Using global segmentation to grow a business
An United Airlines case study

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Page 8: The service life-cycle

In general, depending on the size of the company, service providers can modify their offer more quickly than manufacturers can alter their products. United Airlines' ability to fine-tune its services rapidly in response to changing customer needs enables it to retain its market position. Growth strategies also depend on a capacity for 'rapid response'.

Service adjustments may involve, for example:

  • expanding the range of services for some segments
  • modifying how a service is delivered
  • re-positioning services in chosen segments
  • differentiating services even further from those of competitors
  • finding untapped markets for services.

Like the product life-cycle, the service life-cycle needs constant injections of life to extend the growth phase and increase the profitability of the organisation.

United Airlines | Using global segmentation to grow a business