Homework: Consumer Behavior
Instructions
Analyze the United Airlines events described in the timeline below with respect to its level of customer service. Take a look at the links below that will take you through a journey of brand issues for United Airlines around alleged mistreatment of its customers.
• March 31, 2008-It all started when the Sons of Maxwell tour was travelling to Nebraska via Chicago's O'Hare airport. David Carroll's $3,500 guitar was damaged. United did not deny the damage, but after nine months it stated it could do nothing to compensate Carroll for the loss. Carroll promised to write and produce three songs about his experiences with United for everyone to view online. The first video was posted on July 6, 2009.
SonsofMaxwell. (2009, July 6). United breaks guitars [YouTube Video file].
• July 22, 2009-The Times of London wrote that this incident caused United Airlines' stock price to plunge 10%, costing shareholders $180 million. Also, take a look at the number of hits the videos below received.
• April 10, 2017-United Airlines reportedly overbooked a flight departing from Chicago's O'Hare. Attempting to incentivize a passenger to give up his or her seat, it offered $800, but no volunteers came forward. United decided to randomly force four people to give up their seats. One of these four passengers refused, and United Airlines made the decision to have security forcibly remove this passenger from the plane. Videos of this event hit the Internet immediately.
Business Insider. (2017, April 10). Video shows a passenger forcibly dragged off a United Airlines plane [YouTube Video file].
• April 11, 2017-The next day, United Airlines' CEO responded.
CNBC. (2017, April 11). Social media 'tears apart' United's response to removal of passenger | CNBC [YouTube Video file].
• April 11, 2017-Repercussions were significant with the general public and outcry was intense. Talk show hosts were having a field day, and stock prices plunged again.
TheEllenShow. (2017, April 11). Ellen on United Airlines' latest headlines [YouTube Video file].
• April 12, 2017-Dave Carroll was contacted to compile a fourth video regarding United Airlines' alleged disregard of customer service.
SonsofMaxwell. (2017, April 12). United breaks guitars 4? - Dave Carroll responds to customer service incident on United Flight 3411 [YouTube Video file].
• April 27, 2017-United Airlines' response can be viewed below.
United Airlines. (2017, April 27). United Airlines announces changes to improve customer experience [Press release].
After reviewing these links, conduct your own research on the customer service issues United Airlines has had during the last 15 years. Applying what you have learned in this course, analyze its situation, and make recommendations going forward. Within your analysis, respond to the questions below.
1. How did the general population of consumers interpret the actions of United Airlines in each of these situations? Did these interpretations affect buying?
2. Do you agree or disagree with popular opinion on United's level of customer service? Did United act unethically?
3. Assuming a potential customer knew about this series of events, discuss how the concept of self-perception might affect a potential customer's decision to choose (or not choose) United Airlines for future flights.
4. After analyzing this case and your research, describe whether you personally would purchase a flight on United Airlines. Include your evaluation process and your rationale for choices in this industry. Hint: This also ties in with self-perception.
Format your homework according to the give formatting requirements:
1. The answer must be double spaced, typed, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also includes a cover page containing the title of the homework, the course title, the student's name, and the date. The cover page is not included in the required page length.
3. Also include a reference page. The references and Citations should follow APA format. The reference page is not included in the required page length.