Due: October 27, 2015
BUS 112
Homework #4
Read the Case study starting on the bottom of page 187 and continuing on page 188.
1. Technology and environment played a structural role in order to achieve the
structural goal. The airline used code sharing which is a marketing arrangement in
which an airline places its designator code on a flight operated by another airline,
and sells tickets for that flight. Airlines throughout the world continue to form
codeshare arrangements to strengthen and expand their market presence and
competitive ability. Corporate level strategy is concerned with strategic decisions
a business makes that affect the entire organization. This requires a good amount
of responsibility. It might be overwhelming for managers to take decisions,
considering the impact that the decisions might have and the consequences of
incorrect decisions affecting everyone. Corporate level strategy decisions are
classified into different types, grand strategies, corporate level strategies. In
corporate level strategies they have to deal with plans for the entire organization
and change according to industry and specific market conditions. This also
includes deciding which product or service markets to compete in and which
geographic regions to operate in.
2. Divisional or M-form design is based on multiple businesses in related areas
operating within a larger organizational framework and following a strategy of
related diversification. The largest advantages of the M-form design are the
opportunities for coordination and sharing of resources. The spread of code
sharing has led directly to the formation of much larger alliances of carriers.
Alliance members save money by sharing sales, maintenance, operational
