Essay on Comparing Two Sub-Sector Organisations
Today, the competition in the event industry of the UK is tight because many companies operating in the industry offer diverse services of the high quality but there are no leaders that dominate in the market. At the same time, some companies focus on specific segments of the market. At this point, it is possible to refer to the experience of Owl Event Management and JLP Events, which focus on special events in the corporate event sector.
Owl Event Management and JLP Events are two companies operating in the event industry in the UK. Both companies have extensive experience of operations and they develop their business successfully, although their growth has slowed down since the global financial crisis. Nevertheless, both companies are concerned with their further progress.
In this regard, business structures of the two companies play an important part because they affect consistently the organizational performance. In actuality, Owl Event Management sticks to the traditional bureaucratic structure, where all positions are clearly defined and each employee performs his/her specific role. Instead, JLP Events uses a more progressive functional structure, which involves the division of the company into small departments consisting of teams working on specific direction in the development of the company and they are responsible for the fulfilment of specific functions.
The ownership of both companies is similar for they are both private companies. Owners of both companies manage their business in person.
In actuality, both companies pay a particular attention to branding and marketing strategies because they affect consistently the competitive position of both companies in the market. In terms of their branding strategy, both companies are similar since they focus on the development and promotion of their own brand. In terms of the marketing strategy, Owl Event Management focuses on the aggressive market expansion and attraction of corporate clients. As for JLP Events, the company focuses on the customer satisfaction and high quality of services, while its target customer group are corporate customers too.
Revenue generating activities of Owl Event Management include: “themed parties and award dinners; conference organisation; corporate entertainment; exhibition stands; product launches; team building activities; private party planning” . As for JLP Events, revenue generating activities of the company include event management; technical delivery; entertainment; venue booking; themeing and decoration; multimedia design and build.
In actuality, both companies conduct their operations nationwide and they focus on corporate event management. Their operations aim at the improvement of the brand image and attraction a possibly larger number of customers.
Examining the Financial Position of Two Sub-Sector Organisations
In actuality, the financial performance of Owl Event Management and JLP Events is stable. Both companies are successful in their business development, although they have slowed down their business development since 2008, when the global financial crisis has struck. However, JLP Events seem to recover faster than its rival, Owl Event Management.
At this point, it is possible to refer to important financial information that can help to assess the position of each company. First of all, it is worth mentioning the fact that the level of profitability of Owl Event Management comprised 4,5% in 2011. In this regard, the level of profitability for JLP Events was higher and comprised 6% in 2011. However, such difference is annihilated, when the growth of the level of profitability is analyzed in the course of several years. To put it more precisely, the level of profitability for Owl Event Management comprised 4% in 2010 and 3,5% for JLP Events; in 2009, the level of profitability was 3,5% for Owl Event Management and 3% for JLP Events. Therefore, it is only the last year JLP Events has managed to boost its development and to outpace Owl Event Management. Nevertheless, Owl Event Management keeps growing steadily.
Furthermore, it is important to focus on liabilities of the company. In this regard, the position of JLP Events is better because the company has managed to reduce its liabilities by 1% last year, whereas Owl Event Management increased its liabilities by 2,5%. However, it is worth mentioning the fact that Owl Event Management has lower long term liabilities compared to JLP Events. In fact, the latter is just forced to reduce its liabilities to ease the financial pressure because long term liabilities of the company are high.
Finally, ROI of Owl Event Management increased by 3% last year, whereas JLP Events increased its ROI by 4,5%. However, such a difference is probably determined by the difference in the profitability growth of both companies. In fact, both companies are attractive for investors because, in spite of the global financial crisis in 2008 and current economic and business difficulties, they keep growing. Moreover, both companies have a considerable potential and they can enhance their position in the market in the future. Companies pay a lot of attention to the training of their human resources which can accelerate the business development of both companies.
