Strategic Management of British Airways Company

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Strategic Management of British Airways Company Introduction Transportation plays an essential role to the success of many businesses and organizations. Without efficient transportation, many supplies and raw materials will not be brought from one place to another. It has been reported that humans have always needed to get around from place to place, making the act of walking a limitation on the distance traveled and the things they could carry. Consider the innovations that help humans travel around and transport cargo, including automobiles, ships, and airplanes (2006). Through these innovations, humans were able to effectively and efficiently move from one place to the next with the convenience of bringing luggage and…show more content…
However, during this time a number of smaller UK airline companies had started their operations, so in 1935, these airlines merged to form the original privately owned British Airways Ltd. The British Government in 1939 nationalized the airlines and after the Second World War, the airlines were combined to form the British Airways in 1974 (2006b). The driving factor behind alliances is long-term profitability, and their formation tends to be for strategic reasons, such as accessing larger markets, establishing global brand loyalty and building hub-to-hub traffic (1998). This move is advantageous for the airline to service more passengers and establish market reputation. Alliances or merges are part their strategic management plan, as being part of the strategy formulation and implementation. Strategy formulation and implementation is an on-going, never-ending, integrated process requiring continuous reassessment and reformation, is dynamic, and involves a complex pattern of actions and reactions ( 2006). Being dynamic, airlines tend to always innovate and improve their actions to further enhance the quality of their service. In addition, another way for the British Airways to cope with serious competition from other airlines, it continuously provides itself changes and innovation for better services. Strategic management, having its characteristic of being dynamic and complex, enables the British Airways to accommodate change. This
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