“The threat of substitutes for Virgin Atlantic is low in the developed countries where people mainly use airlines for both short and long distance travel”. “Virgin has a high group of substitutes. Leading substitutes include innovative products such as IPhones, Blackberries, Times Warner Productions, and Google products. Some of these substitutes products prices are lower, creating buyers to face few high switching costs”. On the other hand, in the developing world, there are threats of different modes of transport for example train. Even though trains do not have the same speed as Virgin Atlantic which they are two different modes of transport it is still less expensive when compared to Virgin and thus, “the preferred
This article concerns various elements of the economic environment and their impact upon Qantas, such as significantly lower fuel prices. Representing its largest cost, lower oil prices as a result of oversupply and lack of demand have reduced Qantas’ fuel costs by $597 million since the previous year (O’Sullivan 2015a). Another contributing economic factor has been the Abbott government’s repeal of the carbon tax as part of its fiscal policy, which is said to have boosted Qantas’ pre tax earnings by $116 million (O’Sullivan 2015b).
Virgin Australia’s has a decentralised system. There is a free flow of communication. Therefore, problems arising within the organisation get their solution coming from within the organisation somewhere. In fact, the employees are provided with the authority to make unsupervised decisions based on their intuition rather than following a chain of command. This leads to the employees having more confidence in them and in the management. Interaction among all the levels of the hierarchy is spontaneous, so it increases effective communication. John Borghetti the CEO of Virgin Australia, himself personally interacts with employees on a regular basis discussing ideas and receiving feedback. Virgin Australia promotes self-sufficiency and effective communication within the organisation and believes that the employees are the backbone of the company. Hence they have been given enough involvement and authority in decision making. Since Virgin Australia comprise of many different departments, it is also necessary to have organizational bureaucracy in it. But, since Sir Richard Branson has always ensured minimum bureaucracy as much possible since the beginning of the business. So, Virgin group and so thus Virgin Australia has a formal structure but only limited to the top levels of the company and changes to informal as climbing down the
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.
Bell Communications Enterprise is the largest communications company in Canada with a subscription of approximately 21 million users out of a population of 35.50 million approximately . Bell deals in all three types of businesses as it provides services to consumers (B2C), business (B2B) and the government (B2G). It is a company known to provide the best quality communication service
(Philip,2011) “Marketing environment is consists of the actors and forces outside the marketing department that affect marketing management’s ability to build and maintain successful relationships with target customers” . The marketing environment consists of micro and macro environment .
Legitimacy theory is a “positive theory” that asserts that businesses are bound by the implicit “social contract” that the corporation agrees to perform that are specifically relating to social and environmental issues (Rankin, et al. 2012, 142). To remain congruent with societal values in which it operates, a corporation can address attributes that relate to this theory through voluntary social and environmental disclosures made on platforms like its annual report (Coebergh 2011, 65).
When talking about environment in general, we think of the surrounding things that have an ability to affect. Same is applied with marketing environment. Marketing environment is the collection of all of the surrounding actors and forces that have the power to affect the company 's ability to do its job in having good relationship with target customers and satisfying their needs (Kotler, Armstong, Tolba, Habib, (2011).
JetBlue Airways is a company that applies innovative technologies to offer high quality travel services at a lower cost (Shrivastava, 2012). A SWOT analysis of JetBlue airlines shows that despite the numerous opportunities and strengths it has, it is exposed to threats and weaknesses that pose challenges in its operations. The threats include issues like strong competition from other airlines and the volatility of the fuel prices.JetBlue Airlines is relatively new to the market when compared to its major competitors such as the Southwest and Delta Airlines. Most of its strategies have worked to its benefit. However, the threats and weaknesses necessitate strategic changes that will enable them to continue sustaining their
In today world of intense competitive marketing decisions often become vital distinguishing factors between industry leaders and other market players. The strategic marketing decision is taken based on their marketing mix i.e. 4 P'S of marketing. Controlling these parameters, companies may consider various internal and external marketing challenges. The marketing mix of the firm in a large part is the product of evolution that comes from day to day marketing, the mix represents the program that a management evolved in the ever challenging market (Bordern, 1994). This paper will study the world -known and reputable airline company, Delta Airlines to approach the context of marketing of the U.S Airline Industry. In the U.S Airline industry,
Ryanair is a famous low-cost airline company which was established in 1985 by Tony Ryan family. It’s headquartered in Ireland and provides services across Europe. Ryanair was built on Southwest Airlines model, which is highly successful in US, and now Ryanair is one of the most successful and profitable low-cost airlines in the world.
3.1 Focus on airport resources and technology to improve on time flights, arrival, baggage handling.
SpaceX is floating on cloud nine after the success of their Falcon 9 launch and landing on April 8. On that rocket was the Dragon capsule that safely delivered supplies to the International Space Station. To top it off the booster touched down on a drone ship at sea. This was the first landing of its kind. The historic move put the spotlight on the company. It's Blue Origin and Virgin Galactic up next to make a move.
This is the report from our evaluation of the Ryanair Holdings. Ryanair was found in 1985 and has its headquarters at the Dublin Airport Ireland. Flights began between Ireland and the United Kingdom in1986 as the new airline’s Dublin-London route challenged the British Airways-Aer-Lingus duopoly. Ryanair is the pioneer of the low-fares model in Europe and it is the largest European low fares airline. As the time changed, there are many threats come and hurt the Ryanair airline. However, in the recent years, Ryanair keep changes and make a development on its brand image and made a lot of efforts to attract more customers and use the past bad experienced to teach them to become better in future. After Ryanair faced all the challenges in the airline business for many years, it is managed to become a biggest low-fares airline in the Europe and use the low fares as a competitive advantage of Ryanair.
> 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.