Analyzing the Market Research Paper Example | Topics and Well Written Essays - 2000 words

Analyzing the Market - Research Paper ExampleThe paper concentrates more than on factors that influence demand and supply, discusses the price elasticity of demand that produces a kinked demand curve in the oligopolistic airlines service disputation, and the point of equilibrium. It also describes the benefits of the intellectual property (patents and trademarks), and how it protects the owning airlines in their operations. It finally includes the introduce factors used in generating airline operate. Keywords Passengers, Airline, Flight, Demand Supply, Price Elasticity, Oligopoly, Product specialisation, Trademark, Patent, Pricing Strategy, Competition, Market Introduction The achievement or failure of airline services depends well-nigh critically, with the established efforts to attract and retain customers to their services. Several airlines get under ones skin failed before, near able to rise up again, others still struggle to cover losses while near of them end up mergi ng with other well performing airlines. The entry into the airlines business is not plainly difficult in a field considered to be an oligopoly market, but maintaining and thriving while in competition with large airlines is quite a challenge. Providing airline services require a keen and clear system in management and operational activities, to facilitate the services required by the passengers in time. It is therefore a core factor that any airline should build good relationships with their customers as a marketing strategy, so that their future long term salaryability can be safeguarded, by retaining more customers and influencing the choice of most undecided passengers in the market. The airlines reputation, ticket prices, safety record, possible delay times, and services provided (ranging from disparate travel classes and the associated beneficial facilities, services by the cabin crew) among others, influence the customer preference or enjoyment with an airline, and genera lly its performance in the market. Airlines Services Market Competition Competition in the airline industry is very high and sensitive, such that with the high fixed costs in their operation, the profit margins are usually low. However, the competition and profit margins may vary with the small changes brought about by the sizes of the airlines, the electrical capacity of the aircrafts, the routes served by airlines, means of customer attraction (such as the in flight services) and discounted fares, which make it possible for some airlines and their services to have a competitive advantage over the others. According to Papatheodorus, the modern airline services competition arises from the differentiation or the best cost provider strategy, while considering the marketing initiatives and the economic advantage, to realize they consistently provide the service in the market place (2006). Airlines both large and small, whether providing long drag and short haul services struggle to retain and add a market share. Large airlines may compete against others through its popularity, and if it has a good safety record, or high quality services, it makes it worse for its small rival companies. Most of the times, competing airlines have used generic strategies to achieve their fair share in the market. Differentiation has been a major factor among airlines, as