Referencing Styles : APA Lucy (25) and Stacey (28) met at university where they both studied marketing. They became friends over their mutual love of travelling. Since leaving university, they have both had various roles in advertising and marketing for larger organisations in Australia and overseas. Lucy has been working in one of big 4 accounting firms, both in Australia and HK whilst Stacey has had several positions in different industries ranging from manufacturing to sports goods. After a recent holiday together where they were both complaining how they were sick of the corporate world, they decide to set up their own business “Freedom travel”. After an enthusiastic Sunday session at their local pub, they formulate their initial plan for “Freedom travel” which includes; * They will use their love of travel to sell and distribute travel accessories, as well as provide travel consultancy services. * Their main aim is to make sure that no matter what the reason (ie business or pleasure), everyone learns to love travel as much as they do. * They will not manufacture the accessories but will source them direct from both Australia and the rest of the world. * Whilst being fantastic at marketing, both Lucy and Stacey acknowledge that they are terrible with numbers and require assistance with financial aspects of their business plan in particular. * Their travel accessories will be unique in the market but priced at a middle range so that their products will be affordable. They see their former employers and other corporates, in particular in relation to the consultancy side and the general public for the accessories. * They will sell various gift packs etc and will open up initially online before opening two stores in shopping centres in Perth. * They have large growth plans for the business, eventually wanting to go national. They have asked you to provide some assistance with their strategic planning. The only fixed criteria for Freedom Travel is as described above and they are happy to accept your recommendations for all other decisions. Required Prepare a report in the academic writing method (see assignment format) in which you: 1. Identify and discuss the characteristics of your chosen industry’s external environment by applying Porter’s Five Forces Analysis. 2. Identify and discuss the best generic business strategy that you would advise Freedom travel to follow. Your strategy needs to relate to the conclusions that you reached in requirement 1. 3. Compile a Balance scorecard for your chosen industry by: a. identifying the four critical business perspectives and for each perspective:  identity 2 objectives which will assist to achieve the chosen business strategy (from requirement 2) and explain why you have chosen these objectives in light of the results from your external environment investigation from requirement 1 b. for each objective identified in requirement 3(b) ,  identify two relevant SMART Key Performance Indicator (KPI) to measure the achievement of the objective and explain how each KPI meets the SMART criteria and is relevant to the strategic objective  identify one relevant strategic initiative to achieve the strategic objective. 4. Prepare a yearly master budget for the periods 1/7/15- 30/6/16 and 1/7/16-30/6/17 for Freedom Travel. The budget should contain; ACC2360 Managerial Accounting – On Campus Team Assignment a) Revenue Budget b) Production Budget and COGS budget c) Budgeted income statement/profit and loss d) Cash/cashflow budget e) Details of all assumptions made and explanations as to all details in the budgets It is recommended that Excel is used for Requirement 4 For requirements 1 & 2, please note that the emphasis is on applying the theories of Porter and generic strategies to your chosen industry. No description of the actual theories is required.