Cathay Pacific Airways Limited (CX) was established in 1946 and deeply committed to its home base in Hong Kong. CX was continued to carry out substantial investments to develop Hong Kong’s aviation industry and enhance Hong Kong’s position as a regional airline hub. In addition to foreign investment scope also includes airline catering, ground handling service companies and aircraft maintenance, as well as the Hong Kong International Airport in corporate headquarters. CX is based in Hong Kong and international airlines registered in Hong Kong, provides scheduled passenger and cargo services to more than 110 destinations worldwide. In Hong Kong , CX have over 20,000 employees and it’s two major shareholders Swire Pacific Limited and Air China. CX listed on The Hong Kong Stock Exchange, such as CX itself. Cathay Pacific is also a founding member of the one world global airline alliance, combined network services more than 700 destinations worldwide. …show more content…
CX have developed include Asia Mile loyalty programme, tested and implemented some form of customer loyalty-building strategy. In the efforts establish the same fundamental desire. It was based on the desire to keep customers longer relationship, thus increasing the overall sales profits and brand image. In this research it will look at the factors best related with success in customer loyalty of Cathay Pacific Airways Limited (CX) - the brand image, the Asia Miles loyalty programme, service quality and customer satisfaction. In the services airline industry, the customer loyalty is very important to develop and maintenance of company competitive advantages. The economic advantages were want to retain loyalty customer rather than to recruit new ones because retaining a customer the cost lower than recruiting new one. The consciousness of customer loyalty has increased the attention of industry researchers towards its studies (Ndubisi,
By truly caring about customers’ needs, creative reward programs, personalizing interactions, marketers strive for a complete and engaging human experience (Kirk & McEuen, 2015). It became also clear that airlines use different approaches how to structure their frequent-flyer program, Lufthansa uses mostly Mercenary Loyalty and Southwest is focusing on True Loyalty. These findings are very valuable when structuring a new reward program, as different approaches target different customer groups and lay a completely different focus on how to achieve loyalty to the
Case Analysis #1 – “Southwest Airlines: Is It Still the King of Cheap Flights” 1. Answer the questions at the end of the case. 1. Airline customers can be segmented in a variety of ways. Two of these include by purpose of travel and their destinations.
In the beginning, Royal Caribbean Cruises Ltd. has been an innovative brand. The company started in the year 1968. Royal Caribbean Cruises Ltd. is a global cruise line company that owns and operates three global brands: Royal Caribbean International, Celebrity Cruises, and Azamara Club Cruises. Together, these brands operate a combined total of 49 ships with an additional 13 on order. (Royal Caribbean Cruises, 2018).
Lufthansa Lufthansa uses transnational strategy to gain global presence and recognition (Franz 2014). This strategy has been achieved by creating alliances and partnerships with other renowned carriers globally, especially in the European region. It is the most fundamental strategy Lufthansa leveraged on, in order to maintain core leadership in the airline industry not only in the European markets, but worldwide as well. As one of the founding members of Star Alliance, Lufthansa is able to offer customers across the globe a more convenient travel experience (Franz 2014).
lacks solidified connections with firms in emerging markets. For instance, after entering the Chinese market, the firm has not been successful in gaining market share, but instead started losing market share due to many local companies grabbing sales, such as Sany Heavy - the principal rival of CAT in China, hence only contributing 3% to CAT’s worldwide sales. Due to CAT’s objectives, they could be less competitive with prices, as locally produced goods — those by Sany Heavy or Siwei for instance — are less costly and hence cheaper for customers, whilst CAT persist on delivering premium products. Thus, the lack of connections or partnerships and alliances with local companies make it more difficult for CAT to successfully earn revenue. In the United States, CAT is reliant on the real estate housing market to ensure revenues.
Shanghai Stock Exchange and Shenzhen Stock Exchange are the two mainland China
Hong Kong Dragon Air is Hong Kong-based international airline, belonging to of the Cathay Pacific Group. The airline was established in 1985, and operates a fleet of narrow-body A320s and A321s, which were both powered by V2500 engines manufactured by International Aero Engines AG (“IAE”) for both passenger and cargo service to destinations to destinations across the Asia-Pacific region, and China. Their vision is to be the World’s best regional airline serving China and beyond. Their missions; places emphasis on safety and operational excellence with customer focus. The airline seeks to embrace innovation by implementing ideas that improve their business.
Executive Summary JetBlue Airways is a company that applies innovative technologies to offer high quality travel services at a lower cost (Shrivastava, 2012). A SWOT analysis of JetBlue airlines shows that despite the numerous opportunities and strengths it has, it is exposed to threats and weaknesses that pose challenges in its operations. The threats include issues like strong competition from other airlines and the volatility of the fuel prices. JetBlue Airlines is relatively new to the market when compared to its major competitors such as the Southwest and Delta Airlines. Most of its strategies have worked to its benefit.
Qatar Airways Qatar Airways are its aggressive growth plan backed by the state that includes the construction and development of the new Doha international airport, which will include the world's largest aircrafts' hangers to be used for maintenance of Qatar Airways. Singapore Airlines Success factors of Singapore Airlines are: young and efficient fleets, educated staff, top ranked travel gateway and its low cost airlines known as "Tiger Airways", plus it's a membership of star alliance airline networks American Airlines Success factors of American Airlines are: largest airline in the world in terms of the total passengers transported, highest number of aircrafts, first to launch the loyalty program "frequent flyers". PEST Analysis Political factors The airline industry is affected by political situations, namely wars and terrorism.
(Jacoby, 1971; Jarvis & Wilcox, 1976). Dick and Basu (1994) propose that customer will be loyalty to the brand is the result of psychological processes and has behavioral manifestations. Therefore it should incorporate both attitudinal and behavioral. Satisfaction is recognized as an important element for loyalty in both the consumers and business marketing. Satisfaction with previous purchase experiences plays an important role in determining the future purchase behaviors particularly call as an effort-minimization strategy (Jones and Suh, 2000: Pritchard et al, 1999).
> Founded in 1941 and based in Pasay City, The Philippine Airlines is the country 's ultimate flag carrier and oldest airlines. The monopolization of the airline occurred in 1995 when Lucio Tan, an affluent Chinese-Filipino businessman purchased the airline and became its chairman and CEO. . Global competition in the industry > Threat to new entrants: In spite of the low switching costs and the absence of proprietary goods and services, generally speaking, there is a low threat to new entrants in the airline industry. The huge amount of capital make reprisals against new entrants through a price drop.
1.0 Introduction to Strategic Management Strategic management practices the formation; achievement and reaching the major objectives executed by the management of the company, by considering the capital and a task of the internal and external environments in which the company wishes to compete. 1.1 Introduction to Singapore Airlines Singapore Airlines (SIA) is established in year 1972 with remarkable performance among its competitors in the industry throughout its 35-year-long history till date (Heracleous & Wirtz, 2009). According to Singapore Airlines (2014), SIA is one of the youngest aircraft fleets worldwide to destinations crossing a network of more six continents, with its iconic Singapore Girl providing excellent standard of service to customers. Throughout the years of operations, SIA has an impressive ever-growing list of industry 's leading innovations such as offering free headsets along with a choice of meals and drinks in Economy Class in the 1970s, followed by introducing satellite based in-flight telephones in year 1991, involving an ample panel of renowned chefs, the International Culinary Panel, to provide lush in-flight meals in year 1998, developing audio and video on demand (AVOD) capabilities on KrisWorld in year 2001, and lastly flying the airbus of A380 from Singapore to Sydney on 25 October 2007 (Singapore Airlines, 2014).
Ramada’s problem was first discovered when their management found out about D. K Shifflet’s latest survey about customer satisfaction in the hospitality industry, which it then shows that mid-tier hotels continuing to go downward. Later on they continued on their research and decided to hire a third party to find out more about the survey and also to observe their own company’s system. It results in a management dilemma, Ramada needs to prevent themselves from falling. Then it raises some questions on how can their management improve their performance to achieve the level of customer satisfaction they desire. They then found out three main concerns that they need to put more effort to.
First of all customer means A person who buys goods or services from a shop or business, loyalty means the state or quality of being loyal, faithfulness to commitments or obligations. So Customer loyalty is the key objective of customer relationship management and describes the loyalty, which is established between a customer and companies, persons, products or brands. “Customer loyalty is an essential aspect in any organization whether it is offering a good or providing a service. “Many organizations are looking for various ways to increase their customer loyalty as it has a positive effect on the profitability of the organization.” (Gremler 1996: 171, Abdullah et al. 2000: 826).The individual market segments should be targeted in terms of developing customer loyalty.
Until today, this incident is still affecting Malaysia Airlines in different aspects. Especially, on their corporate image, reputation and finance. Not only Malaysia Airlines, but the image and reputation of our country are also being affected because Malaysia Airlines have strong bonding with the government and they as a representative role stood out to speak for Malaysia Airlines. Malaysia government had given a very bad impression to others on their crisis management and crisis communications. Experts criticized their crisis management by saying “crisis in managing crisis” and “make a crisis worst” due to their failure in crisis communications.