Business Management and Strategic Management

This document provides an insight into the strategies and strategic management process of Qantas Airways. It discusses the dual brand strategy, investing on brand, digitalization and customers, potential challenges and more.

Running head: BUSINESS MANAGEMENT AND STRATEGIC MANAGEMENT
BUSINESS MANAGEMENT AND STRATEGIC MANAGEMENT
Name of the Student
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Author Note

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Michael Porter, an American Academic once said, ‘the essence of strategy is choosing what
not to do’.
Hello I am XYZ, the CEO of Qantas Airways. I am here to present an insight upon the
strategies and strategic management process of our company.
As we are all aware of the fact that Qantas Airways has always been a flag carrier in
Australia. Being third oldest in the world in terms of airline business. The name of the
company emerged from Queensland and Northern Territory Aerial Services. The Airline
Company was founded in the year 1920 and the actual operation began in the year 1921. The
values of the company has always been supportive of the vision for being an efficient
business which leads the Soul of the country, Australia with the efforts of being genuine,
strong, optimistic, experienced and inventive. The company has always been considered as
the strongest airline for offering long-distance and domestic airline. The aim for
accomplishing a leadership position is based on the expertise of our safety measures,
engineering, operational reliability and maintenance. Qantas have adopted various strategies
for the purpose of acquiring large market share in domestic and international market. For
directing the focus of the business on both domestic and international market, we have
introduced various strategies including, dual brand strategy.
One of our main organizational strategies is dual brand strategy. The strategic management
process for the planning and implementation of this strategy can be understood by the
purpose of structuring the strategy of dual branding. The main aim behind dual brand strategy
is to offer more choices, seamless travel for the domestic, regional and international
customers and cohesive operational plan of the business. The dual brand strategy of
introducing Jetstar as a sub brand for offering low carrier associated with the full service
carrier of Qantas. The dual brand strategy has been proved as a market shift for the business.

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In spite of the success of the strategy, the company is experiencing intense pressure from the
rising prices of fuel for the aircrafts, thereby affecting the low fare offerings. Our business is
experiencing an intense competition from existing and emerging airline businesses in terms
of product offerings, composition and in term of pricing competition. The strategies our
company is accommodated by the collaborative efforts of all the functional division due to
our basic system of portfolio business.
Another strategy of investing on brand, digitalization and customers was introduced for
increasing the customer involvement, improving market share and profitability. The step of
adding free Wi-Fi connection in the lounges was one of the initiatives for increasing customer
satisfaction. The improvement of lounge and the strategy of renovating the waiting area with
the association of refreshments and entertainment amenities contribute towards the
enhancement of customer satisfaction. The customer satisfaction initiatives for the Jetstar are
still focussed on the offering of low fares. The low fare strategy helps in the stimulation of
demand for the growing list related to international and national leisure destinations. The
operation of our International operations, the anticipated future seems bright, as the company
is unlocking efficiencies from Boeing 787-9. The success of the London-Singapore route can
be our success factor in the future.
The success of our future can only be judged through the trifecta approach of delivering
satisfaction to our people, shareholder and customers.
The process of strategic management includes the understanding regarding potential
challenges for the selected strategies in the future of Qantas Airways. Along with numerous
benefits and initiatives for success with the implementation of the dual brand strategies in our
company, the strategy also reflects various potential challenges for the future. The main
challenge is different approach of the brands with different vision and mission, as Jetstar is

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completely focussed on the offering low fair for maximum customer retention, which is
different from Qantas. Qantas aims at a broader scale of business. Another challenge can be,
one’s fault or weakness or ineffective service delivery can harm the brand perception of both
the brands. The 17 percent increase in capacity of Southeast Asia-Australia market created
pressure for low fares. In case of our dual brand strategy, one of the elements reflects
overlapping features that can be backed by our unprofitable domestic market in recent years,
which thrives for changes. The challenge associated with the second identified strategy can
be the cost involved in supporting the technological implication for customer satisfaction.
Even the investment in the features like free Wi-Fi cannot ensure the satisfaction of the
customer throughout the operational life.
With the discussion about the current initiatives and existing strategy of Qantas Airways, I
hope everyone present/every functional team can relate to the purpose and functionality of
these strategies. If they can then we all are in the right track and if someone cannot, then I
will encourage each one or the respective functional team to have a meeting including the
middle level and lower management for identifying the concerns and challenges.
Being the CEO of Qantas Airways I have always tried in understanding the gaps in
accomplishing the set vision for the company because a flag carrier company needs to be the
benchmark for every competitive company in the industry. I have identified the main
challenge in the company, which can lead to various hitches in the process of strategy
implementation in the future. Communication and alignment of individual’s goal with the
company’s vision is the central challenge for the company.
The root cause of the challenges is the gap in the alignment of the employee participation
with the organizational strategies. Communication gap between the management and the
teams can cause lack of employee involvement in the strategy making process. I will request

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every team leader and functional head to take the responsibility of conducting an internal
survey regarding the concerns and individual challenges faced by the employees as well as
for conducting brainstorming sessions with the teams. Brainstorming activities will stimulate
the sense of cohesiveness within the operational process and will encourage involvement
rather than only focussing on participation. With the regular efforts of the managers and team
leaders in understanding the gap between the goal and involvement, the employees of the
organization needs to be seek help and for existent and potential resources for accomplishing
the individually assigned and personal career goal in the company. The changes towards the
attainment of goal is not only targeted towards the profitability of the company but is also
focussed on the individual skill development of everyone present here. I would like to
communicate about an open portal for everyone to use in this organization with the
permission of indicating any new idea for improvement of operational efficiency. The online
portal will be synched with the brainstorming session, which is to be conducted by the
managers and team leaders. Every idea with possible implementation process will be
appreciated with workplace recognition practices. The practices of customer satisfaction will
have to be ensured by us through the implementation of continual feedback sessions and
sourcing investments by collaborating with technological ventures.
I would like to conclude the session by highlighting the importance of working like a team
and collaboratively reaching towards the vision and objectives of Qantas. Mutual efforts
towards the vision of accomplishing efficiency through innovation, togetherness and
optimism can be lead to the growth and development of our company with global expansion
and the development of individual career objectives. Let us work like a team with no
limitation in involvement and constraint in voicing innovation because its not company’s
success, its ours.

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