British Airways

Internatinal Marketing Strategy: British Airways

[Institute's Name]Internatinal Marketing Strategy: British Airways

Introduction

This world endures excessively interesting and perplexing phenomenon with respect to its processes and procedures. There is a common belief that prevails in the society since primitive times, that no happening in this world is independent, and every occurrence has a direct and significant impact on some other process or happening. The corporate era of the modern and current time is not also separate from the effect of this phenomenon, and hence the occurrence of one event generates a subsequent impact on the relevant aspect or facet of the corporate world. It will not be inaccurate to eloquently articulate the fact that the prime working and success of the corporate world depends and augments with respect to the financial and monetary aspect. Hence, the ever changing economic conditions of the world have a rather relevant and direct impact on the organizations, as well as their processes working in this corporate sector.

British Airways is one of the oldest airlines in the world. It still continue to support that full service model despite the incursion of low cost no frills airlines in the continent. British Airways is the flag carrier of in the UK. It is headquartered in Waterside in its London Heathrow Airport main hub. British Airways remains the largest airline in the UK considering the size of the fleet and international flight destinations. Recently, the airline signed an agreement with Iberia airline from Spain to form the largest carrier in Europe but the deal is awaiting the approval of EU.

The airline industry is one of the most competitive industries in the world. In the recent past, the entry of low cost airlines has increased the level of competition in the industry. The airline industry is operating under intense pressure and in a changing environment. The industry is being affected by different policies which are changing the landscape of operation. In addition, the entry of new operators has increase the level of competition in the industry (Shibata & European University Institute 1994, pp. 41 - 62).

British Airlines is facing competition in both of its markets. The airline is facing competition in the traditional full service airline market that mainly targets the upper and middle class travelers, and low cost market which is eating slowly into the middle class consumer market. The following are major competitors for British Airways in the upper class and middle class consumer market segment:

Virgin Atlantic

Bmi

Air Berlin

Air France

KLM Royal Dutch Airlines

In addition, the airline is facing major competition from emerging low cost carriers at home and in other international market. It should be noted that at home and international market, British Airways has lost substantial market share in the low cost carriers and these carriers are also eating into the middle class segment (Ramón-Rodríguez et al., 2011, pp. 110-115). Major Low cost carrier competitors include:

Ryanair

EasyJet

Southwest Airline

Competition in the airline industry has affected the operation of the industry in different ways. The rising competition, coupled with global economic ...