Kindly read the article above and help me with the Contingent Plan of Action using the table
Fantastic news! We've Found the answer you've been seeking!
Question:
Kindly read the article above and help me with the Contingent Plan of Action using the table (table header) provided below.
Transcribed Image Text:
So many issues have surfaced from customers who fly with Spirit Airlines. Of course, consumers love airlines that are cheap or have good deals, but most customers who fly with Spirit are generally disappointed with the service and all the extra fees they have to pay which makes for a higher priced ticket anyway. The tickets, plus the extra fees, would be equivalent to flying with another airline but with all those costs included. These are some of the key problems that consumers have with flying Spirit and customers are very frustrated with its questionable policies and hidden fees. According to Fox News, "Spirit Airlines is the most hated airline in the U.S." (Fox News, 2016). Other key issues with Spirit include a lack of customer service, oversold boarding, a high cost of carry-ons, whether a customer is part of the "Spirit Fare Club" program or not. The only way to avoid bag fees is to either carry a backpack or small purse that fits underneath the seat in front of you. Also, seat selections can cost up to $200, there is no in-flight entertainment, drinks and snacks come at a cost as well, and if a customer is a "frequent flyer," those miles expire very quickly with Spirits "use 'em or lose "em" policy (Magaña, 2015). According to the Department of Transportation, Spirit Airlines had the worst on time arrival record of 13 U.S. carriers and the highest rate of consumer complaints over that time span. The transportation department's data showed that 11.73 out of every 100,000 customers who flew Spirit in 2015 complained about some aspect of their experience (LeBeau, 2016). Spirit's latest "Contract of Carriage," updated on February 20, 2018, includes the customer service plan and the tarmac delay plan. Baggage charges will all be nonrefundable and certain countries may require other applicable charges to be collected by Spirit; if there is a modification of the itinerary, the customer bas to pay another increased fee in baggage charges. Under this contract, one small carryon bag will be permitted, with an extra charge, of course. If the small item cannot be safely stowed, there will be an additional charge. As far as its customer service is concerned, Spirit still offers the lowest fares available, ensures responsiveness to complaints, provides refunds, deliver baggage on time, etc. (Spirit Airlines, 2018). Although Spirit has put forth this new contract plan, nowhere in it does it state how it will resolve the specific current issues that its customers are complaining about each time they fly with Spirit. The airline gives general statements about what it will continue to do, but not a plan of execution of how it will deal with disappointed customers. According to its annual report, the only aspect that Spirit is focusing on is price-sensitive travelers. It believes that its growing customer base is more resilient than the customer bases of most other airlines because of low fares and unbundled service offering appeal to price-sensitive passengers (Spirit Airlines, 2013). Background/company information history Spirit Airlines is an airline company providing both domestic and international flights. It is known for being an "ultra low-cost" carrier in the U.S. Spirit Airlines started in 1964 as Clipper Trucking Company. In 1980, the airline service was established and known as Charter One. The airline So many issues have surfaced from customers who fly with Spirit Airlines. Of course, consumers love airlines that are cheap or have good deals, but most customers who fly with Spirit are generally disappointed with the service and all the extra fees they have to pay which makes for a higher priced ticket anyway. The tickets, plus the extra fees, would be equivalent to flying with another airline but with all those costs included. These are some of the key problems that consumers have with flying Spirit and customers are very frustrated with its questionable policies and hidden fees. According to Fox News, "Spirit Airlines is the most hated airline in the U.S." (Fox News, 2016). Other key issues with Spirit include a lack of customer service, oversold boarding, a high cost of carry-ons, whether a customer is part of the "Spirit Fare Club" program or not. The only way to avoid bag fees is to either carry a backpack or small purse that fits underneath the seat in front of you. Also, seat selections can cost up to $200, there is no in-flight entertainment, drinks and snacks come at a cost as well, and if a customer is a "frequent flyer," those miles expire very quickly with Spirits "use 'em or lose "em" policy (Magaña, 2015). According to the Department of Transportation, Spirit Airlines had the worst on time arrival record of 13 U.S. carriers and the highest rate of consumer complaints over that time span. The transportation department's data showed that 11.73 out of every 100,000 customers who flew Spirit in 2015 complained about some aspect of their experience (LeBeau, 2016). Spirit's latest "Contract of Carriage," updated on February 20, 2018, includes the customer service plan and the tarmac delay plan. Baggage charges will all be nonrefundable and certain countries may require other applicable charges to be collected by Spirit; if there is a modification of the itinerary, the customer bas to pay another increased fee in baggage charges. Under this contract, one small carryon bag will be permitted, with an extra charge, of course. If the small item cannot be safely stowed, there will be an additional charge. As far as its customer service is concerned, Spirit still offers the lowest fares available, ensures responsiveness to complaints, provides refunds, deliver baggage on time, etc. (Spirit Airlines, 2018). Although Spirit has put forth this new contract plan, nowhere in it does it state how it will resolve the specific current issues that its customers are complaining about each time they fly with Spirit. The airline gives general statements about what it will continue to do, but not a plan of execution of how it will deal with disappointed customers. According to its annual report, the only aspect that Spirit is focusing on is price-sensitive travelers. It believes that its growing customer base is more resilient than the customer bases of most other airlines because of low fares and unbundled service offering appeal to price-sensitive passengers (Spirit Airlines, 2013). Background/company information history Spirit Airlines is an airline company providing both domestic and international flights. It is known for being an "ultra low-cost" carrier in the U.S. Spirit Airlines started in 1964 as Clipper Trucking Company. In 1980, the airline service was established and known as Charter One. The airline
Expert Answer:
Answer rating: 100% (QA)
Below is a table outlining a Contingent Plan of Action based on the issues outlined in the article for Spirit Airlines Scenario Trigger Response Who t... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0071339476
Volume 1, 6th Edition
Authors: Beechy Thomas, Conrod Joan, Farrell Elizabeth, McLeod Dick I
Posted Date:
Students also viewed these general management questions
-
Read the case study "Southwest Airlines," found in Part 2 of your textbook. Review the "Guide to Case Analysis" found on pp. CA1 - CA11 of your textbook. (This guide follows the last case in the...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
-
Carter Co. has a value of $80 million. Buleigh is otherwise identical to Carter Co., but has $32 million in debt. Suppose that both firms are growing at a rate of 5%, the corporate tax rate is 38%,...
-
The towline exerts force P at the end of the crane boom of length L. Determine the placement x of the hook at A so that this force creates a maximum moment about point O. What is this moment? Unit...
-
A fish finder uses a sonar device that sends 20,000Hz sound pulses downward from the bottom of the boat, and then detects echoes. If the maximum depth for which it is designed to work is 200m, what...
-
Baumann Industries is considering purchasing NewMark Corporation. Baumanns board of directors has requested a breakeven analysis, based on cost data provided by NewMarks accounting department....
-
Given the following state for the Bankers Algorithm. 6 processes P0 through P5 4 resource types: A (15 instances); B (6 instances) C (9 instances); D (10 instances) Snapshot at time T0: a. Verify...
-
Georgia Movie Company has a capital structure with 42.00% debt and 58.00% equity. The cost of debt for the firm is 9.00%, while the cost of equity is 13.00%. The tax rate facing the firm is 38.00%....
-
Ohio Swiss Milk Products manufactures and distributes Ice cream in Ohio, Kentucky and West Virginia. The company wants to expand operations by locating another plant in northern Ohio. The size of the...
-
Given the following scenario, graph the impact on supply and demand (use two separate graphs - one for the change in demand and one for the change in supply). During the holiday season, the wage rate...
-
For the production facility that KMU company will establish on Ankara road, 250 thousand liras in the first year, 200 thousand liras in the second year, plans to spend 180 thousand liras each year...
-
Is the U.S. economy too dependent on Fiscal and Monetary Policy? Are government-mandated minimum wages, government spending and artificially low interest rates necessary for the economy to be...
-
How much annual revenue would you expect to receive on a project with the above cash flow? given; Your MARR is 10.75%, the client has given you a retainer of $10,300, first-year expenses are expected...
-
Use the supply and demand graph below to answer the next two questions (1 pt. each - for both questions, assume A is the starting equilibrium point): P H 1 G B A F E S D S D 1 S3 4. If the price of...
-
The networks logical topology is shown in Figure 1. RIP (Routing Information Protocol) is running on all the routers in this company. DV (Distance Vector) algorithm is the routing algorithm for RIP....
-
There is a delay from your supplier for the raw materials you require to provide a service to your customers. What actions can you take to try and minimize a delay to your customers?
-
TRUE OR FALSE: 1. Banks with a significantly large share of fixed-interest rate home loans are less exposed to interest rate risks. 2. Although Australian banks are pretty big, they are not...
-
Which underlying assumption is not appropriate in a country that suffers triple- digit annual inflation?
-
Worldwide Tours Corporation ( WTC) established a new division in 20X8. The mandate of this new division is to establish a presence in the growing luxury eco- tourism travel business. This division...
-
How do a countrys economic and political environments impair comparability between its corporations and those of Canada?
-
Firms in monopolistically competitive industries cannot earn economic profits in the long run because a. government regulators, whose first interest is the public good, will impose regulations that...
-
What is excess capacity?
-
Which of the following statements is true? a. Monopolistic competition is a mixture of monopoly and perfect competition. b. All firms in monopolistically competitive industries earn economic profits...
Study smarter with the SolutionInn App