Integrated Business Research Methods: Airline CRM and Technology

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This report presents a research proposal investigating the influence of technology advances on customer relationship management (CRM) within the airline industry, specifically using Australian Airlines as a case study. The study aims to identify the impact of technology on CRM, explore factors influencing customer relationships, and develop technology-based solutions to enhance CRM approaches. The research employs an explanatory research design with primary data collection through a survey questionnaire distributed to employees of Australian Airlines. The report includes a literature review covering electronic CRM, the emergence of technology in CRM, and gaps in existing research. The methodology section details the research design, questions, hypothesis, data collection methods, and sample size. Preliminary results from the survey are presented, along with observations and recommendations. The study highlights the importance of technology in enhancing CRM and suggests areas for future research.
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Running head: INTEGRATED BUSINESS RESEARCH METHODS
Integrated Business Research Methods
Name of the Student
Name of the University
Author Note
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1INTEGRATED BUSINESS RESEARCH METHODS
Acknowledgement
The completion of the assignment certainly enhanced my knowledge in Research Methods
and its use in business studies. I have explored new areas in research methods. In completion
of the assignment, I would like to thank a number of people who have helped me to complete
the assignment. Firstly, I would like to thank my supervisor who have helped me to choose
research methods suitable for the assignment. I thank my peers for helping me to prepare
dummy tables and charts for the calculations. I must thank my friends for encouraging me to
finish the whole work successfully.
Thanking you all,
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2INTEGRATED BUSINESS RESEARCH METHODS
Executive Summary
Proposed study includes investigation on how technology advances influence customer
relationship management in today’s dynamic market environment in the airline sector.
Purpose of the proposed study is to investigate and identify the impact of technology
advances on customer relationship management. As technology is widely adopted across all
functions in business, it is worth stating that implementation of technology creates crucial
impact on business. In order to derive the outcome of the study, primary research methods in
the study would be used, thereby, research methods have been explained by diving
comprehensive definition and its application. To derive a better insight about the use of
technology in customer relationship management, study has been suggested to analyse the
use of a particularly technology such as AI in customer service.
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3INTEGRATED BUSINESS RESEARCH METHODS
Table of Content
1.0 Introduction..........................................................................................................................4
1.1 Problem Statement...........................................................................................................4
1. 3 Research Questions.........................................................................................................5
2.0 Literature Review.................................................................................................................5
2.1 Electronic customer relationship management................................................................6
2.2 Emergence of Technology in CRM.................................................................................6
2.3 Gaps in the research.........................................................................................................8
3.0 Methodology........................................................................................................................8
3.1Research design.................................................................................................................8
3.2 Research question.............................................................................................................9
3.3 Research hypothesis.........................................................................................................9
3.4 Data collection tools and techniques................................................................................9
3.5 Sample size.......................................................................................................................9
4.0 Results................................................................................................................................10
5.0 Observation........................................................................................................................16
5.1 Analysis of Results.........................................................................................................16
6. Recommendation..................................................................................................................17
7. Limitations.......................................................................................................................17
8. Future Scope.....................................................................................................................17
References................................................................................................................................19
Bibliography.........................................................................................................................21
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Questionnaire.......................................................................................................................22
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5INTEGRATED BUSINESS RESEARCH METHODS
Topic- Impact of Technology Advances on Customer Relationship Management- A
Case study of Australian Airline
1.0 Introduction
The proposed study is a detailed investigation on how technology advances influence
customer relationship management in today’s changing market environment. It can be
ascertained that businesses irrespective of type industry, size and structure have started
adopting technology across all operative functions. Customer relationship is a significant
aspect of every business, as better CRM leads to increased customer base, sales and profits.
According to Choudhury and Harrigan (2014), when it comes to managing customer
relations, service industry usually comes first to be considered in business studies. Especially,
in the airline industry, quality of customer service determines the success of the business to
greater degree. On the contrary, as technology provides better and faster to solutions to
business problems, airline organizations choose technology over traditional practices of
managing customer relationship. Therefore, it is important to learn how technology advances
are affecting CRM presently in the airline industry. The purpose of the proposed study is to
investigate and identify the impact of technology advances on customer relationship
management.
1.1 Problem Statement
Rapid development in technology and its growing impact on businesses have now
been a significant concern for organizations in the airline sector. Changing consumers’ taste
and preferences is the most possible occurrence that every business in the airline sector have
to deal with. As technology is widely adopted across all functions in business, it is worth
stating that implementation of technology creates crucial impact on business. Thus, it is
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6INTEGRATED BUSINESS RESEARCH METHODS
necessary to learn how technology advances creates potential impact on business in the
airline sector.
1. 3 Research Questions
1. What is the impact of technology advances on customer relationship management in
airline organization?
2. How can CRM be enhanced through technology advances in airline?
2.0 Literature Review
Research Objectives
To identify the effect of technology advances in CRM of airline organization
To investigate the factors that influencing customer relationship management
To develop suitable technology based solutions to boost CRM approaches of
Australian Airline
As put forward by Trainor et al., (2014), the fundamental premise based on which
CRM relies on, creates the insight that understanding customers’ needs and experience
remains the key to customer retention, business growth and profitability. Customer
relationship management remains a significant aspect of business strategy. Nguyen and
Waring (2013) defined customer relationship management as a comprehensive strategy that
enables a business it identify, acquire, retain as well as nurture profitable consumers by
developing and maintaining a long-term relationship with consumers. On the contrary,
Rahimi amnd Kozak (2017) claims that customer relationship management can include
relationship marketing and it is mostly elicited as the value and strategies of relationship
marketing with emphasis on customer relationship.
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Customer relationship management strategy connects core dimensions of
organizations, strategy, philosophy as well as technology. According to Kolis and Jirinova,
(2013), success of customer relationship management strategy depends on appropriate
balance between three major aspects –such as people, resource and technology.
2.1 Electronic customer relationship management
As put forward by Shafique et al., (2015) electronic customer relationship remains an
approach applied by organization to identify customers potentially profitable. It has also
been identified that business today tend to seek supplementary relationship activities to
enhance the value of their customer relationship by increasing the quality or delivering better
relationship benefits. As put forward by Soltani and Navimipour (2016), customer
relationship management is a significant driver to business success. Moreover,
implementation of technology in CRM always reduces the cost, thereby profit remains high.
Wang and Sparks (2017) mentioned that electronic customer relationship management
includes all sort of management relationship along with the use of Information Technology in
managing customer relationship.
2.2 Emergence of Technology in CRM
Technology remains a fundamental element in CRM strategy because Information
Technology makes significant contribution to business functions. According to Wang (2014)
technology contributes to business overall process by reducing cost and time. For example,
use of AI technology in addressing customers’ general concern about service information.
Due to the use of technology customers receives faster and quality service. According to
Tseng and Wu (2014), technology advances and its use shifted competition from price or core
service to value added services. Consequently, technology accelerated the support to
customer relationship management.
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8INTEGRATED BUSINESS RESEARCH METHODS
Information Tools:
According to Choudhury and Harrigan (2014), Information Tools are of great use for
analytical purpose because it stores customer data. For example, data warehouse is a
significant storage; database is known as set of organized and structured data. Furthermore,
the use of internet as well as social network can ease the complexity in managing customer
relationship. As put forward by Trainor et al., (2014), ability of the organization that applies
CRM to figure out customer privacy and preferences throughput the transactions guide
campaigns and techniques. In addition to this, the purpose of using data is about serving and
not only about having technological application. Hence, the use of customer data significantly
related to strategic decision-making.
Data Mining:
It has been identified that data mining is kind of a technique which is used for
analysing the information particularly in a data base with the use of tools that tend to look for
trends without appropriate knowledge about the meaning of data. It is significantly an
effective data particularly used in CRM strategies and electronic communication. Rahimi and
Kozak (2017) mentioned that data mining remains as the process of extracting as well as
crossing significant information where consumer behaviour can be mapped. On the contrary,
Kolis and Jirinova (2013) mentioned that Data warehouse mining is more of a technique
which is used for extracting information as well as presenting new knowledge which is not
previously identified or selected from the database and this significant aims at gaining
relevant information which are necessary for business. It is observed that data mining is
considered when implementing appropriate approaches to CRM. Conversely, Soltani and
Navimipour (2016) mentioned that technology based CRM enables businesses to collect and
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9INTEGRATED BUSINESS RESEARCH METHODS
use information to generate better insight about customers and there is a direct relationship
between data processes as well as analysis.
Sales Force Automation
As put forward by Choudhury and Harrigan (2014), Sales automation stands for
software to automate the sales force with the inclusion of process regarding contact
management, forecasting sales and groups sales. The major operational focus on CRM
remains as technological platform that support customer interactions as well as automation.
As put forward by Nguyen and Waring (2013), CRM software deliverers are planted in SFA
and therefore, it can be easily understandable that CRM is developed and designed to
enhance sale as well as level of business functions.
2.3 Gaps in the research
Even though existing research papers provide a detailed overview of how technology
facilitates the process of customer relationship management. However, studies have
overlooked the use of technologies that are particularly used in the airline services. Airline
organizations today are widely depend upon technology to manage their customer
relationship. Existing research papers fundamentally discussed the benefits of using
technology in CRM but hardly a study has discussed the adoption of technology in relation to
CRM and its ongoing impact on the service quality of airline organizations.
3.0 Methodology
3.1Research design
This research has chosen a single research design where an explanatory research
design has been chosen. Explanatory design can also be named as causal research design and
as the name suggests explanatory research is used for measuring the causal relationship
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between the variables (Edmonds & Kennedy, 2016). It also helps in testing the hypothesis
chosen in the research and confirms the theories described in the literature review section.
3.2 Research question
1. What is the impact of technology advances on customer relationship management in
airline organization?
2. How can CRM be enhanced through technology advances in airline?
3.3 Research hypothesis
H0: There is no significant impact of technology on customer relationship management in
airline organisation
H1: There is significant impact of technology on customer relationship management in airline
organisation
3.4 Data collection tools and techniques
This research has used primary data collection method to collect quantitative data
from employees working in Australian Airlines. The research has developed a close ended
survey questionnaire as the instrument for data collection. The questionnaire consists of 20
questions where nominal, ordinal, ratio and interval scale has been used (Torous et al., 2016).
Nominal scale and ordinal scale has been used to develop demographic questions whereas
ratio scale has been used to develop questions on technological advancement and customer
relationship management. The research has used five point Likert scale to develop these
questions where the range varies from strongly agree to strongly disagree.
3.5 Sample size
Sampling has been performed to choose sample populace from the target population.
The target population included the employees working in Australian airlines and the sampling
frame included the employees working in Sydney Airport. The sample size has been chosen
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11INTEGRATED BUSINESS RESEARCH METHODS
by considering the overall employee population in Australian Airline along with the sampling
error and confidence interval. The research has kept in mind the sampling error of 15% and
confidence interval of 95% to choose 50 respondents for the study (Chaudhuri, 2016). In this
research, the study has used simple random sampling as the method for choosing the sample
population. In this research, randomisation is the basis for choosing sample population so that
all respondents have equal opportunity of being selected.
4.0 Results
Descriptive Statistics
N Minim
um
Maxim
um
Mean Std.
Deviati
on
Skewness Kurtosis
Statis
tic
Statisti
c
Statisti
c
Statis
tic
Std
.
Err
or
Statisti
c
Statis
tic
Std
.
Err
or
Statis
tic
Std
.
Err
or
How far
do you
agree that
technology
facilitates
operational
functions of
Australian
Airline?
50 1 5 2.28 .21
6
1.526 .832 .33
7
-.877 .66
2
How far do
you agree
that social
media has
a crucial
role in
managing
customer
relation?
50 1 5 2.64 .23
2
1.638 .350 .33
7
-
1.556
.66
2
Does
your
organizatio
n provide
50 1 5 2.32 .21
7
1.531 .853 .33
7
-.841 .66
2
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12INTEGRATED BUSINESS RESEARCH METHODS
adequate
training to
employees
for the
technologie
s used in
the
managing
customer
relationship
?
How far do
you agree
that
technology
in business
should be
adopted
aligning
with the
consumer
demands?
50 1 5 1.96 .16
9
1.195 1.277 .33
7
.769 .66
2
Which of
the
following
benefits is
your
company
able to
manage
through
technology
advances
50 1 4 2.80 .15
6
1.107 -.527 .33
7
-
1.029
.66
2
How often
does
Australian
Airlie
provide
training
with
respect to
technology
based
50 1 5 2.74 .18
0
1.275 .082 .33
7
-.897 .66
2
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13INTEGRATED BUSINESS RESEARCH METHODS
skills to its
employees
?
How far do
you agree
that
implement
ation of
technology
advances
have
positive
impact on
customer
delivery?
50 1 4 2.08 .15
1
1.066 .678 .33
7
-.736 .66
2
How far do
you agree
that
advancem
ent of
internet
has
facilitated
the CRM
practices?
50 1 5 2.46 .18
8
1.328 .716 .33
7
-.642 .66
2
Is
Australian
Airline is
able to
adapt to
technology
advances
in airline
industry?
50 1 3 1.62 .11
0
.780 .794 .33
7
-.879 .66
2
For how
long have
you been
working in
Australian
Airline?
50 1 4 1.88 .13
3
.940 .862 .33
7
-.106 .66
2
What
designation
do you
50 1 4 1.74 .13
0
.922 1.204 .33
7
.708 .66
2
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14INTEGRATED BUSINESS RESEARCH METHODS
presently
hold in
Australian
Airline?
Please
choose
from the
following
What is the
existing
impact of
technology
in CRM in
your
company?
50 1 5 1.54 .12
5
.885 1.987 .33
7
4.363 .66
2
What kind
of
technology
and
technology
based
platforms
are you
currently
using and
why?
50 1 5 1.84 .15
7
1.113 1.716 .33
7
2.454 .66
2
Do you find
any
challenges
in adopting
technology
to manage
CRM?
Why?
50 1 5 2.02 .18
4
1.301 1.235 .33
7
.287 .66
2
What
techniques
do you
apply to
address
those
challenges
?
50 1 5 1.94 .16
0
1.132 1.616 .33
7
2.254 .66
2
Valid N 50
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15INTEGRATED BUSINESS RESEARCH METHODS
(listwise)
Table 1: Descriptive statistics
Source: (As created by author)
Model Summaryb
Model R R Square Adjusted R
Square
Std. Error of the
Estimate
Durbin-Watson
1 .341a .117 -.031 1.348 1.779
a. Predictors: (Constant), How far do you agree that implementation of technology advances have positive
impact on customer delivery? , How far do you agree that technology in business should be adopted aligning
with the consumer demands?, How far do you agree that technology facilitates operational functions of
Australian Airline?, How often does Australian Airlie provide training with respect to technology based skills
to its employees?, Does your organization provide adequate training to employees for the technologies
used in the managing customer relationship?, Which of the following benefits is your company able to
manage through technology advances , How far do you agree that social media has a crucial role in
managing customer relation?
b. Dependent Variable: How far do you agree that advancement of internet has facilitated the CRM
practices?
ANOVAa
Model Sum of Squares df Mean Square F Sig.
1 Regression 10.078 7 1.440 .792 .598b
Residual 76.342 42 1.818
Total 86.420 49
a. Dependent Variable: How far do you agree that advancement of internet has facilitated the CRM
practices?
b. Predictors: (Constant), How far do you agree that implementation of technology advances have positive
impact on customer delivery? , How far do you agree that technology in business should be adopted aligning
with the consumer demands?, How far do you agree that technology facilitates operational functions of
Australian Airline?, How often does Australian Airlie provide training with respect to technology based skills
to its employees?, Does your organization provide adequate training to employees for the technologies
used in the managing customer relationship?, Which of the following benefits is your company able to
manage through technology advances , How far do you agree that social media has a crucial role in
managing customer relation?
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Coefficientsa
Model Unstandardized Coefficients Standardized
Coefficients
t Sig.
B Std. Error Beta
1 (Constant) 1.383 .937 1.477 .147
How far do you agree
that technology facilitates
operational functions of
Australian Airline?
-.023 .134 -.026 -.170 .866
How far do you agree that
social media has a crucial
role in managing customer
relation?
.030 .125 .038 .243 .809
Does your organization
provide adequate training
to employees for the
technologies used in the
managing customer
relationship?
.082 .132 .094 .619 .540
How far do you agree that
technology in business
should be adopted
aligning with the
consumer demands?
-.194 .165 -.175 -1.176 .246
Which of the following
benefits is your company
able to manage through
technology advances
.346 .185 .288 1.871 .068
How often does Australian
Airlie provide training with
respect to technology
based skills to its
employees?
.111 .154 .106 .719 .476
How far do you agree that
implementation of
technology advances
have positive impact on
customer delivery?
-.015 .188 -.012 -.080 .936
a. Dependent Variable: How far do you agree that advancement of internet has facilitated the CRM practices?
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17INTEGRATED BUSINESS RESEARCH METHODS
5.0 Observation
The descriptive statistics shows that mean value in all the cases are quite low which
indicates that majority have agreed to the question. However, the variance in the answered
obtained is quite high in identifying the range between the data collected. Moreover, the
Skewness and Kurtosis data have shown that the data is varies from a normal distribution. It
implies as the data collected is not following normal distribution it may not result in any
significant result. It may be due to the small size of the data set as it affects the credibility of
the research.
5.1 Analysis of Results
The model summary shows that there value of multiple R in the research is .341
which means that the correlation between the independent variable and the predictors are low.
It also signifies that the predictive ability of the model are also low. The value of R square in
this research is .117 which means that the goodness of the model is quite low. However, in
case of practical low goodness of fit does not mean that the result cannot be accepted. It
implies that the explaining capability of the independent variables are 11.7% which is quite
high for practical implications. The Durbin Watson shows that the data collected does not
have first degree autocorrelation between them.
The ANOVA table shows the model developed is not significant which means the
hypothesis developed cannot be tested and validated using the collected data. The coefficient
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18INTEGRATED BUSINESS RESEARCH METHODS
table also shows that none of the factors are showing significant value at two tailed
significance. The F value for the ANOVA table is .598 which is greater than the p- value of
0.05 and it implies that the hypothesis cannot be determined using the given data set. Finally,
it can be said the null hypothesis cannot be rejected and the relationship cannot be
determined.
6. Recommendation
In order to perform the analysis more accurately to learn how technology creates
impact on customer relationship management, a suitable research philosophy should be
applied to develop the analysis from different perspectives. This study can be further
developed with positivism research philosophy. Research methodology in the proposed study
can be further developed by explaining the research instruments and their use in the study.
Moreover, to derive a better insight about the use of technology in customer relationship
management, study should analyse the use of a particularly technology such as AI in
customer service. Therefore, more comprehensive insight in relation to the impact of
technology advances on CRM can be learnt.
7. Limitations
Proposed study is limited to primary analysis only, which means study did not have
the scope for a comparative study between two different organizations in the airline sector
with the use secondary data such as annual reports. In addition, the proposed study lacks the
necessity of a suitable sample size as the selected sample size is relatively small for the
analysis of a large airline organization. Moreover, the chosen sampling method –non-
probability often turns out to be biased because researcher makes the selection based on own
knowledge. Accuracy of the responses given by the respondents can be challenged.
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8. Future Scope
The proposed study can be further enhanced by making it a comparative study. Future
scholars can perform a comparative study between two different organizations from airline
organizations. In addition, scholars could also perform a secondary analysis to compare the
results and its accuracy. Secondary analysis would generate more comprehensive insight
about the use of technology in customer relationship management. A large sample size would
give rise to the accuracy of the outcome. To avoid the demand characteristics in sampling
method, scholars can implement a random sampling method. Random sampling assures
unbiased results.
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20INTEGRATED BUSINESS RESEARCH METHODS
References
Chaudhuri, A. (2016). Randomized response and indirect questioning techniques in surveys.
Chapman and Hall/CRC.
Choudhury, M. M., & Harrigan, P. (2014). CRM to social CRM: the integration of new
technologies into customer relationship management. Journal of Strategic
Marketing, 22(2), 149-176.
Edmonds, W. A., & Kennedy, T. D. (2016). An applied guide to research designs:
Quantitative, qualitative, and mixed methods. Sage Publications.
H. Nguyen, T., & S. Waring, T. (2013). The adoption of customer relationship management
(CRM) technology in SMEs: An empirical study. Journal of Small Business and
Enterprise Development, 20(4), 824-848.
Kolis, K., & Jirinova, K. (2013, January). The Impact of the Customer Relationship
Management on a Company's Financial Performance. In Proceedings of the European
Conference on Management, Leadership & Governance (pp. 129-135).
Rahimi, R., & Kozak, M. (2017). Impact of customer relationship management on customer
satisfaction: The case of a budget hotel chain. Journal of Travel & Tourism
Marketing, 34(1), 40-51.
Shafique, M. N., Ahmad, N., Abbas, H., & Hussain, A. (2015). The impact of customer
relationship management capabilities on organizational performance; moderating role
of competition intensity. Nigerian Chapter of Arabian Journal of Business and
Management Review, 62(2154), 1-20.
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21INTEGRATED BUSINESS RESEARCH METHODS
Soltani, Z., & Navimipour, N. J. (2016). Customer relationship management mechanisms: A
systematic review of the state of the art literature and recommendations for future
research. Computers in Human Behavior, 61, 667-688.
Torous, J., Kiang, M. V., Lorme, J., & Onnela, J. P. (2016). New tools for new research in
psychiatry: a scalable and customizable platform to empower data driven smartphone
research. JMIR mental health, 3(2), e16.
Trainor, K. J., Andzulis, J. M., Rapp, A., & Agnihotri, R. (2014). Social media technology
usage and customer relationship performance: A capabilities-based examination of
social CRM. Journal of Business Research, 67(6), 1201-1208.
Tseng, S. M., & Wu, P. H. (2014). The impact of customer knowledge and customer
relationship management on service quality. International journal of quality and
service sciences, 6(1), 77-96.
Wang, S. W. (2014). The moderating effects of involvement with respect to customer
relationship management of the airline sector. Journal of Air Transport
Management, 35, 57-63.
Wang, Y., So, K. K. F., & Sparks, B. A. (2017). Technology readiness and customer
satisfaction with travel technologies: A cross-country investigation. Journal of Travel
Research, 56(5), 563-577.
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Bibliography
Bresler, L. and Stake, R.E., 2017. Qualitative research methodology in music education.
In Critical Essays in Music Education (pp. 113-128). Routledge.
Choy, L.T., 2014. The strengths and weaknesses of research methodology: Comparison and
complimentary between qualitative and quantitative approaches. IOSR Journal of Humanities
and Social Science, 19(4), pp.99-104.
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Quinlan, C., Babin, B., Carr, J. and Griffin, M., 2019. Business research methods. South
Western Cengage.
Smith, J.A. ed., 2015. Qualitative psychology: A practical guide to research methods. Sage.
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23INTEGRATED BUSINESS RESEARCH METHODS
Questionnaire
Close-ended questions:
1. How far do you agree that technology facilitates operational functions of Australian
Airline?
 Strongly Agree
 Strongly Disagree
 Neutral
Agree
 Disagree
2. How far do you agree that social media has a crucial role in managing customer relation?
 Strongly Agree
 Strongly Disagree
 Neutral
 Agree
 Disagree
3. Does your organization provide adequate training to employees for the technologies used
in
the managing customer relationship?
 Yes
 No
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24INTEGRATED BUSINESS RESEARCH METHODS
 May be
4. How far do you agree that technology in business should be adopted aligning with the
consumer demands?
 Strongly Agree
 Strongly Disagree
 Neutral
 Agree
 Disagree
5. Which of the following benefits is your company able to manage through technology
advances?
 Profitable consumers
 Integrated Offering across channel
 Increasing customer base
 Increases in profits and sales
 All of the above
6. How often does Australian Airline provide training with respect to technology-based skills
to its employees?
 Once in fortnight
 Once in every month
 Once in every three months
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 Once in every six months
 Yearly Training
7. How far do you agree that implementation of technology advances have positive impact on
customer delivery?
 Strongly Agree
 Strongly Disagree
 Neutral
 Agree
 Disagree
Open-ended Questions:
12. What is the existing impact of technology in CRM in your company?
13. What kind of technology and technology-based platforms are you currently using and
why?
14. Do you find any challenges in adopting technology to manage CRM? Why?
15. What techniques do you apply to address those challenges?
16. Does your company organise any promotional activities to retain customers as well as to
attract new customers?
17. Does customer satisfaction surveys help to improve the technology, and does it meet
customer’s needs?
18. Has your company introduced any loyalty points system for customer retention? What are
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26INTEGRATED BUSINESS RESEARCH METHODS
they?
19. Has your company taken necessary action for employee retention for those who are the
innovators of technology? Provide few examples
20. What recommendations would you suggest to your company regarding technological
advancement?
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