customer service – related product features

• point-of-sale service
• reservations and overbooking
• airport service 
• inflight service

fleet and schedules – related product features

• cabin configuration
• network, frequency and timings
• puncuality

focus strategies

two types of forecasting

• value added forecasting
• low cost forecasting
• lost- in the middle

strategic families

cost leadership
fundamentals of business model

• low fleet costs
• low landing fees
• short turn around
• limited on board service
• point-to-point only
• simple fares
• low distribution costs
• non-refundable tickets

Porters Five Forces

• rivalry among existing firms
• subsitution
• new entry
• power of supplier
• power of customers

PESTE analysis

political factors:

• terrorism
• open skies and deregulation
• marketing policies
• privatization
• state aid
• airport slot allocation

economical factors:

• economical growth and the trade cycle

social factors

• the ageing population
• changing family structure
• changing culture
• deregulated lab-our market
• female business traveler

technological factors

• video-conferencing
• internet
• surface transport investment

environmental factors

• climate change
• shortage of infrastructure
• tourism selectoion

customer requirements

• frequency and timings
• punctuality
• airport location and access
• seat feasibility
• ffp
• airport service
• in-flight service

segmentation variables in the air passenger market

1. journey purpose
2. length of journey
3. country/culture of origin of traveller

Industrial Buying Behavior

• decider
• gate keeper
• buyer
• user
• influencer

who is the customer

• will a trip be made at all?
• what mode of transport will be selected?
• what class of travel?
• what airline will be selected?

what business are we in

• transportation
• communication
• leisure
• logistics
• information
• selling services

stages in the application of Marketing Principles of Airline Management

• the customer
• the marketing environment
• strategy formation
• product design
• pricing and revenue management
• distribution channel
• selling, advertising and promotional activities

7s model

• strategy
• structure
• systems
• skills
• staff
• style
• shared values

A.D.Littles Life-cycle approach to strategic planning

• assessing suitability
• life cycle analysis
• positioning

cash cow implication

• discounted cash flow analysis
• benefit cost ratios
• sensitivity analysis
• financial analysis
• shareholder value analysis
• analyzing risk
• verification activities
• exit criteria

experience curve

benefits:
labour efficiency
standardization, specialization and methods improvements
technology driven learning
better use of equipment
change in resource mix
product redesign
value chain effects
network building
shared experience

grand strategies

Strategy Formation Generic strategies

• cost leadership strategy
• differentiation
• focus and niche strategies

scenario planning

five steps
step 1:identify and analyze the organizational issues that will provide the decision focus
step 2:specify the key decision factors
step 3:identify and analyze the key environmental factors
step 4:establish the scenario logic's
step 5:select and elaborate the scenario
step 6: interpret the scenario for their decision making 

swot analysis

• analysis of firm against competition
• swot matrix
• pestle analysis
• case analysis
• analyzing a case
• historical and swot analysis
• analyze the organizational history
• examine internal environment
• examine external environment
• analysis of strategies
• analyze corporate level strategy
• debate the merits
• analyze business level strategy
• analyze structure and control systems
• recommendations and discussions
• make recommendations
• class discussions

critical success factors

• business and policy objectives
• implementation options
• prioritized change initiatives
• programs
• work streams
• policy outcomes and benefits from changed organisation

3 stages in CSF

• identification
• key decisions
• information requirements

value chain

how to use value chain?

• cost reduction
• product differentiation
• outsourcing 

competitive & environment analysis

• competitiveness profiling
• perceptual mapping
• joint space analysis
• competitiveness profiling
• strategic group analysis
• five forces model
• threat of new entrant
• bargaining power of supplier
• bargaining power of buyer
• existence of substitute products
•  intensity of rivalry
• getting information

hierarchical level of planning

• setting of objectives
• balance your objectives
• multiplicity of objectives
• themes for objectives
• use result oriented objectives
• quantify your objectives
• network objectives
• make them Challenger but attainable
• SMART formula

Mission - Vision of the firm

• vision statements
• a basis for performance
• way to communicate
• mission statement
• preparation of vision and mission statements
• revision of mission statement