Essay on Huella Airlines

1938 Words8 Pages
Huella Hong Kong Online travel is a Malaysian-based travel portal that targets customers in Asia and Asia Pacific. Huella Hong Kong’s revenue growth is decreasing and their market share is declining. Huella Hong Kong has a state-of-the-art technology and business model. The people at Huella need to know what else they need to have or do in order to get out of this downward spiral.
This case analysis will cover the problems Huella Hong Kong is facing, the different stakeholders and their effect on the problem, the alternatives solution, and the recommended solution.
The key players: * Huella Hong Kong: the online booking company. Regardless of their state-of-the-art technology and their creative business models, their revenue growth
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Huella Hong Kong can go even further and offer a combination of both offers above.
The problem with this solution is that existing travel agencies are already making huge profits and controlling most of the market. They won’t be easily persuaded to help a potentially big competitor enter their market. The reason for that is that it’s obvious that Huella Hong Kong would go solo as soon as they get enough recognition in the market. If this happens, it’s going to be hard for the traditional travel agencies to compete against them. The second alternative is for Huella Hong Kong to open its own offices in Hong Kong following a “Click-and-mortar” model. That will make them appear as any traditional travel agency. Through that, they will be able to attract customers more easily. After acquiring a customer base, they can start educating people more and more about online booking and then inform them about Huella Hong Kong’s website and how that it is in fact more convenient for customers to use the website than to come to the physical office. Then, they can phase out the traditional physical offices gradually until they go back to the original model completely.
The problem with that is that this solution will require new business models in order to facilitate the opening of the physical spots. Also, at a certain point of time they will have to get rid of all the tangible assets they acquired when they
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