SWOT Analysis: Situation Analysis Of Singapore Airlines

Delta Airlines is one of the leading airline industries in the market based on on-time performance, revenue per available seat, customer satisfaction, and it is well positioned in taking advantage of the new positive economic outlook for the airline industry. It is a domestic Airline carrier that provides passengers and cargo services throughout the US and other international destinations. Some of its hubs are in Atlanta, Detroit, Minneapolis, Amsterdam, JFK and Tokyo-Narita as well as in partnering with the existing regional airlines. Currently, the assets of Delta Airline are valued $54,252 million and the composition can be divided into three main groups including PPE (Property, Plant, and Equipment), Current Assets and other Assets (Luo, 2014).

Delta’s Management team is seeking to strengthen the company’s market and financial position by proposing to acquire American Airlines. An assessment of American Airlines business operations, its resources and environment will identify the company’s operational and financial strengths, weaknesses, possible opportunities and threats. This will enable Delta to recognize the best strategy to create the most effective synergy for this acquisition. Evaluating the SWOT analysis on American Airlines is a core requirement and a key step to assessing the feasibility of the acquisition; detecting its operational and financial factors could have a profound effect that can assist Delta in determining the strategic direction that would be advantageous to the company.

Singapore Airlines have a dual strategy that balances purposes that are traditionally viewed as incompatible opposites. The Harvard Business Review describes this as being “a premium service provider and a cost leader”, (Heracleous & Wirtz, 2010). Combining product differentiation through uncompromising customer focus which “includes everything that would enhance the travel experience for the customer” (Phong, 2014) and cost leadership “product leadership does not mean ever-more complex offerings or throwing money at a problem”. In general, Singapore Airlines strategy is about organic growth and enhancement of partnerships with other airlines. However, Singapore is investing its healthy profits in other airlines, such as SilkAir and Virgin Australia both to establish presence in those markets, and to build partners for codeshare arrangements. Singapore Airways maintains low operational costs through outsourcing of support functions, such

It’s never easy for a company to be the number one company as there’s always bound for mistakes to be made and sometimes it takes an organization to face hard times in order for them to succeed. One company I look at that has faced hard times and strong competition is Frontier Airlines. Over the past years of this organization has went from being one of the best airlines to know one of the top worst airlines for both customers and employees. This company has had to sacrifice a lot throughout its time and it has changed its reputation that now you find other airlines following in the same footsteps. Airlines have also been very unethical to its customers and the public as they have been overbooking flights and not handling the situations in an ethical and respectful way.

Referring to the SWOT analysis, we assume the most uncontrollable issue imposed on C.P. is the circumstance of fierce competition existing in the current airline industry. Consequently, as alternative submissions, the company should remain constantly advancing new strategies, namely acquisition and introducing of a budget confederate.

The airline industry has been a major factor in the globalization of the world economy. It connects the sellers and the buyers as well as transports goods across countries. It also breaks the time and distance barriers. In the past, air travel was considered a luxury but it is now a common necessity.

American Airlines, Inc. (AA) is a major airline of the United States. It is the world's largest airline in regards to accumulated passenger miles. American Airlines took off on April 15, 1926 when Charles Lindbergh flew a bag of mail from Chicago to St. Luis in a DH-4 biplane. A year later the first passenger flight flew from Boston to New York, heralding the real first passenger airplane travel by American Airlines. A subsidiary of AMR Corporation, the head quarters of American Airlines is in Fort Worth, Texas adjacent to the Dallas/Fort Worth International Airport. American operates scheduled flights throughout the United States and flights to Canada, Latin America, the Caribbean, Europe, Japan, the

| Weakness * The number of cancelling flights is a little high * The customer service is bad because in some occasion the customer can’t found the delta representative in the airport. * Lack of online presence * In some aircrafts the seats are uncomfortable and narrow

Air Asia was founded in 1993 and has since grown to be one of the biggest airlines in the world. It initially operated in Malaysia and currently operates in over 25 countries (Ricart and Wang 2005). It began operations in October 1996, operating out of Kuala Lumpur as its central location (Ricart and Wang 2005). The airline was bought by Tune Air in 2001 for one ringgit, the equivalent of 0.26 US cents, at a time when the company had $10.5 million debt (Ahmad 2010). Tune Air comprised of three initial Malaysian investors, Tony Fernandes and Connor McCarthy (Ricart and Wang 2005). With Fernandes, a former Time Warner executive, at the helm, and McCarthy, RyanAir’s former director of

US Airways completed a merger in December 2013 . This merger provided much needed cash infusion into American Airlines, enabling it to emergency from

As a regional hub for the Asia pacific region, Singapore and Singapore airlines play a major role in connecting people across the globe.

> Founded in 1941 and based in Pasay City, The Philippine Airlines is the country's ultimate flag carrier and oldest airlines. The monopolization of the airline occurred in 1995 when Lucio Tan, an affluent Chinese-Filipino businessman purchased the airline and became its chairman and CEO.

Singapore is an island that lies just off the southern tip of the Malay Peninsula between the South China Sea and the Indian Ocean. Its strategic location on major sea lanes has provided the country with an economic importance in Southeast Asia. Singapore is often considered as a base for global enterprises looking to expand into Asia and Asian enterprises looking for global connectivity. Located at the heart of Asia, Singapore is sitting at the centre of business opportunities. Having the four key attributes - Trust, Knowledge, Connected and Life, Singapore is being positioned as an ideal city to Work, Live and Play. Singapore was ranked first in Mercer’s Quality of Living Survey 2009.

The Republic of Singapore celebrated its 42 years of independence in year 2007. Situated at the southern tip of Malaysia, Singapore currently holds a population of 4.68 million as of June 2007. At 704.0km2, it is ranked 4th in the world for its population density. During the past four decades, the economy as measured by real Gross Domestic Product (GDP), multiplied by over 20 times (Ghesquiere, 2007, p.11). As a small and extremely open economy, Singapore long term survival is very much dependent on the ability to maintain its viable position and remain afloat in the sea of global competition (Mun Heng et al, 1998, p.14).

As public biggest airline company in Singapore, Singapore Airline has several key business activities ranging from engineering, flight services until cargo services, but their main activity is more on flight services. Singapore Airline is relying heavily on Singapore financial system to operate their business. One of the evidence is that SIA benefiting from the financial market as the company’s share has been listed in SGX. As stated on Singapore Airline Annual Report, SIA has a cash surplus for the past 10 years on average………. Singapore financial system has help this company to grow and develop rapidly by their financial market, institutions and instrument, which will be discussed further later.