Thomas Cook collapses, leaving thousands of travelers stranded

[Beyond.Celsus]

They will, once their customers realise their products are killing them.

That's common knowledge by now.
People just do not care.

I worked with someone years ago who drank a 2 litre coke daily.
He eventually had to have an op to have several stomach ulcers removed.

Did he stop afterwards?
Not a chance

 

[3WA]

This will be the eventual fate of all businesses around the world, no matter how big, small or rich or poor. People today do not have the required business skills people before them had. The way businesses are operating today is not sustainable and a global crisis are now in the making.

Your world view is truly remarkable. I wish there was a way I could find out more.

 

[Jopie Fourie]

Your world view is truly remarkable. I wish there was a way I could find out more.

It is not about a world view, my world view or even yours. It is a fact that the real businessmen of the world who were able to start a small business, growing it into an international corporation and running it successfully, is gone. The business world today are run by snowflakes, people who bow to corrupt governments, believe their company profits must be shared with employees, believe employees needs to be looked after, have rights to protest actions, get a lot of money for doing the least possible. This is where the world is heading. There is no future for large businesses in this world. Just like TC they will all come tumbling down.

 

[ForceFate]

It is not about a world view, my world view or even yours. It is a fact that the real businessmen of the world who were able to start a small business, growing it into an international corporation and running it successfully, is gone. The business world today are run by snowflakes, people who bow to corrupt governments, believe their company profits must be shared with employees, believe employees needs to be looked after, have rights to protest actions, get a lot of money for doing the least possible. This is where the world is heading. There is no future for large businesses in this world. Just like TC they will all come tumbling down.

Profit sharing is not a recently formulated scheme. It may be as old as some of the old businesses. I'm actually shocked you don't believe employees must be looked after.

Unless your businesses employs mostly unskilled labour.

Edit: Even then, you need to ensure their safety. It's not only about providing medical aid and such. It's about their well-being as well.

 

[zippy]

These package tour companies have become more expensive and more complicated than booking holidays directly. This is partly due to sites like trip advisor etc.,. The whole point of using them is that are supposed to leverage their size to achieve discounts for their customers, but they have relied on the "convenience factor" to offset the price premiums, but that only works to a limited extent. They cant get the volumes needed.

But thats not the whole story

Thomas Cook has also been heavily impacted by political upheaval Eqypt, Tunisis etc. , which have been important destinations for their packages.

In addition they also operate their own aircraft. There isnt a single airline which hasnt suffered due to terrorism threats. Low cost airlines hit them hard and they couldnt compete.

They have been incurring debt.

Other travel companies have weathered these challenges because they specialise and are not over extended into areas which are not their core business.

They have been trying to sell of parts of the business, but have been unable to offload them.

 

[3WA]

It is not about a world view, my world view or even yours. It is a fact that the real businessmen of the world who were able to start a small business, growing it into an international corporation and running it successfully, is gone. The business world today are run by snowflakes, people who bow to corrupt governments, believe their company profits must be shared with employees, believe employees needs to be looked after, have rights to protest actions, get a lot of money for doing the least possible. This is where the world is heading. There is no future for large businesses in this world. Just like TC they will all come tumbling down.

Never has greater truth been spoken. May I be your disciple? Teach me to do business the way it was done in the old days. When men were men and women were broads.

 

[NarrowBandFtw]

do you like not read? Brexit and people's reluctance to travel in face of all the uncertainty has been mentioned more than once as a factor in its demise

which is complete horseshyte seeing as Thomas Cook has been drowning in debt for a decade, you know, as in, since many years before there was even a brexit referendum planned, never mind held ...

 

[zippy]

It is not about a world view, my world view or even yours. It is a fact that the real businessmen of the world who were able to start a small business, growing it into an international corporation and running it successfully, is gone. The business world today are run by snowflakes, people who bow to corrupt governments, believe their company profits must be shared with employees, believe employees needs to be looked after, have rights to protest actions, get a lot of money for doing the least possible. This is where the world is heading. There is no future for large businesses in this world. Just like TC they will all come tumbling down.

Not withstanding Thomas Cook, a substantial portion of the "business world" is actually doing pretty well. You can find examples of businesses who share profits with employees doing well as well as others

 

[Jopie Fourie]

These package tour companies have become more expensive and more complicated than booking holidays directly.

Well, today, with more than 600,000 clients on holiday across the globe only through Thomas Cook, pricing would definitely not be an issue for these folks. In addition, today's clients would have brought in a cool Billion+ for TC, not even mentioning last weeks, last month, or the months' before clients.

With these figures in mind, there is clearly no problem with the world economy. Wonder what could have gone wrong.....

 

[Gordon_R]

https://www.bbc.com/news/business-49791249

The BBC understands the government was asked for a bailout of £250m, which was denied. Transport Secretary Grant Shapps defended the move on the Today programme.

"I fear it would have kept them afloat for a very short period of time and then we would have been back in the position of needing to repatriate people in any case," he said.

The company's large debts and High Street-focused business made it a poor candidate for survival, he said.

 

[Jopie Fourie]

https://www.bbc.com/news/business-49791249

A clear indication that the current business model and the manner in which the company was run has failed. Probably a huge chunk of mismanagement and fraud involved too. These were all paid up clients who paid the company before they went on holiday. A lot of explaining still to come. Criminal prosecutions probably too.

 

[Jopie Fourie]

A good starting point for restructuring the company debt would be:

1. Retrench 50% of all staff.
2. Cut remaining staff salaries by 35%
3. !0 hour work days, 6 days a week for all staff, management and top management.
4. No more overtime or bonuses for any staff member from the ground up

 

[gregmcc]

There would be legal implications for 2,3. It would never happen anywhere.

 

[Jopie Fourie]

There would be legal implications for 2,3. It would never happen anywhere.

A shame. Hence the reason it will have to close down eventually. Better start brushing up on our animal and plant trading skills again.

 

[ForceFate]

A good starting point for restructuring the company debt would be:

1. Retrench 50% of all staff.
2. Cut remaining staff salaries by 35%
3. !0 hour work days, 6 days a week for all staff, management and top management.
4. No more overtime or bonuses for any staff member from the ground up

Numbers aren't decided on haphazardly. This may cost a pretty penny. Also, redundancies aren't that cheap either.

 

[Ninja'd]

Hucknall man named Thomas Cook has wedding shattered by the busted company

'Thomas Cook promised us a surprise on our wedding because of my name - but this was not the surprise we were expecting'

www.nottinghampost.com

A devastated groom who shares the same name as the failed holiday company Thomas Cook has been left "shattered" after his wedding in Rhodes looks unlikely to go ahead.

Eish

 

[Gordon_R]

News media love a good sob-story. From the BBC:

Ruth Morse, from Halesowen, West Midlands, was due to marry her partner in Cyprus on 8 October, but now doubts the wedding will go ahead.

She booked the whole event through Thomas Cook, including the decorations, the cake, wedding venues and a private bar.

And of the 44 guests due to attend, about 25 booked their flights and accommodation through the travel agent.

"At the moment, Thomas Cook have not been in contact, so we are in the dark," Ruth says.

"I know we are protected by Atol, but I'm unsure about the things we bought from third parties through Thomas Cook, like the decorations. They cost me £4,000."

Ruth says she had planned her "dream wedding" for two years. What makes it doubly hard is that much of the money she spent came from family members, including her mother and her late brother Ben, who was murdered in 2017.

"From the grief we had, we pulled ourselves together to arrange our dream day," she says.

"We will rebook the wedding, but I won't do it abroad again because I have lost faith. I feel completely devastated by all of this."

 

[Jopie Fourie]

News media love a good sob-story. From the BBC:

If they start rowing a boat now..... they may just make it in time. No excuses.

 

[The_Librarian]

Well done to Boris for refusing to bail out Thomas Cook. Private companies mustn't think they can rely on the public purse if they fail!

Quick! Let's privatize SAA...

...oh wait...

 

[zippy]

Dominc Raab indicated that the govt will only bale out companies if its in the national interest. Holiday companies dont qualify.

Even the Tories will bale out a company, it its in the national interest. Whatever that means