Impact of Guest Satisfaction on Business Profitability: A Case Study on Jumeirah Hotel London
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AI Summary
This research focuses on analyzing the impact of guest satisfaction on the profitability of Jumeirah Hotel London. It explores the concept of guest satisfaction, evaluates strategies to improve guest satisfaction, examines the relationship between guest satisfaction and profitability, and provides recommendations for enhancing guest satisfaction. The research methodology includes quantitative research design and data collection through a questionnaire. The findings suggest that guest satisfaction plays a crucial role in the profitability of the hotel.
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HOSPITALITY
MANAGEMENT
CONSULTANCY
PROJECT
MANAGEMENT
CONSULTANCY
PROJECT
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Table of Contents
INTRODUCTION ..........................................................................................................................3
Research Title..............................................................................................................................3
Objectives of research.................................................................................................................3
Research hypothesis....................................................................................................................3
Literature Review.............................................................................................................................3
Research Methodology....................................................................................................................4
CONCLUSION ...............................................................................................................................6
REFERNCES:..................................................................................................................................7
Books and Journals:....................................................................................................................7
INTRODUCTION ..........................................................................................................................3
Research Title..............................................................................................................................3
Objectives of research.................................................................................................................3
Research hypothesis....................................................................................................................3
Literature Review.............................................................................................................................3
Research Methodology....................................................................................................................4
CONCLUSION ...............................................................................................................................6
REFERNCES:..................................................................................................................................7
Books and Journals:....................................................................................................................7
INTRODUCTION
Hospitality industry plays an important role in growth of economy. It includes various
services such as hotels, bars and restaurants (Sarkar and George, 2019). The service industry
includes lodging, theme parks, event planning, food and drink service and transportation. This
research is based on Jumeirah Hotel London. The Jumeirah Group was established in 1997. It
has operations in various parts of world. The Hotel has won various award for international
travel and tourism awards.
Research Title
“To analyse the impact of guest satisfaction over the profitability of business. A case
study on Jumeirah Hotel London.”
Objectives of research
To develop understanding relating to concept of guest satisfaction and its significance.
To critically evaluate different strategies through which guest satisfaction can be
improved by Jumeirah Hotel London.
To examine the relationship between guest satisfaction and the profitability of Jumeirah
Hotel London.
To recommend some of the strategies with which Jumeirah Hotel London can improve
guest satisfaction.
Research hypothesis
H0 There is no significant relationship between guest satisfaction and profitability of business.
H1 There is significant relationship present among guest satisfaction and business's profitability.
Literature Review
To develop understanding relating to concept of guest satisfaction and its significance
According to Nunkoo, 2018, Guest satisfaction can be defined as the level of happiness
among guest. It is study related to the customers of the organisation and how happy they are with
the products and services offered by the organisation. As every business focus to satisfy the
needs and wants of its customers. It is important to monitor whether they are satisfied with the
services of the organisation. It plays a important role in success of the organisation as if the
Hospitality industry plays an important role in growth of economy. It includes various
services such as hotels, bars and restaurants (Sarkar and George, 2019). The service industry
includes lodging, theme parks, event planning, food and drink service and transportation. This
research is based on Jumeirah Hotel London. The Jumeirah Group was established in 1997. It
has operations in various parts of world. The Hotel has won various award for international
travel and tourism awards.
Research Title
“To analyse the impact of guest satisfaction over the profitability of business. A case
study on Jumeirah Hotel London.”
Objectives of research
To develop understanding relating to concept of guest satisfaction and its significance.
To critically evaluate different strategies through which guest satisfaction can be
improved by Jumeirah Hotel London.
To examine the relationship between guest satisfaction and the profitability of Jumeirah
Hotel London.
To recommend some of the strategies with which Jumeirah Hotel London can improve
guest satisfaction.
Research hypothesis
H0 There is no significant relationship between guest satisfaction and profitability of business.
H1 There is significant relationship present among guest satisfaction and business's profitability.
Literature Review
To develop understanding relating to concept of guest satisfaction and its significance
According to Nunkoo, 2018, Guest satisfaction can be defined as the level of happiness
among guest. It is study related to the customers of the organisation and how happy they are with
the products and services offered by the organisation. As every business focus to satisfy the
needs and wants of its customers. It is important to monitor whether they are satisfied with the
services of the organisation. It plays a important role in success of the organisation as if the
customers are satisfied then they are able to retain them in the organisation and it helps to
enhance the profitability position of the company.
To critically evaluate different strategies through which guest satisfaction can be improved
by Jumeirah Hotel London.
It is vital for an organisation to serve the customers and satisfy them. It is seen that
Jumeirah Hotel focuses on improving the satisfaction level of customers (Merigó and et. al.,
2019). For that the Hotel formulates various strategies like they continuously take feedback from
the guest and take actions based on the same. It is important to solve the problems that are faced
by the guest and solving the queries immediately help to satisfy the customers. They focus on
providing quality services to all the customers and that enhances the level of satisfaction among
them.
To examine the relationship between guest satisfaction and the profitability of Jumeirah
Hotel London
As per the point of view of Ruhanen and Cooper, 2018, it is seen that the organisation
that are able to satisfy their guest are more profitable. It can be said that the customers that are
satisfied are loyal towards the organisation. As if the customer is not satisfied with service
provided by the Hotel that will lead to loosing that customers. In regard to Jumeirah Hotel
London they take care of customer satisfaction and formulate strategies to fulfil their needs and
wants. This helps them satisfy the guests of Jumeirah Hotel London.
To recommend some of the strategies with which Jumeirah Hotel London can improve
guest satisfaction.
According to Alferaih, 2018, to improve the satisfaction level of customers Jumeirah
Hotel London formulates various strategies. There are various more strategies that can be
adopted by the Hotel to enhance the satisfaction among the guest. They can provide loyalty
points to the guest that make repetitive visit. It will help to give them discounts and satisfy.
Another important point is they should also provide training and development to all the
employees so that they are able to deal with customers need and wants effectively and satisfy
them. All these strategies will help Jumeirah Hotel to improve the guest satisfaction.
Research Methodology
It includes the strategies, techniques and procedure that help to identify, collect, select,
analyse and interpret the data (Carlisle, Ivanov and Dijkmans, 2021). It is important that all the
enhance the profitability position of the company.
To critically evaluate different strategies through which guest satisfaction can be improved
by Jumeirah Hotel London.
It is vital for an organisation to serve the customers and satisfy them. It is seen that
Jumeirah Hotel focuses on improving the satisfaction level of customers (Merigó and et. al.,
2019). For that the Hotel formulates various strategies like they continuously take feedback from
the guest and take actions based on the same. It is important to solve the problems that are faced
by the guest and solving the queries immediately help to satisfy the customers. They focus on
providing quality services to all the customers and that enhances the level of satisfaction among
them.
To examine the relationship between guest satisfaction and the profitability of Jumeirah
Hotel London
As per the point of view of Ruhanen and Cooper, 2018, it is seen that the organisation
that are able to satisfy their guest are more profitable. It can be said that the customers that are
satisfied are loyal towards the organisation. As if the customer is not satisfied with service
provided by the Hotel that will lead to loosing that customers. In regard to Jumeirah Hotel
London they take care of customer satisfaction and formulate strategies to fulfil their needs and
wants. This helps them satisfy the guests of Jumeirah Hotel London.
To recommend some of the strategies with which Jumeirah Hotel London can improve
guest satisfaction.
According to Alferaih, 2018, to improve the satisfaction level of customers Jumeirah
Hotel London formulates various strategies. There are various more strategies that can be
adopted by the Hotel to enhance the satisfaction among the guest. They can provide loyalty
points to the guest that make repetitive visit. It will help to give them discounts and satisfy.
Another important point is they should also provide training and development to all the
employees so that they are able to deal with customers need and wants effectively and satisfy
them. All these strategies will help Jumeirah Hotel to improve the guest satisfaction.
Research Methodology
It includes the strategies, techniques and procedure that help to identify, collect, select,
analyse and interpret the data (Carlisle, Ivanov and Dijkmans, 2021). It is important that all the
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steps are followed so that research is concluded in an effective way. It is vital that the research is
conducted an concluded within the decided time frame. It is vital that the objectives should be
taken care while completing the research.
Research Design: There are two methods of collecting data that is qualitative and
quantitative. The qualitative method of research. In regard to quantitative research statistical,
numerical and mathematical data is used to find out the results of the research. It is seen that the
data is more reliable and accurate when the it is collected through quantitative research. The
analysis is done on the basis of graphs and figures (King, 2017). On the other side qualitative
method is the study related to open ended conversational communication. There is no numeric
data involved and the research is based on the thinking of investigator. The conclusion of the
research is based on the investigator. In this research quantitative method of research design is
used to find answer to various research question by formulating graphs and pie charts.
Data collection methods: The two widely used methods of data collection are primary
and secondary. Primary method includes collecting first hand data and investigating the
information by questionnaire, interview or survey (MUSYOKI, BOR and TANUI, 2017). It is
more time taking but reliable way of collecting the data. Secondary research is another method in
which second hand data is used. The already published articles, books, journals, publications are
refereed to analyse and collect the data. In this research primary method is used as it is more
authenticated and reliable to collect data from primary source. For this purpose questionnaire is
formulated.
Sampling: It is a process of selecting some individuals out of the population. It is not
possible to take view point of all the people that are working in the organisation. It is important
that all some sample are selected and the questionnaire is floated (Kim, Song and Youn, 2020).
For this research random sampling is used under which random people are selected as sample. In
this case 30 customersof Jumeirah Hotel London are selected as sample size.
Questionnaire
Very good Good Average Poor Very Poor
Entertainment
at the hotel
5 10 10 3 2
Offering free 6 9 6 5 4
conducted an concluded within the decided time frame. It is vital that the objectives should be
taken care while completing the research.
Research Design: There are two methods of collecting data that is qualitative and
quantitative. The qualitative method of research. In regard to quantitative research statistical,
numerical and mathematical data is used to find out the results of the research. It is seen that the
data is more reliable and accurate when the it is collected through quantitative research. The
analysis is done on the basis of graphs and figures (King, 2017). On the other side qualitative
method is the study related to open ended conversational communication. There is no numeric
data involved and the research is based on the thinking of investigator. The conclusion of the
research is based on the investigator. In this research quantitative method of research design is
used to find answer to various research question by formulating graphs and pie charts.
Data collection methods: The two widely used methods of data collection are primary
and secondary. Primary method includes collecting first hand data and investigating the
information by questionnaire, interview or survey (MUSYOKI, BOR and TANUI, 2017). It is
more time taking but reliable way of collecting the data. Secondary research is another method in
which second hand data is used. The already published articles, books, journals, publications are
refereed to analyse and collect the data. In this research primary method is used as it is more
authenticated and reliable to collect data from primary source. For this purpose questionnaire is
formulated.
Sampling: It is a process of selecting some individuals out of the population. It is not
possible to take view point of all the people that are working in the organisation. It is important
that all some sample are selected and the questionnaire is floated (Kim, Song and Youn, 2020).
For this research random sampling is used under which random people are selected as sample. In
this case 30 customersof Jumeirah Hotel London are selected as sample size.
Questionnaire
Very good Good Average Poor Very Poor
Entertainment
at the hotel
5 10 10 3 2
Offering free 6 9 6 5 4
services and
special offer
Friendly
attitude,
honestly and
responsiveness
of the staff
10 8 7 3 2
The level of
technology
used in the
hotel
6 10 8 3 3
Status of the
Hotel website
10 8 7 9 6
Maintenance
and
Cleanliness of
Rooms
10 10 5 3 2
Personal
attitude of
customers
7 7 8 4 4
Speed and
quality of the
services
10 8 7 4 4
The quality of
the food
12 10 6 1 1
Quality for the
price paid
10 12 5 2 1
In general, 10 12 6 1 1
special offer
Friendly
attitude,
honestly and
responsiveness
of the staff
10 8 7 3 2
The level of
technology
used in the
hotel
6 10 8 3 3
Status of the
Hotel website
10 8 7 9 6
Maintenance
and
Cleanliness of
Rooms
10 10 5 3 2
Personal
attitude of
customers
7 7 8 4 4
Speed and
quality of the
services
10 8 7 4 4
The quality of
the food
12 10 6 1 1
Quality for the
price paid
10 12 5 2 1
In general, 10 12 6 1 1
your rating for
the hotel
Chart Title
Very good Good Average Poor Very Poor
the hotel
Chart Title
Very good Good Average Poor Very Poor
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Entertainment at the hotel
It can be analysed that there is good entertainment facilities provided in the hotel. As 5
out of 30 customers said that there very good entertainment at the hotel. 10 out of 30 customers
said that the entertainment is good at the hotel. The next 3 customers said that the entertainme4nt
is poor at the hotel. 2 said there is very poor entertainment at the hotel.
Offering free services and special offer
It can be determined that the 6 out of 30 customers said that the Hotel gives good free
services and special offer. It is seen that 9 out of 30 customers said that there is good free service
that is offered by the Hotel. 6 customers gave the response as average. The 5 out of 30 customers
said that there is poor service offered. The rest 2 customers said that there is very poor service
that is offered by the company.
Friendly attitude, honestly and responsiveness of the staff
The attitude of customers is friendly and are honest is said by 10 out of 30 employees. 8
out of 30 customers said that the attitude of customers is good. 7 out of 30 customers gave
average response. 3 out of 30 customers said that there attitude is poor and 2 out of them said
that the attitude is very poor.
The level of technology used in the hotel
It can be determined that 6 customers out of 30 say that the Hotel uses very good
technology. 10 customers said that the level of technology is good. 8 customers said that the
technology used by Hotel is average. 3 customers said that the technology is poor and the rest 3
said that the technology is very poor.
Status of the Hotel website
10 out of 30 customers said that the website of website is very good. 8 out of 30
customers said that the website is good. 7 customers said that the website is poor. 9 out of 30
customers said that the website of hotel is poor and rest 6 said that the website is poor.
Maintenance and Cleanliness of Rooms
As per the graph it can be analysed that 10 customers said that the rooms are clean. 10
out of 30 said that the maintenance of rooms is good. 5 said that the maintenance is good. 3
customers said that rooms are not clean. The rest 3 customers said that there is very poor
cleanliness of rooms.
Personal attitude of customers
It can be analysed that there is good entertainment facilities provided in the hotel. As 5
out of 30 customers said that there very good entertainment at the hotel. 10 out of 30 customers
said that the entertainment is good at the hotel. The next 3 customers said that the entertainme4nt
is poor at the hotel. 2 said there is very poor entertainment at the hotel.
Offering free services and special offer
It can be determined that the 6 out of 30 customers said that the Hotel gives good free
services and special offer. It is seen that 9 out of 30 customers said that there is good free service
that is offered by the Hotel. 6 customers gave the response as average. The 5 out of 30 customers
said that there is poor service offered. The rest 2 customers said that there is very poor service
that is offered by the company.
Friendly attitude, honestly and responsiveness of the staff
The attitude of customers is friendly and are honest is said by 10 out of 30 employees. 8
out of 30 customers said that the attitude of customers is good. 7 out of 30 customers gave
average response. 3 out of 30 customers said that there attitude is poor and 2 out of them said
that the attitude is very poor.
The level of technology used in the hotel
It can be determined that 6 customers out of 30 say that the Hotel uses very good
technology. 10 customers said that the level of technology is good. 8 customers said that the
technology used by Hotel is average. 3 customers said that the technology is poor and the rest 3
said that the technology is very poor.
Status of the Hotel website
10 out of 30 customers said that the website of website is very good. 8 out of 30
customers said that the website is good. 7 customers said that the website is poor. 9 out of 30
customers said that the website of hotel is poor and rest 6 said that the website is poor.
Maintenance and Cleanliness of Rooms
As per the graph it can be analysed that 10 customers said that the rooms are clean. 10
out of 30 said that the maintenance of rooms is good. 5 said that the maintenance is good. 3
customers said that rooms are not clean. The rest 3 customers said that there is very poor
cleanliness of rooms.
Personal attitude of customers
7 out of 30 customers that the attitude of customers is very good. 7 customers said that the
personal attitude of guests is good. 8 out of 30 customers gave average attitude. 4 customers said
that the attitude of customers is poor. Rest 4 customers said that the attitude of customers is very
poor.
Speed and quality of the services
It is determined that 10 out of 30 customers. 8 out of 30 customers said that the speed and
quality of services is good. 7 customers said that the service is average. 4 out of 30 customers
said that the quality and speed of customers is poor. 4 out of 30 customers said that the services
are very poor.
The quality of the food
12 out of 30 customers are of the view that the Hotel provides very good food quality. 10
out of 30 customers said that the quality of food is good. 6 customers said that the Hotel provides
average quality food. Only 1 out of 30 employee said the quality of food is poor and 1 out of 30
said that it is very poor.
Quality for the price paid
10 out of 30 customers of the Hotel said that they get very good quality food for the price
they pay. 12 said that the they get good quality. 5 out of 30 customers say that the get average
quality of food for the price paid. 2 said it as poor and 1 said it is very poor.
2.What can be improved at Hotel?
Should start treating the guest as VIP. As the customers are the one that are important
part of the organisation.
They should provide customised customer services (Ji and King, 2018). As the customers
feel more satisfied when they are provided the option of customised services.
They should take care of feedback of customers and take actions as early as possible.
This helps to satisfy the needs and wants of customers effectively.
3. How many stars is the Hotel?
One Star
Two Stars
Three Stars
Four Stars
Five Stars
personal attitude of guests is good. 8 out of 30 customers gave average attitude. 4 customers said
that the attitude of customers is poor. Rest 4 customers said that the attitude of customers is very
poor.
Speed and quality of the services
It is determined that 10 out of 30 customers. 8 out of 30 customers said that the speed and
quality of services is good. 7 customers said that the service is average. 4 out of 30 customers
said that the quality and speed of customers is poor. 4 out of 30 customers said that the services
are very poor.
The quality of the food
12 out of 30 customers are of the view that the Hotel provides very good food quality. 10
out of 30 customers said that the quality of food is good. 6 customers said that the Hotel provides
average quality food. Only 1 out of 30 employee said the quality of food is poor and 1 out of 30
said that it is very poor.
Quality for the price paid
10 out of 30 customers of the Hotel said that they get very good quality food for the price
they pay. 12 said that the they get good quality. 5 out of 30 customers say that the get average
quality of food for the price paid. 2 said it as poor and 1 said it is very poor.
2.What can be improved at Hotel?
Should start treating the guest as VIP. As the customers are the one that are important
part of the organisation.
They should provide customised customer services (Ji and King, 2018). As the customers
feel more satisfied when they are provided the option of customised services.
They should take care of feedback of customers and take actions as early as possible.
This helps to satisfy the needs and wants of customers effectively.
3. How many stars is the Hotel?
One Star
Two Stars
Three Stars
Four Stars
Five Stars
4. Number of hotel Employees
Small up to 10 employees
Medium up to 1000 employees
Large over 1000 employees
CONCLUSION
From the above research it can be concluded that it is important for an organisation to to
take care of customer satisfaction as that impacts the profitability position of the company. It is
vital for an organisation to formulate strategies that help them to retain customers and satisfy
them by fulfilling their needs and wants. There are various strategies that are adopted by the
company to work according to the needs and wants of customers. As the guest are most
important part of the Hotel. In this regard various recommendations are there that help the
company to enhance the customers satisfaction by serving them effectively and that will effect
the profitability position of the Hotel.
Recommendations
It can be recommended that the Hotel should:
Start loyalty programme and should provide loyalty points to the customers so that they
will visit repetitively.
The employees should be given training and development so they can provide good
service to the customers in such a way that the customers are satisfied.
They should also focus on providing quality services to all the customers as it will
increase there satisfaction.
Small up to 10 employees
Medium up to 1000 employees
Large over 1000 employees
CONCLUSION
From the above research it can be concluded that it is important for an organisation to to
take care of customer satisfaction as that impacts the profitability position of the company. It is
vital for an organisation to formulate strategies that help them to retain customers and satisfy
them by fulfilling their needs and wants. There are various strategies that are adopted by the
company to work according to the needs and wants of customers. As the guest are most
important part of the Hotel. In this regard various recommendations are there that help the
company to enhance the customers satisfaction by serving them effectively and that will effect
the profitability position of the Hotel.
Recommendations
It can be recommended that the Hotel should:
Start loyalty programme and should provide loyalty points to the customers so that they
will visit repetitively.
The employees should be given training and development so they can provide good
service to the customers in such a way that the customers are satisfied.
They should also focus on providing quality services to all the customers as it will
increase there satisfaction.
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REFERNCES:
Books and Journals:
Alferaih, A., 2018. Advances in Talent Management Research: A Review of Extant
Literature. Emerging Markets from a Multidisciplinary Perspective, pp.359-379.
Carlisle, S., Ivanov, S. and Dijkmans, C., 2021. The digital skills divide: evidence from the
European tourism industry. Journal of Tourism Futures.
Ji, M. and King, B., 2018. Explaining the embodied hospitality experience with
ZMET. International Journal of Contemporary Hospitality Management.
Kim, J. H., Song, H. and Youn, H., 2020. The chain of effects from authenticity cues to purchase
intention: The role of emotions and restaurant image. International Journal of
Hospitality Management, 85, p.102354.
King, C., 2017. Brand management–standing out from the crowd. International Journal of
Contemporary Hospitality Management.
Merigó, J. M., and et. al., 2019. Twenty years of Tourism Geographies: a bibliometric
overview. Tourism Geographies, 21(5), pp.881-910.
MUSYOKI, J., BOR, T. and TANUI, T. A., 2017. EFFECTS OF KNOWLEDGE
MANAGEMENT FACILITATORS AND MECHANISMS ON ORGANIZATIONAL
PERFORMANCE IN THE HOSPITALITY INDUSTRY. CLEAR International Journal
of Research in Commerce & Management, 8(11).
Nunkoo, R., 2018. The state of research methods in tourism and hospitality. In Handbook of
research methods for tourism and hospitality management. Edward Elgar Publishing.
Ruhanen, L. and Cooper, C., 2018. Tourism research and knowledge transfer. In Handbook of
Research Methods for Tourism and Hospitality Management. Edward Elgar Publishing.
Sarkar, S. K. and George, B., 2019. Patterns of tourism and Hospitality education in India and
Malaysia: A critical Reflection. In Tourism education and Asia (pp. 227-242). Springer,
Singapore.
Books and Journals:
Alferaih, A., 2018. Advances in Talent Management Research: A Review of Extant
Literature. Emerging Markets from a Multidisciplinary Perspective, pp.359-379.
Carlisle, S., Ivanov, S. and Dijkmans, C., 2021. The digital skills divide: evidence from the
European tourism industry. Journal of Tourism Futures.
Ji, M. and King, B., 2018. Explaining the embodied hospitality experience with
ZMET. International Journal of Contemporary Hospitality Management.
Kim, J. H., Song, H. and Youn, H., 2020. The chain of effects from authenticity cues to purchase
intention: The role of emotions and restaurant image. International Journal of
Hospitality Management, 85, p.102354.
King, C., 2017. Brand management–standing out from the crowd. International Journal of
Contemporary Hospitality Management.
Merigó, J. M., and et. al., 2019. Twenty years of Tourism Geographies: a bibliometric
overview. Tourism Geographies, 21(5), pp.881-910.
MUSYOKI, J., BOR, T. and TANUI, T. A., 2017. EFFECTS OF KNOWLEDGE
MANAGEMENT FACILITATORS AND MECHANISMS ON ORGANIZATIONAL
PERFORMANCE IN THE HOSPITALITY INDUSTRY. CLEAR International Journal
of Research in Commerce & Management, 8(11).
Nunkoo, R., 2018. The state of research methods in tourism and hospitality. In Handbook of
research methods for tourism and hospitality management. Edward Elgar Publishing.
Ruhanen, L. and Cooper, C., 2018. Tourism research and knowledge transfer. In Handbook of
Research Methods for Tourism and Hospitality Management. Edward Elgar Publishing.
Sarkar, S. K. and George, B., 2019. Patterns of tourism and Hospitality education in India and
Malaysia: A critical Reflection. In Tourism education and Asia (pp. 227-242). Springer,
Singapore.
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