A business case for investing in rail
A Railtrack case study

Page 1: Introduction

Today, there is growing concern about the number of cars and lorries on the UK’s roads, the amount of time wasted in traffic jams, and the dangers of traffic-related pollution to people’s health and the environment. Britain’s railways provide the opportunity to solve some of the transport and distribution problems individuals and organisations currently face. This case study is...
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Page 2: Stakeholders and infrastructure

This is an important starting point. Stakeholder groups are collections of individuals and organisations that are involved in and influenced by the actions of an organisation. Typical stakeholders in private sector organisations include: shareholders (people who own shares in Railtrack) employees (over 1,100 work for Railtrack) customers (e.g. the passenger train operating companies and freight...
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Page 3: The market

In order to invest intelligently in rail provision to meet increasing demand, it is necessary to understand how demand will change over time and the factors that will contribute to this change. Railtrack is therefore developing a number of models which will enable the organisation to understand both the overall level of demand for transport services and rail’s potential within that...
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Page 4: Attracting customers

Railtrack’s income comes principally from access charges for using its network and facilities, such as stations, depots and other properties, from the 25 new train operating companies, as well as the freight operators who have leases for the occupation and use of freight terminals, sidings and yards. Railtrack has recently invested in track, stations and facilities in order to attract new...
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Page 5: Environment and safety issues

Railway is one of the most sustainable forms of transport available in the UK today. It is generally accepted as being more 'environmentally friendly' than most other forms of transport. For example, rail travel is more energy efficient, creates lower noise levels, fewer emissions and less congestion. The environment The environmental impact of new investment projects is a key area requiring...
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Page 6: Conclusion

It is essential for business organisations to establish the key points of difference between what they have to offer and what competitors are offering. In the case of the railways, there are a number of possibilities including: our railway heritage the comfort of rail travel the speed of rail travel safety sustainability avoidance of stress. These and other factors need to be weighed up in...
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