Classic Airline's Marketing Problems Research Paper

Classic Airline's Marketing Problems - Research Paper Example The researcher states that if one look towards the marketing strategy of an organization then there may be a product, price, promotion, distribution, marketing research, sales and advertisements of the merchandise, which can be some of the most effective strategies.   Ã¢â‚¬Å"Strategy is more concerned with effectiveness rather than efficiency and it is the process of analyzing the environment and designing the fit between the organization, its resource and objectives and the environment†. Classic Airlines was considered to be fifth largest airline corporation in the world. It has a fleet of about 375 jets that operates in about 240 cities. It has over 2300 flights daily. It has spent about 25 years from inception and has occupied a large segment of the market and has grown like anything. It has employee strength of about 32,000 employees and earned about $10 million on a sale of about $8.7 billion. Though Classic Airlines is a profitable organization in recent years it is str uggling with the increase in cost and reduced customer confidence. Classic Airlines has been operating for last 25 years in the airline industry. It was a profitable business but in recent times it has started facing challenges regarding waning customer confidence and rising cost particularly of fuel and labor. The loyal customer seems to lose confidence and the other customers who used to travel frequently have started to be less frequent with Classic Airlines. This was a huge setback for them in terms of revenue. While going through the data one can see that for several months in the year 2003 and 2004, the company was running at a loss.