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A contract is a legally enforceable agreement between two or more parties. When creating or managing a contract, the following components of contract law apply.

  1. A contract is a legally enforceable agreement between two or more parties. When creating or managing a contract, the following components of contract law apply. Match the key component with the correct example.
    1. Termination of contracts

Key component:

  1. Dispute resolution clause
  2. Exclusion clauses
  3. Methods of contractual agreement
  4. Terms and obligations of contract

Key component

Example

C

Is a listed exemption within the contract that identifies any exclusions, such as breaches of the contract. It must be included in the original contract and cannot supersede the law.

E

A contract can be verbal or written and in the form of a modest document to a formal contract constructed by a lawyer.

Outline the rights and responsibilities of each party involved in the contract.

Refers to the dissolution of a contract, usually after an alternative solution cannot be agreed upon. The reasons why a contract can be terminated is included in the contract after both parties are in agreement.

Outlines the nature of the disagreement and what is deemed to have occurred and agrees on the steps that should be taken to resolve the dispute.

  1. What is the role of agreements and contracts in the Tourism, Hospitality and Events (TH&E) industry? Select the three (3) correct answers.

  1. To make sure a supplier cannot provide their product to another company

  1. To outline the obligations of both parties

  1. To formalise an agreement and make it enforceable by law

  1. Provide a record of an agreement and the arrangements agreed upon

  1. Indicate whether the following statements regarding agreements and contracts are true or false.
  1. Agreements should be documented according to organisational requirements

True

False

  1. Before an agreement is formalised, you should obtain approval from appropriate management

True

False

  1. Contracts shouldn't be documented as a verbal contractual agreement can be passed on to new staff verbally, which is the most convenient way to communicate information.

True

False

  1. Legal assistance is only required if the contract is for longer than 4 years.

True

False

  1. A signed contract should be kept in a secure location for future reference.

True

False

  1. An agreement should include signatures from both parties and the details surrounding the contract.

True

False

  1. A contract should be examined closely before signing as it is a legally binding agreement.

True

False

  1. With current technology it is easier to maintain and nurture professional relationships through regular contact. Which of the following are examples of ways you can maintain contact with customers and suppliers? Select the three (3) correct answers.

  1. Social media, such as Facebook

  1. Phone

  1. Fax

  1. Email

  1. Regular contact can be undertaken with customers and suppliers in order to maintain relationships. In the following table, match the type of contact with the correct example.

Types of contact:

  1. Association membership
  2. Cooperative promotions
  3. Industry functions
  4. Informal social occasions

Types of contact

Example

An industry award night is a great way to bring attention to a business. It is a great way to advertise and enhance the business profile.

Can be as simple as visiting the store or supplier to touch base and maintain contact in an informal way.

Can occur when two separate business combine their own promotion in order to support and enhance the other business. For example, a hotel arranging wine tours with a local vineyard.

Includes becoming a member of organisations such as Tourism Accommodation Australia or Australian Hotels Association

  1. Why is it important to maintain regular contact with your customers and suppliers? Select the three (3) correct answers.

  1. To help maintain healthy business relationships

  1. Out of obligation and to keep management happy

  1. To identify opportunities for growth within the business relationship

  1. To ensure you maintain sound business relationships with your customers

  1. According the Local/Queensland Government, the negotiation process includes the following points. Select the three (3) correct answers.

  1. Dominating

  1. Planning

  1. Engaging

  1. Closing

  1. To be an effective negotiator, you should follow the principles of negotiation. Indicate whether the following principles are true or false.
  1. Consult with your colleagues in the planning phase.

True

False

  1. Endeavour to reach an outcome that is considered a win / win for both parties.

True

False

  1. Ask questions to clarify information.

True

False

  1. Only consider what you need, not the other party.

True

False

  1. Only consider options you have researched, don't consider new suggestions.

True

False

  1. Watch for body language from the other party, signalling closing indicators.

True

False

  1. Consider what you will do if you don't reach the desired outcome, such as preparing for a backup plan.

True

False

  1. The right negotiation techniques can help ensure both parties achieve a mutually beneficial outcome. Select the three (3) correct techniques.

  1. Have a thorough understanding of what you want from the other party

  1. Never compromise

  1. Document all the details in writing

  1. Act in a professional manner

  1. A business has both internal and external customers. In the following table, indicate whether the customers are internal or external.
  1. Employees

Internal

External

  1. Suppliers

Internal

External

  1. Supervisors

Internal

External

  1. Management

Internal

External

  1. Clients

Internal

External

  1. Businesses within the TH&E industry have interrelationships with other businesses. Using a travel agent as an example, which of the following are examples of business the agency could have a relationship with? Select the three (3) correct answers.

  1. Airlines, such as Qantas

  1. Tour providers, such as Topdeck

  1. Insurance providers, such as Covermore

  1. Local produce suppliers

  1. A business relies on supplies in order to operate effectively. Which of the following are commonly needed supplies for a restaurant? Select the three (3) correct answers.

  1. Fresh produce

  1. Gardening services

  1. Pest control services

  1. Electricity and water supply

  1. Marketing the business and what it offers is a great way to attract new customers and maintain existing ones. Which of the following are good examples of how to market the business and its services or products? Select the three (3) correct answers.

  1. Establishing relationships with travel agencies and advertising in their agencies

  1. Establishing and maintaining a strong relationship with the local council

  1. Relying on word of mouth from previous customers

  1. Networking within the local community, participating in fundraisers etc.

  1. Professional networks are an important part of successful business operations. Which of the following are examples of professionals you will need to have a relationship with when working within the TH&E industry. Select the three (3) correct answers.

  1. Insurance agent

  1. Accountant

  1. Lawyer

  1. Entertainer

  1. A contract is a legally enforceable agreement between two or more parties. When creating or managing a contract, the following components of contract law apply. Match the key component with the correct example.
    1. Termination of contracts

Key component:

  1. Dispute resolution clause
  2. Exclusion clauses
  3. Methods of contractual agreement
  4. Terms and obligations of contract

Key component

Example

C

Is a listed exemption within the contract that identifies any exclusions, such as breaches of the contract. It must be included in the original contract and cannot supersede the law.

E

A contract can be verbal or written and in the form of a modest document to a formal contract constructed by a lawyer.

Outline the rights and responsibilities of each party involved in the contract.

Refers to the dissolution of a contract, usually after an alternative solution cannot be agreed upon. The reasons why a contract can be terminated is included in the contract after both parties are in agreement.

Outlines the nature of the disagreement and what is deemed to have occurred and agrees on the steps that should be taken to resolve the dispute.

  1. What is the role of agreements and contracts in the Tourism, Hospitality and Events (TH&E) industry? Select the three (3) correct answers.

  1. To make sure a supplier cannot provide their product to another company

  1. To outline the obligations of both parties

  1. To formalise an agreement and make it enforceable by law

  1. Provide a record of an agreement and the arrangements agreed upon

  1. Indicate whether the following statements regarding agreements and contracts are true or false.
  1. Agreements should be documented according to organisational requirements

True

False

  1. Before an agreement is formalised, you should obtain approval from appropriate management

True

False

  1. Contracts shouldn't be documented as a verbal contractual agreement can be passed on to new staff verbally, which is the most convenient way to communicate information.

True

False

  1. Legal assistance is only required if the contract is for longer than 4 years.

True

False

  1. A signed contract should be kept in a secure location for future reference.

True

False

  1. An agreement should include signatures from both parties and the details surrounding the contract.

True

False

  1. A contract should be examined closely before signing as it is a legally binding agreement.

True

False

  1. With current technology it is easier to maintain and nurture professional relationships through regular contact. Which of the following are examples of ways you can maintain contact with customers and suppliers? Select the three (3) correct answers.

  1. Social media, such as Facebook

  1. Phone

  1. Fax

  1. Email

  1. Regular contact can be undertaken with customers and suppliers in order to maintain relationships. In the following table, match the type of contact with the correct example.

Types of contact:

  1. Association membership
  2. Cooperative promotions
  3. Industry functions
  4. Informal social occasions

Types of contact

Example

An industry award night is a great way to bring attention to a business. It is a great way to advertise and enhance the business profile.

Can be as simple as visiting the store or supplier to touch base and maintain contact in an informal way.

Can occur when two separate business combine their own promotion in order to support and enhance the other business. For example, a hotel arranging wine tours with a local vineyard.

Includes becoming a member of organisations such as Tourism Accommodation Australia or Australian Hotels Association

  1. Why is it important to maintain regular contact with your customers and suppliers? Select the three (3) correct answers.

  1. To help maintain healthy business relationships

  1. Out of obligation and to keep management happy

  1. To identify opportunities for growth within the business relationship

  1. To ensure you maintain sound business relationships with your customers

  1. According the Local/Queensland Government, the negotiation process includes the following points. Select the three (3) correct answers.

  1. Dominating

  1. Planning

  1. Engaging

  1. Closing

  1. To be an effective negotiator, you should follow the principles of negotiation. Indicate whether the following principles are true or false.
  1. Consult with your colleagues in the planning phase.

True

False

  1. Endeavour to reach an outcome that is considered a win / win for both parties.

True

False

  1. Ask questions to clarify information.

True

False

  1. Only consider what you need, not the other party.

True

False

  1. Only consider options you have researched, don't consider new suggestions.

True

False

  1. Watch for body language from the other party, signalling closing indicators.

True

False

  1. Consider what you will do if you don't reach the desired outcome, such as preparing for a backup plan.

True

False

  1. The right negotiation techniques can help ensure both parties achieve a mutually beneficial outcome. Select the three (3) correct techniques.

  1. Have a thorough understanding of what you want from the other party

  1. Never compromise

  1. Document all the details in writing

  1. Act in a professional manner

  1. A business has both internal and external customers. In the following table, indicate whether the customers are internal or external.
  1. Employees

Internal

External

  1. Suppliers

Internal

External

  1. Supervisors

Internal

External

  1. Management

Internal

External

  1. Clients

Internal

External

  1. Businesses within the TH&E industry have interrelationships with other businesses. Using a travel agent as an example, which of the following are examples of business the agency could have a relationship with? Select the three (3) correct answers.

  1. Airlines, such as Qantas

  1. Tour providers, such as Topdeck

  1. Insurance providers, such as Covermore

  1. Local produce suppliers

  1. A business relies on supplies in order to operate effectively. Which of the following are commonly needed supplies for a restaurant? Select the three (3) correct answers.

  1. Fresh produce

  1. Gardening services

  1. Pest control services

  1. Electricity and water supply

  1. Marketing the business and what it offers is a great way to attract new customers and maintain existing ones. Which of the following are good examples of how to market the business and its services or products? Select the three (3) correct answers.

  1. Establishing relationships with travel agencies and advertising in their agencies

  1. Establishing and maintaining a strong relationship with the local council

  1. Relying on word of mouth from previous customers

  1. Networking within the local community, participating in fundraisers etc.

  1. Professional networks are an important part of successful business operations. Which of the following are examples of professionals you will need to have a relationship with when working within the TH&E industry. Select the three (3) correct answers.

  1. Insurance agent

  1. Accountant

  1. Lawyer

  1. Entertainer

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