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Quality Management On Domestic And Global Competition

1337 words - 6 pages

Quality Management on Domestic and Global Competition
Allen Mukamusoni
Saturday, March 17, 2012
John Dewey

Quality Management on Domestic and Global Competition
Lufthansa is originally from Germany, and is one of the world's largest airlines and an aviation group with a network of more than 400 subsidiaries around the globe, operating in six business areas: passenger business, logistics, maintenance, repair and overhaul, catering, leisure travel and international technology services. Southwest Airlines Company (SA) is an America low-cost airline based in Dallas Texas. Southwest Airline is the largest airline in the United States based upon domestic passengers carried ...view middle of the document...

In addition, both airlines apply total quality management in their service of management in the following ways, such as, taking on a quality control program for building a successful service process along with the corresponding quality and scheduling measures. Both Airline also follow the acceptance of quality control programs, and examine a detailed evaluation program, which assists in evaluating the characteristics of their product and service necessities, and to create policies and procedures. Another similarity is that the management establishes the essential processes whereby deviations, if any within the existing delivery system can be identified (Goetsch, D. L., & Davis, S. B, 2010).
For many years Southwest Airline and Lufthansa have been dominant airlines in the Airline service industry. Both companies implement the Total Quality Management. Both Southwest and Lufthansa use a comprehensive evaluation program that helps management in evaluating the product and service, which is based on the companies budget service needs. Management develops a program that dictates the selection of appropriate measures, review plan, and check out processes, which is arranged by middle management, and approved by the top management team.
Both companies give rewards to customers that use their services. Southwest Airline rewards customers who travel with SA. The rewards include unlimited miles, which are earned in points for every dollar spent, reward seats, no blackout dates, and reward points that do not expire. For Lufthansa, the rewards include: Amex points to Lufthansa, frequent flyer miles to Europe, and American Express membership rewards.

The reasons why the process or produces a competitive product or service in the domestic and global markets are because if the worldwide competition, evolution to global marketing, domestic marketing, International marketing, and Global marketing specialization. The increasing intensity of competition in global markets is a challenge facing companies at all stages of involvement in international markets. As markets open up, and become more integrated, the pace of change accelerates, technology shrinks distances between markets and reduces the scale advantages of large firms, new sources of competition emerge, and competitive pressures mount at all levels of the organization. Also, the threat of competition from companies in countries such as India, China, Malaysia, and Brazil is on the rise, as their own domestic markets are opening up to foreign competition, stimulating greater awareness of international market opportunities and of the need to be internationally competitive. Companies which previously focused on protected domestic markets are entering into markets in other countries, creating new sources of competition, often targeted to price-sensitive market segments. Not only is competition intensifying for all firms regardless of their degree of global market involvement, but the basis for...

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