Description
What’s?the?current?situation??
The?company’s?amusement?parks?have?always?been?popular,?but?recently?they?haven’t?been?very?profitable.
Operating?costs?have?been?rising,?and?every?dollar?of?extra?revenue?has?been?hard?won.?At?the?company’s?annual
management?offsite?meeting?held?that?morning?at?Worlds?of?Play?Seattle,?Alex?Harrington,?a?business?strategy
consultant?from?Ernst?&?Young?LLP,?unveiled?”Operation?Upmarket,”?a?business?strategy?proposal?aimed?at
addressing?the?issue?of?profitability?for?Worlds?of?Play.?This?plan?proposed?that?Worlds?of?Play?offer?its
customers?the?option?of?a?”preferred?guest”?card.?Cardholders?would?pay?more,?but?they?would?get?first?crack?at
the?rides?and?would?get?seated?immediately?at?any?of?the?park’s?restaurants.?According?to?Alex,?the?plan?would
help?Worlds?of?Play?finances?because?it?would?target?the?”mass?affluents”??wealthy?but?time?pressed?people?who
might?visit?the?park?more?often?and?spend?more?time?while?there,?were?it?not?for?long?lines?at?the?rides.?
You?think?back?to?that?morning’s?meeting.?You?respect?Alex’s?plan,?but?what?about?the?initiatives?you?had
implemented?to?tap?into?that?same?segment??In?fact,?you?have?already?had?some?successes.?Roughly?20%?of
Worlds?of?Play?souvenir?shops?have?been?upgraded?to?gift?boutiques?with?more?appealing?displays?and?higherpriced
merchandise,?and?some?snack?concessions?have?been?converted?to?seated?dining.?The?most?upscale?of?the
restaurants?are?already?earning?almost?double?the?profit?per?square?foot?of?the?other?food?service?facilities.?
Alex?had?done?an?impressive?amount?of?work?developing?the?idea,?commissioning?surveys?and?focus?groups,
and?getting?finance?to?run?the?numbers.?Her?presentation?had?been?persuasive,?you?admit.?Her?tactic?had?been?to
get?people?arguing?the?details??should?the?pass?cost?$20?more?than?general?admission?or?$30?more???while
ignoring?the?question?of?whether?it?was?a?good?idea?at?all.?At?first,?this?approach?seemed?to?be?working.?But
Grace?Jones,?Exquisite?Entertainment’s?vice?president?of?human?resources?said,?”Clearly,?there’s?revenue?to?be
gained?from?offering?these?differentiated?service?levels.?But?it?just?doesn’t?seem?like?us.?The?founder?of?Worlds
of?Play?created?a?place?where?families?could?come?together?for?a?day?to?forget?about?their?cares.”?Alex?said,?”Our
history?is?great,?but?if?things?don’t?turn?around?fast,?we?are?going?to?be?history.?The?company?has?to?make
changes?quickly?to?avoid?cash?crunch?driven?bankruptcy?or?a?hostile?takeover.”?
It?was?no?secret?to?anyone?in?the?meeting?that?theme?parks?have?only?three?ways?to?bring?in?more?revenue:?(1)
increase?visits?per?customer,?(2)?increase?average?spending?per?visit,?or?(3)?attract?new?customers.?Alex?argued
that?the?guest?card?would?address?the?last?two?items?by?attracting?a?different?type?of?customer??time?starved,
high?income?professionals?and?their?families??who?might?otherwise?avoid?the?whole?experience.?
Adam?Goodwin,?the?VP?of?marketing?said,?”It?strikes?me?as?a?very?shortsighted?strategy.?I?mean,?sure?we?could
make?a?lot?of?money?on?those?cards?in?the?first?couple?of?seasons.?But?just?think?about?what?it?does?to?the?overall
customer?experience.?The?average?Joe?with?his?wife?and?three?kids?is?not?going?to?shell?out?for?five?upgrades.?So
they?are?going?to?be?sweating?through?even?longer?lines?and?just?steaming?when?they?see?some?yuppie?waltz
ahead?of?them.?I?don’t?even?think?it’s?a?great?experience?for?the?preferred?guests.?Who?wants?to?feel?all?the?anger
directed?at?them??The?key?to?this?business?is?that?the?customers?feel?good?while?they?are?here.?A?couple?of?ugly
glances,?a?nasty?remark,?and?the?day?is?spoiled?for?everybody.?Neither?side’s?coming?back.”?
“I?should?have?explained,”?Alex?said.?”We?would?definitely?separate?the?lines?so?the?preferred?cardholders
wouldn’t?be?in?people’s?faces?and?we’d?limit?the?percentage?of?special?tickets?issued?on?any?given?day.?But?I?don’t
think?you?are?giving?your?customers?enough?credit.?People?have?a?lot?more?awareness?and?appreciation?of?the
fact?that?time?is?money.?This?program?lets?them?choose?which?they?want?to?save.”?
What?are?you?supposed?to?do??
You?have?been?charged?by?CEO?Len?Becker?to?summarize?the?merits?of?the?option?presented?at?the?meeting?in
his?absence.?Craft?the?body?of?a?document?for?Mr.?Becker.?
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Develop?a?response?that?includes?examples?and?evidence?to?support?your?ideas,?and?which?clearly?communicates
the?required?message?to?your?audience.?Organize?your?response?in?a?clear?and?logical?manner?as?appropriate?for
the?genre?of?writing.?Use?well?structured?sentences,?audience?appropriate?language,?and?correct?conventions?of
standard?American?English.

 

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