Comments (0) 11, no. However, the firms research and development initiatives are undertaken collaboratively between British Airways and Original Equipment Manufacturers [OEMs] such as Boeing. However, growth for BA was not much and even fell in the year 2009. British Airways, a full-service airline, is headquartered in London. Additionally, BA shall also increasingly make use of economies of scale technique too for attracting customers with low purchase capacity. The database is updated daily, so anyone can easily find a relevant essay example. British Airways is focused on achieving and sustaining an optimal market position. Thus, there does not seem any substitute as such at present for the airlines. Above all, British airways ought to capitalize on the quality of its customer service delivery at all its departments. 3. Moreover, the firm is in a position to share expertise and knowledge on aircraft maintenance with Boeing (Payler 2015). The paper will focus on the British Airways company. British Airways has adopted the RBV in its operation, as evidenced by the resources that the firm has developed individually and through partnership. destinations. 2002, Alliance constellations; A social exchange perspective, Academy of Management Review, no. The firms reward system is comprised of monetary and non-monetary rewards. Found insideFrom Analyst to Leader: Elevating the Role of the Business Analyst uncovers the unique challenges for the business analyst to transition from a support role to a central leader serving as change agent, visionary, and credible leader. The tool specifically estimates whether a firms strategy falls in line with the external impact of changes using the following dynamics of the external environment: political, economic, social, technological, environmental, and legal factors. The firm should invest in extensive continuous employee training on different operational aspects, customer safety, and security. Research Paper (undergraduate) from the year 2011 in the subject Business economics - Marketing, Corporate Communication, CRM, Market Research, Social Media, grade: A, The University of Surrey, course: Operations Management and Business To make the matters worse, the slowdown of European and American economies have subjected the aviation company to financial instability. However, SWOT analysis of British Airways Go for It America Promotion A has certain limitations that the company must consider to achieve its strategic objectives. This implies that the bargaining power of suppliers is strong. But on the basis of passengers, BA is the second largest after Easy Jet (British Airways, 2014). Thus, there is a very low chance of entry in this industry which is why the threat of new entrants bears a very small effect on the strategic management of British Airways. July 22, 2021. https://ivypanda.com/essays/strategic-analysis-and-planning-british-airways/. The share price of BA was noted to fall continuously from the year 2007 onwards. This aspect has contributed to the companys high competitive advantage. Found inside Page 312This analysis revealed that for Cathay Pacific as well as British Airways this correlation did not hold true . British Airways only showed a correlation of Source: Michael E. Porter, Competitive Advantage: Creating and Sustaining Superior Performance (1985). seconds. It is important to note that British Airways provides various loyalty programs to its customers in order to encourage return-customers. The KLM image and reputation act as a kind of assurance to Kenya Airways passengers and clients that they will receive excellent service. However, the long haul category does not exhibit any product differentiation and there is a very small difference between the services offered by various airlines with regard to price and quality. The companys mission statement was, to become an undisputed leader in this whole world in the tourism industry. The British Airways World Cargo has improved the airlines capacity to offer cargo services to diverse customer groups such as the corporate and individual customers. Economies of scale due to its large size 2. The organization needs to use low fares strategy to have larger number of customers for the organization. Sahaf, M. 2008, Strategic marketing; making decisions for strategic advantage, PHI Learning, London. Terminal 1, Terminal 3, and Terminal 5. Strong Backing of UK Govt makes British Airways a strong player 2. The revenues of BA are seen increasing continuously from the year 2006 to the year 2009. Read also Business and Corporate Level Strategic Analysis AT&T Corporation. These aspects have contributed to development of a high level of customers satisfaction. Therefore, it is imperative for airlines to assess their strategic position in order to recognize their position and work towards improving their tactics. How many pages (words) do you need? This raises the concern against BA to formulate its strategies to grab this huge market segment. The airline has faced a considerable number of strike actions in the recent past, forcing the management to be wary of the possibility of more actions in the future. Secondly, British Airways faces aggressive rivalry from such airlines as Easy Jet dues to the fact that they offer better prices for passengers. Thus, BA has the major competition from low cost airlines at present. July 22, 2021. https://ivypanda.com/essays/strategic-analysis-and-planning-british-airways/. The firms technological capability is also enhanced by its extensive aircraft maintenance facility located in the UK. British airways stands out as one of the best airlines in the UK with a good brand identity, and this stems from customer loyalty and trust amassed over the years. For full functionality of this site it is necessary to enable JavaScript. The intensity of competition in the global airline industry has grown considerably due to different factors such as increasing demand for air travel and reforms within the industry such as liberalisation of the airspace (Flouris & Oswald 2006). Our strategic management experts are available 24x7 to provide best solution to internal environment and external environmental analysis of any airways company. The team undertakes different maintenance activities such as structural repairs and other major aircraft maintenance. Similar is the case here. professional specifically for you? British Airways is committed to meeting and exceeding the customers experience. 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