AWA-ARGUMENT---please rate and point out the problems.

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_The following appeared in an Avia Airlines departmental memorandum. On average, 9 out of every 1,000 passengers who traveled on Avia Airlines last year filed a complaint about our baggage-handling procedures. This means that although some 1 per...
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The following appeared in an Avia Airlines departmental memorandum.
On average, 9 out of every 1,000 passengers who traveled on Avia Airlines last year filed a complaint about our baggage-handling procedures. This means that although some 1 percent of our passengers were unhappy with those procedures, the overwhelming majority were quite satisfied with them; thus it would appear that a review of the procedures is not important to our goal of maintaining or increasing the number of Avias passengers.
Discuss how well reasoned . . . etc.


Avia airlines is concluding that a review of the procedures related to its baggage-handling policy is not necessary, based on statistics that only a few customers are not satisfied with the procedure. Though the statistics point at the reasonable conclusion, it is not the only criteria on which the conclusion should be based. There are many assumptions leading to the conclusion.

First the company just states the statistics that 9 out of every 1000 passengers have complained about their baggage-handling procedure. What it fails to consider is whether these handful customers belong to particular route in which the company does operations. If true, it leads to dissatisfaction among the customers of that particular region, and eventually leading to the company losing its customers.

Secondly, it fails to understand the type of complaints made by the customers. Have all the customers who have complained relate it to a same issue. If yes, then the company needs to bring about changes in its procedure as all the complaints point towards a flaw in the procedure of the company. For example, all the customers who have complained might be reporting that their baggage have not been handled properly and almost all of them might have reported damage to their property. This is a serious problem which eventually might lead to the company losing its customers.

Third and the major assumption on which the company bases its conclusion is that almost all the passengers who travel with the airlines report the problems related to baggage-handling procedure. Most of them might not have reported due to lack of time or motivation, or in some cases might have been so disgusted that they did not find it useful to report the problem to the company. If yes, the company is bound to lose its customer base in the long run. A government can come to majority even if 10 % of the overall population within a country takes part in an election. This doesnt mean that all the people are happy with the mandate. Majority of them might have found the voting process a sham and hence might have stayed away from voting.

Instead of taking statistics on a general basis, I would suggest that the company take individual statistics of the entire region where it operates. This would give a better demographical picture of the customer satisfaction. Also, the company should include conducting survey for the same asking about the chunks within its procedure with the customer rather than just counting on the number of complaints.

In conclusion, the company should dig deeper into the complaints in order to come to a conclusion rather than relying on statistics. Also, it needs to segregate the complaints according to the region. Majorly it should consider the number of customers who may never place a complaint before coming to the conclusion. Statistics might favour the conclusion but it can only be confirmed when all the above mentioned factors are studied by the company.
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