Business Research 2 report for IB year 2 Concerns “The Boeing 737 MAX Crashes with the research question “how to trust of consumers and customers”. Includes Introduction, Theory, Analysis and Conclusion. With conceptual framework. Rated with an 8.6.
The Boeing 737 MAX Crashes
How to recover trust of consumers and customers
Name: Sanne Leek
Student number: 500806127
Class: IB2F
Date: 2-11-2019
Lecturer: Roeland-Sentell, A.L.
The Boeing 737 MAX Crashes
How to recover trust of consumers and customers
, S.J.C. Leek
500806127
IB2F
Written in the month of October, 2019
Hogeschool van Amsterdam, International Business
Business research 2
Lecturer: Roeland-Sentell, A.L.
2
, EXECUTIVE SUMMARY
The Boeing company is an American multinational corporation that designs, manufactures, and sells mostly
airplanes worldwide. In august 2011, they released a new aircraft called the 737 MAX 8. This aircraft had a
software failure which resulted in two major crashes. In these crashes 346 people got killed. Because of this
Boeings image has been damaged, their consumers and customers worldwide have lost trust in the company and
the planes they provide. This is where the issue irises that is discussed, how can Boeing recover this trust that has
been lost?
Multiple variables could increase consumers and customer trust in a company. In this case five variables have been
selected to look at from different theoretical perspectives. The two dependent variables are apology and
information sharing. When using these variables, the trust can be increases. The three moderate variables are
explanation of the cause of incident, financial compensation and involvement of the media. These variables can
increase on decrease the positive effect of the independent variables.
The use of apology Boeing made has recover trust, but was cold and heartless. Therefore, it was not as effective as
could have been. Furthermore, they shared information about the crashes and what they were doing about it.
However, this was too late and too little. The same count for their explanation of the incident, which is part of
sharing information, was not enough and therefore not really effective. This resulted in that the media told the
story for them, which is bad involvement of the media and decreased the effect of the apology and information
sharing which was already lacking. All variables are already used by Boeing to increase trust, but the quality of
them is not sufficient enough.
From this can be concluded that when Boeing incorporate the variables in right way they can increase trust. They
can do this by giving a sincere apology and personal, giving financial compensations for that got people hurt by the
accident, they should speak up and speak out early and often, be open and transparent and take control of the
story. With incorporating every aspect of this they will be able to gain trust again form their consumer and
customers and regain the image of the company.
3
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