Question

Topic: Student Questions

What Is Japan Airlines's Marketing Strategy?

Posted by Anonymous on 12/9/2008 at 10:44 PM ET 250 Points
Hello All!

I am currently writing a research paper on Japan Airlines System Corporation (commonly referred to as JAL) and I had a question concerning their international marketing strategy.

I have been doing a lot of research on this company and seem to be in a dilemma between two different marketing strategies and wanted to receive your input.

The two strategies I am caught bet wee are: Growth Strategy and a Multinational Strategy.

I can briefly define the two and explain why I believe both could work as JAL's international strategy. From what I understand growth strategy can be defined as a strategy designed to increase the size or scope of activities. Multinational strategy can be defined as adapting products and their marketing strategies in each national market to suit local preferences.

I am caught between the two because I can see how JAL could be considered implementing both. With growth strategy, JAL certainly is diversified with its scope of industries including air transportation, hotels, credit cards, cargo, and tours. As well, it has been part of many mergers , joint ventures and strategic alliances in terms of code-sharing and merging.

I can see it implementing a multinational strategy too because I am sure they change the commercials and advertisements in different countries to entice different audiences (though I do not have solid proof).

If I could get your feedback on this question, whether you would agree it seems like JAL is implementing a growth strategy or multinational strategy, that would be amazing.

Thank you!

Stephanie
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RESPONSES

  • Posted by Jay Hamilton-Roth on 12/10/2008 at 9:38 AM Member
    Why can't you state that they're doing a hybrid: Multinational growth strategy? They find new opportunities, and custom-tailor them to the local culture.
  • Posted on 12/10/2008 at 10:28 AM Author
    I think my professor wants us to fit the corporation into one of the designated strategies.
  • Posted by michael on 12/10/2008 at 6:20 PM Accepted
    Stephanie,

    Like most airlines JAL's strategy is currently: Make a profit.

    If you dig thru their press releases over the years they are abandoning hotels...and manage them instead. Growth would not be the operative word; more like contraction to a profitable size....at least for now.

    The association with oneworld is more a function of them being the largest carrier not yet affiliated and oneworld is the only one that still needed a strong asian carrier (I think JAL is #6 in the world)

    As a flag carrier, though not government-owned, they will grow/add markets as their base (Japanese people) demand and not before.

    You are correct that they change the advertising to fit the market/audience...but that's what most companies do.

    Michael

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