United Airlines Slept Analysis

The external environment of an organization represents factors outside the company that affect the company's ability to function. The business cannot control these aspects but can answer to these changes if it needed. Of course the main problem for business managers is to manage to respond early to these changes in the external environment, but this depends on how soon any change is identified. Most of external environmental factors for example, economic conditions, are reported daily in the media; managers have a wealth of information with the help of which they can develop strategic plans. Nevertheless, some external factors are difficult to identify, especially when they are changing very slowly or hidden from

2. United Airlines likes to use strategic planning to try and stay ahead of the competition but in its history it has not always worked. United Airlines has tried to make mergers without the approval of the union and were not able to complete it when the department of justice said that the merger would not happen because it would bring a loss in competition. One of the things that has helped the business, is that they use a hub and spoke method for their passengers. This allows the company to provide many different air ports and terminals that its customers can use and also helps to stream line flight schedules and saves the company millions of dollars every year. Partnering with these major companies to form a global alliance helps to circumvent national laws, share resources to develop additional routes and global marketing strategies. The major alliances were Star, Oneworld, SkyTeam, and Wings. The agreememnt that these companies made to work together saved all of the millions of dollars and was able to help all of the companies to compete globally.

External environmental factors are the macro environment affecting a business; they are factors outside the company and which they have no control over (Kotler & Armstrong, n.d.) these external factors bring about impacts to the company thus a company should always be prepared to react.

External environment consists of forces that directly or indirectly influence organization’s business activities. The actors and forces outside marketing that affect management’s ability to build and maintain successful relationship with target customers.

Southwest Airline’s successful strategy consists of three complementary qualities which are focus, divergence and compelling tagline. This short-haul airline believes that by focusing on friendly service, speed and frequent point-to-point departures, its low pricing is able to compete against car transportation. While other competitors try to delight customers by investing in meals, airport lounges and seating selections, Southwest chooses to eliminate or reduces investments in these industry’s competitive factors. As a result, Southwest’s low prices are unbeatable making them the preferred airline in the industry. With a divergence element in Southwest’s strategy, it is able to innovate and stand apart

If I’m the director of communications at United Airline, I will give a three suggestions for the CEO of United Airlines to response this news.

External Environment: The main external elements need to be observed and established in and around the organization which will affect the organization.

Another factor is the economic factor, airlines are affected with anything happening in the economy since it is a huge network. “The prolonged

United Airlines used questionnaires to classify their potential customers by their motivations and identified nine motivational segment profiles which are: global executives, schedule optimizers, corporate troopers, mile accumulators, reluctant travelers, tour takers, quality vacationers, travel seekers, and frugal flyers (The Times 100, 2003, p. 2). The reasons why travelers choose to fly United varies. For example, some may choose this airline because of price, while others choose it because of their frequent flyer program, schedules, or other services.

In this term of our discussion we’re talking about business environment. It’s like an overview of the whole business environment. Simply environment of a business means the external forces including the business decisions. They can be forces of economic, social, political and technological factors.

Organizations have both external and an internal environment. The external environment consists of two layers: the general environment and the task environment. General environment is everything outside an organization’s boundaries it’s a set of broad dimensions and forces in an organization’s surroundings that create its overall context—economic, legal, political, socio-cultural, international, and technical forces. For example, McDonald’s general environment—Economic Dimension is moderate economic growth, low unemployment, low inflation, Technological Dimension has improved information technology, and more efficient operating systems, and Political-Legal Dimension—government food standards, local zoning climate, and general posture toward business regulation. Task environment is specific groups and organizations that affect the firm. An organization’s task environment includes its competitors, customers, suppliers, strategic, partners, and regulators. McDonald’s competitors for example are Burger King, Wendy’s, Subway, and more, Suppliers are Coca-Cola, wholesale food processors, packaging manufacturers, Strategic Partner’s are Wal-Mart, Disney, and Foreign Partners and Regulators are Food and Drug Administration, Securities and Exchange Commission, and Environmental Protection Agency. Internal environment are conditions and forces present and at work within an organization such as owners, board of directors, employees, and physical work environment.

Business environment consists of external and internal factors. Internal environmental factors are events that occur within an organization. An organization's internal environment is composed of the elements within the organization, including current employees, management, and especially corporate culture (that defines employee behaviour). Although some elements affect the organization as a whole, others affect only the manager.

To understand these external factors better, they are divided into mega-environment and task environment. Mega-environment refers to the general environment, which reflects the trends and conditions of a society within which an organization operates. We can use the ‘PESTEL’ framework to classify these factors. They include political, economical, sociocultural, legal, environmental and technological. Furthermore, the other list of external factors could be classified into Task environment. These are the external elements that a business interfaces in the course of conducting its business. It consists of customers, competitors, government policies, suppliers and labor supply.

An analysis of the external environment includes the factors in a business’s external environment about a business's industry, competition, and political and social environments, and affects the firm’s strategy (Aaker, 2001).

As Emirates expanded rapidly, adding thousands of employees every year to its multicultural workforce, the airline faced a challenge to constantly meet/exceed customer expectations. If the Airline is to continue being the market leader and maintain a stable growth, the challenge they have is to focus on retaining the existing business and ensure excellent customer service is delivered to its customers.