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Swot Analysis Of Singapore Airlines

Satisfactory Essays

1.0 Introduction
A marketing audit is vital for analyzing the market conditions to determine existing problems and their solutions as well as opportunities for improvement. Baines, Fill & Page (2011) note that consider the health of three marketing aspects, namely the external opportunities and threats, the changes occurring in the marketing environment, and the quality of the organisation’s products, marketing procedures, resources and capacities. Additionally, it through an audit that an effective marketing plan can be devised to attain set marketing objectives such as increasing sales, creating brand awareness or increasing the market share. This report undertakes a marketing audit of the Singapore Airlines (SIA) to determine its …show more content…

3.0 Macro Analysis
3.1 PESTEL Analysis
This section analyses the external environmental factors that influence SIA’s capacity to attain its marketing goals and the overall organisational goals. The PESTEL tool is used here and it analyse the political, economic, social, technological, environmental and legal factors that may influence the SIA.
3.1.1 Political factors
This section will focus on Singapore’s political atmosphere, legislation and regulations as well as the existing open skies agreement as illustrated in Table 1.
3.1.2 Economic factors
Anderton & Kenny (2010) remark that a country’s economy influences business performance of organisations due to factors such as inflation, strength of currency and government spending. Singapore’s economy staggered in 2016 due to a weak global trade given that is highly dependent on global trade (Global Edge, 2017). As shown in Figure 1, Singapore’s economic growth slowed down drastically in 2016 and this is attributed to poor performance in most critical sectors such as oil and gas – most of which is exported – real estate and the manufacturing sectors (MTI, 2016).
The 2016 economic slump in an otherwise stable and expanding economy has affected the SIA export freight market as manufacturing companies – the worst affected by the slow down – exports less products (CNBC, 2016). Singapore’s inflation rate had risen by 0.2% by December of 2016 increasing the prices of various commodities and services

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