The British Airways Plc. Business Strategy
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EUROPEAN AIRLINES STAKEHOLDER MAPPING[pic 1]MBA – Strategic Analysis and Planning (ST4S15-V1)University of SouthWalesPrepared by MBA Students in Group 5Rahman ShittuMuhammad RefaeyMicheal OtasanyaCourse tutor:Prof. Pedro LongartAugust 20, 2017Who are the stakeholders relevant to European Airlines Industry“Stakeholders are those individuals or groups who depend on an organization to fulfil their own goals and on whom, in turn, the organization depends” Johnson, Scholes & Whittington (2008, p. 140). According to Bryson (2003) stakeholders refer to persons, groups, or organizations that are taken into account by leaders, managers, and frontline staff of organizations.Stakeholders relevant to European Airlines Industry include:Customers: Customers are the source of profit for airline companies, Customers want products and services of a reasonable quality and reasonable price for the goods and services  Government/regulations:Employees: Employees have the power of influencing the customers. Managers and employees have their individual interests and goals such as: security of income, job satisfaction, skills and career development, a safe and comfortable working environment.Local communitiesSuppliers: Suppliers have high interest and big impact on airlines. For instance British Airways has only one fuel supplier meaning it also has power over the decisions made by BA. Also, many airlines depends on online travel agents such as cheapflights.co.uk, expedia.co.uk, lastminute.co.uk, etc. People often buy from such websites since they are convenient and often provide cheaper deals.ShareholdersFinancial Institution: Financial institutions have both high impact and interest in BA. They can refuse or grant funding. The need of funding depends on BA’s gearing ratio and liquidity. 8Media: The media has a great impact on the image of the airlines, airlines tries to keep a good relationship with the media in order to have good relations with the public.CompetitorsUsing the basic analysis techniques according to Bryson, we have the following stakeholdersCustomers of 55years of age and aboveThe age bracket usually travel for vacation and they are frequent flyer. This group of customers complains of high price but price will not affect their decision of going for a trip.Customers of 54 years of age and belowFor younger flyers, cost is a big issue for them and they will rather not travel than to spend so much on air ticket. This group also want to have everything such as full service on the plane, comfortable seats and any benefit they can get at a lower cost.
International Air Transport AssociationIATA is an organization that is in charge of airline regulations, policies and standards. They also make sure that airline cost are within considerable margin. European Airlines CompaniesThese are European airlines and are in the business of air transportation. Examples of such are:EasyjetBritish AirwaysThomson AirwaysFlybeThomas cook AirlinesMonarch AirlinesVirgin Atlantic AirwaysOther modes of transportation (Rails, Roads and Water ways)Research published in April 2013 by ATOC shows that, on the ten busiest domestic air routes, the market share of rail travel increased from 29% to 46% between 2006 and 2012. This other mode of transportation has crippled domestic market for airlines and there has been a drastic reduction of patronage within a typical country.Planes ManufacturersFor expansion and the need to satisfy customers, airlines will need to get new planes and the two world manufacturers are Boeing and Airbus International Oil MarketThe price for airline fuel (kerosene) have been fluctuating and this affect the operation of the airline company