Marketing Essay About Qantas

Qantas is having a strong competition with other airlines especially Virgin which is also one of the airlines of Australia. They were having a dispute over some petty matters but now they have resolved their arguments. The government now is also offering their support to Qantas so that it can improve its profitability.

Qantas’ financial performance has been very successful in recent years with the business recovering strongly from GFC and a large decrease in revenue to ear 377 million in 2010. The effective financial performance has been the result of effective profitability, liquidity, efficiency, return on capital, good solvency and growth including the establishment of a new airline (jet star).

Management practices at Qantas are more flexible and adapted to suit challenges in society such as the reaction to terrorism, the introduction of viral disease and the ever changing market and customer requirements.

In 2011, Qantas suffered complications from inside and outside the brand. Several job cuts and structural changes, their focus on returns to stock holders and not its responsibilities to the share - holders all added to their external issues. The external issues that rose were the increase of new competitors, changes in consumer decision making, the high demand of customers for lower rates and better quality. Lastly, Australians began their international travels with other international brands. 2016 has proven to be a turnaround year for Qantas relying largely on the lowered prices of oil and the falling Australian currency. Qantas recovered from a $2.8 billion loss in 2014 to a net profit of $688 million within six months. The turnaround has been described as “one of the most remarkable in history”

Qantas is Australia’s largest domestic and international airline. Although Qantas is primarily a passenger airline, air freight is also an integral part of its core business. Other Qantas operations include catering, tourism and E-commerce devoted to transport and travel. In order to have an effective business and operations process, a company, like Qantas must be aware of the influences that can affect it. By being aware of the influences it enables the business to make decision and choices that can get the most out of each influence, by doing this it can assist the business in its endeavours for success.

Maintain Qantas frequent flyer as a driver of loyalty across group and as a leading loyalty program.

Qantas has been actively involved in carrying out corporate social responsibilities throughout the years. For example, they have taken measures to reduce their carbon footprint. Greenhouse gas emissions is a huge issue which looms large over the aviation industry. As such, Qantas has prioritised reducing carbon emissions from aviation fuel. Qantas has invested in next generation aircrafts which are more fuel – efficient, such as the Airbus A380 and Boeing 787 Dreamliner. The Qantas group invests in Bombardier Q400 for regional routes, which expends 35% less fuel than other similarly sized aircrafts.

In 2007 Qantas had a successful year despite a failed takeover bid, fierce competition, aircraft delivery delays and record fuel prices (Qantas Annual Report, 2007). Qantas must ensure that controllable, internal factors affecting the business are managed to minimise impact from unexpected external factors.

These main business objectives help the airline to focus on deliver quality services of the customers. Qantas main business is passengers transports and it is the world’s second oldest airlines. Qantas group operates approx 5600 flights in a weak in 59 cities of regional areas. Internationally, the group operates around 970 flights (Qantas-630 and Jetstar-340) in 44 counties 182 destinations. Moreover, through operations the group focused on five key elements that are right aircraft or right

The boards of directors are implicating new strategies to help Qantas renew in the post maturity stage. These strategies are:

Macro environment factors that influence the Qantas Airlines political, economic, social, technological, environmental and legal. All these factors are very critical to the success of Qantas. Political factors as Australia's policy and the state of the laws will influence the trends of society and the achievement of benefits would be disturbed if the laws are the fiscal policy changes to government authorities. For Qantas to concentrate more of such strategies very carefully and must be prepared to cope with these changes because they are outside the control of the company. Social factors such as the evolution of trends among customers, introduction of new trends in society and changing the likeness and the aversion of the people are all of these factors that you should be prepared and should be decided in the strategies (Kain, and Webb, 2003). Technological factors change from day to day and right now, this would have been a greater challenge for Qantas to overcome such obstacles and deal with all the new technological improvements goes from day to day. In particular, which must be very strong in research and development for that each new technology comes first in the competitor before striking Qantas companies. Environmental factors such as meteorology and the

The strategic alliance between Qantas and Emirates was a result of a careful analysis of the airline industry and its involving competitors.

The airline industry is one of the fastest-changing industry sectors in the world today (Kernchen, 2004), Changing market demography include empowered customers, new distribution channels constantly forcing airlines to adopt and improve their operations and business models (Shaw, 2011; Kossmann 2006). At the same time the airline sector is one of the mostly affected industry by the technological advancements, airline companies should use this opportunity to gain competitive advantages over rivals as a way of value creation to its customers. Advances in the field of Information and Communication Technologies contributed to the empowerment of customers who became more experienced, sophisticated and striving for individual and independent products (Buhalis & Law, 2008).

There are several explanations as to why Qantas was struggling so much to remain profitable. One being an increase in fuel costs of 6 per cent ($253 million). (Qantas, 2014, p1)This

QANTAS, one of the world’s oldest airline was founded in November 16, 1920 in Queensland. The company is registered in the name of Queensland and Northern Territory Aerial Services Limited (QANTAS). It is the tenth best airline in the world which ranked seventh in the category of world’s best business class airlines and fourth in world’s best inflight entertainment in 2015 (Platt, 2015). Starting with the small biplane which had capabilities of transporting only two passengers, the company has now advance and luxurious Airbus with capabilities of carrying 500 passengers around half way of the world in a single day. It employees over 30,000 people and collects about $1.6 billions of revenue in a year. ("Qantas | All Inclusive Airfares On Australia Pacific 's Best Airline," 2016).