Question

What are 5 advantages and disadvantages of International Strategic Alliances in the airline industry (for customers)?

Answer 1

advantages of International Strategic Alliance in the airline industry for the customers

1. Customers are benefitted through airline rates, ticketing and through baggage checking.
2. They can book though online services for any airline they wish to choose, no need to go and book at the particular airline counter.
3. Same terminal, adjacent counter check in facilities are availed.
4. The customners can avail the benefits of mutual frequent flyers and earn the mileage awards, etc on all airline services.
5. The refund processes also speeds up at online portals, smartphones etc though they travel by any airlines, refund can be done at one point itself.

disadvantages of Internatinal Strategic Alliance in the airline industry for the customers

1. If any of the airlines pulls back their alliance , the customers will have to bear the brunt in way of price increase, late refunds, no benefits etc.
2. There will be lack of trust in some or other ways among the airlines then the customers will suffer due to this.
3. As the services of airlines availed by the customers are mostly through online portals, if any of the airlines is suffereing losses or facing any financial loss etc , customers will not be informed regarding the same.
4. In wake of tough competition and perform better, the airlines may cheat on the customers and they might face the after effects.
5. As there are lots of alliances and they have grown too much, lots of complexities have emerged in their way of working and the rules and laws, these may create hurdles in customers' satisfaction levels.