Essay on The Role of User Generated Content for Online Brand Reputation of Tourism Organizations

Today, the development of tourism affects consistently the economic development of countries and opens larger opportunities for tourism organization to accelerate their business development. In this regard, largest companies, such as British Airways, focus on the development of their tourist services to improve their position in the market. At the moment, British Airways is one of the largest airline companies in the world. At the present moment the company maintains one of the leading positions in the world market, while in the UK it is definitely the major airline company. At the same time, it should be pointed out that the current position of the company, being quite stable, does not necessarily mean that there are no threats to the leading position of the company. In stark contrast, the growing competition and fuel costs may be viewed as the major threats to the future development and leadership of the company. On the other hand, the British Airways still has good perspectives for the further development and progress. At any rate, the current situation in the company is characterized by stable growth, while its current policy targets at the expansion on the international market, especially westward, where the company can increase its presence in such countries as the USA and Canada. The company introduces new technologies and develops its business online because the content generated by users can affect the brand image of the company and, therefore, its marketing position. At the same time, the company has moved online offering its services to clients online and, more important, the company attempts to create a positive brand image forming positive company-customer relationships online and providing customers with the permanent support that contributes to the rise of the customer loyalty, growing interest of customers to the company and, thus, the stable development of the company.

In fact, British Airways holds one of the leading positions in the market and operates internationally. In such a situation, the company attempts to expand its market share and passengers are very important for the company’s further growth. In actuality, the company keeps growing, even though the growth of the company has been slowed down by the international financial crisis of 2008 (See App. Table 1).

Nevertheless, in spite of the financial crisis the company has managed to increase the number of its customers and attracted them to its services.

In addition, today, the company faces the threat of the tight competition with other airlines that operate internationally.

Nevertheless, in spite of the threat of the growing competition and possible problems provoked by the growing fuel costs and slow down of the growth of British Airways, it is possible to speak about great perspectives of the company in the future. In this respect, it is important to underline that in order to succeed the company needs to maintain its current strategy. To put it more precisely, at the present moment the company is oriented on the international market expansion and continuing the growth of passenger flow. In actuality, it is obvious that the company can hardly change its strategy and policy radically, especially taking into consideration the imminent development of the 5th terminal at Heathrow and the deregulation of North Atlantic flights.

Basically, the development of the 5th terminal at Heathrow may be very important for the further development of the company. In fact, it seems to be obvious that the 5th terminal will increase the capacity of Heathrow. Consequently, the passenger flow will more likely increase and, in such a situation, British Airways cannot remain passive. In stark contrast it should conduct an aggressive policy in order to attract a larger amount of customers. Otherwise, there is a risk that competitors of British Airways could take benefits from the 5th terminal if British Airways would not pay much attention to this terminal.

In this respect, it is possible to presuppose that even companies from the oversea, including American companies can attempt to strengthen their position on the British market, especially after the deregulation of North Atlantic flights. In fact, this deregulation will produce a profound impact on the further development of British Airways, though its effects may be dubious. On the one hand, the deregulation of North Atlantic opens larger opportunities for British Airways to succeed in North American markets, especially in the USA and Canada, which are considered to be very perspective markets. On the other hand, the deregulation will more likely make the British market less protected from the expansion of foreign companies, especially American ones. Consequently, this deregulation will strengthen the competition, but, in actuality, British Airways has sufficient resources, experience and strategic background to succeed in the competitive struggle that will definitely grow stronger in the future.

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