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New Media Impact on United Airlines

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New Media Impact on United Airlines
New media impact on United Airlines

Introduction
New Social Media has strong influences on both big companies and SMEs. Compare with the troditional media, new media is a kind of two way communication and it is common that online is most uesful platform for new media.

United broken my guiter
Musician Dave Carroll said his guitar was broken while in United Airlines' custody. He alleged that he heard a fellow passenger exclaim that baggage handlers on the tarmac at Chicago's O'Hare International Airport were throwing guitars during a layover on his flight from Halifax Stanfield International Airport to Omaha, Nebraska's Eppley Airfield. He arrived at his destination to discover that his $3,500 Taylor guitar was severely damaged. Fox News questioned Carroll on why he checked the valuable guitar and Carroll explained that it is difficult to bring guitars onto flights as carry-on luggage. In his song, he sang that he "alerted three employees who showed complete indifference towards me" when he raised the matter in Chicago. Carroll filed a claim with United Airlines which informed him that he was ineligible for compensation because he had failed to make the claim within its stipulated "standard 24-hour timeframe".

This video was posted on July 6, 2009 and amassed 150,000 views within one day. It is not only attract huge media attention, but also sharply effect on UA stock price. Within 4 days of the video being posted online, United Airlines' stock price fell 10%, costing stockholders about $180 million in value.

The impact on SMEs and big companies
Social Media Networks are basically applications that are completely based on user generated content and the action of users play a substantial role in increasing the value of the application or service. Blogging, social tagging, pod casting, social networking, media sharing, social gaming are some of the popular applications

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