AV CHUYEN NGANH 1 pptx

Content Negotiating Point... Lifetime Holidays - Package holiday firm - Advantages: large catalogue of holidays... DirectSun- Low-budget holiday website.. - Problem: small market - Goal

Content Negotiating Point

I BACKGROUND

1 Lifetime Holidays

- Package holiday firm

- Advantages: large catalogue of holidays.

- Problems:

+ Fewer visitors + Falling demand + No experience of e-commerce

- Goals:

+ Wider range of visitors – aged from 30

to 50 + Online selling

2 DirectSun

- Low-budget holiday website.

- Advantages:

+ Offering cheap flights

+ Arranging accommodation, insurance and car hire

+ Good customer base.

- Problem: small market

- Goal: bigger catalogue of

holidays

=> Joint venture

II Negotiating Point

1 Lifetime Holidays

Negotiating Point Position

Length of contract 3 years

Destinations Focus on Mediterranean holidays

Customers Aim at the 30-50 age group

Car hire and insurance Do not offer these services

Advertising budget £100,000 Share costs on a 50/50

basis Media:Mail shots and press advertising

Investment and profits 60% Lifetime Holiday

40% DirectSun Project management Manage the project

2 DirectSun

Negotiating Point Position

Length of contract 5 years

Destination Offer all the holidays in both

companies’ catalogues Customers Aim at all age group

Car hire and insurance Provide these services

Advertising budget £300,000

70% Lifetime Holiday 30% DirectSun

Media:Include radio advertising Investment and profits 50% Lifetime Holiday

50% DirectSun Project management Manage the project

Negotiating Point Result

Length of contract 4 years

Destination Offer all the holidays in both

companies’ catalogues to attract more customers

Customers Aim at the 20 – 50 age group

Car hire and insurance Provide these services

Advertising budget £200,000

60% Lifetime Holiday 40% DirectSun

Investment and profits 70% Lifetime Holiday

30% DirectSun Project management Manage the project: Lifetime

Holiday

III Agreement

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