Swot Analysis Of Frontier Airlines

Frontier Airlines as we know it today has had a very interesting history. From getting its start following World War II, to grow into a great regional airline for the mountain west. With expansions, mergers, recessions, and a crippling blizzard, the airline would eventually would be; bought out, declare bankruptcy and have all assets sold off, ending the airline. However, the airline would start over essentially from scratch and grow into the ultra low-cost carrier we know today.

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WestJet Airlines is a Canadian airline that differentiates itself with their low cost flights and exceptional customer service. The company’s philosophy is “just because you pay less for a flight, doesn’t mean you should get less.” WestJet has been growing rapidly since 1996, however, they believe in growing responsibly by being cautious of their environmental and community impact (“About us”, n.d.). As WestJet has a strong presence locally, our analysis will mainly focus on WestJet’s domestic segment.

| 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

On February 29, 1996, WestJet Airlines came to life. They became the face of low-cost, short-haul, point-to-point airline for Western Canada. The organization began when entrepreneur Clive Beddoe, president of Hanover Group of Companies purchased an aircraft for personal use. Beddoe later made his aircraft available to other business people through Morgan Air, owned and operated by Tim Morgan. Tim Morgan, along with Calgary businessmen Don Bell and Mark Hill found an opportunity to start an airline. They all reached out to David Neelman, who was president of Morris Air and asked for assistance on writing the business plan for WestJet. They joined forces and WestJet Airlines came to life. They all

Since deregulation, the most influential driver of profit in the airline industry has been the control of ticket distribution (Shaw, 2013). Spirit Airlines, the leading ultra-low-cost, no-frills

Having been founded on May 30th 1924 Delta airlines is one of the only 4 legacy carriers still left in the aviation industry since the 1978 airline deregulation act. It is a major United States airline and its headquarters are in Atlanta, Georgia. Delta airlines operates 5,000 flights every day of which are both domestic and international. Delta airlines hub is located at Hartsfield-Jackson Atlanta international airport which is considered the worlds busiest airport in accordance with passenger traffic which accumulates to over 91 million passengers per year. Its fleet consists of 722 airplanes and its

Prices reflect the unique value of the brand to a certain extent. Brand positioning builds the unique brand image in the minds of consumers, so price setting and adjustments must adapt brand positioning, and brand positioning shows the brand’s unique value through price (Kotler, 2013, p. 215). For Qantas, the pricing strategy utilises a cost plus margin method of product pricing, offering lower pricing in accordance to the market demand. The number of travellers requiring Qantas services, prompt the airline to adjust pricing rates accordingly.

Delta can utilize these current benefits to emerge as a lower-cost option through its increased buying power and lower overhead costs, allowing Delta to gain higher margins while maintaining competitive pricing with its main two competitors, American Airlines and United Airlines. Additionally, the efficiency of the reduced fuel and operations cost structure enables Delta to set its pricing lower than that of its competitors, which, in the end, will capture much of its competitor’s market share including that of its mid-line competitor US Airways. The increased buying power for fuel contracts will give Delta a competitive advantage should we see another spike in crude oil due to conflicts in the Middle East. Delta must also compete with the value pricing of its lower-end, economy competitors Southwest and Jet Blue. Southwest Airlines stands out in the pack and boasts, according to a customer satisfaction index, the highest customer satisfaction rating in the industry at 81% in 2011.

Lockheed Martin is a global security and aerospace company. The corporation specializes in advanced technology systems, products, and services. The company develops and manufactures a number of products including satellites, sensors, and missiles. However, people probably identify the corporation as a military aircraft manufacturer, due to its popular F16, F22, and F35 fighter jets. Given its suite of products, Lockheed Martin’s primary industry is Aerospace Products & Parts Manufacturing (NAICS Code 3364). Lockheed Martin is the third largest (in revenues) corporation in the industry. As such, its top competitors are Boeing, Airbus SE, and Northrop Grumman (Hoover’s Inc., 2018).

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

Frontier Airlines was by far one of the best airlines to travel for, but recently this company has been one of the worst airlines in the industry to travel and work for. The product that they have provided as a low-cost airline has set a bad reputation for its customer service and has been trying to rebuild its product to become once again the industry that they were. Since the company has filed for bankruptcy back in 2008, it has been trying to rebuild, make changes to its planes, and reconfiguring management. Frontier has become 5th airline in the industry to be profitable, but is set to be one of the top airline with most complaints which is not a good thing for its company.

Priority Airlines launched in November 2017 and is headquartered in Murphysboro, Illinois. The name, Priority Airlines, represented a new direction for the company as it looked to establish a reputation as a top choice for college travelers and business professionals traveling to cities within the region. Priority Airline's initial goal was to service the needs of those business professionals traveling in these regions.

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.

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