Sheffield Business School BSc (Honours) Hospitality Business Management Title Cathay Pacific Airways Limited how to build up a good relationship with the customers. Name Ha Chun Sing 91206555 Month Year April 2011 Ha Chun Sing - 91206555 - Hospitality Business Management 1 Sheffield Hallam University Sheffield Business School Title Cathay Pacific Airways Limited how to build up a good relationship with the customers. FULL NAME Ha Chun Sing 91206555 Supervisor: Miss Dorothy Tusi In partial fulfilment of the requirements for the degree of Bachelor of Science in Hospitality Business Management Month Year April 2011 Ha Chun Sing - 91206555 - Hospitality Business Management 2 Executive Summary In this research mainly focus on how to build up a good relationship with the customers. Moreover, in this research I choose Cathay Pacific Airways Limited to see how to satisfy the customers’ need and want and build up a good relationship with the customers. As we know Cathay Pacific is one of the large airways in Hong Kong. And Cathay Pacific Airways Limited had established in 1946. In Hong Kong it has around 65 year’s histories. It pass through a long time still can exist in this industry, it must have something, it was doing very well. In the past Oasis Hong Kong Airlines had used low price to satisfy the customers’ need. However, after a few years it was gone bankrupt, at that moment Cathay Pacific still can exist without low price tickets. Cathay Pacific should satisfy the customers others need and want not only low price ticket so that it can exist for 65 years. In this research, I want to find out Cathay Pacific how to increase the customers’ sense of belonging and loyalty. It is very important for the business. If the business can have loyalty customers, it can run the business longer. This research’s objectives are how to deal with the customers to find out what they want, second analysis nowadays Cathay Pacific Airways Limited provide those solutions are they satisfy the customers needs, third what actions they will do after getting the customers feedback. Ha Chun Sing - 91206555 - Hospitality Business Management 3 Furthermore, in this study I have found much useful information in the internet. In Cathay Pacific website it has many update official information and news. That information can help to analysis why customers like to travel Cathay Pacific not others airlines. Moreover, I have found some books about new thinking, new strategies, new tools for getting closer to your customers and how to build up a customers’ relationship and how to deliver customers satisfaction. If we want have a good relationship with the customers, we must understand the customers what they wants. In this study, I have set a questionnaire for the people who had traveled Cathay Pacific before and collect some useful information from them. When I collected those questionnaire and after the analysis I want to find out is it most of the people after travel Cathay Pacific has a good experience and Cathay Pacific is it satisfy their needs and wants. After this study, I estimated that the questionnaire result is most of the people satisfy after travel Cathay Pacific if the customers didn’t satisfy their service, Cathay Pacific can not get a lot of awards in those awarding ceremony such as Yahoo! Emotive Brand (Airline category) and in the Wall Street Journal Asia's annual poll won the First in Asia's 200 Most-Admired Companies. Moreover, I want to find out Cathay Pacific how to increase the customers’ sense of belonging and loyalty. Hope it can implement in others business. Ha Chun Sing - 91206555 - Hospitality Business Management 4 Table of content Executive Summary ....................................................................................................... 3 Table of content .............................................................................................................. 5 List of Tables .................................................................................................................. 6 List of figures ................................................................................................................. 7 Chapter 1 ........................................................................................................................ 8 Introduction ............................................................................................................ 8 Chapter 2 ...................................................................................................................... 10 Instrumental Literature Review ........................................................................... 10 Chapter 3 ...................................................................................................................... 28 Methodology ........................................................................................................ 28 Chapter 4 ...................................................................................................................... 31 Findings and Analysis .......................................................................................... 31 Chapter 5 ...................................................................................................................... 37 Conclusions and Recommendations .................................................................... 37 References .................................................................................................................... 40 Appendices ................................................................................................................... 44 Ha Chun Sing - 91206555 - Hospitality Business Management 5 List of Tables Table 1………………………………………………………………………….p.31 Table 2…………………………………………………………………………. p.31 Table 3…………………………………………………………………………. p.32 Table 4…………………………………………………………………………. p.32 Table 5…………………………………………………………………………. p.33 Table 6…………………………………………………………………………. p.33 Table 7…………………………………………………………………………. p.35 Table 8…………………………………………………………………………. p.35 Table 9…………………………………………………………………………. p.36 Ha Chun Sing - 91206555 - Hospitality Business Management 6 List of figures Figure 1………………………………………………………………………….p.14 Ha Chun Sing - 91206555 - Hospitality Business Management 7 Chapter 1 Introduction Why studying in this case, it was because in hospitality industry customers were very important for the business. Nowadays in the world there are many ranking or awards about service quality, many companies can provide service to satisfy the customers but not all the companies can keep a long relationship with their customers. If the firms can promote good image into eyes of targeted customers, it can help creating the loyalty to the customers’ mind. If the customers keep spending their money to buy the product, the company can get more profit. In the past, in hospitality industry didn’t focus on their service and didn’t care of the customers’ satisfaction. The business organizations want to gain more profit form the customers. But nowadays, most of the companies scarify certain extent of profit to maintain customers’ satisfaction so that they would repeat buying from day to day. The firms want to target the long term profit not the short term profit from now on. From now, most of the companies are talking about customers oriented. Before selling the product they need to do a research to analysis the customers needs and wants. During selling the product they need to provide good service and selling technique. After selling the product they need to provide a good after sell service to the customers. Ha Chun Sing - 91206555 - Hospitality Business Management 8 Moreover, Cathay Pacific Airways Limited was a one famous airline in the world and it had a long history in flight industry; it had done a lot of things to satisfy their customers. So that the aim of this research aim is find a way to increase the customers’ sense of belonging and loyalty, it will use Cathay Pacific Airways Limited for an example. And the objectives of this research are finding out how Cathay Pacific to deal with the customers to satisfy what they want. Second, analyses nowadays Cathay Pacific Airways Limited provide those solutions are they satisfy the customers’ needs. Finally, what actions Cathay Pacific will do after getting the customers feedback. Furthermore, in an airline company, it must face different nationality customers; it should hard to satisfy all of them. In this study, it will focus on Cathay Pacific Airways Limited because it is a one of the good company to build up a good relationship with the customers and finding out Cathay Pacific Airways Limited’s manager how to improve the customers’ relationship. In this research, it will include 50 questionnaires to ask the travelers who had traveled Cathay Pacific before. To prove that Cathay Pacific really had done something to satisfy their customer and keeping improve their service nowadays. Ha Chun Sing - 91206555 - Hospitality Business Management 9 Chapter 2 Instrumental Literature Review In this chapter, it will include the theories of service quality, customers’ thinking such as their expectation, perception and satisfaction. After, introduce these theories, it also include using what method to analysis how to fulfill these theories such as gap model, SERVQUAL model and the customer loyalty system. Finally, it will talk about Cathay Pacific had taken what actions to satisfy the customers. What is service? According to Kotler (1984), he defined a service