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Warning: Entering or editing data in this journal entry after 2359 hours on 22 May will result in deduction of marks (as specified in Penalties for Late Submission).
Write a business report based on the following:
Two coach tour companies have decided to merge their business.
Outback Safari Tours is a full service coach company with 25 offices located in NSW, QLD, SA, WA and the NT. It prides itself on it’s variety of multi-day tours, excellent service and a fleet of new coaches (all less than 4 years old) - each capable of carrying 50 passengers. 75% of its sales come through tour operators and travel agents.
Mainland Express is a low-cost coach company with 10 offices located in NSW, Vic, ACT and SA. Its strengths include low priced fares and on time service. It focuses on city to city routes, with minimal stops and no overnight accommodation. Its online booking system is excellent. Its fleet consist of quality coaches capable of carrying 55 passengers.
Senior management has finalised on the following decisions:
1. The combined company Mainland–Safari Tours will retain all existing all staff, coaches, tours and destinations. It has been determined that current scheduling does not conflict. Outback Safari’s aging system is to be merged into the Mainland Express advanced system.
2. Mainland–Safari Tours will begin service as a premium based low-cost carrier (low cost fare but passenger can pay for everything else: seating, baggage, drinks, meals, WiFi on the road and even carry-on luggage to first-to-board privilege). It will move to low-cost coach terminals where available.
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[Points 3 and 4 will be given to you by your lecturer 7 days before date due. This is to allow everyone to work in this timeframe and to prevent unauthorised assistance with your work.]
Write a business report outlining the above case, stating assumptions you make at the beginning of your report. Provide critique into the management decisions substantiating with reference to literature. In your report, make the difference between Information Systems (IS) and Information Technology (IT) issues and how it will affect customer choice, continued patronage, brand loyalty, etc.
Suggest how to attract new customers (from competitors) and any other new business opportunities that may arise with such a set up (eg. Waiting Lounge services, Car Parking options, Transfers from Home/Office, etc.). All these should be substantiated with references to IS and IT literature.