Classic Airlines and Marketing Paper
Tori Jordan
University of Phoenix
Donna Kopotic
November 4, 2009

Classic Airlines and Marketing Paper

  “Classic Airlines is the world’s fifth largest airline. Its fleet consists of more than 375 jets serving 240 cities with more than 2300 daily flights. Classic has grown to an organization of 32,000 employees in its 25-year inception and last year earned $10 million on $8.7 billion in sales.   Classic Airlines has sustained profits even though it has been plagued with numerous problems.   Classic has seen a 10% decrease in share prices in the past year. Employee morale is at its lowest because of scrutiny from the investment community, negativity from Wall Street, the media, and the public.   Customer confidence is also declining as well as Classic’s Rewards program, which measured a 19% decrease in the number of Classic Rewards members, and a 21% decrease in flights per remaining members. Rising fuel and labor cost have hindered Classic’s ability to compete for the valued frequent flier miles. The September 11 past events have caused Classic to face a restrictive cost structure unlike some of the newer airlines that have developed recently and lastly, Classic is facing a 15% across-the-board cost reduction over the next 18 months(My Phoenix Esource)”.   This paper will point out the challenges Classic is currently facing within the corporate culture, as well as, everyday challenges as a whole.

      Classic Airlines has many challenges, but since this airline has been around so long, and throughout the years have risen above other issues; this airline has an ingredient that the newer airlines does not, and that is experience, and this factor alone will give Classic an advantage.   Classic airlines needs to examine all problems through extensive research, and turn the obvious troubled circumstances into opportunities through carefully defining the situation.   First, Classic should target frequent business...