Description
SWOT ANALYSIS OF CHINA SOUTHERN AIRLINES
China Southern Airways Parent Company Category Sector Tagline/ Slogan China Southern Airlines Co., Ltd. International Airlines Always Cheaper Than On The Ground One of Asia's largest airline in terms of both fleet size and passengers carried STP Segment Target Group Positioning Customers looking for punctuality and efficiency Middle class / Upper middle class Smooth and efficient operations SWOT Analysis 1. Largest air transport network in China with access to over 150 cities and over 600 domestic routes. 2. Centrally located in Guangdong for easy access to the rapid industrial growth of the Pearl River Delta. 3. Culturally, politically, linguistically, and historically synchronized with the Chinese market and the changes occurring within Chinese air transport. 4. Largest domestic cargo carrier Strength 5. History as State Owned Entity and residual access and political access with the Civil Aviation Administration of China. 1. Small air cargo business segment and limited experience in air cargo freight and overnight transport logistics. Weakness 2. Undergoing continuous business reorganization and cultural
USP
change due to Chinese air transport deregulation, recent acquisitions, and alliances. 1. Utilize first-to-market advantage to build customer loyalty and to “lock-in” air cargo customers via contract and real-time technology before competitors commence expanded services in Chinese domestic market. 2. Utilize cultural background to implement Chinese air cargo information technology that reduces costs for independent shippers/forwarders in China through real time shipment communication. 3. Establish communication centres to accurately predict package/cargo volume and to reduce wasted belly space on domestic routes. 1. Increased domestic Chinese competition and resultant decreases in scale economies. 2. Inadequate grants of slot space and access to international hubs to compete internationally in the absence of further followthrough with alliances. 3. Increased competition from substitutes as Chinese surface transport infrastructure develops. Threats 4. Jet Fuel price increases causing slowing of Chinese economy and overcapacity of air cargo carriers. Competition 1. AMR 2. Air China Limited 3. Air India
Opportunity
Competitors
doc_813057247.docx
SWOT ANALYSIS OF CHINA SOUTHERN AIRLINES
China Southern Airways Parent Company Category Sector Tagline/ Slogan China Southern Airlines Co., Ltd. International Airlines Always Cheaper Than On The Ground One of Asia's largest airline in terms of both fleet size and passengers carried STP Segment Target Group Positioning Customers looking for punctuality and efficiency Middle class / Upper middle class Smooth and efficient operations SWOT Analysis 1. Largest air transport network in China with access to over 150 cities and over 600 domestic routes. 2. Centrally located in Guangdong for easy access to the rapid industrial growth of the Pearl River Delta. 3. Culturally, politically, linguistically, and historically synchronized with the Chinese market and the changes occurring within Chinese air transport. 4. Largest domestic cargo carrier Strength 5. History as State Owned Entity and residual access and political access with the Civil Aviation Administration of China. 1. Small air cargo business segment and limited experience in air cargo freight and overnight transport logistics. Weakness 2. Undergoing continuous business reorganization and cultural
USP
change due to Chinese air transport deregulation, recent acquisitions, and alliances. 1. Utilize first-to-market advantage to build customer loyalty and to “lock-in” air cargo customers via contract and real-time technology before competitors commence expanded services in Chinese domestic market. 2. Utilize cultural background to implement Chinese air cargo information technology that reduces costs for independent shippers/forwarders in China through real time shipment communication. 3. Establish communication centres to accurately predict package/cargo volume and to reduce wasted belly space on domestic routes. 1. Increased domestic Chinese competition and resultant decreases in scale economies. 2. Inadequate grants of slot space and access to international hubs to compete internationally in the absence of further followthrough with alliances. 3. Increased competition from substitutes as Chinese surface transport infrastructure develops. Threats 4. Jet Fuel price increases causing slowing of Chinese economy and overcapacity of air cargo carriers. Competition 1. AMR 2. Air China Limited 3. Air India
Opportunity
Competitors
doc_813057247.docx