Global Marketing, Term Paper Example

Segment I-How Strategic Marketing Decisions are Made and Consider the Drivers in the Global Environment

Strategic marketing decisions are made through the process of goal formulization and through the process of attempts to specify functional areas of goal setting of strategic process planning as stated by Anderson (2008). “Where would you like to go from here?” “That depends on how you want to get there said that the cat to Alice.” The obvious wisdom of strategic planning comes from the planning mode and with that said is the major link between goal planning and of what the organization wants to achieve, the operating process and the various functional plans and means it uses to get there. (Hoffer and Schendel 1978, p. 13). “It would be most useful to assess the current status of the state of knowledge of the planning of the goals of the corporate structure and the way the business wants to lead to access the strategic marketing plan.” This would access the general rubric of the plan for the company’s success and the drivers of the global environment to come. (Anderson, 2008).

Segment 2-Evaluate the Trends in the International Market Sector for Emirates Airline

A key to having a successful international business plan is having a successful trading plan. There are certain rules that an international investing company must follow in order to be successful. The keys to being a successful global trader are: (1) Think as a value investor would think (2) Use basic charts when designing your trade plan (3) “Be a contrarian” (4) When investing make sure to expect the unexpected (5) Make sure you understand that stop loss equals insurance (6) “Parabolic rises always end up crashing” (7) Concentrate on your choices of investments (Levi  2010).

In short term trading it is wise to look for reversals and to identify simple analysis or trends. Trading is difficult and complicated to do so in order to make it work, it is easier to follow the simple principles and concepts to make trading work. Price is normally the best indicator for trading. (McPhee  2010). “Essentially, your mental ability to manage losses and profits, the good times and the bad, your capacity for risk management, and the self-discipline necessary to avoid becoming too greedy are all subsumed beneath the heading of ‘trading psychology’, along with many other similar skills and abilities.” (Develop your Trading Plan 2009). We need to remove our emotions from our trading decisions in order to be a successful trader. Some important factors to consider when deciding what trading plan is right for you and the company you are managing or the company you own are your commitment level to trading, your computer skills, the environment that the business is set and the tolerance level that the business manager and trading personnel are comfortable at risking. The risk level is perhaps the most important when considering what and when to trade globally speaking. A person’s mental agility, comfort level with risks, comfort level with trading, confidence with themselves and other self-esteem factors all determine trading comfort levels and trading success globally. “People tend to overcomplicate things and this can make trading more difficult especially with the various software packages out there. A trader must possess counter intuitive notions to make trading easy and smooth.” (Develop your Trading Plan 2009). Your trading mindset or psychology, your trading plan and your trading method are all important in having future success in international trading. You must question yourself the following:

• “Under what circumstances will you enter a trade?
• How much money will you commit to the trade?
• Under what circumstances will you close the trade?” (Develop your Trading Plan 2009).

You should keep your trading plan simple and do not overwhelm yourself. Keep your trading plan suited towards your own personality so that it will work with you.

In order to critically evaluate the trends in the international market in which Emirates Airline Company operates we must consider the corporate sustainability model (CSM) as an essential tool for “a useable way of meeting financial, strategic operational, ecological and social goals of an international organization.” (Yilmaz 2008, 1). This new tool is considered essential with relation to assessing risk management and corporate sustainability. All new companies and developing companies such as Emirates Airline Company has to be prepared for taking risks and further prepared for any risks that may be mitigated against current insurance companies. Lane states, “There should be a balance between risk and reward (2007)”. Enterprise Risk Management (ERM) is a business wide tool used to help an international company achieve its success rate by decreasing risk through “informing management of strategic goals, optimizing the costs of risk management, invigorating opportunity seeking behavior by creating sustainable cost competitive edges and making sure the risks are drawn out so they can be assessed properly in advance.” (Yilmaz 2008, 205).

Segment 3-Consider Concepts of Market Analysis and Segmentation

As the world is changing faster and faster daily it is very important an organization stay focused to address the keep the employees focused on addressing their full potential so that the world can become a better place. The world needs to become a better place full of values and ethics. There must be systems thinking, personal mastery, mental models, and productions by means of synergy, a shared vision where all are working on the same level of communication and a personal art or belief of wanting to leave your mark on earth through your work.

Segment 4-Evaluate the Market Structure, Geographic Spread of Products, Customer Segmentation and Competitive Position of Key Global Players

The market structure of Emirate Airline Company is built upon the geographic spread of the products offered, the customer segmentation and the competitive positioning of key global players including other airline company international competitors. Emirate Airline Company, a global company has recently opened its geographic areas of servicing passengers to and from Dubai to Los Angeles, CA, San Francisco, CA, to Tokyo, Japan, to Madrid, Spain, to Prague, Czech Republic and to Durban, South Africa. This new addition of geographic referencing areas has made the airline industry even more powerful in terms of servicing areas.

Emirates Airline Company has the mindset that customer segmentation is one of the largest keys to promoting a healthy and effective marketing strategy. Why? The company feels this way because all customers are unique and cannot be generalized and grouped into one segment. Each customer can be grouped into a segment of diversified customers unique to their individual needs. When the airline meets the demands for these needs unique to each segment they meet the cultural needs for a variety of the geographic region of international flyers, hence the rate of flyers will increase and the ticket purchases will increase. The idea is to increase a return on your investment. “Market segmentation focuses on a subset of prospects which are potential customers that possess the greatest potential of becoming customers or becoming returning customers and generating income for the airline company-in this case Emirates Airline Company.” (Market Segmentation Strategies 2008).

Segmentation can be accomplished by offering a variety of products to meet different customer needs, taking designs already implemented and re-designing them to adapt to meet new customer demands, conducting research to keep up with competitor’s advantages to supersede their offerings, identify your most profitable and least profitable customers and try to cater to the most profitable customers and make adequate motions lure in new customers. Find new and innovative ways to change your positioning to set your company apart from the competitors. Try to establish a niche with your airline company that other companies do not have.

Some of the niches for Dubai were the opening of new hotels in 2008 which gave light to the airline, Emirates Airline Company and kept the flow of customers into the country on a regular basis. Despite the rising costs of oil, the United States and European economies, United Emirates stood strong during the past two years from 2008 to present with relation to the travel industry. Etihad and Emirates Airlines both returned profitable revenues for 2008 while other global airline companies were struggling during the economic crisis.

When a business has a competitive positioning or edge over its competitors it can surpass its competitors and surpass the expected revenue for the company. A competitive edge cannot be sustained indefinitely or can only be sustained as long as a company keeps its value creating process unduplicated by a competitor. There are five forces that keep a company a key competitor of global positioning in the airline industry:

Segment 5-Importance of Organizational Learning and Impact on Strategic Direction

A fast growth organization uses management approaches with strategic base. They represent non-profit, public as well as private organizations. They communicate their visions to their stakeholders by defining the concept and by defining the concept to show the growing relevance. The foresight is to gain useful experience to make the organization grow within a six month period. The leaders realize the company must continue its growth well into the future. The managers realize the environment is constantly changing and competitors are constantly trying to gain advantage hence they must adapt product and service adaptability to meet customer demands. Richard Hughes and Katherine Beatty defined Strategic Planning as a four piece puzzle. “It is concerned with doing the right things for your business rather than with doing things right.” (Switzer, 2008).

Segment 6-Summary of Product Market Focus

1. The availability of the product needed as well as the final price of the product will have influence on the competitiveness of the industry.
2. Information available to customers, the areas of which marketing is concentrated, and costs associated with transfer of marketing costs will determine revenue and competitiveness.
3. Substitute products will always decrease revenue depending on how long they stay on the market and the time it takes a company to revamp a new product or improved version of their an existing product or service.
4. Rivals pose a threat always to your business whether it is a good or airline service.
5. Once your company is on the positive or right side of threat there will be no need to fear competitors-make sure you continue to follow your game plan or marketing strategy.

The United Emirates Airline Company is the seventh largest global carrier in the world and they got that way by being smart and competitive. It is very risky to develop large and vast business facilities that accompany this powerhouse airline. The goal of the airline is to block new entrants into the airline industry so that their revenue does not decrease. Boeing and Airbus are the two main suppliers that the company uses and they do not make any dealings with any other suppliers. Substitutes are always present in demand times when they are necessary. United Emirates Airline Company knows during down times revenues may be low and they are willing to ride out the slow times and weather the good times as well to ensure their future positioning in the global airline community of competitors.

Segment 7-Consider Global Market Strategy for Choosing One Approach

The following includes a summary of product and market focus, including reasons for United Emirate Airlines domestic and international success to date. Emirates Airline in 2009 says an airline company must develop new routes in order to stay alive and stay successful in this ever so competitive market both domestic and internationally. Tim Clark, the President of the company states, “Emirates has been able to harness the growth in such markets through developing new links in cities such as China, India, South America and Africa (2009).” He claims that people began to flow in and fly different way in more ways that he had ever seen before through Dubai and throughout Europe.

Emirates have a key geographical location that has led to its success along with its ability to watch the market as it plumaged and rose again. As cost cuts went through and lower fuel costs came by the company waited patiently and waited the situation out patiently to show positive revenues for years 2008 and 2009 while other airlines were cutting routes and some shutting down completely. One reason the airline can close the 2009 year out with favorable rates is due to positive and strategic trading practices.

Segment 8-Access Global Marketing Ambitions and Strategic Marketing Challenges of Emirate Airlines

At the top of Emirate Airlines Global Marketing Plan is to offer international flights twice daily which is above the rates of many of its competitors. They have passenger, cargo and postal carrier service to over 100 various locations throughout the world. They are further involved in the wholesale and retail operations of consumer goods. They provide operations and maintenance for their own carriers and airbus and put their hands in catering and hotel services as well. This is how they maintain the funding inside and keep themselves afloat during downward trends when other companies cannot sustain.

Segment 9-Consider the Remaining Marketing Mix Issues and Pricing and Distribution

The remaining marketing mix is concerned with how a company gets its services to the customers and where the customer goes to access the product or service. This is important because this decides who gets the the majority of the business in the service industry. This involves communication to the customer hence advertising means are very essentially important. Word of mouth is an essential tool with communication, billboard applications, internet, radio and television broadcasting are essentially as important, as well. Physical location of the service as well as accessibility is just as important. Emirates Airline has an excellent geographic location and is the major cause for their great success in 2008 to present while the other airlines are on the downfall with the economic stress.

Segment 10-Describe Ambitions and Challenges Emirates Airlines is Likely to Face

The airline company most likely will face the obstacles of strategic marketing challenges as it aims to improve its global competitive position amongst other competitive carriers. The major challenges Emirates Airline will face in the immediate future will be the high costs of fuel as related to the high costs of oil and the continued high impact of low cost carriers that seem to infiltrate the domestic airlines. There is an influx of ‘business class’ specials only that have recently infiltrated the airline industry and are affecting the business class carriers. Recommendations for Emirates to guard against these temporary issues or setbacks is to run a conservative marketing program for the present time to ensure they have a positive revenue to cover temporary setbacks such as the rising cost of oil prices. The temporary setbacks for discounted business class promotions can be combated by advertising the same offers for international flights without loss to the company. They will make up in volume by gaining more flights if they offer the same as competitor companies because business flights are more expensive by nature. Their product/service and geographic service offering are pretty much up to par with the competitive companies thus there seems to be no adjustment other than to keep abreast with the special amenities offered to on board flight amenities such as television on international flights, free meals included, one free bag checked in on international flights, etc. The key is to ensure the customer they are receiving great service and that the other companies are not offering more. The customers want to feel the airline company they are choosing is providing them with a special touch and they will pay the same price or perhaps a few dollars more for a special or uniqueness. If the customers want a quick domestic flight then perhaps they will choose the cheapest flight and with that there will be some additional charges such as a meal charge and there may be a baggage charge, depending on the airline company. If Emirates can prevent charging for baggage on short domestic flights they might find that would be a key advantage to attracting domestic customers because most carriers have already converted to charging per baggage.

It is extremely important for an international airline company as Emirates to manage its assets and build its brands globally for its continued success throughout the years. Virgin Atlantic keeps track of some of its assets through a logistics program called Enterprise Mobility. The purpose of the project is to monitor critical high aviation, as part of a pilot track program moving through London’s Heathrow Airport. This RFID point of track service monitors high value carriers that can be repaired and saves dollars by having a hub at Heathrow and Gatwick to service these planes on the spot and have them back in the air in short notice. United Emirates Airline Company might consider a same program at a main hub in the United States and in London which are main hubs of contact of where their planes might need servicing. They can set up a WLAN infrastructure similar to Virgin Airlines that signals back to their main headquarters when a main carrier is in need of servicing, then it can land, workers on the ground can repair the carrier then send it back into the air immediately. This avenue will ensure the planes are working globally at their maximum peak and effectiveness to serve the entire world with minimal downtime.

Their global brand will be built because the brand will be marketed both in London and the United States because it will be seen both in the states and in the United Kingdom and throughout Europe as the planes will be servicing adjoining European countries. Emirates can advertise in the various magazines such as Sky Mall and make their way into minds of the United States customers. It would be helpful for them to develop their own products that share their own aircraft. They currently run solo but if they were to join with a United States airline company it might be beneficial for them in terms of marketing their products and gaining some air space customers in the U.S. Though the U.S. market is very weak, they may be able to make a merger with one of the larger U.S. airline companies for a very inexpensive price at the current economic condition, making this a wise economic/marketing move for Emirates. A prime example of this would be the merger of Sprint PCS with Nextel. Nextel was a stronger communications company and Sprint PCS was near negative in assets, but Sprint has a larger customer database and Nextel had a better customer service history. Together they joined and made a very wise business move and made both companies very lucrative and profitable and changed the customer service history to a somewhat positive history for both companies.

Communications, pricing, distribution and high levels of service has helped to deliver and distribute high levels of service in which has put Emirates Airline Company at the top of their global ambition. Further the delivery of superior customer value added to Emirates high value and demand. Their strategic partnerships and new relationships in the supply chain added to the value they could give to their customers. Market research and superior sales functions enabled Emirates to stay at the top of the competition.

The growth to the equity markets, globalization of the trade industry, data processing and software capability influenced Emirates ability to stay at the top of the airline industry. They focused on giving superior customer service to domestic and international customers. Through the use of the internet they were able to supply quick and inexpensive flights to many customers including existing customers and to establish a new customer base both locally and internationally.

Emirates were able to understand their customers’ needs and optimize customer demands and procedures to meet these demands and needs. They formulated plans or propositions to anticipate new needs and created differential advantages for the company. They further understood the importance of delivering superior service to customers through having superior knowledge, skills and a superior marketing scheme. They prepared a marketing orientation and possessed a strong commitment to innovation. They identified the unique value that they could deliver to customers. They identified the value disciplines, the value-driven operating models and the value proposition which were necessary to move ahead of the competitor airlines. Their disciplines were operator excellence, product leadership, customer intimacy and brand leadership. They keyed in on the current economic cycle, the technological breakthroughs, the changes in governmental policies, the shifts in customer values, the shifts with distribution networks, the new constraints of the market and the new opportunities available to the business market.

Emirates believed in autonomy and entrepreneurship as a means to get ahead, closeness to the customer as a means to rise to the top of the airline industry, productivity through the people and hands on value driven success. They further believed effectiveness is more important than efficiency. Speed and decisiveness are equally important in a top producing business as is the importance for an organization to adapt to its environment.

There are political or legal issues, the economic environment, the socio-economic environment, and the technological environment to consider when marketing an airline company such as Emirates Airline Company. There are foreign trade regulations, employment law and monopolies legislation which support political and legal issues within a business. Interest rates, credit, money supply, disposable income, money distribution, inflation, unemployment and energy all affect the marketing issues within an airline business industry. Population growth, age mix, income distribution, life style changes, education levels, household patterns and social mobility are all encased in the effects of a business world. The pace of technological changes, how government chooses to invest in technology and the rate at which they invest, research and development budgets, telecommunication changes, satellite communications and electronic commerce play a large part in the effects of technology on marketing within airline company business and their effects thereof.

The bargaining power of buyers and suppliers as well as the rivalry between existing competitors create barriers of entry into the industry which affect the marketing prices and availability. There are potential competitors, direct competitors, incipient competitors and indirect competitors. There are family customers and business customers which bring business to the airline industry. Market areas are distinguished by primary, secondary and tertiary market segments. Development of markets is determined by existent, latent and incipient. Consumer based variables with marketing are demographic, behavior and psychographic.

Segment 11-Characteristics of Fast Growth Organizations and Areas that Lead to Success

A fast growth attitude is one filled with innovation, skill, judgment, experience and a dash of enterprise strategy and arrogance. Growth attitude does not encompass any complacency or entail any lack of discipline. Entrepreneurial leadership is filled with the ability to adapt to a changing environment that rolls with the punches and can fill in the gaps at the change of the wind. The business has the ability of empowering its employees to act as leaders, not followers through inspiration and developing a win-win attitude.

Segment 12-Make Recommendations against Analysis and about Product Development and Geography Developments to Achieve Goals

For effective marketing organizational effectiveness must occur. The keys to organizational effectiveness is a commitment to learning, open mindedness, shared vision and intra-organizational knowledge sharing between all employees and managers. Resources and creativity can help raise a business to the top of its game.   Momentum and action can lead to superior leadership within a company. The managers should focus organizations resources. Further they should understand the core competencies of the company of the present and in the future. Managers should monitor traditional activities within the business force. He/She should pick up any negative signals so there is no demise. There should be a constant and interchangeable learning environment between management and all employees. External learning partners as well as internal learning syllabuses should be promoted for the betterment and advancement of the company.

E-Business is conducted from the domestic base and domestic and international customers make purchases from international markets. Exporting of goods goes across a national border by political means. International marketers influence what products come and go in and out of a country. Using products from abroad gives a business advantages over a company that only uses products from domestic suppliers. A firm has to have a totally different marketing strategy for each geographic region. A company must take on a transnational approach when marketing abroad and to different countries, especially. Participation in an international supply chain is the key to successful international marketing as well as finding an international niche. International marketing is often difficult in the beginning because of untraveled areas and unsolicited orders. Normally there is little research on the market and investors do not care to spend much energy in an unchartered territory. Key exporters will not invest much time or money unless there is proven success with the international market. The managers will have to visit the overseas client to establish a report’. The manager will only have basic knowledge of finances and exports until the future as an exporter comes to light through more relevant transactions. It is wise to start structuring the business around international organizations and activities to promote exportations. Regular contact with key accounts will develop alliances with export partners to build better products along with dedicating certain staff members to oversee the international market’s success. Having a key partner in the international market will enable the business to thrive internationally. If one chooses to have a domestic partner they should be able to support research and time in the international country to support the export business as well. Senior management should be able to make regular trips internationally to win the favor of the upper management accounts internationally. Export account may be responsible for up to 50% of the turnover of profits and expenditures for the entire company. Exporting is a key integral part of the business and domestic is a separate entity. Senior and middle management should frequently visit with clients to ensure success. In house training is needed to ensure the success of the international marketing schemes. Networking should ensure on time delivery of products and services both domestically and internationally.

Product, customer, resource, entrepreneurial and network marketing all increase customer retention, gain new customers, help develop new products and services, help a company grow into new sectors, help a company a company lower costs and add more value to its routes, help a company accelerate its international market and help a company enter new segments of a business market. Productivity and volume can be increased by cutting costs and improving sales mix. Managers should market particular task areas to be successful in new segmented areas in the international arenas. Branding increases prices and volumes, lowers costs and better utilizes assets of the company. There are attribute, aspiration and experience brands. Each portrays its own psychology of the company and the psychology of the customer back to each other. This is a means of positioning the company and visioning value to the service or product. A brand usually evolves over time and is a cluster of value and vision giving a unique identity to the service or product the company has to offer. There are line brands, product brands, umbrella brands, source brands, endorsing brands and range brands. Umbrella brands happen when one brand takes on the effect of supporting other brands or services. Line brands happen when free products share the same brand line. Range brands share similarities of line brands but share a broader range of products and services to choose from. Source brands are a combination of a double brand with a corporate range name and a product range.

“Market information ensures product performance over what is static, achieves manufacturing capabilities and helps to learn new capabilities effectively and efficiently, integrates research and development, identifies new marketing strategies and places for new growth, effectively carries out NPD processes, effectively carries out support from top management and speeds up development processes.” (Thomson Learning 2004).  Services are considered intangible, perishable, inseparable and heterogeneous. The Servqual Model portrays the customer as the word of communication having personal needs, expected service and perceived service. The customer bases much experience on past experiences. The provider delivers service, specifies service quality, manages customer’s perceptions and expectations and provides external communications to the customers.

There are several factors that affect Emirate Airlines pricing which directly affects marketing. Currency fluctuations, bartering, government constraints and level of inflation all affect pricing and marketing for the airline industry. The company must set revenue, margin and profit limits. They must use the available resources to gain the best net value for the dollar. The nature and the size of inventory directly affect the bottom line. “Logistics and operational infrastructure also play a huge impact on the daily operations of the company and the future projection of the net profits.” (Thomson Learning 2004).  Product positioning, product range and nature and role of product development directly affect pricing decisions of Emirates Airline Company. “The demand for the services, the market growth, the customers need for credit, the consumers ability to pay and the need for product adaption directly affect the profit margin of the airline company.” (Thomson Learning 2004).  Customers’ are willing to accept a reasonable price range that is comparable to other airlines. The service an organization offers is the image of the company. There is a need for built in discounts for customers to be attracted to the company’s services. There should be a strong reinforcement of a company’s position in the market with regard to competition.

Segment 13-Best Means to Build Global Brands and Manage its Assets

A good managed company will realize there is an opportunity to increase prices for the services offered when the “offer has a unique value, the awareness of substitutes is low, the product or service cost is rather insignificant, the benefit is substantial in comparison to cost, the major investment has already commenced and there is a shared cost.” (Thomson Learning 2004). In the international market, pricing strategies are categorized as such: ethnocentric pricing where the same price at the factory is the same as the final price with only an additional cost of shipping and handling. Polycentric pricing is adapted to each local marketing area, hence they change. Geocentric pricing stays the same especially where it is apparent what the price is. There are no hidden costs. There are some issues with international prices because it is difficult to co-ordinate prices, there are many different socio-economic conditions which need to be factored when pricing services, transfer prices within the company often change the final price and unauthorized importing changes the price of the products or services. Often exchange rates, inflation rates, risk of non-payment and shortage of hard currency being available put a damper on a fixed international price. This can be very frustrating for the customer and the provider. Companies should aim to communicate better, please through channel management, have better use through labor and management and design better specification changes to prevent losses in that neighborhood.

Segment 14-Consider the Role of Managing an International Company and Improving Decision Making

Managers shape the ways employees achieve organizational objectives and goals and further motivate employees continued success. Managers foster an employee’s continued success with a company. They further give direction, control inventory and perform duties to ensure the continued growth of the company. They ensure products and services are delivered in an effective and efficient manner so that the customer is happy. They are constantly seeking innovative ways to improve the net assets and growth of the company.

Segment 15-What are the Best Available Options for Communication Purposes?

An organization such as Emirates Airline Company can best communicate through advertising schemes, word of mouth, email communications and banners and television postings. Internal marketing occurs to the internal staff through management and employees to ensure the mission statement, values and objectives are followed and carried out. External marketing ensures the “services, products, structure and prices are adhere to in order to meet expectations and specifications.” (Thomson Learning 2004). Interactive learning involves the many people on staff with the airline company to ensure the goals of the company are met along with the customer’s needs to ensure they are completely satisfied. A happy customer normally is a repeat customer. Communication is used to build the corporate identity and to build relationships within the company and with customers and contacts. If there is a lack of synergy there will be a breakdown of communication within the company and the profits will reduce. Parallel importing or copyright infringement can cause headaches to companies and cost a company billions of dollars in profits. Synergy is the key to successful communication with customers and the key to a successful business in the airline industry. Emirates have taken this stance and made their company a top airline industry both domestically and internationally from 2008 to 2010 while other airline companies were losing profits. Synergy helps build positive relationships with contacts and customers and helps build profits. Advertising through creative expression and image building is another key factor for a successful and prosperous business relationship. Communication helps to obtain virtually free advertising.

In order for Emirates to be successful with their services they need to make the customer base aware of their services through cognitive persuasive communication practices. Through affective persuasive practices Emirates can make a person sway toward their service. Through behavioral persuasive communication Emirates can help a customer make that step toward actually making the purchase of their service. Emirates have offered cost effective services to customers by reducing the operational costs of communicating with customers and reducing the large costs of advertising. As long as the company does not partake in any criminal activity such as bribery and corruption, piracy and counterfeiting they should continue to be a very successful airline company in the future years.

Segment 16-How Might Emirates Build a Sustainable Competitive Advantage over Others?

I recommend the following to ensure Emirates Airline Company has continued success and builds a sustainable competitive advantage in the future. Some of the anticipated barriers to their success will be the following: Continuous Innovation, Dynamically Continuous Innovation and Discontinuous Innovation. There are differences in organizations. Pioneers track market gaps, second in firms watch the pioneers and watch their innovations learning from their mistakes, imitators attempt to copy the products or services service innovators have to offer and defensive firms follow their own path and respond to innovation when only necessary. Organizational goals are to achieve improved performance. Organizational behavior is to test methods and do things a new way. Pioneering and innovative firms have a commitment to innovation, have a willingness to accept risks, have aggressive marketing behavior, have an ability to commit resources, have top management commitment and have a previous successful track record.

Sustainable Competitive Advantage (SCA) should be the focal point of Emirates business philosophy. Hyper competition is a key to keep ahead of the competition. “New customers want a service cheaper and they want it their way.” (Kotelnikov 2010). A company like Emirate Airlines should be ready to constantly shift its “corporate capabilities and constantly re-invent the wheel.” (Kotelnikov 2010). “The company Emirates Airlines is well renowned within the industry for excellent service around the globe. This success is widely attributed to Emirates’ attention to fundamental strategic detail, and has thrived through competition, despite by being owned by the government of Dubai.” (The Functional Level Strategies of Emirates Airlines). “Emirate Airlines success is not built in sand; rather it is built on excellent geographic location and excellent management with a combination of an aggressive visionary master plan that sets them apart from other international airline carriers.” (How Sustainable is Emirates Business Model).

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