United Airlines Strategy

Paper Summary:

This paper examines how no one industry has been impacted by the global economic recession, terrorism, war, and SARS, more than airlines; getting passengers to fly is the most challenging part of the current airline industry woes. It discusses United Airlines's customer service delivery strategy, which is designed to win new business and to keep existing customers content.

From the Paper:

"Leisure travels are also looking for the best deals and many are willing to forgo customer service for economic savings. Thus, United Airlines has had to focus on identifying which cuts in customer service would be acceptable to its customers. United Airlines has lowered its fares and compensated for the profit margin reduction by cutting back on special frills such as meal service on short flights and special meals to obtain the lowest possible fare. To achieve further cost reductions, United Airlines will stop issuing paper tickets within the United States by July 2003, and plans to issue only electronic tickets for all eligible itineraries, domestically and internationally by January 2004."

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