Complete Choose the best alternative.

Implement alternative

Conclusion

DECISION-MAKING PROCESS OF QANTAS AIRLINES DURING COVID- 19 Introduction: Qantas is one of the world's oldest continually operational airlines and the biggest airline in Australia that was founded in Queensland in 1920. Qantas has a long history of growth and innovation, and its success may be due to its reliable safety record, strong brand, and excellent customer service. As we all know, covid-19 affected day-to-day life, and businesses and disrupted world trade and movements. During the COVID-19 pandemic, Qantas Airlines, like many other airlines, faced numerous challenges (Zhang, 2020). In order to manage the crisis and maintain its commercial operations, the airline had to make a number of important decisions. As the governments put travel restrictions in place in reaction to COVID-19. Between January and April 2020, there were 95% fewer international and domestic passenger flights, so Qantas Group announced a three-year recovery plan in response to the pandemic (Qantas Group, 2020). Qantas reduced its domestic flights by 60% in 2020 . The global economy of Qantas has been impacted by the decline in flights as Qantas and many other airlines were forced to cancel one in three flights in July 2021, which was the highest cancellation rate since April 2020, this cancellation of flights forced Qantas and other airlines like Jetstar, Virgin and Rex to implement temporary stand downs until flight can resume (Australian competition \& consumer commission 2021) (Qantas Airways Limited, 2020). This report will mainly focus on the decision-making process of Qantas Airline during covid-19. - Understand the situation: It was a very hard situation for every sector of business to clearly understand the situation and to predict the future outcomes with the current 2 decision-making process. Qantas was going through the same face of confusion as well but later on Qantas recognised that the pandemic was going to affect the airline business very seriously and they started to take steps to minimise those effects (Qantas Airways Limited, 2020). Qantas decided to prioritize their customer's safety and faith in air travel by establishing a number of safety regulations, including improved cleaning and hygiene procedures and social distance measures. It was a difficult situation to adjust to the changing environment but it was the only way all the businesses left so Qantas interacted closely with industry partners and governmental authorities to understand the situation very clearly and to work on it together. After cooperating with government organisations, the airline provided vital services to their customers such as freight and medical transport services. The airline cooperated with other airlines as well in order to carry stranded passengers home (Maloni, 2021). There was a sharp decline in the demand for air travel, and it was a challenging situation for Qantas to make decisions that affect its staff and other operations to match the mismatched situation, the airline suspended the majority of its international flights and scaled back its local capacity (Foley, 2021). Qantas used different ways to lower the costs as the airline eliminated thousands of positions and lowered the compensation. It was a hard situation to manage everything by taking financial situations in mind, but Qantas managed it very well with caution, by concentrating on cost-cutting strategies and lowering its capital expenditures (Qantas Group, 2020). - Define the Problem: Not only Qantas, but all the businesses were also suffering from heavy losses during covid as the government-imposed lockdowns, put travel restrictions, border closures, limited people gatherings, testing, isolation, mandatory masks and many more. As a result of strict actions by the government, the major issue Qantas had to see was that there was a rapid fall in the demand for air travel, which further resulted in a sharp drop in revenue for the airline. In response to this issue, Qantas put in place a number of strategies to save expenses and preserve cash while still protecting the safety of its personnel and customers. The airline was in a challenging situation to make decisions but it decided to eliminate some of its older aircraft and started buying new aircraft and also it altered its route in addition to suspending the majority of its international flights and cutting domestic capacity by about 25\%. Additionally, Qantas decided to increase the frozen wage for all employees and it reduced 6,000 jobs or around 20% of its workforce (Qantas Group, 2020). Qantas was going down day by day, so it was time to save its cash as the airline did it very well by using the different techniques of share placement and share purchase plans. The airline raised its fund AUD 1.9 billion by using share methods. It used one more way to 10 3 keep the cash which was it decided to postpone AUD 4 billion in capital expenditures and obtained AUD 1.05 billion in loan financing (Qantas Airways Limited, 2020). - Define Objective: Qantas Airline has been providing excellent service to its customers throughout its whole journey. Their main objective is to provide their customers with the best fares and services safely to their destinations. Qantas Airlines are also known as one of the safest and most reliable airlines in Australia. They also aim to have a positive impact towards their customers and throughout the world to run the airlines more sustainably without affecting the surrounding environments as they wanted to maintain their position in the market even after the pandemic recovers. During, Covid-19 travelling overseas or within your country was restricted and just like all the airlines Qantas had a rough time too. There were only certain flights that could take off under limited passengers and restrictions and it also started avoiding flying empty planes to save more cash. In this period the demand for air travel was also declining. During this period, they also created a three-year recovery plan to make their platforms stronger for their sustainable journey. The recovery plan included giving back to their customers by setting loyalty rewards and campaigns, and they started to minimize their budget with a 10% reduction in their group unit costs such as ex-fuel and depreciations (Qantas Group, 2020). Customer \& employee engagement As the airline started to involve more with their customers and started branding their airline more sustainably during these hard times, they supported their employees as they also announced to share the benefits through their recovery plans. - Diagnose the problem: During this declining period of the Qantas, they suffered a lot of difficulties in every aspect of their business. The airline could not run properly as there were only limited flights that could take off under certain circumstances. The airline was almost completely shut down which was affecting the company's financial position and its revenue. The airline had to deal with a range of operations and financial challenges such as their own airline maintenance which cost them a lot of money and employees' salaries during this period, they never let their employees feel down nor did their employees as they both stick to each other. The main problem faced by Qantas Airlines during the decline in demand for flights during COVID-19 was a significant drop in revenue, travel restrictions, closed borders and covid-19 requirements which lead the airline to financial and operational challenges. Although the airline faced a lot of challenges during this period, it got much stronger and more faced the challenges. They created different plans and strategies to face the challenges in a sustainable way by creating a minimum budget and offering more through points and vouchers to their customers (Qantas Airways Limited, 2020). 4 - Develop alternatives: In consumer decision-making, developing alternatives refers to the process of generating different options or choices that the consumer could potentially select from when making a purchase decision. This involves brainstorming different alternatives based on the consumer's needs, preferences, and available options. The goal of developing alternatives is to ensure that the consumer has a range of choices that meet their specific needs and preferences, allowing them to make an informed and satisfactory purchase decision. Qantas Airlines are looking for alternative solutions to mitigate the impact of the COVID-19 pandemic on their operations (Qantas Group, 2020). One alternative is to diversify their revenue streams by exploring new sources of income, such as cargo transportation and ancillary services. Enhanced safety measures and flexible booking options could also make passengers feel more comfortable travelling during the pandemic. To cater to the current demand, Qantas could develop alternative travel products for domestic travellers, focusing on marketing campaigns to encourage Australians to explore their own country. Cost-cutting measures such as reducing the number of flights or temporarily suspending unprofitable routes could also be implemented. Finally, Qantas could explore partnerships with other airlines or travel companies to expand its offerings and reach a wider audience. It is important for Qantas to evaluate the feasibility, desirability, and potential impact of each option before making a decision. Qantas must continue to adapt and innovate during these challenging times to stay competitive in the aviation industry (Qantas Airways Limited, 2020). - Evaluate alternatives: Evaluating alternatives in consumer behaviour involves assessing and comparing different options before making a purchase decision. Consumers consider factors like price, quality, features, and convenience, and gather information from personal experiences, reviews, and advertising. It is important for Qantas to evaluate the feasibility, desirability, and potential impact of each option before making a decision. Qantas must continue to adapt and innovate during these challenging times to stay competitive in the aviation industry. The mentioned alternatives in the paragraph have different impacts on various stages of the consumer decision-making process. Diversifying revenue streams by offering additional services like cargo transportation and ancillary services influences the information search stage, as consumers gather information about these offerings to assess their value and relevance. Enhanced safety measures and flexible booking options primarily impact the evaluation of the alternatives stage. Consumers consider these factors important in their decision-making process, and Qantas' implementation of these measures can positively influence their perception of the airline's reliability and their willingness to book with them. Developing alternative travel products for domestic travellers targets the need for 5 recognition and evaluation of alternative stages. By introducing attractive options, Qantas aims to fulfil evolving customer needs and provide appealing choices during the decision- making process. Cost-cutting measures impact the evaluation of alternatives and purchase stages. Consumers evaluate the pricing and value offered by Qantas in light of these measures, and affordability and perceived value can influence their decision to choose Qantas over competitors. Exploring partnerships with other airlines or travel companies influences the information search and evaluation of alternative stages. Consumers consider expanded offerings and potential benefits resulting from partnerships when comparing Qantas with other airlines and making their final decision (Qantas Airways Limited, 2020). - Choose the best alternative: - Implement alternative: - Conclusion: 10