Competitiveness Airports operate in a highly competitive environment and therefore encourage developments which make the airport sector more responsive to the needs of their passenger and airline customers. Competition in the airline sector has been a driver of innovation and cost reduction and has delivered major benefits for consumers in terms of increased choice and value. Effective competition between airports is clearly something to be encouraged for the same reasons. “Within the aviation industry, MRO, ground handling, catering, CRS and freight forwarding created economic profits, but these were much more than offset by economic losses by airlines and airports. Airlines were responsible for the large USD17 billion of economic losses globally.
On the external side, opportunities are elements, works or projects that the organization could exploit to its advantage. Example of opportunities can be market growth and changing lifestyle. While threats are the external factors and elements that can cause trouble for business and challenge the organization 's performance. Most of the threats can be economic dropdown, competition and government regulations. (Pickton,
(3) Finally we implement our segmentation by optimizing our products/services for that particular segment and communicating the decision made. Answer: (b): United Airlines segments its global markets using psychographic data collected about its customers. It divides them into the following categories: Schedule optimizers: These type of costumers aim to reach their destination by a certain specific time and select their flights accordingly. Mile accumulators: These customers go out of their way to take flights that will build up their air miles entitlement. Quality vacationers: These customers treat the travel as a part of their holiday experience and therefore they fly with carriers that provide extremely superior services.
Over time, Boeing took several actions to address these challenges.  This effort will include an assessment of supplier progress in meeting their commitments to deliver more complete assemblies on subsequent airplanes. Additionally, Boeing 3] inserted some additional schedule margin for dealing with other issues we may uncover in testing prior to first flight and in the flight test program."  The Boeing Company today announced a series of executive leadership changes and a restructuring within Boeing Commercial Airplanes to better align resources across its development and production programs and strengthen oversight of its global supply chain. "The steps we are taking today will sharpen our management focus and bring our organizational structure to bear to improve execution in our supply chain, as well as on our development
It is known as the strategy where a company serves their customer that located in particular area and proceed with their preference of product that they request. Based on segments of customers, geographic segmentation divided into certain variables, such as region, urban or rural, city size, country size, state size, market density, climate, and terrain. According to Larsen (as cited in Pickton & Broderick, 2005), if the population shift occur, a company should be aware of the data according to geographic segmentation for certain area that been target. Geographic segmentation also can categories into the several units of geography such as like location, languages used, and weather. For example, Malaysia and Singapore have different markets, different values, attitude and lifestyle.
Aspects of Supplier Management There are various aspects of supplier management such as vendor analysis, supplier audits, supplier certification and supplier partnering. • Vendor analysis It is the process of evaluating the sources of supply in terms of price, quantity, reputation and service. There are numerous factors that have to be considered while selecting a vendor (or suppliers). Since the importance of various factors varies in different situations, the purchase department should decide how well the potential vendors can be expected to perform against the various factors. • Supplier audit Periodic audits act as means of identifying suppliers’ production capabilities, quality and delivery problems and resolutions, and suppliers’ performance on other criteria.
Student Name: Alecia wright Course title: Marketing in the Aviation Industry Lo 1. Understand the principles of marketing within the aviation industry Briefly define the term ‘Marketing’ and the ‘Principles of Marketing’ This research is about the principles of marketing within the aviation industry and how it will help the marketing team of Blackpool Airport to succeed. Recommendations will also be given to help this airport to achieve through marketing. Marketing may be defined as all the business activity geared towards correctly identifying and anticipating people’s wants and needs. Marketing principles is “the idea that is used to form the widely agreed upon basic of most product and promotion strategies (BusinessDictionary.com, (2016)”.
Southwest Airlines is competing against other airline companies for customers. That is why it is essential that Southwest Airlines enforces strategies that allows them to outperform other airline companies. This gives them a competitive advantage, which is defined in the textbook as the achieved advantage over rivals when a company’s profitability is greater than the average profitability of firms in its industry. (Hill, Schilling, & Jones, 2017) The higher the profitability levels are of Southwest Airlines along with the higher the profit growth of Southwest Airlines when compared to other airline companies, will see if they have a competitive advantage over their rival competitors. In order to have high profitability levels than their competitors,
Also, some airport hubs cannot consolidate traffic bound for many itineraries. Having this limitation and knowing the fact that some passengers prefer non-stop flights, consideration of both hub-stop and non-stop routing strategies can be more cost-efficient than a pure hub-and-spoke network (Jeng 1987). In other words, non-stop flights are always the most desirable in terms of convenience but on the other hand less desirable in terms of price for price sensitive customers. Moreover, the stops at the hub airports increase the expenses for the airline companies due to the facility charges and landing fees. Therefore, the airlines can generate more revenue by considering these key parameters and applying best network routing
Opponents to digitization feared that new technology would primarily– threaten creativity, lead to exploitation of creators and would lead to a socio-economic crisis caused by loss of jobs, lowering of revenues etc. (here) However, digitization has brought to fore a large pool of talent that can and has contributed to enhancing the levels of creativity in these fields. Also, these industries by tapping into revenue streams of digitization have and can make whooping profits. Moreover, as many have argued (here), the issue of exploitation of creators may not be directly related to digitization of content and may be more appropriately addressed by ensuring balanced contracts. With regard to the socio-economic impact of digitization, the numbers clearly show that inspite of digitization, the entertainment industry is prospering and fears of loss of revenues and loss of jobs may not be well placed.