Case study: royal blue, Other Management

Assignment Help:

Case Study

Royal Blue the national passenger carrier for commercial flight, appointed a new advertising company, Amadeus. Amadeus was hired to spearhead a more customer oriented campaign, after Royal Blue was highly criticised for its hedging advert in 2009 that featured the slogan ‘Hedging for the future'.

Royal Blue spent Rs 100 millions for that campaign which showed millionaire businessman Ralph Lorenzo sipping a scotch in the first class and watching other airlines grounded because of the lack of fuel.

The advert got good pre-publicity but turned out to be a communication disaster when it coincided with the news that Royal Blue was laying off 200 employees for economic reasons.

The earlier advert provoked a national debate and even politicians from either side of the House criticized the advert saying the Royal Blue's customers should revolt.

Royal Blue's image crisis worsened when it was revealed that the new Chief Executive who spent only three months in office was paid a compensation of Rs 30millions when he left. Competitor Red Wing had been running adverts that triumph the fact that it is reducing its air fares by 10 %. Furthermore Royal Blue published its annual report showing a deficit of Rs 1.5 billions.

To make matters worse Royal Blue announced that it is cutting cost on food and drinks served on regional flights.

Questions

(a) What were the exact causes and events that led to this communication crisis for Royal Blue? Sustain your answer by referring to examples in the case study.

(b) Classify the stakeholders in the case study as equity, economic/ market and influencer stakeholders. Justify your classification.

(c) List down your recommendations to repair the damage caused to the reputation of Royal blue.


Related Discussions:- Case study: royal blue

Organizational behaviour, A large unit manufacturing electrical goods which...

A large unit manufacturing electrical goods which has been known for its liberal personnel policies and fringe benefits is facing the problem of low productivity and high absenteei

reference section-staff activity area of library building, Reference Secti...

Reference Section-Staff Activity Area of library building in library management Reference activity is one of the most important activities of a library and very often it is th

Online database services, Online Database Services: We shall be referr...

Online Database Services: We shall be referring to online databases. Most of the well-known indexing and abstracting services are now available both in the print form and in t

Key concepts of management in six sigma, K e y concepts of management ...

K e y concepts of management The Key concepts of management in Six Sigma are Critical-To-Quality (CTQ), defect, process capability, variation, stable operations and Design Fo

Pros and cons of corporate social responsibility, Question : More and m...

Question : More and more hospitality managers are aiming towards sustainability. (a) As a future trend for management of hospitality organizations discuss what particular

Choice of an inner form for a library catalogue, Choice of an inner form fo...

Choice of an inner form for a library catalogue: As can be seen from the foregoing discussions of the inner forms of a library catalogue, no particular inner form would effect

Explain its relevance to the public sector, QUESTION 1 (a) Every organi...

QUESTION 1 (a) Every organisation must focus on quality performance. With the help of a schematic diagram, define the following terms as applied to management performance and i

Forcast demand, A firm uses simple exponential smoothing with à=0.1 to forc...

A firm uses simple exponential smoothing with à=0.1 to forcast demand.the forecast for first week of february was 500units whereas actual demand turned out to be 450units....1.for

What is the importance of technology diffusion, Question 1 Write a short n...

Question 1 Write a short note on technology strategy. Describe in detail about the innovation management Question 2 What is the importance of technology diffusion? What are t

Periodical display rack-step type, Step type-Periodical Display Rack-librar...

Step type-Periodical Display Rack-library furniturein in libraray management  In this type the periodicals are displayed stepwise, each step being 5 cm deep and 15 cm high. Le

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd