Service Quality of China Airlines for the Years 2014-2016 - Research Paper Example

The paper "Service Quality of China Airlines for the Years 2014-2016" is a wonderful example of a research paper on management. Air travel falls in the category of the intangible service industry based on its distinguishing characteristics. Over the past decades, the civil aviation industry has grown steadily presenting several opportunities for businesses but also increases the level of competition amongst industry players. This is a departure from the past where the government enjoyed the monopoly of regulating and providing air travel services (Kankaew, 2013).

Deregulation efforts led to the expansion of the civil aviation space leading to the entry of new airlines that enjoy the prerogative of setting prices, entering, and exiting the industry upon their compliance with safety and insurance requirements. The liberalization of the civil aviation market led to the growth of the industry with competition on the quality of services becoming the hallmark of its existence. This also led to the restructuring of airlines across the world including Asia and the growth of low-cost carriers (Chow, 2014).

At the onset of the 21st century, China’s civil aviation industry started recording heightened competition from both existing and establishing industry players. In order to gain a competitive advantage against the other industry players, airlines focused on improving the quality of the services they offer to the customers as well as the level of satisfaction. In addition, some airlines focus on providing quality services at the lowest prices in their bid to edge out competition (Sandada & Matibiri, 2016)

The quality of services delivered by an airline greatly impacts on the level of satisfaction of its customers. Consequently, airlines have made enormous investments in their attempt to realize the highest attainable quality of the services they offer, which in turn translate into huge profits for investors. This stems from the fact that the level of satisfaction amongst airline customers remains discriminately low in comparison to other industries based on a report from the American Customer Satisfaction Index published in 2012 (Sandada & Matibiri, 2016).

Following the continued increase of competitive pressures witnessed in the 1990s, high-quality service delivery became a prerequisite for airline companies. Some airlines started offering incentives to customers in order to establish and maintain customers’ loyalty.