Revealing the secrets of Qatar Airways’

success
Emerging economy strategies for building a global brand against the odds

ommercial aviation is a highly competitive industry that faces significant ongoing

C operational challenges. A research paper by Hamad MA Fetais et al. (2020)

explores how Qatar Airways successfully deployed strategies to expand itself into
an internationally-recognized global brand. This study aims to convey an understanding of
how Qatar Airways, a multinational airline from an emerging economy, attained top-ranking
global status and became one the youngest airlines to serve all six continents. Data for this
study were gathered through detailed interviews with high-level Qatar Airways managers, in
conjunction with airline-specific supporting documentation.

Airlines in emerging markets

In 2007 Qatar Airways, the state-owned airline of Qatar, began heavily investing in
expanding its fleet of aircraft. In doing so it selected models offering the highest customer
comfort levels, fuel efficiency, and reliability. This rapid growth was indicative of Qatar
Airways’ ambitions to become a globally-recognized airline, prompting them to join
alliances, undertake joint-ventures, and sign open skies treaties to secure a competitive
edge over their developed-nations counterparts.

Airline operational challenges

Profitability and its resulting sustainable success in the airline industry depends on the
capability to control costs and fares, and to adapt to the continuously shifting conditions
of a global market. Operationally, airlines must implement efficiencies and streamline
processes to reduce expenses and grow profits. From a customer perspective airlines
must devise strategies focused on delivering a superior customer experience, to build a
loyal following by countering travelers’ perceptions that flying is inconvenient and
inefficient.

Revealing the results

Using aggressive internationalization strategies Qatar Airways has successfully become a
globally recognized brand, winning multiple awards along the way for its superior standards
of traveler comfort. To explore how Qatar Airways achieved this, interview participants were
asked questions about their airline’s internationalization strategies. Qatar Airways’
continued efforts to differentiate themselves while delivering superior customer service can
be attributed to the following three carefully executed strategies.

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Strategy 1: Aggressive international expansion
Qatar Airways continually sources new opportunities for cities within an eight hour flight,
however new destinations can quickly become saturated by the market requiring airlines to
rapidly and aggressively penetrate these destinations. After building a strong foundation of
global destinations, Qatar Airways launched a new destination every month for five years.
They also established ultra-long-haul routes: direct flights of up to 20 hours to far-flung
destinations on aeroplanes with the highest comfort levels.
To compete in such a fierce industry, major airlines from different geographical regions form
alliances to merge their networks and expand their reach. Qatar Airways joined the
Oneworld alliance in 2013, which has bestowed passengers with increased choice,
enhanced convenience, and more competitive ticket prices.

Strategy 2: Customer-oriented service

Qatar Airways continuously works towards achieving superior customer service, by
steadfastly putting passenger comfort at the heart of their internationalization strategy.
Hamad International Airport (HIA), Qatar Airways’ operational home, is equipped with ultra
modern technology, superior lounges, and high-end shops and services to enhance the
travel experience before passengers board their flight. Even more significantly, Qatar
Airways has deployed an advanced fleet that offers extra legroom, a superior on-board
entertainment system, and full flatbed seats for long haul flights. These measures have
substantially increased passenger comfort and therefore satisfaction.

Strategy 3: Resilient global branding

Qatar Airways adopted a strategy of building a resilient global brand by selecting highly-
publicized events and sponsorship opportunities. Attending international airshows enabled
Qatar Airways to showcase products and services, announce new destinations, and to
demonstrate the unique features of their aircraft. The airline also sponsors international
football teams, giving them global brand exposure. Furthermore, Qatar Airways funds social
responsibility programs to support local and international communities. By implementing
environmental impact reduction measures such as e-tickets and fuel-optimization
processes, Qatar Airways can satisfy customers’ expectations that airlines must take
responsibility for their carbon impact.
In addition to its internationalization strategies, Qatar Airways deployed strategies in its
home country to leverage key business components. Firstly, the airline leveraged its
geographical location by making Qatar an important transfer hub for long-haul flights, which
connected people around the globe. Secondly, the airline has capitalized on domestic
investment in the aviation industry and benefited from state-of-the-art facilities at the
capital’s airport. Finally, access to increased government support has enabled Qatar
Airways to play a key part in the country’s economic development.

Insights into building globally successful brands

Qatar Airways’ highly strategic approach to operations has given them a substantial
advantage over other carriers in a highly competitive industry. Focusing on providing
superior quality customer service, and recognizing that an advanced fleet is an essential
component of quality, has enabled this state-owned airline to achieve global success. By
acquiring an advanced fleet of aircraft capable of long and ultra-long-haul flights, Qatar
Airways expanded their global network of destinations and reduced passenger discomfort.
In tandem, by selecting fuel efficient aircraft, Qatar Airways has driven profits by lowering
operating costs.

VOL. 37 NO. 3 2021 j STRATEGIC DIRECTION j PAGE 19

 While Qatar Airways is a unique example, there are opportunities for international business
managers to learn from the airline’s global success journey, and to deploy similar strategies
within their own firms. These takeaway insights are that:
䊏 Identifying key determinants for creating competitive advantage can be achieved by
carefully analyzing industry features and customer expectations. Integrating innovative
approaches that differentiate from competitors can help create successful businesses.
䊏 Activities designed to increase customer satisfaction should be prioritized within
business strategies. Qatar Airways made the onboard experience an important part of
the journey and maximized passenger comfort by building an advanced fleet of
aircraft.
䊏 Achieving a global presence requires brands to be involved with high profile
international events, and to support community programs on an ongoing basis.
Leveraging these opportunities is all progress in the journey of building the brand.

Commentary
The review is based on “Qatar Airways: building a global brand” (2020). This research
Keywords: paper concentrates on uncovering how Qatar Airways successfully became a top-ranked
Internationalization multinational airline brand. The airline achieved this success by implementing three core
strategies, strategies. Firstly, aggressive international expansion through rapidly launching new
Oneworld alliance, destinations, joining a strategic alliance, and expanding into offering ultra-long-haul routes.
Resilient global branding,
Secondly, a sharp focus on customer-oriented service through investing in an ultra modern
Airline industry,
Qatar Airways, airport base, and in a high-end aircraft fleet that delivers maximum passenger comfort.
Superior quality customer Thirdly, resilient global branding through attending international airshows and through
service sponsorship opportunities.

Reference
Hamad MA Fetais, A., Al-Kwifi, O.S., U Ahmed, Z. and Khoa Tran, D. (2020), “Qatar Airways: building a
global brand”, Journal of Economic and Administrative Sciences, available at: https://doi.org/10.1108/
JEAS-04-2020-0044

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