Case Study Qantas Airlines

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Situation The case Qantas Airlines: Twitter Nosedive embellishes upon the troubles that the airline faced in recent years. These troubles caused great harm to Qantas Airlines when the company made a social blunder announcing a Twitter contest that caused an unexpected outcry from the company’s global customer base. For the dissatisfied customers, it was a great opportunity to express their opinion in public. The unsuccessful contest brought a lot of attention, but not in the way Qantas was hoping for. This negative opinion of Qantas was exponentially spread resulting in serious damages to the company’s public image. These negative comments spiraled deep from the fact that the company was suffering with many technical engine and aircraft problems pertaining to the poor condition of aircrafts. These problems aided towards concerns with employee work unions that led to strikes and finally the grounding of the aircraft fleet for several days. This resulted in thousands of stranded customers around the world. From these series of events, the company now faces challenges with negative image in the eyes of the public. Analysis In order to keep the situation from rapidly expanding to the public, it would be advised that the company responds immediately to the situation. This should be executed through being proactive and sensitive to the situation of stakeholders such as the public, as well as shareholders of the company. In this situation, the internal stakeholders would include company shareholders, while external shareholders would consist of the public who are impacted the most. The main goal here is to silence the situation Qantas faces as soon as possible while proactively amending ties with public relations. As an advisor, severa... ... middle of paper ... of deteriorating the company’s financial well-being. However, no major risks lie at this point in time. If all steps and recommendations are followed, it is bullish that the situation Qantas currently faces, will be rectified in an efficient and timely manner. Conclusion Through initial analysis, it is evidant that Qantas does have negitive limelight with public relations. However, it is nothing that cannot be fixed. Throughout this analysis, we have embelished upon the situation Qantas faces, as well as evaluated and quantified potential alternatives that Olivia Wirth can present to upper management. We have also propsed a recommendation highlighting a compensation strategy, along with an action plan to implement the proposed recommendation. If all steps outlined above are followed by the company, we may finally be able to see a new hope for Qantas Airlines.

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