Can the drivers of property investment deliver value in a global Literature review

Can the drivers of property investment deliver value in a global economic downturn - Literature review Example The risk was so big because the collapse of the housing bubble in the USA affected not only the valuations of homes, but also several other agencies, industries, and personnel that included but were not limited to the mortgage markets, real estate, foreign banks, home builders, and home supply retail outlets. The Case-Shiller home price index noted the largest ever drop in the prices of houses by the end of the year 2008. It was because of the anticipated risks imposed by the bursting housing bubble that President George W. Bush announced the housing market’s bailout for those homeowners who could not compensate for their mortgage debts. Economic recession and massive foreclosures of housing caused by the global financial crisis was a potential threat to the investors. When a financial crisis hits a country’s economy, it affects the value of property investment just like it affects all other industries, though there is variation between the value delivered by property i nvestment and other business options in such times. The real estate business has conventionally remained the best investment of all time, including the time of financial crisis. Knowledge of the potential drivers of the business of property investment provides the investors with a way to transform the risks into opportunities. Population Growth during Financial Crisis and Its Impact on Property Investment One of the most fundamental drivers of property prices is population change. People want to dwell in popular areas. Prices of popular areas are higher than the rest because there are more interest parties than the number of dwellings available. Prices of an area go down when the dwellings outnumber the interested parties. According to the Australian Bureau of Statistics (ABS) that conducts a census every five years to publish the trends of population growth, trends of population growth do not show abrupt changes. While the indigenous population does not show rapid changes in growth , there are other factors that contribute to the growth of population, the most important among them being the immigration rate of a country. â€Å"Things that do change population growth rapidly - and provide investors with opportunity - are changes in immigration quotas, changes in infrastructure making areas more or less attractive and accessible to live in, and changes to employment such as the booming resources industry† (Moore, 2012). During the financial crisis, there has been a decline in the rate of immigration despite the increased tendency among the governments to increase the immigration rate since every immigrant that is allowed hostage contributes to the growth of the host country’s economy. Although immigration rate is generally perceived to have negative effects on the employability of the indigenous population of a country, yet several studies have found that the long term effects of immigration are opposite of what they are generally perceived to be; immigrants increase the productivity as well as the average income (Peri, 2010b, p. 7). Immigration rate is considerably linked with the employment rate. Fig. 1 and Fig. 2 show how the rate of immigration is affected by the rate of employment in a country. Fig. 1: Variation in Immigration rate from 1995 to 2010 (Peri, 2010a, p. 3). Fig. 2: Variation in employment rate from 1995 to

Describe the concept of professionalism, responsibilty, and Research Proposal

Describe the concept of professionalism, responsibilty, and accountability of the nurse as a RESEARCHER - Research Proposal Example How new techniques, methods, strategies and other innovative aspects of nursing, could be gradually enforced into patient -tending profession in order to provide them with the levels and standards of personal attention and medication that they may be needing. 5. How research could enhance nursing efficiencies and contribute to a healthier, happier and harmonious social and community setting with enhanced benefits for all - the leaders, promoters, providers, patients and their careers and surrogates. It is seen that the system which was developed in the 1970's as a teaching tool has now transformed into a major decision making and authoritative source for the practice of nursing. In the application of Neurman's Model, it is believed that there are mainly three stress causing aspects that may emanate from "intra personal, inter personal" or "extra personal" reactions to environmental stress. (Andrist, Nicholas & Wolf, 2006, p.245). In the context of nursing research, it is believed that introduction of new techniques or processes of heath care or introduction of new medication or interventions may provoke such reactions among patients, especially the older ones. This would in turn test the professionalism, responsibility and accountability of health care providers. However by use of Nueman's model there are benefits to be derived It propagates a system model propagated for optimum patient welfare and delivery of maximum beneficial health services. In the context of nursing research, this model believes that good health, sense of well being and integrated fitness are fundamental to the teaching of nursing student education. Para.2. Translating nursing research into action: Research entails pursuit of knowledge and understanding to be translated into action for the betterment of patients and careers. Research in the context of

Bachelor Of Business In Tourism Management Tourism Essay

Bachelor Of Business In Tourism Management Tourism Essay The objective of this project is providing an evaluation of sustainability in Changi Airport. By focusing Terminal 3, a lot of discussion and analysis have been done to examine Changi Airports sustainability. The project comprises four main components included the description of Changi Airport, identification and discussion of sustainability criteria, analysis of potential impacts and recommended planning tool. Methodology: The project takes full advantage of using qualitative and quantitative methods to collect data for the sustainable indicators and support for its arguments. Particularly, to qualitative method, a lot of site observations, evident pictures and interviews with relevant personal included face-to-face communication and email were conducted to examine Changi Airports sustainability (Hair et al. 2003, p.74). Feinstein Thomas (2002) determined that quantitative method is the adoption from a range of mathematical and statistical techniques used to analyze data and information. The qualitative method was applied to obtain information through Changi Airport website, relevant journal articles and books from both online sources and the National Library Singapore. Description of Changi Airport: Singapore Changi Airport has always been known as the best airport in the world (Changi Airport Group (CAG) 2010). Their reputation has been expanded through a lot of annual worldwide awards such as: 2010 Best Green Service Provider Airport, 2009 Asias Leading Airport, 2008 Worlds Leading Eco-friendly Airport, 2007 Worlds Leading Airport, etc (CAG 2010). Establishing from 1981, Changi Airport is centrally located in the South East Asian region and is managed by the Civil Aviation Authority of Singapore (CAAS) (Caudle 1996). The airport handles more than 80 airlines operating 5,100 weekly scheduled flights flying to about 200 cities in 60 countries (Hui Wan2003). These big numbers of airlines operations allow the airport welcoming more than 5,000 arrivals and departures every week and over 37 million passengers a year (Hui Wan 2003). Changi Airport Terminal 3 opened on 9 January 2008. This S$1.75 billion terminal comprises 380000 square meter of space and can handle about 22 million passengers a year (NEWASIA Singapore 2010). The roof of the main terminal building is designed with 919 skylights that automatically adjust to sunlight and fill soft natural light into the inside of the terminal (NEWASIA Singapore 2010). Terminal 3 consists of seven storeys (4 levels above ground and 3 levels below ground) which are considered as a small city with many services and amenities (NEWASIA Singapore 2010). There is a floor-to-ceiling viewing gallery on the fourth floor which allows visitors to enjoy watching the control tower, plane takeoff and land. Natural greenery is the main theme of the terminals architectural design (NEWASIA Singapore 2010). The green wall, a 5-storey tall and 300 meter long vertical garden is very good evidence with 4 waterfalls, layers of tropical foliage and sculptured sandstone art walls at the arrival hall (NEWASIA Singapore 2010). Identification and Discussion of Sustainability Criteria: Sustainability Criteria is known as the specific standards which organizations follow to achieve their purposes of minimizing at the lowest level of negative impacts and balancing the triple bottom lines (Swarbrooke 1999). To be well-known as a green destination, Changi Airport has put a lot of efforts to obtain sustainability in many ways. (The table of sustainability indicators can refer to Appendix 1) Environmental Indicators: Water Management: To Changi Airport, water management is very important to reduce as much as possible water consumption and the amount of water that takes from suppliers. They are quite successful to apply Rainwater Harvesting system that allows them to collect storm water for irrigating plants at Changi Airport Nursery and external landscape areas (CAG 2009). Besides, NEWater (recycled water) is using as the main water source in Changi Airport for multiply purposes such as : irrigation, fire-fighting, sanitation and cooling purposes in place of potable water (CAG 2009). Another efficiency practice in water conservation is installing flow rate regulators for wash basins in selected areas of the airport to decrease water usage by 66% from 6 liters per minute to 2 liters per minute (CAG 2009).  Drinking water is also conserved in term of installing taps with water saving devices such as on-off sensors (CAG 2009). One of the biggest sources of water usage is from toilets, so that Change Airport Introducing low-flush toilets that recycled water (NEWater) being used for flushing (CAG 2009). Energy Management: The airport has saved a lot of energy from its initiatives to improve energy efficiency. A typical practice is using natural lighting in passenger areas by installing double glazed glass and solar shading devices (CAG 2009).  These practices allow the nature light to get into the buildings while minimizing heat gained from sunlight at the same time. From then on, it helps to decrease the need for artificial lighting and air conditioning. Inside the buildings, they also set up the efficient lighting system with motion sensors and sensor escalators and travellators (CAG 2009). The other practices included shutting down escalators and travellators at night and during off-peak hours, turning off peripheral lighting during day time and looking for the best energy-efficient options when replacing their assets and equipments (CAG 2009). The most remarkable practice is installing a 250kWp photovoltaic system with solar panel modules which cover a rooftop area of about 2,500m ². These panel modules generate over 280,000 kWh/year, it is calculated to reduce more than 122,000kg of carbon dioxide per year (CAG 2009). Waste Management: The whole idea of sustainable development has been developed very efficiently by Changi Airport through reducing waste generation and increasing the percentage of waste recycled. The airport has introduced a new creative design of recycling bins which actually depicted an enlarged bottle, a can and a newspaper (CAG 2009). The purpose of these bins is trying to catch peoples attention and encourage them to be more considerate and participate in recycle waste. With regards to reducing waste generation, the airports taxiway pavements are construed by recycled materials and recycled concrete is used to built roadways, drains, pavements and kerbs. Office refurbishments are also used drywall partitions instead of mortar and bricks to minimize waste generation (CAG 2009).These results in cost savings through waste disposal and raw material costs. Noise Management: Efficient noise management always challenges for aircraft operators all over the world. The activities such as: re-fuelling, baggage loading, engine maintenance, unloading and re-provisioning of aircraft usually generate a lot of noise which can affect directly to the nearby community. At Changi Airport, noise management is considered as a very important factor to minimize the possible negative impacts to the community. All airlines and civil aircraft operating in Singapore have to commit to  meet the noise standards stipulated by International Civil Aviation Organization (ICAO)s guidelines on Balanced Approach to Noise (CAG 2009). Land use planning is conducted by the Urban Redevelopment Authority (URA), which zones land surrounding Changi Airport for residential use in accordance with international norms on noise levels.   Noise studies are conducted regularly to update the noise contours around Changi Airport.   The results of these studies are shared with URA for future land-use planning (CAG 2009). Changi Airport also assigns runways to aircrafts to reduce air traffic and requires all aircraft that departing from Singapore to follow defined routes to avoid flying directly overhead residential areas (CAG 2009). Besides, the airport conducts regular inspections to maintain noise level and detect any abnormal noise activity (CAG 2009). With a better effort to reduce noise level, Changi Airport Group (2009) cooperates with Singapore Amalgamated Services Co-operative Organization (SASCO), the nearby airside agency to ensure that the impact of noise from their compounds is minimized especially from 12 a.m. to 06 a.m. Air Quality Control: To Changi Airport, providing a good environment with best air quality is very important to protect their employees health and the local community. There are a lot of useful practices which allow them to minimize as much as possible the amount of carbon dioxide generating from airport vehicles, ground running of aircraft, road traffic, food preparation and air conditioning. They only use hybrid tractors to sort baggage within Terminal 3 (CAG 2009). The Sky Train system is also used efficiently to transport passengers who make inter-terminal flight connections among Terminal 1, 2 and 3 (CAG, 2009). The system has total of seven stations: two each in Terminal 1 and 2, and three in Terminal 3. This high-speed people mover system is powered by electricity and creates zero local emissions (CAG 2009). Moreover, the airport put their sustainable efforts in term of designing the airfield to maximize the number of rapid exit taxiways and connecting taxiways to limit congestion on the airfield (CAG 2009). This helps cutting down a lot of taxiing time of aircraft and reducing a large amount of engine emissions. Another good practice which allows reducing a lot of carbon emissions from the airport is applying electronic car park system in 1,700 car park spaces and 130 motorcycle spaces (Changi Airport Singapore (CAS) 2010). With this helpful system, vehicles can quickly find the empty lots and decrease the big amount of carbon emissions from going around the car parks. The key highlight of terminal 3 is the Green Wall, five-storey high vertical garden. The garden is designed with four cascading waterfalls, a sculptured sandstone art wall and a lot of climbing plants (Hui Wan 2003). This green practice help creating fresh air, cooling the atmosphere inside the building and saving a large amount of energy consumptions through air conditioners. Stress Level: Changi Airport is well-known as one of the best airports all over the world which serves more than 80 airlines operating 5,100 weekly scheduled flights flying to about 200 cities in 60 countries (Hui Wan2003). These big numbers of airlines operations allow the airport welcoming more than 5,000 arrivals and departures every week and over 37 million passengers a year (Hui Wan 2003). The whole airport is about 1,300 hectares with 870 hectares reclaimed from the sea (670 hectares using seafill and 200 hectares using landfill) (CAS 2010). There are more than 230 retails and services stores and about 100 food beverage establishments here (CAS 2010). Besides, terminal 3 has an annual handling capacity of 22 million passengers while the total handling capacity of Changi Airport is about 70 million passengers per year (CAS 2010). Social-cultural Indicators: Environmental Education: There are many kinds of sustainable education which is conducted in Changi Airport through environmental exhibitions, campaigns, events, gallery and activities. Some remarkable activities that bring a lot of good green image of Changi Airport are: Changi Airport Group and IATA launched environmental exhibition between 2 February 2010 and 28 February 2010 to highlight aviations commitment to the environment (Changi Airport Group IATA 2010). The airport practiced Earth Hour 2010 to raise environmental awareness among its stakeholders (CAS 2010). Changi Airport cooperates with National Museum of Singapore and Double A Ltd. to promote Making your own woodblock print with local icons campaign to use the paper wisely (CAS 2010). Value of foreign ownership: The full beneficial ownership of Changi Airport belongs to the government of Singapore. The Civil Aviation Authority of Singapore (CAAS) is  the regulatory authority (Channel Newasia 2009). Within CAAS, there are two entities: One is in charge in the regulator, promoter and developer of the aviation industry (Channel Newasia 2009). The corporatized entity is in charge to operate Changi Airport, the airport emergency services and exploit investment opportunities overseas (Channel Newasia 2009). Locals jobs created through tourism: Changi Airport is generating about 13,000 jobs for local community (CAS 2010). Baseline Indicators: Quality Management: Changi Airport is known as the worlds most awarded airport with over 350 awards included 28 won in 2009 and  8 won as at May 2010 (CAG 2010). Some remarkable awards are: 2010 Best Green Service Provider Airport 2009 Asias Leading Airport 2008 Worlds Leading Airport 2008 Worlds Leading Eco-friendly Airport Potential Impacts of Changi Airport: Tourism activities can cause a lot of impacts to the triple bottom lines included environment, economic and social-culture (Swarbrooke 1999). Changi Airport is well-known as an essential element in the aviation industry in particular and the whole tourism system (WTS) in general (Weaver Lawton 2010). Therefore, it cannot ignore both negative and positive impacts from its transportation service to local community. Environmental Impacts: The good side of tourism development in Changi Airport is promoting peoples sustainable awareness and their responsibility in term of environmental conservation (Buckley 2000). There are also many cleaning programmes such as: the Clean Energy Programme Office (CEPO) to protect the attractiveness and green image of the best worldwide eco-friendly airport (Singapore Economic Development Board 2009). Besides, one of the best benefits which Changi Airport has created for the environment is promoting the development of using renewable sources such as: solar energy- 919 skylights, recycled water the NEWater, etc (Manson 2003). Together with the positive impact, there are also a lot of negative impacts which Changi Airport generates for the environment. Noise pollution is, for many people, the most obvious form of pollution related mainly to aircraft (Leiper, Braithwaite Witsel 2008). Besides, its impacts on climate change, peoples health and contributing in depleting the stratospheric ozone layer are the most serious problems (Refer to Appendix 2 for more detail). Social Impacts: The development of tourism in Changi Airport has created more job opportunities and higher income to local residents. There are about 13,000 jobs are generated during last few years (CAS 2010). It also results in the development of more and better shopping, transport, the countrys medical facilities, cultural and recreational facilities and communication facilities (Khan et al. 1990). Crowne Plaza Hotel with 5- star rate is a very good example of how good infrastructure has been improved because of tourism development in Changi Airport (CAG 2010). Besides, it can bring locals feeling of pride about their worlds best eco-friendly airport and consciousness of keeping the airport clean and attractive (Khan et al. 1990). The image of Singapore as a clean and beautiful city is also emerged to attract more and more tourists (Khan et al. 1990). On the other hand, the development can cause vulnerability to the community. The difference in wealth between the locals and the tourists may result in the high number in drug abuse, prostitution, and theft and crime rate especially with the setup of gambling facilities at the two integrated resorts (Khan et al. 1990). Many locals complained that they have to pay higher prices for some good and services as well we their rentals for offices and shops were increased because of tourism development (Khan et al. 1990). Obviously, there are a lot of buildings around the Changi Airport area such as: 4 terminals, control tower, Crowne Plaza Hotel, etc. They will definitely cause the visual impact at the end (Weaver Lawton 2010). Economic Impacts: The significant effects of tourism development in Changi Airport expand on the high number of Gross Domestic Product (GDP) and employment. There are more ten 13,000 job opportunities generated to cater passengers demand (CAG 2010). Another important benefit is generating indirect local revenue through the multiplier effect of money and jobs (Heng Low 1990). Due to the development of the aviation industry, it also cause the stimulation of backward linkages of the other industries, includes agriculture, fisheries and construction (Heng Low 1990). The full beneficial ownership of Changi Airport belongs to the government of Singapore; thus, it limits the negative impacts from high leakage due to foreign ownership (Channel Newasia 2009). Besides, the strong demand for Singapore dollars due to tourism expansion is resulting in the growth of the price of Singapores currency and exchange rate (Heng Low 1990). However, the high tourism dependence of Singapore economy in general and Changi Airport in particular can be a big problem. The uncontrollable outside forces such as: natural disasters (Tsunami), SARS and economic crisis will affect seriously to the whole economy of Singapore (Heng Low 1990). The aviation activities can cause a lot of problems; however, there still are many offsets that can organize to limit them at the lowest level. Changi Airport is a very successful representative for the aviation industry that owns a lot of initiatives to balance its negative impacts to triple bottom lines (Refer to Appendix 1). Their efforts in sustainable development have been proved through a lot of honor awards such as: the Green Mark Gold in October 2009, the inaugural Best Green Service Provider at the Annual Asian Freight and Supply Chain Awards in 2010 (CAG 2009). Recommended Planning Tool: According to Newsome, Moore and Dowling (2002), the best planning tool is one that provides an effective monitoring in the areas with effective outcome, involve visitors and community and lead to sustainability of the resource. There are many tourism planning frameworks, but, the Visitor Impact Management Framework is the most suitable one for Changi Airport (Refer to Appendix 3). Visitor Impact Management (VIM) Framework: To Changi Airport, applying the VIM planning framework to ensure visitor impacts at acceptable levels seems a good idea which allows them to enhance visitors benefit and achieve their purpose in excellent service: We are the best in our business (CAG 2010). Based on eight basic steps, the VIM framework can lead the managers not only focusing on reviewing existing data and management objectives, through selecting indicators and standards and using these to identify unacceptable impacts, but also helping them to indentify causes and appropriate management strategies (Newsome et al 2002). The purpose of steps1 and 2 is reviewing the organizations existing objectives, legislation, policies, pervious research and other data to identify problems. In these stages, Changi Airport can recognize the need for clear objectives (excellent service provider), better understanding the needs and wants from passengers and identify current problems within the process of organizing. The next steps (steps 3 and 4) are selecting key impact indicators and standards for the whole terminal 3. Noise management, air quality control and passenger satisfaction seems to the best indicators that need to be highlighted for taking care of local community and passengers (Refer to Appendix 1). The following indicators such as: waste management, energy consumption, water quality control and quality management will be also useful to providing excellent service in the aviation industry. After collecting enough data, the comparison between standards and existing conditions will necessary to examine whether it exceed the acceptable level or at that level. For instance, the desired standard for passenger satisfaction at Changi Airport was 94 % while passenger rates their satisfaction at lower or higher standard (CAG 2010). To maintain the service standard at a high level, monitoring programmers have been established with certain criteria. The purpose of this practice is making sure that they can win annual Best Worldwide Airport award (CAG 2010). Therefore, this award is used as a measuring method to ensure their standard of passenger satisfaction. If their actual satisfaction level is below the desired standard, the Changi Airport Group will take action to identify probable causes of decreasing in passenger satisfaction level (Step 6) (CAG 2010). Some possible problems might be low in service delivery, lack of initiative in operation, etc (Tian-Cole Cromption 2003). From then on, the suitable planning and strategies are provided and implemented to get over limitations and enhance in service delivery (Steps 7 and 8). The Be a Changi Millionaire Draw, which kicked off monthly from1 June 2010 to choose the most lucky passenger who shopped at Changi Airport, is a very good evidence (CAG 2010). This activity is a very creative idea to promote the airports products and its wonderful service at the same time. Through this activity, passengers will be very happy and their satisfaction level will increase at the end. Limitation of the report: The report focuses mainly on Terminal 3 to collect data for the sustainable indicators. Thus, the quality of information collected might not be representative for the whole Changi Airport included: Terminal 1 and 2. Besides, there are some data and information cannot be gathered because the organization is outsourced its departments and some private information cannot be leaked out. The paper only mentions about environmental impact, one important component in the triple bottom lines, thus, it is lack of convincing evidences to prove that the balance among triple bottom lines have been done in Changi Airport. Conclusion: The whole project provides a good understanding how Changi Airport can create its image and reputation as the best airport in the world. Especially, in term of sustainability, there are a lot of efforts have been done to take care of environment and local community. However, it cannot avoid the negative impacts which the aviation industrys member causes for the environment. These problems are able to offset by taking full advantages of using management frameworks and planning tool such as: the VIM frameworks. With this research, it is obvious that Singapore Changi Airport is meritorious to be known as the best green airport all over the world. In the future, it can strongly believe that Changi Airport will be more conscious about the environment with more green planning and strategies to maintain its reputation as well as develop as a green icon of sustainability.

The Idealization of Women is Responsible for Tragic

Throughout history, women’s place and role in society has changed. Women are often seen as a lower status and have a need to be taken care of by men. There are conflicts with the idealization of women as they are often overlooked and viewed as secondary characters. This idealization is well established in the characters of Desdemona in Othello and Daisy in The Great Gatsby. In F.Scott Fitzgerald’s novel The Great Gatsby and Shakespeare‘s play Othello, Desdemona and Daisy are both responsible for their tragedies due to the manipulation and impact of the outsiders, their loss of innocence, and their vulnerability as women. The outsiders, Tom and Iago become influential puppeteers, as Daisy and Desdemona are their puppets. Their influences on each of the female protagonists, results in inevitable tragedy. In Othello, the antagonist Iago has a strong bitter hatred towards Othello. He envies that fact that Cassio is chosen to be lieutenant over him. In response, he resorts to manipulation and trickery to make Othello regret his decision. Desdemona is immensely affected by Iago’s plan because this leads to her tragic death. Iago manipulates Desdemona through other characters. An example of this can be seen through his wife, Emilia. Iago believes women â€Å"are pictures out of doors† (Shakespeare.2.1.121) and are more like workers than wives. Emilia is part of Iago’s scheme, as she is one of the closest people to Desdemona. Emilia has no idea what Iago is plotting until the very end. She is oblivious to Iago’s plan and it results in Desdemona’s death. Like Desdemona and Emilia, Daisy is also heavily influenced through other characters as well. Tom uses other characters to make an impact on Daisy and this can be seen through his altercation... ...lay weaknesses that make them too vulnerable for other characters to take advantage of. This vulnerability sends both Daisy and Desdemona through a never-ending fall towards their fate. Othello and The Great Gatsby, are the perfect exemplars of how an ideal innocent women, can face undoubtedly tragic fates. Despite much strength in their characters, both Daisy and Desdemona exhibit the vulnerability of their innocence, the ability for others to take advantage of them, and glaring weaknesses. They are unaware of their surroundings, which lead to questionable actions. Their inevitable tragedies occur because of how each character dealt with these situations placed in front of them. All in all, Daisy and Desdemona are responsible for their tragedies because they are women placed in unfamiliar positions and are unable to deal with situations placed in front of them.

Marketing – Chanel, Nike, Hot Topic

1. Within the United States, especially in Southern California, an individual's appearance is crucial because it is used to make a first impression. A person is judged by what they wear and how they look. For example, it is probable that many people would perceive a person wearing ratty clothes as uneducated and irresponsible while a person looking pristine in a designer ensemble is assumed to be intelligent and successful. In every city, there are multiple fashion brands with different styles and ranges of apparel and accessories.Every season, new styles and designs are created which influence society. It appears as if more types of clothing exist than the actual number of people. With so many different alternatives of fashion, the fashion industry is trying to please too many customers with variety. There are currently various styles to choose from, and the clothes people wear categorize or label them long before they realize it. The three fashion brands that will be analyzed exten sively are Chanel, Nike, and Hot Topic. These brands have apparel but are completely different in their target audience.Chanel is a prestigious high-fashion brand; Nike is a popular athletic line; Hot Topic is musically and artistically edgier with a smaller target audience between the three. With these apparel brands, a person wearing each would be labeled or even stereotyped. One wearing a Chanel’s 2012 Spring/Summer ready-to-wear designer outfit with a white jacket, lambskin dress with pearls, and a glass pearl belt would be labeled as rich, successful, and intelligent. Another wearing Nike running apparel consisting of a shirt, shorts, and footwear is someone athletic and always on the go.An individual in a Hot Topic black graphic music t-shirt with plug piercings would be stereotyped as â€Å"Goth†, tough, or edgy. 2. 2. | | | Geographic| * Located at tourist hot-spots * Found in shopping malls or shopping streets * Fashion Capitals * Where social status is import ant * Higher standard costs of living * North America: U. S. A, Mexico, Canada * Asia * Europe * Middle East * Oceania * South America| * Located in areas with daily physical activity * Near sports-oriented regions * Nike stores found in shopping malls or its brand is found in multiple athletic ear stores * United States * Europe * Canada * Africa * Australia * India * Indonesia * Malaysia * Middle East * New Zealand * Philippines * Singapore * United Kingdom| * This brand is mostly geared to the style of North America where it originated. * Found in shopping malls * United States * Puerto Rico * Ontario * Suburban living| Chanel’s headquarter is located in Paris, France where the fashion brand originated. The store is located worldwide near tourist attractions. The main travel destination that people choose to plan their vacation is where a Chanel store is mostly likely to be found.The idea is that people who travel to hot-spots tend to be upper middle or upper class, so the y have sufficient funds to purchase the Chanel brand. Chanel is one of the top designer brands known globally, so it is located in fashion capitals: New York City, Paris, Milan, Rome, China, Los Angeles, Miami, etc. Nike’s headquarter is located in Washington County, Oregon. This athletic brand is one the top sports line. Its stores are located globally and more widespread compared to the other two brands. Also, Nike brand products can be found in multiple athletic equipment stores: Sport Chalet, Finish Line, etc.Nike is one of the most common sports brands that it is stocked in any department store with a small section for athletic wear: Nordstrom, Macys, Bloomingdales, etc. It is found in areas where physical activities are part of daily routines. All parts of the world take part in sports, which can be seen through the Olympics and the country’s own specific sport. Hot Topic’s headquarter is in Industry, California. The style of this brand is geared towards A mericans which is why stores are only located in various areas of North America. They are mostly located in suburban shopping malls where the younger demographic spends their free time. | | | Demographic| * Age: * 30-60 years * Gender: * Female * Social Status: * Upper Class * Annual Household Income: * at least $125,000 * Ethnic: * Caucasian * European * Asian American * Family Life Cycle: * Young single * Young married without children * Middle-aged without children * Middle-aged without dependent children| * Age: * 8-50 years * Gender: * Male * Female * Social Status: * Middle Class * Upper Class * Annual Household Income * at least $50,000 * Ethnic: Widespread among diverse groups * Family Life Cycle: * Young single * Young married or divorced with/without children * Middle-aged married or divorced with or without dependent children| * Age: * 12-20 years * Gender: * Male * Female * Social Status: * Middle Class * Annual Household Income: * $50,000-$100,000 * Ethnic: * Caucasian * Asian American * Hispanic American * African American * Canadian * Family Life Cycle: * Young Single| Chanel’s customers range between thirty to sixty years old.It only has apparel for older women because they are typically upper class with an annual household income of at least $125,000. Since Chanel is an expensive designer brand, not many ethnic groups are associated with it. The main ethnic groups are European, Caucasian, and Asian American. Europeans and Americans have higher household incomes, so they are able to afford the high prices. They’re young and single, young married without children, middle-aged without children, and middle-aged without dependent children, so they have more money for luxuries because they have no dependents.Nike has a wider spectrum of customers from the age of eight to fifty years old. Females and males of all different ages take part in some sort of physical activity or exercise. Nike products are of quality, so their product line i tems vary in price; therefore, anybody of middle or upper class can afford it on a household income of at least $50,000 annually. This brand is global, so it targets a variety of diverse ethnic groups. Its market is for all family life cycles: young who exercise regularly or married with children having to run errands. Hot Topic’s customers are female and male tweens or teens from the age of twelve to twenty.It can be seen that teenagers with less valued education shop there. The style is targeted to young single children, mainly middle class with an annual household income of $50,000-$100,000. It targets mainly those living in North America: Caucasian, Asian American, Hispanic American, African American, and Canadian. | | | | Psychographic| * Personality: * Fashionistas * Opinion Leaders * Motives: * Status * Trendy * Perceived quality * Lifestyles: * High-class lifestyle * Follow trends/styles * Enjoy luxuries * High-maintenance * Materialistic * Geodemographics: * Popular global cities * Fashion apitals * Upper class communities * Upper middle class suburbs| * Personality: * Athletic * Opinion Leaders * Relaxed * Motives: * Trendy * Quality * Exercise * Every-day attire * Reliability * Comfort * Lifestyles: * Health conscious * Sports-oriented * Always on the go * Geodemographics: * Heavily populated communities * Sports-oriented regions * Cities with professional sports teams| * Personality: * Edgy * Punk * Music lover * Motives: * Unique * Contrast Hollywood * Music Preference * Lifestyles: * Opposite of Pop magazines * Prideful to be independent of trends * More about music than societal trends * Geodemographics: * Young communities that appreciate music * Areas unaffected by magazine trends * Middle class suburbs * Regions with less valued education| Chanel targets fashionistas, people who wear high-end and trendy clothes. They are opinion leaders who influence the rest of society. For example, celebrities wear Chanel which creates the brand†™s popularity.Customers shop at Chanel because they want status which is to follow up-to-date trends and styles in today’s society. These people have a high-class lifestyle who enjoy luxuries, are high-maintenance, and very materialistic. Due to Chanel being a high-end brand, one of its key factors is its price because expensive items give people the perception of high quality. Chanel clusters potential customers in popular global cities where the communities are typically upper class. It’s vital for Chanel to target people living in fashion capitals, such as Los Angeles, Miami, Paris, Milan, etc. Nike targets athletes who are health conscious and sports-oriented.Those who also wear Nike are opinion leaders which are why the brand is endorsed by well-known athletes from Michael Jordan to Roger Federer. Aside from athletes, Nike also targets customers for the product’s quality, reliability, and comfort. Nike clusters potential customers in heavily populated com munities, cities with famous professional sports teams, and sports-oriented regions. Hot Topic targets young communities that appreciate music. This brand started off with selling products based on music artists and bands. It targets a younger dynamic group who wants to be unique and despises the typical Hollywood pop culture trends. People with a less valued education tend to shop at Hot Topic which is why the brand is stereotyped for those who are â€Å"punks. † | | | | Benefits Sought| Extreme quality * Social status recognition * Aspirational reference group * Up-to-date on trends * Self-esteem| * Long-lasting quality * Increased training * Improvement as an athlete * Comfort * Aspirational reference group| * To be unique and different * Broadcast their music and art interests * Make a statement against pop culture trends| Chanel is instantly recognized as one of the top leading high fashion designer brands in the world. Due to its expensive prices, people assume it to po ssess prestigious quality before they buy their first item. Aside from quality, the fact that the apparel and accessories are well known to be costly is utilized as a means of social status recognition.Any individual wearing a dress, jacket, or glass pearl belt can be instantly deemed as wealthy or financially well-off. Chanel has been deemed as an extravagant brand which is advertised by models and celebrities. It is found in the majority of fashion magazines which targets customers who want to be up-to-date on trends, so they can boost their self-esteem. From the opinion leaders influencing society, customers purchase from this fashion line because they want to be in the aspirational reference group of high class or celebrity status. Nike is a top athletic brand for apparel, gear, and footwear. Nike’s mission statement is â€Å"To bring inspiration and innovation to every athlete in the world. Due to the brand’s publicity and marketing, it creates a customer percept ion of quality that will last longer than generic sports brands. Along with the public stir of the brand, it targets customers in the aspirational reference group because they want to associate themselves with their favorite athlete or celebrity who wears the product. Aside from the trend, Nike is mainly intended for athletes to increase and improve their training which is why Nike has a product line for each type of sport: running, basketball, tennis, etc. Hot Topic started off trying to be unique and different with the brand’s main focus on music other than typical pop.It first became popular with its t-shirts of multiple rock and metal bands. It is a way for customers, mainly teenagers, to broadcast their love of music. Their mission statement is â€Å"At Hot Topic, we believe music and the arts make everyone's life a whole lot better, so we've decided to enrich kids' lives by enabling them to express themselves musically and artistically! † The brand understands th at there are audiences out there who don’t prefer the pop culture trends, so this is a brand that encompasses and pleases them as well. | 3. The Marketing Mix| | | | | | | | | * Apparel:| * Apparel:| * Apparel:| | * Dresses| * Shorts| * Pants| * Jackets| * Bras| * Shorts| | * Accessories| * Jackets| * Band T-shirt| | * Glass pearl belt| * Hoodies| * Body Jewelry: | | * Footwear:| * Long-sleeve shirt| * Plug earrings| | * Heel boots| * Short-sleeve shirt| * Clothes graphics| | * Brand name| * T-shirts| * Cotton Fabric| | * Brand mark| * Footwear:| * Quality| | * Fabric: | * Running| * Customer Satisfaction| | * Cotton Tweed| * Gear:| * After-purchase service| | * Lambskin| * Socks| * 30 day return policy| | * Coated washed denim| * Customer ability to customize footwear| | | * Glass Pearl| * Quality| | * Quality| * Color| | | * Value| * Brand name| | | * Packaging| * Brand mark| | | * Customer Service| * Fabric| | | * Lifetime warranty by manufacturing defect| * Value * Custom er Service| | | * Customer satisfaction| * Customer Satisfaction| | | | * 30 day return policy| | | | | | | | * Market price * Each article of clothing is at least $1,000 US| * Range in prices * Clearance/Sale Items * Discount deals * Retail store coupons| * Affordable price * Clearance/Sales Items * Discount deals * Regular store deals| | * Rarely discounted| * Outlet warehouses| | | | | | | | | | | | | | | | | | * Fashion magazines| * Magazines| * Music Magazines| | * Celebrity Endorsement| * TV advertisements * TV Shows| * Radio * Internet| | * Celebrity Advertisement| * Celebrity Endorsement| * Sales promotion * Music endorsements| | * Celebrity Events * Award Shows| * Sponsorships * Radio| * Musician/Artist sponsors| | * Fashion Shows| * Sales Promotion| * Music/Art Events| | * TV shows| * Internet| | | * Internet: Subscription| * Sports Events| | | * Beginning of the season unveiling| * Outdoor advertisements| | | * Boutique Window| * Newspapers| | | | | | | | | | * Exclusive Boutique * Extravagant store design| * Shopping Mall * Athletic Store Team * Sold Online| * Shopping Mall * Store has music, darker, artistic theme| | * High-End Shopping Mall| * Warehouse * Outlets| * Warehouse * Sold Online| | * High-income areas| * Trucking| * Outlets| | * Fashion streets| * Air-Mail| * Trucking| | * Air-Mail| * Department Stores| * Air-Mail| | * Boutique Window| * Distribution| * Shelf Placement| | * Shelf Placement:| * Shelf Placement:| * Glass Case Display| | * Near front of store * In plain sight * Not sold online| * Reaching Distance * Middle of the store| * Hanging on racks| | | | | The PRODUCT is the easiest designed strategy in the marketing mix compared to the place, promotion, and price.Chanel’s apparel includes a dress, jacket, belt, and boots. The dress is made out of cotton tweed, lambskin, and precious pearls; the jacket is created from cotton tweed; the heeled boots are coated washed denim. The fabric provides value to customers who believe that they receive extreme quality from their purchase. These high paying customers purchase each of these items for their fabric, instead of going to a generic store full of regular cotton, spandex, and polyester. They desire the feeling of riches when they are covered in beautiful pearls and soft lambskin. Aside from the physical units, the product comes with the brand name and brand mark.In the fashion industry, a person isn’t initially asked about the fabric or the material. They are asked about the brand because a top designer name is seen as prestigious and extravagant which is why the number one fashion question is, â€Å"Who are you wearing? † In the end, fashion is not completely about whether or not an outfit looks good on a person. If the outfit is a brand name, it is put on a higher pedestal than other attire. Along with the ensemble, customer service is a key factor because Chanel clients are loyal. Chanel is popular with upper class clientele who associate themselves with the brand because of its social status; only the wealthy can purchase more than one article of Chanel clothing.The fashion line has excellent customer service to maintain their high clients’ satisfaction before and after their purchase. When purchasing the product, the client also buys a lifetime warranty. However, this warranty only applies to any manufacturing defects or malfunctions. After women enjoy the fabulous customer service and purchase this ensemble, they are given their items in the well-known Chanel packaging. If the clothes were a gift, the store would wrap them in a black box with the white Chanel logo along with tissue paper and white ribbons free of charge. If the clothes were just part of a shopping spree, they will be wrapped in tissue paper and carefully placed in the signature black Chanel shopping bag.All the packaging and added extravagances of the product will be donned with the brand name and brand mark because that is the main reason why women purchase from this fashion line. This Chanel outfit provides women with beauty and grace. Running apparel from Nike includes footwear, socks, shorts, and a shirt. The shoes are made with gel and soft cushion, so it can absorb the shock when a runner’s feet pounds the pavement. A runner can’t have shoes without thick socks. The shorts can either be loose or tight to keep the runner feeling cool and dry. The shirt can be a Dri-fit that keeps the runner warm, cool, comfortable, and dry. With women, some of the shirts come with a bra inside the top.Similar to Chanel, Nike is one of the top leading brands in its athletic department, so athletes purchase the products for the brand name and brand mark. Due to it being a popular brand, it is presumed to have extreme quality which athletes desire to improve their training. Each article of clothing has the brand name and brand mark stamped on it, and each of the footwear has the brand mark largely displayed on all sid es of the shoe. Nike footwear is unique because it enables customers the opportunity to put their own input into the design of their shoe; they can customize their own version with different colors, shapes, and designs. Nike makes sure to provide excellent service in which the employees must be knowledgeable about every product for each type of sport it carries.A customer is able to rely on the employees to consider the client’s best interest. Nike also wants to ensure customer satisfaction which is why it guarantees customers a trial run of the product; if they are not happy with the item after the first couple days of testing them, they can return it. Otherwise, they have 30 day full refund policy. Hot Topic’s outfit is comprised of band t-shirts, pants, shorts, and plugged earrings. The pants and shorts are made from basic cotton or denim. The band t-shirts are partly made of cotton and polyester. The plug earrings are simply plastic. Their customers don’t co nsider the value or quality of the apparel as much as the color or graphics.This brand mainly factors the customers’ appreciation of music, art, and expression which leads to customer satisfaction. Hot Topic provides excellent customer service before and after a purchase. The majority of society stereotypes those who adorn Hot Topic clothes as lazy, dirty, tough, â€Å"Goth†, and punk; however, the employees are approachable and energetic. After a purchase, a customer can go back to the store or browse their website to learn how to care for their purchase: how to properly wash their denim, iron their cotton t-shirts, or clean their leather purchases. Along with the purchase, customers are given a 30 day period to return their items for a full refund. The PRICE is a second factor that sways customers to purchase an item.The Chanel outfit is costly and sold at market price because it is a luxury clothing line. The only way to know the cost of the clothes is to physically walk into any of the boutiques; the prices aren’t displayed on the boutique website. The majority of each article of clothing from Chanel is at least $1,000 US. This outfit targets the wealthy, so they easily have the sufficient funds to purchase these big-ticket items. Due to the customer’s high income, the price of the apparel isn’t of great concern; they only want onlookers to recognize that their clothes are expensive. The brand is rarely, close to never, discounted because it wants to keep its sense of richness.If Chanel were to have discounts, then people of lower status may purchase the items which will discourage the wealthy who don’t want to be associated with that type of people. Therefore, once the market price is set, it is unchanging once the product item arrives at each boutique. The Nike running outfit’s target audience includes those of middle class, so the price is affordable. Since upper class citizens purchase this product as we ll, the prices vary depending on the quality, color, and design of the fabric. For example, mesh running shorts would be cheaper than dri-fit shorts. New products are set at market price for at least the first six months after its arrival in a Nike store or department store.Discounts and sales are offered for the items when there is few supply of it left or when the seasons are about to change. The pieces of this running apparel are also distributed to retail and department stores. These department stores, such as Sports Authority, Sport Chalet, or Finish Line do provide its customers with discount coupons. For example, if they make a purchase of $100 before tax, they can receive $15 off the final total amount. Nike has multiple product items in its product lines, so there is an easiness to determine the price for each. Between the three outfits, Hot Topic is the least expensive because the clothes target a young demographic population who don’t have as much money to spend.Ev en though the clothes are affordable to begin with, the brand always has multiple discounts in store and online. When a new supply of clothes is distributed to the retail stores, the price of clothes that have been there for a couple of months is lowered. There is no such thing as a particular style for each season. Abundant deals for any type of clothing attract tweens and teens who are spending their free time shopping and loitering at local shopping malls with friends and family. Teens appeal to stores with signs for deals, sales, clearance, and discounts; they want the best deals to save their money and allowance. Hot Topic is flexible in determining the price of the products as it acknowledges its young demographic market.A good PROMOTION strategy is vital to increase sales, attract new customers, and maintain frequent shoppers. This entire Chanel wardrobe is pricey because they are promoted as apparel for the rich and powerful. This designer combination of the dress, jacket, b elt, and boots is first previewed at an elaborate fashion show. Chanel executives choose a particular model or celebrity who can display the elegance, beauty, and style of each apparel. After the initial preview of a fashion show, the clothes will be advertised in popular fashion magazines: Vogue, Elle, In-Style, etc. Each of the advertisements has an elegant theme where the models are showing the extravagance and beauty that each piece of clothing and accessory offers.The advertisement's background is typically a fancy setting which captivates wealthy customers. After the initial unveiling at a fashion show, a celebrity may have the opportunity to purchase the outfit before the product is distributed to the boutiques. From this, a celebrity can where this outfit at a celebrity event: award show, charity event, or red carpet event. At all of these events, there is paparazzi and fashion news coverage who ask what the celebrity is wearing and who designed it. These celebrity events ar e widely broadcasted, so thousands of audiences will see the outfit firsthand. After the fashion show and celebrity advertisements, the outfit is be distributed exclusively to the Chanel boutiques worldwide.Due to the outfit being part of the 2012 Spring/Summer collection line, Chanel will promote the outfit by placing the entire ensemble in the store's display window, so people on a shopping spree can see. Typically, the best and new outfits are displayed at the front of the store and each piece article of clothing is placed next to each other on the racks and shelves. Due to Nike having the greater target audience between the three, it promotes the products at a higher rate. A marketing team would promote the outfit by advertising in various magazines, billboards, TV channels, sports events, radio, and online. The visual advertisements in magazines, billboards, TV, and the internet may portray an average person running in the clothes. An average person is used to model the running outfit because it needs to be relatable to the customer.Popular athletes also endorse the product by wearing them daily or in advertisements because customers want to associate or relate themselves to celebrities: Michael Jordan, Roger Federer, Tiger Woods, etc. Beyond the pictures and models, the advertisements include a motivating statement that encourages everybody to be active. These clothes are also advertised online and in newspapers; Nike purchases ad space from newspapers and popular websites, such as Facebook, Yahoo, Twitter, etc. which the majority of their target audience views. The company also puts their advertising statement describing the running apparel and its benefits on popular radio stations, so people can tune in and listen.However, the main promotion strategy Nike has is at sports events. This outfit is geared towards athletes, so the best promotion strategy is to advertise when sports fans or other athletes are watching. The running clothes’ main targe t audience is athletes, so it locates, displays, and advertises itself closest to where all the other athletes are. There are also sales promotions in newspapers, magazines, and on the radio to attract people who want to purchase the items but can’t afford to unless they were at an affordable deal. Hot Topic focuses on artistic expression and a love of music; therefore, it would advertise the outfit in music magazines.This fashion brand’s main attraction is the band t-shirts which is why they are advertised in music magazines, so a band or singer’s fans can buy their t-shirts. Fans want to support and broadcast their love and appreciation of an artist or music group. Hot Topic’s slogan is â€Å"Everything about the music. † which is why it is also promoted on the radio and popular music websites. In order to attracted customers, it would advertise about upcoming sales promotion. A major promoting strategy key is that the clothes have music endorsem ents or musician and artist sponsors. These musicians and artists sometimes take part in the design and style of the clothes; therefore, their fans would be ncreasingly interested to their products. Wherever the particular clothes are placed in the store, the musician, band, or artist would have their name and photo plastered next to the products to capture fans’ attentions. There are also advertisements at music and art events which is where their primary target audiences spend their social time. The demographic is younger in age, so the brand promotes the clothes with constant sales and deals to attract them. These tweens and teens wouldn’t even be able to afford the cheapest item at Chanel. The PLACE or distribution strategy is vital with making the outfits available when and where customers want them.The Chanel outfit is sold exclusively in their boutiques; it isn’t sold in department stores or online. As of September 2010, there are only 310 locations world wide. These Chanel boutiques are only located in high-end shopping malls where the high end customers shop: South Coast Plaza, Beverly Hills Mall, etc. Aside from shopping malls, these boutiques are placed in high-end fashion districts. A woman who spontaneously decides to go shopping would want to go to Chanel where she feels most comfortable and convenient. These stores wouldn’t be placed in low-income cities, such as the Bronx or Compton. The product is only placed in high income cities where its target audience lives.All of the clothes and its accessories are designed and manufactured in Paris, France where its headquarters is located. Once each piece of clothing is manufactured, it is distributed exclusively to each boutique through air-mail. These items are to be handled with care when it is being distributed because a client would not want to pay a high price for a defective item. The Chanel clothes are never in warehouses or outlets because it destroys the luxury aspe ct of the brand. When each of the products arrives in the boutique, it is first placed in the boutique window where customers can see a look of the entire outfit before they enter the store.The boutique window is the place where customers can have an idea of what they could potentially wear, shop, and purchase. It must be decorated lavishly to attract customers and entice them to walk into the store. Due to the extreme quality and benefit perception of the clothes, the store needs to have an extravagant and contemporary design. The outfit is brand new, so it would be placed near the front of the store in plain sight for the customers to have an easy access. The main factor of Chanel is that it has to be placed in high-income areas where its target audience predominantly lives. Nike’s outfit is more affordable and universal, so it is distributed in more diverse areas than Chanel and Hot Topic.Nike has its individual stores placed worldwide; however, the products can also be fo und in department stores, including Nordstrom, Macys, Finish Line, Sports Chalet, etc. Wherever the items are placed, it would be in the athletic or sporting apparel to be easily located. In the Nike stores, there would be an athletic store theme to attract customers who tend to be athletic and active. These products are placed and distributed to shopping malls where these retail stores are mainly located. When it comes to shopping, people of all incomes would most likely go to the nearest shopping mall which is why the Nike running clothes are dispersed throughout different retail stores.Due to Nike having the perception of quality, stores would place its items within reaching distance on the shelves. Department stores would generally place the Nike products in the middle of the store, so customers can also browse other types of brand items as they try to locate the Nike items. The running items are made in countries outside of the United States, so it would need to be air-mailed a nd trucked to various parts of the world. If customers want a better deal, they could locate any Nike warehouse and purchase the products directly from there, so they don’t have to pay the few extra dollars to cover the trucking and transportation costs.Nike has a few outlets where clothes from different sport seasons are placed to allow customers to purchase the items at a discounted rate. Customers across the globe utilize the Nike running brand, so the clothes and shoes are also sold online through the Nike website or the individual retail stores’ websites. Nike understands that its items are highly universal to all age and ethnic groups; therefore, it considers multiple locations to sell their running apparel. Hot Topic’s target audience is smaller due to their younger age. Most tweens and teens spend their free time at shopping malls where the stores are located. The store has an artistic, dark, music theme which encompasses the types of customers.The pants are hanging on racks near the back of the store because they aren’t as important as the tops and t-shirts. The t-shirts are folded and displayed on the walls of the stores behind glass coverings. A customer can walk up to the side of an entire wall, look at the different graphics and designs, and locate it on the shelves underneath the glass casings. The plug earrings are placed in the middle of the store in a large glass case near the cash register, so employees can keep an eye on the jewelry. The products are manufactured outside of the United States, so it has to be air-mailed and trucked to the different 642 locations only in the United States and Canada.The clothes are mass produced, so the clothes are first sent to warehouses that then send a certain supply amount of the clothes to each of the stores. These products are also sold online at their exclusive website where additional items are found because they aren’t sold in stores. There are also a few outlets be cause the brand needs to be affordable for the younger population. When comparing the place of all three competitors, Nike has the best distribution because it has a more universal audience based on age, geography, ethnicity, and social class. 4. When comparing the competitors’ web sites, Chanel has a well-thought design but is the least user friendly of the three. The site is easy to maneuver through, but it isn’t as simple as Nike or Hot Topic.The website’s design is based on the clothing season and separated by outfits rather than separating each product by â€Å"tops, bottoms, dresses, etc. † as other clothing websites do. It appears as if Chanel is set on which article of clothing matches with each other. For example, a certain dress can only be worn with a particular jacket, belt, or shoes. The website doesn’t appear to allow a customer to mix and match the apparel to their liking. When a user clicks each individual outfit, there is an excell ent screen shot and display of a model walking on the runway. Whichever direction the mouse cursor moves, the web page would follow the motion and give a better view of the entire outfit.For example, after a person clicks on the initial outfit link, a large screen shot would appear that covers the whole page. When they would move the mouse cursor down, they could see the rest of the outfit, such as the shoes. With each outfit, there is a short description of each article of clothing’s fabric and material. The website provides most of the needed information for the outfit, except for the price. They don’t include the price because only the rich and wealthy would shop at Chanel, and they have enough money to not care or consider the price as most other shoppers. Due to Chanel’s target audience as high-end customers who are fashionistas, the website also includes footage of multiple fashion shows where they can view the different apparel and styles.Women who shop a t Chanel tend to care about fashion, so the website is interactive in allowing them to view exclusive fashion shows and see pictures and footage of the workings inside the Chanel studio. There is a â€Å"Chanel News† link that keeps loyal Chanel customers up-to-date on any upcoming events and gives them exclusive behind the scene workings. If a user wanted to stay updated on the clothing line, they can subscribe to the website to be notified of any new products. Aside from the clothes, the website provides a store locator based on the geographic world region. Chanel’s website is unique because it has a different design and theme due to it not providing users the ability to purchase the items online.It gives off the true essence of how important fashion is to some women. When entering the Nike website, the user has to first select a language than the country which applies to them. This shows the universal and global effect of this brand. The site is user friendly as it separates each product into the sport it associates with. Running shoes or apparel would be found in the link for running while basketball shorts would be found under the basketball link. The website is more than just shopping for apparel. There is a link for customers to shop individually, and there are individual site links where people who are interested in different sports can click.For example, if one were to click the running site, there would be a narrow range of products to shop from. Also, there are training tips, events, news, and footage. This website would be the most user friendly in comparison of the three because it considers the different types of users and their individual needs. For example, there is a list of shoe options a customer can choose from. They can choose footwear for their different foot condition and the degree of support they need. Even though it may be difficult for a consumer to determine which product they need from all of the options, it is better to allow the different factors for people who are short or tall, flatfooted, and lightweight or plus sized.A user can easily choose between the links if they were to shop for tops, shoes, gear, fan gear, bottoms, or shirts. Each of the products has descriptions where it discusses the product’s benefits, fit, fabric, design, origins, and directions on after-care. Along with the product’s highlights, the website shares featured technology, such as how Dri-FIT works. There are also size charts to help customers figure out their most suitable measurements. Customers have the capability of posting and reading reviews where consumers rate the product based on its size, fit, comfort, and durability. The videos that the website provides show average people in the Nike products running and exercising in everyday places.Since customers can purchase items online, they have the ability to check their order status and know where it is in the processing procedures. Athletes are und er physical and mental pressure when they are training, so the website provides motivational and encouraging quotes and expressions. At the bottom of the webpage, there is a link to find the nearest store location to the user. There is also an opportunity for people to take pictures and send them to Nike about how they keep active and healthy. Users can also follow Nike through Twitter and YouTube. Hot Topic is also user friendly because it has a younger target audience. The website has more options and functions aside from buying apparel because younger generations are more tech savvy.It is easy for a user to locate their needs because the clothing, accessories, and shoes are split up into categories at the top of the webpage: New Arrivals, Clothing, T-shirts, Denim, Accessories, and Shoes. There is also an option to choose what a user wants to see, such as male, female, or unisex apparel. The products are easily narrowed into subcategories of tops, bottoms, dresses, hoodies, swim, intimates, and kid sizes. The site provides a size chart to allow users to figure out which size is most suitable to their personal measurements. Next to the tabs that depict the clothes, there is a link for deals and clearance items. All the deals that the store is currently offering are largely advertised in red font that jumps from the black background color.The deals are the first to be seen when a user uses the website. If a user wanted a specific band t-shirt, there is a feature at the bottom of the webpage to shop by their favorite artist. Also at the bottom of the webpage, there are clothes being advertised as â€Å"Girls & Guys Most Wanted. † It is a way to further advertise a popular item. Whatever band, artist, or musician is trending at the time, the website shows the pictures and links of top artists, so a user is automatically sent to view products associated with that group or person. When a user chooses a particular item, there is a brief description of the i tem depicting the fabric, graphics, price, and directions on how to care for the product.Beyond the apparel, there are news and videos about certain bands which include music videos or exclusive interviews. The website allows a user to find the nearest store from their location. There is also a â€Å"wish list† feature where a person can put certain items on that list and send them to friends and family who can view it. There are quick links to YouTube, MySpace, Facebook, and Twitter. A person can also have the opportunity to learn about jobs and model opportunities. Hot Topic has links about the store’s purpose and social responsibility. 5. A survey was given to fifteen women of different ages, who have various fashion styles, to get an idea if the three competitors successfully established themselves in the fashion industry.These women are a mix of those who know about the fashion industry, are clueless about fashion, love to be stylish, and don’t care what th ey wear. 1. When purchasing an outfit, which competitor provides the best quality? a. Coco Chanel80% b. Nike, Inc. 13. 33% c. Hot Topic6. 67% 2. Which competitor has the best deals for its brand of clothes? a. Coco Chanel0% b. Nike, Inc. 66. 67% c. Hot Topic33. 33% 3. Who is Hot Topic’s target audience? a. Music lovers13. 33% b. Goths66. 67% c. Artists0% d. Fashionistas0% e. Other20% 4. Which competitor is more universal? a. Coco Chanel0% b. Nike, Inc. 100% c. Hot Topic0% 5. If you were to receive money for a shopping spree, which competitor would you choose to shop at? a. Coco Chanel53. 34% b. Nike, Inc. 33. 33% c. Hot Topic13. 33%Based on the response percentages, it does appear that the competitors position themselves accurately to their main target audience. However, the majority of the poll believed that Chanel provided the best quality of the three. The younger and older demographic seemed to share the same perception of Chanel’s quality which may be a result of its brand image and high prices. The two who chose Nike said it had better quality because it was more suitable to their needs; they both are twenty years old. The only person who chose Hot Topic to have the better quality only shops at that store and is biased because she has a dislike of designer fashion brands. Due to it being a top fashion line, Chanel is successful in setting itself as a quality leader.When it comes to the better deals, nobody chose Chanel as having a good price for its own style of clothing. Even the five older women chose Nike instead because they believed Chanel was pricey. This doesn’t affect Chanel because they aren’t trying to be a price leader which is why their prices are through the roof. Their clients are wealthy who don’t care too much about the costs, so price isn’t one of Chanel’s top priorities; it only sets high prices to keep the concept of riches and luxury. Five women chose Hot Topic as the price leader betwe en the three competitors because they shop at the store on a regular basis. Hot Topic is doing a good job at marketing the products at affordable prices for the younger generations.However, across the spectrum of age and ethnicity, the majority chose Nike as the price leader because it reaches a greater market-place than Hot Topic. Nike targets various types of people, so they are more knowledgeable about the products than those of Hot Topic which targets strictly a younger demographic. Hot Topic’s mission statement is about enabling kids to express themselves musically and artistically. The company expects its target consumers to see them as one who allows people to share their appreciation of music and art. However, less than 15% of the poll shows people believing that the company’s consumers are music lovers. The two who answered that the store is designed for music lovers are knowledgeable about the store and shop there frequently.Aside from music, nobody believed that the brand was geared towards those who loved art. Over 65% of the poll assumes that â€Å"Goths† wear the clothes due to its black, dark, bold styles. People within the age of Hot Topic’s target consumers had a different view of the store than the actual company. Even though these people range in usage rate of Hot Topic’s clothes, they know about the style and products, but they stereotype the typical consumers. The three young girls who chose â€Å"other† shop at this store on a regular basis, but they don’t have any knowledge about what the company is trying to project to its audience. When asked which competitor is the most universal, all fifteen women chose Nike.They understand and agree with Nike’s mission to affect and influence different type of consumers globally. They know that more people of different backgrounds, religions, ethnicity, income, etc. purchase Nike goods rather than the upscale apparel of Chanel and the musical s tyling of Hot Topic. Therefore, Nike is doing an excellent job when they are internationally expanding their 452 worldwide while Chanel is a company with only 310 stores worldwide. Nike’s ability to target a large market-place justifies their goal of increasing the number of stores to 738 between 2010 and 2015. If the fifteen women received free money to go on a shopping spree, they fit directly into each of the competitor’s target audiences.The women who fit into Chanel’s target range of being at least thirty years old or a fashionista chose to have a fun day with Chanel. The other women who chose to purchase from Nike are athletes and don’t favor over-priced brand names, such as Chanel. These women want comfort and don’t consider the â€Å"in-style† fashion culture. Even though they were to obtain free money, they wanted to purchase as much as they can with the great Nike deals. The few who chose to shop at Hot Topic are frequent shoppers. They are not fashionistas or athletes. They are nineteen years old with a love art, music, and free expression. In the end, all three competitors are successful in reaching their main target audiences. 6. CHANEL – SWOT Analysis | STRENGTHS| WEAKNESSES| Reputation * Quality * Brand image * Wealthy target market * High demand & popularity * Fashion industry knowledge * Value added products * International Company * Elegant, sophisticated, luxury Concept * Knowledgeable employees * Exclusively owned designs (Tweed Fabric, embroidery, decorative chain, button)| * Small target market * High Price * Exclusively for women * Recession * Limited Production Designs| OPPORTUNITIES| THREATS| * Expand design production * Increase ad campaigns * Target new audiences: Men| * Counterfeits * Similar design by competitors * Cheaper competitors * Change in fashion trend|Since Chanel was founded in 1909, it has accomplished an exquisite reputation of quality, beauty, and luxury in the fashion i ndustry. The popularity of this brand is the reason why it has been strong for a long time. Even people who don’t shop at Chanel know about the clothing line and believe in its product’s extreme quality. The greatest strength Chanel has is its brand image which entices women to purchase and desire the extravagant products. Women mainly purchase the Chanel items in order to show other women that they are wearing Chanel, which is why the brand mark needs to be visible. As of 2010, Chanel’s net income is â‚ ¬280. 3 million and revenue is â‚ ¬1. 809 billion.The reason for its financial and fashion success is its wealthy target market of high income women and celebrities. Even men who don’t know anything about the fashion industry know that Chanel is popular for women. This brand is one of the top fashion designers, so it has an extended knowledge of the industry: current styles, marketable designs, and clothing production. The brand image, quality, and reputation of Chanel add value to its products for women who are fashionistas and all about brand names because they love the elegant, sophisticated, luxury concept. It is an international company, so it is able to reach its wealthy clients globally.The employees must be knowledgeable about the popular fashions, have an artistic, creative vision, and understand the benefits of each article of clothing. Chanel exclusively owns certain fabrics and designs that competitors do not have: tweed fabric, decorative chain, distinguished button, and detailed embroidery. Even though Chanel has wealthy customers, the fact that their target market is small is a weakness. Statistically, there is less high income than middle income or low income households. Chanel only designs and produces clothes for women, so that narrows its target market further. Other top brand name designers, such as Gucci or Louis Vuitton, advertise to male and female shoppers.Chanel’s small consumer percentage limit s its capabilities of expanding and selling to a larger audience. This company also limits itself when it comes to the production designs. The clothes that it designs are similar to each other. There hasn’t been much room for new styles, fabrics, or designs. With the economy suffering the past several years, the company’s high prices decrease the number of sales. When people are trying to save money, they are more likely to refrain from purchasing fruitless items and luxuries. With Chanel being trendy and influential in the fashion industry, they have opportunities to experiment. The company can attempt at expanding its design production.Instead of strictly designing the typical types of styles, it can add a few different styles, so it can target a larger audience group. In order to expand its company to have a wider range, it could produce apparel for men in addition to the existing men’s fragrance. This way, it attracts a larger scope of wealthy males and fema les. If it were to expand its designs, target audience, and production, the brand would increase its ad campaigns to men magazines, TV shows, and male celebrities. One threat that Chanel and most companies in the fashion industry faces is the possible change in fashion trends. A particular style of clothing or brand may only be popular for a short period of time.Even though Chanel has sustained its popularity for over a century, it needs to keep in mind that fashion is constantly changing. It has to be updated and advertised to a large range of people. If the company doesn’t take the opportunity to expand on its scope of style, other competitors may come out with similar designs. With these similar designs, competitors will offer a lower price than Chanel. Chanel would currently have more consumers, but the high prices hold many people back. With fashion, people always want to have a certain product from a designer, but they may not be able to afford it. Top designer companie s have the threat of counterfeit products. For example, a Chanel handbag costs at least $1,000; however, a person can sell that same fake bag for $10.It is hard for some to tell the difference between a counterfeit and authentic item without proper investigation. 7. Chanel has an excellent customer relationship management style when it comes to dealing with their loyal customers. Once customers make their first purchase, usually with a credit card, their information is captured in their data base, so employees can look back to see what was purchased. This data base allows the company to locate their customers’ locations and highlight any similar products that may interest the customer in the future. This information gathers basic demographic information, frequency of purchase, price of the purchase, and distance from their home to the boutique. On the ompany’s website, fashionistas or loyal customers are able to subscribe to the site in order to be alerted on new fashi on/accessories, fragrance/makeup/skincare, and fine jewelry/watches arrivals. Customers feel they have an insider look and importance. However, there is a legal statement on the webpage for users to understand that the company isn’t liable for any risk that a user may face. Aside from the email list, the top priority customers receive a personal letter or phone call to invite them to the store to preview a new collection. In addition, Chanel’s knowledge management is strong in bringing customers back. Women appreciate the feeling of being important and special which is why interaction between a company representative and the customer is important.Most of the customers are loyal, so this allows a representative to build a relationship with a customer and further understand their needs, wants, and desires. As far as I can tell, I believe that Chanel has a better customer relationship management than Nike and Hot Topic because it has a smaller target audience that they ca n place more emphasis and concentration on. A smaller range of customers allows the employees to interact with customers on a personal level. Chanel, Nike, and Hot Topic address the lifetime value that their customers represent. All three have an after care service where they can either go on the website or return to the store if they have any questions. The three competitors deal with their customers in their own way.Chanel has a personal relationship interaction with its clients; Nike gives customers frequent purchaser awards; Hot Topic has a friendly service where it gives customers the will to return and purchase from the company in the future. 8. When it comes to a community outreach program, Chanel hosts charity events for different causes. They tend to have fashion shows or benefit dinners where celebrities host, attend, or advertise the event to attract people to attend or donate. For example, Chanel had a benefit dinner with Kate Hudson for the Natural Resources Defense Cou ncil’s Ocean Initiative. All the money received from ticket attendance went straight to the charity. Nike addresses the societal marketing concept better than Chanel.The company has charity events, similar to Chanel, where celebrities attend dinners and shows; the profits from the tickets directly fund some charitable cause. Besides the charity events, the company believes in recycling. In 1993, Nike started their â€Å"Reuse-a-Shoe† program in an effort to keep their shoes out of landfills. Over the past nineteen years since this program begun, it was able to recycle over one and a half million pairs of shoes each year. The shoes and clothes that it produces are all recyclable in order to help clean up the environment. Nike also builds basketball courts and outdoor activity areas for schools and the Boys and Girls Club.On Hot Topic’s website, there is a link to help users learn about the company’s social responsibility. They make sure to provide their cu stomers with products produced legally and responsibly. The company has each manufacturer and product provider abide to their strict standards that prohibit forced labor, child labor, harassment, and abuse. Hot Topic ensures that employers provide health, safety, sufficient wages, and benefits to employees. 9. Since the downturn of the economy in 2005, Chanel had some difficulty. People during those times lost their jobs or were fearful of their termination. As a result, many started to save money by cutting out any unnecessary spending of luxurious that included Chanel products.The company’s revenue declined for a few years; however, as the economy is slowly recovering, the revenue is increasing gradually. The main reason for its short decline in profit is its small target audience becoming smaller and prices remained expensive. Nike had its own share of hardship as its steady revenue dropped drastically in the beginning of 2009. Even though Nike’s products are more u niversal and targets a larger audience than Chanel and Hot Topic, it couldn’t escape the fact that people ceased to shop for clothes during the recession. Since that huge drop in 2009, Nike has positively gained much profit. As the years go by, its income statement shows that their income and profits are increasing by several hundred thousands of dollars.For Nike to increase its profits and keep its sustainability, it reduced its expenses thirty to fifty percent. Chanel is growing back to what it originally was before the recession, while Nike has continued to soar since the company was founded in 1964. Hot Topic was founded in 1988 and reached great success starting in 2000. It was doing well until the downturn of the economy. The company’s main consumers are tweens and teens which are the reasons why it has a challenging time gaining back its past success. As the years go by, the income statement shows that the company’s total revenue is decreasing. In January 2011, it peaked at its greatest operating loss; however in January 2012, it decreased that amount but is still operating at a loss.Hot Topic is attempting at earning back its profits by attracting people with constant deals which have been working at a slow pace. 10. Personal or relationship selling affects the final consumer who buys the Chanel outfit. Chanel requires all the different supplies of the final product to comply with certain guidelines and rules. The company verifies its supply chain. It is constantly verifying its supply chains to address risks of any human trafficking and slavery. They research their suppliers because they don't take part in forced labor. Chanel also conducts selected audits of suppliers, including audits about the conditions of work and the use of forced labor.They conduct internal and external audits that may or may not be announced prior to the investigation. Training is also provided for employees with direct responsibility for supply chain mana gement. In the facilitating functions, Chanel researches its channel members through audits and extends credit and other financial services to facilitate the flow of goods through the channel to the final consumer. During the transactional functions, they contact potential customers, promote products, and solicit orders. They also negotiation how many goods or services to buy and sell, so they don't have an oversupply of goods because their target audience is smaller than other clothing boutiques.They also select the type of transportation to use which is presumably air-mail because the outfit is primarily manufactured in France. There are trucking distributions, but the items are carefully packaged to ensure safety. The outfits are delivered prior to the start of the season that it is being sold in, so top priority customers can have the first look. Chanel also assumes risk of owning any inventory because some pieces of the outfit may not be as popular as the other. 11. Chanel†™s best clients are frequent customers. They aren't necessarily categorized as being only high dollar people because all of the shoppers are wealthy. This company is a designer line, so its preferred customers are constantly making purchases.When it comes to the outfit comprised of the boots, dress, jacket, and belt, Chanel could get their frequent customers to order more by sending them letters, emails, notices, or phone calls about a new arrival of clothing or accessories that may be to their liking. Chanel employees would be able to collect customer’s information from their data storage and segment which new products can be associated and sold to a particular shopper. For example, this particular outfit is all white, so an employee can suggest to whoever purchased the clothes to buy a matching handbag, sunglasses, hat, broach, or scarf. These women are top paying fashionistas who trust the knowledge of people working in the fashion industry, so they would be more incline d to purchase items that can be easily incorporated into their outfit.From this, Chanel can suggest outfits to these customers during every different season; they can suggest a new particular jacket, dress, shoes, or accessory. 12. Personally being into fashion, I love the extravagance and beauty that Chanel’s campaigns exude. The photography and its design are exquisite. I don’t have a favorite ad in mind, but I love the ads where the photos are taken in outdoor scenery. The nature setting is captivating because the beauty of nature is combined with the apparel's beauty. I love art, so I favor the black and white ads. Black and white photos seem to have a unique, elegant, and classy feeling because it’s vintage. Chanel also tends to have advertisements where a model would be in a dark room and have the light shine on her while she’s wearing the clothes.The dark room makes the audience automatically draw their eyes to the bright light illuminating from th e Chanel clothes. Overall, I believe that the photography and lighting of the campaigns play a bigger role than the background scenery. The way the light shines on the models make them appear to be a doll and completely flawless. I assume that I love the Chanel advertisement campaigns because I yearn for the company's luxurious clothes along with the beauty and elegance that it provides customers. If I had the money, I know that I would be a loyal, frequent customer. Nike's ad campaigns are realistic, encouraging, and motivational. My favorite Nike advertisements are of photos that capture natural, regular athletes in their movement.I love viewing the different body movements, whether it is of them running, dancing, or stretching. The photos are taken in great detail, so you can see each movement that the athlete makes. The body movements give a sense of abstract artwork which I admire. The appearance of an athlete's easy movements with Nike's inspiring quotes is very motivational. I feel as if Nike does a better job than the three competitors at engaging and relating to their audiences. Sometimes, I appreciate a simple ad that captures a certain moment without any need of being over detailed or having popular celebrities. The Nike ad campaigns tend to have more computer graphics design with colors that are truly captivating.The motivational words make me feel as if it is just simple to get up and do a physical activity, even though it may not be. With TV commercials, the company has a narrator dictate similar encouraging quotes in a voice that is too powerful to ignore. I am impressed with how simple Nike's advertising campaign can be; however, it i

Cyber Security: Threats, Response and Improvement

Cyberspace, or the Internet as an interchangeable reference, is the electronic medium of computer networks and systems in which online communication and enterprise takes place. Originally, the Internet served to interconnect laboratories engaged in government research. However, since 1994, the decentralized Internet has expanded to serve millions of users and a multitude of purposes in all parts of the world. With this shift from government tool to general tool, the Internet has become a collective result of ideas, beliefs and initiatives. Many aspects of our day-to-day lives can be traced along the Internet through some form of electronic function. In addition to its wide reaching powers with regards to the spread of information, the Internet has also become the most democratic and universal form of mass media ever known, since no one entity has a monopoly over the information available, thus making control close to impossible. Clearly, Internet usage in today’s world is no longer viewed as a nonessential luxury. Usage and content has exponentially risen to a level of unprecedented proportion that requires its own area of precautions and supervision. The distal range of context that Cyberspace commands is the basis for a host of security issues and challenges that anyone that utilizes the Internet is made aware of daily. There is a growing awareness in today’s globalized world of the imminent dangers that may befell anyone that isn’t careful of their Internet usage. Cybercrimes such as theft, fraud and identify theft, to name a few, pose as ominous threats to the security of any individual or enterprise that engages the Internet at any given time. Read this  Chapter 2 – Why Security is Needed Not only are these threats that individuals are subjected to, but also threats that the US government has been forced to acknowledge as it becomes increasingly dependent on the internet as a way of life. Based on the combination of the new widespread use of the internet, as well as governments and world’s dependence on the internet for daily life, cyber security has become the new face to American foreign policy, national security, military and defense strategies and economic stability. As President Obama explained, the growing number of attacks on our cyber networks has become â€Å"one of the most serious economic and national security threats our nation faces. † This increased threat explains the increase in the cyber security field, task force work, watchdog groups and government agencies over the past decade. â€Å"Cyber security,† as the field has been coined, is varied and ranges from the local, state and federal levels, all with the purpose of regulating and policing the ill effects of Cyberspace usage. Responding to Threats. The increase of security threats has forced the United States government to meet these new challenges and implement strategies towards the safeguarding and integrity of its critical infrastructures, as well as against an extensive gamut of state and non-state actors that do not adhere to physical borders. The United States government is responsible for the supervisory control and data acquisitions (SCADA) of the entire nation. SCADA has seen a growing dependence of critical infrastructures and industrial automation on interconnected physical and cyber based control systems. There has been a growing and previously unforeseen cyber security threat to these systems, which include industrial control systems, computer systems that monitor and control industrial, infrastructure, or facility-based processes. These critical infrastructures include areas such as water treatment and distribution plants, wastewater collection and treatment plants, oil and gas pipelines, electrical power transmission and distribution generators, wind farms, civil defense siren systems and large communication systems. Although most critical infrastructures are in the private sector, governments at various levels perform many key functions with regard to these infrastructures. Among those key functions are national defense, homeland security, emergency response, taxation, remittances to citizens, central bank activities, criminal justice, and public health. These functions and others now depend upon information networks and systems. Thus, it is the duty of the government by law to secure their information systems in order to provide essential services that is critical to the continuity of government. Government’s role in cyber security is warranted in cases where high transaction costs or legal barriers lead to significant coordination problems; cases in which governments operate in the absence of private sector forces; resolution of incentive problems that lead to under provisioning of critical shared resources; and raising awareness. †7 Policy Review Current cyber security policy has been adjusted to reflect the clear and present danger associated with cyber warfare. The Obama Administration has identified several areas in which cyber security will be greatly impacted. Its near term strategy, which in effect is the Administration’s immediate focus, is the most vigorous strategy, and includes the listing and identification of the designation of a cyber security directorate, establishes cyber security as a management priority, proposes a cyber security action plan that develops a framework for research and development strategies that focus on game-changing technologies that have the potential to enhance the security, reliability, resilience, and trustworthiness of digital infrastructure. The strategy also strives to provide the research community access to event data to facilitate developing tools, testing theories, and identifying workable solutions. 7 Cyber security and its safeguarding of critical infrastructure as we know it today came to pass The Homeland Security Act of 2002 (P. L. 107-296), which transferred and integrated several federal entities that play a role in cyber-security of control systems into the Department of Homeland Security. These entities include the Critical Infrastructure Assurance Office, the National Infrastructure Protection Center, the National Infrastructure Simulation and Analysis Center, and parts of the Department of Energy’s Office of Energy Assurance. Additionally, the Homeland Security Act of 2002 created a new class of information, critical infrastructure information, which can be withheld from the public by the federal government. In spite of the clandestine measures in place to ensure the integrity of privileged information, the cornerstone of America’s cyberspace security strategy is and will remain a public-private partnership. The government, working with key stakeholders, should design an effective mechanism to achieve a true common operating picture that integrates information from the government and the private sector and serves as the basis for informed and prioritized vulnerability mitigation efforts and incident response decisions. From a federal government perspective, the proper and most efficient approach to ensuring the safety and integrity of its cyber security is through rigorous and cost-effective risk assessments. Industry Initiatives Since the field of cyber-security is a relatively new one, it will continue to experience its share of technical difficulties along the way. Initiatives that address the vulnerability of industrial control systems may be reduced and enhanced in a ‘less is more’ approach through a range of federal actions. Development standards by either a voluntary or mandatory process for cyber-security of control systems; identifying and addressing critical infrastructure interdependencies; developing encryption methods for control systems; identifying and establishing technologies to address existing vulnerabilities; funding long-term research into secure SCADA systems; providing for free exchange of risk information between the federal government, private industry, and other critical infrastructure sectors; and assessing federal activities in this area are all possibilities for negotiation. Due to the severity of importance surrounding SCADA systems, federal actions may also create a more uniform process that would include â€Å"the functionality necessary to protect industrial control systems, while providing for more secure operation. † Preparedness and Resources America’s increasing dependence on information technology has given way towards a greater protection of digital networks and infrastructures, however confidence in its current form is as delicate as ever despite renewed calls for better understanding, awareness and preparedness of critical infrastructures. â€Å"Confidence in preparedness is variable. Nearly a third of IT executives surveyed said their own sector was either â€Å"not at all prepared† or â€Å"not very prepared† to deal with attacks or infiltration by high-level adversaries. Among those who had actually experience such attacks, the lack of confidence rises to 41 percent. † It is a generally held view by the cyber security community that the resources in place to secure networks are in adequate measure to respond to at-large threats. Overall, cost was most frequently cited as â€Å"the biggest obstacle to ensuring the security of critical networks,† followed by â€Å"lack of awareness of the extent of the risk. Such a daunting task of safeguarding these important resources can only be handled at the federal level, particularly in the military’s domain, yet even the federal government isn’t impervious to data breaches, nor is the military. The man currently responsible for overseeing US cyber security strategy is Deputy Defen se Secretary of Defense William J. Lynn of US Cyber Command (USCYBERCOM). Secretary Lynn cites the biggest threat to American cyberspace stems from the â€Å"exploitation, disruption and destruction of our networks. In 2008, the US was the victim of a cyber attack that penetrated top-secret classified files. The breach occurred when a foreign intelligence agent used a malicious flash drive to steal information from laptops in Iraq and Afghanistan. Lynn cites this unprecedented event as â€Å"the most significant breach of U. S. military computers ever. †13 More recently in May of 2010, the US Secret Internet Protocol Router Network (SIPRNet) was breached by PFC Bradley Manning, which led to the highly publicized Wiki Leaks controversy. USCYBERCOM will play the leading role in helping to integrate cyber operations into operational and contingency planning as outlined by the 2010 Cyberspace Policy Review and the Quadrennial Defense Review (QDR). According to the Cyberspace Policy Review, â€Å"[t] he nation’s approach to cyber security over the past 15 years has failed to keep pace with the threat. † The QDR acknowledges that: There is no exaggerating our dependence on DoD’s information networks for command and control of our forces, the intelligence and logistics on which they depend, and the weapons technologies we develop and field. In the 21st century, modern armed forces simply cannot conduct high-tempo, effective operations without resilient, reliable information and communication networks and assured access to cyberspace. It is therefore not surprising that DoD’s information networks have become targets for adversaries who seek to blunt U. S. military operations. Indeed, these networks are infiltrated daily by a myriad of sources, ranging from small groups of individuals to some of the largest countries in the world. The reality facing governments and private enterprise today with relation to yber attacks is to maintain a steadfast and cautious plan whose efficacy enables them to respond to the incessant attacks by hostile governments and non-state actors alike. Undoubtedly, these measures are costly, but a solid investment in the safeguarding of critical infrastructure and data. The alternative lies in damage control once an attack has been initiated, which when compared to an attack, is exponentially less than the warranted protection in aggregate. The average estimated cost of 24 hours of down time from a major cyber attack was U. S. $6. 3 million in 2010. 6 According to a study prepared by the Poneman Institute, a research center dedicated to privacy, data protection and information security policy, the smaller the gap between compliance and non-compliance costs, the lower the occurrence of compromised records for an organization. 17 According to Undersecretary of Defense Lynn, â€Å"cyber attacks on our military networks have not cost any lives, not yet. But in a six month period, the Defense Department spent more than $100 million defending its networks †¦ and we spend billions annually in a proactive effort to defend our network s. †18 Future Action Plans The interdependence of cyberspace means system networks are heavily dependent on varying infrastructures in order to function at optimum capacity. The US Department of Defense has acknowledged that in order to meet the demands of today’s cyber security threats, they must collaborate with private enterprise in order to coordinate responses to cyber attacks. The Cyber Policy Review states that, â€Å"implementation of this framework will require developing reporting thresholds, adaptable response and recovery plans, and the necessary coordination, information sharing, and incident reporting mechanisms needed for those plans to succeed. Moreover, the QDR supports the Cyber Policy Review by stating that, â€Å"this mutual assistance includes information sharing, support for law enforcement, defense support to civil authorities, and homeland defense. In particular, DoD will strengthen its cooperation with DHS, which leads the national effort to protect federal information systems. †19 Collaborative Effort and Hierarchy While cyber security is currently evolving and become a growing trend in the digital age with relation to national, military and economic security, overnment-sponsored cyber security cooperation varies widely among owners and operators of critical infrastructure in their respective arenas. 20 The advent of globalization has spawned a new age of interdependence and the integration of markets, nation-states and technologies. 21 While there is no question as to the federal government’s responsibility in pooling its resources together for its own security, the question remains insofar as to ho w the US’ allies and partners will collaborate in areas of mutual interest with relation to cyber security. As with any other venture that requires circumspection, the tendency for information sharing not only at the federal level, but international level as well may very well be a one-way street; from bottom, up. While U. S. cyber security policy aims at having a partnership with private enterprise, resistance from the private sector arises from an impending gamut of legislation and regulation. Three areas in particular are a concern for IT professionals: * Lack of faith in the understanding officials have about the way a sector works. Clumsy regulation may â€Å"level-down† security in very diverse sectors. * The risk that mandatory disclosure of security incidents—for example the compromise of personal data—can drive policy and resources in counter-productive directions. 22 These concerns are well founded and derive from the legislative branch’s inability to often time analyze, understand and process information in a timely fashion. Improving Cyber Space It w ill remain an arduous task for anyone and everyone who utilizes cyberspace as a medium for information and data sharing to maintain a relative form of security comfort. Cyberspace in its current form is unregulated by most countries around the world. China is an exception; due to their system of government, the Chinese see it as a strategic interest to hide certain areas of public internet usage. While there are steps in place to promote a healthy relationship in cyberspace from the government on down to private individuals, cyberspace and its capabilities are its infancy in terms of technology, systems and infrastructure. The ceiling is limitless with relation to advancements in all three of these phases. In the short-term, information placed in cyberspace must be carefully weighed for its content value and varying degree of sensitivity. There is a growing demand and shift towards internet usage that has secured access. For example, most websites that handle financial transactions and safeguard personal information have moved towards the â€Å"https://† coding for secure connectivity. Firewalls are an important component as well in handling any would-be hacker or virus from penetrating encrypted data. Such measures are an important step towards maintaining a harmonized cyberspace. The need and demand for privacy is another area of interest in maintaining a safe environment within cyberspace. There’s a profound difference between the location of a terrorist cell on a network server in the Pentagon and an individual’s latest update on a social media site. While both are important for differing reasons, privacy and security are of the utmost importance to maintaining the Internet and its users as safe as possible. Many cyber vulnerabilities exist because of a lack of cyber security awareness on the part of computer users, systems administrators, and technology developers, Such awareness-based vulnerabilities present serious risks to critical infrastructures. 23 Safety and improvements to cyberspace is everyone’s responsibility. With no single governing body in charge of securing and improving cyberspace, it becomes increasingly more important for all users to heed the caveat lectors of their own due diligence and to point out potential trouble areas and vulnerabilities.