STRATEGY AND MARKETING MIX FOR BRITISH AIRWAYS
British Airways is relatively healthy from a financial standpoint, relative to other companies in the air transport industry, and it has positioned itself as a premium service provider. It has formed alliances with other carriers, and has already segmented its market successfully. The best strategy for the company is to follow the strategic plan it has put into place, and monitor that all of its activities--including its marketing--support that strategic focus.
When the last Concorde in the world ended its regular service in late 2003, carrying the British Airways logo, some in the air transport industry wondered if the retirement of the Concorde was symbolic of greater changes in the air transport industry in general--and of British Airways in particular. The industry has struggled in recent years with mergers, consolidation, lower fares and increased traffic on reduced fare airlines. Events of September 11, 2001 dampened demand, and the recent SARS outbreak added pressure to demand. British Airways has survived these difficulties better than many carriers, and certainly better than some well-known American carriers. This research considers the strategic position of British Airways and makes recommendations regarding the company's marketing mix that are appropriate given that position.
Understanding a company's strategic position is critical to understanding the appropriate actions with regard to its marketing mix. Since the strategic position changes over time, this is an exercise that should be conducted on a regular basis.
British Airways participates in the highly competitive trans-Atlantic market as well as in the broader global market of air transport. When there is a downturn in the economic climate, there is a downturn in air travel as consumers and businesses curtail their travel expenses to conserve. Recent economic downturns throughout the world have borne ...