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Sheet1FIVE FORCES INDICATOR SHEET2. Overall
Assessment 1. Assess indicatorsof Each FORCEYesNO*(Strong,
Weak, or Moderate)THREAT OF NEW ENTRANTS1Is it easy
for small firms to compete with the prices of larger firms?2Are
producer goods commodity-like?3Are the fixed costs of entering
low?4Are legal and regulatory barriers nonexistent? 5Is it easy
for buyers to switch to alternative producers?6Is distribution
easily available to any new firm? ~Is it easy for new entrants to
come in and compete?~THREAT OF SUBSTITUTES 7Are
substitutes easy to identify and readily available?8Can buyers
easily switch to and learn to use substitutes?9Do substitutes
offer a similar or superior cost/benefit solution?10Have buyers
shown a propensity to switch to substitutes?~If producers try to
charge more, will buyers go to substitutes?~BARGAINING
POWER OF BUYERS11Are there only a few large buyers for
the producers?12Are purchases relatively large, infrequent, and
important? 13Are producers' goods commodity-like or
somewhat undifferentiated?14Can buyers easily switch between
producers? 15Do buyers have easy access to information about
producers' goods?16Is it easy for buyers to produce the goods
themselves?~Are buyers largely captive to the pricing decisions
of producers?"BARGAINING POWER OF SUPPLIERS17Are
there a limited number of key suppliers?18Are suppliers' goods
unique and differentiated?19Would it be difficult for producers
to backward integrate?20Is it difficult or costly for producers to
switch suppliers?~How easily can suppliers increase price of
supplies?~RIVALRY AMONG PRODUCERS21Are there a
limited number of producers of about the same size?22Is
industry growth limited or slow?23Are producers' goods
commodity-like or somewhat undifferentiated?24Do producers
have high fixed costs?25Is it difficult for producers to adjust
capacity and scale? ~Are producers forced into intense battles
for buyers?~Q: How does each force affect the ability of a firm
to charge a higher price and capture premium profit levels?
STRONG means the force INHIBITS producer profitability.*
Indicator questions are worded such that a "NO" indicates a
weak force, i.e. that the force does not have a substantial
negative influence on industry profitability. SO - a "YES" is an
indicator of a STRONG Force.
How “Fun” is the Amusement Park Industry?
(This case was developed in 2018 by Dr. William Carter at The
University of Baltimore. Content is derived from both specified
sources as well as a variety of general sources including
company annual reports, industry analysis reports, and trade
association and related websites.)
5 Top Theme Park Trends Dominating the Season
Hannah Sampson, Skift.com
- Sep 20, 2017
The world’s largest theme park operators are on a spending
spree as competition for visitors grows ever more fierce.
Disney, Universal, SeaWorld, and Six Flags have all announced
new plans to add rides, attractions, and entire lands in the past
few months — on top of expansions already in the works.
That kind of investment is crucial for operators to hold onto
their fans, Dennis Speigel, president of consulting firm
International Theme Park Services, told Skift earlier this year.
“Our industry is a mature industry now, over 60 years old, and
the hardest thing for us to maintain is market penetration,” he
said. “And you do that through managing attrition, introducing
new programs, season passes, capital investment.”
This year has presented challenges for the industry, and some
operators have managed better than others. In August, SeaWorld
CEO Joel Manby told analysts he was “not satisfied with our
results” for the quarter that ended June 30 after attendance was
disappointing at parks in San Diego and Orlando. Per-person
revenue fell and the company reported a net loss after having to
take a significant write-down on SeaWorld Orlando. Executives
lowered the forecast for the full year. At Six Flags
Entertainment, the first six months were so much softer than
expected that the Texas-based company said in late July it was
no longer “probable” that it would meet financial targets for
this year. During the second quarter, per-capita spending and
net income fell. “I’ll be blunt with you: I think that we can
move with more urgency, I think the opportunities we have are
with us right now,” CEO Jim Reid-Anderson said at the time.
“And I think we need to execute faster, more efficiently, and in
a more focused way to truly achieve our potential.”
Here are some of the trends that have dominated the last few
months for theme parks.
WEATHER IS COMPLICATING MATTERS. The biggest blow
came in early September when Hurricane Irma tore through
Florida, forcing operators to close theme parks all over the
state. Walt Disney World Resort, Universal Orlando Resort,
SeaWorld Orlando, Busch Gardens in Tampa and Legoland
Florida all shut down for at least two days. Parks escaped
significant damage from the storm, but the closures and related
cancellations are likely to hurt business for the quarter. Even
before the hurricane, executives at Six Flags Entertainment said
weather was causing problems. Rain over the Memorial Day
holiday weekend and in the last two weeks of June kept
attendance lower than expected at the company’s Texas and
East Coast parks.
INTELLECTUAL PROPERTY FUELS EXPANSION. From
Sesame Street to Guardians of the Galaxy, Star Wars, Harry
Potter, and Avatar, established brands are dominating the
landscape when it comes to theme park additions. Disney has
made the most news on this front, announcing extensive plans in
July at D23 Expo, a fan event. In addition to revealing new
details about upcoming Star Wars-themed lands in Orlando and
Anaheim and a Toy Story land in Orlando, the company also
said new additions would be based on the Tron films, Pixar
movies, and Marvel superheroes including Guardians of the
Galaxy. That followed the opening of Pandora — The World of
Avatar, based on the James Cameron movie, and a renovation of
an older ride that added a Guardians of the Galaxy update.
Universal Parks & Resorts opened a new Minion Park, built
around the animated yellow villains, at Universal Studios Japan
earlier this year. And the company announced a brand new
roller coaster would be finished by 2019 at the Wizarding World
of Harry Potter — Hogsmeade in Orlando. Not to be outdone,
Six Flags announced a lineup of new rides for 2018 this month
that includes several based on DC Entertainment characters such
as Wonder Woman, Harley Quinn, and Cyborg. And SeaWorld,
which has been trying to shift focus away from animal
entertainment to family activities, revealed plans earlier this
year to build a Sesame Street-themed land at its Orlando park as
well as an entire Sesame Place theme park somewhere in the
United States. The company already has a Sesame Place in
Pennsylvania.
IMMERSION INNOVATION. Disney generated tremendous
buzz with its announcement about a new immersive Star Wars
hotel planned for the Walt Disney World resort in Orlando.
Walt Disney Parks & Resorts Chairman Bob Chapek described
the hotel during D23 as “a revolutionary vacation experience”
featuring a “dedicated multi-day adventure. ” There will be, he
said, “starship transportation,” characters, costumes, storylines
and windows with a view of space. “It is 100 percent immersive
and the story will touch every single minute of your stay with
us,” he said. “It culminates in a unique journey for every person
who visits.” Even though details were limited — there’s no
information yet on an opening date, price, exact location, or
what “starship transportation” might entail — the announcement
has industry watchers wondering if Universal might come up
with a similar concept for a Harry Potter-themed hotel.
EVERYONE WANTS WATER PARKS. Universal Orlando
opened its latest addition, Volcano Bay, in late May. The
operator describes it as a “water theme park” with an aqua
coaster, raft rides, slides, and a beach. The new attraction also
fits nicely into Universal’s bid to keep visitors on-site longer,
giving them more of a reason not to wander off to Disney or
SeaWorld if they have a day to spare. Six Flags Entertainment
already has several water parks or water attractions within
theme parks, but announced an expansion plan in April shortly
after upgrading and reopening a water park in Mexico. The
company’s former CEO, John Duffey, said Six Flags would star
looking to acquire water parks near its current parks, in part to
drive more season ticket bundle sales. “Taking over the
operation of existing water parks allows us to expand our
capacity and attendance with minimal investment providing a
quick payback and high return on invested capital,” Duffey said.
“We will look to accelerate this strategy in other markets as
opportunities arise.” Reid-Anderson, who replaced Duffey in
July, said later that month that the water park strategy would
continue. “We have received multiple inbound inquiries from
water park operators around the U.S.,” he said. “So the
opportunity is not only compelling but it’s large-scale.”
OVERSEAS PARKS ARE PAYING OFF. U.S-based theme park
companies are looking to cultivate new audiences, and much of
that expansion has been in Asia. Disney CEO Bob Iger said
earlier this month that the company’s newest major expansion,
Shanghai Disney Resort, was “nicely profitable” in its first
year. The resort opened in June of 2016, and more than 13
million people have visited since. Expansions in Shanghai are
already in the works — a Toy Story land is coming in the spring
— and the positive reception so far has Disney thinking about
other possibilities in China. “Ultimately, it opens up more
possibilities in terms of other theme parks on the mainland, but
we’re way early for that,” Iger said.
Universal Parks & Resorts has a park coming eventually in
Beijing, and the Comcast-owned operator completed the
acquisition of the 49 percent of Universal Studios Japan that it
did not previously own earlier this year. Comcast Corp.
chairman and CEO Brian Roberts said in July that the launch of
Minion Park in Japan had “significantly exceeded our early
expectations.”
“The region holds tremendous potential for us,” he said, adding
that he and other executives had just returned from a trip to
China. “We are as enthusiastic as ever about bringing a
spectacular theme park to Beijing.”
Amusement parks, like trade shows, evolved from the medieval
‘faires’ of the Roman Empire. First, the faires emphasized
merchants selling and trading all varieties of goods. To attract
even more people, attractions such as sporting contests and
entertainers were added. Natural or produced attractions drew
crowds seeking entertainment and diversions from everyday
hardships. These crowds offered many opportunities for event
organizers and the local entrepreneurs to profit from attendees.
Possibly the first true amusement park is Dyrehavsbakken (‘The
Animal Park’s Hill’) near Copenhagen, Denmark which is still
open today. The natural spring at this location drew crowds
from the city beginning in 1583 and the volume of potential
customers attracted entertainers, craftsmen hawking
merchandise, innkeepers, and food vendors. Connecticut’s Lake
Compounce is the longest continuously operated amusement
park in the U.S. having opened in 1846. Lake Compounce first
drew crowds to watch experiments involving explosives.
The industry has come a long way! By 1997, parks in the U.S.
alone saw 300 million attendees and generated $8.4 billion and
these figures increased to 341 million and $12 billion by 2007.
Globally, the amusement park and attractions industry is
estimated to generate over $43 billion in revenue by 2020. The
U.S. is currently the largest market at approximately one-third
of the total global share. It is expected, however, that China
will soon become the world’s largest market. Other booming
markets include Dubai and Malaysia where national
governments are eager to attract and exploit tourist spending.
A mature industry dominated by massive global competitors
Amusement parks can range from the quaint, 20-acre Enchanted
Forest in Salem, Oregon to the massive 30,000 acres at Walt
Disney World Resort in Lake Buena Vista, Florida (about the
same size as the city of San Francisco). Although there are over
400 operators of amusements and attractions in the U.S. the
market, and even more small and individual park operators
globally, the industry is dominated by a few massive multi-park
operators such as Walt Disney Company, Merlin
Entertainments, Parques Reunidos, Six Flags Entertainment
Corporation, SeaWorld Parks & Entertainment, Comcast
(Universal Studios Parks and Resorts), Cedar Fair Entertainment
Company, And China’s OCT Parks.
In the U.S. five firms control nearly 90% market share. Based
on annual attendance figures, Disney’s World Resort in Lake
Buena Vista (Orlando) Florida boasts four of the five most-
visited parks in the country: Magic Kingdom; EpCot; Animal
Kingdom; And Hollywood Studios. Their original Disneyland
park in Aneheim alone ranks second in attendance and their
Islands of Adventure (Florida) and California Adventure parks
are not far behind. Of the twenty most visited parks in the U.S.,
only one – Hersheypark – is not owned by one of the five
largest firms.
Operating Conditions
Amusement parks require a high level of capital spending,
nearly three times the amount of an average industry in the U.S.
Spending is driven by a constant need for new attractions and
rides as well as the costly upkeep of rides and the large-scale
park facilities. As technical advances allow for increased ride
complexity and realism, the time and expense to launch a new
ride can be staggering. The original Jurassic Park river ride at
Universal Studios Hollywood took over six years to design and
construct and total costs exceeded $100 million, more than the
cost to make the movie.
The average park generates 60-65% of its revenue through
admission tickets and purchases for specific rides or games.
Food and beverages account for about 15-25%, and merchandise
sales account for approximately 10-11% with the remainder
produced by special events and sponsorships. Some companies
own hotel and resort properties that also generate revenues.
Revenue has been increasing for the industry, and despite the
increasing costs to develop new rides and operate parks,
industry-average return on assets (pre-tax profit/total assets)
has increased in recent years. ROA in 2014, 2015, 2016, and
2017 was 4.5%, 9.0%, 11.9%, and 10.5% respectively.
Parks require a high degree of labor to operate, most of it
seasonal and part-time. An average of 36% of total operating
costs are related to salaries and wages (21% direct payroll costs
and 15% benefits and other indirect costs). Other major
operating costs, on average, include maintenance (8%),
marketing and promotion (7%). Park operators can end up being
major food service companies when all their park operations are
considered. Six Flags, for example, is essentially one of the
largest restaurant operators in the U.S. Another set of key
suppliers for park operators are therefore large food and
beverage distributors or direct supply companies. Utility costs
can also be immense. Operating rides, shops, restaurants and all
other facilities takes large amounts of electricity, gas, and
water. Investments in increasing the efficiency of utility use
(e.g. low-flow water fixtures, high-efficiency ice machines and
freezers) as well as sustainability-related efforts that reduce
paper, plastic, and overall garbage burdens are therefore an area
of focus.
Rides: Design, Safety, and Regulation
Today’s highly engineered rides are designed and constructed
by specialist firms that supply the global amusement park
industry. Example include Switzerland’s B&M, Idaho’s Rocky
Mountain Construction, and Baltimore’s own Premier Rides.
The design and development of amusement rides requires a
mastery of physics, engineering, and mathematics. As
technologies improved to exploit and include computers,
advanced materials, and other design innovations, the design
and development process is increasingly rigorous, complex, and
time-intensive. This process has also contributed to an
extraordinary safety record proving amusement rides are one of
the safest forms of recreation available to the public. The
amusement park industry's tradition of continual improvement
greatly enhances ride safety. For example, recent introductions
include force reactive supports, headrests, comfort padding, seat
dividers, ratcheted restraints, computer controls, and magnetic
braking systems.
Modern-day ride designers employ a steady stream of advances
to create new, unique, and safe amusement rides and attractions.
Amusement ride manufacturers, for example, have applied the
industry's biodynamic knowledge as it relates to G-forces to the
design and construction of rides to ensure a safe experience.
While technological gains have led to the development of bigger
and faster rides, overall G-force levels have generally remained
the same because riders’ tolerance levels have not changed.
Park personnel use central control units and numerous high-tech
sensors to constantly monitor all aspects of a ride. Mid-ride
adjustments, activation of themed elements, and automatic
system shutdowns occur faster and more accurately. Roller
coaster manufacturers are still exploring the possibilities that
opened to them with the advent of tubular steel tracks and
polyurethane wheels. Lightweight fiberglass and plastics have
contributed to the improvement of various rides and attractions,
including carousels, animatronics, and bumper cars. Several
types of amusement rides, especially roller coasters, employ
vibration-dampening material to provide structural
enhancement. “Locking” roller coasters on the track via a three-
wheeled device (top, side, and bottom) produces a whole new
world of twists, turns, and inversions. Modern catapult-type
launch systems powered by pneumatics and linear electric
motors have also expanded the creative options available to ride
manufacturers. The integration of special effects, motion
simulation, and/or theming within ride environments has
resulted in a wider array of guest experiences.
Although safety is a chief concern and rides are statistically
very safe, there are accidents. An average of two people per
year die at U.S. amusement parks. With fast-moving and high-
elevation experiences, it is no wonder parks are highly
regulated for safety. These regulations are primarily specified
and controlled at the state and local government level. Frequent
and intensive inspections are demanded by local authorities and
insurance providers. Amusement park staff follow detailed
manufacturer guidelines for inspection and safety, and many
parks use outside specialty companies to periodically re-inspect
rides. These inspections take place on a daily, weekly, monthly,
and yearly basis.
Experiences based on known characters and themes
Disney excelled at capitalizing on the attraction of licensed or
owned properties popularized through movies (e.g. Disney
characters and story themes) and this trend is even more
important today. Like Disney, media company
Comcast/Universal Studios has their own park division and is
now number two in U.S. market share overtaking traditional
themed ‘ride’ park operators like Six Flags, Sea World, and
Cedar Fair. “The Wizarding World of Harry Potter”, for
example, opening at Universal Studios in 2010 and lifted
attendance by over 20% in its first six months of operation.
DreamWorks has worked directly with Merlin Entertainment to
open parks such as “Shrek’s London Adventure”. Warner
Brothers, Marvel Comics, 20th Century Fox, and Nickelodeon
are other examples of firms that own characters and story lines
that can attract park visitors. Rides and attractions based on
such licensed properties are a key driver of industry growth and
park differentiation. Video game companies such as Ubisoft and
Nintendo are also developing their own parks to exploit their
owned intellectual properties. Disney even plans for a full-
immersive Star Wars hotel for Orlando.
Market Drivers
Demographic and consumer economic conditions are primary
drivers of the industry’s success. Discretionary income to
support all-day or out-of-town family trips is key, as most
attendance is family-oriented. Most attendees are local. In the
U.S. for example, fewer than 30% of attendees report overnight
lodging. Thus, the urbanization of populations in all developed
and developing countries is a key driver and site section around
population centers is critical. Tourism, however, is still critical
as parks exploit vacationers often coming for more than just a
visit to a specific park. Orlando, Florida, for example is known
as the ‘amusement park capital of the world’ where vacationers
can not only visit Walt Disney World’s parks, they can also
enjoy Universal Studios, SeaWorld, and the Kennedy Space
Center. Arlington, Texas is another attraction ‘center’ with the
Dallas Cowboys’ football stadium, the Texas Rangers baseball
stadium, a major horse racing facility, and other tourist
attractions all nearby to Six Flags Over Texas theme park.
The primary audience for the industry is families with
adolescents aged 10-19. In the U.S. this segment has been
relatively stagnant or in a slight decline due to the country’s
stable but lower birth rate than in years past. In 1990, the 10-19
age group represented 14% of the total U.S. populations
whereas by 2017 that proportion was down to 12.9%. In most
developing countries, however, economic growth and birth rates
are resulting in an increased middle class population and a
growing 10-19 age segment.
Competition is fierce among parks. Investment demands to keep
up or stay ahead are high. Capital spending to drive
differentiation and a park experience to draw repeat visitors can
be as high as 9% of revenue. Investments include rides and
themed park areas based on exclusive licensed properties as
described above, water parks (a growing area as well), and
multimillion dollar, innovative roller coasters. Park audiences
demand new experiences and thrills. A continual stream of new
rides and attraction is thus important. The life cycle of major
character or movie themed rides are also often much shorter
than traditional rides. Innovations driven by technology such as
virtual reality, high-definition projection systems, holography,
and robotics/animatronics are enabling rides that realistically
immerse thrill seekers into their movies (see “Theme Parks:
Fighting for your travel dollar though technology”). Parks
essentially offer an entertainment experience, and that
experience extends beyond just rides and attractions. Attendees
want to maximize their time on entertainment, so premium-
ticket mobile apps now provide benefits such as detailed maps,
current park information, and ride reservations systems. Food
service, integrating visits into one’s social media sharing, and
retailing operations that meet attendees’ needs in-park as well
as for memorializing their visit are also core components of
amusement differentiation strategies (see “How Six Flags stirs
up new thrills”).
Parks are outdoors, so weather matters!
Why did Walt Disney World choose to locate in Orlando,
Florida? Weather- that is at least part of the reason. With the
large fixed capital investment required for a competitive
amusement park, operators need to maximize the flow of
attendees. This is why the world’s largest parks are generally in
areas with reasonably mild, and more importantly, consistent
weather (e.g. Florida, Texas, and Southern California). Seasonal
change has also driven differentiation as many parks have
leveraged their investments for ‘off-season’ themes related to
Halloween and winter/Christmas time. But weather still has a
major affect on tourism and park attendance, even in sunny
Florida.
In 2017, Hurricane Irma forced Florida parks to all close for
several days even though they experienced minimal damages.
One day represents significant business and losing a day can’t
be made up. And it doesn’t take hurricane-level issues. Heavy
rains throughout the 2017 Memorial Day weekend in Texas, for
example, significantly affected Six Flag’s park attendance in
Texas and the Eastern U.S. An important business model
innovation that has helped smooth weather-related revenue
variation is the use of season passes. Not only do season passes
help lock local patrons into attending (and spending) at one
park, they also help assure the operator of multiple ‘days’ of
revenue regardless of weather and attendance.
A Challenging Future?
The industry is expected to grow over the coming years, but the
rate of growth is expected to slow considerably. Conditions for
consumer confidence, disposable income, and travel costs will
be key. The domestic U.S. market appears rather saturated, and
the primary age group is not growing. Opportunities for foreign
growth markets, however, will remain attractive as economies
grow and younger populations increase. Competition is also
likely to force middle and lower level players to consolidate in
order to build efficiencies and the necessary investment capital
to compete with ever-increasing costs of licensed attractions
and innovative, high-tech rides.
Theme Parks: Fighting for Your Travel Dollar with Technology
Forbes.com
Scott Kramer , Contributor; July 15, 2016
Theme parks continue to out-do one another with technology
this year. Six Flags partnered with Samsung this year in opening
nine virtual reality roller coasters across the country. Riders
board real coasters and then strap virtual reality glasses over
their eyes. Thus, they’re transported to a futuristic battle to save
Earth from an alien invasion. They can’t see what’s on the real
track, but they’re essentially looking at a virtual world in which
they are flying with the likes of Superman to fend off villains.
The virtual part is in sync with the real drops and turns. It
sounds and looks like pure genius.
A cool new ride at Six Flags
Back in March, as a guest of Universal Orlando Resort, I was
given a sneak peek of its new “Skull Island: Reign of Kong” 3-
D thrill ride that officially opened this week in the Islands of
Adventure amusement park there. The attention to detail in the
ride’s staging area is jaw-dropping -- each of the thousands of
rocks were carved and installed by hand, giving this as genuine
a tropical island look as possible. And then there’s the ride
vehicle, a 72-passenger safari open-air bus that’s made to look
like it’s been weathered over time. This expedition vehicle is 40
feet long and weighs 17 tons -- and it’s anything but ordinary. It
has all sorts of internal circuitry to make passengers feel as if
they’re being bumped around with turbulence. Although the
company won’t elaborate, it’s the park’s first completely
trackless ride system.
As Universal describes it: Guests board the vehicle to navigate
the increasingly foreboding terrain, traveling deeper into the
ominous island where they're soon in the midst of a brutal
struggle between beasts of unimaginable size and ferocity.
Then, as those creatures turn on the expedition, an animated,
30-foot-tall King Kong head in the flesh approaches the bus, so
close that guests can actually smell his breath. Believe me, he
looks alive.
The attraction -- which lasts a relatively long time compared to
most amusement park rides -- is a far cry from the park’s
original “Kongfrontation” that debuted in 1990 as Universal
Studios Florida’s premier ride. On that version, a 30-foot-tall
mechanical King Kong grabbed a tram of riders “suspended” in
mid-air and “dropped” it to the ground. The ride -- which was
acclaimed for pushing the technological envelope -- actually
used much less-sophisticated technology than resides in an
iPhone.
Engineers told me that they in part developed this new Kong
attraction via virtual reality, in which they were able to
virtually sit in every seat of the ride tram and see every possible
item and angle that a real rider would from their vantage point.
They also developed the ride’s soundtrack that way, as well, to
make sure that all riders’ senses were fully immersed in the
experience. “It helps us define and zero in on the ultimate
experience to make it even more immersive,” says Thierry
Coup, Universal Creative’s senior vice president of the creative
studio. “Oftentimes we’re guessing a little bit. Our skills, our
knowledge and experience allow us to do that. But now we can
verify everything and push it a little bit further.”Park executives
say they’ve been employing more use of virtual reality in
developing future rides.
And Disney is in the middle of creating a Star Wars section at
Disneyland. I've seen the scope of the work and it's an
undertaking. But early hints suggest that guests will be
astounded by the technology.
As a theme park fan, all of these advancements excite me. It
sounds like no matter which amusement park we attend within a
few years, it will be much further advanced than those we grew
up visiting.
How Six Flags Stirs up New Thrills
profilemagazine.com
September 15, 2017
By Jennifer Draper
David McKillips answers the phone from Texas, where he’s on-
site at one of Six Flags’ eighteen theme parks across North
America. He’s more than one thousand miles away from his
New York office, but his tour is just kicking off. For the next
thirty days, the senior vice president of in-park services is on
the road with the entire management team to address many of
Six Flags’ forty-five thousand employees face-to-face at annual
town hall meetings throughout the United States, Canada, and
Mexico. “We really enjoy spending time in our parks and
meeting with the full-time and seasonal leadership team
members to get their feedback and ensure that we are fired up
and ready to go for the upcoming season,” McKillips says. The
excitement in his voice is tangible.
His team does indeed have a lot to be excited about this year.
After emerging from bankruptcy in 2010, Six Flags entered a
high-growth period under new management that ushered in a
new phase of the company’s fifty-six-year evolution—a
blossoming of creativity and expansion that continues to this
day. “The current management group brought a whole new level
of focus, thinking, and innovation,” McKillips says. “It’s
incredible. We have had seven consecutive years of record
growth.”
Part of this transformation is thanks to McKillips, who now
oversees four divisions for all theme parks on the continent:
culinary, retail, games and attractions, and procurement and
purchasing. He’s currently trying to ramp up Six Flags’ brand
loyalty by providing unique park experiences. For example, his
team is launching a signature candy shop with the Coaster
Candy brand, starting with the flagship Atlanta location. “This
will be a fantastic guest experience,” he says. “We are going to
bring theater to the candy experience, making our homemade
caramel apples, fudge, and treats right in front of you.”
Another project that thrills the leader of in-park services is the
implementation of an interactive imaging program at the theme
parks. “Having a picture or a memory from your day’s visit is
so important right now, and our guests want to share these
memories quickly and easily,” McKillips says. “Our guests are
always taking their own selfies in the park, and we wanted to
complement—not compete with—their smartphones.”
Now, Six Flags will self-operate the traditional front gate,
character, seasonal, and ride photos that, in four parks
currently, are seamlessly integrated into the Six Flags app.
Guests can scan a code on the spot to download selfie borders
and post to social media. An imaging innovation center will also
include green-screen technology, augmented reality, and
shareable video experiences. By increasing investment in
innovation, McKillips aims to include self-serve kiosks in
restaurants and mobile ordering technology, too.
McKillips says insight is the motivating force behind these
positive changes. “Our senior leadership makes it a point to
listen to our guests and our employees,” he says. “We talk to
them face-to-face, we exchange e-mails, and we do extensive
research to stay abreast of what is happening in each of our
parks. It really helps me stay in touch with what they are
thinking and feeling about the business.”
McKillips is conscious of each rung in the industry not only
because of that constant communication, but also because of his
personal experience. Twenty-five years ago, he started working
in the operations department at SeaWorld in Orlando, Florida,
cleaning up trash around the dolphin community pool area. “I
really enjoyed being in an environment that is focused on
making people happy,” he says. “I thought, ‘This is absolutely
what I want to do. I want to work in entertainment.’” He moved
around into sound engineering, catering, promotions, and
marketing until he had pretty much done every job at the park.
So he transitioned to Sesame Place in Pennsylvania, where he
promoted the Sesame Street-themed park for two years before
what McKillips describes as his big moment. When he attended
the promotional expo in Chicago, he heard a presentation about
the power of superheroes given by DC Comics senior vice
president of promotions Joel Ehrlich. McKillips—who cites
Batman and Plastic Man as his superhero favorites—knew he
wanted to work for him. So, McKillips introduced himself and
said he’d love to work there someday. Ehrlich called him and
said they had a sales position. Although he never thought he
would be in sales, he leapt at the opportunity.
For nearly a decade, McKillips worked in advertising and
promotions for the comic book juggernaut in New York City.
DC Comics—known for its iconic characters, including
Superman, Batman, Wonder Woman, the Flash, and the Green
Lantern—offered McKillips the chance to move up the ranks.
He became the associate publisher of the company’s humor title,
Mad magazine, and then ultimately was promoted to the
position of vice president of advertising and promotions for all
of DC Comics.
His full-circle moment occurred in 2000, when McKillips
developed a comic book map for Six Flags in partnership with
DC Comics, since the parks feature thrill rides titled after
characters in the DC Universe. He sold advertising and
promotions within the comic book map and established a great
relationship with Six Flags. Then, the management team
changed in 2007, and the company asked McKillips to join Six
Flags to help form a new partnership group. “I thought it was an
incredible, exciting opportunity to combine both facets of my
career,” he says. “I had theme park experience, which I loved,
and I had experience working with the DC superheroes
properties, which I loved, and now I could do both.”
McKillips jumped aboard and created the Six Flags media
networks, the sponsorship arm of the new management team that
would introduce a new era of company growth. “We have a lot
of fun,” he says. “We created incredible corporate alliances
with great brands such as Coca-Cola, Cartoon Network, and
M&M’s. We also worked with all the movie studios. I was
involved with all of the negotiations and partnership discussions
related to intellectual property incorporation and creating the
programming that aired on Six Flags’ in-park TV network.”
McKillips’s team has also brought in retail brands and in-park
restaurants, such as Johnny Rockets and Cold Stone Creamery.
For eight years, McKillips expanded the partnership group to
drive revenue and promotions. Then this past year, he switched
from the sponsorship sales team to his current role heading in-
park services. “My job is to complement that incredible
experience our guests have on our award-winning rides with a
great experience in our restaurants, retail locations, and games,”
he says. “I’m looking at trends throughout all of entertainment,
dining, and retail, and thinking about how we can approach the
business dynamically in each one of those areas.”
In terms of the number of outlets and meals served, Six Flags is
more or less a top one hundred restaurant in the United States,
according to McKillips. That means that food and beverage
innovation is key at the biggest regional theme park company in
the world. He considers all the details, from line speed to menu
management, to build strategic efficiencies. “We also make
every effort to regionalize our concepts, especially around food,
because the flavor profiles are a little bit different depending on
what market you are in,” McKillips says. “For example, if you
live in Northern California, you may have a burger with
avocado and bean sprouts, while in New Jersey your burger is
topped with bacon and cheese and even Taylor Ham.”
Six Flags expands its operating season past the primary
summertime season with year-round events, featuring specialty
menus and themed attractions. Mardi Gras
celebrations are taking place this spring at Six Flags Fiesta
Texas and Six Flags Mexico. The company also is home to the
largest
Halloween event in the theme park industry, Fright Fest. The
company is expanding its footprint even further with its Holiday
in the Park program, an immersive wintertime experience
currently in nine parks with millions of twinkling lights, snow
hills for sledding, holiday-themed shows, and seasonal flavors
such as red velvet funnel cake.
“These signature events are so much fun not only for our guests,
but for our employees as well because we get to play in all four
seasons. We want to introduce new treats and experiences each
spring, summer, fall, and winter,” McKillips says. “We want
people to get excited about coming to our parks. Come for the
rides, but stay for the total in-park experience.”
Top U.S. Amusement park companies
The Walt Disney Company
“The Walt Disney Company, together with its subsidiaries, is a
diversified worldwide entertainment company with operations in
four business segments: Media Networks, Parks and Resorts,
Studio Entertainment, and Consumer Products & Interactive
Media. For convenience, the terms “Company” and “we” are
used to refer collectively to the parent company and the
subsidiaries through which our various businesses are actually
conducted. Our Parks and Resorts segment generates revenue
from the sale of admissions to theme parks, the sale of food,
beverage and merchandise, charges for room nights at hotels,
sales of cruise vacation packages and sales, as well as rentals of
vacation club properties. Revenues are also generated from
sponsorships and co-branding opportunities, real estate rent and
sales, and royalties from Tokyo Disney Resort. Significant
expenses include operating labor, infrastructure costs,
depreciation, costs of sales and other operating expenses.
Infrastructure costs include information systems expense,
repairs and maintenance, utilities and fuel, property taxes,
insurance and transportation and other operating expenses
include costs for such items as supplies, commissions and
entertainment offerings.”
Comcast
Comcast, acquirer of NBC broadcasting and Universal
Studios, is engaged in five different operating areas. Cable
communications, cable networks, broadcast television, filmed
entertainment, and theme parks. Our Theme Parks segment
consists primarily of our Universal theme parks in Orlando,
Florida; Hollywood, California; and Osaka, Japan. Universal
Orlando includes two theme parks, Universal Studios Florida
and Universal’s Islands of Adventure, our water park, Volcano
Bay, which opened in May 2017, as well as Universal CityWalk
Orlando, a dining, retail and entertainment complex. Universal
Orlando also features on-site themed hotels in which we own a
noncontrolling interest. Our Universal theme park in
Hollywood, California consists primarily of Universal Studios
Hollywood, as well as Universal CityWalk Hollywood. Our
Universal theme park in Osaka, Japan consists primarily of
Universal Studios Japan. We continue to expand our theme
parks business internationally, such as through our plans to
develop a Universal theme park in Beijing, China along with a
consortium of Chinese state-owned companies. In addition, we
license the right to use the Universal Studios brand name and
other intellectual property, and also provide other services, to
third parties that own and operate the Universal Studios
Singapore theme park on Sentosa Island, Singapore. Our Theme
Parks segment licenses the right to use a substantial amount of
intellectual property from third parties for its themed elements
in rides, attractions and merchandising.
SeaWorld Entertainment
We are a leading theme park and entertainment company
providing experiences that matter and inspiring guests to protect
animals and the wild wonders of our world. We own or license
a portfolio of recognized brands including SeaWorld, Busch
Gardens, Aquatica, Sesame Place and Sea Rescue. Over our
more than 50 year history, we have built a diversified portfolio
of 12 destination and regional theme parks that are grouped in
key markets across the United States, many of which showcase
our one-of-a-kind zoological collection. Our theme parks
feature a diverse array of rides, shows, educational
demonstrations and other attractions with broad demographic
appeal which deliver memorable experiences and a strong value
proposition for our guests.
Six Flags Entertainment Corp
We are the largest regional theme park operator in the world
based on the number of parks we operate. Of our 20 regional
theme and waterparks, 17 are located in the United States, two
are located in Mexico and one is located in Montreal, Canada.
Our U.S. theme parks serve each of the top 10 designated
market areas, as determined by a survey of television
households within designated market areas published by A.C.
Nielsen Media Research in September 2017. Our diversified
portfolio of North American theme parks serves an aggregate
population of approximately 100 million people and 175 million
people within a radius of 50 miles and 100 miles, respectively,
with some of the highest per capita gross domestic product in
the U.S.
Our parks occupy approximately 4,600 acres of land, and we
own approximately 800 acres of other potentially developable
land. Our parks are located in geographically diverse markets
across North America. Our parks generally offer a broad
selection of state-of-the-art and traditional thrill rides, water
attractions, themed areas, concerts and shows, restaurants, game
venues and retail outlets, and thereby provide a complete
family-oriented entertainment experience. In the aggregate,
during 2017, our parks offered approximately 850 rides,
including over 140 roller coasters, making us the leading
provider of "thrill rides" in the industry.
Cedar Fair LLC
In 2017, the Partnership entertained more than 25 million
visitors. All of the Partnership's parks are family-oriented, with
recreational facilities for people of all ages, and provide clean
and attractive environments with exciting rides and
entertainment. The amusement parks include: Cedar Point,
located on Lake Erie between Cleveland and Toledo in
Sandusky, Ohio; Knott's Berry Farm, near Los Angeles,
California; Canada's Wonderland, near Toronto, Canada; Kings
Island, near Cincinnati, Ohio; Carowinds, in Charlotte, North
Carolina; Dorney Park & Wildwater Kingdom ("Dorney Park"),
in Allentown, Pennsylvania; Kings Dominion, near Richmond,
Virginia; California's Great America, in Santa Clara, California;
Valleyfair, near Minneapolis/St. Paul, Minnesota; Worlds of
Fun, in Kansas City, Missouri; and Michigan's Adventure, in
Muskegon, Michigan. The Partnership manages and operates
Gilroy Gardens Family Theme Park in Gilroy, California. The
Partnership also owns and operates two separately gated outdoor
water parks located adjacent to Cedar Point and Knott's Berry
Farm, three hotels at Cedar Point (including the Castaway Bay
Indoor Waterpark Resort in Sandusky, Ohio) and one hotel at
Knott's Berry Farm. With limited exceptions, all rides and
attractions at the amusement and water parks are owned and
operated by the Partnership. The Partnership owns land on
which Cedar Point Sports Center is located. The sports park is
operated by a third party.
Estimated U.S. Market Share 2017
Walt Disney Company50.1
Comcast/NBC Universal17.5
SeaWorld Entertainment7.1
Six Flags Entertainment6.4
Cedar Fair LLC6.2
Total revenue U.S.
Year
Revenue $
million
Growth %
200412,391.000
200512,952.304.5
200612,959.100.1
200713,879.907.1
200813,280.90-4.3
200911,624.20-12.5
201011,453.80-1.5
201113,634.5019
201213,600.90-0.3
201314,369.605.7
201415,354.206.9
201516,781.809.3
201617,484.704.2
201717,540.600.3
Number of adolsecents aged 10-19 in U.S.
YearMillion% Change
200842.920
200942.85-0.2
201042.66-0.5
201142.38-0.7
201242.04-0.8
201341.83-0.5
201441.72-0.3
201541.69-0.1
201641.750.1
201741.860.3
201841.950.2
201941.92-0.1
202041.81-0.3
202141.77-0.1
202241.780
202341.760
202441.73-0.1
Selected Financial Data for Leading U.S. Amusement Park
Operators
201720162015
Walt Disney Company
TOTAL REVENUE:184151697416162
Admissions
Food, beverages, merchandise
Sponsorships, licensing, other
Accommodations
OPERATING PROFIT377432983031
Comcast
TOTAL REVENUE:544349464391
Admissions
Food, beverages, merchandise
Sponsorships, licensing, other
Accommodations
OPERATING PROFIT238421901952
SeaWorld Entertainment
TOTAL REVENUE:126313441371
Admissions765818874
Food, beverages, merchandise498526524
Sponsorships, licensing, other
Accommodations
OPERATING PROFIT(201)60159
Six Flags
TOTAL REVENUE:135913181264
Admissions741715688
Food, beverages, merchandise525521500
Sponsorships, licensing, other786659
Accommodations151617
OPERATING PROFIT329233263
Cedar Fair
TOTAL REVENUE:132112881235
Admissions734716687
Food, beverages, merchandise422408398
Sponsorships, licensing, other
Accommodations165164150
OPERATING PROFIT295317295
($millions) Detail reported as available in company reports
(Amusement park/Resort operations only)
Rubric for Interdisciplinary Writing Memo
CATEGORY
Naïve
Novice
Apprentice
Master
Purposefulness
Does the Student’s framing of the problem invite an integrative
approach?
10%
This memo does not contain an identifiable purpose or the
purpose is unclear
The memo contains a discernible purpose but it is not clear that
this purpose calls for an integrative approach
Or
The student does identify a problem that calls for an integrative
approach but the purpose of the memo is not clearly stated or
the purpose is unviable.
The student clearly states a purpose that calls for an integrative
approach. However, the student offers no clear rationale or
justification for taking this approach.
Or
The purpose of the memo appears somewhat ambitious.
The student clearly states a purpose that calls for an integrative
approach and provides a clear rationale or justification for
taking this approach..
Purposefulness
Does the student use the writing genre effectively to
communicate with his or her intended audience?
10%
There is little sense of an academic genre being used and the
intended audience is unclear.
An academic genre is discernible but multiple violations of the
genre (e.g., organization, tone, referencing, vocabulary) limit
the student’s ability to communicate with the intended audience.
Or
The writing is not fluid. It requires multiple readings.
An academic genre is clear and generally adhered to. The
student is obviously aware of the intended audience, which
often represents more than one discipline.
The memo reads fluidly.
No innovation within the genre is visible or if there is any
attempt at innovation it is not effective.
An academic genre is clear and consistently adhered to. The
student is obviously aware of the intended audience, which
often represents more than one discipline. Any innovation
within the genre is effective and deliberate.
Disciplinary Grounding
Does the student use disciplinary methods accurately and
effectively (e.g., experimental design, philosophical
argumentation, textual analysis)?
10%
The student shows little to no awareness of the methods, habits
of mind, and validation criteria by which knowledge is
constructed and verified in the disciplines.
Opinions and information summaries are presented as matters of
fact.
The student shows awareness of or uses disciplinary methods
and modes of thinking in one or more of the included
disciplines, but employs them mechanically, superficially, or
algorithmically.
There may be oversimplifications and misconceptions about
methods (e.g., if someone assumes statistical results are true).
The student accurately employs methods, modes of thinking
(e.g., ways to select evidence or construct causal accounts), and
validation criteria to construct knowledge in one or more of the
selected disciplines.
The student accurately employs methods, habits of mind, and
validation criteria to construct knowledge in one or more of the
selected disciplines.
He or she does so effectively, exhibiting language that describes
the constructed nature of disciplinary knowledge (e.g., the
provisional nature of insights, the limits of generalizations, the
multiplicity of interpretations).
Integration
3.1. Does the student include
selected disciplinary perspectives or insights from two or more
disciplinary traditions (presented in the course or from
elsewhere) that are relevant to the purpose
of the memo?
10%
The memo shows no evidence
that disciplinary perspectives are used to address the memo’s
purpose.
Multiple perspectives or points of view may be considered but
these do not represent disciplinary views and/or are not clearly
related to the memo’s purpose.
The memo includes two or more relevant disciplinary
perspectives or fields but the connections between the included
disciplinary insights and the purpose of the work are superficial
or unclear.
Crucial disciplinary perspectives may be missing.
The memo includes two or more relevant disciplines or fields.
Selected disciplinary insights are clearly connected to the
purpose of the work.
Disciplinary perspectives that are tangential to the purpose may
be present, or relevant perspectives missed.
The memo includes two or more relevant disciplines or fields.
Selected disciplinary insights are clearly connected to the
purpose of the work.
No unrelated disciplinary insights appear and no crucial
perspectives are missing.
If the memo includes some tangential perspectives which are,
however, original it should be considered Level $ for this
criterion.
Integration
3.2. Is there an integrative device or strategy (e.g., a model,
metaphor, analogy)?
10%
The student may explore the topic in a holistic way but
connections are unclear and there is no obvious sense of
integration.
The student may explore the topic in a holistic way, making
valid connections across disciplinary or field perspectives;
however, insights from different perspectives are not integrated
coherently or effectively.
In some cases, disciplinary concepts, theories, perspectives,
findings, or examples are placed side by side; connections and
analogies are made but no overall
An integrative device (e.g., a leading metaphor, a complex
causal explanation) clearly brings disciplinary insights together
in a generally coherent and effective way.
A novel, imaginative, or well- articulated integrative device
(e.g., a leading metaphor, a complex causal explanation) is used
to bring disciplinary insights together in a coherent and
effective way.
Integration
3.3 Is there a sense of balance in the overall composition of the
piece with regard to how the student brings disciplinary
perspectives or insights together to advance the purpose of the
piece?
10%
The memo shows an imbalance in the way particular
disciplinary perspectives are presented in light of the purpose of
the work (e.g., particular disciplinary perspectives are given
disproportionate weight for no obvious reason).
The student attempts to balance perspectives but builds this on
artificial or algorithmic grounds rather than substantive ones
(e.g., giving equal weight to each disciplinary perspective
studied irrespective of its substantive relevance to the problem
at hand).
Disciplinary insights in the memo are generally balanced on
substantive grounds in light of the purpose of the work.
However, one or more aspects of the argument may be weakly
addressed.
Disciplinary insights are delicately balanced to maximize the
effectiveness of the memo in light of the purpose of the work.
Integration
Do the conclusions drawn by the student indicate that
understanding has been advanced by the integration of
disciplinary views?
10%
The student attempts to make connections across different
perspectives but these are unrelated to the apparent purpose of
the memo.
Minor efforts at integration are present. Or a language of
integration is present but is used mechanistically to yield
minimal advancement toward the intended purpose.
The student makes a valid integration of disciplinary insights to
generate understandings linked to the purpose of the memo.
However, some obvious opportunities to advance the purpose of
the memo are overlooked or undeveloped.
The student takes full advantage of the opportunities presented
by the integration of disciplinary insights to advance his or her
intended purpose both effectively and efficiently. The
integration may result in novel or unexpected insights.
Critical Awareness
4.1. Does the student show awareness of the limitations and
benefits of the contributing disciplines or how the disciplines
intertwine?
10%
There is no awareness of the differing contributing disciplines
or fields or their benefits or limitations (e.g., the topic is only
approached from a
commonsense or very general standpoint).
There is awareness of which disciplines are being used but there
is no or only brief discussion of the limitations and/or benefits
of the disciplinary contributions. There may be some
misconceptions about how the disciplines are being used.
The benefits and/or limitations of the differing contributing
disciplines or fields are sufficiently and clearly
discussed. Some of the points made may be general or obvious.
The benefits and or limitations of the differing contributing
disciplines or fields are discussed clearly, insightfully, and in
relationship to one another (e.g., studetns not only describe
individual contributions but highlight how views complement,
balance, add empirical grounding or put into question insights
from other disciplines included in the work.
Critical Awareness
4.2. Does the student exhibit self-reflection?
10%
The student does not consider the strengths and limitations of
his or her own memo. Ideas are presented at face value without
skepticism or reflection.
Comments on the strengths and limitations of the memo and its
integrative approach seem mechanical, superficial, or in
passing. Ideas are mostly presented at face value without
skepticism or reflection.
There is sufficient comment on the strengths and /or limitations
of the memo and its integrative approach, although the points
made may be general or obvious.
There is consistent awareness of the strengths and limitations of
the memo and its integrative approach. A tentative tone is
adopted and alternative integrative approaches may be
considered.
Syntax & Mechanics
10%
The memo (or deliverable) lacked organization. It used
language that was unclear. The sentences were poorly written
and contained excessive standard written English usage errors
that made document incomprehensible.
The memo (or deliverable) was organized in some sections, but
not in others. It used language that conveyed meaning to
readers, but was not consistent. Sentences have many standard
written English usage errors making comprehension
challenging.
The memo (or deliverable) was organized and used language
that generally conveyed meaning to the readers. Sentences were
mostly grammatically correct and/or only a few errors were
present, but did not hinder the reader.
The memo (or deliverable) was well organized and used concise
language that skillfully communicated meaning to readers with
clarity and fluency. The sentences were grammatically correct
and virtually error-free.
This rubric is adapted from Boix Mansilla, V., Dawes
Duraisingh, E., Wolfe, C.R., & Haynes, C. (2009). Targeted
Assessment Rubric: An Empirically Grounded Rubric for
Interdisciplinary Writing. The Journal of Higher Education 80
(3) 334-353. Print.
Writing Memo Assignment:
For the Memo writing assignment, you will use your research
question to write your memo.
(My research question is: What can be done to handle the
student loan debt situation more effectively?)
Your memo should be between 1-2 pages, single spaced and
include the formatting as seen in the reading from the Purdue
Writing Lab on Memos.
(I provide the links for the “Purdue Writing Lab on
Memos” in the Memo Sample file.)
Your Memo will brief me on the disciplines involved in
addressing your research question, the types of disciplinary
thinking and process of analysis that these disciplines involve,
and how you will initially research your topic.
See the Box Mansilla Rubric for your grade.
Grading Rubric for Reading Quiz
5 pts.
The reader/responder answered each question in complete
sentences, answering, specifically, what each question asked
for. Students used a main idea for each question and supported
their answer with evidence (quotes, summary or paraphrasing)
from the reading/media.
3 pts.
The student answered many of the questions but not all of them.
Students may have answered each question, but errors in
grammar or sentence construction obscure their answer.
Students may have failed to use evidence (quotes, summary or
paraphrasing) in their answer.
0 pts. The student didn't do the assignment or failed to send the
response in on time.
Reading Quiz Assignment:
1- You will find 2 readings based on your Research Question.
(My research question is: What can be done to handle
the student loan debt situation more effectively?)
2- For each reading, please answer the following questions:
What did you enjoy most about the reading? Please be specific
and use examples from life experience, experiential learning,
and the texts themselves (APA format).
3- Please paraphrase each reading in four or less sentences.
Third Classmate’s post:
I have never had experience with writing a memo, but I do
remember acquiring information from a memo for projects I had
in high school. I also remember how easy to navigate and to the
point they were in terms of information. The organization of a
memo makes it a very attractive piece of writing when gathering
information and it seems a lot more organized to write than an
essay would be. I never knew that memos existed, however, I
just referred to them as an essay.
Second Classmate’s post:
Memo Discussion
I don't have much experience with memos at all. I've never
written one but I have read a few. I receive emails from UDC
that I know are memos. I received one recently titled "Memo
from President Mason: 2019-2020 Outlook. I didn't realize it
was one until I learned what a memo was a week ago. I'm glad
I'm learning now. I anticipate it'll be necessary for the future
when I fully enter the workforce, so I'm grateful.
First classmate’s post:
Hello class members,
I want to talk about the purpose of a memo. First, from my
personal experience with memos, I can say that a memo is
majorly used to communicate procedures, policies and other
official businesses within an organization. It is usually written
for one-to-all perspective such as a mass communication. It is a
medium of broadcasting message from one person to an
audience. Teams or departments in an organization can also use
it to update members on activities of the projects they
undertaking, or to inform them of a specific action, or event.
From this, it is evident that the major purpose of a memo is to
inform but it can also serve as a call-to-action channel.
Discussion Board Assignment:
In this Discussion Board;
Create a post and respond to 2 classmate’s posts.
Your post will be about your experience with using or reading
memos, or investigating how memos might help you write
proposals, etc.
Your post should be one paragraph long.
Respond to classmate’s posts should be one short paragraph
long.
(I will post 3 of my classmate’s posts to so you can write
responds. You need to write 2 responds to 2 people posts.)
Sample Memohttpsowl.purdue.eduowlsubject_specific_writing.docx

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  • 1. Sample Memo: https://owl.purdue.edu/owl/subject_specific_writing/professiona l_technical_writing/memos/sample_memo.html Sample Memo format: https://owl.purdue.edu/owl/subject_specific_writing/professiona l_technical_writing/memos/format.html Parts of a Memo: https://owl.purdue.edu/owl/subject_specific_writing/professiona l_technical_writing/memos/parts_of_a_memo.html General Introduction of Memo: https://owl.purdue.edu/owl/subject_specific_writing/professiona l_technical_writing/memos/index.html How to write Memo: https://www.youtube.com/watch?v=HFXCUgRBpvw Sheet1FIVE FORCES INDICATOR SHEET2. Overall Assessment 1. Assess indicatorsof Each FORCEYesNO*(Strong, Weak, or Moderate)THREAT OF NEW ENTRANTS1Is it easy for small firms to compete with the prices of larger firms?2Are producer goods commodity-like?3Are the fixed costs of entering low?4Are legal and regulatory barriers nonexistent? 5Is it easy for buyers to switch to alternative producers?6Is distribution easily available to any new firm? ~Is it easy for new entrants to
  • 2. come in and compete?~THREAT OF SUBSTITUTES 7Are substitutes easy to identify and readily available?8Can buyers easily switch to and learn to use substitutes?9Do substitutes offer a similar or superior cost/benefit solution?10Have buyers shown a propensity to switch to substitutes?~If producers try to charge more, will buyers go to substitutes?~BARGAINING POWER OF BUYERS11Are there only a few large buyers for the producers?12Are purchases relatively large, infrequent, and important? 13Are producers' goods commodity-like or somewhat undifferentiated?14Can buyers easily switch between producers? 15Do buyers have easy access to information about producers' goods?16Is it easy for buyers to produce the goods themselves?~Are buyers largely captive to the pricing decisions of producers?"BARGAINING POWER OF SUPPLIERS17Are there a limited number of key suppliers?18Are suppliers' goods unique and differentiated?19Would it be difficult for producers to backward integrate?20Is it difficult or costly for producers to switch suppliers?~How easily can suppliers increase price of supplies?~RIVALRY AMONG PRODUCERS21Are there a limited number of producers of about the same size?22Is industry growth limited or slow?23Are producers' goods commodity-like or somewhat undifferentiated?24Do producers have high fixed costs?25Is it difficult for producers to adjust capacity and scale? ~Are producers forced into intense battles for buyers?~Q: How does each force affect the ability of a firm to charge a higher price and capture premium profit levels? STRONG means the force INHIBITS producer profitability.* Indicator questions are worded such that a "NO" indicates a weak force, i.e. that the force does not have a substantial negative influence on industry profitability. SO - a "YES" is an indicator of a STRONG Force. How “Fun” is the Amusement Park Industry? (This case was developed in 2018 by Dr. William Carter at The University of Baltimore. Content is derived from both specified
  • 3. sources as well as a variety of general sources including company annual reports, industry analysis reports, and trade association and related websites.) 5 Top Theme Park Trends Dominating the Season Hannah Sampson, Skift.com - Sep 20, 2017 The world’s largest theme park operators are on a spending spree as competition for visitors grows ever more fierce. Disney, Universal, SeaWorld, and Six Flags have all announced new plans to add rides, attractions, and entire lands in the past few months — on top of expansions already in the works. That kind of investment is crucial for operators to hold onto their fans, Dennis Speigel, president of consulting firm International Theme Park Services, told Skift earlier this year. “Our industry is a mature industry now, over 60 years old, and the hardest thing for us to maintain is market penetration,” he said. “And you do that through managing attrition, introducing new programs, season passes, capital investment.” This year has presented challenges for the industry, and some operators have managed better than others. In August, SeaWorld CEO Joel Manby told analysts he was “not satisfied with our results” for the quarter that ended June 30 after attendance was disappointing at parks in San Diego and Orlando. Per-person revenue fell and the company reported a net loss after having to take a significant write-down on SeaWorld Orlando. Executives lowered the forecast for the full year. At Six Flags Entertainment, the first six months were so much softer than expected that the Texas-based company said in late July it was no longer “probable” that it would meet financial targets for this year. During the second quarter, per-capita spending and net income fell. “I’ll be blunt with you: I think that we can move with more urgency, I think the opportunities we have are with us right now,” CEO Jim Reid-Anderson said at the time.
  • 4. “And I think we need to execute faster, more efficiently, and in a more focused way to truly achieve our potential.” Here are some of the trends that have dominated the last few months for theme parks. WEATHER IS COMPLICATING MATTERS. The biggest blow came in early September when Hurricane Irma tore through Florida, forcing operators to close theme parks all over the state. Walt Disney World Resort, Universal Orlando Resort, SeaWorld Orlando, Busch Gardens in Tampa and Legoland Florida all shut down for at least two days. Parks escaped significant damage from the storm, but the closures and related cancellations are likely to hurt business for the quarter. Even before the hurricane, executives at Six Flags Entertainment said weather was causing problems. Rain over the Memorial Day holiday weekend and in the last two weeks of June kept attendance lower than expected at the company’s Texas and East Coast parks. INTELLECTUAL PROPERTY FUELS EXPANSION. From Sesame Street to Guardians of the Galaxy, Star Wars, Harry Potter, and Avatar, established brands are dominating the landscape when it comes to theme park additions. Disney has made the most news on this front, announcing extensive plans in July at D23 Expo, a fan event. In addition to revealing new details about upcoming Star Wars-themed lands in Orlando and Anaheim and a Toy Story land in Orlando, the company also said new additions would be based on the Tron films, Pixar movies, and Marvel superheroes including Guardians of the Galaxy. That followed the opening of Pandora — The World of Avatar, based on the James Cameron movie, and a renovation of an older ride that added a Guardians of the Galaxy update. Universal Parks & Resorts opened a new Minion Park, built around the animated yellow villains, at Universal Studios Japan earlier this year. And the company announced a brand new
  • 5. roller coaster would be finished by 2019 at the Wizarding World of Harry Potter — Hogsmeade in Orlando. Not to be outdone, Six Flags announced a lineup of new rides for 2018 this month that includes several based on DC Entertainment characters such as Wonder Woman, Harley Quinn, and Cyborg. And SeaWorld, which has been trying to shift focus away from animal entertainment to family activities, revealed plans earlier this year to build a Sesame Street-themed land at its Orlando park as well as an entire Sesame Place theme park somewhere in the United States. The company already has a Sesame Place in Pennsylvania. IMMERSION INNOVATION. Disney generated tremendous buzz with its announcement about a new immersive Star Wars hotel planned for the Walt Disney World resort in Orlando. Walt Disney Parks & Resorts Chairman Bob Chapek described the hotel during D23 as “a revolutionary vacation experience” featuring a “dedicated multi-day adventure. ” There will be, he said, “starship transportation,” characters, costumes, storylines and windows with a view of space. “It is 100 percent immersive and the story will touch every single minute of your stay with us,” he said. “It culminates in a unique journey for every person who visits.” Even though details were limited — there’s no information yet on an opening date, price, exact location, or what “starship transportation” might entail — the announcement has industry watchers wondering if Universal might come up with a similar concept for a Harry Potter-themed hotel. EVERYONE WANTS WATER PARKS. Universal Orlando opened its latest addition, Volcano Bay, in late May. The operator describes it as a “water theme park” with an aqua coaster, raft rides, slides, and a beach. The new attraction also fits nicely into Universal’s bid to keep visitors on-site longer, giving them more of a reason not to wander off to Disney or SeaWorld if they have a day to spare. Six Flags Entertainment already has several water parks or water attractions within
  • 6. theme parks, but announced an expansion plan in April shortly after upgrading and reopening a water park in Mexico. The company’s former CEO, John Duffey, said Six Flags would star looking to acquire water parks near its current parks, in part to drive more season ticket bundle sales. “Taking over the operation of existing water parks allows us to expand our capacity and attendance with minimal investment providing a quick payback and high return on invested capital,” Duffey said. “We will look to accelerate this strategy in other markets as opportunities arise.” Reid-Anderson, who replaced Duffey in July, said later that month that the water park strategy would continue. “We have received multiple inbound inquiries from water park operators around the U.S.,” he said. “So the opportunity is not only compelling but it’s large-scale.” OVERSEAS PARKS ARE PAYING OFF. U.S-based theme park companies are looking to cultivate new audiences, and much of that expansion has been in Asia. Disney CEO Bob Iger said earlier this month that the company’s newest major expansion, Shanghai Disney Resort, was “nicely profitable” in its first year. The resort opened in June of 2016, and more than 13 million people have visited since. Expansions in Shanghai are already in the works — a Toy Story land is coming in the spring — and the positive reception so far has Disney thinking about other possibilities in China. “Ultimately, it opens up more possibilities in terms of other theme parks on the mainland, but we’re way early for that,” Iger said. Universal Parks & Resorts has a park coming eventually in Beijing, and the Comcast-owned operator completed the acquisition of the 49 percent of Universal Studios Japan that it did not previously own earlier this year. Comcast Corp. chairman and CEO Brian Roberts said in July that the launch of Minion Park in Japan had “significantly exceeded our early expectations.” “The region holds tremendous potential for us,” he said, adding that he and other executives had just returned from a trip to
  • 7. China. “We are as enthusiastic as ever about bringing a spectacular theme park to Beijing.” Amusement parks, like trade shows, evolved from the medieval ‘faires’ of the Roman Empire. First, the faires emphasized merchants selling and trading all varieties of goods. To attract even more people, attractions such as sporting contests and entertainers were added. Natural or produced attractions drew crowds seeking entertainment and diversions from everyday hardships. These crowds offered many opportunities for event organizers and the local entrepreneurs to profit from attendees. Possibly the first true amusement park is Dyrehavsbakken (‘The Animal Park’s Hill’) near Copenhagen, Denmark which is still open today. The natural spring at this location drew crowds from the city beginning in 1583 and the volume of potential customers attracted entertainers, craftsmen hawking merchandise, innkeepers, and food vendors. Connecticut’s Lake Compounce is the longest continuously operated amusement park in the U.S. having opened in 1846. Lake Compounce first drew crowds to watch experiments involving explosives. The industry has come a long way! By 1997, parks in the U.S. alone saw 300 million attendees and generated $8.4 billion and these figures increased to 341 million and $12 billion by 2007. Globally, the amusement park and attractions industry is estimated to generate over $43 billion in revenue by 2020. The U.S. is currently the largest market at approximately one-third of the total global share. It is expected, however, that China will soon become the world’s largest market. Other booming markets include Dubai and Malaysia where national governments are eager to attract and exploit tourist spending. A mature industry dominated by massive global competitors Amusement parks can range from the quaint, 20-acre Enchanted Forest in Salem, Oregon to the massive 30,000 acres at Walt Disney World Resort in Lake Buena Vista, Florida (about the same size as the city of San Francisco). Although there are over 400 operators of amusements and attractions in the U.S. the
  • 8. market, and even more small and individual park operators globally, the industry is dominated by a few massive multi-park operators such as Walt Disney Company, Merlin Entertainments, Parques Reunidos, Six Flags Entertainment Corporation, SeaWorld Parks & Entertainment, Comcast (Universal Studios Parks and Resorts), Cedar Fair Entertainment Company, And China’s OCT Parks. In the U.S. five firms control nearly 90% market share. Based on annual attendance figures, Disney’s World Resort in Lake Buena Vista (Orlando) Florida boasts four of the five most- visited parks in the country: Magic Kingdom; EpCot; Animal Kingdom; And Hollywood Studios. Their original Disneyland park in Aneheim alone ranks second in attendance and their Islands of Adventure (Florida) and California Adventure parks are not far behind. Of the twenty most visited parks in the U.S., only one – Hersheypark – is not owned by one of the five largest firms. Operating Conditions Amusement parks require a high level of capital spending, nearly three times the amount of an average industry in the U.S. Spending is driven by a constant need for new attractions and rides as well as the costly upkeep of rides and the large-scale park facilities. As technical advances allow for increased ride complexity and realism, the time and expense to launch a new ride can be staggering. The original Jurassic Park river ride at Universal Studios Hollywood took over six years to design and construct and total costs exceeded $100 million, more than the cost to make the movie. The average park generates 60-65% of its revenue through admission tickets and purchases for specific rides or games.
  • 9. Food and beverages account for about 15-25%, and merchandise sales account for approximately 10-11% with the remainder produced by special events and sponsorships. Some companies own hotel and resort properties that also generate revenues. Revenue has been increasing for the industry, and despite the increasing costs to develop new rides and operate parks, industry-average return on assets (pre-tax profit/total assets) has increased in recent years. ROA in 2014, 2015, 2016, and 2017 was 4.5%, 9.0%, 11.9%, and 10.5% respectively. Parks require a high degree of labor to operate, most of it seasonal and part-time. An average of 36% of total operating costs are related to salaries and wages (21% direct payroll costs and 15% benefits and other indirect costs). Other major operating costs, on average, include maintenance (8%), marketing and promotion (7%). Park operators can end up being major food service companies when all their park operations are considered. Six Flags, for example, is essentially one of the largest restaurant operators in the U.S. Another set of key suppliers for park operators are therefore large food and beverage distributors or direct supply companies. Utility costs can also be immense. Operating rides, shops, restaurants and all other facilities takes large amounts of electricity, gas, and water. Investments in increasing the efficiency of utility use (e.g. low-flow water fixtures, high-efficiency ice machines and freezers) as well as sustainability-related efforts that reduce paper, plastic, and overall garbage burdens are therefore an area of focus. Rides: Design, Safety, and Regulation Today’s highly engineered rides are designed and constructed by specialist firms that supply the global amusement park industry. Example include Switzerland’s B&M, Idaho’s Rocky Mountain Construction, and Baltimore’s own Premier Rides. The design and development of amusement rides requires a
  • 10. mastery of physics, engineering, and mathematics. As technologies improved to exploit and include computers, advanced materials, and other design innovations, the design and development process is increasingly rigorous, complex, and time-intensive. This process has also contributed to an extraordinary safety record proving amusement rides are one of the safest forms of recreation available to the public. The amusement park industry's tradition of continual improvement greatly enhances ride safety. For example, recent introductions include force reactive supports, headrests, comfort padding, seat dividers, ratcheted restraints, computer controls, and magnetic braking systems. Modern-day ride designers employ a steady stream of advances to create new, unique, and safe amusement rides and attractions. Amusement ride manufacturers, for example, have applied the industry's biodynamic knowledge as it relates to G-forces to the design and construction of rides to ensure a safe experience. While technological gains have led to the development of bigger and faster rides, overall G-force levels have generally remained the same because riders’ tolerance levels have not changed. Park personnel use central control units and numerous high-tech sensors to constantly monitor all aspects of a ride. Mid-ride adjustments, activation of themed elements, and automatic system shutdowns occur faster and more accurately. Roller coaster manufacturers are still exploring the possibilities that opened to them with the advent of tubular steel tracks and polyurethane wheels. Lightweight fiberglass and plastics have contributed to the improvement of various rides and attractions, including carousels, animatronics, and bumper cars. Several types of amusement rides, especially roller coasters, employ vibration-dampening material to provide structural enhancement. “Locking” roller coasters on the track via a three- wheeled device (top, side, and bottom) produces a whole new world of twists, turns, and inversions. Modern catapult-type launch systems powered by pneumatics and linear electric
  • 11. motors have also expanded the creative options available to ride manufacturers. The integration of special effects, motion simulation, and/or theming within ride environments has resulted in a wider array of guest experiences. Although safety is a chief concern and rides are statistically very safe, there are accidents. An average of two people per year die at U.S. amusement parks. With fast-moving and high- elevation experiences, it is no wonder parks are highly regulated for safety. These regulations are primarily specified and controlled at the state and local government level. Frequent and intensive inspections are demanded by local authorities and insurance providers. Amusement park staff follow detailed manufacturer guidelines for inspection and safety, and many parks use outside specialty companies to periodically re-inspect rides. These inspections take place on a daily, weekly, monthly, and yearly basis. Experiences based on known characters and themes Disney excelled at capitalizing on the attraction of licensed or owned properties popularized through movies (e.g. Disney characters and story themes) and this trend is even more important today. Like Disney, media company Comcast/Universal Studios has their own park division and is now number two in U.S. market share overtaking traditional themed ‘ride’ park operators like Six Flags, Sea World, and Cedar Fair. “The Wizarding World of Harry Potter”, for example, opening at Universal Studios in 2010 and lifted attendance by over 20% in its first six months of operation. DreamWorks has worked directly with Merlin Entertainment to open parks such as “Shrek’s London Adventure”. Warner Brothers, Marvel Comics, 20th Century Fox, and Nickelodeon are other examples of firms that own characters and story lines that can attract park visitors. Rides and attractions based on such licensed properties are a key driver of industry growth and park differentiation. Video game companies such as Ubisoft and
  • 12. Nintendo are also developing their own parks to exploit their owned intellectual properties. Disney even plans for a full- immersive Star Wars hotel for Orlando. Market Drivers Demographic and consumer economic conditions are primary drivers of the industry’s success. Discretionary income to support all-day or out-of-town family trips is key, as most attendance is family-oriented. Most attendees are local. In the U.S. for example, fewer than 30% of attendees report overnight lodging. Thus, the urbanization of populations in all developed and developing countries is a key driver and site section around population centers is critical. Tourism, however, is still critical as parks exploit vacationers often coming for more than just a visit to a specific park. Orlando, Florida, for example is known as the ‘amusement park capital of the world’ where vacationers can not only visit Walt Disney World’s parks, they can also enjoy Universal Studios, SeaWorld, and the Kennedy Space Center. Arlington, Texas is another attraction ‘center’ with the Dallas Cowboys’ football stadium, the Texas Rangers baseball stadium, a major horse racing facility, and other tourist attractions all nearby to Six Flags Over Texas theme park. The primary audience for the industry is families with adolescents aged 10-19. In the U.S. this segment has been relatively stagnant or in a slight decline due to the country’s stable but lower birth rate than in years past. In 1990, the 10-19 age group represented 14% of the total U.S. populations whereas by 2017 that proportion was down to 12.9%. In most developing countries, however, economic growth and birth rates are resulting in an increased middle class population and a growing 10-19 age segment. Competition is fierce among parks. Investment demands to keep up or stay ahead are high. Capital spending to drive differentiation and a park experience to draw repeat visitors can be as high as 9% of revenue. Investments include rides and themed park areas based on exclusive licensed properties as
  • 13. described above, water parks (a growing area as well), and multimillion dollar, innovative roller coasters. Park audiences demand new experiences and thrills. A continual stream of new rides and attraction is thus important. The life cycle of major character or movie themed rides are also often much shorter than traditional rides. Innovations driven by technology such as virtual reality, high-definition projection systems, holography, and robotics/animatronics are enabling rides that realistically immerse thrill seekers into their movies (see “Theme Parks: Fighting for your travel dollar though technology”). Parks essentially offer an entertainment experience, and that experience extends beyond just rides and attractions. Attendees want to maximize their time on entertainment, so premium- ticket mobile apps now provide benefits such as detailed maps, current park information, and ride reservations systems. Food service, integrating visits into one’s social media sharing, and retailing operations that meet attendees’ needs in-park as well as for memorializing their visit are also core components of amusement differentiation strategies (see “How Six Flags stirs up new thrills”). Parks are outdoors, so weather matters! Why did Walt Disney World choose to locate in Orlando, Florida? Weather- that is at least part of the reason. With the large fixed capital investment required for a competitive amusement park, operators need to maximize the flow of attendees. This is why the world’s largest parks are generally in areas with reasonably mild, and more importantly, consistent weather (e.g. Florida, Texas, and Southern California). Seasonal change has also driven differentiation as many parks have leveraged their investments for ‘off-season’ themes related to Halloween and winter/Christmas time. But weather still has a major affect on tourism and park attendance, even in sunny Florida. In 2017, Hurricane Irma forced Florida parks to all close for several days even though they experienced minimal damages.
  • 14. One day represents significant business and losing a day can’t be made up. And it doesn’t take hurricane-level issues. Heavy rains throughout the 2017 Memorial Day weekend in Texas, for example, significantly affected Six Flag’s park attendance in Texas and the Eastern U.S. An important business model innovation that has helped smooth weather-related revenue variation is the use of season passes. Not only do season passes help lock local patrons into attending (and spending) at one park, they also help assure the operator of multiple ‘days’ of revenue regardless of weather and attendance. A Challenging Future? The industry is expected to grow over the coming years, but the rate of growth is expected to slow considerably. Conditions for consumer confidence, disposable income, and travel costs will be key. The domestic U.S. market appears rather saturated, and the primary age group is not growing. Opportunities for foreign growth markets, however, will remain attractive as economies grow and younger populations increase. Competition is also likely to force middle and lower level players to consolidate in order to build efficiencies and the necessary investment capital to compete with ever-increasing costs of licensed attractions and innovative, high-tech rides. Theme Parks: Fighting for Your Travel Dollar with Technology Forbes.com Scott Kramer , Contributor; July 15, 2016 Theme parks continue to out-do one another with technology this year. Six Flags partnered with Samsung this year in opening nine virtual reality roller coasters across the country. Riders board real coasters and then strap virtual reality glasses over their eyes. Thus, they’re transported to a futuristic battle to save Earth from an alien invasion. They can’t see what’s on the real
  • 15. track, but they’re essentially looking at a virtual world in which they are flying with the likes of Superman to fend off villains. The virtual part is in sync with the real drops and turns. It sounds and looks like pure genius. A cool new ride at Six Flags Back in March, as a guest of Universal Orlando Resort, I was given a sneak peek of its new “Skull Island: Reign of Kong” 3- D thrill ride that officially opened this week in the Islands of Adventure amusement park there. The attention to detail in the ride’s staging area is jaw-dropping -- each of the thousands of rocks were carved and installed by hand, giving this as genuine a tropical island look as possible. And then there’s the ride vehicle, a 72-passenger safari open-air bus that’s made to look like it’s been weathered over time. This expedition vehicle is 40 feet long and weighs 17 tons -- and it’s anything but ordinary. It has all sorts of internal circuitry to make passengers feel as if they’re being bumped around with turbulence. Although the company won’t elaborate, it’s the park’s first completely trackless ride system. As Universal describes it: Guests board the vehicle to navigate the increasingly foreboding terrain, traveling deeper into the ominous island where they're soon in the midst of a brutal struggle between beasts of unimaginable size and ferocity. Then, as those creatures turn on the expedition, an animated, 30-foot-tall King Kong head in the flesh approaches the bus, so close that guests can actually smell his breath. Believe me, he looks alive. The attraction -- which lasts a relatively long time compared to most amusement park rides -- is a far cry from the park’s original “Kongfrontation” that debuted in 1990 as Universal Studios Florida’s premier ride. On that version, a 30-foot-tall mechanical King Kong grabbed a tram of riders “suspended” in mid-air and “dropped” it to the ground. The ride -- which was
  • 16. acclaimed for pushing the technological envelope -- actually used much less-sophisticated technology than resides in an iPhone. Engineers told me that they in part developed this new Kong attraction via virtual reality, in which they were able to virtually sit in every seat of the ride tram and see every possible item and angle that a real rider would from their vantage point. They also developed the ride’s soundtrack that way, as well, to make sure that all riders’ senses were fully immersed in the experience. “It helps us define and zero in on the ultimate experience to make it even more immersive,” says Thierry Coup, Universal Creative’s senior vice president of the creative studio. “Oftentimes we’re guessing a little bit. Our skills, our knowledge and experience allow us to do that. But now we can verify everything and push it a little bit further.”Park executives say they’ve been employing more use of virtual reality in developing future rides. And Disney is in the middle of creating a Star Wars section at Disneyland. I've seen the scope of the work and it's an undertaking. But early hints suggest that guests will be astounded by the technology. As a theme park fan, all of these advancements excite me. It sounds like no matter which amusement park we attend within a few years, it will be much further advanced than those we grew up visiting. How Six Flags Stirs up New Thrills profilemagazine.com September 15, 2017 By Jennifer Draper David McKillips answers the phone from Texas, where he’s on-
  • 17. site at one of Six Flags’ eighteen theme parks across North America. He’s more than one thousand miles away from his New York office, but his tour is just kicking off. For the next thirty days, the senior vice president of in-park services is on the road with the entire management team to address many of Six Flags’ forty-five thousand employees face-to-face at annual town hall meetings throughout the United States, Canada, and Mexico. “We really enjoy spending time in our parks and meeting with the full-time and seasonal leadership team members to get their feedback and ensure that we are fired up and ready to go for the upcoming season,” McKillips says. The excitement in his voice is tangible. His team does indeed have a lot to be excited about this year. After emerging from bankruptcy in 2010, Six Flags entered a high-growth period under new management that ushered in a new phase of the company’s fifty-six-year evolution—a blossoming of creativity and expansion that continues to this day. “The current management group brought a whole new level of focus, thinking, and innovation,” McKillips says. “It’s incredible. We have had seven consecutive years of record growth.” Part of this transformation is thanks to McKillips, who now oversees four divisions for all theme parks on the continent: culinary, retail, games and attractions, and procurement and purchasing. He’s currently trying to ramp up Six Flags’ brand loyalty by providing unique park experiences. For example, his team is launching a signature candy shop with the Coaster Candy brand, starting with the flagship Atlanta location. “This will be a fantastic guest experience,” he says. “We are going to bring theater to the candy experience, making our homemade caramel apples, fudge, and treats right in front of you.” Another project that thrills the leader of in-park services is the implementation of an interactive imaging program at the theme
  • 18. parks. “Having a picture or a memory from your day’s visit is so important right now, and our guests want to share these memories quickly and easily,” McKillips says. “Our guests are always taking their own selfies in the park, and we wanted to complement—not compete with—their smartphones.” Now, Six Flags will self-operate the traditional front gate, character, seasonal, and ride photos that, in four parks currently, are seamlessly integrated into the Six Flags app. Guests can scan a code on the spot to download selfie borders and post to social media. An imaging innovation center will also include green-screen technology, augmented reality, and shareable video experiences. By increasing investment in innovation, McKillips aims to include self-serve kiosks in restaurants and mobile ordering technology, too. McKillips says insight is the motivating force behind these positive changes. “Our senior leadership makes it a point to listen to our guests and our employees,” he says. “We talk to them face-to-face, we exchange e-mails, and we do extensive research to stay abreast of what is happening in each of our parks. It really helps me stay in touch with what they are thinking and feeling about the business.” McKillips is conscious of each rung in the industry not only because of that constant communication, but also because of his personal experience. Twenty-five years ago, he started working in the operations department at SeaWorld in Orlando, Florida, cleaning up trash around the dolphin community pool area. “I really enjoyed being in an environment that is focused on making people happy,” he says. “I thought, ‘This is absolutely what I want to do. I want to work in entertainment.’” He moved around into sound engineering, catering, promotions, and marketing until he had pretty much done every job at the park. So he transitioned to Sesame Place in Pennsylvania, where he
  • 19. promoted the Sesame Street-themed park for two years before what McKillips describes as his big moment. When he attended the promotional expo in Chicago, he heard a presentation about the power of superheroes given by DC Comics senior vice president of promotions Joel Ehrlich. McKillips—who cites Batman and Plastic Man as his superhero favorites—knew he wanted to work for him. So, McKillips introduced himself and said he’d love to work there someday. Ehrlich called him and said they had a sales position. Although he never thought he would be in sales, he leapt at the opportunity. For nearly a decade, McKillips worked in advertising and promotions for the comic book juggernaut in New York City. DC Comics—known for its iconic characters, including Superman, Batman, Wonder Woman, the Flash, and the Green Lantern—offered McKillips the chance to move up the ranks. He became the associate publisher of the company’s humor title, Mad magazine, and then ultimately was promoted to the position of vice president of advertising and promotions for all of DC Comics. His full-circle moment occurred in 2000, when McKillips developed a comic book map for Six Flags in partnership with DC Comics, since the parks feature thrill rides titled after characters in the DC Universe. He sold advertising and promotions within the comic book map and established a great relationship with Six Flags. Then, the management team changed in 2007, and the company asked McKillips to join Six Flags to help form a new partnership group. “I thought it was an incredible, exciting opportunity to combine both facets of my career,” he says. “I had theme park experience, which I loved, and I had experience working with the DC superheroes properties, which I loved, and now I could do both.” McKillips jumped aboard and created the Six Flags media networks, the sponsorship arm of the new management team that
  • 20. would introduce a new era of company growth. “We have a lot of fun,” he says. “We created incredible corporate alliances with great brands such as Coca-Cola, Cartoon Network, and M&M’s. We also worked with all the movie studios. I was involved with all of the negotiations and partnership discussions related to intellectual property incorporation and creating the programming that aired on Six Flags’ in-park TV network.” McKillips’s team has also brought in retail brands and in-park restaurants, such as Johnny Rockets and Cold Stone Creamery. For eight years, McKillips expanded the partnership group to drive revenue and promotions. Then this past year, he switched from the sponsorship sales team to his current role heading in- park services. “My job is to complement that incredible experience our guests have on our award-winning rides with a great experience in our restaurants, retail locations, and games,” he says. “I’m looking at trends throughout all of entertainment, dining, and retail, and thinking about how we can approach the business dynamically in each one of those areas.” In terms of the number of outlets and meals served, Six Flags is more or less a top one hundred restaurant in the United States, according to McKillips. That means that food and beverage innovation is key at the biggest regional theme park company in the world. He considers all the details, from line speed to menu management, to build strategic efficiencies. “We also make every effort to regionalize our concepts, especially around food, because the flavor profiles are a little bit different depending on what market you are in,” McKillips says. “For example, if you live in Northern California, you may have a burger with avocado and bean sprouts, while in New Jersey your burger is topped with bacon and cheese and even Taylor Ham.” Six Flags expands its operating season past the primary summertime season with year-round events, featuring specialty menus and themed attractions. Mardi Gras
  • 21. celebrations are taking place this spring at Six Flags Fiesta Texas and Six Flags Mexico. The company also is home to the largest Halloween event in the theme park industry, Fright Fest. The company is expanding its footprint even further with its Holiday in the Park program, an immersive wintertime experience currently in nine parks with millions of twinkling lights, snow hills for sledding, holiday-themed shows, and seasonal flavors such as red velvet funnel cake. “These signature events are so much fun not only for our guests, but for our employees as well because we get to play in all four seasons. We want to introduce new treats and experiences each spring, summer, fall, and winter,” McKillips says. “We want people to get excited about coming to our parks. Come for the rides, but stay for the total in-park experience.” Top U.S. Amusement park companies The Walt Disney Company “The Walt Disney Company, together with its subsidiaries, is a diversified worldwide entertainment company with operations in four business segments: Media Networks, Parks and Resorts, Studio Entertainment, and Consumer Products & Interactive Media. For convenience, the terms “Company” and “we” are used to refer collectively to the parent company and the subsidiaries through which our various businesses are actually conducted. Our Parks and Resorts segment generates revenue from the sale of admissions to theme parks, the sale of food, beverage and merchandise, charges for room nights at hotels, sales of cruise vacation packages and sales, as well as rentals of vacation club properties. Revenues are also generated from sponsorships and co-branding opportunities, real estate rent and sales, and royalties from Tokyo Disney Resort. Significant expenses include operating labor, infrastructure costs, depreciation, costs of sales and other operating expenses.
  • 22. Infrastructure costs include information systems expense, repairs and maintenance, utilities and fuel, property taxes, insurance and transportation and other operating expenses include costs for such items as supplies, commissions and entertainment offerings.” Comcast Comcast, acquirer of NBC broadcasting and Universal Studios, is engaged in five different operating areas. Cable communications, cable networks, broadcast television, filmed entertainment, and theme parks. Our Theme Parks segment consists primarily of our Universal theme parks in Orlando, Florida; Hollywood, California; and Osaka, Japan. Universal Orlando includes two theme parks, Universal Studios Florida and Universal’s Islands of Adventure, our water park, Volcano Bay, which opened in May 2017, as well as Universal CityWalk Orlando, a dining, retail and entertainment complex. Universal Orlando also features on-site themed hotels in which we own a noncontrolling interest. Our Universal theme park in Hollywood, California consists primarily of Universal Studios Hollywood, as well as Universal CityWalk Hollywood. Our Universal theme park in Osaka, Japan consists primarily of Universal Studios Japan. We continue to expand our theme parks business internationally, such as through our plans to develop a Universal theme park in Beijing, China along with a consortium of Chinese state-owned companies. In addition, we license the right to use the Universal Studios brand name and other intellectual property, and also provide other services, to third parties that own and operate the Universal Studios Singapore theme park on Sentosa Island, Singapore. Our Theme Parks segment licenses the right to use a substantial amount of intellectual property from third parties for its themed elements in rides, attractions and merchandising. SeaWorld Entertainment
  • 23. We are a leading theme park and entertainment company providing experiences that matter and inspiring guests to protect animals and the wild wonders of our world. We own or license a portfolio of recognized brands including SeaWorld, Busch Gardens, Aquatica, Sesame Place and Sea Rescue. Over our more than 50 year history, we have built a diversified portfolio of 12 destination and regional theme parks that are grouped in key markets across the United States, many of which showcase our one-of-a-kind zoological collection. Our theme parks feature a diverse array of rides, shows, educational demonstrations and other attractions with broad demographic appeal which deliver memorable experiences and a strong value proposition for our guests. Six Flags Entertainment Corp We are the largest regional theme park operator in the world based on the number of parks we operate. Of our 20 regional theme and waterparks, 17 are located in the United States, two are located in Mexico and one is located in Montreal, Canada. Our U.S. theme parks serve each of the top 10 designated market areas, as determined by a survey of television households within designated market areas published by A.C. Nielsen Media Research in September 2017. Our diversified portfolio of North American theme parks serves an aggregate population of approximately 100 million people and 175 million people within a radius of 50 miles and 100 miles, respectively, with some of the highest per capita gross domestic product in the U.S. Our parks occupy approximately 4,600 acres of land, and we own approximately 800 acres of other potentially developable land. Our parks are located in geographically diverse markets across North America. Our parks generally offer a broad selection of state-of-the-art and traditional thrill rides, water attractions, themed areas, concerts and shows, restaurants, game venues and retail outlets, and thereby provide a complete
  • 24. family-oriented entertainment experience. In the aggregate, during 2017, our parks offered approximately 850 rides, including over 140 roller coasters, making us the leading provider of "thrill rides" in the industry. Cedar Fair LLC In 2017, the Partnership entertained more than 25 million visitors. All of the Partnership's parks are family-oriented, with recreational facilities for people of all ages, and provide clean and attractive environments with exciting rides and entertainment. The amusement parks include: Cedar Point, located on Lake Erie between Cleveland and Toledo in Sandusky, Ohio; Knott's Berry Farm, near Los Angeles, California; Canada's Wonderland, near Toronto, Canada; Kings Island, near Cincinnati, Ohio; Carowinds, in Charlotte, North Carolina; Dorney Park & Wildwater Kingdom ("Dorney Park"), in Allentown, Pennsylvania; Kings Dominion, near Richmond, Virginia; California's Great America, in Santa Clara, California; Valleyfair, near Minneapolis/St. Paul, Minnesota; Worlds of Fun, in Kansas City, Missouri; and Michigan's Adventure, in Muskegon, Michigan. The Partnership manages and operates Gilroy Gardens Family Theme Park in Gilroy, California. The Partnership also owns and operates two separately gated outdoor water parks located adjacent to Cedar Point and Knott's Berry Farm, three hotels at Cedar Point (including the Castaway Bay Indoor Waterpark Resort in Sandusky, Ohio) and one hotel at Knott's Berry Farm. With limited exceptions, all rides and attractions at the amusement and water parks are owned and operated by the Partnership. The Partnership owns land on which Cedar Point Sports Center is located. The sports park is operated by a third party.
  • 25. Estimated U.S. Market Share 2017 Walt Disney Company50.1 Comcast/NBC Universal17.5 SeaWorld Entertainment7.1 Six Flags Entertainment6.4 Cedar Fair LLC6.2 Total revenue U.S. Year Revenue $ million Growth % 200412,391.000 200512,952.304.5 200612,959.100.1 200713,879.907.1 200813,280.90-4.3 200911,624.20-12.5 201011,453.80-1.5 201113,634.5019 201213,600.90-0.3 201314,369.605.7 201415,354.206.9 201516,781.809.3 201617,484.704.2 201717,540.600.3 Number of adolsecents aged 10-19 in U.S. YearMillion% Change 200842.920 200942.85-0.2 201042.66-0.5 201142.38-0.7 201242.04-0.8 201341.83-0.5 201441.72-0.3
  • 26. 201541.69-0.1 201641.750.1 201741.860.3 201841.950.2 201941.92-0.1 202041.81-0.3 202141.77-0.1 202241.780 202341.760 202441.73-0.1 Selected Financial Data for Leading U.S. Amusement Park Operators 201720162015 Walt Disney Company TOTAL REVENUE:184151697416162 Admissions Food, beverages, merchandise Sponsorships, licensing, other Accommodations OPERATING PROFIT377432983031 Comcast TOTAL REVENUE:544349464391 Admissions Food, beverages, merchandise Sponsorships, licensing, other Accommodations OPERATING PROFIT238421901952 SeaWorld Entertainment TOTAL REVENUE:126313441371 Admissions765818874 Food, beverages, merchandise498526524 Sponsorships, licensing, other Accommodations OPERATING PROFIT(201)60159 Six Flags TOTAL REVENUE:135913181264
  • 27. Admissions741715688 Food, beverages, merchandise525521500 Sponsorships, licensing, other786659 Accommodations151617 OPERATING PROFIT329233263 Cedar Fair TOTAL REVENUE:132112881235 Admissions734716687 Food, beverages, merchandise422408398 Sponsorships, licensing, other Accommodations165164150 OPERATING PROFIT295317295 ($millions) Detail reported as available in company reports (Amusement park/Resort operations only) Rubric for Interdisciplinary Writing Memo CATEGORY Naïve Novice Apprentice Master Purposefulness Does the Student’s framing of the problem invite an integrative approach? 10% This memo does not contain an identifiable purpose or the purpose is unclear The memo contains a discernible purpose but it is not clear that this purpose calls for an integrative approach Or The student does identify a problem that calls for an integrative approach but the purpose of the memo is not clearly stated or the purpose is unviable. The student clearly states a purpose that calls for an integrative
  • 28. approach. However, the student offers no clear rationale or justification for taking this approach. Or The purpose of the memo appears somewhat ambitious. The student clearly states a purpose that calls for an integrative approach and provides a clear rationale or justification for taking this approach.. Purposefulness Does the student use the writing genre effectively to communicate with his or her intended audience? 10% There is little sense of an academic genre being used and the intended audience is unclear. An academic genre is discernible but multiple violations of the genre (e.g., organization, tone, referencing, vocabulary) limit the student’s ability to communicate with the intended audience. Or The writing is not fluid. It requires multiple readings. An academic genre is clear and generally adhered to. The student is obviously aware of the intended audience, which often represents more than one discipline. The memo reads fluidly. No innovation within the genre is visible or if there is any attempt at innovation it is not effective. An academic genre is clear and consistently adhered to. The student is obviously aware of the intended audience, which often represents more than one discipline. Any innovation within the genre is effective and deliberate.
  • 29. Disciplinary Grounding Does the student use disciplinary methods accurately and effectively (e.g., experimental design, philosophical argumentation, textual analysis)? 10% The student shows little to no awareness of the methods, habits of mind, and validation criteria by which knowledge is constructed and verified in the disciplines. Opinions and information summaries are presented as matters of fact. The student shows awareness of or uses disciplinary methods and modes of thinking in one or more of the included disciplines, but employs them mechanically, superficially, or algorithmically. There may be oversimplifications and misconceptions about methods (e.g., if someone assumes statistical results are true). The student accurately employs methods, modes of thinking (e.g., ways to select evidence or construct causal accounts), and validation criteria to construct knowledge in one or more of the selected disciplines. The student accurately employs methods, habits of mind, and validation criteria to construct knowledge in one or more of the selected disciplines. He or she does so effectively, exhibiting language that describes the constructed nature of disciplinary knowledge (e.g., the provisional nature of insights, the limits of generalizations, the multiplicity of interpretations). Integration
  • 30. 3.1. Does the student include selected disciplinary perspectives or insights from two or more disciplinary traditions (presented in the course or from elsewhere) that are relevant to the purpose of the memo? 10% The memo shows no evidence that disciplinary perspectives are used to address the memo’s purpose. Multiple perspectives or points of view may be considered but these do not represent disciplinary views and/or are not clearly related to the memo’s purpose. The memo includes two or more relevant disciplinary perspectives or fields but the connections between the included disciplinary insights and the purpose of the work are superficial or unclear. Crucial disciplinary perspectives may be missing. The memo includes two or more relevant disciplines or fields. Selected disciplinary insights are clearly connected to the purpose of the work. Disciplinary perspectives that are tangential to the purpose may be present, or relevant perspectives missed. The memo includes two or more relevant disciplines or fields. Selected disciplinary insights are clearly connected to the purpose of the work.
  • 31. No unrelated disciplinary insights appear and no crucial perspectives are missing. If the memo includes some tangential perspectives which are, however, original it should be considered Level $ for this criterion. Integration 3.2. Is there an integrative device or strategy (e.g., a model, metaphor, analogy)? 10% The student may explore the topic in a holistic way but connections are unclear and there is no obvious sense of integration. The student may explore the topic in a holistic way, making valid connections across disciplinary or field perspectives; however, insights from different perspectives are not integrated coherently or effectively. In some cases, disciplinary concepts, theories, perspectives, findings, or examples are placed side by side; connections and analogies are made but no overall An integrative device (e.g., a leading metaphor, a complex causal explanation) clearly brings disciplinary insights together in a generally coherent and effective way. A novel, imaginative, or well- articulated integrative device (e.g., a leading metaphor, a complex causal explanation) is used to bring disciplinary insights together in a coherent and effective way. Integration 3.3 Is there a sense of balance in the overall composition of the piece with regard to how the student brings disciplinary
  • 32. perspectives or insights together to advance the purpose of the piece? 10% The memo shows an imbalance in the way particular disciplinary perspectives are presented in light of the purpose of the work (e.g., particular disciplinary perspectives are given disproportionate weight for no obvious reason). The student attempts to balance perspectives but builds this on artificial or algorithmic grounds rather than substantive ones (e.g., giving equal weight to each disciplinary perspective studied irrespective of its substantive relevance to the problem at hand). Disciplinary insights in the memo are generally balanced on substantive grounds in light of the purpose of the work. However, one or more aspects of the argument may be weakly addressed. Disciplinary insights are delicately balanced to maximize the effectiveness of the memo in light of the purpose of the work. Integration Do the conclusions drawn by the student indicate that understanding has been advanced by the integration of disciplinary views? 10% The student attempts to make connections across different perspectives but these are unrelated to the apparent purpose of the memo. Minor efforts at integration are present. Or a language of integration is present but is used mechanistically to yield minimal advancement toward the intended purpose. The student makes a valid integration of disciplinary insights to generate understandings linked to the purpose of the memo.
  • 33. However, some obvious opportunities to advance the purpose of the memo are overlooked or undeveloped. The student takes full advantage of the opportunities presented by the integration of disciplinary insights to advance his or her intended purpose both effectively and efficiently. The integration may result in novel or unexpected insights. Critical Awareness 4.1. Does the student show awareness of the limitations and benefits of the contributing disciplines or how the disciplines intertwine? 10% There is no awareness of the differing contributing disciplines or fields or their benefits or limitations (e.g., the topic is only approached from a commonsense or very general standpoint). There is awareness of which disciplines are being used but there is no or only brief discussion of the limitations and/or benefits of the disciplinary contributions. There may be some misconceptions about how the disciplines are being used. The benefits and/or limitations of the differing contributing disciplines or fields are sufficiently and clearly discussed. Some of the points made may be general or obvious. The benefits and or limitations of the differing contributing disciplines or fields are discussed clearly, insightfully, and in relationship to one another (e.g., studetns not only describe individual contributions but highlight how views complement, balance, add empirical grounding or put into question insights from other disciplines included in the work.
  • 34. Critical Awareness 4.2. Does the student exhibit self-reflection? 10% The student does not consider the strengths and limitations of his or her own memo. Ideas are presented at face value without skepticism or reflection. Comments on the strengths and limitations of the memo and its integrative approach seem mechanical, superficial, or in passing. Ideas are mostly presented at face value without skepticism or reflection. There is sufficient comment on the strengths and /or limitations of the memo and its integrative approach, although the points made may be general or obvious. There is consistent awareness of the strengths and limitations of the memo and its integrative approach. A tentative tone is adopted and alternative integrative approaches may be considered. Syntax & Mechanics 10% The memo (or deliverable) lacked organization. It used language that was unclear. The sentences were poorly written and contained excessive standard written English usage errors that made document incomprehensible. The memo (or deliverable) was organized in some sections, but not in others. It used language that conveyed meaning to readers, but was not consistent. Sentences have many standard written English usage errors making comprehension challenging. The memo (or deliverable) was organized and used language that generally conveyed meaning to the readers. Sentences were mostly grammatically correct and/or only a few errors were present, but did not hinder the reader. The memo (or deliverable) was well organized and used concise
  • 35. language that skillfully communicated meaning to readers with clarity and fluency. The sentences were grammatically correct and virtually error-free. This rubric is adapted from Boix Mansilla, V., Dawes Duraisingh, E., Wolfe, C.R., & Haynes, C. (2009). Targeted Assessment Rubric: An Empirically Grounded Rubric for Interdisciplinary Writing. The Journal of Higher Education 80 (3) 334-353. Print. Writing Memo Assignment: For the Memo writing assignment, you will use your research question to write your memo. (My research question is: What can be done to handle the student loan debt situation more effectively?) Your memo should be between 1-2 pages, single spaced and include the formatting as seen in the reading from the Purdue Writing Lab on Memos. (I provide the links for the “Purdue Writing Lab on Memos” in the Memo Sample file.) Your Memo will brief me on the disciplines involved in addressing your research question, the types of disciplinary thinking and process of analysis that these disciplines involve, and how you will initially research your topic. See the Box Mansilla Rubric for your grade.
  • 36. Grading Rubric for Reading Quiz 5 pts. The reader/responder answered each question in complete sentences, answering, specifically, what each question asked for. Students used a main idea for each question and supported their answer with evidence (quotes, summary or paraphrasing) from the reading/media. 3 pts. The student answered many of the questions but not all of them. Students may have answered each question, but errors in grammar or sentence construction obscure their answer. Students may have failed to use evidence (quotes, summary or paraphrasing) in their answer. 0 pts. The student didn't do the assignment or failed to send the response in on time. Reading Quiz Assignment: 1- You will find 2 readings based on your Research Question. (My research question is: What can be done to handle the student loan debt situation more effectively?) 2- For each reading, please answer the following questions: What did you enjoy most about the reading? Please be specific and use examples from life experience, experiential learning, and the texts themselves (APA format).
  • 37. 3- Please paraphrase each reading in four or less sentences. Third Classmate’s post: I have never had experience with writing a memo, but I do remember acquiring information from a memo for projects I had in high school. I also remember how easy to navigate and to the point they were in terms of information. The organization of a memo makes it a very attractive piece of writing when gathering information and it seems a lot more organized to write than an essay would be. I never knew that memos existed, however, I just referred to them as an essay. Second Classmate’s post: Memo Discussion I don't have much experience with memos at all. I've never written one but I have read a few. I receive emails from UDC that I know are memos. I received one recently titled "Memo from President Mason: 2019-2020 Outlook. I didn't realize it was one until I learned what a memo was a week ago. I'm glad I'm learning now. I anticipate it'll be necessary for the future when I fully enter the workforce, so I'm grateful. First classmate’s post:
  • 38. Hello class members, I want to talk about the purpose of a memo. First, from my personal experience with memos, I can say that a memo is majorly used to communicate procedures, policies and other official businesses within an organization. It is usually written for one-to-all perspective such as a mass communication. It is a medium of broadcasting message from one person to an audience. Teams or departments in an organization can also use it to update members on activities of the projects they undertaking, or to inform them of a specific action, or event. From this, it is evident that the major purpose of a memo is to inform but it can also serve as a call-to-action channel. Discussion Board Assignment: In this Discussion Board; Create a post and respond to 2 classmate’s posts. Your post will be about your experience with using or reading memos, or investigating how memos might help you write proposals, etc. Your post should be one paragraph long. Respond to classmate’s posts should be one short paragraph long. (I will post 3 of my classmate’s posts to so you can write responds. You need to write 2 responds to 2 people posts.)