Topic Gateway Series Customer profitability analysis Customer profitability analysis Topic Gateway Series No. 55 1 Prepared by Jasmin Harvey and Technical Information Service January 2009 Topic Gateway Series Customer profitability analysis About Topic Gateways Topic Gateways are intended as a refresher or introduction to topics of interest to CIMA members. They include a basic definition‚ a brief overview and a fuller explanation of practical application. Finally they
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Appendix B Profitability Analysis Solutions to Questions B-1 Absolute profitability measures the impact on overall profits of adding or dropping a particular segment‚ such as a product or customer‚ without making any other changes. B-2 Relative profitability involves ranking segments‚ each of which may be absolutely profitable‚ for the purpose of making trade-offs among the segments. Such trade-offs are necessary when a constraint exists. Otherwise‚ they are not necessary. B-3 Every business
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United and Continental merge to create world’s biggest airline United and Continental Said to Agree to Merge United is buying Continental‚ and the combined company will keep the United name and be based in Chicago. Jeffery A. Smisek‚ Continental’s chief executive‚ would run the company. If the deal wins antitrust approval‚ the merged airline would replace Delta Air Lines as the top carrier. WORLD’S BIGGEST AIRLINES * 1 - American Airlines * 2 - United Airlines * 3 - Delta Air Lines
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CASE STUDY: FLETCHER JONES AND CONTINENTAL AIRLINES MANAGERIAL LEADERSHIP CONTENTS INTRODUCTION 3 SYNOPSIS 3 THEORY OF THE BUSINESS 4 COMPETING VALUES FRAMEWORK 5 4 + 2 FORMULA 7 THE FIVE PRACTICES OF EXEMPLARY LEADERSHIP 10 CONCLUSION 12 REFERENCES 14 APPENDIXES 15 Appendix 1 – Theory of the Business 15 Appendix 2 – Competing Values Framework 16 Appendix 3 - 4 + 2 Model 17 Appendix
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The product as the first p something that is taken to the market to be noticed‚ sold‚ applied‚ or consumed; which is possible to satisfy a need or desire. Product can be a physical object‚ service‚ location‚ organization‚ or even an idea or thought (Moheb Ali et al‚ 1385: 195). The ultimate goal of organizations is to produce the products which are better and superior in one or more aspects compared with others to be welcomed by customers and make them to pay well for each product (Cutler‚ 179:1379)
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Continental Airlines Takes Off with Real-time Business Intelligence Introduction: Continental Airlines was once successfully revolution by using Business Intelligence and save it from bankrupt. Below are some items discuss how Continental Airlines implement strategies related with Business Intelligence. 1. In what ways does real-time data warehousing fit with the Continental strategy and plans? Go Forward Plan was the earliest plan that start in Continental revolution‚ and real-time data warehousing
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A Case Analysis of Hotel Continental Submitted by: Michael F. Cui I. Perspective Held by the Student I assume the point of view of Mr. Oscar Mendoza‚ the owner of Triumph Tours‚ who has been seriously thinking about operating a hotel to complement his travel agency business. II. Case Facts Mr. Oscar Mendoza has been considering opening a hotel to complement his travel agency business‚ Triumph Tours‚ because
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Analysis of profitability‚ liquidity and performance The profit of a business is the difference between its revenues and its costs. It is important to consider two main types of profit: 1. Gross profit - this is calculated by deducting the cost of sales of a business from its sales revenue (turnover). 2. Operating profit - is calculated by then taking away overhead expenses from gross profit. Given the above figures it is possible to analyse the profitability of Better Hotels Plc in the two
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carriers (LCC) entered the market‚ as well as charter airlines (CC) (cheap cause crappy times) Change is costs (hubs and smoke vs point-to-point without a home base)‚ based on several routes Concentration became lower‚ amount of competition became bigger and market share distribution over larger amount of companies. Concentration looking at intercontinental flights changed less‚ mainly international and domestic flights. Momentarily 240 airlines covering 84% of total passenger travel. Top 10 companies
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Profitability Analysis • In the last 5 years we can see the profitability ratios of the company taking a beating. • Especially in the last 2 years‚ these margins have drastically dropped. • As a result of this‚ the company’s profit margins have dipped and in this particular the company has incurred a loss. • As we can see in the graph‚ Net margin ratio has been affected and has seriously dipped in the past years. • Though gross margin and operating margin have looked like increasing‚ these
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