A Project on Ipl.

A PROJECT REPORT ON MARKETING STRATERGIES OF INDIAN PRIMIER LEAGUE (IPL) SUBMITTED BY BHAVIK K. SANGHVI THIRD YEAR OF BACHELOR OF MANAGEMENT STUDIES (V-SEMESTER) PRAHLADRAI DALMIA LIONS COLLEGE OF COMMERCE & ECONOMICS, MUMBAI – 400 064 TO THE UNIVERSITY OF MUMBAI IN PARTIAL FULFILMENT OF BACHELOR OF MANAGEMENT STUDIES ACADEMIC YEAR 2011-2012 DECLARATION I, Bhavik K. Sanghvi student of T. Y. B. M. S. Prahladrai Dalmia Lions College have completed the Project on Marketing Strategies of Indian Premier League For the Academic Year 2011-2012. The information given in this project is true to the best of my knowledge.Bhavik K. Sanghvi CERTIFICATE I Prof. Dr. A. M. Bhende hereby certify that Bhavik K. Sanghvi student of T. Y. B. M. S. PRAHLADRAI DALMIA LIONS COLLEGE OF COMMERCE AND ECONOMICS has completed the Project on MARKETING STRATEGIES OF INDIAN PREMIER LEAGUE for the Academic year 2011-2012. This information is true to the best of my knowledge. |Signature of |Signature of Princ ipal | |Project Co-ordinator | |ACKNOWLEDGEMENT First of all I would like to take this opportunity to thank the Mumbai University for having projects as a part of the B. M. S. curriculum. Many people have influenced the shape and content of this project, and many supported me through it. I express my sincere gratitude to Prof. Dr. A. M. Bhende for assigning me a project on MARKETING STRATEGIES OF INDIAN PREMIER LEAGUE, which is an interesting and exhaustive subject. He has been an inspiration and role model for this topic. His guidance and active support has made it possible to complete the assignment.I also would like to thank my parents, my sister and my friends who have helped and encouraged me throughout the working of the project. Last but not the least I would like to thank the Almighty for always helping me. PREFACE This project is undertaken to fulfil the project work component of the B. M. S. program in the V Semester. My project guide from P. D. College is Prof. Dr. A. M . Bhende. This project shows the working style and life of employees at their workplace. It gives an insight into the employer-employee relationships prevalent in companies.It speaks about how a company should keep their employees happy by providing them quality work life. This project also gives an overview of how a Human Resource Department should function so as to retain the best of the company's human resources for the company's betterment. INTRODUCTION [pic] What is the Indian Premier League (INDIAN PREMIER LEAGUE (IPL))? The Indian Premier League, created by the Board of Control for Cricket in India (BCCI) and sanctioned by the International Cricket Council (ICC), is a Twenty20 cricket competition.It is the brainchild of BCCI vice-president Lalit Modi and is modelled along the lines of club football in Europe, which is unlike anything cricket has known in the past. The best players from around the world will not play according to their nationality but as per the market forces. Big money involved The sheer big money of the INDIAN PREMIER LEAGUE (IPL) is unprecedented at this level of cricket. The BCCI has already made close to US$ 1. 75 billion solely from the sale of TV rights ($908 million), promotion ($108 million) and franchises (approximately $700 million).Players are expected to earn close to US$1 million for a three-year contract. It's an entire cricket economy out there. Top cricketers involved There are 77 names in the competition. MS Dhoni, Ricky Ponting, Adam Gilchrist, Shoaib Akhtar, Jayawardene, Jayasuriya, Yuvraj and Hayden are some of the big names. The process The tournament is scheduled to begin on April 18, 2008 and will last for 44 days, involving 59 matches. The prize money for the league will be around Rs 13 crore (US $3million).Each team will have a pool of 16 players, of whom eight can be international and four from the Under-22 level or from the catchment area where the team is based. The governing council consists of Chairman and Commissioner Lalit Modi, Sunil Gavaskar, MAK Pataudi and Ravi Shastri, Rajiv Shukla, Chirayu Amin, Inderjit Singh Bindra and Arun Jaitley. Although it is going to be a franchise system, some foreign players have already been contracted by the BCCI to play in the INDIAN PREMIER LEAGUE (IPL). Fixtures Each team will play the other 7 teams home and away, the top four teams at the end of the group stages will go through to the semi finals.Format 8 teams 16 players in a squad INDIAN PREMIER LEAGUE (IPL) as a Product: Position in the BCG Matrix: Is INDIAN PREMIER LEAGUE (IPL) just a product now ? Is INDIAN PREMIER LEAGUE (IPL) only for money minting ? What is its position in the BCG MATRIX ? The Indian Premier League going to be held in South Africa will mainly be a television product for the Indian market and the crowd attendances will be no more than a bonus, according to a former cricket administrator. Arthur Turner says that hosting of INDIAN PREMIER LEAGUE (IPL) in South Africa is no t a coup for the country as the tournament was shifted out of India due to security reasons. It is hard to see how eight foreign teams playing 59 matches in a foreign country will capture the imagination of the South African public. Sure there will be a curiosity factor but nothing more. Durban will probably be the exception given the huge Indian community,† Sports24. com quoted Arthur, as saying. He says the INDIAN PREMIER LEAGUE (IPL) will be mainly a television product for the Indian market and the crowd attendances will be no more than a bonus, and adds that the main aim of the organisers is to ensure that the tournament takes place.Arthur compliments Cricket South Africa on assisting the INDIAN PREMIER LEAGUE (IPL) by hosting the tournament in the country as an emergency measure, which is good in the spirit of cricket. The South African economy will also benefit from the move with the hospitality, hotel and transport industries being the main beneficiaries. Also, the loca l cricket provinces and their venues will benefit financially from a staging fee for matches, he says. What is BCG MATRIX? [pic] The  BCG matrix  or also called  BCG model  relates to marketing.The BCG model is a well-known portfolio management tool used in product life cycle theory. BCG matrix is often used to prioritize which products within company product mix get more funding and attention. The  BCG matrix  model is aportfolio planning  model developed by Bruce Henderson of the Boston Consulting Group in the early 1970's. The BCG model is based on classification of products (and implicitly also company business units)  into four categories based on combinations ofmarket growth  and  market share  relative to the largest competitor. When should I use the BCG matrix model?Each product has its  product life cycle, and each stage in product's life-cycle represents a different profile of risk and return. In general, a  company should maintain a  balanced  portfolio of products. Having a balanced product portfolio includes both  high-growth  products as well aslow-growth  products. A  high-growth product  is for example a new one that we are trying to get to some market. It takes some effort and resources to market it, to build distribution channels, and to build sales infrastructure, but it is a product that is expected to bring the gold in the future.An example of this product would be  an iPod. A  low-growth product  is for example an established product known by the market. Characteristics of this product do not change much, customers know what they are getting, and the price does not change much either. This product has only limited budget for marketing. The is the milking cow that brings in the constant flow of cash. An example of this product would be a regular Colgate toothpaste. But the question is, how do we exactly find out what phase our product is in, and how do we classify what we sell?Furthermore, we a lso ask, where does each of our products fit into our product mix? Should we promote one product more  than the other one? The  BCG matrix  can help with this. The  BCG matrix  reaches further behind product mix. Knowing what we are selling helps managers to make decisions about what priorities to assign to not only products but also company departments and business units. What is the BCG matrix and how does the BCG model work? Placing products in the BCG matrix results in 4 categories in a portfolio of a company: BCG STARS  (high growth, high market share) Stars are defined by having high market share in a growing market. – Stars are the leaders in the business but still need a lot of support for promotion a placement. – If market share is kept, Stars are likely to grow into cash cows. BCG QUESTION MARKS  (high growth, low market share) – These products are in growing markets but have low market share. – Question marks are essentially new p roducts where buyers have yet to discover them. – The marketing strategy is to get markets to adopt these products. – Question marks have high demands and low returns due to low market share. These products need to increase their market share quickly or they become dogs. – The best way to handle Question marks is to either invest heavily in them to gain market share or to sell them. BCG CASH COWS  (low growth, high market share) – Cash cows are in a position of high market share in a mature market. – If competitive advantage has been achieved, cash cows have high profit margins and generate a lot of cash flow. – Because of the low growth, promotion and placement investments are low. – Investments into supporting infrastructure can improve efficiency and increase cash flow more. Cash cows are the products that businesses strive for. BCG DOGS  (low growth, low market share) – Dogs are in low growth markets and have low market share. – Dogs should be avoided and minimized. – Expensive turn-around plans usually do not help. And now, let's put all this into a picture: [pic] Are there any problems with the BCG matrix model? Some limitations of the  BCG matrix model include: †¢ The first problem can be how we define market and how we get data about market share †¢ A high market share does not necessarily lead to profitability at all times The model employs only two dimensions – market share and product or service growth rate †¢ Low share or niche businesses can be profitable too (some Dogs can be more profitable than cash Cows) †¢ The model does not reflect growth rates of the overall market †¢ The model neglects the effects of synergy between business units †¢ Market growth is not the only indicator for attractiveness of a market †¢ There are probably even more aspects that need to be considered in a particular use of the BCG model. †¢ Where can I find more information about the BCG matrix model?What is the next level of strategic management analysis? The  BCG matrix can help to find a strategy. But, what if we have 2-3 strategies and need to decide which one is the best one? The Quantitative Strategic Planning Matrix (QSPM)  model can be used to compare strategic alternatives. I have questions about the BCG matrix In case you have any questions about the  BCG matrix, you might want to submit them at our  management discussion forum. You might also be interested in reading about the  Balanced Scorecardmodel and about the  Porter's Five Forces  model.Marketing Mix of Indian premier league [pic] INDIAN PREMIER LEAGUE (IPL) – The Indian premier league has taken the cricketing world by storm. It has also got its marketing mix spot on. Read on to discover the perfection in the marketing mix of Indian Premier League Product INDIAN PREMIER LEAGUE (IPL) stands for Indian Premier League. It is a Twenty20 tourna ment started by BCCI. It is the brainchild of Lalit Modi. It started in the year 2008 and comprises the players from all over the world. A perfect blend of cricket & entertainment.It’s providing a stage for many youngsters to show their performance & profitable too to Advertisers and broadcasting channels. Price As far as the INDIAN PREMIER LEAGUE (IPL)  pricing  structure is concern, The INDIAN PREMIER LEAGUE (IPL) is predicted to bring the BCCI income of approximately US$ 1. 6 billion, over a period of five to ten years. All of these revenues are directed to a central pool, 40% of which will go to INDIAN PREMIER LEAGUE (IPL) itself, 54% to franchisees and 6% as prize money.The money will be distributed in these proportions until 2017, after which the share of INDIAN PREMIER LEAGUE (IPL) will be 50%, franchisees 45% and prize money 5%. The INDIAN PREMIER LEAGUE (IPL) signed up Kingfisher Airlines as the official umpire partner for the series in an Rs. 106 Crore’s (1. 06 billion) deal. This deal sees the Kingfisher Airlines brand on all umpires’ uniforms & also on the giant screens during third umpire decisions. Sony Entertainment Television signed a new contract with BCCI with Sony Entertainment Television paying a staggering Rs. 8700 Crore’s (87 billion) for 10 years.Place The first season of the Indian Premier League commenced on 18 April 2008 in India, and ended on 1 June 2008 with the victory of the Rajasthan Royals against Chennai Super Kings in the final at the DY Patil Stadium, Navi Mumbai. As the second season of the INDIAN PREMIER LEAGUE (IPL) coincided with multi-phase 2009 Indian general elections, the Indian Central Government refused to provide the Indian paramilitary forces to provide security, saying the forces would be stretched too thinly if they were to safeguard both the INDIAN PREMIER LEAGUE (IPL) and the elections.As a result, the BCCI decided to host the second season of the league outside India. All 59 ma tches of the second season, abbreviated as INDIAN PREMIER LEAGUE (IPL) 2, took place in South Africa. Ironically, South Africa were also scheduled to have elections doing the INDIAN PREMIER LEAGUE (IPL), however, the South African government provided adequate security for both the South African General Elections and the INDIAN PREMIER LEAGUE (IPL). Promotion When Bollywood and cricket met, the result was INDIAN PREMIER LEAGUE (IPL) and it was truly entertaining to see one’s favorite cricketer as well the Bollywood star on the same platform.INDIAN PREMIER LEAGUE (IPL) was no doubt an entertaining one. Super stars like Shah Rukh, Preity, Akshay, Katrina, Hrithik had been a source which provided a lot of glam to INDIAN PREMIER LEAGUE (IPL) promotion. To attract the cricket fans, even team-owners have started selling tickets personally. Preity Zinta, the co-owner of Kings XI Punjab and Australian pace man Brett Lee sold the tickets along with their autographs. People Indian Premi er League is mostly targeted for the younger generation youth.As the generations are very busy with their day to day work with INDIAN PREMIER LEAGUE (IPL) they get entertainment along with cricket which helps them to enjoy every aspect of the game. People are very excited towards INDIAN PREMIER LEAGUE (IPL) as this is only one game that brings different players of different countries at one platform, for which they tend to get attracted to see their favorite player perform. Some of the audiences are also attracted to see their favorite celebrity cheering for the team. Process Indian Premier League as a whole is the biggest event of the year for which months of preparation are to be done.For instance organizing the respective 8 teams who are performing for the event and the most important of all is marketing the INDIAN PREMIER LEAGUE (IPL) as it has to reach the wide range of audience globally. An arrangement of stadium where this event is going to be held is also finalized well befo re. Finally and most important of all is execution of the Event. Physical Evidence Fun, Music, Entertainment & sports, where can you find that, answer for that is INDIAN PREMIER LEAGUE. People wait for this season as they get everything in a joyful bundle.INDIAN PREMIER LEAGUE (IPL) is also the biggest platform for advertising and promoting different product or brands which is clearly viewable during the event. 1) Franchisees were auctioned 2) Auctioning the players participating in the INDIAN PREMIER LEAGUE (IPL) tournament 3) TV, radio channels, complete digital and print media has been used for advertisement. 4) Cheerleaders were one of the most important things that is talked about, they attracted huge crowd. 5) It was telecasted worldwide. 6) Locations: the venue chosen for the cricket matches was a strategic choice .This places which are named after franchisees, which helped attract people. 7) Conflicts with some media partners and some cricket boards again demanded the attent ion of people. 8) Timing: INDIAN PREMIER LEAGUE (IPL) has shown its strategic application of intellect by choosing the evening time for the matches, which made people watch game comfortably. 9) ICL: the rival ICL had been one of the reasons for the publicity and emergence of INDIAN PREMIER LEAGUE (IPL). People started comparing the INDIAN PREMIER LEAGUE (IPL) & ICL that caused the huge publicity for the INDIAN PREMIER LEAGUE (IPL) 0) Opening ceremony was one of the most amazing experience. 11) Live concerts: 12) Franchises taken by film stars like Shahrukh Khan, Pretty Zinta etc are the center for attraction, which made Bollywood stars come for the game. 13) Bollywood stars were used for anchoring and promotion of teams. For example Akshay Kumar for Delhi daredevils, Shahrukh khan for kolkata knight riders. 14) Special phrases were used made the sponsors pay more for example: for every six it was a DLF Maximum, for every special moment it was city moment of success.INDIAN PREMIER LE AGUE (IPL) ready for a 160 crore Marketing Blitz ADVERTISEMENT FOR INDIAN PREMIER LEAGUE (IPL) [pic] The fourth edition of  Indian Premier League  (INDIAN PREMIER LEAGUE (IPL)) has a number of brands trying to squeeze the most out of the cricketing extravaganza. Consumers will see numerous campaigns and product launches by many corporate giants during the 50-day tournament that kicked off in Chennai on Friday. The main sponsors on Set Max, the official broadcaster of the INDIAN PREMIER LEAGUE (IPL)-4, are said to be spending a fortune to push visibility among the bunch of advertisers.The rates are said to have touched Rs 30 to Rs 40 crore per advertiser for each sponsorship deal, while new comers wanting to associate with the tournament are said to be spending 25-30 per cent more. The broadcaster announced that it has increased the ad rates by 20 per cent this year. According to an industry source, a month back the price for a 10-second slot was Rs 6 lakh. Last year, the broadca ster had started selling its initial inventory to advertisers for Rs 5 lakh for a 10-second spot. The channel is said to have earned around Rs 300 crore from INDIAN PREMIER LEAGUE (IPL)'s first edition and around Rs 500 crore from the second.Media experts cite these as the peak months, which explain the huge number of promotions. The official broadcaster has sold a majority of its advertising inventory. Set Max holds 10 years exclusive rights for the tournament since it started in 2008. There will be hordes of advertisements and various new campaigns from different corporate giants for the INDIAN PREMIER LEAGUE (IPL)-4 that comes on the heels of the hugely successful ICC World Cup. â€Å"We are the on-air sponsors for INDIAN PREMIER LEAGUE (IPL)-4 (mobile side).We will be heavy on advertisements and there will be various new launches in the air conditioners and mobile segments during the period,† said Ruchika Batra, general manager for southwest Asia, Samsung. â€Å"INDIAN P REMIER LEAGUE (IPL) has the whole family as an audience, which has a good impact with the prime time dominance. The advertisers will definitely get the best return. Our inventory is more-or-less sold,† said Punitha Arumugam, group chief executive officer, Madison Media. Madison's major clients who are spending for the INDIAN PREMIER LEAGUE (IPL) include Godrej and Cadbury. Godrej has announced a nation-wide mass multi- category loyalty programme – the Godrej Power Play, probably the largest from the group so far since it started its brand re-building three years ago,† said Ashutosh Tiwari, executive vice president, strategic marketing, Godrej. The group will launch new products in the appliances and hair colour categories during INDIAN PREMIER LEAGUE (IPL)-4. Godrej Power Play will allow consumers to participate in the INDIAN PREMIER LEAGUE (IPL) by creating their own cricket teams, exchanging players and winning prizes during the tournament.Other brands like Onid a, too, have their plans laid out, though they prefer to play it safe. â€Å"INDIAN PREMIER LEAGUE (IPL) has become an important tournament now. Film releases are also postponed during this time of the year. So, it is difficult to be completely out of INDIAN PREMIER LEAGUE (IPL). We won't be spending heavily, but yes will be visible during the period and focus more on the AC category,† said K. Sriram, vice president, sales and marketing, Onida. Companies have also come up with INDIAN PREMIER LEAGUE (IPL) specials. Recently, German automobile giant Volkswagen unveiled a special INDIAN PREMIER LEAGUE (IPL) edition of the Vento.Volkswagen is the exclusive automotive partner for both INDIAN PREMIER LEAGUE (IPL)-4 and the next season of INDIAN PREMIER LEAGUE (IPL). According to media planners, the Internet will also be a major platform. Advertisers have become active and surely do not want to miss a single opportunity to connect with the net savvy consumers. MERCHANDISE FOR INDIAN PREMIER LEAGUE (IPL) †¢ Service †¢ About Us †¢ eBay Education †¢ Our Blog †¢ Contact Us Indian Premier League Merchandise [pic] How iStreet used eCommerce platform effectively to sell INDIAN PREMIER LEAGUE (IPL) merchandisesINDIAN PREMIER LEAGUE (IPL) and eBay Connection INDIAN PREMIER LEAGUE (IPL) or Indian Premier League has become one of the most watched and most entertaining events in India and across the globe too. The Board of Control for Cricket in India (BCCI) started it in the year 2008 with eight teams; since then, it has become more fascinating, exciting, and entertaining mega event for cricket viewers all around the world. Observing the love and franticness for this mega event, eBay India came up with an initiative to offer a unique opportunity for die-hard cricket fans.They partnered with several branded apparel companies, so that cricket fans all across the world can access INDIAN PREMIER LEAGUE (IPL) merchandise of all eight teams (Kings XI P unjab, Kolkata Knight Riders, Royal Challengers Bangalore, Chennai Super Kings, Delhi Daredevils, Mumbai Indians, Deccan Chargers and Rajasthan Royals) at a click of a button. INDIAN PREMIER LEAGUE (IPL) merchandise on offer were T-shirts, jerseys, caps, backpacks, footwear, key chains, collectibles, cheering sticks, wrist bands, and many more. How iStreetacted as a lynchpin to sell INDIAN PREMIER LEAGUE (IPL) merchandises?We, at iStreet, offer a complete eCommerce solution – right from managing inventory to imaging the products to managing product listings to shipping of products to customer service – to take away the complexities associatedwith eBay selling. In other words, we use smart and effective tools to help merchants and businesses to make the optimum use of the eCommerce platform. More importantly, we help merchants and businesses to streamline their work process related to online buying and selling activities through our expertise in eCommerce domain.Above a ll, all these help to bridge the gap of reaching attractive online marketplace like eBay, and to provide total solution to build business at eBay. How we pulled it off? We, at iStreet, realized catering to the wide interests of online shoppers, who are die- hard cricket fans, and meeting the challenge to assist eBay India in its operations was a difficult but exciting task. However being accoutered with the required resources and a vast experience of selling thousands of products online, we successfully managed to assist eBay in selling most INDIAN PREMIER LEAGUE (IPL) merchandises.This was done through product image management, catalogue pricing, listing management, and fulfillment. More importantly, key performance metrics were used in the entire process right from market assessment to implementation to achieve the desired result. Thus with its unique strategy, and smart brand and channel management, we havemade it a habit to accept newer challenges to set new milestones. FAN CLUB FOR INDIAN PREMIER LEAGUE (IPL) [pic] mig33 has tied up with five Indian Premier League (INDIAN PREMIER LEAGUE (IPL)) teams and launched dedicated mobile fan clubs for each of them.The teams are Kings XI Punjab, Chennai Super Kings, Delhi Daredevils, Royal Challengers and Deccan Chargers. With this initiative, mig33 will help teams connect with their fan base in India and abroad through their handsets. The service would enable free; access to chat rooms, instant messaging, profiles, news and photo sharing, updates and gossip are easy to navigate once downloaded. High on cricket fever Besides sponsoring Kolkata Knight Riders (KKR), Sprite has rolled out a new communication initiative for the INDIAN PREMIER LEAGUE (IPL), 2009.As part of brand’s 360- degree plans, Shah Rukh Khan, Bollywood superstar and owner KKR, Saurav Ganguly, captain, KKR, and some other members of the team including Murali Karthik and Ajit Agarkar would feature in the new campaign. The campaign links Sprit e with KKR’s no-nonsense, cut-through, competitive spirit with the tag line, â€Å"Korbo, Lorbo, Jeetbo Re† Shopping mania HomeShop18, the country’s first 24-hour home shopping channel from the Network18 Group, has launched a nationwide promotion, Sabki Jeet Pakki, to mark its one-year in business.The anniversary bash will feature a lucky draw where a customer who purchases from the HomeShop18 TV channel during the promotion period will be eligible to win exciting prizes. In addition, there are assured gift certificates worth Rs 500. It needs to be mentioned that within a year of its launch, HomeShop18 has arranged an impressive array of over 20,000 products, and boasts of a footprint in over 2,400 cities with over 25% repeat customers ARTICLE ON INDIAN PREMIER LEAGUE (IPL) YOUNGISTAN [pic] By Divya Gururaj Managing Director, MediaCom â€Å"Sports are a great window on the society† -David Halberstam, Pultizer Prize-winning author/journalistWhich brings us to our biggest sports hoopla in India – INDIAN PREMIER LEAGUE (IPL). On the back of millions of dollars, sinful player bids, unparalleled press coverage, star quotient, imported cheerleaders, was launched the INDIAN PREMIER LEAGUE (IPL) spectacle. The television ratings are big, the stadiums are packed to capacity, the team anthems jam radio airwaves & INDIAN PREMIER LEAGUE (IPL) is suddenly the biggest thing to hit India. So, does the INDIAN PREMIER LEAGUE (IPL) success reflect a changing India, or is it just fantastic marketing? Possibly, a bit of both.The INDIAN PREMIER LEAGUE (IPL) capitalises on & mirrors some emerging consumer trends & therein lies its success. n India Shining: It's now India's moment of glory & that's what our GenX believes & wants. India bidding for the world's best players, Indians captaining global stalwarts – INDIAN PREMIER LEAGUE (IPL) is an Indian takeover of cricket. Whatever the outcome of INDIAN PREMIER LEAGUE (IPL) final, it will stil l be an India win. Unlike the often stressful moments leading to disappointing outcomes of our national team versus another country, INDIAN PREMIER LEAGUE (IPL) is a total win-win for India.The Best The World Has To Offer: Unlike their parents, today's Indians are familiar with the world's best & latest. And they will not settle for less. INDIAN PREMIER LEAGUE (IPL) is just that. The best players from across the world, the cheerleaders flown in, the best brands offering customised merchandise, stadiums all spruced up, McD burgers & CCD coffee on the stands. Even the spiffy, MI3 looking, walkie-talkie toting, security guards at the stadiums are so different from the portly & bored policewallahs who would earlier herd crowds.Watching an INDIAN PREMIER LEAGUE (IPL) match live is actually a world-class experience (if you just ignore the parking hassles). Metros Going Global: Mumbai, Chennai, Kolkata are no longer about the Ghats, the Madrasis & the Bongs. The IT & ITeS boom has made our metros into multicultural, multilanguage, multiethnic, melting pots, with enough Gora presence. The INDIAN PREMIER LEAGUE (IPL) teams reflect just that. Homogeneous yet heterogeneous. Saurabh Tiwari, Manish Pandey & Harbhajan's being on the Mumbai Indians team will be giving sleepless nights to Raj Thackery & his MNS.But that's what our cities are today & that's what we have come to accept. Fast & Furious: Time is at premium & patience a forgotten virtue. For a young India, INDIAN PREMIER LEAGUE (IPL) is instant gratification. Three hours of excitement & fast-paced action. Unlike other sports, in T20 there is some scoring every minute of the game. And when there is a break in the game, the cheerleaders ensure that the crowds remain titillated & the adrenaline continues to flow. Pretty much the 2 minute-noodles-with-added-masala formula. Its time has finally come. Page 3 Is The Way To Be: In a country obsessed with Bollywood & cricket,INDIAN PREMIER LEAGUE (IPL) has just the right m ix. The star quotient in sports has never been so high. Our Bollywood team owners along with their glitterati friends have widened INDIAN PREMIER LEAGUE (IPL) from sports page to Page 3. There is something in it from everyone – from the crazy cricket addict, to his SRK obsessed girl-friend – INDIAN PREMIER LEAGUE (IPL) covers it all. The glitzy team uniforms (how can we ignore the gold & silver pads), the Hollywood inspired team names & of course, the Washington Redskins have caught a nation's imagination.In fact, cheerleading is all set to debut as the latest career option for the young, swinging Indian. Show Me The Money: Money & opulence rule. Our youngistan is obsessed by big money, bigger salaries, side money at the BPO, quick bucks on the Stock Exchange. To have is great, to have not is a non-option. INDIAN PREMIER LEAGUE (IPL) is the mother of big money. 160 players have been paid, unheard-of-dreamt-of money. And that is a big draw– we are hooked to guys with big money. Remember Harshvardhan Nawathe, the first KBC winner & how his winning episode doubled the already huge KBC ratings?Desperately Seeking Entertainment: Couch potatoes we no longer are. But so far, apart from the saas-bahu sagas, entertainment was limited to shopping, eating & cinema. INDIAN PREMIER LEAGUE (IPL) is a great new hangout, evident by the stands packed mostly with young males 15-25 years, SEC AB, having the time of their lives. The festive atmosphere created by the cheerleaders, speakers blaring the team anthems & Bollywood songs, all add to the picnic. But clearly, Indians are starved for some out-of-home entertainment. Media Maketh The Man: Our Indian idols are all created by media.Be it a Khali who emerged out of nowhere, a Prince who fell in a well, or Bhajji-Sree whose slapping is still hogging airtime. INDIAN PREMIER LEAGUE (IPL) has provided media with all the big bucks, glamour & the sleaze which makes for great PR coverage. And the 25% increased rat ings of the news channels are also reflective of an India which is lapping up sleaze, gossip & tabloid journalism. Ready For Change: At home also, the shenanigans on-field, be it the cheery cheerleaders or the bad Bhajji, are a welcome relief for soap fatigued families, evident by the high TRPs of INDIAN PREMIER LEAGUE (IPL) & the falling fortunes of daily soaps.INDIAN PREMIER LEAGUE (IPL) offered a whole new experience & India was ready to give it a try. Of course, since most of India is a single-TV home, it also shows that, finally, the males have got hold of the remote. Changed But Rooted: Comparing INDIAN PREMIER LEAGUE (IPL) & our recent debacles in hockey. Hockey through the years has remained as it was. Cricket has evolved – from tests to ODIs to 20-20s & now to league. Yet, there is heritage, tradition & familiarity. Our great grandparents played cricket & went to watch test matches (all five days of it).INDIAN PREMIER LEAGUE (IPL) is not a complete break from the pas t, yet its keeps pace with changing times. Whether the Ambanis or the Mallayas are able to milk this, their latest cow, remains to be seen. But what they & Lalit Modi have created, perhaps truly represents the pulse of a nation. And a summer to remember. Cheer Leaders For INDIAN PREMIER LEAGUE (IPL) [pic] INDIAN PREMIER LEAGUE (IPL) for more publicity got INDIAN PREMIER LEAGUE (IPL) Cheer Leaders †¦ Got great advantage but went thru a lot of difficulty and negative publicity too Article with the worst publicity by Times Of India – May 11, 2011,INDIAN PREMIER LEAGUE (IPL) cheerleader Gabriella Pasqualotto thrown out for blogging on flirtatious players Zee news â€Å"Cheerleaders in INDIAN PREMIER LEAGUE (IPL) like walking porn† WWW. SIFY. COM INDIAN PREMIER LEAGUE (IPL) cheerleader sacked for naming ‘naughty' players http://blogs. wsj. com – Mumbai Indians Cheerleader Sacked for ‘Secret’ Diary KEY FEATURES OF INDIAN PREMIER LEAGUE (IPL) [p ic] The INDIAN PREMIER LEAGUE (IPL) or Indian Premier League is a 20-20 format cricket tournament. This league was formed by the Board of Cricket Control of India (BCCI) and sanctioned by the International Cricket Committee (ICC) INDIAN PREMIER LEAGUE (IPL) has been conceived on the lines of the English premier league and NBA, where local teams with a defined fan base play against each other ? INDIAN PREMIER LEAGUE (IPL) has eight teams sold to franchises for perpetuity. These franchises can run the league in their individual styles and can raise resources from the primary market. ? SONY-WSG has bagged broadcasting rights for 10 years for US$918mn, excluding marketing for US$108mn ? The franchise amount collected is US$724mn, with each of the clubs being sold for US$67-112mn, depending on the city. A total of 59 matches were playedBROADCASTING RIGHT [pic] †¢ TELEVISION RIGHTS: The BCCI created history when it sold television rights to Sony–World Sports consortium for US$ 1. 02bn †¢ TITLE SPONSERS: On February 13 2008, Indian real estate developer DLF Universal secured exclusive rights to the INDIAN PREMIER LEAGUE (IPL) title sponsorship worth Rs 200 crore (over $50 million) for five years. Indian Premier League Vs. Indian Cricket League VS [pic] Difference between INDIAN PREMIER LEAGUE (IPL) and ICL Unlike the Indian Cricket League (ICL), the INDIAN PREMIER LEAGUE (IPL) is an official sanctioned Twenty20 tournament.Owing to its recognition by the International Cricket Council (ICC), it will enjoy a better status and international reach. Also each team has individual owners. Television Rights On January 14, 2008, it was announced that a consortium consisting of India's Sony Television network and Singapore-based World Sports Group secured the rights of the Indian Premier League. The record deal is for ten years at a cost of US$1. 026 billion. As part of the deal, the consortium will pay the BCCI US$918 million for the telecast rights and US$108 million for the promotion of the tournament.The BCCI announced that the bulk of the profit from this deal would initially go to the INDIAN PREMIER LEAGUE (IPL) franchises themselves, gradually reducing this amount over the duration of the contract. Network Ten has purchased the rights to show every game live in Australia on free-to-air television for the next five years at a cost of AU$10 – $15 million. Title Sponsorship Rights Indian real estate developer DLF Universal secured exclusive rights to the Indian Premier League title sponsorship worth INR 200 crore (over US$50 million) for five years. FranchisesThe magnitude of the Indian Premier League was confirmed when the winning bidders for the eight franchises were announced on January 24, 2008. While the total base price for auction was US$400 million, the auction fetched US$723. 59 million. The official list of franchise owners announced and the winning bids were as follows. Franchise owner and price paid Bangalore  œ Vijay Mallya/UB group – USD 111. 6 million Chennai Super Kings – India Cements – USD 91 million Delhi DareDevils – GMR group – USD 84 million Hyderabad – Deccan Chronicle – USD 107 millionJaipur – Emerging Media (Manoj Badale, Lachlan Murdoch, Suresh Chellaram and investors) – USD 67 million Kolkata – Shah Rukh Khan's Red Chillies Entertainment in partnership with Juhi Chawla and Jay Mehta – USD 75. 09 million Mohali – Preity Zinta, Ness Wadia (Bombay Dyeing), Karan Paul (Apeejay Surendera Group) and Dabur's Mohit Burman – USD 76 million Mumbai – Mumbai Mukesh Ambani's Reliance Industries Limited – USD 111. 9 million. Entertainment industry is treated as the most prominent and emerging industry in the whole world. It is growing at rate faster than any other industry in the world even in this time of recession.Indian premier league has opened the doors to the next big media move ment. India is one of the fast growing markets in the world and INDIAN PREMIER LEAGUE (IPL) and ICL has provided it with another media explosion. The current estimate of Indian entertainment and media industry are at INR 353bn ($8. 2bn). It is estimated to grow at a rate of 19 percent for the next five years. REVIEW INDIAN PREMIER LEAGUE (IPL) and ICL are two products that was able to create an impact in the marketing industry by providing services to an industry which was very hungry for products like that.Both this products created a value by offering the best entertainment possible. The definitions provided by Kotler proves right in case of this products. â€Å"Marketing is a social and managerial process by which individuals and groups obtain what they want and need through creating, offering and exchange products of value with others† -(Kotler,1991). Marketing is the most important factor for any industry. There are different ways in which different industry uses the mar keting strategy for the effectiveness of their success.Marketing is a very wide concept it starts when we think of product, then we plan, and then create the product and finally we sell the product. It uses different strategies to accrue competitive edge in the market( Porter’s,1997). This strategies are widely used in this report to understand the different kinds of approaches this companies have adopted to target the customers. SWOT and PEST analysis is used in the report to understand the macro forces that are currently active in the industry. Kotler’s and Porter’s analysis is used throughout the report to understand the marketing mix, marketing strategies and macro forces.INDIAN PRIMIER LEAGUE: THE NEXT GENERATION OF CRICKET INDIAN PREMIER LEAGUE (IPL) is expected to earn 2 billion dollars to BCCI (Board of cricket control board of India in the next 5 years. INDIAN PREMIER LEAGUE (IPL) had bring a revenue of 1200crore rupees in the first year more than doubl e the entire sports budget of India of 490crore rupees. INDIAN PREMIER LEAGUE (IPL) is considered as recession proof. Because of General elections in India INDIAN PREMIER LEAGUE (IPL) had to move to South Africa as the Government of India was unable to provide security for the event.In 2008 Set Max channel’s (SONY Entertainment) revenue market share has raised from a pre-INDIAN PREMIER LEAGUE (IPL) level of 5. 7% to 28. 8%, says the report. Its share of prime time has gone up to 29%, higher than the cumulative market share of the top nine Hindi general entertainment channels. From next year, Sony is projected to gross about Rs 650crore in advertising revenue for about 45 days of INDIAN PREMIER LEAGUE (IPL), which would be 7% of the entire estimated TV ad revenue of around Rs 9,000crore for the whole year. (http://Indian Premier League (IPL). timesofindia. indiatimes. com/articleshow/msid-3084001,prtpage-1. ms) OPENING DOORS TO THE BIGGEST MEDIA MOVEMENT [pic] ? Indian premier league created a new era of marketing sports in India. In this report I have tried to sort the similarities and difference it has with Indian cricket league. ? INDIAN PREMIER LEAGUE (IPL) is a US2bn property , it is attempt to sell cricket as a reality show ? Like England it has successfully promoted club culture in India for the first time. ? INDIAN PREMIER LEAGUE (IPL) provides a new entertainment genre which cut across borders. ? It is used as a means to promote some brands (UB group) and some consider it as an investment(e. . India cements). ? First edition of INDIAN PREMIER LEAGUE (IPL) has earned 1200crore profit that is double the amount Indian government spends for its entire sports budget. ? The market value of the teams has grown more than 300 percent this year. ? It is a concept sell. ? The main sponsor of INDIAN PREMIER LEAGUE (IPL) is DLF Teams, players and every small aspect related to INDIAN PREMIER LEAGUE (IPL) has become an INDIAN PREMIER LEAGUE (IPL) product INDIA N CRICKET LEAGUE (ICL)- THE UNDER DOG [pic] ICL or India cricket league is a parallel private cricket league runs with INDIAN PREMIER LEAGUE (IPL).It has got both versions of cricket that is 50 over and 20 over format of the game even though more emphasis is given to the 20-20 format. When started INDIAN PREMIER LEAGUE (IPL) consisted of 6 teams then by 2008 it has been increased to 8 and then in the second half of the year by 9. Board of cricket control of India considers ICL as unauthorised league and it has barred ICL players from taking part in any tournament hosted by ICC or BCCI. Indian cricket league still has its share of audience. It has got international players from almost all the cricket playing nations.It is headed by one of the legends of Indian cricket Mr. Kapildev, former captain of world cup winning team of India. ICL has got players like Brain Lara, who is considered as one among the top 3 players the world has ever produced. ? ICL is launched by Subhash Chandra in May 2007. ICL is a unique concept in cricket after Zee was not able to secure rights of the World Cup 2011. ? Subhash Chandra owns ICL unlike the eight teams in INDIAN PREMIER LEAGUE (IPL) owned by different franchises. ? ICL has more than 200 players with 9 teams in total. ? ICL investment is more than 1billion dollars in total. ICL has three event televised in a year compared to INDIAN PREMIER LEAGUE (IPL) which only have one. ? ICL has faced problems in finding grounds. ? It has generated revenue of 750 million in the first 3 years. BROADCASTING RIGHT First season of ICL was played in only one venue. The second season was more successful as ICL was able to secure three venues for 24 matches. ICL was able to telecast matches on Zee Sports and Ten Sports. Other telecasters include Geo Super in Pakistan, Astro & Telkom Malaysia, Starhub in Singapore, Showtime Arabia in Middle-East, Zee Sports in USA & Canada and Zee Cinema in United Kingdom & Europe.Global rights have been sold for US$10mn. TITLE SPONSERS: Edelweiss was the title sponsor with Rs150mn (for ten years) OTHER SPONSERS: JVC, Aircel, Vodafone and Intel were associate sponsors MARKETING MIX INDIAN PREMIER LEAGUE (IPL) 1. The production of INDIAN PREMIER LEAGUE (IPL) as a service product is exemplified by the mere volume of the production of revenue from every aspect of the game. 2. Teams, players and every small aspect related to INDIAN PREMIER LEAGUE (IPL) has become an INDIAN PREMIER LEAGUE (IPL) product. 3.Factors like material management for stadiums, players, Facilities arrangement for players, spectators, Guests, etc transportation management and allied activities require a proper management and BCCI has made all possible efforts to provide with the best facilities to everyone from spectators to players and third parties involved 4. One of the leading products in the segment. ICL Both INDIAN PREMIER LEAGUE (IPL) and ICL are having similar product. What ICL has is that, apart from the 20-20 mat ch up, ICL has also planned to introduce 50 over match by 2010. Other than that both INDIAN PREMIER LEAGUE (IPL) and ICL have similar products.INDIAN PREMIER LEAGUE (IPL) 1. The venue chosen for the cricket matches was a strategic choice of places which are named after franchisees, which helped attract people. ICL 1. In first phase ICL they only had one stadium. Now it has 3 stadiums in India, to an extend it was a barrier in attracting crowd from various places. INDIAN PREMIER LEAGUE (IPL) 1. Follows a policy of price leadership strategy. 2. It also uses premium pricing strategy. 3. Gate revenues in INDIAN PREMIER LEAGUE (IPL) are largely dependent on stadium capacity and purchasing power of city. They are expected to vary between Rs200-Rs5, 000 premium seating. 0% of tickets will go to INDIAN PREMIER LEAGUE (IPL). Internationally, most of these teams own stadiums ICL 1. Penetration pricing 1. Uses all medium of advertisement it includes TV, newspaper, internet, billboards etc. 2. It follows the princIndian Premier League (IPL)e of controversy marketing. Marketing controversy either way, the end result is unparalleled coverage; residual awareness of your product, which later most definitely translates into brand recall, and even sales. 3. Live concerts. 4. Uses film stars like Sharuk khan, Akhsay Kumar etc for promotion. 5. Grant opening ceremony. 6. Worldwide telecast. MARKETING ENVIRONMENTThere are several actors and forces present in the industry that determine the fate of the product, INDIAN PREMIER LEAGUE (IPL) and ICL is no exception to this. We can classify those macro forces mainly into 6 groups 1. Demographic environment 2. Physical environment 3. Economic environment 4. Technological environment 5. Socio-cultural environment 6. Political and legal environment (Marketing management 12th edition(12e) by kotler and keller page numer-27) I have used two variables in SWOT analysis to understand the macro environment that is OPPUTUNITIES and TREATS and to understand the micro environment STREGTH and WEAKNESS is used.SWOT ANALYSIS STRENGTH ? INDIAN PREMIER LEAGUE (IPL) is based on the 20-20 format of cricket which would be completed within 3 hours. It is fast-paced and exciting, and more over it can be played in weekend or weekend afternoons. That makes it appealing like American football, basketball and soccer. It will appeal both to TV audience and as a spectator sport. ? INDIAN PREMIER LEAGUE (IPL) structure is such that all the aspects works in great balance to maximise the profit. ? India is cricket crazy nation so it is easy to promote the products like INDIAN PREMIER LEAGUE (IPL) and ICL. WEAKNESS 20-20 has become so popular that it can damage the other forms of cricket that is 50 over game and test cricket. ? There is always a distance from fans as it is difficult for everyone to get into the ground to see the matches. ? It is very difficult for sports and business to go together, business needs quick results but in a team sp ort it might time gel a group together. If management and team are two levels it creates problems for the players. OPPURTUNITIES ? INDIAN PREMIER LEAGUE (IPL) is very attractive as a marketing communication opportunity since it has a large potential mass audience, especially for advertisers and sponsors. If the franchisees are able to generate a large fan base then it will be able to generate a large TV revenue ? Fan are of different types so there will be more corporate hospitality, season tickets, away tickets, TV pay-per-view and other ways to segment the markets for INDIAN PREMIER LEAGUE (IPL) ? Opportunity for merchandising is very huge e. g. sales of shirts, credit cards and other fan memorabilia. Grounds can also sell refreshments and other services during the game. ? This version helps to gain more youngsters to game and this will create a long term fan base for the frachesies.Their parents and older cricket fans may still prefer older forms of cricket. Youth market will als o force the other to buy the product as status symbol. ? India has traditionally high inflation rate but the franchise has to pay only a fixed rate still 2017-18 means the investment is safe. THREATS ? Revenue will be more for highly supported team not for the highly priced team. ? Franchises are highly expensive. The most expensive team was brought by mukesh ambani for $111. 9million and the lowest Rajasthan royal for $67million. If the fan basis does not generate enough income then it will be difficult to pay the salaries for the players. ? If the best invested players don’t play well then you may not see the return on investment. ? The return on investment will have to for the long term as we cannot expect fast returns from all quarters quickly. ? It is the responsibility of the board of cricket control board of India to keep the level of competition with the other boards. It is the responsibility of the board to attract the top names of cricket to India. To understand mac ro forces in detail PEST analysis is used. PEST ANALSISPOLITICAL FACTORS ? Government of India was unable to provide security for the 20-20 tournament so it had to move to South Africa with immediate effect. ? Terrorism and political instability still remains a problem in India. ECONOMIC FACTORS ? Indian economy is facing deflation (. 12) so the investment in short term is not a safer option. ? Recession in world economy is another major issue so the purchasing power of the customer is considerably week ? INDIAN PREMIER LEAGUE (IPL)’s second edition had to move to South Africa it will cause a minimum loss of 250 crore rupees for the government of India in the form of taxes. As the stadiums in South Africa are comparatively smaller than India, it will cause the franchisees to loss another 50 crore rupees. ? Still Indian economy is growing at a faster rate than any other country except China and cricket is the life blood of almost every Indian. ? INDIAN PREMIER LEAGUE (IPL) is expected to bring BCCI 4500 crores in the next 10years. SOCIAL FACTORS ? India is a cricket crazy nation so the promotion of cricket is not at all an issue for the franchisees. ? 20-20 cricket is able to attract the young population of India. TECHNOLOGICAL FACTORS Cable television is still not available to large population of India. LIKELY EFFECTS ON THE INDUSTRY IN NEXT 12 MONTHS India is expected to grow at rate of 7 percent. Cricket has got a large fan base in India and it the only one industry in India expected outperform the effects of recession. Recent biding for player is an example for this effect. If the government of India can provide enough security then cricket will bring enough money for the economy. At the beginning of 2010 INDIAN PREMIER LEAGUE (IPL) will have 4 more teams that mean more money in the economy and growth in the sector is bound to increase.All the INDIAN PREMIER LEAGUE (IPL) franchisees will earn profit from this year as already 3 teams were able to gene rate profit in the first year itself. INDIAN PREMIER LEAGUE (IPL) from this year onwards will have a new market also in the form of South Africa. This will increase the viewership and it will also make International cricket council to find specific time slot for INDIAN PREMIER LEAGUE (IPL). TV revenues is expected to grow as INDIAN PREMIER LEAGUE (IPL) governing body has decided to have another brake of 5 minutes in between . RESEARCH METHODOLOGY Extensive research was carried out for the successful completion of this project.Both primary and secondary data were collected from various Sources. PRIMARY DATA: The main data was collected from the zonal office of INDIAN PREMIER LEAGUE (IPL) situated in Mumbai. An email which contains the typical details and strategies was received as feedback. The Marketing wing of both INDIAN PREMIER LEAGUE (IPL) & ICL was contacted for preparing this assignment. Due to expense factor, communication was mostly done via email. The marketing department g ave relevant information about the data. SECONDARY DATA: The secondary data in this study is collected from various magazines, Newspapers and Websites.Analysis and others parts are done on the basis of these secondary data and knowledge collected from the marketing lectures. LIMITATIONS My study is based on Primary data collected was only through phone and e-mail. The data from the primary source was very limited and it does not give the real picture of the Indian Entertainment Industry. The transparency of the data that is available is not entirely trustworthy. The net worth worth of the entertainment industry and the actual worth is not always the same. The time scale for studying the entire assignment was short. Such a vast case cannot be studied in a short span.There was also geographical constrains in collecting the data. Another important limitation was the communication gap. The only ways possible which could be effectively utilised were the telephone and e-mails. But these t ook lot of time as this entertainment industry is so scheduled. DISCUSSION INDIAN PREMIER LEAGUE (IPL) Commissioner Lalit Modi is confident that recession will have no impact on the tournament. He told CNN-IBN on 5th February that â€Å"the glitzy Twenty20 league is virtually recession proof† Lot of experts also believe that INDIAN PREMIER LEAGUE (IPL) is one industry that will do well even in this time of recession.This research tries to bring out the after-effects’ of such a system and its influence in various segments of people. My own analysis also prove that the above statement is true because the valuation of one of the teams of INDIAN PREMIER LEAGUE (IPL) that is Rajasthan Royals has gone upto 3733 percent appreciation in its share value. This fact shows that there is a growing interest in this product. (http://Indian Premier League (IPL)cricket4u. com/2009/02/05/long-term-contracts-make-Indian Premier League (IPL)-recession-proof-modi) One of the hot debate abo ut the form of cricket is that 20-20 format kills Test cricket .As per Rahul Dravid one of the most successful Indian cricketer â€Å"T20 is unique and lot of young Indian players are excelling in this format. Whether they can take this confidence to the next level is debatable. It’s not going to be easy and the skills with which you achieve success in T20 may not help you give you success in Ranji and Tests† But the continuous success of Indian cricket in all forms of cricket in the last 2 years proves that this analysis of Rahul proved to be wrong. The confidence these youngsters have gained from 20-20 proved to useful in the other forms of cricket also. http://www. Indian Premier League (IPL)cricketlive. om/Indian Premier League (IPL)/indian-premier-league-quotes CONCLUTION INDIAN PREMIER LEAGUE (IPL)’s ability to sustain and grow its popularity in the long-term depends on the ability of individual franchises to break out and become large media properties on their own. Franchisees may also have to increase their marketing and promotional spends to effectively monetise their fan base and build brands out of their respective teams. Apart from finding more team sponsors, franchisees may try to increase the mix of premium seating in their home stadiums. At the moment a bit might be  too  different if we look INDIAN PREMIER LEAGUE (IPL) and ICL.In  the recent  format  advantage  can  be  taken  by  organising   matches  between   this  two winners that is more matches can be played between the two leagues. In the coming year more innovation is expected we might be able to see 10-10 or a 5-5 over format of cricket. Recession VS INDIAN PREMIER LEAGUE (IPL) Modi said INDIAN PREMIER LEAGUE (IPL) will not be hit by INDIAN PREMIER LEAGUE (IPL) but unfortunately it did – by article on http://cricketnext. in. com/news/recession-wont-hit-Indian Premier League (IPL)-auction-modi/37855-14. html And http://www. Indian Premier League (IPL)ticket. om/2009/01/Indian Premier League (IPL)-season-2-recession-hits-Indian Premier League (IPL). html CRICKETNEXT – With big names such as Pietersen and Flintoff, the second INDIAN PREMIER LEAGUE (IPL) auction in Goa next week will be eagerly watched. INDIAN PREMIER LEAGUE (IPL) chairman Lalit Modi tells CNN-IBN that he expects the auction to generate quite a buzz despite the economic recession INDIAN PREMIER LEAGUE (IPL)TICKET – The year  2007-08 saw sackings like never before in the world of cricket. From  coachesto CEOs and  officials  of all kinds, almost  everybody  was shown the door for reasons notpertaining  to performance alone.The year  2008-09  promises  to be a  little different. The year  2008-09  promises  to be a  little different. This year, it won't just be  coachesand  officials  getting  the pink slips; even cricketers will get them. At least three  franchisees  of the  Indian Premier League  (INDIAN PREMIER LEAGUE (IPL)) have already taken thenecessary  steps to downsize their teams. The marching orders are likely to be served at the junior level. While Mumbai Indians plan to bring down their 27-member contingent to 18, teams like Deccan Chargers and Delhi Daredevils are planning similar moves. . So what has triggered the move? Recession?Not really if the  franchisees  are to be believed. Simply put they have grown wiser in the second year. â€Å"Last year, we were very new to the concept and it all happened so fast. But this year onwards, expect most of the teams to work on a target-based princIndian Premier League (IPL)e. They know exactly what they're going to be eyeing for or in terms of cricket, what their team composition is going to be during the two-month period,† says a franchise official. Chargers have given Adam Gilchrist and Darren Lehmann, captain and coach respectively, the entire responsibility of manning team  requirements.Of co urse, as one Chargers official suggests, this has come with a rider to get rid of all extra costs. â€Å"In general, most  franchisees  now have a better idea of a core group functioning. Similarly, the captain, coach and senior players have a good understanding of the kind of team required. We're going to stick to that,† he says. Other than the under-19 players (two per franchise), bought on a three-year contract during the 2008 auctions after India won the World Cup in Malaysia, most of the fringe players, picked from the domestic circuit, will in all likelihood be dumped.Mumbai Indians are tight-lipped for now, waiting for Sachin Tendulkar to give his nod, before the axe is wielded. â€Å"It's going  to be a  common affair with the economic scenario so depressing. It won't be the case with Mumbai alone,† says an official involved closely with the Mumbai cricket. EXCESS BAGGAGE At least three INDIAN PREMIER LEAGUE (IPL)  franchisees  have already taken th e  necessary  steps to downsize their teams. The marching orders are likely to be served at the junior level, most of them being fringe players. Mumbai Indians plan to bring down 27-member contingent to 18; waiting for Tendulkar's nod.Teams like Deccan Chargers and Delhi Daredevils are planning similar moves. The reason? Teams want to work on target-based princIndian Premier League (IPL)e. INDIAN PREMIER LEAGUE (IPL)  A  GAME  OR  BUSINESS TV,Internet,Newspapers Everymedium is flooding with DLF INDIAN PREMIER LEAGUE (IPL),a privateevent; that above all,explains the successof Indian Premier League. For a privateevent ,entire media is fighting to give freeof cost coverage! Strange ,but  Interesting! So what marketing and branding strategyhas worked in favour of INDIAN PREMIER LEAGUE (IPL)?Charm Of INDIAN PREMIER LEAGUE (IPL): †¢ Mega Event †¢ To keep it focused in 20 overs †¢ It structured teams around states †¢ By following a well tried  internatio nalmodel of clubs and player auctions †¢ Media hype †¢ Board of Cricket Control in India †¢ Shah Rukh Khan, Preity Zinta and ShilpaShetty Cost of teams: †¢ Rajasthan  Royal  $67mn †¢ Kolkata  Knight  Riders  $75. 09mn †¢ Delhi  Daredevils  $84mn †¢ Kings  XI  Punjab  $76mn †¢ Royals Challengers Bangalore $111. 6mn †¢ Hyderabad  Deccan  Charges  $107 †¢ Chennai  Superkings  $91mn †¢ Mumbai  Indians  $111. 9mn Sahara  Pune  Warriors  $370mn †¢ 10 Kochi $333. 33mn Valuation 1. Rajasthan Royal $45. 2mn 2. Kolkata Knight Riders $46mn 3. Delhi Daredevils $40. 5mn 4. Kings XI Punjab $36. 1mn 5. Royals Challengers Bangalore $41. 9mn 6. Hyderabad Deccan Charges $34. 4 7. Chennai Super kings $48. 8mn 8. Mumbai Indians $40. 8mn Team composition rules are: Sponsorship: A deal with beer and airline conglomerate Kingfisher at $26. 5-million [pic] So where is the money coming from†¦ Media Right |Central revenue |Money raised by franchise |Franchise Bid Money | |$1billion for 10yrs |Title sponsorship of event |Selling advertisement for stadia |Cost of teams | |Sony |Licensed merchandise |Licensing products | | | | |Merchandise sale | | | | |Advertising on ticket | | | | |Gate money | | Money Sources |BCCI |Franchise |Players | |Media Right |20% |72% |8% | |Central Revenue |40%

The Kantian View of Animal Ethics

Kant’s Ethics of Metaphysics: A Response To the Charge of Speciesism I. In this paper I will present the charge of speciesism contended by many animal right’s activists. I will attempt to substantiate Immanuel Kant’s view on animal morality and justify how his philosophy is not in violation of speciesism. Furthermore, I will explain how the Kantian view still grants animals some moral consideration through the designation of â€Å"indirect duties†. Lastly, I will present a difficulty with accepting the Kantian view of â€Å"indirect duties† towards animals.Moral quandaries regarding animals are still demanding the attention of many philosophers as they attempt to modify and inspect the relationship between morality and social policy. Contemporary applications of this issue can range from experimentations on animals for developing medicines (or even cosmetics) to whether human beings should avoid eating animal-based foods. There is a vast spectrum of moral issues that arise with respect to animals. However, most of the morally questionable situations are contingent on one fundamental question: do animals even have moral rights?And if so, to what extent? Although animal moral considerability has peaked the interest of many contemporary philosophers, such as James Rachels and Peter Singer, the question is really an age-old question that can be traced back to Plato and Aristotle. Immanuel Kant has probed the question of whether an animal has moral considerability. Kant continuously makes the distinction between humans and animals throughout his best-known contributions to moral philosophy.Therefore, I will address and present the counter-argument to the charge of speciesism, one of critical arguments of the animal rights movement, through a Kantian lens. II. One of the prevailing charges on humanity proposed by champions of animal rights is that humans act in violation of ‘speciesism’. The term, first coined by psycho logist Richard Ryder in 1973, is used to describe an arbitrary bias that humans have towards their own species (Homo sapiens).The argument is as follows: to assign primacy to humans by considering only a human to be within the system of morality is similar to other types of discrimination, such as racism and sexism. Just as in racism and sexism the dominating force arbitrarily assumes itself as the normative ideal, in this case whites or males respectively, so too human beings arbitrarily assume themselves as the ideal and to be the only species deserving of morality. Therefore, because there is no legitimate basis for this distinction, other species of animals should be equally included within the system of morality.Ryder believes that those in violation of speciesism â€Å"overlook and underestimate the similarities between the discriminator (humans) and those discriminated against (animals or any other species). † His argument assumes that most animals are fundamentally th e same. Of course those who charge humanity to be guilty of ‘speciesism’ acknowledge that there are obvious differences between humans and non-humans. They just believe these differences to be irrelevant for delineating the scope of a moral system. Man’s higher intelligence, being the most conspicuous difference, should have no authority on morality.If intelligence were the decisive factor then it would follow that people who are intellectually superior should be treated with superior moral standards. Moreover, some apes could potentially have more intelligence than a human if the human was insane or otherwise intellectually compromised. Thus, although intelligence is the distinguishing factor between most human beings and non-humans, it cannot be the sole criterion for defining a moral system . III. It would appear that aside from intelligence (that has no moral bearing) there is no fundamental quality that separates humans and non-humans.Therefore, animals real ly should be treated with equal moral standards, and those who do not equate moral rights are guilty of speciesism. Philosopher Michael Pollan challenges Kant with being in violation of arbitrary discrimination of animals; â€Å"none of these (Kant’s) argument evade the charge of speciesism† (pg 439 Vice and Virtue). So we are left with the daunting question: is there any validity to Pollan’s claim? At first it would appear that Kant presupposes human beings as the only species worthy of morality without giving any explanatory criterion. Kant evelops one of his foundational doctrines called â€Å"The Categorical Imperative†, which can be summarized in the following sentence: â€Å"Act in such a way that you treat humanity in such a way, whether in ourselves or in others, as an end in itself† (Groundwork II). It seems that Kant believes that human beings bar none deserve what he calls ‘respect’ or what we are calling moral consideration . However, after a closer examination it becomes apparent that Kant is not guilty of speciesism at all. In a remarkably similar excerpt Kant says, â€Å"as rational beings, we must always at the same time be valued as ends (pg 239 4:430).It is almost as if Kant just substituted the phrase humanity with rational beings. When both excerpts are read in conjunction it becomes apparent that Kant includes human beings into his moral system not because of an arbitrary nepotism towards his own kind (homo sapiens) but because of a human being’s attribute of rationality. In other words, Kant’s criterion for moral considerability is rationality and not intelligence. When Kant says to treat humanity in such a way, he is referring to a human’s rational nature, which happens to be the unique quality of human beings and is thus presented as rationality’s synonym.According to Kant, rationality is not the same as intelligence and is what makes human beings worthy of mora l consideration and animals unworthy. Rationality is the ability to be governed autonomously and make advised decisions of what is right and wrong. It is not the ability to display reasoning skills. Therefore, a being, such as a chimpanzee with excellent cognitive abilities, cannot exercise rationality, which is Kant’s basis for morality. Human beings, on the other hand, belong to a ‘Kingdom of Ends’, where moral laws are meticulously chosen by each individual.This capability to discern and choose which laws have absolute moral worth binds all human beings in a cohesive moral community. Each member of this community has the authority to legislate and decide which laws are unconditional and then subsequently act in accordance with those laws. Not even the highest functioning chimpanzee has the capability to decide whether an action can be universally applied. Nor can a chimpanzee mull over the question â€Å"what ought I do? †. Thus it follows that a person only has obligations towards other beings that can obligate themselves, or act rationally.Kant chose rationality as the marker that defines the line of required morality because of its pureness. Rational knowledge is not influenced by history, anthropology or psychology. It is not qualified by emotion. Other potential values, such as intelligence, have the possibility of being used immorally; â€Å"Intelligence and wit are doubtless in many respects good and desirable but they can also become extremely harmful if the will†¦is not good (pg 231). † Consequently, a being’s rationality, the ability to decide whether an action is ‘good’ universally, is the only incorruptible value that could define the scope of morality..Now that it is clear that Kant is not guilty of speciesism, since his moral system is predicated on the standard of rationality, one can still ask how Kantian Ethics views animals. Kantian Ethics prescribes indirect duties towards animals . This means that it is wrong to act maliciously towards animals because it will damage a person’s sympathies. Damaging ones sympathies will inevitability lead to a failure of ones duties to others. On the one hand, animals cannot be granted direct duties, for they lack rationality. Their moral value is categorized in a sort of limbo between inanimate objects and human beings.On a practical level, a Kantian might perform the same actions towards animals as a Utilitarian would. But Kantian Ethics is problematic for many philosophers, at least in theory. Christina Hoff offers an example where a â€Å"kind† man spends his life fulfilling his duties to himself and towards other human beings except he secretly burns stray dogs to death. Despite how disturbing and wrong this seems, Kantian ethics does not consider this man as having committed any wrongful action in and of itself. The suffering of the dogs is only problematic as it affects our duties to rational beings.It is difficult to challenge the Kantian view of animals on philosophical grounds. The Kantian moral system is consistent in that it is rooted in the assumption that rationality alone has absolute moral value. To challenge this assumption would involve dismantling Kant’s entire moral system by showing why rationality is inadequate as the supreme value. When Kant is concerned with damaging our sympathies he is only concerned in so far as sympathies ability to promote rationality and the ability to fulfill ones duties. He does not award sympathy any independent value.Yet, to allow, even if just in theory, the scenario of the man burning dogs seems against common morality. To be indifferent to an animals suffering is intuitively immoral. An animal rights champion would be more likely do adopt a Utilitarian view, which incorporates suffering into the fabric of its moral system. IV. Consequently, Kant can evade attempts to label him guilty of speciesism. Kantian ethics does have a crite rion that differentiates humans and non-humans. With rationality as its hallmark, Kantian Ethics views animals as deserving of only indirect moral considerability.As Christine Korsgaard explains in her essay Kantian Ethics and Our Duties to Animals, â€Å"moral laws may be viewed as the laws legislated by all rational beings in the Kingdom of Ends (pg 5) Animals incidentally do not share this capacity for rationality. But if they did, they would surely be included. Interestingly, when referring to animals he ambiguously labels them as a human being’s analogue. Perhaps Kant was identifying that animals have similar qualities such as intelligence that link us together. But animals are analogues and not exactly similar.As such, Kant grants animals some moral considerabilitiy, through indirect duties, but not equal moral considerability. A being earns moral considerability only through the capacity to implement the Categorical Imperative and exercise an autonomous level of cogni tion, not through reasoning skills or mathematical abilities. Therefore, animals rightfully have moral limitations. Works Cited: 1)Ryder, Richard. â€Å"Richard Ryder: All Beings That Feel Pain Deserve Human Rights | World News | The Guardian. † Latest News, Sport and Comment from the Guardian | The Guardian. Web. 27 Dec. 2011. 2)Kant, Immanuel, and H. J. Paton. Groundwork of the Metaphysic of Morals. New York: Harper & Row, 1964. Print. 3)Sommers, Christina, Frederic Tamler Sommers. Vice and Virtue in Everyday Life. Belmont, CA: Wadsworth, 2003. Print 4)Korsgaard, Christine M. â€Å"Fellow Creatures: Kantian Ethics and Our Duties to Animals. † Www. Tannerlectures. utah. edu. University of Utah Press Volume 25/26. Web Author’s personal website 5)Sebo, Jeff. â€Å"A Critique of the Kantian Theory of Indirect Moral Duties to Animals. † Animal Liberation Philosophy and Policy Journal Volume II Pp. 1-14, 2004. Web.

Shaping the American Dream, defining success from the first World war Essay

Shaping the American Dream, defining success from the first World war to present - Essay Example American culture after World War II equated good citizenship with good consumerism. People have been encouraged to consume more and better. Leisure activities are an example of this; before the 20th century, most of the leisure time of an average American was spent in the family, church, and activities related to community. In the early half of the 20th century, leisure activities such as playing with recreational products or watching movies mostly replaced the social activities on the basis of consumption (Spring 96). Cold War played an important role in tying American Dream to consumerism. Although the democracy in America had a strong contrast with the Soviet totalitarianism, yet the politicians in America promoted mass consumption as a way of differentiating between Americans and the Soviets. William H. Whyte, Fortune editor stated in 1957, â€Å"Thrift is now un-American† (Cohen 121). In 1959, American Exhibition was organization in Moscow whose economic highlight was demonstration of America’s consumer goods to the Soviet leaders. President Richard Nixon said at the exhibition, â€Å"To us, diversity, the right to choose†¦is the most important thing. †¦We have many †¦ many different kinds of washing machines so that the housewives have a choice† (Nixon cited in Spring 137). Here, Nixon drew audiences’ attention toward the variety of ways of consumption for the Americans to explain diversity rather than giving examples of political or social signific ance. The relationship between good consumerism, good citizenship, and the American Dream has lived up to date. Americans united under the leadership of President Bush after the 9/11 attacks, and a brief charitable outpouring followed. Despite having a great opportunity to foster non-consumerist behavior in the Americans, Bush simply reminded Americans of the importance of consumerism in the development of a strong economy in the post-9/11 attacks speeches. Bush said that the best action

Terrorism Hazards Essay Example | Topics and Well Written Essays - 500 words

Terrorism Hazards - Essay Example erefore just as it is important to be informed about the imminent threats it is equally important to have an informed viewpoint towards the information. In this article we will examine how this be done as a service to the public. John Tierney, in his article in the New York times talks about how Sept 11 attacks on America as â€Å"the start of a new age of international terrorism in America, but you wouldn’t know it from the six quiet years on the home front since then.† (2008). But these six years have been injected with many instances of terror scares that for some people the feeling of peace is a bit far removed. Any unusual act of aggression is viewed as terrorism. Therefore if we were to design a terrorist awareness program, the following initial measures will need to be taken to involve the community as a whole in the process. The first task would be to educate the people on terrorism from more of an international point of view and help define the history of terrorism in their minds. Research shows that people as a community come together more during natural disasters than during technological or terror attacks. The reason for this can be attributed towards a heightened fear of individual safety. Therefore it is necessary to gather the community to act as a whole and come together as a whole. There is a need for many counselling cells for individual and group session where people can share their insecurities and fear and gain more insight by communicating with people with similar thoughts and fears. Trained psychologists will serve as moderators for he group session. Special attention will be given to children and elder members of the community who feel a bit more helpless. Once people are educated on what constitutes terrorism and begin to appreciate the fact that the various stringent measures taken by the government to check future attacks has resulted in the prolonged period of peace after the initial storm. Whilst doing this we will also instil

Bizzell (1986) argues that in order to succeed in university it is Essay

Bizzell (1986) argues that in order to succeed in university it is necessary to become 'bicultural'. Critically discuss this idea drawing on relevant SSK12 mate - Essay Example argument, Bizzell presents the three main approaches taken in attempting to understand these issues and the problems inherent in focusing on just one approach at a time, proving that a bicultural approach is the only equitable and serviceable approach possible. This idea of a bicultural approach is supported throughout Bizzell’s arguments by Brigid Ballard and John Clanchy in their article â€Å"Literacy in the University: An Anthropological Approach† as well as through my own college experience. The first approach to educating basic writers â€Å"says that basic writers entering college precipitate a clash among dialects† (Bizzell, 1986, p. 294) because their home dialect differs significantly from the diction and grammar of Standardized English widely used throughout the world of higher education. Arguments against the use of standard English indicate that students with differing dialects lose a great deal of their ability to communicate, suffer a reduction in the depth of their education because of the necessity of learning and adopting the academic system and represents a lack of recognition of the validity and unique expressive nature of the home dialects. Presenting a strong argument to the contrary, advocates of the Standard English approach merely need to point out the necessity of preparing students for success in an increasingly globalized world that depends on Standard English for a good deal of its communication needs. However, even identifying the appropr iate language to use in a given academic paper can be difficult. â€Å"Gradually, the students learn that, when asked to write an essay on, say, language acquisition, the method of analysis they employ, the evidence they bring to bear, the language they use will be very different depending on whether they are enrolled in linguistics, prehistory, sociology, education or psychology† (Ballard & Clanchy, 1988, p. 172). This has led some educators to advocate a bicultural approach to education that

Promotion Plans and Blends Part II Assignment Example | Topics and Well Written Essays - 250 words

Promotion Plans and Blends Part II - Assignment Example This is very important to do so as to ensure that it will not be applying the right solution for the wrong position. On technology, I strongly believe that apart from the use of social media which you elaborate, an alternative would be to use the company’s own website in a more interactive manner. Laureate Education. (Producer). (2013).  Daryl Travis: Positioning statements and branding  [Video Baltimore, MD Author]. Video posted to: https:/​/​class.waldenu.edu/​bbcswebdav/​institution/​USW1/​201520_02/​MS_WMBA/​WMBA_6060/​USW1_WMBA_6060_Week06_videoA.html I have a feeling that not only did you look at how different examples of promotions are blended by Hanes Company but you went a step further to look at the impact of blending different forms of promotion. This is because the use of television and promotional advertisement and emotional branding form two important and separate forms of promotion that could be said to be physiological and psychological (Perreault Jr., Cannon & McCarthy, 2014). Most certainly, I find this a very tactful and prudent way of attracting the promotional interest of as many people as possible. Having said this, I am of the opinion that there still remains a lot of potential in the use of social media in promotions that Hanes Company has not taken advantage of. Having social media platforms where the company can share its unique promotional blend with the public could be very

Psychopharmacology, drugs and addiction-heroin Essay

Psychopharmacology, drugs and addiction-heroin - Essay Example It is used both as a pain killer as well as a recreational drug. Some of its popular street names are – junk, dope Jenny, brown, diesel, smack, gear, dragon, hammer and ice-cubes. Heroin is a whitish brown powder or sometimes a sticky black substance called â€Å"black tar heroin†. It is usually injected, sniffed, snorted or smoked. An intravenous injection takes a very short time of 5 to 7 seconds for the drug to enter a person’s brain. It immediately metabolizes and gives the person a flush of â€Å"euphoria† (light headedness). The other methods take a longer time. Just like all other opiates, Heroin too is capable of creating high tolerance thresholds in the body. The great risk of heroin addiction is that the user can build a tolerance of the drug 3 to 4 times more than the lethal limit of a normal person. These high thresholds make heroin detoxification all the more painful and difficult for the heroin addict. Heroin withdrawal is not only painful but also frightening. The withdrawal phase lasts anywhere between 48 to 72 hours since the last dose of heroin intake. The withdrawal symptoms include – dilated pupils, Muscle cramps, Nausea and vomiting, periodic chills, panic spells, goose bumps, diarrhea, malaise, fever and profuse sweating.. Addicts who have undergone these withdrawal symptoms describe their experience by saying –â€Å"it was the worse case of the flu† they had ever had. An addict has alternate wakeful and drowsy spells with clouded mental functioning. An overdose may sometimes lead to death and using the needle used by an infected person could result in HIV/AIDS or Hepatitis. Death could also be the end result if the addict has a high tolerance of heroin withdrawal. Some addicts complain of a stressful condition called â€Å"itchy blood† which results in compulsive scratching causing bruises on the body. An overdose of heroin is usually counter acted

Persuasive speech - Prison reform Essay Example | Topics and Well Written Essays - 750 words

Persuasive speech - Prison reform - Essay Example These changes were perceived as denying justice to victims and a further change was made. There is hope in future to diagnosis medically and come up with a treatment that will assist prisoner reformers future generation. "For example, if the "thrill-seeking gene" could be suppressed via RNAi technology, this could lead to less risk-taking behavior (some of it criminal)." (Wikipedia, 2006) According to reports that have been written, the main problem experienced in our prison is an increase in inmate population. This problem has been experienced more in remand prison and as a result of overcrowding, the prison system experience worse conditions. These inmates are always looked up hence they have less time to use prison time positively. This led to a high rate of suicide among the inmates as a result of depression. (Calls for Reforms, 2002) Other problems in our prisons are the gap that is between those who have already been sentenced with those who have not yet been sentenced. All inmates, either sentenced or not yet sentenced are treated the same. On the other hand, those who have committed capital offence end up being kept together with those who have committed minor offences. Increased cost of operating our prison is another problem that has been experience in our prison. (Calls for Reform, 2006) England and Wales have outstripped imprisonment rate of... Increased cost of operating our prison is another problem that has been experience in our prison. (Calls for Reform, 2006) England and Wales have outstripped imprisonment rate of countries known to have poor record of human rights such as Turkey, Burma, Libya and Malaysia. Their imprisonment was 125 per 100,000 five years ago and this has now increased. (Dobson, 2004) According to carter report, it was suggested that the only way for managing offenders is by reducing offenders and maintaining public confidence. In order to reduce population in our prisons, we need to use reprimands and warnings for low offenders instead of sending them to prison. It was not in the Carter report that fine was no longer used instead of sending a guilty person to prison. This has led to an increase in the number of inmates in our prison, thereby increasing workload to prison warder of guarding, instead of doing their duties of rehabilitation. Instead of sending low offender to prison, Carter report proposed three level sentences namely: community rehabilitation; community punishing and intensive supervision and monitoring. (Dobson, 2004). We can also reduce congestion in our prisons by introducing quick parole/release to those who have committed minor offences. On the other hand, we can reduce cost especial the cost of employing guards provide television sets and conjugal visit to our prisons. Speaking/Keyword Ladies and gentlemen, our guests, our lecturer and my fellow students. I welcome you to listen to my speech on prison reform. Our prison tend to suffer silently as the public do not know what happen in there, as they are kept in secret or hidden world. In the earlier days, our prison violated human rights as they treated inmates harshly, tortured them and denied

Prairie Dogs Essay Example for Free

Prairie Dogs Essay â€Å"Prairie dogs have a significant effect on biological diversity in prairie ecosystems. More than 200 species of wildlife have been associated with prairie dog towns, with over 140 species benefitting directly†¦Ã¢â‚¬  (Williams 34). Terry Tempest Williams, author of the book â€Å"Finding Beauty in a Broken World,† delivers a strong argument as to why prairie dogs should be protected. Prairie dogs contribute to the welfare of animals around them in many ways. They create diversity, kinship and community. Williams also states, â€Å"They embody two million years of evolving intelligence† (Williams 33). They are social creatures, and they all live in towns and villages. They kiss when they greet each other, as a way of distinguishing one from another. Once recognized, they will engage in nuzzling and other affectionate grooming behaviors. They also are able to distinguish the light from dark. Dogs kept in zoos become so tame, visitors may pet them. Williams gives an example of this in her book when she visits a zoo in North Carolina. She witnesses a man talking to and affectionately petting the belly of a prairie dog (Williams 66). They are not just rodents and they can be extremely humane and friendly. â€Å"Prairie dogs, like beavers, are a keystone species- that is one that significantly alters the ecosystem and provides habitat for auxiliary species† (Outwater 73). In the book, â€Å"A Sea of Grass,† by Outwater, she delivers a strong argument as to why prairie dogs are beneficial to the grassland ecosystem. Prairie dogs create habitats for other species, because over 200 species live nearby prairie dog burrows. The burrows are never built all the same. Some have special pockets, turn-around rooms, and others have chambers with grass. The temperature underground is convenient for species living there, being as it is warm in winter, and cooler in the summer. Outwater presents a valid reason for protecting the rodents. For example, she states,† In the process of constructing their towns of tunnels, the prairie dogs once moved tons of subsoil above ground, where they mixed it with top soil and organic matter.. †(Outwater 74). Many species benefit from this churning of the soil because it creates grasses which are richer in protein. The prairie dogs also help to increase the amount of water that makes it underground, which enhances the productivity of the soil. Concurrently, more water goes into rivers and streams. Another component of prairie dogs is that they are social, loving creatures. They engage in their own communication. When they see a predator, they make a bark that signals all the dogs around to protect themselves. Prairie dogs provide burrows not only for themselves, but for other animals as well. They also aerate the soil and contribute to water drainage underground. Prairie dogs eat grass, which in turn shocks the landscape into greater, richer productivity. Prairie dogs need to be protected because they are such an important species to the grassland ecosystem and they are on the brink of extinction. â€Å"†We are living amid a sixth extinction,† writes Niles Eldredge, a curator at the American Museum of Natural History,† one that, according to the Harvard biologist E. O. Wilson, is costing the Earth some 30,000 species a year.. At this rate, the vast majority of the species on earth today will be gone by the next millennium†Ã¢â‚¬  (quoted in Williams 71). All species rely on another species for survival. If prairie dogs were to become extinct, many other species and habitats would be at stake also. Some species affected by the decline of prairie dogs include, but are not limited to: the black-footed ferret, mountain plovers and owls, golden eagles, foxes, ferruginous hawks, and deer mice. (Williams 57). The grassland ecosystem as a whole would be at stake, seeing as how every single species contained in it relies upon one another for survival. The author Outwater also believes there is a lot at stake if the dogs become extinct. She believes that if prairie dogs are eliminated, the productivity of grasslands decreases. Species such as turtles, skunks, snakes, toads, prairie chickens, tiger salamanders, rabbits, eagles, hawks, coyotes, foxes, and many more will not have a place to abide. Also, the water will be at stake because less water would be seeping underground. By less water making it underground, there would ultimately be less water going to streams and rivers. Both Outwater and Williams have extreme arguments as to why prairie dogs should be protected. Their arguments may differ in many ways, but they agree on a few core points. They both agree that these rodents create habitats for other species, and that they are definitely a keystone species. They prune grass, in turn creating more beneficial food sources for different species. They heighten the water drainage into the subsoil, in turn filling the streams and rivers. They also create diversity, within the plants and the animals surrounding them. They are not just pests either, as agreed upon by Outwater and Williams. They have their own language and ways of communicating. They exhibit affectionate behavior towards each other and engage in grooming activities and kissing. Even though Williams and Outwater arrive at the same points, their methods of proving them are different. Williams proves her points through mosaics, saying the different broken pieces make up something greater. The different species involved in the grassland ecosystems all play an important role in the bigger picture. Outwater has a different technique. She shows prairie dogs in comparison to the buffalos, water systems, and other species of the grasslands. She also goes into greater depth of the prairie dog environment as a whole. Although both authors have valid points, I find Williams’ argument more compelling. Her quotes and examples convince one that prairie dogs really do need to be protected. She states, â€Å"Prairie dogs create diversity. Destroy them, and you destroy a varied world† (Williams 37). From the plants, to the animals in their grassland ecosystem, prairie dogs bring about diversity in everything. Williams uses mosaics as a way to describe the dogs as a part of their ecosystem. The prairie dogs are an essential part of the grasslands and Williams makes her argument more compelling by comparing them to mosaics. However, both authors come to the same conclusion. Prairie dogs are a species whose very presence contributes to the diversity of life and whose extinction would result in the extinction of species dependant on it. Extra Credit: Williams relates prairie dogs to mosaics by proving that they are a part of something bigger than themselves. Mosaics are composed of several â€Å"broken† pieces, making up one beautiful piece. Prairie dogs are just one essential part of the grassland ecosystems. Even though they are just one part, they are important to everything else around them. Williams uses mosaics as a way to describe the dogs as a part of their ecosystem. She also compares and contrasts the rules of mosaics with prairie dogs and their towns. She states, â€Å"Tesserae are irregular, rough, individualized, unique. Prairie dogs literally change the land with their hands†¦ Many colors are used to create one color from afar. Different hues from the same color were always used in ancient mosaics. Prairie dogs have a significant effect on biological diversity in prairie ecosystems. More than 200 species of wildlife have been associated with prairie dog towns, with over 140 species benefitting directly † (Williams 34). If one piece of the mosaic is missing, it is not a mosaic. Every single piece of the mosaic directly benefits and depends on the others, just like in grassland ecosystems. Every species of animal depends on and directly benefits from another. If prairie dogs were to become extinct, there are so many other animals that would be at stake also. Their burrows provide protection. Their pruning of the grasses creates a better quality of food for others. Their digging and aerating of the soils allows for more water to seep down and be absorbed by the earth, which in turn provides water for streams and rivers. Williams relates prairie dogs to mosaics in a very compelling argument. She knows that if prairie dogs were to face extinction, an essential part of the grassland ecosystem would be missing, and the rest of the grassland would be directly, negatively affected.

New Balance Analysis Essay Example for Free

New Balance Analysis Essay Generally, New Balance has done a brilliant job in all aspects. Especially in the aspects of operations and community involvement, it has provided leadership for the apparel industry. Although currently some weaknesses exist, New balance should seize the opportunities and take the responsibility to be a sustainable leader in entire industry. First, for the overall governance, New Balance should committed to being responsible for its employees and the committees. The company should inspire an engaged and committed workforce, and build an emotional bond with athletic consumers. However, there several aspects that the New Balance should enhance or focus on. Communication seems to be the key obstacle. New balance should be more transparent and report, and makes CSR initiatives better connected. Also, the lack of clear leadership appears to be another obstacle, missing of senior-level champion makes the developing of CSR barely impossible. Current definition and organization of RL are not cleared. A clear framework was needed to identify the risks and opportunities of CSR. Second, in the respect of the products and services, company should be very powerful on the market. Social and environmental improvements should be carried out with business benefits through its products and services. For example, green product lines should be adopted. Also, dangerous materials and harmful substance should be eliminated or forbidden. While, the link between products services and CRS seems to be vague, New Balance should increase the impact of environmental and social initiatives on generating business benefits. For both footwear and apparel, evaluation of the life-cycle impacts is absence; for the apparel division, sources are limited and the business growth pressure is extremely high. More effort should be putted on new materials together with their performance, especially the environmental-friendly ones. Moreover, recycles of its own products should be improved by developing industry collaboration and cooperating with other manufacturers. Third, during operations, integration of CSR should be developed both in domestic and overseas. Initiatives should demonstrate clear business value. Reducing costs, increasing productivity should be implemented together with improving worker safety and morale. Besides being responsible in domestic, New Balance should also guarantee the qualities of product and conditions for workers in overseas factories. The two big challenges are the gap between the footwear division compared to apparel, accessories and promotional items, and the gap between CSR management in domestic operations and supplier facilities overseas. Lastly, it is about supporting the community. The company should be the leader in both philanthropy and volunteering. Employees should be strongly involved in volunteering. In addition, community involvement strategies should be aligned with business strategy. There are still some weakness in the last respect. New balance should better leverage its strong community involvement culture to cooperate with business strategies. Rather than containing all respects, the community strategy should be more specific and more globalized.

Airline Lufthansa Companies

Airline Lufthansa Companies Strategic Change and Strategic Challenge for Lufthansa Introduction The biggest airline in Germany- Lufthansa is one of the leading airline companies in the world, but it suffered from the danger of bankruptcy in 1991. However, the flexible strategic change programs made it survive. Thus, the implementation and effects of those programs are obviously attractive and deserve further study. Moreover, current business environment is full of opportunities and challenges, which poses Lufthansa to identify relative challenges and adopt some reaction to respond. Therefore, this report will discuss two parts: one is strategic change programs and the other is current strategic challenges for Lufthansa. In the first part, it will evaluate the strategic change programs which Lufthansa applied and also cover the effects of leadership and politics. The second part of this report will analyse the strategic challenges for Lufthansa based on current and future business environment. I. Strategic changes for Lufthansa Strategy is argued to be a useful tool for an organization to achieve its target in the long term, and its contribution to development of the organization is evident. However, it is impossible to use one strategy to respond the changeable demand due to the dynamic external environment, so the organization should change their strategies to adapt the market. 1. Strategic change program According to Balogun and Hailey (1999), reconstruction is one of strategic changes for organizations, and it â€Å"may be rapid and could involve a good deal of upheaval in an organization† (Johnson and Kevan, 2002:537). Lufthansa utilized this way of reconstruction from functional structure to multidivisional structure to adapt the changing market condition (Bruch, 2000). Functional structure is based on the operational activities such as production, finance, marketing, human resources and information management. However, this structure is primarily suitable for smaller companies. It becomes inadaptable with the expansion of organization, because it neglects strategic issues which are very important for the development of an organization. It is also difficult for departments to co-ordinate and to cope with diversity. Lufthansa is persistent with the idea of multidivisional structure to break up integrated operations into smaller, self-contained units with autonomous governanc e and management. The multidivisional structure enhances strategy focus of each business unit and facilitates measurement of unit performance. Furthermore, it encourages general management development. Nevertheless, the structure has its disadvantages. First of all, it could be costlyï ¼â€º Additionally, the divisions grow too large to manage. What is more, too many divisions make cooperation complex and difficult (Johnson and Kevan, 2002:425). Apart from restructuring of organization in the case of Lufthansa, they also exploited the approach of combination of the human resources management and business strategy to implement â€Å"Strategic Cost Saving Programme†- programme 15, of which the goal was to â€Å"reduce cost ,and make staff at every level highly cost -conscious and cost effective† (Bruch, 2001:315). In the process of implementation, Lufthansa respected individual opinion, considered their willing of contribution to achieve the organizational goal. For instances, Dr. Jansen, the General manager of Programme15 considered that one of the characteristic feature of the ‘Lufthansa style was the specific combination of consensus orientation and persistence†, and also applied better channel to motivate line managers to dedicate through open and honest discussion (ibid, 2001:316). Because middle managers is seen to act as many kinds of roles in the process of carrying out strategic change progra m .e.g. role model, project manager role, mentor or coach and translator. Each role undertaken by middle managers has great influence on the behaviours and attitudes of people to adjust to change (Floyd and Wooldridge, 1994). In addition, continual control is also crucial to implement this programme 15. Lufthansa used a tight monitoring and weekly report to ensure its implementation. Control is important to identify the problems blocking the implementation of strategy through assessing the variances or deviations between actual results and budgeted outcomes. What is more, strategy alliance is a more and more popular method of the development of new strategy. It is defined that two or more organizations share resources and activities to pursue a strategy (Lorange and Roos, 1992).With the increasing complexity of external environment, individual organization may be unable to face those problems within its own internal resources and capabilities, thus they could obtain more resources, skills, information and innovation through cooperating and collaborating with other organizations. Strategic alliance has a variety of forms, like joint ventures, consortia, networks, and opportunistic alliances. Lufthansa adopted strategic network alliance-Star Alliance. It changed their strategy, from â€Å"growth through own strength† to â€Å"growth through partnership† (Johnson and Kevan, 2002:381). Network is thought to be arrangements whereby two or more organizations work in collaboration without formal relationships, but through a mechan ism mutual advantage and trust (ibid, 2002). In the case of Lufthansa, this kind of alliance demanded more coordination and communication within all partners, and required an integrated management structure for overall alliance as well as systematic process for co-coordinating the internal strategic activities of all the partners (Bruch, 2001). 2. Role of leadership Leadership has enormous influence on performance in organizations, and it is â€Å"the process of influencing others to work willingly and to the best of their capabilities towards the goals of the leader† (Kevin and Bob, 1997:527). Leader would expect or request subordinates to do certain things. According to followers behaviours, leader would reward or punish them in order to motivate them to do their best to achieve the goals. Therefore, whether to achieve the goal of the organization or not mainly depends on the decisions of the leader. Firstly, the leader, whose main job is to formulate mission, is on behalf of the organization, so leaders must have strategic vision to provide mission which will provide guidance and direction (Senior and Fleming, 2006:281). The leaders must be able to work under the pressures of a competitive environment. Therefore, leaders should use business strategic judgment by objectively and professionally to investigate each component of the organizations internal and working environment so that organizations can make the most of resources they own. The leadership of Lufthansa was very successful due to the following reasons: At first, the leader of Lufthansa recognized the need to change strategies, structures and styles. When the crisis arose, the leaders of Lufthansa faced it positively by changing the strategic program; they carried out several strategies to achieve the turnaround. Secondly, good new products and services were developed, for example, Lufthansa provided a series of servic es including technical services, catering and so on. Finally, new values were added to the organization through the change, Lufthansa had a â€Å"Changed Soul†. Furthermore, the leaders should know how to motivate the employees to do their best to achieve the goals, which is because motivation is one of the main factors determining the level of individual performance at work. If they are motivated, there is a willingness to exert high levels of effort to reach organizational goals (Robbins and Coulter, 1999:482). Lufthansa learnt to count on people when the crisis arose, it made this by spending some time in communicating with the subordinates, through this, leaders can share the information with people and leaders can get feedback on plans and strategies. The way they communicate with subordinates would influence employees performance. When employees involve in the communication, employers would understand more about the employees thinking, then gaps and misunderstanding in activities among individuals and organizations will be reduced. During the turnaround Lufthansa, leaders developed a certain style of involving people in strategic busin ess processes and networks, Wolfgang Mayrhuber, CEO Lufthansa Technik AG and former member of the OPS Team said: â€Å"We learned to count on people and we got to know that the same people can behave very differently in different situations.† (Bruch, 2001:321) 3. Role of politics The role of politics is as important as that of leadership, and it is very necessary to examine the effects of politics on the business performance. First of all, politics may be required to stimulate necessary change that is blocked by the more legitimate systems. Different from culture, politics promote necessary change, which is rooted in the past and hard to change (Mintzberg et al., 1998:244). Additionally, many decisions are typically affected by political environment, although the importance will vary in different firms, most organizations attempt to maintain good relations with government. Some senior managers may view political factors beyond their control and do little more than adjusting the companys strategies to accommodate changes in those factors, but Lufthansa took more proactive steps, at the outset of the turnaround, Lufthansa forwardly negotiated with the government to privatize the airline, and it became fully privatised in 1997. What is more, according to micro power, organizations have to deal with external environment (ibid,1998:248), the faster pace of environmental change and the greater degree of environmental uncertainty are two issues which link all types and sizes of organizationï ¼Ë†Robbins and Coulter, 1999:62ï ¼â€°. Therefore, an organization should always match its capabilities with the demands of the environment. Here, it will analyze how the leaders of Lufthansa took steps to adopt the environment from two aspects: First of all, in the majority of markets, competitors play very important roles in an organizations task environment. The decisions of the competitors usually influence the firms success and failure that is because products in one industry are usually closely related to those in other industries. Moreover, the relationship between an organization and its competitors tends to change from time to time (Wilson and Gilligan, 2005:241). In addition, buyers change enormously over time, b ut customers are a critical part of all organizations, without them no company can survive, so leaders should change the developing strategy and innovate to catch the customers values, tastes, and needs in order to gain an advantage over other companies (ibid: 174). The managers of Lufthansa formulated lots of strategies to improve customer service, such as Passenger Service. II Strategic challenges for Lufthansa These days, the worlds airline industry is full of opportunities and challenges that pose airline companies to face a number of strategic challenges. Admittedly, some unexpected factors and fierce challenges may affect policies and strategies of companies. At the same time, companies will also benefit themselves from handling those challenges effectively. The following discussion will focus on the main strategic challenges for Lufthansa from four aspects: strategic alliance, customer service, global environment protection, and economic impact and emergencies. 1. Challenges from Management of Strategic Alliances The airline industry has already come into the alliance times. Strategic alliances which always used to develop global markets play an important role in the current global airline business which can affect the airlines in different aspects (Blythe and Zimmerman, 2005:113). Strategic alliance can occur not only in the single industry just like airlines cooperating with each other, but also exist among different industries such as airline and IT, airline and logistics service and so on. Strategic alliances are the key factors of the market which will reduce the cost and risk for their members. a. Airline alliance Airline alliance growing rapidly in popularity belongs to the network alliance and thus it was the result of the development and severe competition of global airline industry (Johnson and Scholes, 2002:381). These days, the three largest airline alliances of the world are Star Alliance, SkyTeam and Oneworld which were established in the late of 1990s (Airline alliance survey, 2007). Nowadays, the airline alliances bring more convenience for travellers during the international fights because it can help them save money and time by using single ticket to fly on different frequent flight programs, and provide them with more departure times and destinations. Airline alliances can also reduce the cost and get more profit for the alliance members. However, that how to manage the airline alliance is still the strategic challenges for the members of the alliance. First of all, as the informal alliances, the members of airline alliance do not need to joint management and they just need to make technology, RD capability and so on together informally(Aaker and Mcloughlin, 2007:218). Moreover, any members still remain independent after establishing the alliance and therefore all the members are comparatively easy to separate from the airline alliance without any harm(Blythe and Zimmerman, 2005:113) (Johnson and Scholes, 2002:382). In 2007, the three largest airline alliances have already controlled 70% of world market. As the largest airline alliance, Star Alliance takes the 28% of the world market. (Xiong, 2007) How to keep the advantage is the main task in the future work. Under these circumstances, the members of Star Alliance should communicate well among members at all levels of organization, negotiate the agreement carefully a nd cooperate with other members to institute the suitable strategy for the Star alliance (Czinkota and Ronkainen, 2004). All airline alliances hope to enlarge themselves and control more market share. In order to enhance capacity of competition, Star alliance should attract some new partners. But at the same time, the more important factor is that Star alliance needs to develop the good working environment for the original members to keep them having the expectation of continuous cooperation and keep them making sure that they work with reliance from others. Otherwise, some of them may quit from the Star alliance and join the other alliance which will bring potential risk for the Star Alliance (Blythe and Zimmerman, 2005:114). From Lufthansas side, it needs to show its â€Å"trust and respect† to other members of this service network alliance (Johnson and Scholes, 2002:455). Without trust, no alliances will be successful.As the key point of success, trust is consisted of two elements: one is â€Å"competence based†, and the other is â€Å"character based† (ibid, 2002:383).The Lufthansa Aviation Group has already been one of the excellent airlines in the world especially in the year of 2007. Though Lufthansa places the leading role in the whole airline industry, which has more advantages in technology and service, it still needs to trust other members who have the capability to fulfil their task in the alliance and respect their decision making and approaches to motivation (Lufthansa, 2007). Moreover, Lufthansa should also trust and respect others attitudes and behaviours and keep good long-standing social relationships with others in order to develop the alliance and give itself the bright future. b. The alliance between airline industry and other industries As what mentioned above shows, the competition and development bring â€Å"airline alliance† to airline industry. It still leads the airline companies to find other co-operators to help them benefit from the competition. Lufthansa needs to consider the current status to face the challenge to improve itself and increase the capability of competition and development due to the impossibility in existence of individual company with its own ability. Sometimes, they will agree to local help in some particular markets. Lufthansa may enhance itself from cooperating with some firms which have already established a dominant position in particular market (Blythe and Zimmerman, 2005:114). Making a strategic alliance with other industry firms may enable Lufthansa to involve in new technologies and gain more innovation (Johnson and Scholes, 2002:382). For Lufthansa, it has already cooperated with other industries such as logistic/technical/Catering/Ground Services industries. How to find th e new business area is the critical issue for Lufthansa. For example, Lufthansa can cooperate with the toy industry which uses the brand of Lufthansa. Providing the free toy for children, it can not only win lots of customers who like this kind of service especially the parents and but also let more people familiar with the brand of Lufthansa. 2. Challenges from Customer Service According to the World Trade Organization, commercial services place a more and more higher percentage in the world business and they are becoming a more important component of every business (Blythe and Zimmerman, 2005:155). Compared with US$1.46 billion in 2001, commercial services have increased to US$ 2.71billiion in 2006 (Diao, 2007). For airline industry, service is the main product of every firm. Service contributes the main profit for the airline industry, so how to provide the high quality service and how to innovate service are full of challenges for the Lufthansa. In 2007, many airline companies find â€Å"a good service is just a little bit more than customers expectation† (VLEBA: British airline, 2007) In order to provide the excellent service, we must understand our customers. Customers are served by the company and they can decide which company to be chosen. If a company wants to get profit from customers and provide the suitable service to the customers, they m ust satisfy customers requirement. (Aaker and Mcloughlin, 2007:39-45) For airline industry, providing the convenient, comfortable and personal individual services are becoming more and more important for developing the quality of service. In order to improve the service, Lufthansa tried their best in 2007. The acquisition of 19% of the equity of JetBlue Airways is the big event of Lufthansa in the year of 2007 which â€Å"links two airlines with international reputations for quality, innovation and a service culture.† (ATW Daily News, 2007) Jet Blue airways is the way for Lufthansa to enter the US market in order to provide more convenient and more powerful service for America in Logistics which will save more money and more time for the customers. According to Lufthansas customer research of 2007, more passengers complain that they are boring to take the long distance fighting because they feel quite tied in the economy class just using one fixed seating position( Wei, 2007) . Because of serious competition among airline companies, providing the comfortable service is a key to gain more customers. If Lufthansa can make good use of A380s space, we wish it can design the new service that it can provide the three layer bed in the economy class (see the picture below). Though the price may be high, the new service will still bring the new challenge in the future because it is suitable for the customer requirement and bring more benefit for the Lufthansa. The economy class with bed (Wei, 2007) 3. Challenges from Global Environment Protection Recently, airline companies have been confronted with enormous environmental challenges such as carbon emissions, greenhouse effects and pollution prevention. According to the latest statistic data, international aircraft are responsible for 3% global carbon dioxide emissions but the figure is still increasing fast (Scheelhaase and Grimme, 2007). At the same time, though the environmental challenge have changed during the last decades and may be different among countries and companies, necessity of environmental awareness has aroused by a number of environmental pressures from governments, stakeholders and costumers and thus those factors will possibly affect the corporate strategies (Schot and Fischer, 1993). For worlds airline industry, with regard to reduction of greenhouse gas emissions, the implementation of internationally coordinated instruments seems not to be ignored and carbon dioxide trading regulatory which airline firms should subject to has already recommended by the Eu ropean Commission (BBC, 2005).Thus, the environmental programmes and policies of airline firms should be established due to both external pressures and intrinsic responsibility and awareness for global environment. According to the different characteristics and various stages of development, Petulla (1987) classified environmental management into three categories: crisis-oriented, cost-oriented, and enlightened, and he also argued that strong environmental responsibility may contribute to companys sustainability and long-term profit. For Lufthansa, substantial management is one of their corporate objectives and they carry out their integrated global concept based on a four-pillar model for climate protection including technical progress, improvements in infrastructure, operational measures and complementary economic measures such as global emissions trading scheme (Lufthansa, 2006). However, though those policies can be implemented by introducing new technologies and optimising orga nisational structure and operation (e.g. Lufthansa start operation with new aircraft A380 to renew their first class concept), the performance of environmental management is still arguable due to the first three pillars technical progress, improvements in infrastructure, and operational measures have priority in any cases at Lufthansa. Therefore, the most important factors that result in â€Å"enlightened† environmental management are: the CEO of Lufthansa has strong commitment with environmental compliance, and the firm should realise the fact that expenditure for environmental responsibility can be minimized in some level (Gupta, 1995). 4. Challenges from global economic environment and unpredicted incidents The further strategic challenge is associated with the global turbulent economic environment. Some strong impact and low probability event, which are characterised by ambiguity of cause, effect and means of resolution, may influence polices and strategies of companies (Pearson and Clair, 1998:60). For worlds airline industry, the gradually increase in oil prices have also forced the airline industry to face strategic challenges. It is forecast that high oil prices may slash global profit for 2008 by nearly $3bn (Milmo, 2007). According to the International Air Transport Association, the fuel price, which has hovered near $100 a barrel during 2007, is predicted to increase $14bn to the industry fuel cost (ibid, 2007). Obviously, high fuel expenditure may seriously impact on the profits of airline industry and slow down the growth rate of annual revenue. At the same time, some unpredictable disasters such as bird flu and terrorism attack (e.g. the event of 11th September 2001) will als o strongly impact the operation of firms. Thus, with regard to confront with this issue, global aviation will probably adopt relevant crisis consciousness and reaction plan which is associated with strategic management to avoid major disruption. Crisis management is considered as a multi-disciplinary process that not only be subjected to the place where the impact exists but also the actual management of a specific crisis for organisation (Sheaffer and Mano-Negrin, 2003). Hence, the participation of a group of managers is required by crisis management rather than being seen as the task of individual independent department (Pollard and Hotho, 2006). Moreover, that will not only highlight the commitment of senior management but also strong leadership to identify and handle the threat with the ideal of crisis management (Mitroff, 2001). For Lufthansa, they should make use of their â€Å"changed soul† and adopt flexible strategies based on teamwork to maintain competitive and cos t effective. For example, In September 2001, they performed the D-Check project which enabled the management to take quick and effective decisions to cope with the emergency incident (Haetty and Hollmeier, 2003). However, those crisis management based on teamwork is challenged. If the absence of individuals happened during the design process of crisis management, it may lead to the disruption to daily business and the costs linked with that disruption (Pollard and Hotho, 2006).Furthermore, the management of company still faces more challenges from external communication. Severe time pressures, inadequate or distorted information will also pose management of company to face problems such as stress at work (Shrivastava et al., 1988). Conclusion In a word, this report initially assesses the method of strategic change programme which Lufthansa applied in four aspects: reconstruction from functional structure to multidivisional structure, combination of human resources management and business strategy, control in the implementation of strategy, and new network alliance. Secondly, it analysed the importance and influence of leadership on organizational decision-making and employees motivation. The report also covers the effects of politics of Lufthansa on negotiation with the government and external environment. Following, we examine the current business environment and point out four crucial challenges for Lufthansa in the future: It firstly highlights the management of strategic alliance through the difficulties in cooperation with alliance members and exploration in the new market; the second point mainly contributes to how to improve excellent service to satisfy with customers requirement; thirdly, deterioration in global e nvironment may make Lufthansa carry out some environmental programmes; the further challenge for Lufthansa is that they should be conscious of economic environment change and some emergent events and draw out the reaction plan to respond. Bibliographies References Aaker, D.A. and Mcloughlin, D.(2007) Strategic Market Management, John Wiley Sons. 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