...SWOT analysis for Air China The airline industry has undergone significant restructuring in recent years.Airlines, formerly rivals in a highly regulated industry, have become opportunisticseekers of co-operation. In today's world, mega-carriers and small airlines areworking together rather than competing with one another. Forms of co-operation include sub-contracting, code sharing, franchising and theformation of global marketing networks. Such alliances allow firms to focus on their respective core competencies, while drawing the benefits of scale economies. In essence,co-operation among rivals has led to increased competitiveness. This has accelerated thetrend of joint marketing, and the airline industry has become characterized by the desireto belong to a global network. The tendency has been to strive for a global presence. The case of Air China Air China was founded on the 1st of July 1955. Its headquarters is based in Beijing. Itengages in international and domestic passenger and cargo flight services. To unify itsfacility image and simplify its repairs and maintenances, its fleet of 118 aircraftexclusively consists of Boeing models. It has established hub-spoke style passenger andcargo transport network. The hub of this network is Beijing International Airport.The company is operating 339 routes, which consists of 53 international and 286domestic, operating more than 1,000 scheduled flights on weekly basis, serving 29 citiesin 19 countries. About 66 per cent of its...
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...SWOT analysis for Air China The airline industry has undergone significant restructuring in recent years.Airlines, formerly rivals in a highly regulated industry, have become opportunisticseekers of co-operation. In today's world, mega-carriers and small airlines areworking together rather than competing with one another. Forms of co-operation include sub-contracting, code sharing, franchising and theformation of global marketing networks. Such alliances allow firms to focus on their respective core competencies, while drawing the benefits of scale economies. In essence,co-operation among rivals has led to increased competitiveness. This has accelerated thetrend of joint marketing, and the airline industry has become characterized by the desireto belong to a global network. The tendency has been to strive for a global presence. The case of Air China Air China was founded on the 1st of July 1955. Its headquarters is based in Beijing. Itengages in international and domestic passenger and cargo flight services. To unify itsfacility image and simplify its repairs and maintenances, its fleet of 118 aircraftexclusively consists of Boeing models. It has established hub-spoke style passenger andcargo transport network. The hub of this network is Beijing International Airport.The company is operating 339 routes, which consists of 53 international and 286domestic, operating more than 1,000 scheduled flights on weekly basis, serving 29 citiesin 19 countries. About 66 per cent of...
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... [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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...Strategy includes business’s goals, analysis of the business resources, plans and actions (Needle 2011).It also embraces providing the benefit to the consumers and some significant people who have the interest in business (Piggott 2012). In other words, strategy is about how the business can perform better compare to the competitors in the industry (Piggott 2012). Strategy analysis can be divided into three parts which are internal, external and both internal and external strategies (Piggott 2012). First of all, internal strategy covers resource based view, value chain and core competence (Soyref 2012). Specifically, core competence is defined as the business actions which give the company a benefit compare to its competitors (Needle 2011). The growth of economical and efficacious arrangement inside the business can lead to the core competences (Needle 2011). The first area of core competence is the connection between both consumers and providers which includes exchange the messages between parties (Needle 2011).Whether buyers are content with the goods and service or not can also create the core competences (Needle 2011).Finally, the innovation of the goods differentiates the goods of competitors’ which makes great core competences (Needle 2011). Secondly, external strategy includes supply chain and porter’s five forces (Soyref 2012).Porter’s five forces model reflects the rival environment which are the threat of potential entrants, threat of substitution, bargaining...
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...Content…………………………………………………………………2 1. Abstract……………………………………………………………………...3 1.1 Conclusions……………………………………………………………...3 1.2 Recommendations……………………………………………………….4 2. Introduction……………………………………………………………….…5 3. Background to AirAsia……………………………………………………..6 3.1. Organization Definition………………………………………………..6 3.2. Looking at the Organization…………………………………………… 4. Industry Framework Analysis……………………………………………….. 4.1. Porter’s 5-Forces Model………………………………………………… 4.2. External factors using a PEST analysis………………………………… 4.3. Internal factors using a SWOT analysis………………………………… 5. Conclusion and Recommendations………………………………………….. 5.1. PEST 5.2. Task 2: Technological Change……………………………….. 5.2.1 Analyze Policies and Decision Making 5.2.2 Evaluate Effectiveness and Response 5.2.3 Demonstrate Areas of Improvement 5.3. SWOT………………………………………………………………… 6. References…………………………………………………………………. 7. Appendices………………………………………………………………… Appendix 1 Porter’s 5 Forces Model………………………………………….. 1. Abstract This report consists of an internal and external analysis of AirAsia using various methods including a PEST, Organization analysis, SWOT analysis and Porter’s 5 forces model. The main outcomes of the report are: 1.1 Conclusions reached: 1.2 Recommendations reached: 2. Introduction The company chosen for this report was AirAsia. The assignment required that: • A management report of 3,500 to 4,000 words is written on an organization. The report should describe, analyze and assess the impact of external and...
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...Page A. Introduction 3 B. AirAsia Company 3 C. AirAsia Financial Analysis 5 D. AirAsia Web Design 6 E. Customer Segmentation 8 F. Value Chain Analysis 9 G. AirAsia SWOT Analysis 10 H. Porter’s five-forces analysis on AirAsia 10 I. Capabilities Analysis 13 J. Summary 14 References 15 STRENGTH 1. Low operational cost by having a single aircraft type fleet i.e. Boeing 737 or Airbus A-310. 2. Low maintanace cost due to the same reason as above. 3. Low operating cost due to being No Frill, online reservations, fast check in etc. 4. huge untapped market, specially for business travellers and "for-the-first-time-flying" segment. 5. target customers are who are currently using non-aircraft modes like, Bus, Trains, car to travel to distances. WEAKNESS 1. Rising Fuel Cost. 2. flight times are more or less limited to 2.5 hours. so you cant operate flights of longer duration without any Frill, so No-Frill becomes impossible to implement for passengers. 3. increased competition from proper carriers and other no frill carriers. OPPORTUNITY 1. tapping the segment which is not using airline to travel at all. i.e. people who are using Bus or car or train to travel from KL to LangKawi 2. Regional International flights of 2.5 hrs duration. THREAT 1. Rising Fuel Cost 2. more competition from State-owned Carriers Table of Content…………………………………………………………………2 1. Abstract……………………………………………………………………...3 1.1 Conclusions……………………………………………………………...3 1.2 Recommendations………………………………………………………...
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...Chevron, Bright Prospect or Investment Peril? Business Analysis I Bridgette Kahana’oi University of Phoenix Management MGT 521 Christopher Romano June 21, 2012 Abstract Chevron is a fortune 500 corporation, ranked #10 out of 500 companies by CNN Money. Its target group is people who use petrol diesel for vehicles and other uses. Chevron has a wide range of stakeholders from internal shareholders and employees, to external ones like governments, airline companies, shipping companies and of course their customers. Using parts of a SWOT analysis it will be determined whether this company is a wise one to invest in or not. Chevron, Bright Prospect or Investment Peril? The Chevron Company, a fortune 500 company, ranked #10 out of the 500 companies listed by Fortune Magazine and CNN Money. “One of America’s 5 largest businesses and one of the six ‘super major’ cooperation’s of the world” as quoted from CNN Money. Chevron is forging ahead with a strong global market presence as one of the leaders in providing fossil fuel to the entire human race. SWOT Opportunities and Threats Chevron recently bought the company, Atlas Energy. It seems that its hopes are to merge and exploit Atlas’s influences to obtain and control the fuel in the North Eastern United States. They have refineries all over the world, from Canada and The United States to as far as Thailand and the UK. They have opportunities according to the SWOT analysis to increase revenue from raising fuel and oil prices...
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...consists of an internal and external analysis of AirAsia using various methods including a PEST, Organization analysis, SWOT analysis and Porter’s 5 forces model. The main outcomes of the report are: 1.1 Conclusions reached: 1.2 Recommendations reached: 2. Introduction The company chosen for this report was AirAsia. The assignment required that: • A management report of 3,500 to 4,000 words is written on an organization. The report should describe, analyze and assess the impact of external and internal factors on the organization and evaluate the organization’s responses • In relation to technological change, analyze how it influences policies and decision making, critically evaluate the effectiveness of the organization and recommend areas for improvement in response for the organization. The company has been analyzed using the aforementioned procedures and tools; and conclusions and recommendations have been reached from these tools. 3. Background to AirAsia 3.1. Organization Definition A ‘no-frills’ airline is defined as one “That uses charter and/or scheduled flights to offer bargain-basement fares. Budget airlines usually land at and take-off from secondary airports, do not provide in-flight meals or refreshments, and may not even offer numbered seat allocation. Their ticket prices are fixed and non-refundable in case of a cancellation or no-show”. (i) 3.2. Looking at the Organization AirAsia is one of the fastest growing airline companies in the world, with a reputation...
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...1.0 Executive Summary This report aims to analyze and evaluate the international joint ventures conducted by one of the world best low cost airlines, Air Asia, through their operation years. In particular, Air Asia Indonesia, Thailand, Expedia and Air Asia Japan are being chosen to probe into This research put priority on the factors that turn Air Asia Indonesia, Expedia and Air Asia Thailand into a success throughout their operational year. The Successful International Joint Ventures of Air Asia have gained themselves the benefits from acquainting the right market orientations, in which they have secured a great amount of customers respectively. This leads Air Asia Indonesia and Air Asia Expedia to gain a massive profit and become the dominant airline being in their respective nations. Besides, the commitment is also one of the main contributing factors to the success of Air Asia IJV as well as Economy conditions of host countries had been a major factor to success in IJV. In depth analysis of local GDP of Thailand had granted Thai Air Asia to achieve their business objectives. Throughout the research, it shows that Air Asia Expedia and Thai Air Asia and Indonesia Air Asia have spared no efforts in order to succeed in the aviation industry. Conversely, this research also identified a failed IJV in Air Asia operation with Japan. The main reason behind this failed IJV was usage difficulties found in online booking website of Air Asia. These factors have led to Air Asia Japan...
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... | |Cathay Pacific Airways announced 2014 annual results in March 2015, the company stated that the business outlook for 2015 looked to be improved when| |compared to the previous year. However, a number of factors had a significant negative impact on their business. | | | |The principal adverse factors were reduced passenger yield, the continued high fuel price and the increased competition on Hong Kong routes and | |within the region have led to price wars in a climate of economic uncertainty. The Hong Kong-based airline faces a potentially more daunting | |challenge: budget carriers. | | | |In response to the situation, Cathay Pacific continues to...
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...7/21/2015 Boeing, Airbus Rivalry – Lessons in Strategic Planning Tuesday, July 21, 2015 Search: GO Home Terry Corbell Bio Management Services Seminars – HR Training Contact Author OpEd Economic Analysis U.S. Economic Forecasts Subscribe BusinessCoaching Topics: Planning Operations Marketing/Sales Finance Tech Public Policy HR Career Tips Wall Street Leadership Newsroom Video Reports: National & World Politics Business Science & Technology Sports Health Entertainment Oddly Enough Browse > Home / Marketing/Sales, Planning / Boeing, Airbus Rivalry – Lessons in Strategic Planning By Terry Corbell The Biz Coach http://www.bizcoachinfo.com/archives/1326 1/6 7/21/2015 Boeing, Airbus Rivalry – Lessons in Strategic Planning Boeing, Airbus Rivalry – Lessons in Strategic Planning Updated Feb. 24, 2015 It would make a great Hollywood movie. As of February 24, Boeing leads Airbus in the sales war in 2015, 69 to 28 jets. Boeing also beat Airbus in 2014. Probably to the chagrin of the American company, Airbus has invaded Boeing’s home turf – it’s assembling 10 percent of its A320s in Alabama. And China is building jets to compete with Boeing and Airbus. Companies can learn valuable lessons from the BoeingAirbus competition. In terms of strategic planning, it has been quite a rollercoaster ride with no end in sight. Have both sides done enough strategic homework? Should major manufacturers rely on government funding...
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...Hong Kong Budget Airline Industry Analysis By Jaeyeong Ahn 1155032046 Xie Jianting 1155001899 Shi Weiran 1155002072 Tan Jiayi 1009609441 Gao Jingya 1155001997 TABLE OF CONTENTS 1. Introduction 2. Budget Airline Industry 2.1 Definition & Pricing Model 2.2 Common Practices to Lower Overall Costs 2.3 Development of Budget Airline in America, Europe and Asia 3. Hong Kong Market Analysis 3.1 Competitive Landscape 3.2 Major Budget Airlines in Hong Kong 3.3 Market Analysis 3.4 Target Customer Analysis 4. SWOT Analysis of Budget Airlines 4.1 Strengths 4.2 Weaknesses 4. 3 Opportunities 4.4 Threats 5. Analysis of Success Factors in Budget Airline Industry 5.1 AirAsia’s Success in Asia 5.2 Oasis’s Failure in Hong Kong 6. Conclusion 1. Introduction In September 2013, Hong Kong Express Airways announced its plan to transform itself into a budget airline. Meanwhile, Jetstar, an Australian budget airline, has applied for an operating license in Hong Kong under the belief that there are abundant opportunities for growth in the budget airline industry. However, Hong Kong-based airlines Cathay Pacific and Dragonair strongly insist that the market is saturated, and that new entrants into the market will harm the airline industry as a whole. The purpose of this report is to analyze the prospect of budget airline industry in Hong Kong and to determine if...
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...I. Customer Analysis a. Who: consumer, business, national, international i. Consumer: Younger, affluent, present on social media, fare-conscious 1. The “middle space” for those who dislike larger airlines and love amenities that low-cost rivals don’t offer ii. Business: NY Jet’s Official Team Carrier iii. National: Serves 90+ destinations in 25 states, the District of Columbia, Puerto Rico, and Virgin Islands 2. New routes from: Detroit, Ft. Lauderdale, Hartford Springfield (CT), Washington-National (DC), Salt Lake City, Orlando, Las Vegas, San Francisco, Cleveland, West Palm Beach, NYC, Pittsburgh, Boston, Savannah/Hilton Head, Charleston, Fort Myers, Reno/Tahoe, Martha’s Vineyard, Anchorage, Portland, and Nantucket iv. International: Serves 15 countries in the Caribbean and Latin America 3. New routes from: Nassau (Bahamas), Port of Spain (Trinidad & Tobago), Curacao (Curacao), Catagena (Colombia), Montego Bay (Jamaica), Newark, Punta Cana, Hyannis/Cape Cod (MA), St. Lucia (UVF), Puerto, Plata (DR), Santiago (DR), and Port-au-Prince (Haiti) b. B2B, B2C, etc. v. B2B: Subsidiary, LiveTB, LLC, provides in-flight entertainment systems and internet connectivity in commercial aircrafts, sells vacation packages through JetBlue Getaways which provides fares for air travel on JetBlue along with a selection of JetBlue-recommended hotels, resorts, car rentals, and attractions 4...
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...dependent and are applied at the business unit level. The first generic strategy is cost leadership, a strategy which strongly emphasizes working towards a unified goal of a lower-priced product. With this strategy, the objective is to become the lowest-cost producer in the industry. An example of a company following cost leadership is Southwest Airlines. According to a recent SWOT Analysis done on Southwest Airline's, their current strategy is to position themselves as a cost leadership with a focus Is this Essay helpful? Join OPPapers to read more and access more than 450,000 just like it! get better grades strategy. Within their company mission it states they aim to cost-effectively and reliably fly large number of customers on short, non-stop flights. They truly are committed to making flying available to everyone. According to the SWOT Analysis some of their strengths include maintaining operating expenses per available seat mile at 15-20% below average, all their aircraft maintenance, turnaround, and training costs are contained, and they have a no meals, no central reservations, and no assigned seats. Southwest Airlines has experienced nothing but strong growth and profitability by following the cost-leadership strategy. A differentiation strategy calls for the development of a product or service that offers unique attributes that are valued by customers and that...
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...manufacturing industry consists of very few players dominated by two big players namely Boeing and Airbus, yet it is very complex because of a number of suppliers at various levels (Tiers) creating the differences in the supply chain management of different players. The industry has undergone a steady growth and it is set to increase in the coming future due to strong demand forecast especially from emerging economies and huge backlog of orders from the major Airlines. Hence the industry continues to be profitable. But at the same time, being a capital and technology intensive industry, it poses severe challenges in front of potential players. INDUSTRY ANALYSIS- (PORTER’S FIVE FORCES) Threat of New Entrants-Low There are high entry barriers due to high R&D investment, sophisticated technology and difficulty in financing because of very high capital intensiveness. But positive economic growth and long range forecast in emerging economies are attracting new players to enter despite huge entry barriers. Cost efficient carriers from China and other economies like Mexico and Russia are trying to sabotage the duopoly. Threat of Substitutes-Low to Medium There are not so many direct substitutes and other options like high speed rail are there but very limited in availability and used for rather short distances. For very long distances, air travel is still preferred. Also, uniqueness in design and technology of each aircraft limits the number of substitutes available but with new players coming...
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