Marketing 571

Classic Airlines once an exceptional airline company is now suffering the effects of the down economy and increased consumer anxiety about flying. Classic now feels the need to revamp their program in order to stay in business and remain profitable.
Classic Airlines faces a few problems and troubled areas in its industry. Classic needs to increase profits by decreasing costs. In analyzing the issues observed, Classic needs to develop a problem statement. This statement will identify the issues in which need to be solved. The goals of Classic can be developed once the problem statement is created.
In addition some alternative solutions aside the problem statement and end state goals need to be looked at. In the end the best solution will be implemented and practiced in Classic Airlines.
Problem Identification
Classic is faced with many concerns. One of the problem classic faces is the decrease in buyer confidence. The decrease in numbers speak for themselves. The Classic rewards program measured a 19% decrease and flights per remaining showed a 21% decrease.
Classic ability to implement new services is hindered due to the lack of stakeholder alliance. The CEO and CFO need to implement ideas from the management team. However the CEO is doubtful to listen to management ideas due to the past marketing plan.
With increased public inquiry, Classic is experiencing a 10% decrease in price per share over the last year and increase in cost of fuel and labor. This combination has developed a new issue for Classic which is the employee morale is on an all time low.
Classic has told its managers they need to decrease the marketing budget by 15%. Even though this has created massive issues for Classic, it has also created an opportunity for identifying and implementing end state goals to take Classic to the top.
Problem Identification and End State Goals
Core issues need to be identified if Classic wants to decrease marketing by 15% in...