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Pages 10 (2510 words)
In this era of globalisation and cut throat competition, attracting the customer has become a very challenging task for any business organisation. Airlines industry is no exception. Companies try to attract customers by being innovative in pricing techniques.
Working in tandem with the concept of e-business, e-Procurement, a B2B concept, is the online purchase of goods or services electronically. Cathay Pacific's CxeBuy electronic procurement system came into existence at its headquarters in Hong Kong by the end of 2001, across different departments and spend categories. Central to achieving Cathay's e-business vision was the impetus to apply Internet-based tools to building the most efficient purchasing process and capability in the industry. CXeBuy was the first Oracle Internet Procurement (OIP) solution ever implemented by Oracle for an airline. In March 2002, the Australia was identified as the first location to be benefited from CXeBuy as it had the potential of linking its six ports under a common purchasing process and supply base. Japan, with its five ports, was slated to be the next target for implementing this process. Initially Cathay Pacific adopted this strategy in order to be more competitive and to Web-enable the procurement of goods and services for five of the airline spend categories, namely: in-flight service, cargo, information technology, marketing and office supplies. ...
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