Premium Essay

United Breaks Guitar Case

In: Business and Management

Submitted By akgamangupta
Words 453
Pages 2
Assignment Case;
United Breaks Guitar
Q) Why do you think Dave Carroll's video spread so fast to so many people?
Ans) Dave Carroll's video spread so fast to so many people because of the following reasons
 First, the video was containing a traveller as well a business storyline. The video simply used singing and irony and hence it was picked up very quickly on YouTube.
 Hundreds of media reports repeatedly published the story. CNN urged viewers, “Anyone who’s ever been frustrated with an airline needs to see this video”
 Many people who can connect to it or had the similar experience joined the cause and spread it.
 Music was catchy and was launched in proper way with already existing audience.
 It was something new so people found it entertaining and went viral.

Q) How do you evaluate the airline's response? What would you have done different in this position? Ans) Airline’s response was poor as they reacted when things have gone out of their hand and it was too late and it was after seven months that they properly addressed the issue. The airlines company was at fault since beginning. Some such incidents are:

Carroll’s Taylor guitar was witnessed being thrown by United Airlines baggage handlers in Chicago
None of the crew members he reported to helped him with the issue
The Guitar was found severely damaged
The representative he could finally talk to, told him that she was sorry about the damage, but the standard airline policy held that claims be made within 24 hours of damage (a precaution against fraudulent claims), and that his claim was to be denied.
United didn’t deny the experience occurred but for nine months the various people
Carroll communicated with put the responsibility for dealing with the damage on everyone other than themselves and final said they would do nothing to compensate him for his loss
Submitted By : Aman Kumar Gupta…...

Similar Documents

Premium Essay

United States Case Study

...Case Study : United States In general, how does a manager from the U.S. communicate (verbal and nonverbal) and view relationships? Given that U.S. tends to have a very low threshold for silence (uncomfortable with silence) they are very verbal. The U.S. is also a low-context culture meaning it is direct and straightforward when communicating, leaving little to be interpreted nonverbally. There is also a high occupational mobility in the U.S. meaning there is weak loyalty of employee to employer and vice versa relationships. Most employee-employer relationships are seen as contractual rather than personal and how competent (well they perform) an employee is tends to matter more than social or family background. A lot of business relations rely more on formal agreements like written contracts. Managers for the most part view their work relationships as simply that. How are communication style and relationship orientation intertwined? Much of the way you communicate with someone can be tied to your relationship with them. When we think about us as college kids a lot of the things we say and do around our friends, we wouldn’t say or do in front of our professors or peers so we adjust our communication style based on our relationships. This can also be compared to the way your communication styles can change cross-culturally. Imagine that a U.S. manager or U.S. management team is negotiating with a team from a culture with completely opposite communication styles and......

Words: 592 - Pages: 3

Free Essay

United Breaks Guitars Case Analysis

...evaluate the effectiveness of United Airlines’ response to Carroll’s viral video, we have to take into consideration what they were hoping to achieve with their responses. In this case, the messages that United issued contain indications that their focus was on damage control rather than process improvement. Although United did indeed actively reply to tweets and other social media communications, they made no real effort to amend the underlying issue that caused the PR debacle in the first place. United’s treatment of its customers has not improved, as evidenced by their continued inadequacy in customer service. This is shown by their poor standing on J.D. Power & Associates’ 2011 North American Airline Satisfaction Study. United’s response is also lacking in transparency and candor that a sincere admission of guilt would have displayed, and this is evidenced by their vague assurances such as that they would use Carroll’s video for “training purposes.” However, it is also possible that United’s management was aware of the fact that damage control by issuing apologies, however insincere, would be adequate. After all, although it is hyped that United’s shareholders lost $180 Million from Carroll’s video, data shows that they quickly regained this “loss” within a month. Thus, it is fair to say that United handled the incident well in a purely financial sense, but not in an ethical sense. In retrospect, it is not surprising that “United Breaks Guitars” became a viral video.......

Words: 462 - Pages: 2

Premium Essay

Case Study: Tom's Guitar Shack

...SYNOPSIS Tom Burn’s is the owner of Tom’s Guitar Shack, a small, self-run business on Whyte Avenue in Edmonton. Tom opened the store with the intention of specializing in building, repairing and selling acoustic and electrical guitars. Tom is experiencing difficultly with keeping the company’s finances (both internal and external) and work processes in order. This has resulted in debt and disarray in the organization. Tom has been challenged to find new resources, due to environmental restrictions. He has gained notoriety from some individuals in the industry for his skill and new endeavors, but the current state of Tom’s Guitar Shack leaves customers doubtful of Tom’s abilities. SYMPTOMS * The physical environment of the company is in disarray. The case describes the atmosphere as cluttered and littered. It further details the lack of organization apparent in the shop; the back room contains a few tools but lacks cleanliness and the front entrance is covered with paperwork to be dealt with. * Tom’s Guitar Shack has a large amount of paperwork that has not been addressed. This has led to customer invoices unpaid, equipment not picked up, and general disorganization. * Tom and the company are struggling financially. He has been forced to use all of his credit and has moved back into his parent’s home in an attempt to control costs. * The company is not covering the costs of material and labor through its sales profits. Tom has been forced to explore new......

Words: 2524 - Pages: 11

Free Essay

United Cereal Case

...United Cereal Case: Brill’s Eurobrand Challenge | 1.a,b) United Cereal (UC) initially entered European markets by acquiring an established baked goods company (1952). By directly investing in other established companies, UC saved costs by using established distribution lines and were better able to brand their products using well-known subsidiaries. UC’s strong shared values influenced their strategies by ensuring the company did extensive market testing to maximize customer value and innovate to prevent stagnation. Furthermore, by proactively1 entering European markets, the company was able to increase its global market share and decrease its cost through economies of scale. UC’s shared values of innovations led UC to use a brand management matrix structure, allowing UC to succeed in the European climate, second only to Kellogg’s. The structure allowed for trans-nationalization, by combining brand managers with country managers and functional units. Such focus gained local market shares by understanding the CAGE barriers. By treating brands as profit centers, UC created internal competition, promoting efficiency and cutting costs. The matrix structure has also led to R&D supremacy, with UC owning more product and process patents than any competitor. UC’s next strategy established national subsidiaries,“mini UCs ”, through a multi-domestic strategy. This allowed CMs to customize and tailor products and processes to locally maximize profit. This strategy......

Words: 2797 - Pages: 12

Free Essay

United Breaks Guitars Thesis

...Must Adapt to Prevent from Fanning the Flames (Under the direction of Dr. Lois Boynton) When a nine-month correspondence seeking reparations for musical instruments damaged by United Airlines employees stalemated, Canadian musician Dave Carroll took action online. Utilizing the video-sharing Web site YouTube, Carroll narrated his ordeal went viral generating a torrent of negative YouTube comments about United, commentary from the mainstream media, and more than 3 million views the first week of its launch. United Breaks Guitars embodies the new phenomenon of a social media wildfire in which the rapid proliferation of information through social media causes severe reputational damage to organizations whose crisis communication plans are ill equipped to handle online dilemmas. CO 
 iii PY Using symbolic interactionist theory, this case analysis explores the phenomenon in detail and provides suggestions for how organizations must re-evaluate existing crisis communication plans to respond effectively to an online audience in the billions. RI G H through the lyrics of a music video entitled United Breaks Guitars. Within hours, the video TE D TABLE OF CONTENTS CHAPTER I: INTRODUCTION AND PROBLEM BACKGROUND UNITED BREAKS GUITARS: THE DETAILS THE SURVIVAL OF THE UNITED AIRLINES BRAND CHAPTER II: LITERATURE REVIEW 1 10 10 14 CHAPTER III: RESEARCH QUESTIONS AND METHOD REFLEXIVITY ANALYSIS LIMITATIONS CONCEPTUAL FRAMEWORK AND RATIONALE FOR......

Words: 30330 - Pages: 122

Free Essay

“United Breaks Guitars”—an Epic Social Media Failure

...“United Breaks Guitars”—An Epic Social Media Failure On March 31, 2008, musician and lead singer Dave Carroll and his Canadian band, Sons of Maxwell, departed for a weeklong tour, flying on United Airlines (UAL) from Halifax, Nova Scotia, Canada to Omaha, Nebraska via Chicago’s O’Hare Airport. As they waited to deplane at O’Hare, Carroll and his band observed UAL baggage handlers tossing their expensive instruments around the tarmac “without regard.” Carroll’s desperate pleas to multiple UAL employees to intervene and rescue the instruments from the careless baggage handlers went unheeded. In Omaha, Carroll discovered that his $3,500 Taylor guitar had been smashed and broken—and that it was no accident. According to Carroll, he attempted to resolve his claim for the broken guitar with countless UAL customer service representatives. For a year, the airline refused to accept responsibility. Ultimately, he was told that UAL would not compensate him for the damage they’d inflicted on his instrument. Convinced that UAL had created a claim system designed to simply wear down customers, he decided to share his frustration with others via social media and to do so in creative ways. Carroll wrote and produced three music videos detailing his experience with UAL, which he posted on YouTube. His videos created a huge base of millions of fans. His first song, “United Breaks Guitars,” became a viral Internet phenomenon shortly after it was uploaded to YouTube in July 2009. He sang:......

Words: 1164 - Pages: 5

Premium Essay

United Breaks Guitar

................................................. 20 HR (Human Resources) .............................................. 20 plug-ins ............................................................. 21 6 6.1 6.2 6.3 7 7.1 7.2 2 2.1 2.2 8 8.1 3 3.1 3.2 3.3 Making Decisions ....................................................... 21 situation analysis ............................................ 21 forecasting ...................................................... Basic Forecasting Method ........................................ Qualitative Assessment ............................................. Forecasts, Proformas and the December 31 Cash Position ............................................................... Worst Case/Best Case ............................................... 9 10 10.1 10.2 10.3 10.4 4 4.1 4.2 4.3 4.4 22 22 22 23 23 5 5.1 5.2 5.3 5.4 5.5 5.6 5.7 11 12 12.1 12.2 12.3 12.4 12.5 12.6 balanced scorecard ....................................... 23 six basic strategies ...................................... 24 Broad Cost Leader ..................................................... 24 Broad Differentiator ................................................... 24 Niche Cost Leader (Low Technology) ....................... 24 Niche Differentiator (High Technology) ................... 24 Cost Leader with Product Lifecycle Focus ............... 24 Differentiator with Product Lifecycle Focus ............ 24 Front Page .................

Words: 17684 - Pages: 71

Premium Essay

Manchester United Case Study

...of ManUtd after the takeover by Malcolm Glazer? After Malcom Glazer invested 1.4$ billion in Manchester United he had to create new strategies and face some challenges. To be sucessful Manchester United had to raise their profit, because of the globalization. Football clubs are not only sport teams, but they are quite normal companies. They had to go with the time and charge with their global brand the whole world. So they went global and attack the asian market in form of creating a Mandarin (most known language in the world) website, making Asia tours with some friendly games and establish a football school in Hong Kong. By the way they had another benefit. From 2005 to 2012 the player Park, Ji-Sung was playing for them who was treated like a hero in Asia and especially in Korea. Moreover Glazer changed the financial thinking of the club by cutting costs in many non-profit-making sectors e.g. many players were lending to other clubs or by cutting executives. Second he raised the revenue in form of raised ticket prices and good sponsorship. The interest in ManU and the global brand of the „Red Devils“ grew. This can be seen in the better getting sponsorship which led to raising revenues every year. All in all Malcolm Glazer had to go through fire with his aggresive strategies, because many fans were against him, but in the end he was succesful and developed Manchester United finally to a global company. 2. Discuss and explain how the different alliances can increase the......

Words: 743 - Pages: 3

Premium Essay

United Airline Case Report

...UA CASE ANALYSIS REPORT Group 4 2014-12-17 1. Industry Background 1.1. Poor Customer Reputation The US airline industry has been criticized for poor customer services, inefficient operations, and frequent flight delays for quite long time. Poor reputation seems to have been a typical characteristic of the whole industry. According to the customer satisfaction survey conducted by ACSI in 2014, airline industry ranked at the 40th place among all the 43 industries involved, ahead of only Internet service providers, social network corporations, and cable TV operators. 1.2. Intricate Challenges These years, the US airline industry suffered a lot from plenty of problems. The 9.11 attacks had dealt a crushing blow to the whole industry which made the airline lose much money and some of them even filed for bankruptcy. With teleconferences used to substitute for in-person meetings, travel budgets for businesses declined which reduced the airline’ revenues from first-class and business-class passengers and lowered the profit margin. Besides, the Great Recession damaged passengers’ purchasing power as well as their willingness to purchase. Data shows the US domestic average itinerary fare experienced an obvious downward trend from the year 2000. And the skyrocketing oil price increased airline’s cost to a great degree as for every one percent increase of crude oil price, airline’s net profit would decrease by more than two percent. As a response, many airlines reduced scheduled...

Words: 2149 - Pages: 9

Premium Essay

Video Business Case Report United Airline

...address the public relationship outfall of United Airline by considering the issues and causes and choosing a recommended solution on the base of decision criteria. Methods used in this report include empirical and theoretical analysis. In aviation industry, airlines experienced a cost pressure and that is the main reason that they cut cost wherever possible. Ethical issues and stakeholders’ benefit would be considered and play key roles in decision criteria to value the solution. United Airline would be suggested to establish a temporary team to solve the short-term crisis and invest in customer service departments to prevent similar issues in the future. The balance between cost and profit would be achieved to save the reputation and earn the profit, which would maximize the stakeholders’ value. Limitation of this report could be found in the scope of decision criteria. Some main points are covered and other attributes are not. Introduction The purpose of this report is to deal with the customer service issues facing United Airline. The causes would be discussed and the decision criteria would be considered to measure the alternatives which could be taken to address these issues. Moreover, recommended solution would be derived as the best of the alternatives with supported reasons. Finally, suggestions would be provided on how to implement the solution as well as the related implications. Issues United Airline suffered a public......

Words: 2164 - Pages: 9

Premium Essay

Washburn Guitars Case Evaluation

...Washburn Guitars Case Evaluation There are a few factors that are likely to affect the demand for the lines of Washburn Guitars. Changing the price of the guitars that are sold would affect the demand for Washburn guitars that are bought by first-time guitar buyers. The demand for Washburn guitars will increase if they lower their prices. First-time guitar buyers want good value for the product that they are buying. Lowering the price would not have a significant effect on sophisticated musician buyers. Endorsements by internationally known musicians who use their guitars will increase demand by increasing customer awareness of their product. First-time guitar buyers will want to buy a Washburn guitar because one of their favorite musicians uses a Washburn guitar. These endorsements will make Washburn guitars a recognized brand name which will affect demand for first-time guitar buyers. Sophisticated musicians will also want to buy a Washburn guitar, if it is endorsed by a well-known musician, because they will think that it is a high quality guitar since it is being endorsed by amazing, popular musicians. These sophisticated musicians will want to buy signature guitars because of the prestige of the musician’s name. Another factor that would affect demand is Washburn guitars receiving great reviews. Customers will read these positive reviews in magazines and on the internet and they will want to go out and get a Washburn guitar for themselves. First-time guitar buyers......

Words: 667 - Pages: 3

Premium Essay

United Breaks Guitars Case Study

...Yohance Patterson Case Study 3 Professor George Scott 11/07/14 United Breaks Guitars “It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you'll do things differently.” – Warren Buffet (cite) Introduction David Carroll a musician and his band “Sons of Maxwell” were flying back from their hometown of Halifax, Canada from doing a week worth of shows in Omaha, Nebraska on March 31, 2008. On aboard a connector flight in Chicago at O’Hara international airport, David noticed a baggage claim handler mishandle his $3,500 guitar. David expressed to the flight agent about the incident but she responded by saying “Don’t talk to me. Talk to the lead agent outside.” Each person David tried to speak with about the incident passed him on to another person who couldn’t help him, David’s guitar ended up being broken and in need of repair. David request was for United Airlines to take the responsibility for the damages of the guitar by reimbursing the $1200 dollars that it cost to repair the guitar as well as $1200 worth of flight vouchers. After 7 months since the incident happen David was contacted by a rep from United Airline through email saying that she was sorry about what happened to the guitar, but that standard airline policy held that claims be made within 24 hours of damage and since he didn’t get his guitar inspected by United his claim was denied. David said “the system is designed to frustrate affected customers into giving......

Words: 1053 - Pages: 5

Premium Essay

United Breaks Guitar

...United Breaks Guitars Even though this case seems to be a big crisis for United, I personally think that the United’s response was not bad, speaking from the marketing perspective. How United responded to this situation had a lot to do United’s positioning at the time. Cutting costs and experiencing bankruptcy made United price-sensitive. It is impossible to satisfy everyone. The response determined how United was going to be seen in consumers’ eyes. First of all, it was good that United responded with integrity. They did apologize and say that they were trying to make it right. However, I don’t think that any company has to drop to its knees to make up to its customers. United showed consumers that the first thing they did was to contact Carroll to confirm the situation. And it was also mentioned that United had received some fraudulent claims along the years. If United were to blindly state that they would compensate Carroll for his loss without any investigation, it would set a precedent for others who might not be as honest and want to benefit from false claims. United had also stand firmly by its policies, by saying, “no excuse, we are sorry”. Secondly, what happened in the past is sunk cost. The critical thing in the response should be letting customers know how they plan to change in the future. United showed customers that they’ve learned from this experience and were planning to improve, as they asked Carroll if they could use the video internally. Thirdly,......

Words: 597 - Pages: 3

Premium Essay

Case Study 1 Guitar Maker

...1. Which of Fayol’s 14 universal principles of management in Table 2.1 are evident in the C.F. Martin case? Explain your reasoning for each principle selected. Principles of management that are evident in C.F. Martin case are: • Unity of Command – Chris found a very hierarchical situation where the boss tells the workers and the workers does it and goes home. • Initiative – Chris Martin took the initiative of formulating and carrying out a plan to improve the company by taking a course and learning the value of teamwork. He was able to get the workers involved which resulted in $15 million in profit sharing for the employees. • Stability and Tenure of Personnel – Chris involved the workers in a lot of formal training to learn their job. • Remuneration – In the process of training employees on the job, the company was able to profit $15 million in shares. • Esprit de corps – Chris was able to prove that teamwork is successful. The workers took what was learned from the trainings, worked as a team and the company was a success resulting in $15 million in profit sharing. 2. What would Mary Parker Follett probably say about Chris Martin’s management style? Explain. I think Mary Parker Follett would say job well done to Chris Martin’s management styles. She would also say to keep up the good work. He was able to motivate his employee’s performance through training and getting them to work harder instead of demanding it out of them. This is a style that Mary Parker......

Words: 582 - Pages: 3

Premium Essay

United Cereal Case Analysis

...From: Maduka Elekwachi To: Lora Brill (United Cereal Vice-President) Subj; Eurobrand Team enhancement For United cereal to progress in the Euro brand they will need to gather information on the current brand development in Europe and who the major rivals would be in each and every country. There should be collaboration of every member of country managers to relate progress information on market details to fellow European countries. As we have seen “Ready-to-eat cereals sales proved the most lucrative for the European breakfast cereals market in 2010, generating total revenues of $6.8 billion, equivalent to 87.3% of the market's overall value”(research & market). So insist that UC keeps the Euro brand team and work with more demographics and look at the costs of acquiring the raw materials for the cereal production and government regulations surrounding them in some countries in Europe the acquisition of the raw materials would cost less than it did some other countries. Because of the cost to be incurred from this operation it would not hurt to cut corners in production costs. They should also consider joining cereal international organizations that can influence the choices of consumers in the European countries; some of these organizations are helping to relate to European states the necessity of having breakfast and what nutritional value is gotten from having HBC cereal for breakfast. To sum it up we would need to strengthen the operations of the established......

Words: 317 - Pages: 2