Description
SWOT ANALYSIS OF TAM AIRLINES
TAM Airlines
Parent Company
LATAM Airlines Group
Category
International
Sector
Airline
Tagline/ Slogan
Passion to fly and serve
USP
One of the Largest Brazilian Airline STP
Segment
First time Flyers / Cost sensitive customers
Target Group
Middle class and Upper middle class
Positioning
An affordable airline pan Brazil SWOT Analysis
1. It was the first airline to introduce a frequent flier program in Brazil which is now used by around 9 million people 2. With a fleet size of over 150+, it has a strong presence in Brazil, Paraguay, Europe, North and South America. 3. Merging with LAN Airlines has made it possible to serve more destinations with better efficiency 4. TAM was the first Brazilian airline to get an IOSA certification (International Operational Safety Audit) granted by IATA (International Air Transport Association) Strength 5. Provides flights to 60+ destinations
1. Very less presence in large Europe and Asian market 2. TAM is highly dependent upon the macroeconomic stability and Weakness government intervention in Brazil
Opportunity
1. Expansion in Asian market
2. Leverage merger with LAN airlines to strengthen presence in American market 3. Establishing kiosks in subways of Brazil to cancel/book tickets and hence increase accessibility for Brazilian population 4. Leverage association with Casas Bahia, Brazil's largest non-food retailer to attract low-income customers
1. Strong competition in Europe and America 2. Increasing Fuel and Labor cost Threats 3. Fluctuating economic scenario of BRIC affecting number of flyers Competition
1. Gol Linhas 2. Webjet 3. American Airlines Competitors 4. Avianca Brazil
doc_931247008.docx
SWOT ANALYSIS OF TAM AIRLINES
TAM Airlines
Parent Company
LATAM Airlines Group
Category
International
Sector
Airline
Tagline/ Slogan
Passion to fly and serve
USP
One of the Largest Brazilian Airline STP
Segment
First time Flyers / Cost sensitive customers
Target Group
Middle class and Upper middle class
Positioning
An affordable airline pan Brazil SWOT Analysis
1. It was the first airline to introduce a frequent flier program in Brazil which is now used by around 9 million people 2. With a fleet size of over 150+, it has a strong presence in Brazil, Paraguay, Europe, North and South America. 3. Merging with LAN Airlines has made it possible to serve more destinations with better efficiency 4. TAM was the first Brazilian airline to get an IOSA certification (International Operational Safety Audit) granted by IATA (International Air Transport Association) Strength 5. Provides flights to 60+ destinations
1. Very less presence in large Europe and Asian market 2. TAM is highly dependent upon the macroeconomic stability and Weakness government intervention in Brazil
Opportunity
1. Expansion in Asian market
2. Leverage merger with LAN airlines to strengthen presence in American market 3. Establishing kiosks in subways of Brazil to cancel/book tickets and hence increase accessibility for Brazilian population 4. Leverage association with Casas Bahia, Brazil's largest non-food retailer to attract low-income customers
1. Strong competition in Europe and America 2. Increasing Fuel and Labor cost Threats 3. Fluctuating economic scenario of BRIC affecting number of flyers Competition
1. Gol Linhas 2. Webjet 3. American Airlines Competitors 4. Avianca Brazil
doc_931247008.docx