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British Airways Stakeholders

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Overview of British Airways

The largest airline in the United Kingdom is British Airways. The company was incorporated in 1974 by the Government of British in order to manage the two nationalized corporations such as British European Airways and British Overseas airway corporation. Since 1987, the company was privatized by the Conservative Government. The market structure of British airline is Oligopoly in nature. In the airway companies, there are a number of companies that offer same services and If the customer is not satisfied with the services of the one of the company then he may look for the activities of another company and shifts to another airline company. Thus, competitive practices are very high in British Airways. The competitors of the company are – EasyJet, Delta airlines, American airlines and Jet2. To beat the competition in the market, it is the responsibility of the management of British Airways to track the position of the different airway players. The management has to consider different ways of implementing the strategies that are enough to compete with other players in the market. British airlines provide complete knowledge of the products and services to their customers with the help of Technology. This knowledge helps the customers to choose the different products and services according to their requirements.

Stakeholders of British Airways

The customers, employees, shareholders, government and the community should be considered as the stakeholders of British Airlines. The essential stakeholders who have high interest and high influence in their business on board are must be identified by the airlines. Primarily, there are some essential stakeholders such as shareholders, customers, Government and employees.

Shareholders - These are the owners of the business who holds the authority to elect the board of directors. Further, the business is managed by the board of directors. Moreover, this represents how powerful are the shareholders of British Airlines. BA has created a special platform for the relations of the investor. The BA has a dedicated website “” in order to inform its stakeholders about the latest news. The BA must keep their shareholders informed all the time, they must conduct meetings with the shareholders in order to discuss the business performance and the steps to improve the business. Moreover, it is believed that BA is doing good more than expected in the context of business in order to keep the shareholders close and within its inner loop by offering them with generating yearly prospectus and financial statements amongst another mean of reporting. Further, a fair rate of return on investment is received by the shareholders so far with the dividends the ranging percentage from 2.25% to 12.8%.

Employees - The employees are considered as the essential assets of the organizations. The employees such as flight crews, maintenance, customer service, engineers, and Pilots amongst others are what drive the airline business. Further, the employees must always comply with the decisions of the company especially the high profile employees such as pilots and managers who cannot be easily replaced and highly skilled. Moreover, greater diversity, more development, more valuable experience and better training is offered by British Airlines. It is about investing in the employees for the better future business. In order to achieve the business goals, the complete potential of the employees has been used. Moreover, it represents the ethical responsibilities of BA. The employees on BA is kept on board to encourage their input and providing them not only with the job security with the sense of justice and importance in treatment or hospitality. Further, the training opportunities, holiday entitlements, discount on flights, and many profit sharing scheme are provided to the employees depending on their contracts. Further, in the case of remuneration packages, British Airlines (BA) is very generous.

Government – Government is associated with the activities of the airline company. The Government of different countries is associated with plans and policies. British Airways has a legal department that always considers the legal formalities for completing the requirements of the company. As the British airway is the Government establishment hence any change in the regulatory policies reflects the policies of the British airline company.

Customers – Customer is the major stakeholder in the success of the British airline company. The company needs to know the opinion of their customers and other stakeholders. Customers are important not only to British Airways but also to every other business. British airway values its customers and keeps their customers on the board. The company conducts an ongoing survey for measuring the customer’s responses about the services. To improve customer satisfaction, British airway asks the feedback to the customer from time to time. The survey reveals the results that British Airways provides the most cost-effective meal options to its customers during the flight.   


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