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Essay / Research Paper Abstract
When recession hit both the British and international economies at the end of the 1970s, British Airways ran into heavy losses. This 5 page paper looks at the way that the government and the management of the firm responded, how the strategies changed and were eventually aligned to market needs and the results of those strategies. The bibliography cites 3 sources.
Page Count:
5 pages (~225 words per page)
File: TS14_TEBA1970.rtf
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Unformatted sample text from the term paper:
were present, poor economic condition which developed into a full recession, which was not aided by the oil crisis that saw the cost of fuel sky rocket. The 1970s were
also a difficult tie with unions seeking to establish their power and the policy of the Margaret Thatchers government to be the breaking of union power which she saw as
crippling businesses making them unable to make necessary commercial decisions. It was against this environment that there were problems at British Airways (BA), this national flag carrier airline was a
nationalized industry and was showing many of the symptoms on inefficiency that is associated with state owned business. Many of the policies used to deal with BA by the
management were influenced by government policy and the actions taken were not always positive. However, despite this very difficult period of history for BA changes were made and lessons learnt
from failed attempt to change the firm and its strategy. Today the company is a successful airline, but the current success is still influenced by this period of history.
The problems were brought to the fore in a very public way in a 1980 survey of International airline passengers 33% of customers
had stated that the company they most wanted to avoid was British Airways (Blyton and Turnball, 1994). By looking at what lead to this and the relevant events the reactions
of the management over this time can be examined. A key element that had been noted was the way in which the employees were de-de-motivated and were resentful of the
way in which they had been treated. The main change is seen in 1983, but to consider this change the position before this needs to be considered.
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