Anthony Chia This conceptual paper presents a preliminary empirical proposal to extend current service quality research to the Asian airline industry. Three inherent directions are implicated from the literature.
What do you do when your airline loses two passenger planes in a period of four months, resulting in the death or disappearance of more than five hundred people?
If you are Malaysia Airlines, you rebrand. The bewildered airline faces this challengein the wake of two high profile airline disasters recently. The first tragedy, which occurred in March, resulted in the disappearance of passengers and crew when Flight MH vanished, presumably over the Indian Ocean.
Shortly after that event in July, as the company frantically tried to repair its image through a public relations blitz, a second senseless disaster crippled the company when Flight MH17 crashed over the conflict area of Ukraine, killing all crew and passengers aboard. As the fallout from these events continues, the company hinted at accelerating plans to rebrand the companynow including the possibility of changing the airline's name and completely overhauling its image.
The company, which is owned mostly by the Malaysian government, has also expressed increased interest to bring on additional investors.
According to Hugh Dunleavey, Malaysia Airline's commercial director"There are several options on the table but all involve creating an airline fit for purpose in what is a new era for us, and other airlines.
Investigators struggle to determine the cause of these two events, which in both cases remains unknown. Regardless of the outcome, many hypothesize that the airline's days may be numbers so long as passengers consider flying on Malaysia Airlines too much of a risk.
There is precedence to this strategy. Embroiled in a controversy over an airline crash in that killed people, ValuJet merged with a much smaller competitor, AirTranassuming the smaller airline's name and even moving its headquarters.
Many believe that the quick move to change the name helped save the airline. Clearly, Malaysia Airlines is a much bigger company with much more at stake. Whether this strategy will help the airline overcome public opinion and the presumed risk resulting from these eventsis still unclear.
Do you think Malaysia Airlines can recover from these disasters? Isrebranding the company the right strategy?
Please share your thoughts below. Jul 30, Like this column? Sign up to subscribe to email alerts and you'll never miss a post.Strategy Our ir-vision To continue to be the lowest cost short-haul airline in every market we serve, delivering strong organic growth through offering the lowest airfares at a profit.
Malaysia Airlines’ codeshare with Emirates is an integral part of the airline’s future route strategy, helping to enhance connectivity with key priority markets.
Malaysia Airlines 'technically bankrupt' as new chief seeks to shed 6, jobs where he also axed jobs as part of a turnaround strategy, The corporate rebranding to Malaysia Airlines.
CORPORATE SOCIAL RESPONSIBILITY INITIATIVES OF MAJOR ASIAN AIRLINES important role in the formation of airlines’ strategies due to the unique characteristics of the airline industry.
Nevertheless, CSR in the airline industry Garuda International, Philippine Airlines, Malaysia Airlines, and Thai Airways.
Describes how the airline reinforced the Total Quality philosophy in its service culture and improved customers’ perception of its quality as a strategy to achieve this aim.