Analyzing British Airways' Customer Service and Marketing Strategies

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This report examines British Airways' customer service management within the tourism and hospitality sector. It begins with an introduction to the company and its focus on customer service. The core of the report utilizes Hofstede's model of cultural dimensions to identify and explore significant differences between Chinese and British consumer behavior, considering aspects like individualism vs. collectivism, masculinity vs. femininity, uncertainty avoidance, power distance, and long-term vs. short-term orientation. The analysis highlights how these cultural differences impact consumer preferences and behaviors. Furthermore, the report evaluates the considerations British Airways would take into account when designing its marketing mix, including product, price, place, and promotion, to enhance service encounters, particularly in the context of cultural adaptation. The report emphasizes the importance of branding and creating a positive brand image to attract and retain customers. The conclusion summarizes the key findings and their implications for British Airways' customer service strategies.
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Customer Service Management
for Tourism and Hospitality
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
a) Using HOFSTEDE'S model of cultural dimensions, identify and explore the significant
differences between Chinese and British consumer behaviour...................................................3
b) Evaluate what considerations British Airways would take into account when designing
their marketing mix, in order to enhance service encounters......................................................6
CONCLUSION...............................................................................................................................9
REFERENCES..............................................................................................................................11
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INTRODUCTION
In tourism sector, organisation majorly focuses on providing best services in order to
attract maximum customers. It will help both the customers and the company in great way as
every person expects to get the best services. In this present report British Airways has been
chosen for assessment. British Airways is the largest Airlines in the United Kingdom which was
founded in the year 1974. The company is providing services at 400 destinations and it has a
slogan “To fly, To serve”. Organisation has its headquarter in Waterside, Harmondsworth,
United Kingdom. This present assignment will majorly focus on HOFSTEDE'S model of cultural
dimensions which will help in exploring the significant differences between Chinese and British
consumer behaviour. In addition to this, considerations British Airways would take into account
when designing their marketing mix in order to enhance service will be discussed in brief.
Furthermore, Benefits and opportunities that derived from exceeding customer expectations will
be explained in detail.
TASK 1
a) Using HOFSTEDE'S model of cultural dimensions, identify and explore the significant
differences between Chinese and British consumer behaviour
Consumer behaviour is all about the study of the various stages through which a consumer goes
before and while buying any product or services. It is a study in which all those decision are to
considered which has a great influence on buying decision of a person.
In every nation consumer behaves in different way and they have different aspects regarding
everything. Every nation has their own culture which is defined as ideas, customs and social
behaviour of people and society in different nations (Álvarez Martín and Casielles, 2007). Here
Hofstede model is used for knowing the differences between Chinese and British consumer
behaviour.
HOFSTEDE'S model of cultural dimensions
This model has been introduced in the year 19710 by Geert Hofstede where he has explained the
cross culture by using six different dimensions. This model is developed to understand that in
this world people have higher differences of culture and thoughts and the same will be explained
by using this model:
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Individualism and collectivism: Individualism is an aspect where people are not higher
concerned about each other, in this culture they think more of their own self and get less
connected with other people. Self development and personal growth is there major focus, Hence
it is a culture which is adopted by British consumers more than they are less social and work for
own self (Bowen and Chen, 2001). It can be said that people of United states are considered to be
the most individualistic in the world. On the other hand, collectivism is that culture where people
like to work more in groups or as a team. They take decisions after considering aspect of other
surrounding as well. Like in China every person works together for a common objective. There
people have common interests and they live together more. In context to British Airways, the
company is facing cultural difference as British people are individualistic and they are more
likely to take decisions regarding there travel and tourism. These allows people to explore more
and thus, British airways have more business in Britain. Now the organisation is focusing on the
Chinese market that and on the culture they have adopted so that it will be easy for the company
to understand the market and earn more revenue form china market. In addition to this, it can be
said both are different cultures and organisation should focus as per the needs of the consumers
and there needs.
Masculinity versus Femininity: These are also two cultures where in masculinity the society is
completely male oriented. Here the people feel that males are more competitive and they should
be more ambitious towards their carrier and goals. In china Masculinity culture is followed
where the men goes out for earning and making money (Buhalis, 2003). In this nation females
are more likely to take care of the family and is responsible for heritage of the family. Whereas,
on the other side in femininity culture womens are considered equally to men and they do the
same work and handle all the responsibility that are carried out by men. So it is a complete
different culture and British people adopts femininity in order to be more successful. In context
to British Airways, the marketing manager of the organisation is focusing on understanding the
culture of China so that they can deliver the services to the nation accordingly. In china people
like to travel and that is the reason British Airways is planning of expanding its business more in
the country. When the nation has a masculinity culture than there the earning of people is from
one member of the family and that allows fewer travelling. So British Airways is planning to
being nominal with prices of the Airlines so that it can expand more business in the country.
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Uncertainty avoidance: It is a dimension of the model which says that there are very uncertain
situations arises in life and people react as per their behaviour and culture. Some people feel
comfortable even in uncertain or sudden happenings (Gilbert and Tsao, 2000). Whereas, in some
nations people are taught some strict rules at very young age. It does not allow them to face any
uncertain situations and it makes difficult for them to avoid or handling such different patterns.
In addition to this, it can be said both are different cultures and organisation should focus as per
the needs of the consumers and there needs. When different policies of the companies will be
mixed will come together there will be various differences in the culture and majority of the
problems will be faced in culture. Communication gap and major differences in national ethnic
culture are faced by the organisation. Management should come up with different strategies and
adopt such culture which gives maximum benefits to the organisation along with job satisfaction
of the employees. Like in China people are always told since birth regarding how to deal with
such uncertain situations. This has helped the people in knowing more about the culture and the
differences to the British Airways and this will lead to knowing the value pattern and culture of
China (Buhalis and Jun, 2011). Whereas, British people are more good at handling different
situations and know how to react in unexpected situations. As the people there are good at
dealing and understanding the situations.
Power: Small-Large Power Distance Value Pattern: It is the dimension of power distance
where in large power distance the powers are distributed unequally among people and they are
more likely to live in such culture. On the other hand in short power distances culture there is a
equal distribution of power and they have equal rights and people are treated as per their
performance. Here in short distance culture people are rewarded and punished as per their work.
Like In order to compare culture of British people and Chinese people these small-large power
distance has been taken in to consideration. People of China adopts the culture where there are
no equal distribution of rights, there students and children have to obey their parents and elders
and that is the reason they are dependent on each other. On the other hand, British people are less
dependant and follows the culture in which power is equally given to all the people. It is not
necessary that all the decisions will be taken by parents and grandparents only. This is the major
difference between Chinese and British people culture.
Long term v/s Short term orientation: These are two various different orientations that are
followed in nations as per there needs and culture. In long term orientation the society is
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accepting by earning and of being more moderate. Here the people of the nation and company
majorly focuses on virtues and obligations. It is more likely to be seen as a positive value for the
company. Whereas, on the other hand in short term orientation company has concentration on its
tradition and the culture that is followed in the nation. Stability is there major focus even while
working together and coming up with new collaboration. This will lead to have major emphasis
on because of the different negative association which have growth purpose so they have to
focus on different cultures. Here in China short term orientation has been followed by the
company as people there has a concentration on there values and ethics. It is a traditional country
where people follow there culture more. So British Airways should make such polices and trends
after knowing the short therm orientation of the China. On the other hand, British people follows
long term orientation where they are very moderate and focuses on virtues and obligations.
British Airways is already operating as per the culture of the Country.
Illustration 1: Analysis on culture of US and china
(Source: Analysis on culture of US and china, 2017)
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Standardization vs adaption.
Standardization is an approach in which it is believed that there is a union of cultures where the
consumers demands all the same things. Environment has local process in which all have same
thought process of demanding things (Buhalis and Law, 2008) It helps in building a good and
strong brand image along with that it will also enhance the efficiency level of the organisation.
On the other hand, adaptation says that company has to deal with the where efforts are
very highly compromised and the differences in the marketing environment. Here the culture is
adjusted as per the difference in the market and British Airways will make the competitive
benefits more and strong.
b) Evaluate what considerations British Airways would take into account when designing their
marketing mix, in order to enhance service encounters
Branding is all about setting up the image of the company in the eyes of the customer. It
is a way where the organisation focuses on promoting its services and goods such that it can
reach its consumers. This will help people in knowing more about the organisation and it ca be
done through different promotional strategies.
Marketing mix: It is a strategy which is formed by the company in order to enhance the services
and cover maximum possible market. It is a simple concept which focuses on putting the right
product at the right place. All the factors are equally considered in marketing mix in order to
make the vest marketing policies. The same is discussed below on Brief:
Product: British Airways is a UK based company which offers transport of people from one
place to another place. It is preparing its new marketing mix where company is planning to
provide the best quality services to its clients. It will offer three classes tickets under the name of
economy, premium economy and business class. This will help in offering different options to
the travellers and along with this, various facilities will be provided after considering the culture
and taste of people (Campbell, 2013). It will be very useful for the organisation if it will provide
services as per the needs and wants of there customers. This will help in enhancing their services
and covering the new market.
Price: British Airways has always considered the pricing policy in which it has been considered
that prices should be such that every person can afford it. Even the organisation always give
different discount coupons and also offers vouchers through which people can enjoy low prices.
This marketing policy always helps in attracting more clients and increasing revenue of the
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organisation. Even now the British Airways is planning to give special discounts on festival
seasons as that is the major time when people travel from one place to another. In this the
company has to take in to consideration regarding the festivals of different nation and apply such
discounts as per the same.
Pricing polices are adopted by the company in which various factors and competitors
prices are being analysed for decision the prices of the tickets. There are different strategies like
economy pricing or price skimming any many others which are considered while deciding prices.
In context to British Airways, economy prices strategy has been implemented by the company.
Place: British Airways is a company which operates on more than 400 destinations and which
has allowed the organisation in earning higher revenues and growth in its business. Organisation
is planning now to expand more of its operation in Asian countries (Bull, 2013). It has major
focus on the culture, tradition and human behaviour of these nations so that it can plan the
strategies according to that only. The company has planned the place after studying in depth
about all the aspects so that it can run a per the same. In addition to this, British Airways has also
tied up with various different authorities at global level which will help in conducting smooth
operation and better businesses.
Promotion: As per the studies it has been determined that Airline industry has very high
competition. It can be said that promotional strategies should be formed in such way that
maximum benefits can be gained by the company. Here the British Airways advertises through
different mediums of Television, Newspaper and Billboards. But organisation should consider
those medium that runs in the country and through which maximum people can be covered. As it
is a way of reaching targeted market and letting them know about the brand name and policies of
company. British Airways were airline partners for the London Paralympic and Olympic games
in 2012. It has also helped the company in promotions and along with British Airways has
promoted through films like “Planes”. This strategy also helps in giving tough competition to
people as this are the major policies which are used by the companies for earning a different
position in the market.
People: This company has various different departments in which employees are hired as per
there work and education. The company has total 40000 employees who works for the
organisation (Chadee and Mattsson, 2017). It has a different induction programmes for the same
and employees get proper training for the work they need to perform in the company. In addition
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to this, now the organisation will hire for its new opening and it has some policies of hiring
people and which will be implemented properly. Cabin Crew will be recruited by Human
resource department from the top institutes and they will be trained properly for the same.
Process: In today's world there are various new technologies that has been implemented by
organisation in order to provide the best quality services. British Airways has already come up
with online tickets booking process through which people can book tickets from anywhere and
at any time. This process made the easy for people to book tickets in less time. Along with as per
culture of nation company is planning to come with different process of delivering perishable
and dangerous goods as well. It will help people in enjoying the different services and boarding
passes are also be taken by them for the purpose of travelling before only. Organisation should
improve its process more and more so that it can increase its business and revenue through the
same. It is the most important marketing strategy through which operations can be enhanced and
goodwill of the corporation will be increased.
Physical Evidence: British Airways is a company which offers services of travelling from one
place to another place through flights. It is an intangible aspect of the company in which the
different services are being provided to the customers. It is a fact where the business have the
global aspects the company offers beautiful interior of flight, design of the cabin and along with
this the ambience of the flight is the biggest physical evidence by the organisation. They also
have a symbol which is used on there tickets, flights and for the purpose of advertising which
will be taken as a physical evidence for the purpose of marketing mix strategies.
These all are the marketing mix which will be focused on by the company in order to
enhance service encounters. It will result in expanding the business and growth of the
organisation to a great extent.
Benefits and opportunities that derived from exceeding customer expectations
There are various advantages that can be earned by the company if they will meet the
expectations of consumers and deliver them the services as per there needs and wants. Some
major benefits are discussed below:
Benefits:
If the customers expectations are fulfilled by the company than it will help the
organisation in creating the brand name in the market. It can be said that if the customer
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is satisfied with the products or services than they will never leave and switch to other
products. This will maintain the image of the company among customers.
Revenue will be enhanced by the same because sales will be increased and loyalty of
customers will be gained because they will be getting all those services which they are
asking for. So fulfilling the same will be a big benefit for the company in order to gain
loyalty of there customers.
In addition to this, different advantages of earning higher profits and self growth will be
seen at a higher level. It is the goal of every organisation to attain a position in the market
and to give a tough competition from the same. This will help in gaining both as the
needs and wants of consumers will be fulfilled. In context to British Airways, the
company will gain both the advantages and ears different position in the market.
Opportunities:
There are various different challenges that are required to be faced by the organisation
like experts are needed to be hired for analysing the market properly. It will increase the
cost of company as the experts charges higher for analysing the details on needs and
wants of customers (Chen and Chen, 2014).
The biggest opportunity is to understand the want and needs of the consumers and the
same is required to be delivered to them. It is tough to underrated and fulfil the same to
any person, so these will be a huge opportunity for the British Airways.
Example of good Practice of British Airways
There are various good practices that are followed by the company which helps the
organisation in some or the other way. Some of the best practices of British Airways are as
follows:
Company believes in rewarding the efforts of its employees through increments and
promotions (Cline, 2013). This give a sense of job satisfaction to the employees and the
positive impact of appreciation can be seen in there work.
British Airways believes in valuing there employees by giving them proper training for
there work and enhancing skills through different programmes and session in the
organisation.
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In addition to this, the company has focus on providing the best quality services to its
customers at reasonable prices. This is a value by the organisation and the best practice of
the company on which all the employees focuses majorly.
CONCLUSION
From the above report it has been determined that every nation has a different culture
which is required to be analysed and adopted by the companies in order to operate their business
in that nation. In addition to this, British Airways offers three classes tickets under the name of
economy, premium economy and business class and it has cheap and low prices so that every
one can travel through their flights. Other than this, different marketing strategies has been
followed by the company for increasing its business in new market and attaining growth and
success by the same. Furthermore, British consumers more than they are less social and work for
own self. It can be said that people of United states are considered to be the most individualistic
in the world.
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REFERENCES
Books and Journals
Álvarez, L.S., Martín, A.M.D. and Casielles, R.V. (2007), “Relationship marketing and
information and communication technologies: analysis of retail travel agencies”, Journal
of Travel Research, pp. 453-463.
Boulding, W., Staelin, R., Ehret, M. and Johnston, W.J. (2005), “A customer relationship
management roadmap: what is known, potential pitfalls, and where to go”, Journal of
Marketing, pp. 155-166
Bowen, J.T. and Chen, S.L. (2001), “The relationship between customer loyalty and customer
satisfaction”, International Journal of Contemporary Hospitality Management, 2. pp. 213-
217
Buhalis, D. (2003), eTourism: Information Technology for Strategic Tourism
Management, Pearson (Financial Times/Prentice Hall), London
Buhalis, D. and Jun, S.H. (2011), “E-tourism”, Contemporary Tourism Reviews
Buhalis, D. and Law, R. (2008), “Progress in information technology and tourism management:
20 years on and 10 years after the Internet – the state of eTourism research”, Tourism
Management
Bull, C. (2013), “Strategic issues in customer relationship management (CRM) implementation”,
Business Process Management Journal, pp. 592-602.
Campbell, A.J. (2013), “Creating customer knowledge competence: managing customer
relationship management programs strategically”, Industrial Marketing Management, 5.
pp. 375-383.
Chadee, D.D. and Mattsson, J. (2017), “An empirical assessment of customer satisfaction in
tourism”, Service Industries Journal. 3. pp. 305-320
Chen, W.J. and Chen, M.L. (2014), “Factors affecting the hotel’s service quality: relationship
marketing and corporate image”, Journal of Hospitality Marketing & Management,1.
pp. 77-96
Cline, R.S. ( 2013), “Hospitality 2000-the technology: building customer relationships”, Journal
of Vacation Marketing, pp. 376-386. ,
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