Competitive advantage cannot be stressed enough in any form of business. This sector is home to some of the most profitable companies in the air transport category.
Delta unlike other airlines is managed as a single business unit.
A Pleasant workforce can encourage repeat business. The airline industry is highly labor-intensive, and it is vital for Delta to keep its workforce motivated and satisfied. When a specific advantage or product enhancement affects the overall demand for another product, it can be referred to as a complementary force.
Employee loyalty is very hard to imitate since it is a perception rather than a physical thing that a competing firm can reproduce. Globalization — Growth potential in the global travel market has led to a drive for globalization in the air travel industry.
New and advanced innovations are always needed and usually accepted by the most progressive, revolutionary airlines. Reliability of Service — An airline with a reputation for reliable service has been shown to develop a positive image among customers, which can lead to more repeat business.
Right now the investment in technologies is not at par with the vision of the company. Potential New Entrants — Weak to Moderate.
These two modes have always been options that are easily substituted for air travel. The demand of the highly profitable products is seasonal in nature and any unlikely event during the peak season may impact the profitability of the company in short to medium term.
Continental also provides service to 31 cities in Mexico and Central America. This online feature provides additional convenience to Customers by allowing them to proceed to their departure gate without stopping at the ticket counter, skycap, or self-service kiosk.
Financial Analysis of Delta and Competitors 7 Financial data Appendix A has been taken from the past five years for Delta and its four major competitors: Together with Express Jet Airlines, Inc.
One change that has stirred up the entire airline industry is the increasing fuel prices and reactively increasing ticket prices. When strategic modeling for financial, market, and competitive analysis is needed, the eight forces model allows for a comprehensive analysis of specific markets and competitors.
As seen in the table, Delta was able to go from a negative The industry is already seeing an increase in travel that is expected to continue.Weighted Competitive Strength Analysis Southwest Airlines does not intend to change its pricing model because the management believes that such an approach is the best to cover the cost of lost revenue through increased jet fuels.
Although the competitors continue to charge additional costs for particular services, the firm’s management. Competitive Environment of the Airline Industry (Nick Krynski) A.
Dominant Economic Traits. 1. Delta Airlines – Delta is based out of Atlanta, Southwest could do an in-depth analysis to determine if Access Air. With Delta Air Lines in mind and the financial information referenced in Appendix A, four airlines were specifically identified as comparable competitive substitutes.
A Competitive Analysis of Airline Industry - Download as Powerpoint Presentation .ppt /.pptx), PDF File .pdf), Text File .txt) or view presentation slides online.
A Competitive Analysis of Airline Industry. Weakness of Delta Air Lines – Internal Strategic Factors. Weakness are the areas where Delta Air Lines can improve upon. Strategy is about making choices and weakness are the areas where a firm can improve using SWOT analysis and build on its competitive advantage and strategic positioning.
Strategic Analysis for Delta Airlines Corp. By: Rania Djamaluddin 1) Introduction Delta is America’s fastest growing international carrier. It was founded in in Monroe, LA. The present head quarter is in Atlanta, Georgia. Flights to .Download