessful son, Biff, returnsRead MoreThe Death Of A Salesman859 Words   |  4 PagesThe Death of a Salesman is a heart-wrenching story of a man named Willie, and his fight for economic freedom. The story takes place in 1931, and it starts off with Willie’s faint memory of his father, who was a flute maker and a salesman. Willie is a sixty three-year-old salesman who has work his entire life to achieve the common goal of the American Dream. Nevertheless, while trying to achieve economic freedom he ends up becoming trapped in the process. Willie in a lot of ways, died before his carRead MoreDeath of a Salesman915 Words   |  4 PagesDefine The American Dream. In what way does Death of a Salesman point out the hopelessness of chasing this dream? Are there any rewards? The idea of the American Dream is truly subjective. To some, it is living in the lap of luxury in all aspects. To others, it is a chance at a better brighter opportunity for themselves or their families. Arthur Millers Death of a Salesman portrays the promise of the American Dream in the form of opportunity, freedom, success and wealth; the ability to acquireRead MoreThe Death Of A Salesman995 Words   |  4 PagesHope Miller’s play, The Death of a Salesman (1949) was about a family, and their struggles for the American dream. The family composition was not unlike that of an average family, a mom, a dad, and two children. Mom, Linda, tended to the house, oversaw the finances, as well as the lives of the remaining family members. Dad, Willy, supported the family as an on-the-road salesman. At first, Willy’s outbursts were confusing, but as I read the outbursts began to unfold the meanings buried in the storylineRead MoreDeath of a Salesman1187 Words   |  5 PagesDeath of a Salesman There are some who would argue that it is precisely the ultra-capitalist mentality of individuals like Willy Loman that has propelled the American Economy to global dominance, but Arthur Miller’s classic work â€Å"Death of a Salesman† begs the question: at what cost? What does it do to a person, this desperate need to â€Å"be number one man?† Each of Willy’s sons draw a different lesson from his life and their assertions about how one should live offer a compelling choice for modern

The Leadership Of Paul. Megan Wygocki. Chst 4312 †N1.

The Leadership of Paul Megan Wygocki CHST 4312 – N1 29 Mar 2017 Worldly speaking multiple terms used to describe leaders do not always paint a beautiful picture. In every aspect of our modern culture, we have people that lead in a variety of roles, however without the fortitude that we see in those of biblical leaders. With words such as tyrant, overbearing, unfair to soft spoke, push over, or domineering leaders have rarely been praised instead the topic of gossip and news publications. In addition, countless times leaders are misunderstood, and at times lacking the skills needed to lead well. However, this is not the case when we begin to turn to the leaders of the Bible. Within the word, we meet people that lead with†¦show more content†¦Before leaving on his mission, he went to the high priest and asked for â€Å"their cooperation in the arrest of any followers of the Way he found there. He wanted to bring them—both men and women—back to Jerusalem in chains.† Even in his early years, Paul followed the rules and w e see this characteristic in him as a leader later in life. After his conversion on the road to Damascus, the light of Jesus transforms Paul’s life. From that moment forward, we see Paul begin to study the word, live with the rabbis, and partner with people that were spreading the gospel. Throughout Paul’s missionary journeys, we see the impact that this time of his life had on his work and relationships with other people. Overall, Paul’s years serving in the Roman Empire opened his eyes to the plight of the Christian people and softened him for the work the Lord had called him to do. Throughout the Pauline letters, we see the effectiveness of Paul’s leadership skills. Within the letters, he wrote and those others wrote about him, we see a leader that is encouraging and motivating. Praising the Lord through the good seasons and the bad, Paul shares the value he held for family and unity to

Eating Disorders and Image Essay - 1769 Words

Eating Disorders and Image As humans on this planet we often think about what others think about our appearance. We often, in this society, look at a person through their characteristics such as: looks, height, clarity of skin, and by how fat or thin one appears to be. In the article, The Diet Zone: A Dangerous Place, by Natascha Pocek, she states the fact that, in this society, we put a lot of emphasis on diets and appearing thin. From when we are children we tend to change our views according to the ways of man, and find ways to stay fit or to lose weight. With this constant loss of weight we tend to get into a hole of wanting to be thinner, and in my opinion that want leads to the attempts of so many girls developing some†¦show more content†¦Also, when a product says diet on it many people think it means that they can eat more, so then they do not lose any weight. There are thousands of people who feel they are fat. They believe they have to lose an abundance of weight in order to be apprec iated by others. These people go on crash diets and may even end up starving themselves or making themselves throw up. The people that make themselves throw up do so because they feel that when they eat, if the food stays inside their body, they will become fat, so they throw up what they eat or a majority of their intake. Eating disorders and dieting happen due to the image that people feel they have to fulfill. Ideas of dieting are received through what some see on television, and also by the people they see getting along with well with others. This goes according to what Pocek states, in paragraph 7, about the products that we see in a supermarket that have diet written all over them in nearly every isle. She is saying that these products advertise good results when in reality they are an extremely unhealthy way for people to lose weight. The struggle comes from within, telling the person that they are not good enough and that they have to try harder if they want people t o like them in the way that they want to be liked. We, as people living in the United States, become very self-conscious and people pleasers.Show MoreRelatedBody Image And Eating Disorders1375 Words   |  6 PagesBody Image and Eating Disorders Females and males are both under pressure to conform to societies idea of beauty. Women feel pressure to be thin, big chested, while men feel the urge to be lean and muscular. Society portrays these images of thinness and muscularity through media, magazines, and even toys. These images can have an impact on peoples body images, which can lead to eating disorders such as Anorexia nervosa and Bulimia nervosa. Body Image is the way you see your body, and how you feelRead MoreEating Disorders And The Body Image1573 Words   |  7 Pagesmaintain a perfect physical body image in hopes of receiving approval, love, and happiness. The need to maintain this perfect image is supported by society and the media with a mirage of messages that you can be happy if you obtain this perfect image. Society s ideals of what the human body should look like have caused numerous people to develop abnormal eating patterns in a contempt to conform and seek society s approval of their body image. An eating disorder is an ailment that causes severeRead MoreEating Disorders And Body Image Essay1115 Words   |  5 PagesKarlye Weber AMST 3723 Dr. Carreiro 15 November 2016 Typically when covering the topic of eating disorders and body image dissatisfaction athletes and young women are the center of research and are stereotyped to be the only groups of people who suffer from self-image issues. In â€Å"The Hidden Faces of Eating Disorders and Body Image,† authors Justine Reels and Katherine Beals look to breakdown the stereotypes and dig deeper into the issues that cross over the borders of ethnicity, age and genderRead MoreBody Image And Eating Disorders Essay1531 Words   |  7 Pagesexpectation, and yet our young women are expected to emulate this image. The result of such pressures can prove to be too much to handle and young women often resort to pathogenic dieting and experience body image and eating disorders. The increase in mental health disorders associated with body image in teen girls attributed to the unrealistic standards set in magazines targeted toward young women, therefore magazines need to use images that reflect the realitie s of the target audience and should notRead MoreEating Disorders And Body Image1613 Words   |  7 Pages Eating disorders and body image Cenia Xu Father Michael Mcgivney Catholic Academy Effects of Eating disorders have on teenagers Every day, teenagers are surrounded by different messages from different sources that impact the way they feel about the way they look. For some, poor body image is a sign of a serious problem: an eating disorder. Eating disorders are not just about food.The eating disorders containRead MoreEating Disorders, Body Image Gender Essay1721 Words   |  7 PagesRIGHTS (HE6) ASSIGNMENT EATING DISORDERS, BODY IMAGE GENDER Submitted to: Dr. Sivakami Muthusamy Centre for Health and Social Sciences School of Health Systems Studies, TISS, Mumbai. Submitted by: Pallavi Muraleedharan Enrollment Number: M2015HE018 Master of Health Administration (2015-17) Tata Institute of Social Sciences, Mumbai Date: 16/08/2016 INTRODUCTION Eating disorders, body image and gender remain as a very complex interlinked web. Eating disorders affect people from all demographicsRead MoreEating Disorders And Body Image Issues1655 Words   |  7 PagesEating disorders: noun. A group of psychological ailments characterized by intense fear of becoming obese, distorted body image, and prolonged food refusal (anorexia nervosa) and/or binge eating followed by purging through induced vomiting, heavy exercise, or use of laxatives (bulimia nervosa).These ailments are not pretty. In this society, where only the fit and thin bodies are accepted and appreciated, eating disorders are more common than they should be. Children, starting at a young age, seeRead MoreEating Disorders and Negative Body Images662 Words   |  3 Pagesfaced with eating disorders and negative body images everywhere they go. Celebrities promote unrealistic standards and display what the â€Å"acceptable† body is. Because of our stick thin role models we hav e in the media today much of our society holds their own body image to the unobtainable standards of celebrities. People are bombarded with images of what’s â€Å"sexy† instead of what’s healthy (Helmich). In a world based around celebrities and media, shouldn’t they be promoting a healthy body image insteadRead MoreEating Disorders And Body Image Issues2801 Words   |  12 PagesIntroduction Eating disorders (ED) and body image issues are increasingly becoming more and more common among women in Western societies (Stice, 2002). Over the past couple years the prevalence of bulimia nervosa (BN) and has steadily increased, 3 out of 100 women that are now diagnosed with the disorder (Botta, 1999; Hesse-Biber et. al, 2006). This brings into question wether it is in fact BN that is increasing, our awareness or the rising numbers of other comorbid disorders in Western societiesRead MoreBody Image, Eating Disorders and Advertising3063 Words   |  13 PagesBody Image, Eating Disorders and Advertising Body Image, Eating Disorders and Advertising We have all heard, â€Å"you are what you eat†; however, and maybe more importantly, you want to be what you watch or read. How does today’s advertising impact on your body image? The shaping of our concept of the ideal body image begins at a young age and continues though adulthood. It begins with our toys; that first Barbie you received on your sixth birthday; the one with the long blond flowing hair

Business Strategy Evaluation free essay sample

Its fight to survive in the early 1990s saw the airline restyle itself to become Europe’s first low fares, no frills carrier†¦The new formula effected a turnaround in the fortunes of the company, and by 1997, the company was floated in an IPO on the Dublin Stock Exchange and on Nasdaq†¦In 2002, the company was admitted to the Nasdaq-100† (Johnson et al. , 2005, p. 834). 1. 0 Introduction When you hear the name Ryan Air two things come to mind: the no-frills airline and its flamboyant CEO, Michael O’Leary. The story of rise and glory of Ryan Air is also the story of rise and glory of its CEO. How did Michael O’Leary transform Ryan Air, a loss-making airline to a profitable and Europe’s largest low fare airline? This report will try to answer this question. More importantly it will also analyse in detail what strategy Michael O’Leary applied to achieve this great feat. We will write a custom essay sample on Business Strategy Evaluation or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page Critical evaluation of the strategy Ryan Air applied will highlight the strategy paradigm it followed based on the strategic models of Porter’s five forces. It also aims to investigate the internal environment (strengths and weaknesses) and external environment (opportunities and threats) of Ryanair in the 21st century. This report will also take us through the challenges aviation as a whole faces in the 21st century and Ryan Air in particular as it learns from the challenges it faced and success it had through it’s competitive advantages. This report concludes with some observations on strategies Ryan Air developed and applied, and the future course of action it will probably follow to maintain its winning ways. Ryan Air will hereafter be referred to in one word ‘Ryanair’ as it is the more common usage in the public domain. 1. 1 Airline Industry: Two Major Trends A ‘full-service’ airline like British Airways (BA) or Aer Lingus is designed to serve passengers from almost any place, that is, point A to any destination, that is, point B. They employ a ‘hub-and-spoke’ system centred on major strategically positioned airports and/or countries to reach many as well as distant destinations and serve passengers with connecting flights. They attract passengers who desire more comfort by serving them with first-class or business-class service. They treat such passengers with a wide variety of facilities at air-ports and on onboard to ensure their comfort and interests. At air-ports they accommodate them in luxury lounges and onboard they treat them with in-flight entertainments. They also assist their passengers with flight connections and baggage transfer facilities. Full-service airlines serve in-flight meals to their passengers as most of these flights involve long distance travel covering many hours. Passengers who travel in First-class and Business-class pay high amount for their tickets in comparison to those travelling in other classes. These passengers are often called as Economy-class passengers. They, however, get services mentioned above but of a lesser degree/choice and comfort. Full-service airlines have routes and destinations that are long as well as short and sometimes with multiple points in a single journey known as stop-over. British Airways, for example may fly to Beijing with a stop-over in Mumbai or Hong Kong. No-frills airlines, in contrast, tailor all its activities to deliver low-cost, convenient service on its particular type of route. Their fast turnarounds enable them to keep aircrafts flying for longer hours than full-service airlines and enhance frequent departure plans with fewer aircrafts. They do not offer meals, assigned seats, interline baggage checking, or premium classes of service. They more often than not engage in e-ticketing which helps them bypass travel agents and hence save commissions to them and other administrative costs of staff and documenting, etc. No-frills airlines purchase fleets of aircrafts that are standard size and custom made for their short-haul journeys with little extras other than the basics required for safety and security enabling them to benefit a huge cut in price unit of aircraft procured. No-frills airlines’ strategy is to attract customers/passengers by providing them alternative travel facilities to what is provided by full-service airlines at a low cost and make profit for them by removing carefully extra expenses and by maximum use of aircrafts and services at their disposal. Ryanair is a no-frills low fare airline in its most accomplished form. 2. 0 Ryanair-The â€Å"Southwest† of European Airlines 2. 1 History Ryanair was founded in 1985(www. ryanair. com) as an alternative to the existing carrier Aer Lingus especially to serve Irish migrants who are in the British Isles. It was launched as a full-service conventional airline (Johnson et al. , 2005, p. 834). When it struggled to make profit transformation and new strategic approach became a necessity to survive. Change and new strategic positioning were introduced. It followed the example of the Southwest airline of Texas, USA. â€Å"Southwest Airlines Company, for example, offers short-haul, low-cost, point-to-point service between midsize cities and secondary airports in large cities. Southwest avoids large airports and does not fly great distances. Its customers include business travellers, families and students. . Southwest’s frequent departures and low fares attract price-sensitive customers who otherwise would travel by bus or car, and convenience-oriented travellers who would choose a full-service airline on other routes† (Susan 2002, p. 77). 3. 1 Strategic Positioning Strategy, according to Chandler is (Chandler, 1962 cited in Segal-Horn Susan 2002, p. 11) 2the determination of the basic long-term goals and objectives of an enterprise and the adoption of courses of action and the allocation of resources necessary for those goals. Ryanair, in the face of failure, took a new course of action. It survived and grew in its sector in spite of problems. 3. 2 Ryanair’s Objective Ryanair’s objective is to firmly establish itself as Europe’s leading Low-fares scheduled passenger airline through continued improvements and expanded offerings of its low-fares service. Ryanair aims to offer low fares that generate increased passenger traffic while maintaining a continuous focus on cost-containment and operating efficiencies in order to make profit, for true strategy â€Å"is the direction and scope of an rganization over the long term, which achieves advantage in a changing environment through its configuration of resources and competences with the aim of fulfilling stakeholder expectations† (Johnson et al. , 2005, p. 9). Ryanair, with its new beginning in the 1990s as Europe’s first low fare airline initiated a multidimensional marketing strategy to face off stiff competition it had from other airlines. In 1997, Ryanair gained competitive position in the airline market as it overtook Aer Lingus as the number one carrier on flights between the Republic of Ireland and the UK (Johnson et al. , 2005, p. 35). Time factor was used as a strategy as it maintained its position as the most punctual airline between Dublin and London. Because of innovations and new strategies Ryanair, (according to www. ryanair. com) has become the third largest airline in Europe in terms of passenger numbers and by 2005 it had 600 scheduled short-haul flights per day serving 107 locations throughout Europe, including 24 in the U. K. served by a fleet of 90 aircrafts most of them Boeing 737-200 and 800 (http://sec. edgar-online. com-Ryanair) Ryanair Passenger Growth in Millions (www. ryanair. com) 3. 3 Critical Success Factors In order to position itself in the market and continue to grow Ryanair drew up a passenger charter in 2003(Johnson et al. , 2005, pp. 838-839) among the key factors highlighted lowest fare was a priority. Michael O’Leary took it up as a challenge. At the same time they concentrated on making profits. They aimed at having point-to-point short-haul flights (The goal of Ryan air is to meet the needs of travelling at the lowest price. The Critical success factors (CSF) Ryanair followed are: the lowest prices, reliability, comfort and service, and frequency. 4. 0 Porter’s Principles and Ryanair 4. Cost Reduction Strategy Ryanair’s low fares are designed to stimulate demand. Like all low-fare airlines Ryanair kept its price low targeting fare-conscious leisure and business travellers who might otherwise have used alternative forms of transportation or would not have travelled at all. According to Michael O’Leary (Johnson et al. , 2005, pp. 843) â€Å"Any fool c an sell low airfares and lose money. The difficult bit is to sell the lowest airfares and make profits†. To achieve its goal of having competitive positioning the airline market, Ryanair uses a cost reduction strategy. Cost reduction strategy relies on five main aspects like fleet commonality, contracting out services, airport charges and route policies (judiciously chose secondary regional airports, made special deals), managed staff costs and productivity (modest salary but performance related pay structure/incentives) and managed marketing costs (Johnson et al. , 2005). Ryanair used its website to its fullness for advertisement, even the aircrafts it flew were used for promotional purposes. Television, print media are some other mediums used for promoting Ryanair. 4. 2. Five different generic Strategies (Porter Five Forces) Ryanair practised the generic competitive strategies proposed by Porter (1980). The best applied among them are cost leadership and differentiation. â€Å"The three generic strategies differ in dimensions other than the functional differences†¦. also imply differing organizational arrangements, control procedures, and inventive systems†¦. , sustained commitment to one of the strategies as the primary target is usually necessary to achieve success† (Porter, 1980, p. 40). Ryanair applied Porter’s Generic Strategy to position itself in the market place. According to Porters, a company positions itself by leveraging its strengths. Organization use generic strategies to competitively and effectively adapt to the situation in the marketplace to enhance their competitiveness. Cost leadership, differentiation, focused cost leadership, integrated cost leadership/differentiation help the company to establish and obtain competitive advantage within a particular competitive scope. By applying these strategies three generic strategies resulted: cost leadership, differentiation, and focus (Johnson et al, 2008). The strategies used by the company include cost leadership, differentiation strategy and focused differentiation 4. 2. i Cost leadership According to Porter (1980, pp. 35-36), â€Å"Having a low cost position yields the firm above-average returns in its industry despite the presence of strong competitive forces. Its cost position gives the firm a defence against rivalry from competitors†¦A low cost position defends the firm against powerful buyers because buyers can exert power only to drive down prices to the level of the next most efficient competitor†. Ryanair always targeted to apply the lowest fare and even match competitor’s special offers (Johnson et al. , 2008, p. 839). This low price strategy kept its main rivals like easyJet at arms length. 4. 2. ii Differentiation Differentiation is based upon persuading customers that a product is superior to that offered by competitors. Differentiation guards against other competitors because of brand loyalty (Porter, 1980). Most of the low-fare airlines take great initiative to pay attention to the price factor and forget the other two. Ryanair showed their differentiation by equally emphasizing all three elements. Ryanair eliminated extras such as in-flight meals, advanced seat assignment, free drinks and other services. It still prioritises features which remain important to its target market such features include frequent departures, advance reservations, baggage handling and on-time services. 4. 2. iii Focus-differentiation Through focus-differentiation strategy Ryanair aimed at a segment of the market and targeted it with consistency. Again the risk included is imitation by competitors and changes in the target segments, i. e. area or people in the case of Ryanair. Ryanair utilized all three generic strategies. First they offered the lowest fare than their competitors; it also became focused by targeting a narrow segment which included Irish and UK business people or travellers who could not afford to fly major airlines frequently. The main goal was to stimulate demand by offering no-frills service with low fare. As passenger got attracted it took big market share and became leader by offering lowest fare in the market. This strategy was more prominent when Ryanair expanded to Continental Europe. Low fare and no-frills strategy helped it survive in the industry and repositioned itself as a low cost airline. Ryanair did not, as per Porter’s definitions, define its strategies distinctively in the first place. That was because it was the only player in the market. But when the niche market got saturated and competitors invaded the market it fought hard clearly establishing its strategic position by identifying itself. Initially it was trying to mix both focus and cost but soon it was forced to concentrate on one generic strategy as Porter himself recommends, â€Å"The three generic strategies differ in dimensions other than the functional differences†¦. lso imply differing organizational arrangements, control procedures, and inventive systems†¦. , sustained commitment to one of the strategies as the primary target is usually necessary to achieve success† (Porter, 1980, p. 40). Ryanair finally concentrated ruthlessly on cost leadership. This was a success and by 1997, Ryanair was floated on the Dublin Stock Exchange and on NASDAQ (Johnson et al. , 2008, p. 834). 4. 3 Expansion Strategy: Another factor that was paid attention was expansion of its routes to position itself in the market place. Under this strategy it acquired Buzz in February 26, 2003. Took advantage of its 11 routes and service of pilots, and made it the largest airline based in Stansted airport. In 2003 alone it opened up 73 new routes and carried over 2 million passengers in one month (July) a record at that time. The company’s website enabled it to position itself in the global market. 5. Strategic Options Strategic Positions 5. 1 Strategic Options-TQM The case study on Ryanair (Johnson et al. , 2008, pp. 832-852) highlights problems and issues faced by the airline despite strategies. One of the problems was handling customers, that is, target market. Another problem was assuring quality services. To solve this company had to adopt Total quality management (TQM). Competition in aviation industry is challenging and brisk and companies seek for strategic options that can be used to satisfy internal and external customers. TQM through its extensive strategic management procedures would keep them in the competitive business world. Customers will be satisfied and the company will maintain and expand its market share. The Total Quality Management system is customer-oriented. Hence the airline operations must be developed in order to steadily deal with the improvement of their operation through the ongoing participation of all employees in problem solving across the functional and hierarchical boundaries. To apply TQM in its fullness and bring out the desired result Ryan air management of the airline must fully accept the whole concept of the improvement, which means that all the people of the airline company must agree that there is a need for a total transformation especially for the quality of operations and services that are offered. Customer satisfaction should be the driving force and criteria for TQM and Managers who apply it. 5. 2 Strategic Positions Most of the time there is misleading perceptions regarding Strategic positions (Susan, 2002). The root of the problem emanates from the failure to distinguish between Operational Effectiveness and Strategy. According to Porter (Susan, 2002, p. 74) â€Å"Operational effectiveness(OE) means performing similar activities better than rivals perform them†¦strategic positioning means performing different activities from rivals’ or performing similar activities in different ways†. Operational effectiveness, and therefore, customer satisfaction can be achieved by programmes such as TQM. Ryanair had operational effectiveness in fine tuning their performances in many ways including TQM. However these measures alone would not bring superiority over competitors. The most common reason is imitation by competitors. â€Å"Competitors can quickly imitate management techniques, new technologies, input improvements, and superior ways of meeting customers’ needs. The most generic solutions- those that can be used in multiple settings- diffuse the fastest† (Susan, 2002, p. 6). Moreover, operational effectiveness if done without due diligence can make rivals look alike. â€Å"The more benchmarking companies do, the more they look alike. The more that rivals outsource activities to efficient third parties (often the same ones), the more generic those activities become. As rivals imitate one another’s improvements in quality, cycle times, or supplier par tnerships, strategies converge and competition becomes a series of races down identical paths that no one can win† (Susan, 2002, p. 7). Ryanair positioned itself differently from other airlines by being no-frill and low-fare airline and it strategically positioned itself from other no-frills airlines by its unique ways of operating. Lowest price, than anybody else than what others could pay, for example was one of such activity. 5. 3 Competitive Strategy â€Å"Competitive strategy is about being different. It means deliberately choosing a different set of activities to deliver a unique mix of value†, says Porter (Susan, 2002, p. 77). Ryanair, for example, offers short-haul, point-to-point service, from secondary and regional airports connecting second class cities, which helps it reduce operational costs and save time as these airports are less congested, turnaround becomes quick and it enhances higher rates of on-time departures (Johnson et al. , 2005, p. 844). One interesting aspect of business models is how difficult it is for others to imitate them. Many airlines have tried to emulate Ryanairs low cost approach. Most of their attempts have not fared well. Copying the Ryanair model apparently creates too many conflicts with the airlines established business model. Cost leadership and Cost differentiation gave Ryanair very high advantage over others. Being the leader in the market also kept them always ahead of others. 5. 4 Competitive Advantage One of the major investment costs for airlines is aircraft procurement and their maintenance. Ryanair effectively managed it by restricting itself to one main make of aircraft, Boeing and model 737-200 and 737-800, two variants of it. Their resources were used in a focused way as they could save expenses by reducing the number of engineers and other skilled workers, including pilots. By contracting out services of aircrafts to third parties they concentrated on their main service area: serving passengers. At the same time they retained quality of services and maintenance of aircrafts by keeping trained engineers at sensitive stages of this process. Ryanair was the first European low-fare airline. Being first in had the advantage of leading the way and opportunity to be first in all strategies that go with it. According to Jay Barney (De Wit and Meyer, 2004, p. 286), â€Å"A firm is said to have competitive advantage when it is implementing a value creating strategy not simultaneously being implemented by any current or potential competitors†. Being the oldest low-cost carrier in Europe, Ryanair had some advantages over its competitors. For one thing, it had the advantage of experience, and secondly, its brand enjoyed good recognition. However, after the deregulation of air travel in Europe in the late 1990s, a number of start-up airlines came up in the low-cost market. Notable among the competitors was easyJet, the discount airline set up in 1995 by Greek shipping magnate, Stelios Haji-Iaonnou. easyJet was based in Londons Luton airport and competed on some of the same routes as Ryanair (Gerry Johnson et al. , 2005, pp. 849). In 2002, with the takeover of Go, easyJet beat Ryanair to the top position as the biggest low-cost airline in Europe. OLeary declared that Ryanair would soon bounce back to reclaim its number one position. Although Ryanair and easyJet both operated in the low-cost segment and had similar operational models, there were some inherent differences between the two airlines. Besides, Ryanair made a major portion of its profits by flying to secondary airports which were a long distance away from the main cities while easyJets operated from major cities and prime airports which made operational costs very high for them. 5. 5 Strategic Capability In order to increase its market share and profit Ryan air in 2003 acquired Buzz, the loss-making subsidiary of KLM. The acquisition helped in many ways; increased its service routes, it got a high volume of passengers, more significantly Ryanair had more pilots as a result of this acquisition. It took away a potential competitor from the market enabling it to consolidate more in its service and make more profit. At the time of the purchase deal Buzz was going through a rough patch in its operations and as a result Ryanair got it almost for nothing (Johnson et al. , 2005, pp. 840). Ryanair had a robust aircraft procurement policy. First of all it had taken the bold decision to stick to one type of aircraft, Boeing 737. As Ryanair ordered high volume of aircrafts it was in an advantageous position to bargain with manufacturers and bring down the cost per unit of aircraft. It bought most of its planes in the years that followed the 9/11 disaster when airline industry was in total decline and manufacturers were struggling to sell planes. Ryanair took full advantage of the windfall. As a result of this massive acquisition Ryanair was left with a large fleet of modern and new aircrafts. Most of them were always operationally ready. Maintenance cost was at its minimum and it will continue to be like that for many more years. Operational cost per passenger came down dramatically enabling it to make huge profits. Other competitors who on the other hand had a fleet of mixed aircrafts had lot of costs. EasyJet, for example, had to spend a lot more to train its pilots for its aircrafts various types and making. Ryanair controlled its promotional and advertising costs to very minimum. It used its website, newspapers and televisions for advertising. Even the externals of aircrafts were used for advertising purposes. In January 2000, Ryanair launched its www. ryanair. com website. Money which was spent on office staff and agents’ commission were saved. Ryanair did 95 percent of its bookings through its website saving millions of pounds for the company (Johnson et al. 2005, pp. 845). 6. 0 Conclusion Ryanair has made a big turnaround after its re-launch as no-frills airline. Since then it has made profit upon profit and gave good customer service to passengers. (www. ryaniair. com) It is known for its on-time departure records as well as maximum use of flying hours per aircraft. All these factors brought in good dividend to the company and its stakeholders. In spite of all these, Ryanair had faced challenges in the last ten years. Especially in 2004 it had lost it stock market value (Johnson et al. , 2005, pp. 832-834). It lost too many court cases and a huge amount was paid as fine and compensation after losing court battles and paying up grieving customers. Ryanair came often into conflict with European Union (Johnson et al 2005, pp. 834). Its efforts to buy archrival Aer Lingus was rebuked; Ryanair’s most successful and high profile CEO, who is praised in most quarters of airline industry for his extraordinary achievement, is the talking point in the corridors of power for not so praiseworthy reasons. He is made a public debate, becoming at the same â€Å"arrogant pig† and â€Å"messiah† (Johnson et al. 2005, pp. 852). A commendable job done is marred by the way The CEO comes across in the public. Observations Ryanair is strategically positioned to continue to grow and make profits. However, macroenvirornmental situations may slow down this upward growth. Strategies which will bring in more synergies such as reducing number of flights from locations where seat filling is less by better coordination and consolidation of external and extra activities will help in this sluggish time. An important concern for the whole airline industry at the moment is the rising price of fuel. A price hike which does not show any end in sight has been set off by issues that are beyond the sphere of the industry. Ryanair has to become more customer friendly and environmentally responsible airline. It needs to draw up yet another strategic plan for the future where sustainable management and sustainable strategy can be put into operation. Ryanair needs a â€Å"sustainable strategic management (SSM)†¦strategic management process that are economically competitive, socially responsible, and in balance with the cycles of nature† (Stead and Stead, 2006, p. 36). Given the complexity of today’s business environment, it is imperative for strategic managers to develop environmental scanning cultures within their organizations. Determining environmental opportunities and threats should result from the collective wisdom of the firm’s stakeholders. Successful sustainable strategic management requires that opportunities and threats be identified, and it requires that they be analyzed in terms of the underlying assumptions on which they are based†.