... [pic] China Xiamen Airline Student: Que jia lei Student number:07007923 Lecture: Mr. David Goh Submission date:04-01-2008 Contents Executive summary………………………………………………………..3 1. Introduction……………………………………………………………….4 1.1Xiamen airline company background……………………………………….4 1.2The objective of this project…………………………………………………..4 2. Xiamen airline Vision, Mission and Goals…………………………5 ▪ Vision……………………………………………………………………………5 ▪ Mission…………………………………………………………………………5 ▪ Goals…………………………………………………………………………….5 3. Strategy analysis of Xiamen airline environment…………………6 3.1 PEST analysis……………………………………………………………………….6 3.2 Internal environment………………………………………………………………9 4. SWOT analysis…………………………………………………………….12 5. Porter’s five forces analysis……………………………………………13 5.1 Competitive Rivalry……………………………………………………………….14 5.2Threat of Entry……………………………………………………………………...14 5.3Buyers bargaining power…………………………………………………………15 5.4Suppliers bargaining power……………………………………………………...15 5.5Threat of substitute………………………………………………………………..16 6. Report on the organization products, market and current strategy (Grand Strategy Matrix)……………………………………………………...17 7. Overall recommendation for future development……………………20 Reference……………………………………………………………………...22 Executive summary In 2006 , China foreign tourism exchange revenue...
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...initiatives - for instance, improving service quality and safety standards, technology integration, upgrading pilot training, better business focus; putting in place a professional management team, improving corporate image through sponsorship marketing, etc. He gave a new corporate direction in the form of '10,10,10' goal. However, Korean Air is held up by a slew of challenges. Among which are inefficiencies of - Chaebol system of management, possible clash of its cargo business with its own shipping company, limited focus on the domestic market and growing competition from LCCs. How would Korean Air manage growth as a family-owned conglomerate? The case offers enriching scope for analysing a family business’s turnaround strategies, with all the legacy costs involved. Pedagogical Objectives • To discuss the (operational) dynamics of Korean Chaebols - their influence/ effects on the country’s industrial sector and the economy as a whole • To analyse how family-owned businesses manage the transition phase - from a supplier-driven economy to a demanddriven economy • To identify all the possible reasons for Korean Air ’s turbulent times and assessing whether they are controllable or not • To critically evaluate Korean Air ’s transformation efforts - in terms of growth, productivity and cost cuts, especially the efficacy of '10,10,10' goal in a family-run business • To identify various challenges to Korean Air in...
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...Running head: SW Airlines Case Study Case Study Southwest Airlines Cardinal Stritch University Advanced Marketing Management CMB 508 September 3, 2013 Scott A. Braucht, MBA Professor In the 1940s travel via airplane was a privilege. Men wore a suit and tie and women wore dresses with a hat and gloves. Parents would endure a 27 hour flight from the middle of the country to Hawaii to see their soldier son at Pearle Harbor. Air travel was a luxury. Customers expected the best in treatment. Chef prepared meals were served on white china with glassware and silverware. A lot has changed since that time. There are a number of discount airlines today. They come and go, but Southwest Airlines has managed to stay in the business since 1971. Their success is due in part to the successful identification of their market and the needs of their customers. Southwest Airlines primary marketing strategy included bright red heart logos and catchy phrases for its peanuts (meals) and their drinks. As it grew, Southwest Airlines became known as the airline with cheap fares, on-time service and, most recently, not charging for luggage when other airlines started to do so. Passengers flying on Southwest Airlines are entertained by the pilots and flight attendants who tell jokes, describe funny facts of the areas as they fly over, and even burst into song. The flights are shorter than other airlines and the planes are turned around on the ground faster than the industry average...
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...“Turkish Airlines experiences rapid expansion”. This is the title of an article appeared on November 14, 2013 in the Financial Times. In the decade 2003-2013 the company expanded enormously, from 65 to 233 aircrafts, the passenger numbers have more than quadrupled and the number of international destinations grew surprisingly from 76 to 199. (See Exhibit 1) At present, Turkish Airlines appears to be one of the most extensive airline companies with 106 connected countries (the last was added in April 2014). It was also acclaimed as the best European company in the last four years consecutively at the Skytrax World Airline Awards, being the third most profitable carrier after Ryanair and Easyjet. The expansion continues: with the project of the third Istanbul’s international airport and the announcements of new destinations to countries like Mexico, Philippines and South Sudan. (See Exhibit 2) How a small Turkish state-owned company became so huge and successful? What are the main challenges it had to face and how did it tackle them? What are the main actual and future issues for a company that is expanding quickly and widely? We will try to give an answer to these questions in the paper: starting from an essential and short presentation of Turkish Airlines historical evolution, making a synthetic overview of its main strategies and analyzing the past and the future challenges in developing countries such as India. Turkish Airline historical steps towards internationalization...
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...International Business Environment Name: University: Course Title: Instructor: Date: Executive Summary International business environment changes in the last couple of years have had a significant impact on the sectors of the world economy more so the airline sector, with this in mind the term paper focused on the impact of changes in the international business environment on the airline industry. International business environment is viewed as the most contexts for international business and comprehending how forces in this environment impact the business operations is the difference between business failure and success. To this end, the research established various changes in the business environment that have taken place in political, economic, financial and socio-cultural circles. Political changes especially the Arab spring have had far reaching impact on the airline sector with fall in passenger numbers to these destination as well as the rise in fuel prices negatively impacting the growth of the industry, political instability in other areas as well as laws regulating the airline sector have been on the rise as countries seek to protect local airlines, the economic crisis slowed down the growth of the sector but with the recovery process on track, the airline industry is expected to grow into the foreseeable future, issues such a new taxes for example carbon tax in Europe, the unstable foreign exchange market and inflationary pressures...
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...The increasingly competitive nature of the aviation industry from a global perspective in todays context has brought about the need to sustain profitability of ones venture in an environment that deems both competitive and economically demanding. Besides the emphasis on cost leadership and operational strategies, the requirements of managing customer relations addresses upon a new agenda of business strategy formation around this essential core element; customer value. With reference to successful “tried and tested” methods by major industry leaders in the globe today, the paper seeks to address the value of customer relations management as a major competitive strategy for low cost carriers such as Indigo Airlines within the southern regions of Asia. RESEARCH PROPOSAL Executive Summary The emergence of low cost carriers within the southern regions of Asia have brought about major success and reshaped the aviation industry within these regions. Though recent success have come about with the exploration of mass segments and low cost structures, this innovative business model is bound to mature with the external markets and consumers. With focus on India and Indigo Airlines, the issue of differentiation in a relatively highly matured market with relatively lower international barriers to entry have brought about the need to explore alternatives which create customer value. Customer relations management schemes and the emphasis on providing supplementary services is a method...
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...Strategic Analysis Report Flux Consulting – Airline Division Queensland University of Technology MGB309 – Strategic Management Pei San Chew – 0 8000492 Tutor: Christophe Garonne (Tutorial 8) Word Count: 2160 1.0 Executive Summary The air transportation industry within Australia is highly competitive. However, there is solid evidence and a strong indication that Virgin Australia can seize power over the current market and outrun its competitors for its long-term survival. Virgin Australia should optimise opportunities and remain competitive by either strengthening its alliance with SIA or outsourcing to a specialist company in ground handling. The key challenge for the company is to create strategies that ensures effectiveness. The strategies will draw upon previous internal and external analysis conducted and focus on developing strategic alliances and strategic outsourcing. This report analyses the benefits and limitations of these potential strategies and provides practical recommendations to ensure long-term strategic sustainability. The results of the evaluation between the two strategies illustrate that the first strategy is more appropriate for Virgin to be sustainable in the long-term. There are several advantages that Virgin possesses which includes its strategic alliance’s strong position in the Asian market, and its ability to integrate newly planned flight routes. This means that Virgin is able to benefit from the strengths of its alliance. Moreover...
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...Executive Summary Activities in the commercial aeroplane manufacturing industry have been outshined by the competition involving the European owned Airbus and the USA owned Boeing. These two companies exist as a duopoly at the top end of the commercial aeroplane manufacturing industry that covers the development of airplanes with a capability of more than 200 persons. Other aeroplane manufacturers also exist but at the lower end of the industry, these smaller firms mainly develop low capacity airplanes that basically convey less than 150 persons. Boeing is a United States of America based company which was founded by William Edward in 1916, the firm has been dominating the industry since its inception while on the other hand Airbus was founded in 1970 by the European Aeronautic and Space Co. (EADS) with its headquarters in Toulouse, France in other to challenge the monopoly thus far enjoyed by Boeing. The trade disputes or disagreements involving the European Union (EU) as well as the United States (US) take precedence in the rivalry or fight between this two firms. Whilst Airbus receives subsidies in the form of launch aid from the European Union while at the same time Boeing is granted right to use the United States military’s Research and development technology. Owing to the soaring operating fund as well as long product break even time associated in the airplane manufacturing industry, it can be reasonably debated or argued that it will be somehow difficult for each of...
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...Evaluating Competitiveness Using Fuzzy Analytic Hierarchy Process - A Case Study of Chinese Airlines Abstract With the development of a national market economy, the Chinese aviation industry is now confronted with international competition. Therefore, it is necessary to research the competitive status of Chinese national aviation, as well as advice on how to enhance the competitiveness of the Chinese aviation industry. The main objective of this paper is to propose FAHP as an effective solution for resolving the uncertainty and imprecision in the evaluation of airlines’ competitiveness. In this paper, we review the research of industrial international aviation competitiveness at both home and abroad, discuss a theoretical framework for the study of aviation competitiveness, establish an index system with 5 first-order indicators and 17 second-order indicators, set up a Chinese aviation competitiveness model based on simple fuzzy numbers from the Fuzzy Analytic Hierarchy Process, and evaluate the competitiveness of 5 major Chinese airlines. The results show that this model and these indicators are scientific and practical, with a wide range of application prospects for the purpose of improving and increasing Chinese airline competitiveness in the international market. The effective approach presented in this paper is especially applicable when subjective judgments on performance ratings and attribute weights are not accessible or reliable, or when suitable decision makers...
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...AirAsia Case Study Abstract—This paper focuses on the company AirAsia. We will be talking about their strategy through out this paper and will also discuss their position in the global market. AirAsia’s strategy is to become the largest low cost airline in Asia; however, their coverage stays within south east Asia, which with our consultation and data presented in this paper we can analyze and seek a path towards a much larger coverage and becoming the leading largest low cost airline in the world. For the sake of this paper, we will be focusing on AiAsia’s partnership with Emirates in the middle east region. Keywords—AirAsia; Strategy; Sustainable Growth; Low-cost Airline; Alliance; Global Market Analysis; Introduction AirAsia, a successful global company based in Malaysia has been transporting people in Asian for over 15 years. The company is however thinking about expanding their coverage through out all Asia; currently they are covering and more focusing in East and Southeast Asia. Analyzing AirAsia’s strategy will help us understand any trends that is either helping them or decreasing their growth, hence, with proper recommendations we would be able to help AirAsia achieve its goal: Becoming the largest low-cost carrier in Asia. Having that said, by looking the global market and the growth rate of AirAsia; the company will be able to become the world’s largest low-cost carrier instead of only Asia. This requires the company to make a few smart modifications...
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... This case discusses the history of Boeing and salient forces affecting the global aircraft industry, along with the key strategic issues driving Boeing’s competitive strategies. Boeing and Airbus dominate the global aircraft industry, but have very different visions of the future of commercial air travel. Consequently, the strategies they have devised to manage the competitive environment are disparate. The case provides a unique opportunity to explore these differences, how functional strategies support the overall competitive strategy, and the critical decisions now faced by both competitors. The objective of the case study is to evaluate current industry conditions and to make corrective recommendations to improve Boeing’s strategy. The shortcomings of the company’s functional strategies should also be examined in search of measures to improve organizational performance. * Compare the two competitor's strategies. Based on the industry environment, what conclusions can be drawn? * Since Boeing made its decision to pursue a product strategy based on the point-to-point airline business model, what new market conditions have developed? What impact are they likely to have on the company’s success? * Evaluate the pros and cons of Boeing's outsourcing strategy. Is there adequate support for the company's decision to "offload" parts production? * Consider the status of commercial aviation globally. Do Boeing's international strategies position...
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...CRISIS COMMUNICATION AND THE CASE STUDY OF MISSING MALAYSIA AIRLINES FLIGHT MH370 I. Literature review In a ‘vulnerable’ society that has been easily affected by many different types of crises such as natural and man-made disasters, in disregard of where you live and what you do, no community or organization is immune from crisis. In order to provide clear definitions and deeper understanding crises of all types, scholars have developed theories to handle these events. A wide range of crisis fields are studied including psychology (Morgan et al., 2002), sociology (Clarke & Chess, 2008) or political perspective (Birkland, 2006). In addition, other research involved communicating in crisis (Reynolds, 2002). All of these disciplines, even different, combine to build a theoretical background on various approaches to crisis communication and contribute to establish crisis response guidelines for organizations. Among the prominent theories on crisis communication, the Situational Crisis Communication Theory generates a link between Attribution Theory firstly built by Fritz Heider in the early part of the 20th century which addresses the processes by which individuals explain the causes of behavior and events and crisis response strategies which represent what an organization does and says after a crisis. To protect reputation, it is crucial for the organization to consist the responsibility acceptance of the crisis response with the stakeholder attributions. Coombs (2006)...
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...IntMk-CStud-4.qxd 26/05/2005 14:05 Page 563 section 4 case studies cases 4.1 Wal-Mart’s German Misadventure 4.2 Handl Tyrol: Market Selection and Coverage Decisions of a Medium-sized Austrian Enterprise 4.3 Blair Water Purifiers to India 4.4 A Tale of Two Tipples 4.5 Kellogg’s Indian Experience 4.6 Strategic Alliances in the Global Airline Industry: from Bilateral Agreements to Integrated Networks 4.7 GN Netcom in China 4.8 IKEA: Entering Russia 4.9 The ‘David Beckham’ Brand 563 571 574 583 586 590 594 599 604 case 4.1 Wal-Mart’s German Misadventure I don’t think that Wal-Mart did their homework as well as they should have. Germany is Europe’s most pricesensitive market. Wal-Mart underestimated the competition, the culture, the legislative environment. — Steve Gotham, retail analyst, Verdict Retail Consulting, October 20021 We screwed up in Germany. Our biggest mistake was putting our name up before we had the service and low prices. People were disappointed. — John Menzer, head of Wal-Mart International December 20012 ‘Don’t look now:’ low prices all year round! With thanks to Walmart 563 IntMk-CStud-4.qxd 26/05/2005 14:06 Page 564 section 6 case studies section 4 German blues For the world’s largest retailing company, Wal-Mart, Inc., the German market was proving difficult to crack. By 2003, even after five years of having entered Germany, Wal-Mart was making losses. Though Wal-Mart did not reveal these figures, analysts estimated...
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...QUESTIONS FOR CASE STUDY ASSIGNMENT STRATEGIC EXCELLENCE Licensed for use by the students of the Executive MBA Program, The Icfai University. Not to be reproduced. QUESTIONS FOR CASE STUDY ASSIGNMENT STRATEGIC EXCELLENCE ANSWER THE QUESTIONS FOR ANY TEN CASE STUDIES Questions for 18 case studies are given below. Each case study assignment has 2 questions. Students are required to answer questions for any 10 case studies (20 answers). Students are advised to submit answers for all 10 cases in one go, for results to be adjudged in one instance. 01. McDonald’s in the United Kingdom a. When McDonald’s entered the UK market in 1974, it initially failed to attract British customers and reported losses. However, as of 2009, the UK was one of the most promising markets for McDonald’s. Many factors were responsible for this change in situation. First, identify the subset of factors that could be attributed to the organization’s strategies. Next, tabulate that subset of factors along with the associated strategies for each factor. Finally, classify these strategies into originally intended and subsequently emergent strategies. b. As of 2009, McDonald’s faced many challenges in the UK. In your opinion, what strategies should McDonald’s adopt at the corporate, business, and functional levels to continue its growth trend in the UK? Give reasons for your answer. 02. Emerging Markets Strategy: Nokia Life Tools for Rural Markets a. Business strategy is often compared...
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...October 2012; Accepted: 30 October 2012; K ey w or d s Strategic analysis, Region, Low cost, Extensive. ABSTRACT This study examines the extensive strategic analysis of AirAsia Berhad that has enabled it to sustain its competitive advantage as Asia’s leading low cost carrier (LCC). The study demonstrates the diverse business-level, corporate level and competitive strategies of AirAsia Berhad, played crucial roles in the LCC to successfully penetrate the under-served market segment of the airline industry within the ASEAN region. An in-depth analysis using a wide array of academic resources, relevant financial, legal and management resources and authorized websites, including face-to-face interviews were used to provide a more consequential comprehension on the varied business and international strategies that were implemented by AirAsia Berhad. This research exhibits critical analysis pertaining to the current macro environment of the aviation industry which includes the PESTEL framework and Porter’s Industry Analysis. The competitive environment analysis for AirAsia Berhad is thoroughly scrutinised to examine the driving determinants that attributed to the organisation’s competitive advantage in the industry. Further analysis using the Ansoff Matrix, lends evidence to the successful growth of the organization. Additionally, the international strategies...
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