United Airlines: A 360 fiasco

Group 11
Kanika Mittal 160201024
Mit Ajit Desai 160101082
Prakhar Joshi 160101069
Priya Agarwal 160201093
Vareesha Fatima 160201115
Vignesshvar U 160101126
 Background & Research
Passengers asked to leave to
accommodate crew

Mr. Dao violently treated and

dragged off the plane
The Incident
Video shot goes viral
Attracts criticism, public anger, competitors
announcements

Top management summoned to

strategize the incident
 Assumptions

Similar public reaction

Majority of public will react in the usual way; showcasing sympathy with the
victim
Overbooking continues to be legal
Law empowers airlines Industry to overbook and deny passengers a seat in
case a need arises
 Parameters
Competition
None of the major North American
Airlines reacted directly to the
incident
Competitors like Qatar, Emirates,
Royal Jordanian take on social media

Social
Social media platforms a powerful
medium to reach out to masses
Can affect a brand both positively and
negatively
Public anger can turn tables
Remuneration can prove to be heavy:
United breaks guitars
 Parameters
Legal
Attracts multimillion dollar lawsuit
Contract of carriage clause signed
Culture by passengers
Front line managers didnt have
decision making power Customer
Strict policies to document customer Frequent flyers
interaction Corporate/Business flyers
No empathy showcased towards
customers concerns Economic
Shares nose dived
Loss of 4% shares
$1 Bn. wiped out
 Choices available to Choice Opted

Option 1: United defends its Option 2: United apologizes to

actions manage the situation

Keeping in mind the strong external factors playing, United should do the following:
Issue an apology statement; specially aimed at the social media
Announce remuneration to the injured passenger
Promote official messages to counter competitions actions
Modify policies to reduce law enforcement intervention
Empower front line staff with decision making powers
 Impact of the chosen option
Save brand image
Use of social media platforms to spread messages will create a ripple effect

Revive the financial situation

Prevent further dip in stocks and loss of investors

Investor's approval can be saved

Stakeholders interest safeguarded; goodwill of the brand remains

Stand by your tagline: Fly the friendly skies

Showcases customer focused approach
Thank You!