British Airways Report
Table of Contents EXECUTIVE SUMMARY 2
1. COMPANY OVERVIEW 2
1.1 RECENT PROBLEMS FACED BY BA 3
2. CURRENT STRATEGIC POSITION OF BRITSH AIRWAYS 3
2.1 BRITISH MERGER AND ALLIANCES 4
3. EXTERNAL ENVIRONMENTAL FACTORS 5
3.1 PESTEL ANALYSIS 5
3.2 FIVE FORCES ANALYSIS 11
3.3 LAYERS OF THE BUSINESS ENVIRONMENT 14
3.4 COMPETITORS ANALYSIS 15
3.5 STAKEHOLDER ANALYSIS 17
3.5.1 STAKEHOLDERS MAPPING: The Power/Interest Matrix 18
4. INTERNAL ANALYSIS 22
4.1 RESOURCES-BASED VIEW 22
4.2 VALUE CHAIN ANALYSIS 24
4.3 THE LIFE-CYCLE MODEL 28
5. CONCLUSION 30
6. RECOMMANDATION 31
REFERENCES 33
BIBLIOGRAPHY 33
Websites 33 EXECUTIVE SUMMARY
This report identifies through an analysis, the current strategic position of British Airways and identifies and evaluates strategic choices that the company could pursue. It outlines both internal and external factors that management need to consider in order to regain their competitive advantage and successfully drive the company forward in coming years, stay ahead of the completion and ensure a long-term survival.
1. COMPANY OVERVIEW
British Airways is a well known and establish business in the airline industry. British Airways is the UK’s largest international scheduled airline, flying to 148 destinations. It is a market leader and favourite company for the quality of its services. It is said to be the UK’s largest airline company and one of the biggest companies in the world. It place of business is London with significant presence at Heathrow, Gatwick and London City.
BA Operates one of the most extensive international scheduled airline route networks, together with its codeshare (Indian’s Kingfisher airlines to share flight between the UK, Europe, India and Sri Lanka) and franchise partners, BA flies to more than 300 destinations worldwide. The company states that in 2008/09, BA carried more than 33 million passengers (www.britishairways.com).
Despite being the largest
1. COMPANY OVERVIEW 2
1.1 RECENT PROBLEMS FACED BY BA 3
2. CURRENT STRATEGIC POSITION OF BRITSH AIRWAYS 3
2.1 BRITISH MERGER AND ALLIANCES 4
3. EXTERNAL ENVIRONMENTAL FACTORS 5
3.1 PESTEL ANALYSIS 5
3.2 FIVE FORCES ANALYSIS 11
3.3 LAYERS OF THE BUSINESS ENVIRONMENT 14
3.4 COMPETITORS ANALYSIS 15
3.5 STAKEHOLDER ANALYSIS 17
3.5.1 STAKEHOLDERS MAPPING: The Power/Interest Matrix 18
4. INTERNAL ANALYSIS 22
4.1 RESOURCES-BASED VIEW 22
4.2 VALUE CHAIN ANALYSIS 24
4.3 THE LIFE-CYCLE MODEL 28
5. CONCLUSION 30
6. RECOMMANDATION 31
REFERENCES 33
BIBLIOGRAPHY 33
Websites 33 EXECUTIVE SUMMARY
This report identifies through an analysis, the current strategic position of British Airways and identifies and evaluates strategic choices that the company could pursue. It outlines both internal and external factors that management need to consider in order to regain their competitive advantage and successfully drive the company forward in coming years, stay ahead of the completion and ensure a long-term survival.
1. COMPANY OVERVIEW
British Airways is a well known and establish business in the airline industry. British Airways is the UK’s largest international scheduled airline, flying to 148 destinations. It is a market leader and favourite company for the quality of its services. It is said to be the UK’s largest airline company and one of the biggest companies in the world. It place of business is London with significant presence at Heathrow, Gatwick and London City.
BA Operates one of the most extensive international scheduled airline route networks, together with its codeshare (Indian’s Kingfisher airlines to share flight between the UK, Europe, India and Sri Lanka) and franchise partners, BA flies to more than 300 destinations worldwide. The company states that in 2008/09, BA carried more than 33 million passengers (www.britishairways.com).
Despite being the largest
References: Johnson G et al (2005), Exploring Corporate Strategy, Pearson Education Limited, Essex England Lynch Richard (2000), Corporate Strategy, 2nd edition, Pearson Education Limited, Essex England Lynch Richard (2003), Corporate Strategy, 3rd edition, Pearson Education Limited, Essex England Lynch Richard (2006), Corporate Strategy 4th edition, Pearson Education Limited, Essex England Porter, M. E. (1985), Competitive Advantage: Creating and Sustaining Superior Performance, New York: Free Press. BIBLIOGRAPHY Thompson John L (2001), Understanding Corporate Strategy, Thomson Learning Websites http:www.airwales.co.uk (assessed 7/10/2010) http://www.centreforaviation.com (assessed by 7/10/2010) http://blogs.wsj/source/tag/iberia (assessed by 1/12/2010) http://www.britishairways.com/travel/csr-community-relations/public/en_gb, 27/12/2010) http://www.guardian.co.uk/business/2010/nov/29/british-airways-iberia-agree-merger 01/12/2010) http://www.britishairways.com/cms/global/microsites/ba_reports0910/our_business/markets3.html British Airways (2010): British Airways Launches New Lowest Price Holiday Finder on ba.com