Airlines Australian International Market -Myassignmenthelp.Com

Question: Discuss About The Airlines Australian International Market? Answer: Introduction The purpose of this task is to provide a brief about the activities of the company Emirates. The Emirates Airlines is an organization which was originated in the year 1985. The airline is a subsidiary of The Emirates Group which is wholly owned by the government of Dubai. The company is the largest airlines of middle-east Asia which operates 3600 flights per week from its Dubai international airport to 140 cities or more in 81 countries and six continents. Further it shall also be noted that the company has attained fourth position in worlds largest airlines. Activities of Emirates are divided into two sectors that are Emirates SkyCargo and Emirates Executive. SkyCargo is an air freight division of the company which was originated in the year 1985 and executive was originated in the year 2013 by the company to provide assistance of corporate and private charters (Emirates, 2018). Further, the below mentioned report talks about the marketing mix of the company Emirates. Marketing mix refers to the combination of factors which tells about the attribute of the company. This tool is helps organizations in pursuing their marketing objective. The task explains 8ps that are product, price, place, promotion, physical evidence, people, distribution and partnership. Furthermore, it explains the competitive analysis of the company and contemporary issues faced by the management. More details about the task are discussed below: The marketing mix of Emirates airline is discussed below: The company has a mixed fleet of products in their portfolio like Airbus corporate charter and Boeing wide body aircrafts. In order to gain competitiveness the company always remains competent and innovative with its products and services provided in the market. The products of Emirates include excellent and consistent services which paved the way for the company to rapidly grow in the international as well as domestic market. The company provide both personal and profession approach towards their customers so as to increase the level of satisfaction (Farouk, Cherian, Shaaban, 2017). The company is the first one to supply personalized videos, shower facilities and private suite in their aircrafts. This activity of the company helped them to gain acceptance in the whole market. Further the services are provided as first class, business class and economic class services. Further it shall be noted that apart from providing airlines services the company also provides better housing and healthcare facilities to its employees so as to keep them happy and satisfied (Beik, Galbraith,2016). As Dubai is a link between the east and the west part of the world, so that the company gains the advantage to serve more services at low cost in the market. Emirates serve low cost tickets in the market, if compared to other airlines companies. The company uses shortest available routes and offer direct flight services to its customers so as to eliminate the increment in the cost on tickets. Further, due to direct flights in many destinations the company enjoys the advantage of effective pricing policy in the market. With this policy the customers also save their income which increases their satisfaction level towards the company (Mumtaz, 2017). Emirates also hire people at low cost which automatically reduces the fare charges and low pricing strategy. The company also uses the dynamic pricing strategy to manage the seat capacity on the airplanes so as to get highest available price to every seat which they sell. This results in flexible pricing of the seats. Being headquartered in Dubai, the organization manages all its operations from Dubai airport itself. Further Emirates operates around 3500 flights averagely in a week and the network of the company is spread through six continents and eighty one countries and one hundred and forty cities in total. Further the company is indulged in providing non-stop commercial flight services via long routes like Dubai to Dallas, Los Angles, Houston and San Francisco (Shaw, 2016). Emirates also use strategic hub locations to gain the top most position of global transporter in the external market. This activity also helps the company to maximize their benefits as well. The airlines believe is providing direct flights to the customers to increase their level of satisfaction. Distribution strategy is use by the company to allocate and distribute tickets through travel agents and tour operators present in different parts of the market. The company also provides various services through its official website (Coleman, 2015). Promotion The organization launched a promotional campaign for the airline to become more competent in the target market. Fly Emirates. Keep Discovering is the slogan of the company, and the vision of the company is to build and maintain a position among the global leaders of the airline industry. Considering to that, the company developed above par performance by taking calculative risks and adequately using all the available resources. The company develops marketing tactics to attract more and more customers in the market. Special discounts and package travel tickets etc. are offered to the customers in the market (Charter, 2017). Further the company also launched special but limited packages for children in their promotional plan. Under this package the parents were allowed to travel with two kids of less than sixteen ages; and the cost of accommodation, travel and food would be free for the kids (O'Connell, Bueno, 2016). This campaign was named as The Kids Go Free. Physical Evidence The company Emirates mainly focuses on providing quality services to its customers and provides a pleasant experience while travelling. The company has a dedicated terminal in Dubai which includes the state of art and culture for the comfortability of people. As discussed above, the organization is the first one to provide shower facility, personalized videos etc. in their flight which provide a good ambience to the passengers (Min, Joo, 2016). The airlines have new fleets that are highly equipped with entertainment facilities for its customers. The stylish office buildings, lounges at airport add an additional feature to the fame of the company. A passenger while travelling with an airline wants to travel safely and properly reach their destination. So, the cabin crew of Emirates gains the trust of the customers so that they do not hesitate to communicate their problem on board. So, inn this way the physical evidences helps the organization to increase the satisfaction of customers of the company (Emirates, 2018). The company has 64,768 people in total working with them who are working in the organization with a motive to increase the satisfaction level of the customers. Apart from the customers of the company, the management also aims to satisfy the employees in the market as well. The company has a huge family of employees working with them who belongs to different parts of the world. The management adequately takes care of the cross culture activities so that no persons interest is harmed with their actions. Concerning to interest of the employees, the company also provides bonus to them so as to keep them happy (Emirates, 2018). Talking about the customers, the company carries more than 50 million people with them. So, the organization needs to take care of the requirements of the customers. The employees of the company are 24* 7 available for the customers (Redpath, O'Connell, Warnock-Smith, 2017). Distribution Distribution process includes the distribution of products and services offered by the company. The backbone of the company is its services provided in the market. The management of the company constantly aims to provide maximum optimization of their services to the customers in the market. The organization provides first class lounges, special and additional services, customer relation management services in the environment. All such activities are streamlined on end to end process so that the customer can attain services according to their requirements (Kotler, 2015). The cabin crew of the company distributes quality services to the customers with utmost priority. The company is also known for their welcoming nature and being placed in an airlines company it is important for Emirates to welcome all guest with the cultural heritage so as to increase the sales transaction of the company. Lastly, the website provided by the company helps the company acknowledge themselves with all services provided by the company in the market. The customer can also tell their issues to the company online. The management is 24*7 available to solve the issues of the customers (Wensveen, 2016). Partnership Partnership is initiated by the organization so as to improve their strengths in the market. With respect to that, the company Emirates has partnered with various organizations of same industry to become competent in the target market. Like, Emirates partnered with Qantas to provide services in western parts of the world. This alliance helped the company to reach in those parts of the world where it was impossible for them to reach alone. Further it also helped the company to gain more international customer base in the market. The joint venture collectively helped both the companies to earn good amount of profits in the market. Emirates Skywards has also partnered with various organizations to achieve success in the target market (Holland, Jacobs, Klein, 2015). Marketing Strategy The organization has segmented the market in two basic categories that are, profitable and unprofitable sector. The profitable sector is the business traveller and unprofitable sector is one economic class services provided by the company. The business class passengers of the company give the highest profit to them. Further the company targets the customers who aim to get luxury services in the market. People between the age group of 30-60 are targeted by the company in the market. Emirates Company is positioned at a premium place in the market. The company is known for providing good and innovative services in the market (Piltz, Voltes-Dorta, Suau-Sanchez, 2018). Competitive Analysis The company Emirates initiated various strategies in order to stand high in front of its competitors in the target market. Strategies like cost containment, customer focused etc. were initiated by the organization in the market. Further it shall be noted that the aviation industry has high degree of competition and the competition which the company Emirates faced in the market is discussed below: Etihad and Lufthansa are the major competitors of the company in the market. Further the information about both the companies is discussed below: Etihad Airways Etihad Airways was established in the year 2003 as national airlines of UAE in the market. The company has combined its partnered with many organizations in the market some of them are, Aer Lingus, Virgin Australia, Air Seychelles, and Air Berlin etc. The company is second largest airlines of the UAE after Emirates. So, it shall be noted that Emirates is bigger than Etihad in terms of growth and market share in international environment (Etihad, 2018). Lufthansa The European airlines industry is dynamic and has competition among various companies as well. Deutsche Lufthansa AG was originated in the year 1926 and then re-originated in year 1954. The company is a flag carrier of Germany and is the largest airline of Europe in terms of overall passengers carried as well. Also in international context, the company comes on the fifth position in terms of passenger base. The company serves in 18 domestic, 183 international and 78 countries across 4 continents. Further along with its partners, the company serves in total 410 destinations worldwide. Further comparing both the companies, it shall be noted that Emirates is a fast growing organization and Lufthansa is used to match up to the activities of the company. The company is behind Emirates in terms of revenue and operating profit. Thus, it shall be noted that Emirates Airways is working excellently in its field and is adequately satisfying the requirements of the customers as well. Resulting to which, the company is being placed on the most position in aviation industry of UAE and has more customer base than its competitors. The organization gains the opportunity to penetrate the market growth by expanding its activities in various parts of the world and diversifying their business by partnering with various organizations (Yin, Dargusch, Halog, 2015). Contemporary Issues faced by organization As the company has gained the title of worlds longest airline route in the market due to which the organization faced challenges to survive in the market. The contemporary issues faced by Emirates are listed below: Competition: competition is one of the biggest challenges for the company as there is presence of many rivals for the company in the airlines industry. As discussed above the company has many competitors present in the market. But it shall also be noted that Emirates is prevailing on the highest position in the target market. Competition is one aspect which is constantly present with the company; resulting to which it acts a pressure on the organization to work efficiently otherwise the competitors will overtake them in path of success. Further it shall also be noted that the company needs to spend huge amount of money to keep them competent in the market (Wang, Hsu, 2016). Technology: Technology is an important issue for the organization. The aviation industry keeps on fluctuating and there is constant introduction in innovative technology due to which many times the organization face problem in keep them intact with the technological upgradation. It takes time for the employees to understand the advanced technology and apply them in the activities of the organization; also there is risk for the company while using new technology. If the employees do not correctly apply such innovation then the customer might face problem in this case (Logothetis, Miyoshi, 2016). Labor Unrest: The employees of the organization suffer the problem of unrest. As the activities of the organization run 24*7 due to which the employees suffer. Many times the pilots boycott due to which the company faces the crunch of employees resulting in dissatisfaction of the customers in the market. The cabin crew employees walk out from the company because of pressure of the work (Tembleque-Vilalta, Suau-Sanchez, 2016). Brand reputation: In order to maintain the reputation in the market, the company needs to maintain the image formed in the market. As discussed above the company is positioned at a premium place in the market due to which the customer gets attracted towards the services of the company. So, in order to maintain that image, the needs to hire efficient employees on a regular basis and invest in promotion etc. activities as well. This cost high for the company (Fageda, Suau-Sanchez, Mason, 2015). Fuel Prices: Fuel prices are one of the biggest concerns in the airlines industry as the price keeps on fluctuating. The company cannot increase the prices of tickets in the market otherwise it will dissatisfy them. Also they cannot bear the high price of fuel themselves, so this acts as a major concern for the company. Recommendation The following recommendations can help the company to attain growth in the target market. The details are discussed below: The company shall aim to reduce its operation cost investing in technology which gives them monetary benefit in the market. The cost shall be controlled so as to improve the activities of the organization effectively and efficiently. Reduction in cost will also increase the profits of the company. The organization shall adequately take care of their pilot and other employees. The management shall not pressurize them to work more and they should provide them good workplace environment as well. Also the organization shall focus on providing low cost carrier services as well. As these services are at a boom in the market due to which more customers prefer these low rates services in the market. Companies like Easyjet provide low cost carrier services in the market due to which more customers prefer such services. Further the organization shall diversify their business in different parts of the world. They shall also initiate partnership with different companies of aviation industry so as to increase their customer base as well. Further the company shall also adequately fulfill their corporate social responsibilities in the market. Conclusion Thus in the limelight of above mentioned events, it shall be noted that the company running successfully in the target market. Emirates Company is regarded as best airlines company present in UAE. The company offers premium airlines services, also the organization is known for providing innovative technological services in the market. The company is a part of Emirates group. Further the above mentioned task discusses about the marketing mix of the company along with the information about its competitors and issues faced by them in the market. Thus, report adequately justifies the requirements of the task. References Beik, N., Galbraith, J. (2016). 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