Coke Marketing Plan

Table of Contents Executive Summary6 Situation Analysis7 History of the Product/Brand8 Market Analysis9 Product Evaluation10 Competitor Analysis12 Marketing Objectives13 Marketing Strategies16 Selecting Target Market17 Developing the Marketing Mix18 Product Strategy19 Pricing Strategy20 Placing and Distribution22 Promotion Strategy23 Evaluation, Monitoring and Control24 Monitoring and Controlling26 Sales Analysis27 Market Share Evaluation27 Marketing Profitability Analysis27 Market Research27 EXECUTIVE SUMMARY Giant soft drink company Coca-Cola has come under intense scrutiny by the investors due to its inability to effectively carry out its marketing program. Consequently it is seeking the help of new Marketing Company to develop a professional marketing plan which will help the business to achieve its objectives more effectively and efficiently, and regain their iron fist supremacy on the soft drink industry. When establishing a new marketing plan every aspect of the marketing plan must be critically examined and thoroughly researched. This consists of following four major areas: †¢ Situation Analysis †¢ Marketing Objectives Market Strategies †¢ Implementation, Evaluation, Monitoring and Control Once Coca-Cola will have carefully analyzed these areas and have examined the industry in general the most suitable marketing strategies will be selected and ‘external threats and opportunities’ will be monitored and internal efficiency will be revised accordingly. SIT UATION ANALYSIS HISTORY OF THE PRODUCT / BRAND The organization that we have selected is The Coca-Cola Company which is â€Å"the largest manufacturer, distributor and marketer of soft drinks in the world† (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). The company offers over 400 products/brands in more than 200 countries (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). The product selected is their soft drink called Coca-Cola. Their mission statement and vision are given below: Mission everything we do is inspired by our enduring mission: †¢ To Refresh the World†¦ in body, mind, and spirit. †¢ To Inspire Moments of Optimism†¦ through our brands and our actions. †¢ To Create Value and Make a Difference†¦ everywhere we engage. (The Coca Cola Company 2007, Mission, Vision & Values) Vision To achieve sustainable growth, we have established a vision with clear goals. †¢ Profit: Maximizing return to shareowners while being mindful of our overall responsibilities. †¢ People: Being a great place to work where people are inspired to be the best they can be. †¢ Portfolio: Bringing to the world a portfolio of beverage brands that anticipate and satisfy peoples’ desires and needs. †¢ Partners: Nurturing a winning network of partners and building mutual loyalty. †¢ Planet: Being a responsible global citizen that makes a difference. (The Coca Cola Company 2007, Mission, Vision & Values) MARKET ANALYSIS Changes occurring in the organization’s macro- and micro environments have revealed a number of risk factors that have an influence on Coca Colas business, sales and consumer acceptance. Firstly, increased awareness about health issues has given rise to obesity concerns in relation to the consumption of Coca Cola (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). This may reduce the product’s demand. Secondly, water which is a major ingredient of Coca-Cola is becoming a scarce commodity and its quality is deteriorating due to pollution etc. This can increase the products production costs (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). Thirdly, a major portion (approximately 83 % in 2006) of The Coca Cola Company’s business comes from its bottling partners to whom it sells its concentrates and syrups. Consequently, maintaining good relations with the bottling partners is essential for the business. The bottling partners financial situation also affects Coca Colas business (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). Increase in cost of energy(electricity, natural gas etc) and raw materials(high fructose corn syrup, sucrose etc) can have a negative impact on the product’s profits (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). Unfavorable political and economic conditions in the local as well as international markets can have an adverse effect on the company’s profits (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). Unfavorable weather conditions like unusually long spells of winter cold can decrease the demand for the product (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). PRODUCT EVALUATION Product Life cycle The product life cycle comprises of five stages: product development, introduction, growth, maturity and decline (Kotler et al. 2006, p. 314). Coca-Cola is currently in the maturity stage, which is evidenced primarily by the fact that they have a large, loyal group of stable customers. In this regard, Coke has the advantage of it’s establishment of a strong brand name. Furthermore, cost management, product differentiation and marketing have become more important as growth slows and market share becomes the key determinant of profitability. SWOT Analysis: SWOT stands for Strengths Weakness Opportunities Threats. SWOT analysis is a technique that consists of examining the current activities of the organization- its Strengths and Weakness- and then using this and external research data to set out the Opportunities and Threats that exist. Strengths: Coca-Cola has been a vital part of world culture for a very long time. The product's image is loaded with over-romanticizing which has not failed to move people. The Coca-Cola image is displayed on a variety of items like T-shirts, hats etc. This extremely powerful branding is one of Coca-Cola's greatest strengths. Enjoyed more than 685 million times a day around the world Coca-Cola stands as a simple, yet powerful symbol of quality and enjoyment† (Allen, 1995). Coca Cola enjoys a large amount of customer acceptance as compared to it’s main competitors (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). Coca-Cola's bottling system is also one of their main strengths. I t enables them to conduct business on a global scale and at the same time maintain a local approach. The bottling companies are locally owned and operated by independent business people who have been authorized to sell products of the Coca-Cola Company. Coca Cola does not have outright ownership of its bottling network, its main source of revenue is the sale of concentrate to its bottlers (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). Weaknesses: Weaknesses for any business need to be both reduced and monitored in order to effectively achieve productivity and efficiency in their business. This applies to Coke as well. Although domestic business as well as many international markets are prospering (volumes in Latin America were up 12%), Coca-Cola has recently reported some â€Å"declines in unit case volumes in Indonesia and Thailand due to reduced consumer purchasing power. According to an article in Fortune magazine, â€Å"In Japan, unit case sales fell 3% in the second quarter [of 1998]†¦ scary because while Japan generates around 5% of worldwide volume, it contributes three times as much to profits. Latin America, Southeast Asia, and Japan account for about 35% of Coke's volume and none of these markets are performing to expectation. Coca-Cola on the other side has adverse effects on the teeth which causes health concerns among the consumers. It also has got sugar due to which continuous or excessive drinking of Coca-Cola can cause health problems like diabetes. Opportunities: Brand recognition is a vital factor affecting Coke's competitive position. Coca-Cola's brand name and reputation is well known across 94% of the globe. The major issue over the past few years has been to get this brand name introduced to as many emerging markets as possible. Changes in packaging have also affected sales and industry positioning, but on the whole the public has remained unaffected by the launch of new products. Coca-Cola's bottling system enhances the company’s prospects of growth opportunities around the world. This strategy gives Coke the opportunity to serve a large and diverse geographic market. Threats: At present, the threat of new competitors in the carbonated soft drink industry is not very substantial. On the other hand, the threat of substitutes is a very possible threat. The soft drink industry has a strong hold, but consumers have a lot of options available to them. Possible substitutes that continuously put pressure on both Pepsi and Coke include tea, coffee, juices, milk, and hot chocolate. This pressure has increased a lot during the last few years owing to increased health awareness. Even though Coca-Cola and Pepsi control nearly 40% of the entire beverage market, health concerns can adversely influence product demand. Of course, both Coke and Pepsi have already diversified into these markets, allowing them to have further significant market shares and offset any losses incurred due to fluctuations in the market. Consumer buying power is another key threat in the industry. The rivalry between Pepsi and Coke has produced a very slow moving industry in which management must be sensitive to and timely respond to the changing attitudes and demands of their consumers or risk losing market share to the competition. COMPETITOR ANALYSIS Coca Cola competes in the non-alcoholic beverages segment with various firms including PepsiCo Inc, Nestle, Cadbury Schweppes plc, Groupe Danone, Kraft Foods Inc etc (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). Specific beverages that Coca Cola competes with in Pakistan include Pepsi, RC Cola, Makka Cola and Amrat Cola. Competitive forces affecting Coca Cola’s business include pricing, advertising, product promotion programs, innovative ideas, production techniques, bottling, brand and trademark development and protection (The Coca Cola Company 2007, 2006 Annual Report on Form 10-K). MARKETING OBJECTIVES The marketing objectives section will indicate targets to be achieved across several marketing decision areas. The purposes of objectives include: †¢ To enable a company to control its marketing plan †¢ To help to motivate individuals and teams to reach a common goal †¢ To provide an agreed, consistent focus for all functions of an organization. (Kotler, Adam, Brown, & Armstrong, Priciples of Marketing, 2006) All objectives should follow criteria called SMART i. e. Specific, Measurable, Achievable, Realistic, and Timed. (Johnson) Coca Cola Marketing Objectives: †¢ The goals and objectives that are set by the company are firstly to put the Coke the Classic segment back on the growth path. †¢ In terms of volume, the company wanted to sell 8 million 8 oz. cases and by the end of the previous year the company had actually sold 7 million cases, but the target was 6 million 8 oz cases. †¢ The distribution goal is to achieve 40% numeric Distribution within 4 weeks of re-launch, currently it is 35. 55%. †¢ And in terms of share, the goal was to get and regain 65% of market within one year. Currently it is 60% of the market share. †¢ The recent performance of the business unit has been impressive and the company wants the coming years to be even more beneficial. †¢ To survive the current market war between competitors †¢ To increase the size of the worldwide Coca Cola enterprise by 20%, currently it is 10%. †¢ To increase awareness of the product on the market by increasing advertising. †¢ To achieve a 30% return on capital employed by August next year, current return on capital is at 20%. (Coca-Cola, Coca-Cola Company) MARKETING STRATEGIES SELECTING TARGET MARKET Target Market is defined as â€Å"A set of buyers haring common needs or characteristics that the company decides to serve†. (Kotler, Adam, Brown, & Armstrong, 2006) Once the situation analysis has completed, and the marketing objectives determined then the company’s attention turns towards the target market. As we know that the soft drink market is very large, and a product cannot be for all the people, so the company must choose which of the market segments have the greatest potential for its products. The target market is where Coca-Cola focuses its marketing efforts as it feels this is where it will be most productive and successful. The target market for Coca-Cola is very wide as it satisfies the needs for many different consumers, ranging from the healthy diet conscious consumers through Diet Coke to the average human through its best selling drink regular Coke. Most Coke products satisfy all age groups as it is proven that most people of different age groups consume the Coca-Cola product. This market is relatively large and is open to both genders. A marketing organization can adopt one of the three market-coverage strategies: †¢ Un-Differential †¢ Differentiated †¢ Concentrated (Kotler, Adam, Brown, & Armstrong, 2006) The most apparent method used by Coca Cola is with no doubt the differentiated marketing method as Coke satisfies a range of different markets. Diet coke satisfy’s the weight consciousness, regular coke, sprite, fanta, coffee, iced tea etc for average user group. Each product of beverages satisfies a particular group of people. Differentiated Marketing is defined as â€Å"A market coverage strategy in which a marketing organization decides to target several market segments and designs separate offers for each†. (Kotler, Adam, Brown, & Armstrong, 2006) DEVELOPING THE MARKETING MIX The marketing mix is probably the most crucial stage of the marketing planning process. It is also known as the 4 Ps of marketing. In 1964 Neil H. Borden published his article â€Å"The Concept of Marketing Mix† after which this term became popularized. This is where the marketing tactics for each product are determined. The marketing mix refers to the combination of the four strategies: †¢ Product Strategy †¢ Price Strategy †¢ Place Strategy †¢ Promotion Strategy [pic] (NetMBA) The most successful businesses have continually monitored and changed their marketing mix due to internal and external factors. PRODUCT STRATEGY A product can be defined as â€Å"Anything that can be offered to the market for attention, acquisition, use or consumption that might satisfy a want or a need. It includes physical objects, services,, persons, places, organizations and ideas†. Businesses must think about products on three different levels, which are: †¢ The Core Product †¢ The actual product †¢ The Augmented Product Coca Cola customers are buying a wide range of soft drinks. Consumers will buy the coke product because of the high standards and high quality of the Coca-Cola products. The Coca-Cola also offer a help line and complaint phone service for customers who are not satisfied with the product or wish to give feedback on the products. Positioning Positioning is the process of creating, the image the product holds in the mind of consumers, relative to competing products. Coca-Cola and Franklins both make soft drinks; although Franklins may try to compete they will still be seen as lower market from Coca-Cola. Positioning helps customers understand what is unique about the products when compared with the competition. Branding The popularity of the brand is often the deciding factor. Over the time Coca Cola has spent millions of dollars developing and promoting their brand name, resulting in worldwide recognition. ‘Coca-Cola' is the most recognized trademark, recognized by 94% of the world's population. (Coca-Cola, Our Herittage) PRICING STRATEGY Price is a very important factor in the marketing mix as it can affect both the supply and demand for Coca Cola. The price of Coca-Cola’s products is one of the most important factors in a customer’s decision to buy. Price will often be the difference that will drive a customer to buy the one product over another, as long as most things are about the same. For this reason pricing strategies need to be designed with consumers and external influences in mind, in order to effectively achieve a stable balance between sales and covering the production costs. Price strategies are important to Coca Cola because the price determines the amount of sales and profit per unit sold. Businesses have to set a price that is attractive to their customers and provides the business with a good level of profit. Long before a sale was ever made Coca Cola had developed a forecast of consumer demand at different prices which without doubt determined whether or not the product came in the market. The pricing strategy a business will use will have to focus on achieving the marketing plan’s objectives and support the positioning of the product, and take external factors such as economic conditions and competitors in to account. As customer loyalty has established with Coca-Cola, it can now slowly raise the price of its product. There has been a severe pricing competition between Coca-Cola and Pepsi products as each company competes for customer recognition and satisfaction. Till now it appears as if Coke has come up on top, although in order to gain long term profits Coke had to sacrifice short term profits where in some cases it either went under of just broke even, but as seen it has been all for the best. Pricing Methods There are four major pricing approaches that can be used. †¢ Cost-based Approach †¢ Buyer-based Approach †¢ Competition Approach †¢ Relationship Approach Kotler, Adam, Brown, & Armstrong, Priciples of Marketing, 2006) Over the years Coca-Cola has lost ground here in its pricing but has regained its strength as it employed the Competition-Based Pricing Method which allowed it to compete more effectively in the soft drink market. Now the Coca-Cola has become a market leader with loyal customers and some technological edge, thus the case currently with Coke, it was first the follower but through effective management has now become the leader of the market and is working towards achieving the marketing objectives of the Coca Cola. Survival in the market place, own 60 % of market share by 2007, increase further awareness of product and a return on 20% on capital are the current objectives for 2007†. (Coca-Cola, Coca-Cola Company) PLACE AND DISTRIBUTION STRATEGY The place P of the marketing mix refers to distribution of the product i. e. the ways of getting the product to the market. The distribution of products starts with the producer and ends with the consumer. One key element of the Place/Distribution factor is the respective distribution channels that Coca-Cola has elected to transport and sell its product. Selecting the most appropriate distribution channel is important, as the choice will determine sales levels and costs. The choice for a distribution channel for any business depends on numerous factors, these include: †¢ How far away the customers are †¢ The type of product being transported †¢ The lead times required and †¢ The costs associated with transport There are four types of distribution strategies that Coca Cola could have chosen from, these are: intensive, selective, exclusive and direct distribution. It is apparent from the popularity of the Coca-Cola’s product n the market that the business in the past used the method of intensive distribution as the product is available at every possible outlet. From supermarkets to service stations to your local corner shop, anywhere you go you will find the Coca-Cola products. PROMOTION STRATEGY In today’s competitive environment, having the right product at the right place in the right place at the r ight time may still not be enough to be successful. Effective communication with the target market is essential for the success of the product and business. Promotion is the P of the marketing mix designed to inform the market about who the company is, how good the product is and where they can buy it. Promotion is also used to persuade the customers to try a new product, or buy more of an old product. The promotional strategy is the combination of personal selling, advertising, sales promotion and public relations that are used in its marketing plan. Now days as most of the target market is most likely to be exposed by media such as television, radio and magazines, Coca-Cola has used this as the main form of promotion for extensive range of products. Although advertising is usually very expensive, it is the most effective way of letting the customers to know about Coca-Cola Products. Coca-Cola also utilizes promotions such as contests, coupons, and free samples. These activities are an effective way of getting people to give the product a check. EVALUATION, MONITORING & CONTROL The goal of the marketing plan is to outline the strategies, tactics, and programs that will make the sales goals outlined in the coke business plan a reality by the end of the season. There are a number of Key Performance Indicators KPI’s that are needed for the measurement/evaluation of the performance they can be given as, The monthly and the annual revenue generation, then the amount of expenses incurred in a month or in a year, then the increased level of customer satisfaction and ensuring the brand loyalty. For complying with these scenarios the advertising efforts made by the company the strength of the distribution channels, the launch of the new products and the pricing will be measured. The possible increase in growth of the target market also depends on all these efforts made by coke. The people who are responsible for the monitoring and control of the marketing plan involves, the Marketing Executives, Sales Managers, Media Managers, Market Research Departments, and the Product Managers. Some activities must be carried out for precisely and closely evaluating the effectiveness of the strategies and tactics for example the gathering and structuring of data regarding market, product, customer and the pricing trends, then the generation of daily sales report should be maintained and then in the end continuous reconfirming of the marketing budget and activities by the managers of different divisions Financial Forecasts Financial forecasts are predictions of future events relating strictly to expected costs and revenue costs for future years. There are five major marketing expenditures, which include research costs, product development costs, product costs, promotion costs and distribution costs. Sales force composite is the most logical method in forecasting revenue. This involves estimates from individual salespeople to sell to work out a total for the whole business. Once these costs and revenues are forecasted, management can then decide which combination of marketing mix strategies will deliver the most sales revenue at the lowest cost. Implementing Implementation is the process of turning plans into actions, and involves all the activities that put the marketing plan to work. Successful implementation depends on how well the business blends its people, organizational structure and company culture into a cohesive program that supports the marketing plan. For its further success, Coca Cola must impose several key changes. Production needs to be on time and meet the quota demanded from wholesalers. It must also be efficient so as not to build inventory stocks and inventory prices. The marketing needs to be motivated and knowledgeable about the product. The forms of promotion such as advertising must be attracting and enticing to the target market to get the greatest amount of exposure possible for the product. This will ensure the success of the product in the stores. Distribution of the product must be efficient. This problem has already been taken care of with convenient transport routes to commercial areas and transport already being arranged. MONITORING AND CONTROLLING Monitoring and controlling allows the business to check for variance in the budget and actual. This is important because it allows Coca Cola to take the necessary actions to meet the marketing objectives. There are three tools Coca Cola should use to monitor the marketing plan. They are the following: Sales Analysis The sales analysis breaks down total business sales by market segments to identify strengths and weaknesses in the different areas of sales. Sellers of Coca Cola products vary from major retail supermarkets to small corner stores. This gives its products maximum exposure to customers at their convenience. Market Share Analysis Market share analysis compares Coca Cola’s business sales performance with that of its competitors. Coca Cola looks to increase its market share by over 60%. With the changes Coca Cola is currently undergoing, they aim to regain an iron fist control of the market. Target market various age groups and lifestyles from high school students too universities, and male or female. Marketing Profitability Analysis This analysis looks at the cost side of marketing and the profitability of products, sales territories, market segments and sales people. There are three ratios to monitor marketing profitability; they are market research to sales, advertising to sales and sales representatives to sales. The results of these three tools can help Coca Cola determine any emerging trends, such as the need for a different product. Comparing these results with actual results gives the business an idea on when to change. Market Research When attempting to implement a new Marketing plan a business must address its target market and conduct the relevant information to insure the new marketing plan both differs from the old and is better for the business. When conducting market research a business must first define the problem and then gather the appropriate information to solve the problem. There are 3 types of information a business can gather to solve its problems. †¢ Exploratory Research which clarifies the problem an d searches for ways to address it. †¢ Descriptive Research is used to measure and describe things like the market potential for a product and characteristics of the target market. †¢ Casual Research is used to test a hypothesis about a cause and effect relationship. Coca Cola through its market research has addressed all three types of research to define the problems raised by shareholders and gathered information to serve their needs. Factors Influencing Consumer Choice When making decisions on products a business must look at factors that influence consumer choice such as psychological factors, Socio-Cultural factors, Economic factors and Government Factors. Psychological Factors: such as motivation, perception, lifestyle, personality and self concept, learning, and attitudes influence the consumer’s behavior towards a product and Coca Cola has addressed this issue by introducing Diet Coke to satisfy health conscious lifestyles. Socio-Cultural factors: such as culture, subculture, socio-economic status, family and reference groups influence the consumer’s behavior towards a product. Economic factors: such as Disposable income and discretionary income. Coca Cola has addressed this side of the influence by maintaining a low price on the price of its products. Government Factors: such as new regulations, inflation, interest rates all influence consumer spending and choice. (Alberto, 2007) References Alberto, J. (2007). Strategy Moves. Pearson Education. pp. 145-150 Coca-Cola. (n. d. ). Coca-Cola Company. Retrieved 07 03, 2007, from -: http://www. thecoca-colacompany. com/index. html Coca-Cola. (n. d. ). Our Herittage. Retrieved 07 01, 2007, from The Coca-Cola Company: http://www. thecoca-colacompany. com/brands/index. html Kotler, P, Adam, S, Brown, L & Armstrong, G 2006, Principles of Marketing, Pearson Education Australia, China , pp. 125, 331 Johnson, M. (n. d. ). Marketing, Market Planning, Market Objectives. Retrieved 07 03, 2007, from Tutor 2 U: http://www. tutor2u. net/business/marketing/planning_setting_objectives. asp Kotler, P. , Adam, S. , Brown, L. , & Armstrong, G. (2006). Priciples of Marketing. China: Pearson Prentice Hall, pp. 330-350 Kotler, P. , Adam, S. , Brown, L. , & Armstrong, G. (2006). Principles of Marketing. Pearson Prentice Hall, pp. 245,249 NetMBA. The Marketing Mix. http://www. netmba. com/marketing/mix/. NetMBA Business Knowkedge Centre. The Coca Cola Company 2007, Mission, Vision & Values. Retrieved July 05, 2007, from http://www. thecoca-colacompany. com/ourcompany/mission_vision_values. html The Coca Cola Company 2007, 2006 Annual Report on Form 10-K. Retrieved July 05, 2007, from http://www. thecoca-colacompany. com/investors/annual_other_reports. htm[pic]

CASE STUDY ON STRATEGIES OF SALES AND MARKETING FOR BUDGET HOTELS Essay

Sales & Marketing department of any hotel is the lifeline of the hotel. It is the department which ensures that the hotel stays in the news (for positive activities), has near 100% occupancy at rates which add to the bottom line of the hotel Balance Sheet. In a nutshell, Sales & Marketing department is responsible for bringing the business to the respective hotel by way of – Occupancy Number of Rooms. Seminars & Exhibitions. Other events so as to ensure that Business centre of the hotel are also a profit venture. SALES & MARKETING department has 3 distinct functions: 1. Public Relations 2. Event Management & its promotions 3. Room Occupancy- Business group Budget hotels offer low cost business hotel rooms for budget travel. The low price hotels offering leisure to budgeted travelers. For a memorable and unbeatable luxury hotel experience, Budget Hotels are the right choice for low price accommodation travelers . Budget Hotels Offer Low cost hotel rooms of the art amenities for international visitors like Luxury Ac Rooms, CCTV, Fridge, 24 hrs Room Service, Travel desk & Safe deposit, India Travel Packages etc. LITERATURE REVIEW According to Kotler â€Å"Marketing is a social and management process by which individuals and groups obtain what they need and want through creating offering, and exchanging products of value with other’s. (Kotler, Philip, Marketing Management: Analysis, Planning, Implementation & Control, 7th ed. 1996) In the Mind of the strategist Kenichi Ohmae defines marketing strategy â€Å"as an endeavor by a corporation to differentiate itself positively from its competitors using is relative corporate strengths to better satisfy customers needs, in a given environment setting (Khurana and Ravichandran, Strategic Marketing Management: Concepts & Class 1995). Or in other words, marketing strategy is a set plans or actions that attempts to satisfy the customer’s expectations by the use of organization’s strengths so as to strength the firm’s position in the competitive environment and leads to overall profitability and growth. Key Terms (Reich Allen Z. 1997) Strategy: Strategy refers to the plan for achieving a goal or objective. Webster’s definition for strategy (a noun) is: 1) The science of planning and directing and directing large-scale military operations, specifically (as distinguished from tactics), of maneuvering forces into the most advantageous position prior to actual engagement with the enemy; 2) Skill in managing or planning, especially by using strategy (a plan for deceiving an enemy). (Rich Allen Z. 1997) 3) Another definition of strategy is:  Ã¢â‚¬Å"something an organization or uses in order to ‘win’ or establish its ‘legitimacy’ in a world of competitive rivalry and numerous challenges to managerial autonomy†. Rumelt’s (1979) definition stressed that strategy was what a firm used â€Å"to create and maintain an ‘asymmetric’ advantage in its product markets† (cited in Thomas, 1993, p.3) Miles and Snow (1978) and Mintzberg (1978) agreed with the widely he ld view that â€Å"strategy reflects a pattern in a stream of conscious managerial decisions, aimed at ensuring organizational adaptation.† (Reich Allen Z. 1997) OBJECTIVE The Aim of this study is to understand who the function of Sales & Marketing in Budget Hotel. . Selling objectives and strategy.  Overview of the Sales division in terms of type, location, hierarchy and functions. Key objections faced by the sales personnel and the proposed solutions, Formation of sales budgets and sales forecasting. Reporting Format and Frequency. Size of the sales force. Sales Budgets. Factors taken into account while assigning quota and territories. METHODOLOGY {Explanatory} PRIMARY DATA: Questionnaire, Research, Survey Method, Interview. SECONDARY DATA: Internet, Relevant Magazines, Relevant Books, Journals, Newspapers, Periodicals. LIMITATIONS Difficulties in collecting of first hand data. It’s difficult to access the supervisory data. Constraints of time. Financial problem. Lack of co-operation between the researcher and the data giver. BUDGET HOTEL Roots Corporation Limited (RCL) is a subsidiary of The Indian Hotels Company Limited (IHCL). Incorporated on December 24, 2003, RCL operates the first-of-its-kind category of Smart Basics hotel chain across the country. IHCL operates Taj Hotels, Resorts and Palaces, one of South Asia’s largest and finest group of hotels. The company was incorporated on 1902 by the founder of the Tata Group, Mr. Jamsetji Nusserwanji Tata and opened India’s first luxury hotel, The Taj Mahal Palace Hotel, Mumbai in 1903. Launched in June 2004, the Smart Basics concept created a revolution in the world of Indian hospitality. A GenNext category of hotels, they signify simplicity, convenience, informality, style, warmth, modernity and affordability. The concept was developed in association with renowned corporate strategy thinker, Dr. C. K. Prahalad, and the hotels have been indigenously designed and developed by IHCL. The first of the Smart Basics hotel was launched in Bangalore and was called IndiOne. Having completed the test marketing of the concept and subsequent fine-tuning of the hotel facilities and services, the Smart Basics concept is now ready to roll out  across India. These hotels have been launched with a new name – Ginger Hotels – in sync with the fresh, simple-yet-stylish and warm world of Smart Basics. The Ginger Hotels are built around a unique concept that provides facilities to meet the key needs of today’s traveler, at surprisingly affordable rates. They have created a new category in the domestic hospitality landscape, while giving a major fillip to Indian tourism and other ancillary industries. The primary objective behind the launch of these hotels is to provide a superior product offering and consistent experience to travelers, beyond the present offerings in the industry. CONCEPT OF LOW BUDGET HOTELS IN INDIA. The budget hotels in India are recognized for their impeccable facilities and services that ensure a satisfying tour. The hotels are dotted all over the important tourist destinations since there are many budget travelers all over the world looking for cost effective accommodation. The tourists are going to benefit a lot from the budget Indian hotels that have tastefully appointed rooms and provide customer centric services to the travelers during their tour to India. The impressive packages are designed keeping in mind the taste, preference and likings of the tourists and are reasonably priced so as to make it reachable even to the common man. The budget hotels are well-acclaimed for their services and facilities that are always directed towards satisfying the needs of the guests. The hotels are professionally managed and feature neat and clean guestrooms that are tastefully furnished with the most modern facilities and room amenities. Budget travel in India is becoming increasingly popular and all the four major metropolitans of India are visited by large number of tourists each year. Thus to cater to their accommodation options, a large number of fine accommodations have come up that ensure an exclusive stay to the tourists. Though available at low cost tariffs, the budget hotels in India also cater to the corporate needs of the guests who drop in to India for the purpose of business. SCOPE OF LOW BUDGET HOTELS IN INDIA India, a land of diverse cultures and myriad tourist attractions, is visited by millions of tourists every year. The country is emerging as one of the fabulous tourist destinations of the world. Budget Hotels in India welcomes you for a comfortable stay in any place of India during your tour. Whether you’re in India for a pleasure trip or on business, you’re sure to find a hotel that suits your preferences. Smart Basics is much more than a catchy phrase. It is a philosophy of providing intelligent, thought-out facilities and services at a ‘value’ pricing. Smart Basics reflects the new spirit in which people live and work today. The emerging lifestyle which is visible in the degree to which individuals have taken control of their various activities viz. the use of email instead of letters as also the use of mobile phones, conference calls and video conferences to get things done quickly and efficiently. Essentially, Smart Basics signifies simplicity, convenience, informality, style, warmth, modernity and affordability. Simplicity and convenience in ease of doing business (awareness, booking channels, payment gateways); informality, style, warmth and modernity in its approach to product design, service philosophy and affordability in pricing. Customer-driven excellence: We anticipate expectations and delight our patrons with convenient and modern facilities at an unsurpassed value Entrepreneurship: We strive to take ownership of the tasks we perform and to create an environment that encourages and supports initiative and appropriate risk-taking Innovation: We believe that making meaningful changes to improve products, services and processes to create value for all stakeholders is an integral part of the daily work of the organization Valuing employees, partners and communities: We believe in nurturing and developing internal and external partnerships, balancing the growth of the core business while preserving natural resources and contributing to society Speed and agility: We deliver on promises with a sense of urgency and short response time Fun, joy and zing: We believe that a happy employee leads to a delighted guest TYPE OF SERVICES AND HOSPITALITY PROVIDED BY THESE HOTELS. Food and Beverage options Our hotels have a myriad of options when it comes to dining. We believe in giving you the best value in dining, as with everything else. The Square Meal: Open for breakfast, lunch, dinner and snacks 20†³ Large screen TV WorldSpace radio Dial-a-meal Order from a selection of menus from local restaurants and enjoy the meal at our resturant,collect the food at the Give ‘n’ Take counter Smart Basics Facilities and Services Ginger hotels have intelligently designed facilities and services, conceived with convenience and comfort in mind. Some of our features include: The Square Meal : The Multi-Cuisine restaurant for a wholesome breakfast, lunch or dinner Net Zone: For high speed internet connectivity Conference Room (seats 80-100 people) or Meeting room (seats 8-10 people) Laundry facility: Express delivery (same day delivery): Give your clothes by 9.30 am and get them back on the same day. Gymnasium: Equipped with treadmill, exercycle and weights, air power bike, dumbbells, dual action poles with stepper, wrist curler, doorway chinning bar and punching bag, yoga mat On-site ATM: From a selected set of approved/empanneled banks Secure parking: 24*7 security on-site: monitoring by CC TV Doctor on call Smart Basics , Smart prices We have a totally transparent pricing policy, with no hidden costs and additional levies. We believe in giving you true value for your money. Smart Planet — An eco initiative At Ginger Hotels, our values give special emphasis on environmental and ecological issues. We constantly work towards building a better and sustainable way of living by providing facilities to our customers without compromising on the environment. The steps taken by us speak volumes of the measures that have been taken to create a safer environment for the future. Smart Sleep A good night’s sleep is very important as it renews the mind and rejuvenates the body. At Ginger, we understand the importance of a good night’s rest and strive to make our guests incredibly comfortable. We offer state-of-the-art posturepedic mattresses, which provide adequate support, thus ensuring a good slumber. Our special mattresses help in: Providing advanced pressure point relief Absorbing and redistributing pressure from your body weight Delivering the correct orthopaedic support Sensing body motion and responding with increased support Reducing tossing and turning These mattresses are complimented with duvets that offer softness and comfort to enhance the sleeping experience. Our exciting new range of beautiful bed linen, our comfortable pillows, and sumptuous duvets add to your convenience and comfort. So, don’t forget to sleep smart the next time you are in Ginger Pune. *Smart Sleep is currently available in Ginger Pune. Smart Space Rooms At Ginger, we believe in the luxury of simplicity. Our Smart Space rooms are designed with comfort and practicality in mind. You can choose from: Single Rooms: Ideal for the lone traveller, yet does not compromise on any of the conveniences of the other rooms Twin Rooms: Separate beds for those who travel together Double Rooms: A queen-size bed for your comfort Family Rooms: Perfect for a family of four (at Delhi and Durg only) Special Room to look after the special needs of the physically challenged Our rooms are packed with features, to make your stay a memorable experience. You can find the following amenities: Electronic locks on doors 17-inch wall-mounted flat-screen TV 24-hour cable TV with all major channels Internet connectivity: Wi-fi Mini-fridge Tea / coffee maker with complementary sachets of Tea/Coffee STD and local direct dial, voice mail and self programmed alarm on phone Full-length mirror Ergonomic work area Wardrobe and luggage rack Self controlled AC Bottled water, Posturepedic mattress, Duvets Every room has an attached bathroom with the following facilities: 24-hour running hot and cold water Branded toiletries: Body & hair wash, and hand wash Shower area Bath and hand towels Safe Zone At Ginger, we realise the importance of safety. Our hotels designed for total security and has security features like: 24-hour security Close-circuit TV maintains records of all areas and visitors Swipe card locks that offer the latest in security Digital safes located at the Give ‘n’ Take counter at the lobby GINGER HOTELS IN INDIA. Ginger Mysore provides DOT (Department of Tourism) approved three-star facilities including all the special features of Smart Basicsâ„ ¢ such as Smart spaceâ„ ¢, Safe zoneâ„ ¢, gymnasium, meeting room, self check-in kiosk and is geared to make your stay comfortable and pleasant. Ginger offers clean, well-furnished and aesthetically designed accommodation equipped with amenities like mini-fridge, LCD TV, self-controlled A/c, tea and coffee maker and a telephone. COMPANY BACKGRAOUND AT HOTELS Roots Corporation profile Roots Corporation Limited (RCL) is a wholly-owned subsidiary of The Indian Hotels Company Limited (IHCL). Incorporated on December 24, 2003, RCL operates the first-of-its-kind category of Smart Basicsâ„ ¢ hotels across the country. IHCL operates Taj Hotels, Resorts and Palaces, one of South Asia’s largest and finest group of hotels. The company was incorporated on 1902 by the founder of the Tata Group, Mr. Jamsetji Nusserwanji Tata and opened India’s first luxury hotel, The Taj Mahal Palace Hotel, Mumbai in 1903. Launched in June 2004, the Smart Basicsâ„ ¢ concept created a revolution in the world of Indian hospitality. A GenNext category of hotels, they signify simplicity, convenience, informality, style, warmth, modernity and affordability. The concept was developed in association with renowned corporate strategy thinker, Dr C. K. Prahalad, and the hotels have been indigenously designed and developed by IHCL. The first of the Smart Basicsâ„ ¢ hotel was launch ed in Bangalore and was called indiOne. Having completed the test marketing of the concept and subsequent fine-tuning of the hotel facilities and services, the Smart Basics concept is now ready to roll out  across India. These hotels have been launched with a new name – Ginger hotels – in sync with the fresh, simple-yet-stylish and warm world of Smart Basicsâ„ ¢. The Ginger hotels are built around a unique concept that provides facilities to meet the key needs of today’s traveller, at surprisingly affordable rates. They have created a new category in the domestic hospitality landscape, while giving a major fillip to Indian tourism and other ancillary industries. The primary objective behind the launch of these hotels is to provide a superior product offering and consistent experience to travellers, beyond the present offerings in the industry. Contact Roots Corporation Limited Ginger Corporate Office Godrej & Boyce Complex Gate no. 8, plant no. 13 office building Vikhroli (E) Mumbai 400079 Phone: +91-22-6777 3366 Fax: +91-22-6777 3377 For reservations and enquiries Call national toll-free number 1800 220 022 or call our reservation network +91-22-66014634 Email: reservations@gingerhotels.com Value added services Taxi and traveller’s van service Doctor on call Check-in, check-out 12 noon SELF CHECK IN Save time and fuss with Ginger’s unique self check-in facility, which allows you to help yourself in without any assistance from the Front Office. The automated check-in kiosk, powered by Astrolifeâ„ ¢, has been introduced in India for the first time and our guests love it. SAFE ZONE Keep your valuables safe and secure in the state-of-the-art security systems Ginger has installed for you. All rooms have electronic tamper-proof locks. You also have the option of using the digital safes at the Give ‘n’ Takeâ„ ¢ counter, at a very nominal charge. GIVE N TAKE Keep your valuables safe and secure in the state-of-the-art security systems Ginger has installed for you. All rooms have electronic tamper-proof locks. You also have the option of using the digital safes at the Give ‘n’ Takeâ„ ¢ counter, at a very nominal charge. GYMNASIUM At Ginger, we realise the importance of   exercise as a stress buster and as part of a healthy lifestyle. All our hotels have well-equipped gymnasiums with treadmills, exercycles, boxing bags, weights, etc. Please help yourselves! MEETING ROOM Conduct your meetings and presentations at Ginger’s capacious conference rooms. Our meeting rooms seat about 8-10 people with boardroom style seating, wi-fi connectivity and audio-visual equipment. You need to inform us in advance if you wish to hire a conference room. NET ZONE Stay connected to your favourite sites in cyberspace with our high-speed internet connection at Net Zone. For those who want to avail of wi-fi connectivity, we offer wi-fi cards on sale at the reception. CURRENCY EXCHANGE Ginger hotels have a currency exchange facility where all major currencies and traveller’s cheques can be exchanged. WATER DESPENSER Quench your thirst with the complimentary bottle of mineral water in the minifridge in your room and, when you need a refill, just walk down to the water dispenser on your floor. VENDING MACHINES Vending machines have been installed at all Ginger locations. These machines are equipped with an array of products ranging from juices to toiletries. This 24-hour service will save you the trouble of stepping out of the hotel for a purchase. VISION & MISSION VISION Ginger is a fresh and warm experience, of an unsurpassed value. MISSION We provide smart, clean and safe hospitality offerings by adopting next-practices that constantly enhance value for our patrons. We are driven by respect for people and nature and passion for our stakeholders. VALUES Customer-driven excellence: We anticipate expectations and delight our patrons with convenient and modern facilities at an unsurpassed value. Entrepreneurship: We strive to take ownership of the tasks we perform and to create an environment that encourages and supports initiative and appropriate risk-taking. Innovation: We believe that making meaningful changes to improve products, services and processes to create value for all stakeholders is an integral part of the daily work of the organization. Valuing employees, partners and communities: We believe in nurturing and developing internal and external partnerships, balancing the growth of the core business while preserving natural resources and contributing to society. Speed and agility: We deliver on promises with a sense of urgency and short response time. Fun, joy and zing: We believe that a happy employee leads to a delighted guest. 11 HOTELS Situated on the airport road, Ginger Agartala provides easy accessibility to every part of the city. Located close to the International Tech Park in Bangalore, Ginger Bangalore is ideal for the business traveller. Stay at Ginger Bhubhaneshwar in the heart of the city, within easy distance of all important cultural and business areas. Conveniently located close to the City Centre, Ginger Durgapur is in the residential part of town. Situated close to Har-ki-pauri in   Haridwar, Ginger Haridwar is the first choice of pilgrims to the holy city. Nestled in the peaceful environs of the Vasanth Mahal road, Ginger Mysore is close to both the business and tourist centres. Located centrally in Satpur MIDC, Ginger Nashik is easily accessible from the bus stand, railway station and airport. Located in the French colony at Oulgaret Municipality, Ginger Puducherry is near to the airport. The Ginger hotel in Pune is in the Pimpri Chinchwad region, the industrial hub of the city. In Thiruvananthapuram, Ginger is located inside the sprawling Technopark campus. Conveniently located at Fatehgunj camp road, Ginger Vadodara is just 3km from the airport. COMPONENTS OF MARKETING SYSTEM In developing a marketing plan for a hotel, each of the following components, known as the 6 P’s of marketing system, are to be considered. 1. People 2. Product 3. Price 4. Promotion 5. Package 6. Performance 1. People ž Who are the present and potential customers? ž Where are they? ž What are their needs, desires and constraints? 2. Product ž What are the existing or planned facilities and services? ž How closely do they match? ž Do they address correctly what the guests want and desire? 3. Price Consider the hotels’ need to operate at a profit while offering products and services which are competitive not only with other comparable hotel facilities, but with other products such as vacations abroad, second homes, camping and the suchlike. 4. Promotion ž Utilize all appropriate communication media and merchandising tools ž Attract the attention of prospects ž See that the product and price are right 5. Performance Living up to what has been promised in every respect in order to maximize the guests’ length of stay, amount of spending, and loyalty, so that the guest becomes a repeat customer and the hotel’s ambassador of goodwill. 6. Package ž Comprises of incentives, including discounts and loyalty programs ž Attractive set of offers put together at what the customer perceives as a reasonable price ž Offers a good experience and value for money MARKETING MIX The three elements of marketing plans are as under. 1. Customer or Prospect Mix ž Who are the present customers? ž Who are the desired customers? 2. Service Mix ž What needs and wants of each group are now being met? ž What needs and wants of each group should be met in the future? 3. Promotion Mix ž How is the demand being activated and sustained? ž How should it be? ž Promotion mix includes Advertising, Promoting, Merchandising and Personal Selling VALUE AND WORTH Value is the customer’s estimate of the product’s capacity to his set of goals. Worth is the perception of the balance between satisfied goals and the costs involved in satisfying these goals. Good value is where worth is perceived as greater than the costs, and poor value where the costs are perceived greater than the worth. As consumer needs, wants and demands change, as competition increases, and as  technology offers new opportunities, the process of creating a consumer-product relationship is also the process of managing change. Broadly, advertising, promoting and merchandising may be described as the process of bringing the buyer and seller together once the needs of both these parties have been understood. PROMOTION The product in a hotel context constitutes a wholesome package on the offer, and attempts to satisfy and convey: ž The image of the establishment ž Quality of the product and service ž Style of management Prices ž Environment, facilities and services Promotion is an activity directly concerned with the product. Promotion should inform the customers of the establishment, make them aware of its existence, persuade them to buy and convince them of the image and quality of the product. This is done by way of: Personal selling Advertising Sales promotions Merchandising Public relations Agents Promotion is an activity which must be carefully planned and controlled. Usually the main objective of the promotional campaign is to stimulate demand by using persuasive messages to attract past users and new customers to the establishment. Such messages should convince prospective customers that the product on offer is good value for money. PERSONAL SELLING Personal selling is doe through contacts with local organizations and committees, or more directly through the restaurant staff talking to guests. All employees who are in contact with the customer must be made aware of the importance of selling the products to increase profits and provide a satisfactory experience for the customers. Personal selling is the most potent method of promoting sales where the seller has an opportunity to make a complete presentation of his sales story, answer all objectives, and follow through the computation of a sale with a signed order. All staff must therefore gain a good knowledge of the company’s products and services, and develop good social skills with an ability to promote and sell. Showing concern for the customers not only makes them feel comfortable, but also promotes sales and increases the effectiveness of the establishment. ADVERTISING Advertising should convey messages which influence customer behavior. Advertisements should convey and result in: ž An immediate increase in sales ž Awareness of the existence of the establishment ž Informing the public of the name and location of the establishment ž Telephones and faxes of the establishment ž Timings and dates of operation ž The type of offer – room, restaurant, catering, leisure activities ž Style of food and drink offered ž Unique selling propositions and special features ž Whom to contact for what Advertising messages should define and clarify: ž Objectives of the advertisement ž Menu offering ž Target customers ž Media type to reach target ž Timing of the advertisement ž Budget ž Product differentiators The medium used for the advertisement may be television, radio, newspapers, magazines and journals, Internet, pamphlets, brochures, posters, static poster sites, sponsorships, cinema and direct mailers. The selection of the medium depends on the budget and the target audience. Large hotel companies organize their own local campaigns. This requires that the hotel progresses and reviews the various stages in the preparation of various ads and be aware of the advertising production cycle. SALES PROMOTION Sales promotion is a day to day operation relating to discount offers, price reduction and special offers. They are designed to appeal to a certain section of the market or the target audience. Food festivals, for example, are held to promote cuisine and beverages of a particular region or country. A theme promotion may help the business and promote sales by way of volume of sales increased during off-peak periods by attracting new customers, gain publicity in the local media circle, and stimulate and interest regular groups. Follow up after sales is a very vital component of any promotional activity. MERCHANDISING The objective of merchandising in F&B is not so much to create new techniques, but to implement existing merchandising techniques to their utmost potential. A customer can hardly buy what he doesn’t know, and so all merchandising and salesmanship should be directed to the five senses of sight, smell, taste, touch and hearing. Based on these factors, we should analyze our restaurants in detail in order to establish adequate programs for improvement. Sight – The most common technique in this category is the use of visual displays. These not only include static displays of fruit or ice, but also menus, tabletops, trolleys and carts, and the suchlike. Smell – Aroma stimulates taste-buds, and the use of smell to sell is a very effective tool. Aromas used effectively in restaurants include freshly brewed coffee, exotic herbs and spices, and the like. Taste – Whereas the success of a restaurant depends on the taste of the food, successful merchandising may includ e pre-order tasting and niblets. Touch – Merchandising to the touch not only include various textures on the food but also such things as crisp napkins and beautiful crystal ware. DEFINITION OF MARKETING The word market is derived from the Latin work ‘Marcatus’ meaning goods or trade or a place where business is conducted. The term marketing is defined  as a ‘business activity planned at satisfying to a reasonable extent, consumer or customer needs and wants, generally through on exchange process’. The human needs are less and are important for his survival. The wants of people are many and varied and change with time, place and society. The wants keep changing with life styles, earning capacity of consumers, social values, education etc. Human intentions and decision to acquire may not be the same due to existing conditions. A man like or intend to stay in a five star hotel. He may decide (or acquire) a room in a three star hotel due to his tight financial position. Kotler defines marketing as â€Å"a social and managerial process by which individuals and groups obtain what they need and want through creating, offering and exchanging products of value with others. As per the definition by the American Marketing Association (AMA), marketing is â€Å"the process of planning and executing the conception, pricing promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational goals.† ‘Market’ traditionally is a place where buyers and sellers gather to exchange their goods. With this concept of markets, it is seen that Marketing means working with markets to actualize potential exchanges for the purpose of satisfying human needs and wants. To meet the exchange process in the market, considerable skill and work is put by one party to the transaction. To bring in the desired response from the other party in a market, the marketer has to analyze, plan, implement and control activities. Definition of Marketing Management, according to Kotler, is the process of planning and executing the conception, the pricing, promotion and distribution ideas, goods and services to create exchanges that satisfy individual and organizational goals. He has thus approved the definition of the AMA. Marketing Management is engaged in influencing the level, timing the  composition of demand in a manner that will help an organization to achieve its objectives. Marketing Management is basically demand management. COMPONENTS AND CLASSIFICATION OF MARKET Market is a social and economic institution which performs activities and provides infrastructure for exchange of commodities between buyers and sellers. A market is not confined to a particular geographical location, it exists wherever the fundamental forces of demand and supply exist. Market Components The following components are necessary for a market to exist: Two parties are necessary – one buyer/s and secondly seller/s Goods or commodity for transaction. Physical existence of goods is not necessary. Business relation and communication between buyer and seller and Demarcation-area or place there, uniform price or competition is not a condition. Classification of Markets Based on nature and dimensions, markets are classified as under: 1.Area of Coverage Local Market: Where buying and selling activities are taking place, where buyers and sellers belong to same or nearby villages. These are for perishable items like vegetables. Tehsil Level Markets: Market catering to buyers and sellers of taluka area. Buyers and seller meet for their stock of food grains and other daily use items. Regional Level Markets: Usually at district headquarters to cater to a larger area. National Level: Buyers and sellers world over meet in this market. These are large scale markets and business value and volumes are large. The items transacted include, silver, gold, non-ferrous metals, petro goods and machinery. In the recent past, agricultural commodities have also entered the area. 2.Location Village Market: The transactions between buyer and seller takes place in a small village center called a village market or a Haat. This meet is periodical, usually once or twice a week Primary Market: The villagers take their agricultural produce to the nearby town or Tehsil on bullock carts, buses or tractors-transaction in the town market takes place between farmers and products. Wholesale Markets: These markets are located at important commercial centers or district headquarters. The arrivals from villagers and other markets are large in quantities. The transactions take place among villagers, village traders and wholesalers. There are specialized marketing functions that take place in this market. They are commission agents, brokers, packers, weighment etc. These are also called Secondary markets. Terminal Market: This market caters to the final consumer or processor. These are organized and modern markets. These markets are in cities or state capitals and deal in many commodities. 3.Volumes of Trade Retail Markets: Where goods are brought and sold to consumers based on actual requirements. The retailers purchases goods from the wholesale market and sell in small lots to the nearby consumers. Wholesale Markets: The wholesale markets are in big cities or commercial centers in a district. The commodities are brought in bit lots bulk and sold in bulk. These markets balance supply and demand fluctuations and also determine the prices of the commodities being transacted. As such wholesale markets are an important part in the market scheme. 4.Time Span Short Period Market: These markets are for few hours or a day in a week. Generally perishable goods like vegetables, fruits, milk, fish, mutton are traded. The prices are fixed on the basis of demand pattern. Long Period Market: Where perishable items for a long period are traded. The items are food grains, oilseeds and oil. The prices are governed by supply as well as demand forces in the market. Permanent Market: Markets where commodities can be kept for any length of time like machinery, steel furniture, manufactured goods. 5.Number of Commodities General Market: These markets deal in a large number of commodities and of different quality and packages. The items are as groceries, foodgrains, oils, oilseeds, sugar etc. Specialised Markets: Markets where only one or wo commodities are transacted are called specialized markets. Examples are foodgrain markets, electrical markets, cotton markets and vegetable markets. 6.Type of Transactions Spot or Cash Markets: Where goods are exchanged immediately on payment of cash Forward Markets: In this market, the timing of exchange of commodity and purchase and sale of that commodity are not same. The goods are delivered at a later date. Sometimes the goods are not delivered at all, only difference being in sales and purchase price which are paid as per agreements. 7.Degree of Competition Market are seen from perfect competition to pure monopoly. The markets may exist different intermediate points. The markets are classified on the basis on basis of competition as under: Perfect Markets: The perfect market in true sense does not exist. This presupposes that There are large numbers of buyers and sellers. The buyers and sellers in the market have indepth knowledge of prices, demand and supply. Price are uniform in a geographical area- Plus or minus cost of transportation from surplus to deficit market. Plus or minus cost of storage over a period of time. Plus or minus cost of converting the product from one to another. Imperfect Markets: In this market, the conditions of perfect market are lacking. These are: Monopoly market where there is only one seller of a commodity. He has sole control. The prices are generally higher. When there is only one buyer, the market is termed as monophony market. Duopoly market is a market there are two sellers of a commodity in the market. Where there are only two buyers in the market, it is called duopsony market. Monopolistic competition: Where a large number of sellers are selling heterogeneous and differentiated forms of a commodity, the situation is termed monopolistic competition. Example – farmer has to choose between various makes or brands of pesticides, pumpsets and fertilizers. 8.Nature of Commodities Commodity Markets: Pertains to the types of goods like grains, cotton, sugar, fertilizers etc. Capital Markets: Markets where shares, debentures and bonds are purchased and sold as in share markets. 9.Government Intervention Regulated Markets: Where markets are controlled by government or statutory rules and regulations, pricing and distribution are as per laid down rules. Unregulated Markets: The seller or trader makes his own rules for conduct of business. These are not government rules for trading. The traders may exploit the situations. 10Accrual of Marketing Margins This is done on the basis of whom the marketing goes. These are usually cooperative market. These are prevalent in milk, fertilizer and sugar industries. The margins are distributed to the cooperative members. 11Type of Population Served Urban Market: Markets to serve the urban population. Rural Market: Markets to meet demands originating from the rural population. MARKETING SYSTEM Marketing activity presently dealt with focused on the commercial transaction between a seller and a buyer. The seller offers his commodities to the buyer to satisfy his needs and wants. The buyer purchases the commodity or services as per his needs and demand. Marketing Activity and Environment The framework or environment in which marketing activity takes place is within and outside the buyer and seller organizations – some are controllable and some are uncontrollable variables. Some variables can be controlled by the seller that is one can plan, organize and perform – whereas there are variables which are beyond and control. Five Ps The controllable variables are planned and their level of intensities are used to influence the target market. This is called the marketing mix. E.J. McCarthy developed the marketing mix. They are the five Ps-Product, Price, Packaging, Place and Promotion. The variables in each of these Ps is detailed in Fig. Product Price Packaging Place Promotion Quality List price Lot size Retail outlets Advertising Options Discount Durability Channels Personal selling Features Allowances Appeal Coverage Sales promotion Style Payment period Ease in handling Inventory Publicity Brand name Credit terms And Transport Transport Public relations Size Handling Warranties Store keeping Returns Appeal Value 5Ps and their variables MARKETING GOALS Marketing is an important and integral part of any enterprise. It follows of the organization, that is marketing desires goals from an organization. gives goals of an organization and its marketing arm. Organization Marketing Growth Product Sales growth Market development Diversification Profitability Maximum sales revenue Maximum contribution Market Penetration Market leadership Innovation Consumer satisfaction Image Company image Brand image Social image Goals of Organization and Marketing SELLING AND MARKETING CONCEPTS Selling concept holds that, if left alone, a customer will ordinarily not buy enough products of the organization. the organization must, therefore, go for aggressive selling and invest in promotional campaigns. This is a common man’s approach. The aim is to sell what an organization makes rather than make what the market wants. On the hand, marketing is a business philosophy that is opposed to the selling concept. The marketing concept holds that the key to achieve goals of an organization consists of being more effective than its competitors in evolving and executing marketing activities towards determining and satisfying the needs and wants of target markets. The concept is put is few words – â€Å"find wants and fill them† or â€Å"meeting needs profitably†. The difference between selling and marketing are detailed in below. Concepts Starting Points Focus Means End The Selling Concept Factory Products Selling and Promoting Profits through sales through The Marketing Target Customer Integrated Profit through Concepts Market Needs Marketing Customer Satisfaction DIFFERENCES IN SELLING AND MARKETING CONCEPTS Market Structure and Dynamics Market structure has to meet the requirements and adjust substantially to the changing environment. For good performance, the market structure should keep pace with: Demand Changes in Market The market structure should be reoriented to keep pace with demand for products in terms of size, quality, packaging due to changes in incomes, consumer tastes and habits. Product Changes in the Market The production pattern changes with technology, economic and institutional reasons. The structure should be reoriented to suit changes. Marketing Function and Cost Factors Market information, enfacing inventory holding patterns and transport facilities have bearing on the type of market structure. Should change as per costs and changes in Government policies. CHAPTER III DATA ANALYSE Questionnaire Based Analysis 1. Do you think customer satisfaction is the main goal of the management of a budget hotel? 2. Do you think ensuring the customer of all the comfort will always help in repeat business? 3. What do you think is the reason for lack of repeat business even if all services provided to the guest are budget hotel? 4. What should be the main aspect to be worked upon to attract suitable guests? 5. Why do you think prospective guests are attracted the most by in a hotel facility? 6. What do you think is more important- the tangible goods (food, room, etc) or intangible services provided by hotel employees (courtesy, chivalry, friendly behavior, etc)— 7. How important is branding according to you? CHAPTER IV CONCLUSION BIBLIOGRAPHY QUESTIONNAIRE CONCLUSION Hotel Industry in across the globe needs to give a greater in-depth thought to branding their products and services to reap the benefits of changing customer needs. The Hotel Industry as a whole must continue to ensure Customer Satisfaction and Loyalty and thus make all efforts to retain customers. Hotels must be given a higher ratio of importance as future trends signify that the mentioned sector will be a cash cow for the investors. Innovation is also proposed as a key to success in the Hotel industry currently and also for the future as competition is growing rapidly. So, it will be a good idea to establish theme restaurants with variety of cuisines. Emphasizing on areas like Semiotics would result in generating brand recognition and awareness. This would be a helpful tool in order to impact the consumer’s mind. Media is the recommended channel through which the impact can be profound. Ensuring exceptional guest care by each and every employee should be the norm. To ensure this, flatter structures are recommended to stimulate communication process and close working as a team. Staff levels must be offered better pay packages since they are the ones in direct contact with your customers. Competitive pay packages will also help in retention of staff and better services to the customers. Empower employees, encourage and -support them in their decisions to build confidence. This will lead to better customer service at guest contact points. Outsourcing options should be considered seriously, and in as many services as possible. This will definitely lower payroll costs and may also improve efficiency of operations. BIBLIOGRAPHY 1. Kotler Philip, Marketing Management: Analysis, Planning, Implementation and control, 8th ed. 1996, Englewood Cliffs, NJ:Prentice Hall, New Delhi. 2. Roberts, John Marketing for the Hospitality Industry, 1993, Hodder Stoughton, London. 3. Kotler, Philip, Marketing Management, the millennium edition, (10th edition) 1999, Prentice hall of India, New Delhi. 4. Reich A.Z., Marketing Management for the hospitality Industry: a Strategic Approach (1997), John Wiley & Sons Inc., New York. 5. Wearne. Neil; Hospitality Marketing, 2001, Global Books D Subscription Services, New Delhi. 6. Kotler, Bowers and Makens, Marketing for Hospitality and Tourism, 1996, Prentice- hall International, USA. 7. Pearce, J. II and Robinson, R.B. Jr., Formulation and Implementation of competitive strategy, 4th Ed. (1989), Homewood, IL:Irwin. 8. Knowles, Tim; Corporate Strategy for Hospitality, 1996, Longman Company Limited England. Trade Journal & Magazines: 1. Hotelier and Caterer 2. FHRAI magazine

Organisational Behavioral Disciplines Essay

Before we start, we must first understand what Organizational Behaviour is. Organizational Behaviour is a field of study that investigates the impact that individuals, group dynamics, and structure have on behaviour within the organizations and its effective use for the purpose of such knowledge towards improving its performance.A multidisciplinary field devoted to understanding individual and group behavior, interpersonal processes, and organizational dynamics. . Organizational behavior is built upon contributions from a number of behavioral disciplines/sciences, this is too understand, manage and predict effectively in a work environment. The first in psychology, sociology, social psychology, anthropology, and political science. Psychology is the science that seeks to measure, explain, and sometimes change the behavior of humans. It is used to improve organizational effectiveness and the work of individual in the organization. This is the learning, perceptions, personality, emotions, training, leadership effectiveness, decision–making, fatigue, boredom, and other factors relevant to working conditions that could impede efficient work performance. More recently, their contributions have been expanded to include, job satisfaction, decision-making processes, performance appraisals, attitude measurement, employee selection techniques, work design, and job stress. Sociology; Sociology studies people in relation to their fellow human beings to improve organizational performance. Some of the areas within Organizational behaviour that have received valuable input from sociologists are group dynamics, design of work teams, organizational culture, formal organization theory and structure, organizational technology, communications, power, and conflict. Social psychology Social psychology blends concepts from both psychology and sociology. It focuses on the influence of the people on one another. One of the major areas under considerable investigation by social psychologists has been, how to implement it and how to reduce barriers to its acceptance. Yet we find social psychologists making significant contributions in the areas of measuring, understanding, and changing attitudes, communication patterns, building trust, the way in which group activities can satisfy individual needs, and group decision-making process. Anthropology Anthropology is the study of societies to learn about human beings and their activities. For instance, anthropologists’ work on cultures and environments has helped us understand differences in fundamental values, attitudes, and behaviour between people in different countries and within different organizations. Much of our current understanding of organizational culture, organizational environments, and differences between national cultures is the result of the work of anthropologists or those using their methods. Political Science Political science studies the behaviour of individuals and groups within a political environment. Specific topics of concern here include the structuring of conflict, allocation of power, and how people manipulate power for individual self-interest. Challenges in Organizational behaviour Similar to the evolution of man and its environment there has been a substantial change in the approach for better productivity within an organization through the brainstorming efforts applied by a business executive /entrepreneur. Understanding organizational behaviour within a corporation and particularly the factors influencing the organizational behaviour of a single entity has become the key to the success of any organization. There is no one single approach to organizational behaviour which is best for all organizations; instead, organizations/companies or businesses must evolve the system which works best for them with the help of effective planning and technological support which changes over time as their current work environment and the individuals within that current work environment similarly. They are seven organizational behaviour current work challenges I have noted: I.One of the major current work challenges of organizational behaviour is finding ways to motivate employees as a way to improve activity. Some of the ways organizations improve productivity within the organization is to empower the employees. When organizations and businesses empower its employees, it gives them a sense of loyalty to the company because they feel like they are part of the success of the business. II.Second of the challenges of organizational behaviour is hiring the right employees for the company. Hiring the right employees for the organization is not only about finding the people with the skills and knowledge that the position requires, but also employees that fit into the organizational culture or can help to improve employee relations. For example, it can be de-motivating to employees if upper management is not open to progressive thoughts and actions that can move the business forward. Hiring a progressive and forward thinking executive manager who also has the experience and knowledge can help to give the employees a new outlook on the company. III.Third of the main challenges of organizational behaviour is how to run a productive organization but also show its employees that it cares about them as well. In other words, it is about helping employees find the right work-life balance. For example, a company that provides an on-site clinic center as an employee benefit or at a reduced cost is one way for the company to show that it cares about its employees both professionally and personally. This can lead to the employees contributing to organizational behaviour and culture in a positive manner. IV.Another example in challenges of organizational behaviour is overcoming ethnic and cultural diversity among employees. Because different employees have different beliefs, opinions and ways of working, it can be challenging for employees to work together because of these differences. Some organizations choose to offer diversity training courses or workshops to help overcome these issues. The point is to illuminate how the diversity of an organization actually makes it better for the different benefits that each of the employees bring to the table. V.It is easy for corporate scandals to reach the public within a short time. Organizations often have policies that facilitate ethical behaviour within the workplace. The challenge for managers is to promote an ethical organizational behaviour and culture such that employees will not put their individual interests ahead of organizational interests. Personal interest is an aspect of organizational behaviour and managers face the task of encouraging group interest over personal interest so as to preserve ethical values. VI.Last but not least, Individual employee problems can be personality conflicts, supervisor issues, personal trauma or company structure oriented. Organizations must learn the cause of the problem and who or what keeps â€Å"fuelling the fire.† If there is no clear trigger, the answer could fall back to insufficient or confusing communications. For example, an employee in a decentralized organization may feel they must answer to multiple supervisors if the chain of command is not communicated clearly. VII.Finally, Information technology plays an integral role in workplace communication. Additionally, workplace communication also influences how people and groups behave in the organization. Although technology brings with it efficiency in collating and disseminating knowledge, it can also alienate individuals such as the elderly within the organization. The challenge here is in finding ways in which technology promotes organizational communication and inclusion rather than exclusion and discrimination. Conclusion Various challenges confront organizations within the context of organizational behaviour. With new challenges arising every day, there’s a need for adaptation in the current work environment. With the use of technology and team building tasks, one can achieve a good working environment leading to a motivated and sustained work force.

PATRIOT Act Essay Example | Topics and Well Written Essays - 1250 words

PATRIOT Act - Essay Example This is because he explains that there is a need of submitting a leader who is not accountable to the people. The Patriot act on the other hand is a law enacted in 2001, aimed at fighting and preventing terrorism within the country. Thomas Hobbes in his book, the Leviathan, sets out to outline the best principles of government that can lead to prosperity, stability and peace. Thomas Hobbes begins his explanation of the role of the government, by explaining how life would be, without the government(Kitanov, 2011). Under this situation, life would be difficult and anarchic, because people would be engaged in carrying out anything that they want. They can kill, steal, or engage in activities aimed at frustrating their neighbors, just because they are strong. This is a condition that Thomas Hobbes refers to as, â€Å"The State of Nature†. For purposes of creating order within the society, there is a need of creating a social contract, and establishing a civil society (Hobbes and Schuhmann, 2003). This civil society should be governed by a sovereign authority who is not answerable to them (Kitanov, 2011). Furthermore, people within the society should cede some of their basic rights, for purposes of acquiring protection from the sovereign authority. Based on these facts, Thomas Hobbes believes that the doctrine of separation of powers does not exists, and this is because the sovereign must control the judiciary, the civil society, the military, and he must have the ecclesiastical powers (Hobbes and Schuhmann, 2003). Hobbes therefore explains that it is only through an absolute monarchy, that the society can be protected from the state of nature. By closely looking at these principles established by Thomas Hobbes, it is possible to explain that Hobbes was advocating for a dictatorship (Kitanov, 2011). This is a form of governance, where its citizens have very limited rights, and they cannot play a role in the governance

Why do oil prices keep falling Essay Example | Topics and Well Written Essays - 250 words

Why do oil prices keep falling - Essay Example The reason is to avoid a reduction in production by OPEC countries is putting pressure on the increasing US shale oil and gas industry and avoid a negative impact on the economies of these countries (Bowler, 1). Other reasons that can explain the fall in oil prices include increased efficiency in oil use and increased use of other fuels other than oil decreasing total demand for oil. Oil prices have impacts on US with the fall in oil prices resulting in the curbing of the US franchise shale oil production that has high production costs and its success was anchored on the high oil prices. The falling oil prices have direct boosts on consumption resulting in the stimulation of the economy to effect high growth. However, the effect on oil producers is delayed resulting in the negative effect on the economy after some time. The negative effects of the lower oil prices on the producers are a fall in profits, investments, tax payments, and hiring and the dividend payments will be lower. The overall influence of the fall in oil prices is increased economic growth in the short run owing to the direct benefits to the consumers but the eventual effect will reduce the growth of the economy from the effect on the producers, government, shareholders, among other

The Business of tourism Essay Example | Topics and Well Written Essays - 2000 words

The Business of tourism - Essay Example Obviously, the unaffordable travel cost in developed countries and all other impacts of economic recession on them have compelled people to choose India especially Kerala as one of the best tourist destinations. In addition to the unforgettable travel experience in this state of rich and dynamic culture, Kerala offers comparatively low-cost travel, cheap rate hotel pay and a variety of tour packages. It has become a choice for many western people to stay for the whole vacation in order to escape from the unbearable living expenses of their own home land. Besides the above mentioned features, as an emerging trend, medical tourism industry has become a fastest growing segment of the Kerala tourism. As the recent global financial crisis hit largely on European Countries, Asian countries have been highly benefited from medical tourism industry. The high cost of treatment in home countries has been pushing people to this region as alternative cost-effective destinations; and the trend has remarkably increased during recession. Majority of the patients in this category come from the countries like the United States and UK. Kerala enjoys its own remarkable share in medical tourism by providing its ancient system of medicine Aurveda. This herbal medication and technique of body massage known as ‘Panchakarma’ gained international admiration especially during the last decade. Traveling or staying in Kerala during recession would be an excellent idea to gain money and materials. As compared to other regions, living cost in Kerala is rather affordable. Moreover, recently there has been a notable fall in room rent and hotel bills since the economic downturn. (Iyengar P., 2008 p.59). Mumbai terror attack (2008) also affected Kerala tourism/hotel industry as there is only 1000 km distance between these two regions. (PRlog). Suppose in the United States, a room rent cost $10 for a day, it must

Contemporary Benefits Issue Research Paper Example | Topics and Well Written Essays - 1250 words

Contemporary Benefits Issue - Research Paper Example Sims (2007) highlighted that providing benefits in todays economy is a great challenge for the employers owing to the changing demographic and cost trends. Discussing about the most contemporary and dynamic compensation and benefit issues in the current decade, Sims (2007) highlighted changes in pension benefits, flexible benefits and healthcare costs and coverage as the most contemporary ones. In this paper, healthcare cost and coverage is the focus of attention as a contemporary benefits issue for employers. The paper analyses why and how offering health benefit is a major challenge for employers today and highlights the major components of this challenge. It also presents the implications of this challenge for the employers and discusses the possible future of this issue. Health benefits, according to Sims (2007, p. 467) grab the most attention of the employers today. Employees are also becoming more and more aware of health cover offered by the employers and demand it to be a part of their compensation package. Yet offering health benefits is challenging because of several accompanying issues such as the decisions on the premium rate (individual or group rate), employee contribution in premium, health cover for family, types of diseases covered, and the cover range (reimbursement of prescription drugs receipts, hospital fees etc.). Out of all the reasons, the main reason why health benefits poses a major challenge for the employers is because of the high cost of offering health insurance to the employees as stated by Sims (2007, p. 456) ‘the average cost of employer health plans continue to raise at a double-digit pace.† In addition to this, due to increased cost of living and increasing health problems employees have become conscious and demand health benefits to be a part of their compensation package. This increased concern of employees to receive health benefits in their jobs has made it difficult for the employers to

Evaluating Teachers Unions Article Example | Topics and Well Written Essays - 2000 words

Evaluating Teachers Unions - Article Example They also discover and develop individual skills and talents in students, and the senior teachers also guide and mentor their assistants and trainees (Wahlstrom & Louis, 2008). In addition to the standard lesson-exam tasks, teachers are also responsible for the overall growth and development of their students as insinuated by Mr. Pipler who states that he is responsible for the overall development of his students. Considering their overwhelming tasks and their instrumental role in academic implementation, therefore teachers deserve rewarding employment packages. Unfortunately, the government and other employers tend to ignore teachers’ welfares and hence they depend on teachers’ unions to advocate for them. Teachers’ unions present their grievances to the government and if they are not met they mobilize their members to engage in attention-seeking actions such as strikes (Hoxby, 1996). Many observers feel that some of these actions are extreme and that unions should engage in conciliatory talks to avoid academic disruptions (Boyd, Plank & Sykes, 2000). Union leaders and teachers justify their actions and declare that all their actions work to improve the education system (Boyd, Plank & Sykes, 2000). This brings up the following question: Are teachers’ unions a solution or an impediment to the improvement of the education system? I conducted an investigative researc h to answer this question and the findings were insightful. In order to understand the situation properly, we need to understand the professional demands and responsibilities of teaching as a career. Many people think of teaching as an 8 a.m. to 4 p.m. schedule job. Teachers engage in many academic chores after official working hours such as academic research, setting, and marking examinations. In addition to these academic tasks, we have to remember that teachers have a social responsibility of managing students (Wahlstrom & Louis, 2008).

Simone Martinis and Robert Campin's Annunciation Essay

Simone Martinis and Robert Campin's Annunciation - Essay Example Simone Martini is one of the second generation Sienese artists, being a student of Duccio di Buoninsegna. They both belong to the school of painting that flourished in Siena, Italy between the 13th and 15th centuries. The Sienese art has rivaled the Florentine art and its main figures are Duccio di Buoninsegna, Simone Martini and Pietro Lorenzetti among others. The Annunciation was created by Simone Martine in 1333 just a year before his death. The artist has had French influence since he spend time in the Avignon. The state at that time was enveloped with trouble, when the Great Schism was happening, with three men claiming to be pope at the same time. Simone Martini was undoubtedly influenced by the Northern artists as he met them when he was in service and the Avignon.On the other hand, Robert Campin is a Flemish artist during the fifteenth century when he was called the "Master of Flemalle†. â€Å"Flemish painting flourished from the early 15th century until the 17th centu ry† when â€Å"Flanders delivered the leading painters in Northern Europe and attracted many promising young painters from neighboring countries†. These artists had the experience of doing painting works in the foreign courts giving them a Europe-wide influence. He is considered the great Master of early Netherlandish painting in the Early Renaissance Period. The Sienese school of painting where Simone Martini was groomed was characterized by a more conservative art, inclined towards â€Å"the decorative beauty and elegant grace of late Gothic art†.

Inquiry 3 Essay Example | Topics and Well Written Essays - 750 words

Inquiry 3 - Essay Example I worked in the Treasury department which was a division of the Finance wing of the organization. Like any other organization, there were diverse cultures, races, beliefs and races, who worked in the organization. During my internship, I was afforded the chance to interact with a host of different people, with different views on life and the way the organization should be run. I had both bad and good experiences but I don’t think I will be able to forget my first day. Since it is a local bank, my internship was not exactly accorded to me through the proper channels. In fact, I think the main reason that I was given the opportunity, despite my impressive academic achievements, was the fact that my father previously worked as the branch manager of that branch and still had some contacts in the organization. Anyway, the world is run on strong social contacts and I guess I had that as an advantage. At the back of my mind, I thought that the internship would be a casual affair with no need for formal attire. Therefore on my first day, I showed up at work in a semi-formal fashion, no tie and no coat and you can imagine the surprise on the security guard’s face when I told him I was an employee. He must have thought I was a visitor or the son of one of the employees in the branch. At the entrance of the Finance division, I was ushered into a cubicle with two short African American gentlemen, who calmly enquired about my academic performance, my social lifestyle and gave me a quick orientation regarding the workings of the organization. They were very helpful and very friendly, with calm reassuring demeanors which I frankly found to be nothing similar to the stereotypes of African Americans, which perceives them as being loud and aggressive. They even jokingly warned me to look out for certain people who they quoted as being ‘nothing but trouble†. I could tell that they were the jokers of the office due to the informal set up of the

Islam Research Paper Example | Topics and Well Written Essays - 1750 words

Islam - Research Paper Example Introduction One thing is for certain, Islam like all religions without exception is beautiful, peace- loving, moral, and its core consists of humanity above all. The phenomenal prosperity of Islamic reformation was the result of its capability to lead the masses out of the wretched predicament generated by the demode civilizations. Islam launched a splendid chapter of social records of mankind. It hauled away the played out old, to establish the vital new. The quest of Prophet Muhammad was to invigorate the country, eager in inquiry of learning and power in the tide of evolution (Roy, 1958) Islam, like all others religions preaches its followers to do good deeds and refrain from bad ones. The purpose of every religion is to promote and spread love, peace, tolerance, and sustainability and Islam is no different. It is essentially a peaceful and tolerant religion and it is a shame that today we have turned a blind eye towards the beautiful and fragrant flower that is Islam and are ent angled in the nonnegotiable and complex web of controversies and misunderstandings surrounding it. Methods Research papers, videos, books, and websites relating to the research were explored and studied to substantiate the findings and providing a base for the discussions. Results Emergence of Islamic Culture Muslim youth are less inclined to the propensities of voluntary ethnic isolation of their elders. The group efficaciously makes friends with Muslims of different races and ethnic inclinations and also effectively develops friendships with people from Jew, Christian, or other religions that they meet socially or professionally. Children of immigrants are likewise step by step entering a broader range of professions and are becoming prominent with each passing day. Western culture has its qualities in its appreciation for the individual, the adaptability of its polite social order, and the limitations it endeavors to place on the haughtiness of political force. It has its shortco ming in its helplessness to yield family values and strict ethics to the longings of business and trade (Moaddel, 2002). The religion of Islam, taking into account the eager accommodation of the single person to the Divine Will is a fitting religion for such a social order. The Divine Will, as enunciated in the Qur'an uncovers the standards by which the welfare of the singular and the neighborhood are orchestrated. Along these lines, Muslims ought to have the capacity to uncover a critical place in Western social order, utilizing the structure for organization building and for singular progression to make utilization of the qualities of Western culture and to help overcome its shortcomings (HRH, 1993). Progressively, that is the thing that western Muslims have achieved successfully. Similarities I chose to discuss the most basic and most controversial aspects; One God The most basic and fundamental testimony of Islam and every other mainstream religion is having faith and believing that there is only one God. It was the most important and central message delivered to the followers, at first by Abraham, Isaac, Ishmael, and Moses (Prophets and Prophecy). Moses testifies; â€Å"Hear, O Israel The Lord our God is one Lord.†