proper marketing cover six flags essay
1 ) INTRODUCTION Six flags is a world’s greatest amusement recreation area based on the holding of properties and 5th greatest entertainment place based on the visitor presence In 2009, half a dozen flags dished up 23. on the lookout for million friends; it is the most significant by any kind of Entertainment firm. Company carries 14 houses in United states of america which includes normal water parks, excitement parks, games and family members entertainment Centres. (Themeparkpost. com, August 30, 2012). Angus Wynne founded six red flags Entertainment Firm in the year 1961.
It was just started as Theme park at first, nevertheless it offers amusement parks, games, eating places, Zoological leisure areas, children areas, concerts and shows.
This can be a public outlined company and listed in Newyork Stock Exchange (NYSE). This type has the corporate business office in Newyork and headquartered at Tx. It is energetic in 3 countries such as United States, Canada, and Mexico with 39 operating parks. James Reid-Anderson is the current chairman and Al Weber is current CEO from the company. (USA Travel guide, 2012) Provider’s net income is 13. 13 million (2011) and Income seems to 1 .
013 billion (2011).
It bears about early 1900s full-time workers and 27, 000 seasonal employees. It carries a personal debt of one hundred twenty million, because of the lack of cash-flow. (Six flags, 2012). OBJECTIVE STATEMENT “To deliver family members fun and produce fond memories for all the guests. This shows six red flags acts as a place for family unterhaltungskünstler and fulfil the wants of the people. VISION DECLARATION “To make the customers charming by providing top notch products and services which usually meets the expectation with the people This kind of show the six flags will be establishing goods and services with global standards of safety to fulfill customer requirements.
VALUES AND OBJECTIVES: The goals and values with the six red flags are: 5. To be environmental friendly to lessen waste and emissions. 2. To apply zero squander initiatives and minimize item footprints. * To increase and improve recycling process. These values act as a center of six flags. They are really not all set to negotiate or compromise about any of the elements to improve the organization to the next level (Six flags, 2012). 2 . EXAMINATION A. EXTERIOR ANALYSIS This analyse regarding the outside environmental factors including demographics, social/cultural, customers, suppliers and competition of 6 Flags. i) PEST Research.
* Political United States elections are likely to be organised on November 2012. Also power alterations, political stability will be always maintained presently there. Also both people inspire tourism sector as it is one of the largest sector of income generation. During his regulation, Obama went to Disney world and conducted selection campaigns around Magic kingdom to support their very own views (Sara K. Clarke, Jan nineteen, 2012). This shows both have the positive opinions towards tourism sector. Consequently we will not knowledge any concerns at present, but it may happen in the future of personal changeover. * Socio-Economic Aspect.
There are two important factors which can affect the socio-economic culture of the Americans. They can be: 1) Ageing of society ” Need for Singles and Empty nesters Like remaining world, US are an getting older society. In the middle 2000-2050, the age of group of 65+ is supposed to increase by simply 135% in 2050. (Joshua M Wiener, Oxford journal). Hence it will have increase of only 32% in age bracket of 16-64. This show there will be not really sufficient quantity of younger generation people to enjoy the theme parks. This is a kind of far exterior factors which may affect six flags (Joshua M Wiener, Oxford journal).
2) Increasing income of middle school people Possibly during the global economic crisis in 2008-2009, it affected the people with the substantial levels of salary alone. However the middle school people balanced at that time and contributed for the monetary development. This kind of chart shows the middle school people monetary growth globally. So this shows the level of GROSS DOMESTIC PRODUCT of nation can be compensated with the income of midsection class people rather than top quality people. (Mario Pezzini, OECD, 2012) ii) Porter five forces * Rivalry In United States there are 5 major theme recreational areas such as Walt Disney, Planks fair, Widespread Studios, Six Flags and Merlin Entertainment.
Every company provides different offers to draw customers towards them. For instance , in Orlando, Universal companies and Disney gives seats to buyers with difference in $4or $5 dollars during summer. In six flags, they have joint venture with coke and supply discounts to persons whom bring up all their coke container to the administrative office. Yet there is significantly less probability upon return on investment and profits. Consequently six flags understand the industry situation and made improvements within their operational superiority. (Doug kerr, 2011) 2. Bar-gaining benefits of customers.
Not necessarily difficult to catch the attention of customers throughout the good economical conditions, however it is not easy to achieve more customers during economic downfall. It happened twice to get Six red flags during 2001 terrorist harm and 08 global overall economy. (Economic Times, 2001) During 2009-10, just about every company showed their manufacturer differentiations to prioritise their customers. Disneyland provided free entrance to the birthday persons in which six flags afford 7day package cost of resort with the rate of 4 days. Hence half a dozen flags have to attain customers towards all of them, at degrees of economy. 5. Bar-gaining power of suppliers.
Bar-gaining power of suppliers in this industry totally depend upon which latest technology that they can offer. Suppliers are ready to spend cash according to the additional featured offered by theme parks. International Affiliation of Theme parks and Interesting attractions (IAAPA), conducts convention yearly to show the current technology and allows theme park owners to bid it. It will help six flags to increase the standard with the aid of technology. (IAAPA, 2012) 2. Threat of substitutes The most important challenge that entertainment sector has to conquer is its competitors.
Cedar fair presents club actions and areas to show all their differentiation. Disney offers two worlds greatest cruise ships to exhibit its brilliance. So the people can turn their interest toward our competitors or different entertainment parts like ethnical centres, botanical gardens and multiplexes. So service provided by Six flags should fulfill the expectations of customers and to overcome competitors. 2. Threat of recent entrants Entertainment Industry is known as a vast water and it is not easy to succeed in that. Huge expenditure and People recognition is need to there.
Corporations like Hard Rock Recreation area have gone through bankruptcy regardless of establishing this business. Hong Kong Disneyland is a only place where the fresh entrants prevailed. So there may be less possibilities of new entrants in these industries (Pierson K Weber, 2012). B. INTERIOR ANALYSIS i) Value Chain Analysis To comprehend the competitive advantage and shareholder value of the business, it is better to split up the supervision with worth generating activities called worth chain research. We are going to review primary activities and support activities individually. Primary actions * Operation.
* Half a dozen flags contains skilled employees who are friendly with all the customers. In addition they amuse the purchasers with their multi-talents. * Environment is produced according to it and it is eco-friendly for the ambiance. Regular repair and taking is completed. * Marketing and Sales 2. Apart from ad and campaigns, “word of mouth is the biggest promotion for half a dozen flags. 2. Special events will be conducted pertaining to the important occasions like Olympics, FIFA and also for crucial festivals like Christmas and New-year. 2. Having joint promotion with Coco Coca-cola for its promo and discount prices.
2. Service * Service will be based upon both the As well as Children Entertainment. * If perhaps customer maintain lodging center in Superb Escape, hotel of six flags they will be provided ticket with 20% discount. (Joshua M Wiener, Oxford journal). Support Activities 5. Infrastructure * Built based on the regulations of government and requirements of stylish. * Energy saving policies can be executed by option energy sources. 5. Safety of individuals is considered as first concern in six flags. 2. Procurement * Themes employed in six red flags, United States will be seen in additional countries just like Belgium and Canada also.
Hence they are basic attractions of half a dozen flags. * They also import products via Germany and United Kingdom as they are best exporters of Sequence components and Steels. 2. Costume designers are helped bring down coming from different parts of the world to design new products and characters that attract people. 2. Human Resource Management * Recruit residents at all countries to get over cross-country social issues. * Carries out an organised way of the work. 2. Coaches sub-ordinate to understand the objectives and achieves the task easily. * Technology Advancement.
* Possess its unique operating technological features. * Alliance with Tatweer will increase audio lovers to maneuver towards half a dozen flags. 2. Developing the beach resorts, land obtain and recreation parks around the coastal aspect of America. (Oswald A Mascarenhas, 2004) ii) Inside Strength and Weakness Particular number of factors which will describe the skills and weak point of the Half a dozen flags. 5. Strengths * Six red flags implemented very well executed approach of having it is theme theme parks in every 150 miles of America, which will cover 67% of its American population. This is actually the greatest strength of Half a dozen Flags.
2. They establish and maintain relationship between buyer loyalty and financial steps. So they could predict how long it will take to reap all their investment cost. * License with Warner Bros POWER Comics help the company to get to the children very soon. * Alliance with junk food restaurant and convenience stores enables all around entertainment section inside one place for customers. 2. Weakness 5. Company started to lose their loyalty to customers as a result of unexpected break down of roller coaster and incidents that happened in last two years.
* Employee’s morale or perhaps attitude towards customers seems to be low in 6 flags. Inspite of it five managers have been thrown away coming from job just lately. * Popular rides just like raging half truths and batwings are operated with low capacity of people. * In comparison to Walt-Disney and Cedan Fair, Six flags show less interest in preserving cleanliness. (Miriam Marcus, 2008) Current Problem/Threat: Due to extra investment for same place and technology, six red flags lost the financial development and position in the market. This failed to control it income and suffered a lot during global overall economy.
Soon company convinced the shareholders and sold real estate to control their debt. This season, a new CEO, Jim Anderson was appointed and he was working hard to take care of company’s earnings with new board of directors. several. STRATEGY FORMULA: ALTERNATIVES i) Market Advancement: Finding a Hard anodized cookware Partner Half a dozen flags had been founded in the year 1961. Through the years that concentrated typically on the American continent. Still it would not open cost-free hands to accept the globalisation policy. Plus it experiences individual bankruptcy in the past and struggled in balancing its cash moves.
To defeat company’s budget and regain its status available in the market Six red flags should go through Foreign Direct Investment (FDI). It can make investments on the world’s famous holiday destinations where persons gather a whole lot throughout the year. Supply: WTO, 2010 Our main Challenger just like Disneyworld and Universal Galleries entered Markets from the asian continent in the beginning of 21st century on its own. Disneyworld emerged in Hong Kong and Tokyo; Universal Galleries expanded this markets in Singapore and Japan. By the same way, 6 flags can easily invest on the Asian growing markets.
As a result of software expansion and scientific advancement, persons around the world acquired addicted to Net and Online games. There are valid reasons to help to make investment in Asian markets. They are, * Possibly Asian people’s interest gets forward in technological improvement; still 60 per cent of people in Asia offer preference to their outdoor entertainment factors (Sports week, 2010). * Likewise Asian country holds forty percent of world richest persons (London Moments, 2011). This shows peoples’ interest and economical state are favourable to us to make profit and solve the debt challenges.
So , it is best to establish motif parks in Tokyo, Chinese suppliers or Singapore. The factors to be considered before starting within a new region is * We need a massive initial cost * Countries rules and Regulations needs to be flexible. * There is also a sort of financial risk in this. In like manner overcome monetary risk, we want an Hard anodized cookware partner who may be eminent in major Asian countries. I recommend Oakwood or Press Asia Entertainment group will be the best choice of our Asian partner. This is because these two companies are in the Entertainment industries for more than half-a-century and efficiently done main projects in Asia.
ii) Product Development: Cutting the Cost employing new Technology Six flags are famous for the Roller-coaster drives. Sky-Coaster, Batman Bat-wing coaster and Outrageous one are the best roller coaster pushes acknowledged by people. In the fast moving globe, people expect new and innovative factors almost in everything. Competition like Planks fair and Disneyland destruction Six red flags mostly from this factor. (Fox news entertainment, 2010) They have undergone a big change in their offerings constantly just like Night of happiness and Art of Animation.
But still half a dozen flags comply with old traditions like Animal kingdom, creatures shows and roller coaster drives. To be steady in American markets, six flags continuously needs a transform. Holding the fame of world’s largest amusement playground of one hundred thirty five acres, 6 flags can offer Adventurous games and more inside games. Games like solution and Daring Island will give new thrills to the buyers. ADVENTUROUS ISLAND3D GOLF Also Games just like 3D Golf, 3D Basketball, 3D Basketball and THREE DIMENSIONAL shooting can give people actual life experience of playing these video games. Along with Family entertainer, this place can change since heaven to get youngsters and teenagers.
By implementing fresh technologies, cost of the company may be controlled. The factors being considered prior to introducing the features are 2. Large space needed, since it is available with the six red flags. * Safety measures should be carried out and ill-people and children should not be allowed for adventurous video games. * World famous game designers and computer software developers are needed and cost must be invested about them. PRIORITISING THE STRATEGY The two strategies will be better method of gaining revenue. But when contrasting with employing new technology it is best to go way with finding a new Oriental partner.
Your investment seems to be more to find Asian spouse, ROI could be achieved in a given time and earnings can be managed soon. New-technology takes a while to achieve their targets and profits. Therefore , I recommend Finding an Hard anodized cookware partner could possibly be the primary goal and technology development maybe the supplementary goal of Six flags in the future. 4. STRATEGY SETUP The above approaches can be implemented by the ways of cost-benefit evaluation, Marketing strategy and HR plan. i) Cost-benefit Analysis Cost-benefit research is defined as the evaluating the organization.
That assess whether the benefit of the task is worth in a position or not. It also explains regarding the company’s services that offer to the world. As per the previous encounters, the following data’s are tabulated. The under table displays the expected 1st yr financial data for the development of Amusement park at Hong Kong. This is the favourite tourist location and business hub, in which more than twelve million people visits in this article every year. H. NO| ELEMENTS NEEDED| TOTAL| 1| Each of our Asian spouse Oakwood, who will be the leader of entertainment and infrastructure can provide as land.
| -| 2 . | Initial installation cost must be invested| USD$ 1 Billion| 3. | Expected First year Attendance| 2 Mil people| some. | Expected Cost of ticketed sales/person| USD$ 60| 5. | Expected revenue Made | USD$ 120 Million | six. a)| ExpenditureFixed cost sama dengan Construction expense + Wage of staff + Maintenance| USD$ 30 Million| b)| Variable expense = Strategies + Transportation + Unforeseen accidents & Insurance & Marketing| USD$ 30 Million| 7)| Anticipated profit by the end of very first year| USD$ 60 Million($30 Million to get six flags$30 Million pertaining to Oakwood)|.
(Six flags Arizona, 2006) The chart below shows the break-even analysis of Half a dozen flags for its new establishment in Hong Kong. By doing break-even analysis we can say that First cost can be regained inside 2 years. Therefore the cash-flow of the company can become steady and the debts may be cleared as soon as possible. Shareholders can be given 15% of dividends every year and persons who invest a lot more than $10 , 000, 000 will be presented 40% of company stocks and shares. Reason for choosing Hong Kong:
The factors that enhance half a dozen flags to develop its theme park in Hong Kong are: 5. Hong Kong is one of the world’s famous tourist location where a lot more than 10 mil people check out every year. 2. The country stimulates tourism sector, also it will act as the main income of the nation and helps to enhance its GROSS DOMESTIC PRODUCT. * Hk gives additional, incentives and tax faveur for entertainment sector to encourage the tourism. 2. It also provides us choice to take away 70 percent of revenue and leftover to be re-invested in Hong Kong again. (HK Discovery, 2011)
Benefits to get Hong Kong by making use of Six red flags * The business builds job for you to local people. 5. It also Uplifts the people below the economic standard. * Hard anodized cookware people cannot travel to American to enjoy the world famous Six flags journey drives. 2. Getting the persons out of cyber world and keeping these people engaged in real time entertainment section. * Changing the perspective of the people. * Natural assets will be explored well. 2. Developing totally free lands and promoting woods plantations which are essential for the normal rainfall.
5. So in this way six red flags show their social responsibility in Hong Kong along with its Entertainment place. ii) PROMOTING MIX Advertising Mix can be explained as “Putting the best product in the right place in the right time with the right price. Therefore it points out about the merchandise, place, value and promotion of the business. PRODUCT 6 flags will offer the products according to the fascination and requirement of Hk people. They can be: * Journey drives would be the unique advantage of 6 flags. Hereafter Hong Kong people can knowledge it in their homeland on its own.
* In Hong Kong six flags, apart from normal divisions like Animal Kingdom, Untamed life displays and Painting tool coasters, six flags ideas to open fresh sector for affordable cost * Ambitious Island, paint-ball shooting will probably be its fresh offerings which in turn attract the teenagers and middle school people. 5. Apart from that it is better to add Yard fantasies, Railroad road Entertainment and Road dance Entertainment which is the fundamental enjoyment popular features of European persons. * Inside the above said offerings, half a dozen flags is going to shows the culture and tradition of western and American people through music and party.
* Online games like 3D IMAGES golf; 3D IMAGES racing will show its technological development and brand difference of six flags above its opponents. * Person portions happen to be allocated to disabled people and games like shooting drinking water cannons and play supermarket will be included. * This again displays Six flags will be all-time family unterhaltungskünstler. PRICE Hk six flags should present their selling price in the affordable cost, because the world famous theme parks like Disney land and Ocean Area are already doing their business there. 5. Tickets will be categorised essentially into 4 divisions particularly, 1) 1-day ticket.
2) 2-day admission 3) Night tickets 4) Tickets for resorts and hotels Approximated cost for each and every section has below with competitive rates for Disney and Water Park. 1) 1-day ticketed 1 day tickets are offered with three diverse segments, intended for children’s, middle section age persons and Aged aged people. Lowest ticket expense will be away HK$100 to get senior citizens and highest value with HK$399 for central age persons. 2) a couple of day ticket The 2 day ticket is usually offered together with the three diverse categories through which children are provided low-cost ticket of HK$355 dollars and Middle age people are offered HK$499.
It can be difficult to experience every single game in a single day while six red flags hold huge entertainment areas and specific zones. Hence it includes 2 working day ticket for the surfers to enjoy the excitement of 6 flags entirely. 3) Night time tickets Normal costs of Night seats are set as HK$259 and children below the associated with 3 are not allowed for this kind of show. Laser beam lights demonstrate, cultural move and road dance will be the notable situations of nighttime shows. Evening shows are organised around sea shores and foreign people can have the beauty of Hong Kong during night occasions. 4) Lodge resorts.
Since Hong Kong is a famous holiday spot and Business hub of Asia, six flags plan to give resorts prices in both extremes to focus on family and entrepreneurs too. Back garden view places costs HK $1550 which is its nominal cost to a family event and Marine view areas which are are available the rate of HK$ 1800-2500 for premium business consumers. All the tickets and areas can be reserved through on the net with the help of six flags and some other tourism websites. Seat tickets will cost significantly less as visitor’s book all their tickets before 30 days of their travel plan. PLACE.
We intend to have Oakwood as the Asian spouse, who are the leading entertainment company inside the Asian region. Our theme park is going to be established with 40 acres of land that is situated not far from Avenue of stars and Hong Kong conference and Display centre. This place provides for a centre of attraction pertaining to tourists. Considering that the place can be surrounded with Sea shore at both equally sides, Big Buddha statue at the North and Temple Street night marketplace in the To the south. This place is not really hot with the city, nonetheless it is situated incredibly nearby amazing sea shores of Hk.
As there are 45 acres of land provided to all of us by Oakwood, we can have parking for over 1500 automobiles a day. Taking plants will be constructed inside the theme park to recycle the used for interior games. Likewise lot of trees are selected and planted to protect environmental surroundings and for necessary rainfall of Hong Kong. CAMPAIGN In entertainment business, campaign should be given equal importance to the amount of establishment. You will discover lot of options that enhance our organization. As Oakwood is the undertaking Film and television creation, we enhance six red flags through television advertisement and through cinema advertisement.
Hk people shows lot of desire for music Sector. Hence with the aid of Oakwood very own theatre intended for musical and fashion displays six flags plans to reach the people. Along with that expanding Android online games for cell phones in the name of thrills available in half a dozen flags can also be a promotion for six red flags. Creating Deal with book community and applications and executing marathon races for ASSISTS patient will enhance the industry’s brand towards the extreme. As well DVD and photos regarding six flags will be provided for the someones address who visits Half a dozen flags, Hk for the first time.
These things will promote six flags and allows it to get to the thoughts of Hong Kong people quickly. iii) HOURS PLANS John W. Baker (six flags) will be the head of creation team with this project and Liz Hirsh Naftali (Oakwood) be the top of procedures. Hence both of these people are the senior most persons of both corporations. Here Six flags is likely to recruit the two full time and part time employees. Management staff will be equiped as a lot of the time employees and workers will be appointed as part-time staff. Combination of Cookware and American people handles management works and local persons will be given opportunity to check out them.
Schooling institute will be created to teach the or perhaps workers, how they should act to the guests. Volunteers and service oriented people are hired to take proper care old people, disabled and Children’s. Therefore , I recommend 6 flags to implement the above mentioned strategies mentioned to regulate their cash runs and get back its industry status. When ever these are executed, then it is market stocks and shares will increase soon.
1 . Wayne HallHard GroundHeinemann, London: 1993, American Normal Resource center, “American idea parks and mass culture, http://www. americansc. org. uk/Online/disney. htm [Accessed on 12/08/2012]. 2 . Joshua M WienerandJane Tilly, (1996) Oxford Journals, “International Journal of Epdemiology, Volume 31, Issue 4, page 776-781. several. Pierson T Weber 2011, “Porter five forces upon theme park Tuesday Drive 8, 2012. http://mpierson18. blogspot. sg/2011/03/seca-1b-porters-5-forces-in-theme-park. html code [Accessed on 15/08/2012]. 4. Oswald A Mascarenhas, Ram Kesavan, Michael Bernacchi, “Customer value-chain involvement intended for co-creating consumer delight. The Record of Buyer Marketing. 2005, Nov 15; 21(7): 486-496.
[ Accessed on 21/08/2012] 5. Miriam Marcus (2008), ” Marketplace scan of Six flags, Forbes. com, http://www. forbes. com/2008/05/23/six-flags-closer-markets-equity-cx_mlm_0523m arkets30. html [ Utilized on 24/08/2012]. 6. Darien Lake (2007), “New products at IIPAA, Themeparkpost. com, http://www. themeparkpost. com/index/2012465-two-new-products-from-water-wars-at-iaapa-2012; Reached on [02/08/2012] 7. Thomas. S. Alivigin (2010) “Interest of Cookware people toward sports Sportsweekly. com, http://www. sport-magazine. company. uk/features/focus-2012-taekwondo-1350; Accessed on [05/09/2012] 8.
Kathryn Hopkins (2012), “World’s wealthiest persons: Asians at the top, “The times http://www. thetimes. co. uk/tto/money/consumeraffairs/article3551189. ece; Accessed on [ 20/09/2012] 9. Kevin. They would. James (2012), “The spotlight of sights; Hong Kong, Asia’s world city, discoverhongkong. com, http://www. discoverhongkong. com/eng/see-do/highlight-attractions/index. jsp; Accessed in [25/09/2012] 15. Kurt basement (2004), Essentials of Entertainment zone in Asia: an analysis about Asian Countries, “Reader digest, http://www. rd. com/games/? trkid=chrome-top-nav; Accessed in 25/09/2012].
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