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Topic: Student Questions

Swot Of Low Cost Airline In Southeast Asia

Posted by Anonymous on 4/16/2005 at 10:00 PM ET 125 Points
strength, weakness, opportunities, threats of low cost airline in southeast asia and in Europe
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  • Posted by Markitek on 4/17/2005 at 4:41 PM Accepted
    No responses on this because it's essentially not answerable. A SWOT analysis is a very subjective thing, and very individualized. There is no SWOT for an industry in the same way there are buying trends or market share analysis or even segment profiles. I don't know if you're answering a theoretical question or if you're working for an airline and really trying to arrive at this, but in order to answer the SWOT questions you have to know the company your analyzing intimately and be ready to lay down frank objective answers to all four.
  • Posted by Mushfique Manzoor on 5/17/2005 at 7:54 AM Accepted
    hi chen

    i agree with Markitek on SWOT analysis. it depends on airline to airline. then again some common SWOT analysis can be the following....

    STRENGTH
    1. Low operational cost by having a single aircraft type fleet i.e. Boeing 737 or Airbus A-310.
    2. Low maintanace cost due to the same reason as above.
    3. Low operating cost due to being No Frill, online reservations, fast check in etc.
    4. huge untapped market, specially for business travellers and "for-the-first-time-flying" segment.
    5. target customers are who are currently using non-aircraft modes like, Bus, Trains, car to travel to distances.

    WEAKNESS
    1. Rising Fuel Cost.
    2. flight times are more or less limited to 2.5 hours. so you cant operate flights of longer duration without any Frill, so No-Frill becomes impossible to implement for passengers.
    3. increased competition from proper carriers and other no frill carriers.

    OPPORTUNITY
    1. tapping the segment which is not using airline to travel at all. i.e. people who are using Bus or car or train to travel from KL to LangKawi
    2. Regional International flights of 2.5 hrs duration.

    THREAT
    1. Rising Fuel Cost

    hope this helps.

    cheers!!
  • Posted by Mushfique Manzoor on 5/17/2005 at 7:54 AM Member
    hi chen

    i agree with Markitek on SWOT analysis. it depends on airline to airline. then again some common SWOT analysis can be the following....

    STRENGTH

    1. Low operational cost by having a single aircraft type fleet i.e. Boeing 737 or Airbus A-310.
    2. Low maintanace cost due to the same reason as above.
    3. Low operating cost due to being No Frill, online reservations, fast check in etc.
    4. huge untapped market, specially for business travellers and "for-the-first-time-flying" segment.
    5. target customers are who are currently using non-aircraft modes like, Bus, Trains, car to travel to distances.


    WEAKNESS

    1. Rising Fuel Cost.
    2. flight times are more or less limited to 2.5 hours. so you cant operate flights of longer duration without any Frill, so No-Frill becomes impossible to implement for passengers.
    3. increased competition from proper carriers and other no frill carriers.


    OPPORTUNITY

    1. tapping the segment which is not using airline to travel at all. i.e. people who are using Bus or car or train to travel from KL to LangKawi
    2. Regional International flights of 2.5 hrs duration.


    THREAT

    1. Rising Fuel Cost
    2. more competition from State-owned Carriers.


    hope this helps.

    cheers!!
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