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Purpose – The purpose of this paper is to underpin the critical importance of the customer value concept in the airline industry, particularly in the Middle Eastern region with its current tourism boom. This value is the difference between the perceived benefits delivered to customers and the perceived sacrifices from an airline company. Design/methodology/approach – A literature‐based study that employs available secondary sources on the topic examines the importance of integrating business activities to create value synergy that leads to satisfaction. Strategic management involves different levels of functionalities such as strategic plans, strategy deployment, operational execution, measurements, and adjustments. Findings – The study indicates that the business strategic plan is the essential part of the value proposition and there are four main business functionalities: strategic planning, strategic deployment, operational execution and measurement, and adjustment. Research limitations/implications – This paper presents a focused literature study and does not contain the first‐hand empirical analysis for an individual airline. It does, however, provide the basis for future research. Originality/value – This paper will be useful information for airlines industry managers and researchers seeking to gain further understanding of the different issues related to the customer value concept.
Education Business and Society Contemporary Middle Eastern Issues – Emerald Publishing
Published: Oct 3, 2008
Keywords: Competitive advantage; Middle East; Airlines; Tourism; Total quality management
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