Seminar Report Topic: ACCOMODATION

(TAJ HOTELS & RESORTS)

Submitted to: Dr. Manoj Edward

Group Members: Vandana M Subair T V Vinitha Jayachandran Vipin C Sreeram R

INTRODUCTION A hotel is an establishment that provides paid lodging usually on a shortterm basis. Hotels often provide a number of additional guest services such as a restaurant, a swimming pool or childcare. Some hotels have conference services and meeting rooms and encourage groups to hold conventions and meetings at their location. We are concentrating on the leader Indian Hotel industry ie. The Taj Group. For more than 100 years, The Taj Group has acquainted guests with the living heritage of India - and a legendary experience in hospitality. It began on December 16, 1903, when Jamshetji Nusserwanji Tata opened Tajs first hotel, the Taj Mahal Palace & Tower in Mumbai. This grand hotel epitomized a philosophy that still holds true today: provide impeccable service and unparalleled facilities so every stay is a memorable one. A part of the Tata Group of companies www.tata.com, India's premier business house, Taj Hotels Resorts and Palaces comprises 57 hotels in 40 locations across India with an additional 18 international hotels in the Maldives, Mauritius, Malaysia, Australia, UK, USA, Bhutan, Sri Lanka, Africa, and the Middle East. Over the years, Taj has won international acclaim for its quality hotels and its excellence in dining, business facilities, interiors, and world-class, personalized service.In India, Taj is recognized as the premier hospitality provider, spanning the length and breadth of the country, and gracing important industrial towns and cities, beautiful beaches, historical and pilgrim centres, and wildlife destinations. An innovator in dining, Taj was the first to introduce Sichuan, Thai, Italian, Mexican, and Californian cuisine into the country. In 1972, it was the first to open a 24-hour coffee shop in India at Taj Mahal Palace & Tower, Mumbai. Today, each restaurant is reflective of that tradition, setting benchmarks for an outstanding culinary experience.

COMPANY PROFILE

The Company was incorporated in 1902 and it opened its first hotel, The Taj Mahal Palace & Tower, Mumbai, in 1903. The Company then undertook major expansion of The Taj Mahal Palace & Tower, Mumbai by constructing an adjacent tower block and increasing the number of rooms from 225 to 565 rooms. With the completion of its initial public offering in the early 1970s, the Company began a long term programme of geographic expansion and development of new tourist destinations in India which led to its emergence as a leading hotel chain in India. From the 1970s to the present day, the Taj Group has played an important role in launching several of India's key tourist destinations, working in close association with the Indian Government. The Taj Group has a philosophy of service excellence which entails providing consistently high levels of personalized service and innovative means of improving service quality. The Taj Group has been active in converting former royal palaces in India into world class luxury hotels such as the Taj Lake Palace in Udaipur, the Rambagh Palace in Jaipur and Umaid Bhawan Palace in Jodhpur. In 1974, the Taj Group opened India's first international five star deluxe beach resort, the Fort Aguada Beach Resort in Goa. The Taj Group also began its business in metropolitan hotels in the 1970s, opening the five-star deluxe hotel Taj Coromandel in Chennai in 1974, acquiring an equity interest and operating contract for the Taj President, a business hotel in Mumbai, in 1977, and opening the Taj Mahal Hotel in Delhi in 1978. In 1980, the Taj Group took its first step internationally by opening its first hotel outside India, the Taj Sheba Hotel in Sana'a, Yemen and in the late 1980s, acquired

interests in the Crown Plaza - James Court, London and 51 Buckingham Gate Luxury Suites and Apartments in London. In 1984, the Taj Group acquired under a license agreement each of The Taj West End, Bangalore, Taj Connemara, Chennai andSavoy Hotel, Ooty, with which the Taj Group made its foray into Bangalore. With the opening of the five star deluxe hotel Taj Bengal in Kolkata in 1989; the Taj Group became the only hotel chain with a presence in the five major metropolitan cities of Mumbai, Delhi, Kolkatta, Bangalore and Chennai. Concurrently with the expansion of its luxury hotel chain in the major metropolitan cities, the Taj Group also expanded its business hotels division in the major metropolitan and large secondary cities in India. During the 1990s, the Taj Group continued to expand its geographic and market coverage in India. It developed specialized operations (such as wildlife lodges) and consolidated its position in established markets through the upgrading of existing properties and development of new properties. Taj Kerala Hotels & Resorts Limited was set up in the early 1990s along with the Kerala Tourism Development Corporation. In 1998 the Taj Group opened the Taj Exotica Bentota which strengthened the Taj Group's market position in Sri Lanka. In 2000, the launch of the 56 acre Taj Exotica, Goa and the Taj Hari Mahal in Jodhpur were completed. In 2000, the Taj Group entered into a partnership with the GVK Reddy Group to set up Taj GVK Hotels and Resorts Limited and thereby obtained a prominent position in the market in the southern business city of Hyderabad, holding three hotels and a major share of the market. In 2001, the Taj Group took on the management contract of Taj Palace Hotel, Dubai, and has established itself as an up-market hotel in the Middle East region. The Taj Exotica Resort & Spa,

Maldives launched the Taj Group into the premium luxury hotel market and since its opening in July 2002, has won several international awards. The Taj Group also obtained licenses to manage and operate two leisure hotels; the Rawal-Kot, Jaisalmer and Usha Kiran Palace, Gwalior in October 2002. In September 2002, the Taj Group acquired an equity interest in the former Regent Hotel in Bandra which gave the Taj Group access to the midtown and North Mumbai market. The hotel has since been renamed as the Taj Lands End, Mumbai. In 2003, the Company celebrated the centenary of the opening of its Flagship hotel, the Taj Mahal Palace & Tower, Mumbai. In 2004 the Taj Group opened Wellington Mews, its first luxury serviced apartment in Mumbai. In the same year, the Taj Group also launched the first of its "value-for-money" hotels in Bangalore branded 'Ginger', which division has 11 hotels in various locations in India and is owned through its wholly owned subsidiary. In 2005 the Company acquired on lease The Pierre, a renowned hotel in New York City, to enter the luxury end of the developed hotel markets internationally. The Company entered into a management contract for Taj Exotica in Palm Island Jumeirah in Dubai to expand its existing presence in the United Arab Emirates. The Company enhanced its position as an operator of converted palaces by entering into a management contract for Umaid Bhawan Palace, Jodhpur in the princely state of Rajasthan in India. The Company, through a subsidiary, acquired the erstwhile 'W' hotel in Sydney, Australia in February 2006 and renamed it as 'Blue, Woolloomooloo Bay'. To expand its presence in the US market, the Company acquired in early 2007 Ritz Carlton in Boston and Taj Campton Place in San Francisco.

BUSINESS ENVIRONMENT The term Business Environment is composed of two words Business and Environment. In simple terms, the state in which a person remains busy is known as Business. The word Business in its economic sense means human activities like production, extraction or purchase or sales of goods that are performed for earning profits. On the other hand, the word Environment refers to the aspects of surroundings. Therefore, Business Environment may be defined as a set of conditions Social, Legal, Economical, Political or Institutional that are uncontrollable in nature and affects the functioning of organization. Business Environment has two components: 1. Internal Environment 2. External Environment Internal Environment: It includes 5 Ms i.e. man, material, money, machinery and management, usually within the control of business. Business can make changes in these factors according to the change in the functioning of enterprise. External Environment: Those factors which are beyond the control of business enterprise are included in external environment. These factors are: Government and Legal factors, Geo-Physical Factors, Political Factors, Socio-Cultural Factors, Demo-Graphical factors etc. It is of two Types: 1. Micro/Operating Environment 2. Macro/General Environment

MICRO ENVIRONMENT

The micro-environment consists of stakeholder groups that a firm has regular dealings with. The way these relationships develop can affect the costs, quality and overall success of a business. Issues in the micro-environment include:

Suppliers: can they provide high quality products at a good price? Can they do this reliably in the volumes required? Have they got the flexibility to respond to a firm's demands? What is the bargaining power of these suppliers? How dependent is the firm on them? Does their approach to their staff and resources fit with your ethics? Firms must decide on issues such as who to use to supply them, on the responsibility it takes for these suppliers and on the terms and conditions it adopts. Some firms take quite an aggressive attitude towards their suppliers by trying to push down the prices

and delay payments. Others view the relationship more as a partnership in which they are working together with suppliers and that by helping each other both can benefit. The importance of suppliers can be seen if things go wrong. In 2000 Ford's image was damaged when tyres on its Explorer vehicles started exploding. These tyres were produced by Bridgestone and the supplier ended up re-calling over 6.5 million tyres. In 2007 Sony batteries in several Dell laptops caught fire which caused a terrible public relations issue for the computer manufacturer and led to over 4 million laptop batteries being recalled.

Distributors: often getting products to the end customers can be a major issue for firms. Imagine you sell shampoo - what you need to sell this is to get it on the shelves in the leading chemists and supermarkets but this means moving someone else's products off the shelves! So the challenge is to get stores to stock your products; this may be achieved by good negotiating skills and offering appropriate incentives. The distributors used will determine the final price of the product and how it is presented to the end customer. When selling via retailers, for example, the retailer has control over where the products are displayed, how they are priced and how much they are promoted in-store. You can also gain a competitive advantage by using changing distribution channels. Banks, insurance companies, holiday firms, hotels and many others businesses have seen the opportunities created by the internet. Direct Line insurance, Dell computers and Amazon have reduced costs by selling direct. Some firms such as Betterware and Avon have used alternative distribution channels to their competitors by selling door to door; Ann Summers' products have sold well via parties.

Customers: customers are obviously the key to sales. Managers must monitor customer needs and try to anticipate how these will develop so that they can meet these requirements effectively now and in the future. To help understand their customers firms are increasingly trying to gather information on them through mechanisms such as loyalty cards. By gathering data on shopping patterns and matching this to data on the individual shoppers firms can build up detailed pictures of their buyers and then offer them appropriate deals. Many firms are also trying to develop relationships with customers to help ensure they come back time and time again. Loyalty cards, frequent flyer programmes and frequent shopper incentives are all aimed at rewarding customers who buy a firm's product regularly. Newsletters, email lists and recommendations to online shoppers of what else they might be interested in are all ways of trying to build a relationship with customers. Of course, potential buyers usually have many choices and so may be able to use their bargaining power in relation to firms. The growth of the internet has enabled customers to search quickly for alternatives and compare deals more easily; this puts pressure on firms to provide better value for money or they will lose their customers.

Competition: the success and behaviour of any business will depend on the degree of competition in its market. In some markets one firm is dominant. This is called a monopoly. Technically in the UK a monopoly exists when a firm has a market share of over 25%. If you are in a monopoly position this may allow you to exploit the consumer with relatively high prices (assuming your position is protected in some way) and you may be able to offer an inferior service if customers have no other choices. In other markets a few firms dominate; this type of market structure is called an oligopoly. In

oligopolistic markets there is a high degree of interdependence and so firms will think carefully how their rivals might react to any actions they take. This can lead to an emphasis on non price competition; a price change is relatively easy to imitate and so firms may rely more on methods such as branding or product development. Oligopolies exist in many markets in the UK such as insurance, banking, car manufacturing, supermarkets. In more competitive markets where there are many firms providing similar products customers have more choice; this may put downward pressure on prices and means that excellent customer service is essential.

TAJ HOTEL GROUPS MICRO ENVIRONMENT

1.COMPANY TAJ HOTEL GROUP AND ITS POLICIES: National interest A Tata company shall be committed in all its actions to benefit the economic development of the countries in which it operates. It shall not engage in any activity that adversely affects such an objective. It shall not undertake any project or activity to the detriment of the nation's interests, or those that will have any adverse impact on the social and cultural life patterns of its citizens. A Tata company shall conduct its business affairs in accordance with the economic, development and foreign policies, objectives and priorities of the nation's government, and shall strive to make a positive contribution to the achievement of such goals at the international, national and regional level, as appropriate.

 Financial reporting and records A Tata company shall prepare and maintain its accounts fairly and accurately in accordance with the accounting and financial reporting standards which represent the generally accepted guidelines, principles, standards, laws and regulations of the country in which the company conducts its business affairs. Internal accounting and audit procedures shall fairly and accurately reflect all of the company's business transactions and disposition of assets. All required information shall be accessible to company auditors and other authorised parties and government agencies. There shall be no wilful omissions of any company transactions from the books and records, no advance income recognition, and no hidden bank account and funds. Any wilful material misrepresentation of and/or misinformation on the financial accounts and reports shall be regarded as a violation of this code, apart from inviting appropriate civil or criminal action under the relevant laws. Competition A Tata company shall fully strive for the establishment and support of a competitive, open market economy in India and abroad, and shall cooperate in efforts to promote the progressive and judicious liberalisation of trade and investment by a country. Specifically, a Tata company shall not engage in activities that generate or support the formation of monopolies, dominant market positions, cartels and similar unfair trade practices. A Tata company shall market its products and services on its own merits and shall not make unfair and misleading statements about competitors' products and services. Any collection of competitive information shall be made only in the

normal course of business and shall be obtained only through legally permitted sources and means. Equal-opportunities employer A Tata company shall provide equal opportunities to all its employees and all qualified applicants for employment, without regard to their race, caste, religion, colour, ancestry, marital status, sex, age, nationality and disability. Employees of a Tata company shall be treated with dignity and in accordance with the Tata policy of maintaining a work environment free of sexual harassment, whether physical, verbal or psychological. Employee policies and practices shall be administered in a manner that ensures that in all matters equal opportunity is provided to those eligible and that decisions are based on merit. Gifts and donations A Tata company and its employees shall neither receive nor offer or make, directly or indirectly, any illegal payments, remuneration, gifts, donations or comparable benefits which are intended to or perceived to obtain business or uncompetitive favours for the conduct of its business. However, a Tata company and its employees may accept and offer nominal gifts, which are customarily given and are of a commemorative nature, for special events. Government agencies A Tata company and its employees shall not offer or give any company funds or property as donation to any government agencies or their representatives, directly or through intermediaries, in order to obtain any favourable performance of official duties.

 Political non-alignment A Tata company shall be committed to and support a functioning democratic constitution and system with a transparent and fair electoral system in India. A Tata company shall not support, directly or indirectly, any specific political party or candidate for political office. The company shall not offer or give any company funds or property as donations, directly or indirectly, to any specific political party, candidate or campaign. Health, safety and environment A Tata company shall strive to provide a safe and healthy working environment and comply, in the conduct of its business affairs, with all regulations regarding the preservation of the environment of the territory it operates in. A Tata company shall be committed to prevent the wasteful use of natural resources and minimise any hazardous impact of the development, production, use and disposal of any of its products and services on the ecological environment. Quality of products and services A Tata company shall be committed to supplying goods and services of the highest quality standards, backed by efficient after-sales service consistent with the requirements of the customers to ensure their total satisfaction. The quality standards of the company's goods and services should meet the required national standards, and the company should endeavour to achieve international standards. Corporate citizenship A Tata company shall be committed to be a good corporate citizen, not only in compliance with all relevant laws and regulations, but also by actively assisting in

the improvement of the quality of life of the people in the communities in which it operates, with the objective of making them self-reliant. Such social responsibility would comprise: initiating and supporting initiatives in the field of community health and family welfare, water management, vocational training, education and literacy, and encouraging the application of modern scientific and managerial techniques and expertise. This will be reviewed periodically in consonance with national and regional priorities. The company shall also not treat these activities as optional ones, but shall strive to incorporate them as integral part of its business plan. The company shall also encourage volunteering among its employees and help them to work in the community. Tata companies are encouraged to develop social accounting systems and to carry out social audits of their operations. Cooperation of Tata companies A Tata company shall cooperate with other Tata companies by sharing physical, human and management resources as long as this does not adversely affect its business interests and shareholder value. In the procurement of products and services, a Tata company shall give preference to another Tata company as long as it can provide these on competitive terms relative to third parties. Public representation of the company and the Group A Tata company shall honour the information requirements of the public and its stakeholders. In all its public appearance with respect to disclosing company and business information to public constituencies such as the media, the financial community, employees and shareholders, a Tata company or the Tata Group shall

be represented only by specifically authorised directors and employees. It will be the sole responsibility of these authorised representatives to disclose information on the company or the group. Third-party representation Parties which have business dealings with the Tata Group but are not members of the group, such as consultants, agents, sales representatives, distributors, contractors, suppliers, etc. shall not be authorised to represent a Tata company if their business conduct and ethics are known to be inconsistent with this code. Use of the Tata brand The use of the Tata name and trademark owned by Tata Sons shall be governed by manuals, codes and agreements issued by Tata Sons. The use of the Tata brand is defined in and regulated by the Tata Brand Equity & Business Promotion Agreement. Ethical conduct Every employee of a Tata company, including whole-time directors and the managing director, shall deal on behalf of the company with professionalism, honesty and integrity, as well as high moral and ethical standards. Such conduct shall be fair and transparent and be perceived to be as such by third parties. Group policies A Tata company shall recommend to its board of directors the adoption of policies and guidelines periodically formulated by Tata Sons.

 Shareholders A Tata company shall be committed to enhance shareholder value and comply with all regulations and laws that govern shareholders' rights. The board of directors of a Tata company shall duly and fairly inform its shareholders about all relevant aspects of the company's business, and disclose such information in accordance with the respective regulations and agreements. Every employee shall be responsible for the implementation of and compliance with this code in his or her professional environment. Failure to adhere to the code could attract the most severe consequences, including termination of employment. Regulatory compliance Every employee of a Tata company shall, in his or her business conduct, comply with all applicable laws and regulations, both in letter and in spirit, in all the territories in which he or she operates. If the ethical and professional standards set out in the applicable laws and regulations are below that of the code, then the standards of the code shall prevail. Concurrent employment An employee of a Tata company shall not, without the prior approval of the managing director of the company, accept employment or a position of responsibility (such as a consultant or a director) with any other company, nor provide 'freelance' services to anyone. In the case of a whole-time director or the managing director, prior approval must be obtained for providing such services from the board of directors of the company.

 Conflict of interest An employee of a Tata company shall not engage in any business, relationship or activity which might detrimentally conflict with the interest of his company or the Group. A conflict of interest, actual or potential, may arise where, directly or indirectly: an employee of a Tata company engages in a business, relationship or activity with anyone who is party to a transaction with his or her company; an employee is in a position to derive a personal benefit or a benefit to any of his or her relatives by making or influencing decisions relating to any transaction; an independent judgement of the company's or Group's best interest cannot be exercised. The main areas of such actual or potential conflicts of interest would include the following: Financial interest of an employee of a Tata company or his relatives, including the holding of an investment in the subscribed share capital of any company or a share in any firm which is an actual or potential competitor, supplier, customer, distributor, joint venture or other alliance partner of the Tata company. (The ownership of up to 1 per cent of the subscribed share capital of a publicly held company shall not ordinarily constitute a financial interest for this purpose.) An employee of a Tata company conducting business on behalf of his or her company, or being in a position to influence a decision with regard to his or her company's business with a supplier or customer of which his or her relative is a principal, officer or representative, resulting in a benefit to him/her or his/her relative.

Award of benefits such as increase in salary or other remuneration, posting, promotion or recruitment of a relative of an employee of a Tata company, where such an individual is in a position to influence the decision with regard to such benefits. Acceptance of gifts, donations, hospitality and/or entertainment beyond the customary level from existing or potential suppliers, customers or other third parties which have business dealings with the company. Notwithstanding that such or other instances of conflict of interest exist due to any historical reasons, adequate and full disclosure by the interested employees should be made to the company's management. It is also incumbent upon every employee to make a full disclosure of any interest which the employee or the employee's immediate family, which would include parents, spouse and children, may have in a company or firm which is a supplier, customer, distributor of or has other business dealings with his or her company. Every employee who is required to make a disclosure as mentioned above shall do so, in writing, to his or her immediate superior, who shall forward the information along with comments to the person designated for this purpose by the MD/CEO, who in turn will place it before the MD/CEO and/or the board of directors/executive committee appointed by the board and, upon a decision being taken in the matter, the employee concerned will be required to take necessary action as advised to resolve/avoid the conflict. If an employee fails to make a disclosure as required herein, and the management of its own accord becomes aware of an instance of conflict of interest that ought to have been disclosed by the employee, the management shall take a serious view of the matter and consider suitable disciplinary action against the employee.

 Securities transactions and confidential information An employee of a Tata company and his or her immediate family shall not derive any benefit or assist others to derive any benefit from access to and possession of information about the company or the Group, which is not in the public domain and thus constitutes insider information An employee of a Tata company shall not use or proliferate information which is not available to the investing public and which therefore constitutes insider information for making or giving advice on investment decisions on the securities of the respective Tata company on which such insider information has been obtained. Such insider information might include the following: acquisition and divestiture of businesses or business units; financial information such as profits, earnings and dividends; announcement of new product introductions or developments; asset revaluations; investment decisions/plans; restructuring plans; major supply and delivery agreements; raising finances. Protecting company assets The assets of a Tata company shall not be misused but shall be employed for the purpose of conducting the business for which they are duly authorised. These include tangible assets such as equipment and machinery, systems, facilities, materials and resources as well as intangible assets such as proprietary information, relationships with customers and suppliers, etc.

 Citizenship An employee of a Tata company shall in his or her private life be free to pursue an active role in civic or political affairs as long as it does not adversely affect the business or interests of the company or the Group. Integrity of data furnished Every employee of a Tata company shall ensure, at all times, the integrity of data or information furnished by him or her to the company. Reporting concerns Every employee of a Tata company shall promptly report to the management any actual or possible violation of this code, or an event he or she becomes aware of that could affect the business or reputation of his/her or any other Tata company. corporate social responsibility The Tata Group has always held that what comes from the society, must, in reasonable measure, go back to it. The Taj is proud to be a part of this legacy, and is deeply committed to serve the community. We recognize that the community is not just another stakeholder in our businesses, but serving the community, especially the underprivileged sections, is central to our core values. We further believe that serving people in the form of corporate volunteering has positive spinoffs by way of reviving a sense of bonding and the spirit of learning in our employees. Leveraging our competencies The Taj uses its competencies in areas such as food production, housekeeping and laundry to develop and train raw people to enable their earning a livelihood. For

example partnering with NGOs to train underprivileged women housewives in hospitality, self-grooming and house-keeping. Promoting our culture Globally, the Taj is synonymous to the culture and heritage of India and our Building Livelihoods theme is extended to the artisans and craftsmen of India. The Taj, in association with Paramparik Karigar identifies the artisans and craftsmen across India, in areas close in and around the location of our hotels and assigns projects to trainees who identify projects that the hotel can take forward. The project provides our trainees with exposure to the unique arts and crafts of India. It gives our trainees a unique opportunity to live within the community and broaden their own outlook. The project has a strong, long-term impact and creates a strong platform for volunteering 2. SUPPLIERS

MRM Export provides a wide range of Bed Sheets, Curtains, Cushion & Cushion Covers. Prakash & Company deals in quality food products such as sweet corn kernal, baby corn, coconut milk & cream, instant cup noodles, Thai sauce, canned fruit & juices, curry paste, etc. Business Pages India Provides all India guide services by directory of exporters, importers and service providers. Calif Engineering Pvt. Ltd.

The Taj group of Hotels has also made extensive changes to improve its supply chain. The various commodities which are required by the hotel are as following: Apparels and clothing Furniture and other accessories Automobiles Raw food materials

The Taj group of hotels have outsourced these activities to other firms under strict contracts of superior services to the customer. All these items are crucial for the growth of the hotel industry. The Taj group has to fulfil its superior quality standards and therefore take care of all these basic needs of the hotel.

3.COMPETITORS

Welcom Heritage Group, ITC Welcom Group, Oberoi Hotels & Resorts, Sarovar Park Plaza Group, Trident Group, Mansingh Group, Jaypee Group, HRH Group of Hotels are the main Indian players that compete Taj Group. Due to rise in tourism,

emergence of new tourist destinations, and technological upgradations with the emergence of new breed of tech-savvy travelers make it imperative for many global ventures to come to Indian Market like Dubai Ventures, Blackstone, Berggruen Hotels, Emaar MGF-Whitbread JV etc. Marriott and Hilton are aggressively looking for a share of the action in India

4. INTERMEDIARIES

Working with an intermediary is essentially a management issue. Effective intermediaries add great value to marketing, and it is necessary to create constructive and positive relationships with intermediaries through leadership and strategy. In addition, proper products, pricing, and promotion can allow the producer to remain in control of supply and demand. Customer contact and ownership can be built and retained through various marketing strategies, including promotions and market research, that help to identify the consumer. If closer examination of a distribution channel reveals that the use of an intermediary is necessary, it is better to use an intermediary than to inhibit marketing. The old principles of specialization and division of labor still matter in the marketplace. If the marketer lacks adequate resources, it is better to use a suitable intermediary and leave specialized tasks to specialists. A scattered system landscape at Taj Hotels and Resorts posed a number of challenges for the prestigious hotel group A fragmented distribution environment prevented channel connectivity and consistent channel management. Isolated non-interactive systems hampered the planning of marketing initiatives

and the realization of rate parity across all channels The missing deduping and cleansing functionality of central profiles lead to multiple central profiles of the same customer. The missing Sales Force Automation system entailed time-consuming

processes for accumulating the required data for business volume accounts. Scalability issues: Incorporating new hotels into the chain involved complex and time-consuming processes

Solution/Implementation

Taj selected a complete chain-wide CRS and CRM solution including a full twoway PMS integration. The new solution, that is provided by The PLC and Trust International in cooperation with Serenata IntraWare includes: The Trust|Voyager CRS platform offering channel connectivity and advanced distribution options including an Internet Booking Engine for the Taj website www.tajhotels.com Trust|Connect powered by Serenata realizing a complete two-way CRS/PMS integration The Serenata NetHotel CRM solution, a comprehensive chain-wide customer relationship management solution including Central Profile management with Online Profile lookup directly from Trust CRO and the PMS Chain-wide distribution of clean, high-quality profiles Serenata NetHotel Campaign Management Serenata NetHotel Sales (Sales Force Automation)

 Serenata NetHotel Central Reporting

Various distributers of taj

Pegasus Solutions, Inc. has a service agreement with Taj Hotels Resorts and Palaces. Dallas-based Pegasus Solutions is a global leader in providing technology and services to hotels and travel distributors. Tulleeho is India's only marketing consultancy and services firm for the alcoholic beverages industry and has a service contract with the Taj group of Hotels. They also have partnerships with NGOs like Katha Khazaana and Akshay Pratishthan which is meant to improve the baking and catering skills of women.

5.CUSTOMERS: Business Class Corporates, Foreign Tourists, Upper Middle class Families, etc. are the main consumers of taj Groups

MACRO ENVIRONMENT Macro environment There are a number of common approaches how the external factors, which are mentioned in the definition of Kroon and which describe the macro environment, can be identified and examined. These factors indirectly affect the organization but cannot be controlled by it. One approach could be the PEST analysis. PEST stands

for political, economic, social and technological. Two more factors, the environmental and legal factor, are defined within the PESTEL analysis (or PESTLE analysis. The segmentation of the macro environment according to the six presented factors of the PESTEL analysis is the starting point of the global environmental analysis. PESTEL analysis The six environmental factors of the PESTEL analysis are the following:

Political factors Taxation Policy Trade regulations Governmental stability Unemployment Policy etc. Economical factors Inflation rate Growth in spending power Rate of people in a pensionable age Recession or Boom Customer liquidations

Technological factors

Technological changes New or improved distribution channels

Improved communication and knowledge transfer etc. moral factor

Environmental factors

Laws on Waste disposal Energy consumption Pollution monitoring etc.

Legal factors

Unemployment law Health and safety Product safety Advertising regulations Product labelling etc. Ecology affects customer's buying habits. affect the firm production process.

Socio-cultural

age distribution. education levels. income level. consumerism. diet & nutrition. population growth life expectancies

Religion

Potential supplies

labour supply
o o

quantity of labour available. quality of labour available.

material suppliers.
o o

delivery delay. level of competition to supplers,

service provider.
o

special requirement.

Taj hotels and its macro environment A marketer must pay attention to the interaction of these environmental forces. Target consumers of Taj Hotel are Business Class, Foreign tourists and High segment families. 1.DEMOGRAPHIC ENVIRONMENT Population, population-age mix and literacy levels of population come under this category. India is a young nation with its median population being 25 years. The majority of the young IT professionals spend their leisure time by visiting exclusive hotels and resorts. This generates considerable amount of revenue for the hotels, The Taj being one of them

2.NATURAL AND ENVIRONMENTAL FACTORS The Taj Hotels group has always been very sensitive to environmental issues and has endeavoured to streamline its operations procedures at every level to conform to large environment conservation norms The deterioration of the natural environment is a major global concern. Taj spa at Fort Aguara beach resort and Taj holiday village offers guests a space to de-stress and relax. All treatments have been designed to guide guests in their internal and external journey towards a balance of the physical and metaphysical being. Taj hotel and resort palaces has entered into a joint venture with Conservation Corporation Africa (CC Africa) and Cigen Corporation, part of the Chaudhary Group, to provide wildlife enthusiast, circuit tourists and high-end domestic travelers with fascinating Wildlife Experiences within India, with an ecologically sustainable model. In an endeavour to reinstate its vision and efforts to boost sustainable tourism and integrate environment management in all business areas, Taj Hotels Resorts and Palaces presents EARTH (Environment Awareness & Renewal at Taj Hotels), a project which reiterates the conscious effort of one of Asia's largest and finest group of hotels to commit to energy conservation and environmental management. EARTH has received certification from EarthCheck, the only worldwide environmental certification program for travel and tourism. Taj Hotels has joined the internationally-recognised EarthCheck benchmarking and certification system as an extension of its existing environmental policies. Taj Hotels has long recognised that as a leader it has an important contribution to make and a responsibility to demonstrate to others how they can be part of the fight against climate change. Having implemented the Environmental Awareness and Renewal (EARTH) programme, a project which began as a conscious effort to commit to energy

conservation and other sustainability strategies, Taj Hotels was one of the first groups to join the tourism industry in its efforts. With environmental management gaining utmost importance across sectors and industries, Taj Hotels Resorts and Palaces will consciously focus on spearheading several efforts primarily in the engineering and energy conservation areas. Currently driven by several initiatives under the Eco Taj Policy, Taj Hotels will map the best practices under EARTH and drive them across all areas of operations and new product development in the group. This also marks the Group's efforts in continuing to build and sustain awareness of discerning customers who are socially conscious. EarthCheck will provide the EARTH project with independent and comprehensive proof of their environmental commitment through the monitoring and improvement reports EarthCheck will produce for Taj Hotels each year as part of the certification procedure. Taj Hotels commitment to sustainability has its pragmatic purposes as well With a vision to create sound environment management in its operations as well as product development strategies, Taj Hotels has always believed in improving the quality of life of the communities and has been committed to environment conservation. Caring for and protecting the environment is an essential part of corporate ethos.

About EarthCheck EarthCheck is the international benchmarking and certification programme for the travel and tourism industry based on the Agenda 21 principles for Sustainable Development endorsed by 182 Heads of State at the United Nations Rio Earth Summit in 1992. EarthCheck, is the only worldwide environmental certification program for travel and tourism with participants in more than 50 countries.

EarthCheck is managed by EC3 Global, a subsidiary of the Sustainable Tourism Co-operative Research Centre. For more information on EarthCheck, visit www.earthcheck.org.

3.ECONOMIC ENVIRONMENT Indias economy has been showing vibrancy and growth from 1991 ever since the government initiated programs to ease government controls on industry and commerce. Globalisation, like most important matters, began during this period. Luxury hotels in India constitute over 70 per cent of the companys profits and attract international guests, the focus is increasingly on revving up the product and the service

2008 attack On 26 November 2008, in a series of terrorist attacks in Mumbai, the hotel (as well as the Oberoi) was attacked, during which material damage occurred including the destruction of the roof of the hotel in the hours afterwards.Hostages were taken during the attacks. At least 167 people were killed, including many foreigners. The casualties were mostly Indian citizens, although westerners carrying foreign passports were singled out. Indian commandos killed the gunmen barricaded in the hotel to end the three-day battle. The attacks began 26 November 2008 and continued for a little over 60 hours. Approximately 450 people were staying in the Taj Mahal Palace and Hotel at the time of the seizure, and another 380 in the Oberoi.The Hotel Management has

announced that the hotel will be rebuilt.It will take around 12 months and 500 crore (US$95 million) to repair it. The less damaged sections of the Taj Mahal Palace & Tower hotel reopened on 21 December 2008. It took several months to rebuild the popular heritage section of the Taj Mahal Palace Hotel. In July 2009, Hillary Clinton visited Mumbai, aiming to deepen Indo-American ties and stayed at the Taj hotel. She attended a commemoration event. "I wanted to send a message that I personally and our country is in sympathy and solidarity with the employees and the guests of the Taj who lost their lives ... with the people of Mumbai," Clinton said in an interview with India's Times Now. On 15 August 2010, the Taj Mahal Palace, was reopened after restoration, The cost of the restoration of the hotel so far has been 1.75 billion Rupees (Estimated $40 Million USD). The palace wing has been restored and offers new hotel services On November 6, U.S. President Barack Obama while visiting India became the first foreign head of state to stay at the Taj Majal Palace after the attacks. In a speech from the terrace of the hotel, Obama said, "the Taj has been the symbol of the strength and the resilience of the Indian people.

4.POLITICAL AND LEGAL ENVIRONMENT: This environment deals with the increase in business legislation and the growth of special interest group. Taj pays high tax to the government. As per the rule a certain percentage of total hotel premises is devoted to greenery. Protection of consumers interest is the first priority of the hotel.

 Government agencies A Tata company and its employees shall not offer or give any company funds or property as donation to any government agencies or their representatives, directly or through intermediaries, in order to obtain any favourable performance of official duties. Political non-alignment A Tata company shall be committed to and support a functioning democratic constitution and system with a transparent and fair electoral system in India. A Tata company shall not support, directly or indirectly, any specific political party or candidate for political office. The company shall not offer or give any company funds or property as donations, directly or indirectly, to any specific political party, candidate or campaign The Taj is of the view that the Government's imposition of different taxes and irrational treatment of low star hotels are of great concern. They feel that the Government should come out with a strong suggestion and open agenda that should be something that the hotelier can rely upon. The high rocketing price of taxations has unnecessarily caused/created great worry to the tourists and travelers, which made them ultimately opt for other destinations. The government should try to nationalize and make its taxation norms more convenient. The Taj believes that the present auctioning of hotel sites at an unreasonable price by the Delhi Development Authority (DDA) has also created a lot of hurdles, in which there is no justification of higher prices.

5.TECHNOLOGICAL ENVIRONMENT The hotel guest of the future will be far savvier and discerning. With the world at his feet and a world of information at his fingertips he will choose to stay at a hotel chain that remembers his preferences and delivers an inimitable experience every time, anywhere in the world. This means that the challenge for hotels to sustain connections with guests will only increase. The Taj group is trying to address this through their guest tracking system, which helps themto follow their guests' needs over a lifetime.They believe that personalisation and customisation of each guest's needs, their likes and dislikes, is something that Taj has to constantly focus on.

CONCLUSION The term micro-environment denotes those elements over which the marketing firm has control or which it can use in order to gain information that will better help it in its marketing operations. In other words, these are elements that can be manipulated, or used to glean information, in order to provide fuller satisfaction to the companys customers. The objective of marketing philosophy is to make profits through satisfying customers. This is accomplished through the manipulation of the variables over which a company has control in such a way as to optimise this objective. The variables are what Neil Borden has termed the marketing mix which is a combination of all the ingredients in a recipe that is designed to prove most attractive to customers. In this case the ingredients are individual elements that marketing can manipulate into the most appropriate mix. E Jerome McCarthy further dubbed the variables that the company can control in order to reach its target market the four Ps. Each of these is discussed in detail in

later chapters, but a brief discussion now follows upon each of these elements of the marketing mix together with an explanation of how they fit into the overall notion of marketing. The term macro-environment denotes all forces and agencies external to the marketing firm itself. Some of these forces and agencies will be closer to the operation of the firm than others, e.g. a firms suppliers, agents, distributors and other distributive intermediaries and competing firms. These closer external constituents are often collectively referred to as the firms proximate macroenvironment to distinguish them from the wider external forces found, for example, in the legal, cultural, economic and technological sub-environments.This consists of people, organizations and forces within the firms immediate external environment. Of particular importance to marketing firms are the subenvironments of suppliers, competitors and distributors (intermediaries). These sub-environments can each have a significant effect upon the marketing firm.

REFERENCES 1. www.tajhotels.com 2. www.scribd.com 3. www.wikipedia.com 4. www.nmmu.ac.za 5. www.oup.com 6. www.google.com 7. www.serenata.com/fileadmin/user.../CaseStudies/CaseStudyTajEng.p df