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Swot Analysis Of Air Canada

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Assignment #1 Introduction Air Canada was established in 1937, provides scheduled and charter air transport for passengers and cargo to 182 destinations worldwide. It is the largest airline of Canada by fleet size and passengers carried. Air Canada is governed by an eleven-member Board of Directors committed to meeting high standards of corporate governance in all aspects of the Corporation’s affairs. Our Mission – “Connecting Canada and the World” Our Vision – “Building loyalty through passion and innovation” PESTEL Analysis: Political Factors: "The 'Open Skies Agreement ' between governments of US and Canada in March 2007 came into action as it liberalized the air transportation services. Cargo and passenger services as well…show more content…
The growing competition however does provide consumers with several choices and for Air Canada to be efficiently and constantly drawing its consumer it must offer " money for worth" deals, such as new multi-pass product, holiday packages and other promotional deals that has not yet been utilized in Canadian market. The possibility of Buyer power is moderate. Threat of New Entrants: Air Canada can be considered a fortunate airline as it does not have any major threat from new entrant stepping in Canadian airline industry due to the strict government legislation and regulations. “Even though the entry barriers for new airlines are lower in a deregulated market, still prospect of a new entrant entering the market is weak to moderate. Rivalry: The competition between Air Canada, a traditional carrier, and West Jet, low cost carrier is rigorous in Canadian airline industry. Though Air Canada is Canada’s domestic and international airline and has dominant hold in the Canadian market, West jet is giving the airline tough competition with its effective price point, profitable routes with greater focus on domestic market. The rivalry competition is moderate to…show more content…
Canada being a big country and the travel time taken by road is far greater compare to air flight, the consumer prefers to travel by air to reach their destination in timely manner “The threat of substitutes is moderate due to the above stated reason. Marketing Mix: Product/ Service: As discussed earlier, Air Canada offers various services to its target market. For these services it uses Boeing 777s and Boeing 787s as a visible product. To ensure unique services are delivered it introduced some international routes to Tel Aviv and Tokyo (Air Canada, 2018). Furthermore, Executive Pod, International Business class, Economy class, North America economy class are some of the finest examples of services offered to different target market by Air Canada (Air Canada, 2018). Price: Air Canada assure the consumer 's that it 's price the best in the region as it states, "Stop searching far and wide. You’ll always find the lowest Air Canada prices right here on aircanada.com. Air Canada along the way has set itself as brand that is focused on its consumer 's affordability aspect. With its pricing guaranteed approach, the Airline can draw consumers to travel with airline with faith that they have spend their dollar in a smart
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