Executive Summary:
This report will look at what impact of the Queensland and Northern Territory Aerial Service (Qantas) profit announcement on 28th of August 2014. Also it will look at the implications for the business and also its competitors. This report was able to outline that the significant loss by Qantas over the Financial Year of 2014. The report will outline the following: 1.1: Objective of the Report 1.2: Introduction to the Companies 1.3: Profit Announcements 1.3.2: What the Report thought would Happen 1.3.3: What the Profit Announcement Said 1.3.4:What Actually Happened 1.4: Analysis of Profit Announcement Impact 1.4.2: Over View of Stock Market Influences 1.4.3: Share Prices 1.4.4: Ratio Analysis
The report will finally give a conclusion on Qantas’ performance leading up to the announcement date and after the announcement date. This report has found the findings of Qantas to be surprising and not what investors initially were expecting for Qantas performance over the period. The report will outline the findings in full.
Objective:
This report will examine the impact of the Qantas profit announcement had on the share price. This will determine if the announcement had an impact or if it was market forces on investors with predetermined outcomes for their share price. The fluctuations seen in the Qantas share price over the three weeks before and three weeks after the announcement date of 28th of Augusts 2014 will be analysed within this
On October 22nd, 2001, the Industrial dispute between QANTAS and its employees was initiated with the offering of a new Enterprise Bargaining Agreement. This proposed an 18-month wage freeze for employees plus a sliding scale profit share scheme. Ten out of twelve unions under QANTAS accepted the terms of the agreement, barring the unions of manufacturing employees (AWU and AMWU). They were holding out for a 4-6% pay rise. On the 8th May 2002, some ten months later, the dispute was resolved when QANTAS agreed to an across the board 6% pay increase. This essay provides an in-depth analysis into the dispute, including causes, the resolution process, the role of stakeholders, and costs and benefits for all concerned.
The weekly performance of IBM stock presented a contestant growth. One highlight of the falling of stock price in the 6th week in the investment period was when IBM presented the 3rd quarter financial report. The investors weren’t satisfied with the profit report which they expected to be better especially when other IT companies were doing well in the 3rd quarter. One mistake I made was that I didn’t follow closely to the financial report of the company; therefore, I missed the peak of the stock price. From this experience, I learned that financial reports and current news are important indicators of the stock price. By following closely to the current event and analyzing the financial report, investors can maximize the profit and also become more familiar to the market.
The main focus of this report is to identify the legal classification, the characteristics, the life cycle stage of Qantas and one internal and external stakeholder that is affected by the activates of Qantas. The legal classification describes that Qantas is a public company and has changed its legal classification in the growth and maturity stages of the business life cycle. The characteristics of Qantas talks about the company's industrial classification and sector classification. The business life cycle is explained and gives reason why Qantas is in the renewal stage of post maturity. There is also description of one internal and external
For approximately the past 20 years, since the deregulation of the Australian Aviation industry, the Australian Domestic Market has been profitable. The past half year has brought to light the first negative effects of fierce competition between Australia's airlines the Qantas group and Virgin Australia Holdings Pty Ltd (VAH) (which will be further referred to in this document as Virgin Australia) in the form of loss which can be seen in the below figure.
The research shows that the earnings announcements of firms within an industry can impact the share prices of other firms in the same industry. This effect has been labelled as the ‘information transfer effect’. The ‘information transfer effect’ highlights the belief that share prices react to public information emanating from various sources—including
Qantas is Australia’s largest domestic and international airline. Although Qantas is primarily a passenger airline, air freight is also an integral part of its core business. Other Qantas operations include catering, tourism and E-commerce devoted to transport and travel. In order to have an effective business and operations process, a company, like Qantas must be aware of the influences that can affect it. By being aware of the influences it enables the business to make decision and choices that can get the most out of each influence, by doing this it can assist the business in its endeavours for success.
Rivalry among industry competitors has caused attention to be focused on tariff levels. Airfare prices were at an all time low in 2009. This suggested a strong competitive rivalry based on price differentiation. This price differentiation will cause a dramatic loss in revenue if these prices continue to drop and this would lead to a reduced competitiveness. In an effort to safeguard revenue and reduce expenditure, Qantas has developed a strategy to deal with a change in the external competitive environment. .
• Qantas had lost 11% of its international air traffic and profits fell by $300 million.
By outsourcing, Qantas is able to significantly reduce costs and maintain it’s competitive advantage. However this advantage also has a draw back, hundreds of engineers have also been cut from their jobs and have had their jobs given to people overseas. This puts a bad reputation on the name of the business as an Australian business will cut jobs from Australian workers and supple foreign workers with jobs. Families and friends of these workers may feel resentment towards Qantas and choose to travel with another airline instead resulting in a loss of customers. This strategy has been effective in reducing cost but has resulted in a reduction of quality and safety and led to a decreased business reputation resulting in a loss of customers and stakeholders.
Founded in Queensland Australia in 1920, Qantas has now become Australia 's biggest name in relation to domestic and international airline. Originally registered as the Queensland and Northern Territory Aerial Services Limited (QANTAS). Qantas is widely regarded as one of the world 's top airlines and one of the strongest brands in Australia. Over the years it has managed to build a reputation for excellence in
Flight Centre describes itself as a global discount flight specialist. Taking into consideration the relative size of the Australian and international operations as well as the availability of information on global environment and competitive factors, for this analysis, it is more appropriate to consider the Flight Centre’s industry environment as “The Australian international and domestic airline
These main business objectives help the airline to focus on deliver quality services of the customers. Qantas main business is passengers transports and it is the world’s second oldest airlines. Qantas group operates approx 5600 flights in a weak in 59 cities of regional areas. Internationally, the group operates around 970 flights (Qantas-630 and Jetstar-340) in 44 counties 182 destinations. Moreover, through operations the group focused on five key elements that are right aircraft or right
Established in the Queensland outback in 1920, Qantas has become Australia 's biggest residential and global air transport. Enrolled initially as the Queensland and Northern Territory Aerial Services Limited (QANTAS), Qantas is generally viewed as the world 's heading long separation carrier and one of the strongest brands in Australia. We have manufactured a notoriety for brilliance in security, operational dependability, building and support, and client administration.
Qantas is the largest Australian airline company. The industry in which Qantas exists seems to be attractive as it brings enormous profits for the company, however, new entrants would face many difficulties in the entering this industry. Qantas uses two-brand growth strategy while offering two types of service: premium and low-price. The premium service is being delivered by the company itself and the low-price service is delivered by subsidiary of Qantas named Jet Star that was established in order to avoid price wars with big competitor Virgin Blue and maintain the Qantas image of being premium services offering company. Qantas uses differentiation
Unlike with other countries, domestic routes in airline market could be the most benefits part due to the limited amount of population. Qantas changes fare policy for customer and increase the flights from two to three, while Virgin Blue complete low-cost provider model and in-flight services. It still a problem that the continual competitive of two companies. The collapse of Ansett could be the basically roots lead to a gap in services of airline industries of this country.