Business Concepts Of Qantas Airways

1618 WordsJan 15, 20177 Pages
Executive Summary: This assignment consists of analyzing the business concepts of Qantas Airways Ltd. The assessment begins with defining the Porter’s Five Force Analysis in respect to Qantas Airways. The assessment also includes SWOT Analysis of Qantas Airways and its competitive approach towards its competitor. The assignment includes understanding the corporate strategy of Qantas Airways in respect to its domestic and international markets. The report also includes accounting policies that are necessary in aviation industries. The assessment then evaluates the financial position of Qantas Airways for the year 2013 and 2016. The comparison of the performance for the two years has also been done. Finally, the recommendation has been…show more content…
The name Qantas was derived from ‘Queensland and Northern Territory Aerial Services’. Qantas is one of the leading and emerging airlines companies of Australia and in terms of revenue it is also the market leader (Qantas.com, 2016). Five Forces Analysis of Qantas Airways Ltd: Porter’s five forces analysis is the structure that provides evaluating and analyzing the level of competition among industries and initiate strategy improvement to them. The five forces are as follows: Bargaining Power of Buyers: The bargaining power of the buyers in the aviation industry is generally higher due to the various options that are available in the market such as Business Class travelling experience and low prices economy class travelling experience. There are basically large number of service providers that gradually increases the buyer’s purchasing power (Lucarelli 2014). Bargaining powers of Suppliers: The bargaining power of suppliers is very low in the aviation industries as there are huge numbers of alternatives available that provide similar kind of services to the customers. For example in the case of Qantas Airways, the bargaining power is lower due to other competitors like Virgin Airlines in the market (Lucarelli 2014). Threat to Substitute: As far, the threat of substitute is concerned in the airline industry it is very low. The main reason behind this is that
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