Classic Airlines Marketing Solution

Running Head: CLASSIC AIRLINES MARKETING SOLUTION

Classic Airlines Marketing Solution

LaKwanza Perry

University of Phoenix

Classic Airlines Marketing Solution

Classic Airlines is the world's fifth largest airline with a fleet of more 375 jets, serving 240 cities (Keller & Kotler, 2007), with more than 2300 daily flights. The airline has grown to an organization of 32,000 employees from exception 25 year ago. The company has also earned $10 million on $8.7 billion in sales last year (University of Phoenix, 2010). According to Plunkett, the commercial airline industry has always been susceptible to economic and political changes, mostly in times of economic crisis (Plunkett, 2009); therefore, Classic's challenges as an airliner are not unexpected.

The company is an important competitor in the airline industry; however, like many other airlines; Classic faces many challenges because of growing consumer concerns about flying and market changes.

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Classic Airlines knows changes are required for the company; however, the management team must identify the current marketing problems plaguing the organization and determine options for solving these problems. This paper will help Classic Airlines by using the nine-step problem-solving model to identify issues and opportunities that will assist the airline with their current marketing problems, identify the internal and external pressures contributing to the company's crisis, explore the objectives and obstacles of the marketing department, and provide justification for the identified solution.

Issue and Opportunity Identification

Classic Airlines has managed to maintain profits but the company still faces a series of internal and external issues. As consumer trust dwindles in the airline and the company incurs increased expenses to perform day to day functions, creating solutions that add worth to the organization and meet changing consumer demand while reducing cost is the airlines main objective.