British Airways Service Concept

Customer Value is ‘the performance characteristics, features and attributes, and any other aspects of goods and which customers are willing to give up resources’ (Robbins, Bergman, Stagg and Coulter, 2012). This broad definition highlights the fact that there are multiple aspects that contribute to create a sense of value within the customer.

Fuel cost, airport user and air navigation fees, foreign exchange, Aeroplan, Star Alliance, key suppliers, regional carriers, economic and geopolitical conditions, competition.

* Rewards. The rewards program is a huge opportunity if the market it more towards the individuals that fly more than others do.

The organizational chart of the company is relatively flat and the executive management team plays a large role in the company. There are few layers between this team and the frontline employees and the executives often communicate through technology assisted mediums so that they can reach the large employee base. The executive management team is an important stakeholder and sets the vision for the company's

British Airways is the UK's largest international scheduled airline, flying to over 550 destinations. Whether customers are in the air or on the ground, British Airways takes pride in providing a full service experience.

British Airways also try to balance between short-term benefits and long-term opportunities. In the short term, British Airways plan to cooperate with reliable travel agents to offer special services to meet customer and agents’ needs and wants to achieve to win-win-win situation. In the Long term, British Airways try to establish a flexible and innovative platform, and to create a cooperative environment in the airline industry.

In order to stay exist BA focus on needs of customers and suppliers as service provider company, Pay more care of the customer to make

Airlines use a formula of combining their yield and inventory costs to determine ticket prices. While it is imperative to focus on the idea of being profitable, the focus is to maximize the cost of the flight revenue. One huge factor that encourages an increase in the cost of tickets relates to a customer ordering a ticket close to the departing date, define this as a risk factor because they need to make up for all unsold seats. A high percentage of the revenue is dedicated to overhead costs such as fuel and labor. When a ticket price is higher with one airline than the other, the customer interprets this as being an excessive cost. The demand is greatly affected by the external market

An organization’s strategy for managing their value chain can create a competitive advantage for the organization. Competitive advantage explains the difference between the value a company offers its customers and the cost of creating that value (“Value Chain Analysis”, 1996). Customer delight refers to delivering

British Airways plc (BA) is the banner transporter carrier of the United Kingdom. BA home office is situated in Waterside near its significant center at London Heathrow Airport and in light of armada size, universal flights and worldwide destinations is the biggest carrier in the UK. Its other center is the London Gatwick Airport. English Airways has ended all straight abroad flights from UK air terminals except for Heathrow, Gatwick and London City Airport. BA 's UK travelers starting at non-London airplane terminals would need to unite through London or make utilization of distinctive aircrafts with direct administrations.

Within the category of services, it applies to different types of customers such as family, solo travellers and business travellers, the key focus of this report is on the upper-class service for business travellers and how it influences business travellers to purchase a flight package from them instead of using their competitors Jet airways, British Airways or Emirates. We can discover the decision-making process and how it operates but it’s important to understand the marketing strategy behind the company that makes it very successful and attracts more business travellers to fly with them.

| 1. Lack of free food / drinks 2. Service Standards seen as 2nd rate 3. Airplanes are not as comfortable as 1st rate airlines 4. Booking arrangements not as

Along with the passenger flights British Airways engaged in the operation of domestic and international carriage of mail and shipment. Regardless of the global economic downturn, British Airways’ future seems promising. According to latest yearly report (British Airways, 2008) which stated that British Airways’ objective is to become world’s most dependable airline.

2. The company’s combination of low fares compared to other airlines and superior customer services.

a. Macro - The macro issues that British Airways faced as it entered into the 1980s lied in the structure of the organization and it’s increasing inefficiencies over the years, as well as the company's lack of focus on customer service. The board of British Airways being given control over two state-run airlines hurt the company by spreading out its autonomy, which made it hard for leaders within the organization to realize its inefficiencies. According to Jick and Peiperl (2011), “as a civil service agency, the airline was allowed to become inefficient because the thinking in state-run operations was, “if you’re providing service at no cost to the taxpayers, then you’re doing quite well” (p. 28). This type of thinking also resulted in the company’s lack of effort in their customer service department. Passengers on the aircraft were not the priority, and because of this, the company lost a lot of respect from customers which reflected poorly on the company.