Alitalia – Compagnia Aerea Italiana S.p.A
The importance of the alliances and merges in its history
(Competing in a "mature" industry)
Introduction
This file would analyse how possible is being and remain highly competitive and profitable in a mature market as is it the airlines transportation. It focuses upon the right approach (better than in the past) on the marketing department considering the case study of Alitalia – CAI S.p.A.
First of all it is presented the theoretical framework for understanding which is the new challenge of marketing on the whole structure in a great company and how this department has been changing after the different merges and alliances in the history of Alitalia. These changing are at the basis of the difference between being a leader or a follower, in this case we will consider the Italian market, so we are going to check the Italian leader (Alitalia) and the followers airlines company (i.e. Meridiana, Blu Panorama, etc..). Nowadays this particular sector is the most linked one with the economic crisis. So, it seems that the preferred options is merging or making a strong alliance with an other competitors ( in these days we will see what kind of choose Etihad will take). Alitalia is not the first one that has understood the seriousness of the situation, but in the past years others big companies merged or tied strong relationship by each other. I would like to remember Air France with Klm or British Airways with Iberia.
Furthermore, this process is important to achieve a competitive advantage by using marketing and sale strategies concurrently.
Theoretical Framework
Market’s Stage
A mature industry is an industry which is in the maturity stage of the industry life cycle and is characterized by:
1. Demand that is saturated and slow-growing if not declining;
2. Excess supply of competition too willing to discount;
3. Eroding margins, profits, and returns;
4. Emphasis on...