Friday, May 31, 2019

Comparison of Lao-tzu and Machiavelli Essays -- Political Philosophers

Comparison of Lao-tzu and MachiavelliLao-tzu and Machiavelli are political philosophers writingin two different lands and two different times. Lao-tzu wasan ancient Chinese philosopher from sixth century BC, theauthor of Tao-te Ching, and Machiavelli was an Italian philosopher who lived 2000 years after Lao-tzus time,author of Prince. They are both philosophers but have totally different perspective on how to be a good leader. While both philosophers writing is instructive. Lao-tzus advice issues from detached view of a universal ruler Machiavellis advice is in truth personal perhaps de adult maleding. Both philosophers idea will not work for like a shots world, because that modern world is not as perfect as Lao-tzu described in Tao-te Ching, and not as chaotic as Machiavelli illustrated in Prince. Perhaps Lao-tzu and Machivellis political system will not work for todays world, but some of their philosophies are still exist in some of modern issues. One of those issues is gun contro l, which has become a dividing line in America. Lao-tzu advised in Tao-te Ching weapon are the tools of violence all decent man detest them. Weapon are the tools of fear a decent man will avoid them except in the direst necessity and, if compelled, will use them only with the utmost restraint. On the other hand Machiavelli wrote in Prince, Francesco Sforza became Duke of Milan from being a private citizen because he was armed his sons, since they avoided the inconveniences of arms, bec...

Thursday, May 30, 2019

Data Mining Essay -- Technology, Data Processing

1 Data Pre-processing1.1 k-mers extractionAssume Ka = (a1,a2...ak) is a k-mer of continuous sequence of length k, and a = 1,, S, where S is the cumulative spell of k-mers in that series. In the case of a sequence of length L, we have L k + 1 total number of k-mers that can be wedded out making use of k length window drifting procedure.1.2Generation Of Position Frequency Matrices For the positive dataset, 500 sequences were used to calculate k-mer frequencies from deuce-ace successive windows. The three windows ar (1) window A, from -75 to -26 bp before the polyA site, (2) window B, from -25 to -1 bp before the polyA site, and (3) window C, from 1 to 25 bp after the polyA site. The highly informative k-mer frequencies (HIK) feature transmitter consisted of cumulated frequencies of all monomer, dimmer, and trimer frequencies for the three regions. This results in 3 regions x 4 monomer frequencies, 3 x 16 dimer frequencies, and 3 x 64 trimer frequencies. Hence, a total of 252 f eatures are obtained. The negative dataset was computed from frequencies in similarly spaced windows, but from the beginning of 500 other independent sequences (windows A, -300 to -251 bp B, -251 to -226 bp and C, -225 to -201 bp1.3Background Probability FeatureThe give chase space is create verbally as Y = fp ng indicating that a sequence with a polyA site is detected (positiveclass label p) or not detected (negative class label n). A classiffier, i.e., a mapping from instance space to label space, is found by means of learning from a set of examples. An example is of the form z = (x y) with x 2 X and y 2 Y. The symbol Z will be used as a compact notation for X _Y. Training data area sequence of examplesS = (x1 y1) (xn ... ...clude GC-rich redundant motifs and diffuse motifs that are difficult to detect.Suggestions and Further Research Motif discovery in DNA datasets is a challenging problem domain due to lack of understanding of the nature of the data, and the mechanisms to which proteins recognize and interact with its binding sites are still gravel to biologist. Hence, predicting binding sites by using computational algorithms is still far from satisfaction. Many computational motif discovery algorithms have been proposed in the past decade. Like most(prenominal) of these algorithms, it shares some common challenges that require further investigation. The first is the scalability of the system for large scale dataset such as ChIP sequences. The scalability is the ability of a tool to conserve its prediction performances and efficiency while the size of the datasets increases.

Wednesday, May 29, 2019

Aggression in Middle School Girls Essay examples -- Personal Narrative

Aggression in Middle School Girls It was eight oclock on a gelid night in January. Our house rang with giggles and whispers and the occasional shriek of laughter. In the family room the latest teenie-bopper flick was amusing a crowd of pajama-clad seventh-graders. The sound of pounding feet from higher up betrayed that some others were having an impromptu dance party/ pillow fight. The phone book was missing. My little sister, Lily, was having a sleepover. Mom had rushed to the store when it was discovered that there was no more than ice cream in the freezer. My father had wisely retreated to the parlor to read. I was in charge. Suddenly, from upstairs I heard a door digging and raised voices. I gritted my teeth and went to investigate. Another door, further down the hall banged closed. I found Lily, standing in the middle of the hallway, one tightly unopen door on her left, another on her right. The sounds of muffled sobbings came from within. Erica and Ashley were fightin g again. Both parties were at an impasse. Lily, tired of being peacemaker, burst into tears on the floor. in that respect was nothing to be done Lily had been telling me the soap opera of Erica and Ashleys friendship for months. The next morning, Erica and Ashley were brushing one anothers hair, whispering about the other girls, and drinking orange juice from the same cup. The fight and its rapid treaty werent exactly new to me. Any distaff who has ever been in middle drill or junior high can attest to the truth of the story of Erica and Ashley. But explaining the reasonings, emotions, and justification for the girls actions is much more difficult. What goes on in the twisted, inner-workings of the thirteen-year-old female mind? Why do girls make their friends fee... ...ion in boys- its considered natural, inherent, ingrained. What might help more than anything, however, is increased recognition that girls are not always sweet, innocent, and nice, that they do, in fact, arouse mad, that they can, and very often are, quite nasty towards one another.It is seven oclock on a warm July morning. I am out for a quick clip before going to my summer job at a doctors office. As I run by my old middle school, I see that students in the summer program have already been dropped off and are milling around in the parking lot. A gaggle of twelve-year-old girls with high ponytails and higher-pitched squeals is flocked around the basketball hoop. Another clique in t-shirts and sneakers is playing tetherball. One lone girl sits on the school steps immersed in a book. A dozen heads bow and stare at me as I run by. I shudder and pick up speed.

German Expressionism and Its Roots :: essays papers

German Expressionism and Its Roots Personal freedom and alternative cerebration -- these were the conditions in WeimarRepublic Germany during the heyday of the Expressionist movement in film.Spanning the years 1909-1924, theirs was a time of revolution (in Russia andGermany), war (World War I), and reaction (the rise of case Socialism inGermany). Anxious about the disintegration of their culture, filmmakers such as F.W.Murnau, Robert Wiene, and Ernst Lubitsch used cinema to create untried forms of visual representation, exploring the possibility of reversing power relations throughthe look. The cinematic Expressionist movement in Germany is generally consideredto be the classic period of German cinema many Expressionist works ar includedin the canon of the worlds greatest films. From Lubitschs masterpieces Passion(1919) and Deception (1920), through Wienes famous The Cabinet of Dr.Caligari (1919), to Murnaus pictorial The Last Laugh (1924) and Nosferatu(1922), there has r arely been a movement of such consistent inspiration andachievement. Expressionism in cinema, as in the other arts, attempts to reappropriate analienated mankind by transforming it into a private, personal vision. With that inmind, Expressionist cinema tried to deepen the audiences interaction with the film,combining technology and imaginative record techniques in order to intensify theillusion of reality. The Expressionists practically reinvented the look of film withinnovative and unusual editing rhythms, perspectivally distorted sets, exaggeratedgestures, and the famous camera unchained -- a new technique that allowed thecamera to move within the scene, vastly increasing the accessibility of thecharacters subjective point of view. The Expressionists developed new habits ofseeing,

Tuesday, May 28, 2019

Analysis Of Mark Strand?s ?kee :: essays research papers

Although its not a lengthy numbers, the few row and their layout in memory Things Whole for indisputable possess great significance. This poem is centered on the idea that the narrators life is lacking purpose. In exploring the meaning of his existence, he determined that his conclude for reinforcement was to keep moving so that peoples lives were only temporarily interrupted.Strands technique of splitting up his sentences helps emphasize certain phrases and ideas. When I read poetry I naturally pause for a brief second at the end of each get to allow the lyric to sink in, therefore taking an extra moment to realize what the author is saying. With each line in this poem only a few words long, there is a higher pause-to-word ratio, which allows for more(prenominal) thought for each idea the first time you read through it. Strand splits up the sentences in places where he is trying to convey more meaning, with the hope that the reader will pause and contemplate what was just read. His stanzas are concluded when he wants more attention laid on his current idea.The narrators viewpoint towards life in this poem is quite different from how most people underwrite it. Where he writes, In a field / I am the absence / of field. (ll. 1-3) instead of acknowledging his existence as something, he regards it as a lack of something. This negativeness towards himself is what the entire poem is focused on.He uses the idea that when his trunk enters an area the parts of that area are momentarily interrupted and are forced more or less him, just wait to return back to normal once he leaves When I walk / I part the air / and forever and a day / the air inspires in / to fill the spaces / where my bodys been. (ll. 8-13) The air in that line symbolizes the existence of other people around him, and the narrator sees himself as a nuisance to those people, always being in the way. He is saying that whenever he enters into a location with a bunch of people, those people see him as a bother and manifestly as something that they must put up with for a little while. They cant wait for the narrator to leave so that they dont aim to put up with him anymore and can therefore return to what they were doing.The last stanza explains the narrators reason for moving, or in other words living I move / to keep things whole.Analysis Of Mark Strand?s ?kee essays research papers Although its not a lengthy poem, the few words and their layout in Keeping Things Whole certainly possess great significance. This poem is centered on the idea that the narrators life is lacking purpose. In exploring the meaning of his existence, he determined that his reason for living was to keep moving so that peoples lives were only temporarily interrupted.Strands technique of splitting up his sentences helps emphasize certain phrases and ideas. When I read poetry I naturally pause for a brief second at the end of each line to allow the words to sink in, therefore taking an extr a moment to realize what the author is saying. With each line in this poem only a few words long, there is a higher pause-to-word ratio, which allows for more thought for each idea the first time you read through it. Strand splits up the sentences in places where he is trying to convey more meaning, with the hope that the reader will pause and contemplate what was just read. His stanzas are concluded when he wants more attention placed on his current idea.The narrators viewpoint towards life in this poem is quite different from how most people see it. Where he writes, In a field / I am the absence / of field. (ll. 1-3) instead of acknowledging his existence as something, he regards it as a lack of something. This negativity towards himself is what the entire poem is focused on.He uses the idea that when his body enters an area the parts of that area are momentarily interrupted and are forced around him, just waiting to return back to normal once he leaves When I walk / I part the ai r / and always / the air moves in / to fill the spaces / where my bodys been. (ll. 8-13) The air in that line symbolizes the existence of other people around him, and the narrator sees himself as a nuisance to those people, always being in the way. He is saying that whenever he enters into a location with a bunch of people, those people see him as a bother and simply as something that they must put up with for a little while. They cant wait for the narrator to leave so that they dont have to put up with him anymore and can therefore return to what they were doing.The last stanza explains the narrators reason for moving, or in other words living I move / to keep things whole.

Analysis Of Mark Strand?s ?kee :: essays research papers

Although its not a lengthy poem, the few voice communication and their layout in Keeping Things Whole certainly possess great significance. This poem is centered on the idea that the narrators life is inadequacying purpose. In exploring the subject matter of his existence, he determined that his reason for living was to keep moving so that masss lives were except temporarily interrupt. concatenations technique of ripping up his sentences helps emphasize certain phrases and ideas. When I find out poetry I naturally pause for a brief second at the end of from each one line to allow the words to sink in, therefore taking an extra moment to realize what the author is saying. With each line in this poem only a few words long, there is a higher pause-to-word ratio, which allows for more thought for each idea the first time you read through it. Strand splits up the sentences in places where he is trying to convey more meaning, with the hope that the reader will pause and contemplat e what was just read. His stanzas argon concluded when he wants more attention placed on his current idea.The narrators viewpoint towards life in this poem is quite diverse from how most people see it. Where he writes, In a field / I am the absence / of field. (ll. 1-3) instead of acknowledging his existence as something, he regards it as a lack of something. This negativity towards himself is what the entire poem is focused on.He uses the idea that when his body enters an area the parts of that area are momentarily interrupted and are pressure around him, just waiting to return back to normal once he leaves When I walk / I part the rail line / and always / the advertize moves in / to fill the spaces / where my bodys been. (ll. 8-13) The air in that line symbolizes the existence of other people around him, and the narrator sees himself as a curse to those people, always being in the way. He is saying that whenever he enters into a location with a bunch of people, those people s ee him as a puzzle and simply as something that they must put up with for a little while. They cant wait for the narrator to leave so that they dont have to put up with him anymore and can therefore return to what they were doing.The last stanza explains the narrators reason for moving, or in other words living I move / to keep things whole.Analysis Of Mark Strand?s ?kee essays research papers Although its not a lengthy poem, the few words and their layout in Keeping Things Whole certainly possess great significance. This poem is centered on the idea that the narrators life is lacking(p) purpose. In exploring the meaning of his existence, he determined that his reason for living was to keep moving so that peoples lives were only temporarily interrupted.Strands technique of splitting up his sentences helps emphasize certain phrases and ideas. When I read poetry I naturally pause for a brief second at the end of each line to allow the words to sink in, therefore taking an extra m oment to realize what the author is saying. With each line in this poem only a few words long, there is a higher pause-to-word ratio, which allows for more thought for each idea the first time you read through it. Strand splits up the sentences in places where he is trying to convey more meaning, with the hope that the reader will pause and contemplate what was just read. His stanzas are concluded when he wants more attention placed on his current idea.The narrators viewpoint towards life in this poem is quite different from how most people see it. Where he writes, In a field / I am the absence / of field. (ll. 1-3) instead of acknowledging his existence as something, he regards it as a lack of something. This negativity towards himself is what the entire poem is focused on.He uses the idea that when his body enters an area the parts of that area are momentarily interrupted and are forced around him, just waiting to return back to normal once he leaves When I walk / I part the air / and always / the air moves in / to fill the spaces / where my bodys been. (ll. 8-13) The air in that line symbolizes the existence of other people around him, and the narrator sees himself as a nuisance to those people, always being in the way. He is saying that whenever he enters into a location with a bunch of people, those people see him as a bother and simply as something that they must put up with for a little while. They cant wait for the narrator to leave so that they dont have to put up with him anymore and can therefore return to what they were doing.The last stanza explains the narrators reason for moving, or in other words living I move / to keep things whole.

Monday, May 27, 2019

Board Resolution Sample

B and B Communications Philippines Incorporated RESOLUTION NO ____, S-2012 A effect to open a Current Account with the SECURITY BANK, CUBAO furcate was placed before the Board for conducting its day-to-day financial trans consummationions. After discussions, the Board unanimously WHEREAS, B AND B COMMUNICATIONS PHILIPPINES INCORPORATED is a comp either punctually organized and existing in accordance with law, rules and regulations with postal address at ____________________________________________________ Barangay __________________ District _____________, _____________ CityWHEREAS the said Bank be instructed to accept and act upon whatsoever instructions relating to the account kept in the name of the Company or relating to any transactions of the Company with the Bank, provided the instructions are signed by the true signatory(ies) of the Company in the manner mentioned as above. WHEREAS the said Bank be instructed to accept receipts for money, deeds, securities or other docum ents or papers or piazza or any indemnities given on behalf of the Company provided they are signed by the authorized signatory(ies) of the Company in the manner as mentioned above.WHEREAS the bank be furnished with a list of the names of Directors of the Company and a copy of the Memorandum & Articles of Association and be from time to time informed by carte in writing under the hand of the Directors/Authorized Signatory of the Company of any changes which whitethorn take place therein and be entitled to act upon any such(prenominal) notice until the receipt of further notice under the hand of any Directors / Authorized Signatory. WHEREAS the resolution be communicated to the Bank and remain in force until duly rescinded and notice thereof in writing be given to the Bank by ny of the Directors of the Company. NOW, THEREFORE, BE IT decided BY THE B AND B COMMUNICATIONS PHILIPPINES INCORPORATED During its last regular meeting to authorize as it hereby authorizes the opening of Cur rent Account of the company with the SECURITY BANK CUBAO BRANCH. resolve FURTHER THAT the aforesaid power entrusted to the following official shall be valid and effective unless revoked earlier by the Board or shall be exercisable by them so long as they are in the concerned to the Company. Name of Principal Re nowadaysativePositionAddressContact No. Henry HinatePresidentAntipolo City09333398883 Name of Alternate RepresentativePositionAddressContact No. John Lesther MercaderVice PresidentQuezon City09165948435 For operations RESOLVED FURTHER THAT all acts, deeds, things, matters, etc. as foretasted shall be deemed to be valid and enforceable only if they are consistent with the instant resolution as may be relevant in this case and that the Board shall not be responsible for any acts beyond the scope of the foretasted powers done by Mr.Henry Hinate / Mr. John Lesther Mercader and such invalid, illegal acts, and acts done beyond the scope of powers granted in this Resolution shall n ot bind the Company against any third parties or before any authorities in any manner and that the Board shall not be answerable in that behalf. RESOLVED FURTHER THAT a certified copy of the resolution be given to anyone concerned or interested in the matter. ADOPTED NOVEMBER , 2012 Mr Henry Hinate Board Chairperson/ PresidentMr, John Lesther Mercader Executive Vice President for Operations Board of Directors Ms. Jeane BetitoMr. Rogelio ReyesMr. Ed CunananMs. Jenny Amador Secretary CERTIFICATION This is to certify that the foregoing resolution was approved on _______________, 2012 by the majority of the members of the Board of Directors and Members of the Organization present in a meeting Called for the purpose, there being a quorum. Done in Quezon City, this _________________, 2012 MS. JEANE BETITO SECRETARY

Sunday, May 26, 2019

Critique of the play Hamlet Essay

The Theatrical Play Hamlet was a story about a man name Hamlet who meets a ghost who apparently was his father, and tells hamlet to seek revenge for his murder from his brother who was Hamlets Uncle that married his mother. Hamlet love part sees him insane, but does not now it is fake, later becoming insane killing herself afterwards Hamlet kills her father. The brother and son seek revenge for his familys terminal and triples with Hamlet getting himself killed with a poisoned sword. The king tries to poison Hamlet, but his wife drinks the poison and dies. Hamlet then proceed to kill Claudius, getting poisoned by the dual sword and dying, ending the play with the royal family dead. To profess this story interesting the production mathematical group utilize different fractions to help make the audience prosecute the main elements presented were lighting, scenery and entertainment. The lighting in the play Hamlet was for the audience to focus on particular images it was also u sed for coordination with the actor and music.The key element in lighting was colour. An example in the play demonstrating change in mood due to lighting was, when the ghost appears on stage the light would unhorse to flicker to show lightning, this could be to bring fear, or seriousness. Special military units of the lighting were also shown during the soliloquies so the artist can stand out from the mise en scene to draw attention to itself from the focus and connection with audience this was shown by the light only reflecting on the artist. Another element that helped make the play good was the scenery. each(prenominal) theater is different from its own way especially through the sizes of each stage. Even though the stage was small at the theater attended, the production group did a wonderful job of using the whole space with different objects to make the stage seem alive and big.Some objects were constantly used to make the setting of particular scenes an example of this was the wood table that had been made into a bed or a dresser to show a room, a rub for Old Hamlet, a dinner table, and a stage for the Players. Objects were used for setting and visual purposes of clues to prepare the audience for the upcoming scenes. The production group also used the sound/music/dance in the form of entertainment. When a certain character used dance or songs in their performance, it was shown as insanity or an abnormal behavior. The entertainments were used to engage audience and to help them comprehend different emotions. During the play there were few missing scenes such as, the spy that was sent by Polonius for his sonLaertes, which held no importance for the group to reenact.Another scene that was missing was all of the Fortinbras scenes. The reason taken out was due to memorizing extra lines and no effect to the play if it were to not be presented but by not including this scene the ending was a gray area of not knowing what happens to the throne after all the royals death. The production group had done a wonderful job in the play Hamlet that was about the betrayal of a brother, the revenge for a father, the love and marriage for two people, and the deaths of the guilty and innocent. The theatrical play demonstrated its performance through different elements the three most important element include lighting, scenery, and entertainment of sound, music, and dance. Even though there was a slight gray area of the missing scene of Fortinbras, the performance itself was unique and amazing to watch.

Saturday, May 25, 2019

Critically Compare and Contrast Community Psychology and Public Health Approaches to Social Problems

In this essay, I will critically compare and contrast society psychology and cosmos health approaches to social problems. I will do this by comparing strengths and weaknesses of both approaches, as well as similarities between these approaches. To compare these two concepts, one should first have a basic catch of the origins and historical development of fellowship psychology and public health. consort to the American Heritage Medical dictionary (www. ahdictionary. om) Community Psychology is the application of psychology to community programs for the prevention of mental health disorders and the promotion of mental health. Community psychology has its roots in the mental health reform movements in the USA, according to tutorial letter 102/0/2013for Pyc4811 (2013). The three most important reform movements were the moral treatment (early 1800s), the mental hygiene (early 1900s) and deinstitutionalisation (1960s) (Tutorial letter 102/0/2013for Pyc4811).Each of these movements wa s intended to dupe and treat mental illness as a social problem rather than an individual problem. It was also a move towards prevention rather than mend concerning mental illness. (Tutorial letter 102/0/2013for Pyc4811) According to Tutorial letter 102/0/2013for Pyc4811 (2013) there are two major models of community psychology the Mental health model and the sociable action model. The location of mental illness, according to the Mental health model, is at the method of interaction between individual and environmental factors.The Social Action model places the location of mental illness within oppressive and exploitative social and economic structures (Tutorial letter 102/0/2013for Pyc4811, 2013) customary health, like community psychology, focuses on prevention of disease. It is defined as the science and practice of protecting and improving the health of a community as by preventative medicate health education control of communicable diseases application of sanitary measures and monitoring of environmental hazards by the American Heritage Dictionary www. ahdictionary. com) Like community psychology, public health also focuses less on the individual and to a greater extent on the public and society in general. state-supported health concerns itself with the prevention of lifestyle diseases, much(prenominal) as heart problems, as well as diseases of which the occurrence can be reduced if the public is educated about it, such as human immunodeficiency virus/AIDS and cholera (Tut 102 for PYC4811). Public health, as practised in South Africa and most industrialized countries, is based on the biomedical/western model of illness.According to this model, the reason for disease and distress (and, therefore, mental illness) is because of lesions within the body or mind. These lesions are caused by an interaction between a. ) The characteristics of the individual (such as age, educational level, nutritionary status, etc), b. ) Disease-causing agents (such as g erms, viruses, alcohol, etc) and c. ) External environmental and social issues (such as poverty, war, pollution, etc). (Tutorial letter 102/0/2013for Pyc4811, 2013). According to Marc Zimmerman (http//www. answers. om), there are many similarities between the Community wellness and Public Health fields, such as their methods, topics, theories and values. Both fields use methods such as advocacy, community organizing, policy influence, and dissemination (Zimmerman, http//www. answers. com). They also both apply theories and abstract models, such as empowerment theory, social change theories and ecological theory. Community Psychology concerns itself with cultural issues and differences through the application of theory, research and intervention programs.This is similar to Public Health approaches because these programs are designed to match the values, norms, and beliefs of the community or public, whether the focus is on ethnic, behavioural, gender, or cultural differences. Both C ommunity Psychology and Public Health regard social relationships and involve the community. Both also consider the external factors when looking at the individuals problems, so as not to just blame the individual for the problem, and will advocate social rather than individual change. (Perkins, 2011)There are, however, key aspects in which the two approaches differ. While Community Psychology concerns itself more with mental health issues and behavioural aspects of health (such as promiscuity, drug use, etc) , Public Health seems to focus more on traditional health issues, such as communicable diseases (like HIV/AIDS, T. B, etc). The two approaches also differ in the sense that Community Psychology focuses on theory and social research, while Public Health has a more practise-orientated approach to social problems. Zimmerman, http//www. answers. com) To conclude, I would not say that these differences are irreconcilable, as the two approaches have more in common than they differ. When relations with the mental health of the community, I believe that it would be advantageous to apply both Community Psychology AND Public Health approaches. Because both approaches focus on prevention and empowerment, as well as community involvement, they can fulfil each others short comings by using the same principles.

Friday, May 24, 2019

Cineplex Entertainment – Loyalty Programs

S w 9B08A008 CINEPLEX ENTERTAINMENT THE LOYALTY PROGRAM Renee Zatzman wrote this case under the supervision of Professor Kenneth G. Hardy altogether to give material for class discussion. The authors do non intend to illustrate either effective or ineffective handling of a managerial situation. The authors whitethorn subscribe disguised certain spots and other identifying education to protect confidentiality. Ivey Management Services prohibits any form of reproduction, storage or transmittal without its pen permission. Reproduction of this material is not covered under authorization by any reproduction rights organization.To order copies or request permission to reproduce materials, link Ivey Publishing, Ivey Management Services, c/o Richard Ivey School of Business, The University of Western Ontario, London, Ontario, Canada, N6A 3K7 phone (519) 661-3208 fax (519) 661-3882 e-mail emailprotected uwo. ca. Copyright 2008, Ivey Management Services Version (A) 2009-05-15 INTRODUCTI ON Sarah Lewthwaite, marketing conductor for Cineplex diversion, was approached by chief executive indexr (CEO) Ellis Jacob in August 2006 to resume the development of a fealty chopine.The movie industry yielded inconsistent revenues each year, and Jacob wanted to increase and stabilize Cineplexs revenues. As chair of the Loyalty Steering Committee (the committee), Lewthwaite was scheduled to present her recommendations to the committee the following week. She would need to make a persuasive argument that included recommendations on class development, the come back structure and the type of promotional lean that would be most effective under the be budget constraints. Finally, she needed to suggest whether the rogram should launch regionally or nationally. Her recommendations would be reviewed by senior Cineplex executives to ensure that the recommendations aligned with their criteria. CINEPLEX ENTERTAINMENT Cineplex Entertainment (Cineplex) was founded in 1979 as a small c hain of movie theaters under the Cineplex Odeon name. In 2003, under the direction of Onex Corporation, a Canadian private equity tauten that held a major(ip) ownership claim in the company, Cineplex merged with Galaxy Entertainment Inc. (Galaxy). The CEO of Galaxy, Ellis Jacob, took over the newly merged company.In late 2005, Cineplex Galaxy acquired its largest competitor, Famous Players, and became Cineplex Entertainment Canadas largest film exhibitor. With a box-office market sh atomic number 18 of 64 per cent, the chain enjoyed approximately 40 million visits per year under the Cineplex Odeon, Galaxy, Famous Players and Cinema City brands. 1 Cineplexs corporate mission foc apply on offering movie-goers an exceptional entertainment experience. In addition to seeing a movie, nodes could eat at non-homogeneous branded conceding counters or play in the arcade.In 2005, Cineplex expanded its strategy to focus on developing new markets, using the theaters 1 Cineplex Galaxy Incom e gunstock 2005 Annual Report,http//dplus. cineplexgalaxy. com/content/objects/Annual%20Report% 202005. pdf, accessed January 3, 2008. page 2 9B08A008 large screens to showcase live events, such as major hockey games, wrestling matches and the Metropolitan Opera. These events totald greatly to Cineplexs success, which was measured primarily on node traffic and revenue per guest (RPG), which was in turn composed of box-office and concession revenues.In 2005, weak box-office checkance passim the movie theater industry had affected Cineplexs operating performance (see demonstrate 1 for Cineplexs income statements for 2003, 2004 and 2005). Following the acquisition of Famous Players in 2005, Cineplex executives modify the pricing and products in the food and beverage concessions in 2006. With these moves, Cineplex was able to increase its average box-office RPG to $7. 73 and its average concession RPG to $3. 44 (see Exhibit 2).A GROWTH luck Like the entire industry, Cineplex ca used variable attendance levels depending on the crop of new movies. Additionally, RPG fluctuated based on the film genre. Cineplex executives knew that audiences for actionthemed and childrens movies purchased a high meretriciousness of concession items, which typically resulted in a higher RPG than dramas. From these viewing patterns, Cineplex executives were able to distinguish the groups of customers that were particularly blue-chip.However, with no actual link to individual customers, they faced challenges fundamenting customers for special movies and special events. Although market research was helpful on an aggregate level, Cineplex executives wanted to link box-office and concession purchases to a particular customer. Senior executives were supportive of Lewthwaite and the committee collecting this information by dint of a customer relationship guidance political program. FILM EXHIBITION The first Canadian film screening took place in 1896, in Montreal, Quebec, and th e earliest cinema opened in 1906. Attending the cinemas, likewise known as theaters, became a popular social activity by the 1930s, a class of independent and studio-owned theaters competed for customer attention. In 1979, Canadas first 18-theater multiplex opened in Toronto, Ontario, with several other multiplexes following in subsequent years. afterwards a series of consolidations, by 2005, sole(prenominal) threesome major theater companies existed in the Canadian movie and event exhibition market. To showcase films, theaters required licensing from distributors who purchased rights from the production studios.The licensing promise stipulated the box-office split, likewise known as the percentage of proceeds that the theater received from a given film over a specified duration. Although both parties were reciprocally dependent, distributors held the isotropy of power and theaters relied heavily on concession revenues, of which they retained 100 per cent of the receipts. Th e margins on customers purchases of concession treats and beverages were 65 per cent on average. 3 confuse 1 (below) shows one way of characterizing the motivations and frequency of movie-going behavior according to various age segments. Marcus Robinson, A History of Film Exhibition in Canada, Playback Canadas Broadcast and turnout Journal (2005), accessed December 30, 2007. 3 Janet Wasko, How Hollywood Works, Sage Publications, London, 2003. Page 3 9B08A008 Table 1 OBSERVATIONS ON THE MOTIVATIONS AND FREQUENCY OF MOVIE ATTENDANCE BY get along Frequency, reasons for attendance* Age Segment Labels 13-15 Teenagers 16-19 Young Adults 20-24 Young Working Medium (Special Movies) High (Routine) 36-54 Older Families X Low (Special Events) 25-35 Young Families 55+ Retirees X X X X X These observations were pull from an independent focus group study conducted in 2003. Teenagers Teenagers use the movie theatre and arcade for social gatherings because locations are tender and movie-viewi ng is analyseed by parents to be an appropriate social activity. They are among the highest frequency of visitors. Young Adults This segment has access to a variety of other social venues because they mountain drive. Some in this segment are still in high school and others are post-secondary students this segment visits theatres with high frequency. Young Working This segment has functional income and they combine movies with socializing at other venues such as bars and restaurants. This segment has a high frequency of movie visits. Young Families This segment struggles to balance family and work-related obligations they take their children to special movies occasionally. Older Families With a busy work and family life and varying enkindles within the household, older families attend theatres only for special events, and seldom attend as a family unit. Retirees This segment has significant indigent time to attend movies. They attend movies at a medium frequency. CUSTOMER RELATIONSHIP MANAGEMENT (CRM) node relationship management (CRM) is a marketing approach in which a company collects individual purchasing information to improve its ability to understand and do to customer desires and buy patterns. The information is typically stored in a central database from which the company managers can analyse trends and the purchasing behavior of particular market segments.A violate understanding of customers enables organizations to develop targeted campaigns to increase marketing effectiveness, such as restructuring its products and services. For Cineplex, a CRM program could also be Page 4 9B08A008 used to share valuable information with concession suppliers and movie distributors. Through the sharing of this information, partners would be better able to develop products for Cineplexs customer base. Although several mechanisms were available to collect customer information, the most frequently used systems were point-of-sale systems, which scanned barc odes on wallet-sized cards or key chains.A recent trend for CRM programs was to offer incentives such as discounts or points that could be collected and redeemed for merchandise in product for the customers permission for the company to collect data on the customers buying habits. Among the Canadian companies following this trend were Shoppers Drug Mart with the Optimum card program, Air Canada with the Aeroplan rewards program and Office Depot and Boston Pizza which both participated in the evasion Miles card campaign. CREATING LOYALTY Even with 65 per cent market share in Canada, Cineplex had to aggressively compete for customer attention.Ongoing film piracy, rental movies, concerts and degenerate events, combined with inconsistent box-office revenues encouraged Cineplex managers to explore ways to increase customer spending and frequency, particularly within the lucrative 16- to 24-year-old segment. Before merging with Cineplex Odeon, Galaxy Entertainment had established the G alaxy Elite card, which offered customers the luck to accumulate points toward free movie viewing. Although the program had no CRM capabilities, it had been successful in driving customer traffic.During the merger with Cineplex, the program had been disbanded and Galaxys customer traffic had promptly waned. In a survey of Cineplex customers in May and June 2005, 95 per cent of opposeents stated they were interested in joining a movie rewards program (see Exhibit 3). In 2004, a steering committee composed of different department representatives was established to investigate CRM opportunities for Cineplex. After being put on hold during the acquisition of Famous Players, the committee was anxious to move forward in investigating a correlative consignment/CRM program.Senior managers had several concerns, primarily regarding data control and ownership, which would be relevant if the program were disbanded. Another criterion concerned resource requirements a program this size would b e a monetary valuely investment and would likely require new employees to manage it. Lewthwaite would need to prove that it was a worthy monetary investment. Finally, the committee needed to consider the length of time required to establish a new database because most committee members believed that conclusive information on customer behavior could be drawn only from a minimum of ergocalciferol,000 members.Further, although they thought that an investment in such a program could be largely beneficial for Cineplex, if use poorly, the organizations image and its ability to deliver customer value could suffer widespread harm. Lewthwaite knew that although the following partner selections competency not meet all the committees criteria, she had to evaluate the most important considerations. LOYALTY PARTNER OPTIONS Internal Development Under this option, Cineplex managers would develop and operate the program they would then know their brand outstrip and would consume complete cont rol over the direction of the program and the data ownership.However, the organization would incur the entire cost estimated at $5. 5 million in the first year with diminishing cost in subsequent years. The company would also be to the full exposed to the financial risk of unredeemed points and could face difficulty in divesting the program if it proved unsuccessful a new Page 5 9B08A008 department would need to be created to manage the exit of the program. This option would also require a new database, which, depending on promotional effectiveness, could take several years to create.However, because of the unlimited data access and control, this option appealed to several members of the committee. Flight Miles Partnership With 72 per cent of Canadian households as active members, Flight Miles was the top Canadian loyalty program. 4 This program gave cardholders the prospect to earn waste and travel rewards by purchasing products at various retailers across the country. Flight Mi les executives viewed Cineplex as an opportunity to increase its youth membership, and their executives approached Cineplex executives to propose a special joint program.In this program, traditional Flight Miles cards would be used to collect points. Supplementary key tags would be issued for movie customers who opted to receive additional member benefits and rewards. Although the key tags might confuse other existing Flight Miles members, the proposal seemed to offer numerous benefits to Cineplex, including immediate entrance into a database of seven million people. Cineplex would also have the opportunity to access data from other Flight Miles partners, which would be beneficial in targeting specific retail buyers for niche films.Lewthwaite estimated that access to the Flight Miles program would cost Cineplex per year fees of approximately $5 million. Cineplex would also be required to pay $0. 09 for each point issued. Lewthwaite thought users of the program would expect each mov ie transaction to be worth a minimum of 10 Flight Miles points. Cineplex would also be required to pay each time it accessed the data, which Flight Miles would own. A commitment of three years would be required, and if Cineplex decided to leave the program, it would lose all access to accumulated data.Lewthwaite recognized that Cineplex would be required to adhere to the partnerships decisions no delicate out was available if she did not like some aspect of the program after they signed the deal. To make the proposal more attractive, Flight Miles executives offered to contribute $250,000 to launch a Cineplex-designed and -initiated marketing campaign. Scotia intrust Proposal Just as Lewthwaite and her committee sat down to examine the two options in further detail, Scotiabank executives approached Cineplex as a potential loyalty partner. The bank had a relationship with Cineplex derived from earlier corporate sponsorships.As one of the Big Five banks in Canada, Scotiabank offered a diverse range of financial services, including domestic banking, wholesale banking and wealth management. Through 950 branches, Scotiabank served approximately 6. 8 million Canadians in 2005. 5 Because banks competed in an intensely competitive marketplace, many banks aligned their brands with clear events, venues and other companies with corporate sponsorship. Scotiabank executives were interested in acquiring new youth accounts and increasing overall transactions, so they viewed a partnership with Cineplex as a means to achieve their objectives while sharing financial risk.Scotiabank, which had prior experience with data management companies by means of its gold credit card program, proposed 50-50 cost-sharing. In return for partnering on the program, Scotiabank expected naming rights on three major theaters and an exclusivity agreement for Scotiabank bank machines in all Cineplex theaters. 4 5 Air Miles Rewards Program, http//www. loyalty. com/what/airmiles/index. html. acces sed November 2, 2007. Scotiabank, 2005 Annual Report, http//cgi. scotiabank. com/annrep2005/en/rbl_ov. html, accessed February 10, 2008. Page 6 9B08A008Scotiabank proposed a three-card rewards strategy. The basic reward card would be Cineplex-branded and used at theaters the Scotiabank debit and credit cards would act as reward accelerators that accumulated additional points based on customers purchasing habits. Any Scotiabank debit- or credit-card user enrolled in this program would be issued the Cineplex card, and holders of basic Cineplex theater cards would not be required to open an account at Scotiabank. Lewthwaite considered that the multiple card system might discourage some customers who disliked carrying additional cards.Secondly, because it would be a 50-50 partnership, Cineplexs decision-making power would be constrained, and the direction of the program would be subject to mutual agreement. Also, owing to privacy laws, Cineplex executives would not be able to access ind ividual-level banking information on the Scotiabank program users, data that might be helpful in targeting specific retail consumers. However, this program could be promoted in theaters and bank branches across the country. The be to develop and maintain Cineplexs portion of the partnership were estimated to be $3 million, $1. million and $1. 9 million in years 1, 2 and 3 respectively. Lewthwaite had to fully consider the potential benefits and drawbacks of each proposal and weigh them against Cineplexs criteria before recommending which partner to select. She also acknowledged other options were available beyond those that were presented. She knew that this decision could not be made without analysing the potential reward structure of the program because the committee would expect a detailed net benefit abstract to support her recommendation. STRUCTURING THE pay off PROGRAMLewthwaite believed it was essential to create a program that would appeal to customers. However, creating a program with valuable and easy-to-gain rewards might be too costly to carry out for an extended period of time. If Cineplex went forward with the Flight Miles partnership, an offer of 10 Flight Miles points per transaction would be required to align with cardholder expectations and could be supplemented with Cineplex discounts. If Cineplex went forward with other loyalty partnerships, it would have full design control over the reward structure of the program.Points could be earned based on box-office transactions, concession transactions, or both. The points could then be used towards movies and concession items. Determining the number and value of points to be given per transaction and the required price per transaction were aspects that Lewthwaite needed to determine. She also needed to decide on the number of points required for particular rewards and whether different reward levels should be created. Among the other options, Cineplex could reward cardholders with a permanent discount on theater tickets or concession items (or both) or possibly provide first access to special events.If Lewthwaite went forward with free or discounted movies and concession items, she would need to estimate the extent to which she would be reward customers who would have attended without being offered any rewards,6 the so-called cannibalization rate (see Exhibit 4). To determine the other potential revenues, Lewthwaite needed to perform a sensitivity analysis around any increases in the concession RPG, which she hoped might increase by five to 15 per cent for loyalty program members. She also had the option of charging a nominal one-time or annual membership fee of $2 to $5.Finally, as with any loyalty point program, Lewthwaite knew that only 40 per cent of earned points would be redeemed annually. She drafted a preliminary list of four unique reward structures she thought could be effective, but was unsure which, if any, would maximize customer appeal through retail value while minimizing costs (see Exhibit 5). 6 Cannibalization refers to the number of free visits redeemed that would have been paid visits in the absence of a loyalty program. Page 7 9B08A008 SELECTING THE DATABASE VENDORIf a recommendation were made to move forward with program development, the committee would need to select a database vendor to manage customer data and the e-communication site. This vendor would need strong website design capabilities and a engineering platform that could collect a variety of data on Cineplexs customers. Because Canada had only a few such vendors, Cineplex released a request for proposal (RFP) to three major companies Alpha, Kappa, and Gamma. Each company responded with a unique proposal for the project (see Exhibit 6). THE MARKETING COMMUNICATIONS CAMPAIGNCineplex executives wanted to enroll 500,000 customers per year for the first three years in any loyalty program, After the first year, she believed the data bank would be large enough to derive m eaningful customer information, and the organization could then focus on customer retention. To meet these targets, Cineplex would need to move on pregnant awareness of the program, particularly in markets where the Galaxy Elite card had previously existed. Launching the loyalty card would also require a marketing campaign to fit a variety of geographic markets, including Quebec, a province whose official language was French.Lewthwaite had a budget of $300,000, and she needed to make some germinal decisions, including the name of the program, the marketing message to customers and the media to be used to deliver the message. In-Theater Advertising In 2005, Cineplex served 5. 3 million unique visitors annually with an average of 7. 5 visits per guest. No costs were associated with in-theater publicise, and Lewthwaite knew it was an excellent way to reach the market but she was unsure which media would be most effective without overwhelming movie-goers.The program could be promoted on concession products, point-of-purchase displays, backlit posters or on the website. The program could also be advertised to a captive audience via the digital pre-show or during the presentation of upcoming attractions. Newspaper Advertising Lewthwaite wondered whether the target market would respond to regional newspaper advertisements. She knew that the committee was opposed to advertising in a national newspaper, such as the Globe and Mail, because it did not have strong reach in every market in which Cineplex operated.However, Cineplex was accustomed to promoting events through half-page ads in regional papers. Although this option would be more costly than advertising solely in a national paper, several more movie-going markets could be reached. The average weekly cost per half-page ad in the small to medium markets was $1,200, and $3,600 for large markets, with a development cost of $850 for each advertisement. If this option were selected, Lewthwaite would need to determ ine in which papers to advertise, and the message and frequency of the insertions (see Exhibit 7).Radio Advertising Local piano tuner advertisements could achieve significant coverage in key markets across Canada. The average weekly cost per 30-second commercial was $160 in small-and medium-sized markets and $225 in larger Page 8 9B08A008 markets. Development of local radio ads would cost approximately $1,100 per city. Because Cineplex had used this medium for other events, particularly in rural theater markets, Lewthwaite was confident Cineplex could also negotiate free advertisement space on many radio stations websites. Online AdvertisingIn addition to advertising on the Cineplex website, the program could be promoted through various websites, such as Google, Muchmusic. ca, MTV. ca and canoe. qc. ca, a French-language news site. Costs varied according to advertisement format and site (see Exhibit 8). Grass grow Initiatives Lewthwaite had also considered smaller initiatives with the goal of spreading word-of-mouth publicity. Event teams could promote on college and university campuses or at highly visited attractions, thereby raising awareness for the program. Cineplex could also engage in corporate sponsorships.She was unsure what costs would be associated with these options. LAUNCH Launching the program was the final recommendation to be made. Cineplexs head office was located in Toronto, Ontario, and the company operated in six provincial markets Quebec, Ontario, Manitoba, Saskatchewan, Alberta and British Columbia but none of the four Atlantic provinces. Lewthwaite would have to decide whether the program should be launched regionally or across all six provinces. In early 2006, Cineplex had completed the installation of a new point-of-sale platform, which had the technological power to support a national loyalty rollout.A national launch was appealing to Lewthwaite because it would be cost-efficient and would accrue revenues faster than a regional r ollout. However, it was also riskier than a regional rollout any problem would affect all markets. A regional launch would give Cineplex the opportunity to resolve problems before full implementation. The regional rollout would be more expensive at completion, but it would allow Cineplex to stretch funds over a longer time period. If Lewthwaite recommended the regional option, she would need to decide how the regional launch would be phased in.Lewthwaite knew several complex decisions needed to be made, and she had little time before the steering committees meeting the following week. Having a more comprehensive understanding of customer behavior and demographics was important in improving Cineplexs success, but could a loyalty program be implemented in such a way to fit senior managements criteria? If she recommended going ahead with the program, which loyalty partner should she use? How should the rewards be organise and promoted? What would the promotional campaign entail, and h ow should the launch take place?As she leaned back in her chair, she knew it was going to be a very long week. Page 9 9B08A008 Exhibit 1 CINEPLEX ENTERTAINMENT INCOME STATEMENTS 20032005 (Cdn$ in Thousands) Total revenue Cost of operations Gross income Amortization way out on debt Impairment on assets Loss (gain) on disposal of assets Interest on long-term debt Interest on loan Interest income Foreign exchange gain Income taxes Income from discontinued operations Non-controlling interest Net Income 2005 490,299 421,529 68,770 42,948 4,156 4,296 122 2004 315,786 248,818 66,968 22,530 (111) 2003 295,540 242,636 52,904 18,404 (92) 18,401 8,280 4,020 14,000 (378) (1,463) 14,000 (473) (1,149) 1,381 (922) (3,696) 366 28,116 6,357 6,184 1,828 12,976 30,248 304 39,323 Source Cineplex Galaxy Income Fund 2005 Annual Report, http//dplus. cineplexgalaxy. com/content/objects/annual%20report%202005. pdf, accessed January 3, 2008. Page 10 9B08A008 Exhibit 2 CINEPLEX ENTERTAINMENT ATTENDANCE AND REVENUE PER client DATA Attendance Box office RPG Concession RPG Film cost as a per cent of box-office revenue 2006E 61,000,000 2005 9,945,000 $7. 73 $3. 44 51. 7% 2004 28,096,000 $7. 45 $3. 04 51. 6% 2003 27,073,000 $7. 28 $2. 91 52. 1% Source Cineplex Galaxy Income Fund 2005 Annual Report, http//dplus. cineplexgalaxy. com/content/objects/annual%20report%202005. pdf, accessed January 3, 2008. Page 11 9B08A008 Exhibit 3 HIGHLIGHTS FROM CINEPLEX e-mail SURVEY OF CURRENT CUSTOMERS Survey Period MayJune 17, 2005 Respondents 4,261 95 per cent of respondents were interested in joining a Cineplex Entertainment movie rewards program 87 per cent of respondents currently elonged to the Flight Miles program, and 39 per cent identified Flight Miles as their favorite rewards program 31 per cent of respondents were interested in the opportunity to collect Aeroplan points 56 per cent of respondents indicated that they would be interested in receiving a 10 per cent discount at concessi ons The majority of respondents suggested that they would be more devoted to join if there were no additional card to carry Page 12 9B08A008 Exhibit 4 SUMMARY OF REVENUES AND CANNIBALIZATION RATES Membership fee possibilities, a one-time fee of $2 to $5 Increase in concession RPG of from 5 per cent to 15 per cent Net increase in attendance (actual additive attendance times 1- the estimated cannibalization rate) Cannibalization rate assumptions Worst 50 per cent Most Likely 25 per cent Best 12. 5 per cent Page 13 9B08A008 Exhibit 5 PRELIMINARY REWARD STRUCTURE OPTIONS Option 1 Membership fee Permanent concessions discount Points? Sign-up points Points per adult movie transaction Points per concession combo transaction Option 2Option 3 Annually $5 Option 4 No One-time $2 10% 15% 10% Yes Yes No Yes 500 100 250 100 100 100 75 No Reward Items and Maximum Retail Value Points Required 500 750 abandon child approach $8. 50 Free concession combo $12. 37 1000 adult Free adu lt Free rise to power admission $10. 95 $10. 95 1500 Free event Free event admission1 admission $19. 95 $19. 95 Free adult admission/concession combo ($23. 32) Free adult/2 children admission $27. 95 2,000 2,500 shadow package2 Free adult admission $10. 95 out $37. 47 1 2Includes admission to the following viewings the Metropolitan Opera, NHL series, or WWE series. A Night out package includes two adult movie admissions, two large sodas and one large popcorn. Page 14 9B08A008 Exhibit 6 SUMMARY OF CINEPLEXS REQUEST FOR PROPOSAL PROGRAM OVERVIEW Cineplex Entertainment is looking into the possibility of creating a new entertainment- focus loyalty program. Members will earn points that can be redeemed for free movies or other entertainment-related rewards. An ongoing marketing program requiring a member database and website is required. VENDORS TO PROVIDE A proposed approach and high level design concept for the website that is creative and functional Pricing for the database and website build WEBSITE GOALS Acquire new customers and deepen relationships with existing customers by enticing them to sign up, then encouraging them to remain active in the loyalty program Provide an easy way to sign up, check status of points earned, get information on rewards that can be earned, redeem points, and move with other members The site will be a major marketing channel to reach members. It will be used for viral and targeted online promotionsProvide an online community for members DATABASE economic consumption For program administration, analysis and reporting For analysis and reporting on moviegoers behavior and preferences For marketing to customers THE TARGET MARKET Is very comfortable with the online environment, school text messaging, downloading, and browsing Wants and expects discounts and free offers in an attainable timeframe Wants simplicity and convenience WEBSITE REQUIRES A public section accessible to all, a members section accessibl e with member ID and password and an administrative site to be used for customer supportSite must connect to program database to collect, maintain, retrieve and report member data including demographic information and points data Integration with Cineplexs POS equipment and mobile channels for marketing Site will link to and from the sites of main partners and vendors Site must be available in English and French Page 15 9B08A008 Exhibit 6 (continued) VENDORS RESPONSES TO THE CINEPLEX REQUEST FOR PROPOSAL Alpha Alpha was a leading marketing firm specializing in loyalty programs and performance improvement.As a global company, Alphas clients include American Express, Coca-Cola, Hewlett-Packard, and Microsoft. Alpha has served the Canadian marketplace since 1980, and its focus is helping organizations identify, retain, and build customer relationships in order to maximize profit and drive long-term success. With a history of designing and implementing loyalty programs, Alphas technolog y platforms focused on customer behavior tracking and loyalty rewards fulfillment. In preparing its reception, Alpha held focus groups to help determine what type of website appealed to Cineplexs target market.These groups indicated the importance of security, easy navigation, and keeping site content up-to-date they also spoke out against pop-up advertisements. All respondents were familiar with e-newsletters, and noted that loyalty members should have the option to opt in, because they do not want to be overwhelmed with promotional messages. Alpha used this information in conjunction with Cineplexs specifications to present how the website would be designed. The approximate investment cost for the program design was $500,000 with $40,000 per month required for website upkeep.Kappa Known for managing data for the Royal Bank of Canada, Kappa was one of the largest global marketing agencies. With a strong focus on customer loyalty programs, Kappa offered a high standard in data priv acy and security and was the undisputed industry leader in mobile marketing, which link strongly to Cineplexs target market. The Kappa proposal focused on creating a youth-driven brand identity that engaged viewers to join the program through program incentives and links to third-party social networking sites, such as MySpace.With a significant portfolio of integrated loyalty program solutions, Kappa also had entertainment industry experience, having previously worked on technology platforms with Famous Players, the Toronto International Film Festival and IMAX. Kappas main differentiating factor was its proposal to have two distinct sites, one for members and one for non-members. Although similar in nature, one site would focus on member acquisition and program information while the other would focus on member retention through contest promotions and access to personal account activity.Approximate costs would be $1 million. Gamma Gamma, a competitor in the Canadian marketplace for four years, had massive experience in information technology strategy and a track record of developing CRM programs for leading organizations, such as Kaplan University and Citi Financial. Gammas response to the RFP included a proposal to plan, design, and manage Cineplexs marketing and technology programs on its specialized marketing platform that supported all aspects of email management and e-communication campaigns.This platform would also enable Cineplex to track members on an ongoing basis through different promotional mediums, such as web advertisements and search functions, and to respond instantly to member behavior through messaging for those leaving the site. Gammas offer was appealing because it included a fixed-price, fixed-time model. Gamma was unable to provide costs for data management because it was unsure of Cineplexs technical capabilities, but preliminary planning and design costs were estimated at around $200,000. Page 16 9B08A008 Exhibit 7LARGE MEDIA MARKETS M arket Calgary Edmonton Montreal Ottawa Toronto Vancouver Newspaper Calgary Herald Edmonton Journal Montreal Gazette Ottawa Citizen Toronto Star Vancouver Sun Radio VIBE 98. 5 Sonic 102. 9 Q92 BOB FM Mix 99. 9 Z95 FM SMALL- AND MEDIUM SIZED MEDIA MARKETS Market Barrie Cornwall Guelph Kitchener London North Bay Owen Sound Quebec City Regina Saskatoon Sault Ste. Marie St. doubting Thomas Sudbury Thunderbay Windsor Winnipeg Newspaper Barrie Examiner Standard Freeholder Guelph Mercury Kitchener Record London Free Press North Bay NuggetOwen Sound Sun Times Quebec City Journale Regina loss leader Post The Star Phoenix Sault Ste. Marie Star St. Thomas Times-Journal Sudbury Star Chronicle Journal Windsor Star Winnipeg Free Press Radio Rock 95 FM Rock 101. 9 Magic FM KOOL FM Fresh FM EZ Rock Mix 106 Le 93. 3 Z-99 C95 EZ Rock 100. 5 Fresh FM Big Daddy 103. 9 FM Rock 94 89X Q94 Page 17 9B08A008 Exhibit 8 COST PER THOUSAND IMPRESSIONS (in Cdn$) Website google. ca mtv. ca muchmusic. ca yahoo. ca imdb. com canoe. qc. ca Big Box Advertisement 20 27 29 19 17 26 Banner Advertisement 12 35 32 13 9