Strengths [list] [*]Established brand name [*]Cost advantage [*]Asset leverage [*]Innovation [*]Loyal customers [*]Market share leadership [*]Strong management team [*]Supply chain [*]Unique products ] | Weaknesses * Bad communication * Diseconomies to scale * Over leveraged financial position * Low R&D * Low market share * Not diversified * Poor supply chain * Weak management team * Weak, damaged brand | Opportunities [*]Acquisitions [*]Financial markets (raise money through debt, etc) [*]Emerging markets and expansion abroad [*]Innovation [*]Product and services expansion | Threats * Competition * Economic slowdown * External changes (government, politics, taxes, etc) * Lower cost competitors or imports * Maturing categories, products, or services * Doesn't have any shops * Lawsuits |

WESTJET

Strengths * 36% and 11% share of the Canadian domestic and International transborder market respectively * Cheerful, lively and highly motivated employees also known as WestJetters who often carried out tasks that were outside their job * Absence of a union. Instead, WestJet had a Pro-Active Communication Team (PACT), an employee association * Irreverent corporate culture. Work culture was fun, casual, friendly and customer oriented. * Low, attractive and competitive fares. Customers also had an option of advance flight booking * Upbeat commercials and customer oriented advertising themes * Short-haul air services which served as an alternative to surface travel * Route structure designed to meet the needs of customers which enabled them to fly point to point and on non-stop routes * Operated evening flights to serve a market that was not as time sensitive and which could be served better by evening flights * A variety of sales channels through which customers could book their tickets and a well networked global ticket distribution system * An Operational Control Centre (OCC) working 24*7 to monitor passenger traffic and to maintain on-time flight operations * A fleet of 77 next generation Boeing 737s, mostly under warranty reducing the maintenance cost

Weakness * The organisation was designed to be flat, with few supervisory levels * The corporate culture was irreverent * Limited presence in the international market * Operations were not stable and they kept changing the ways to do things * Did not offer discounts to its customers nor did it offer air miles to frequent fliers * Tickets were not refundable and customers did not have an option to reserve seats of their choice * Hot meals were not served during flights and customers had to buy on board food products * WestJet did not operate flights originating from the major metropolitan hubs

Opportunities * In order to take advantage of Air Canada’s bleak position, WestJet should add new, smaller jets * Expand internationally * Operate flights which originate from the major metropolitan hubs in Canada * Offer air miles to its frequent fliers and business travellers enticing them to fly WestJet * Improve the on-board catering and entertainment services

Threats * Sensitive to macro-factors such as economic downturn, high fuel prices, appreciation of the Canadian dollar * New competitors offering new routes and lower fares * Competition from major airlines for long haul international flights originating from Canada * WestJet could end up in a trap of success (Nadler and Shaw, 1995). This is because, when organisations are successful, managers become locked into patterns of behaviour that produced the original success. These patterns become codified and are rarely questioned. Nadler and Shaw refer to the organisations becoming “learning disabled”. If unchecked the ultimate outcome of this trap of success can be what is referred to as the “death spiral”.