The following recommendations are made keeping in view the operational issues being faced by the company:
The firm will have to invest in the field of research and development so that it becomes possible for the firm to devise cost effective ways. Decrease in cost will enable the firm to decrease fares and it will in turn contribute to attract budget conscious customers all over the world.
The buying decisions of the firm are needed to be more benefit oriented and a detailed analysis should be done on the impacts each decision can have for the success of the business.
The recruitment process will have to be made more effective so that those people that have high competencies and can contribute towards enhancement of company standards can only be hired.
The government will have to increase the rate at which the airline is subsidized. It will have to increase the subsidies that it is granting to the related airline to make it able to compete with Virgin Australia.
The condition that foreign take in the airline cannot exceed a level of 49% will have to be revised because in the present era of globalization and increased economic integration it is not possible to limit the extent of foreign stake in the shares of a company. In addition to this all the other big airlines are supported by a foreign back and any airline that lacks foreign investment remains unable to build a reasonable level of competitive advantage in order to survive in the industry.
The company will have to change its work practices and culture in order to excel in the field of operations.
The CSR practices being followed by the firm are also not up to mark and it will have to invest in the field of CSR to make it more attractive in the eyes of customers. The focus on CSR is also important because it will ensure that company operates in socially acceptable way because it is the only way to remain successful and profitable in long run too.