Marketing

Running Head: Classic Airlines and Marketing

Classic Airlines and Marketing

Dayana Jones

Marketing/571

Professor Porter

June 13, 2011

The airline carrier ,Classic Airlines ,is fifth largest in the world with 375 airplanes who services 240 cities and has 2,300 flights each day. "Since its inception 25 years ago, Classic Airlines has more than 32,000 employees. Last year the company had a net income of 10 million dollars "(Classic Airlines, 2011).

Obstacles

Even though Classic company is making a good profit, because they are seeing their shares net income decreasing. An example is "This year the company had a net income of $10 million, however; the previous year had a net income of $71 million. The company has experienced a 10% decrease in share prices. Classic Airlines has the highest labor cost in the industry" (Classic Airlines, 2011). It does not help that September 11, 2001 is in everyone's mind along with the airlines . Classic Airline is not only dealing with economic part downturn, but they are dealing within an inside factor of the company. Their employees morale has deteriorated with the challenges causing Classic Airlines hard to move forward. Classic Airlines is looking for solutions to help them in their current difficulties and re-vamp their position in the Airline marketplace.

Creation and marketing plans

Classic Airlines is to set to have a net profit increase each year in order to see improvement and continue to be in existence. Classic Airline will need to develop an effective marking plan. The Airline company will need focus on the passenger and how to increase them and entice new ones. New customers can be given the frequent flyer miles with a discount price and new customer can be given the plan with some miles placed on the card. The company want to keep it loyal customer and entice new one to see a rise. "A marketing plan should select potential markets and getting, keeping, and growing new customers by...