Qantas Swot Essay

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SWOT Analysis
Strength

Improving Margins: As economic showing a significant progress, Qantas margins are also improving.

Diversified Business :
Qantas range of subsidiary business operates in different sector but all of them supporting airlines industry’s activity, such as catering, baggage handling and engineer. This also helped them to control supplier and aircraft maintenance cost.

Oneworld Alliance
Oneworld Alliance is a management company founded by Qantas, American Airlines, British Airways, Canadian Airlines and Cathay Pacific. Purpose of this centralized management company is to helping each other with non‐core business activity such as marketing, engineering/maintenance, and online ticketing to reduce cost thus give
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Entering New Markets of low‐budget airlines with potential huge customer.

Introduction of A380 :
The world’s biggest jumbo jet is an attraction of its own. It offers an ultimate comfort for passenger especially during long haul flight. Airbus A380 still excited people and plenty of customer chose Qantas for an experience of flying in world’s largest, luxurious and technologically advanced aircraft.
Threat

Consolidation in Airline Industry
Long haul route between Australia and United States is Qantas’ second‐most important international market. It’s now come under threat since the merger between United Airlines and Continental to form world’s largest airline. United Airlines‐Continental now aiming Australia market,

Volatility in Fuel Prices
Oil price instability in 2008 resulted in sky rocketed airline tickets. Together with global economic crisis, airlines were in the next in line of collapsed list. Qantas survived by slashed numbers of its employee, but numerous worlds’ major airlines were not so lucky.

Shrinking Aviation Industry
Aviation industry got hit real hard as a result of global financial crisis. Nov ’08 IATA’ traffic data showed a 4.6% drop in international passenger traffic and 13.5% drop in international cargo and stated that the worldwide aviation industry “shrinking by all measures”. During this hard time, Qantas made a

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