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Lufthansa Case Study International Management

776 Words4 Pages

This next part of the presentation focuses on how Lufthansa developed their management and service culture to fulfill the goal of company’s globalization.

The theory of global marketing refers coordinating Lufthansa’s marketing activities across national boundaries to satisfy the expectation of customer better than competitors. Back to 1996, statistics from Appendix 3 shows that the top management of Lufthansa was all Germans with two of them including Chairman Ceo did not have any international experiences. It was obviously a huge obstacle. In order to plan and implement a suitable international strategy, it was necessary for managers to become “global”.

Because the definition of “global manager” remains unclear, there were different ideas …show more content…

Lufthansa had to deal with the enormous finance investment in this plan together with decreasing cost strategy. For this reason, it might not essential to invest in less related-global subsidiaries. Another concern was the communication in the organization. The limited acceptance of English in the airline was also considered as a problem of globalization. Furthermore, a majority of managers were hesitated to work abroad because they might get forgotten and reduce the opportunities in the promotion after coming back.
To solve these problems, Lufthansa had first got an answer to the question whether they should globalize all management positions or just those who working for country positions.

Moving to the next part, we will discuss one of the most significant aspects, which contribute the success of the strategy. It concentrates on the development of a service culture to achieve international customer’s …show more content…

According to the Appendix 4, there are 15 parameters for quality measurement. Those standards were mainly based on technical issues like seats, telephone, maintenance rather than building the good relationship with the customer. There was only one in concerned with friendly and helpful staff. As a consequence, through customer’s reviews, it was said that the staffs lacked friendliness and flexibility in the specific situation. Theory defined that companies must be customer-centered to be successful or just survive among competitors. Therefore, Lufthansa had put effort to develop a more customer focused services culture. Becoming a partner with other airline required Lufthansa to meet the different expectation of the global customer. It means the airline has to deal with cultural issues to gain customer’s

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