Application of E-Business Strategy Creates Competitive...

Introduction The airline industry is an area facing immense competition and with high fuel and maintenance costs, the margins in this industry are proportionately very low. As a result of this it is an area undergoing constant consolidation through a number of mergers and acquisitions. This means every airline is fighting tooth and nail to stay afloat and not go bankrupt, yet at the same time they need to find a method to create competencies for itself. On the basis of this it would create competitive advantages for itself and become a market leader. It is in this backdrop that the this paper tries to analyse whether evolving and adopting an e-business strategy helps an airline gain sufficient market advantage to prove beneficial for†¦show more content†¦Reduce costs F11. Increase productivity Airline can gain significant productivity improvements by using business-to-business e-commerce to streamline and improve its supply chain processes. Airline can save time and money by purchasing supplies via the Web. Similarly, Airline can use e-commerce to communicate and transact with distributors and customers in a more cost-effective and timely manner than through traditional channels. F12. Improve level of customer service Airline can improve it s level of customer service by allowing customers to access help information, complete application forms, pay invoices, or change their account details via it s Web site, at their own convenience. F13. Strengthen customer relationships Airline can strengthen relationships with existing customers by allowing them to access - via it s Web site - previously inaccessible decision-support information, such as detailed research reports, product specifications and price comparisons. F14. Enhance business intelligence Airline can use its Web site to collect valuable intelligence about customer needs, buying habits and preferences. This intelligence can be a valuable input to the development of new, profit-enhancing processes, products and services. Similarly, Airline can use the Web to research new markets and to gather valuable intelligence about its competitors. F15. Increase direct sales of products or services The Web enablesShow MoreRelatedStrengths And Competitive Advantages Of Easyjet Airline Company1377 Words   |  6 PagesA recent trend is business goals and strategic planning is established to satisfy company’s long-term requirements. Jackson (1975) claims that planning tried to decide a systematic decision making to influence all the factors in which success or failure would be affected. Also, compared with marketing planning, strategic planning puts more attention on overall and long-term objectives, such as organizational direction, framework, orientation, which need systematically decision. 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