Swot Analysis on Airtran

Published: 2021-06-29 06:58:49
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Category: Business

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The reason why intel can lead in its industry is mostly depend on their excellent engineers in the past. But as the new CEO took over the intel, he start to focus on marketing instead of engineering. And asked for more and more multi-skilled people. So it lead to a lot of engineers lost their status. Therefore, some engineers left intel, some even join other companies such as TI and AMD. In this situation, on the one hand, it may increased the conflict into the company which may make some engineers uncomfortable, on the other hand, as those engineers join competitor company, it will be a big threat to intel.

AirTran - Strength: Good financial situation AirTran Airway is among the top players in the low-cost airline industry in the United states. And in terms of finance, AirTran Airway has abundant capital. Having enormous financial reserve is good for company to prepare for future market opportunities, investments, growth actions and uncertainty. In Airline industry, there are lots of unstable variable such as weather, fuel price. When those variables start to happen it could bring massive amount of loss in company. So, with enough capital, they would be able to deal with those uncertainties. Low cost but high quality service As AirTran Airway emphasis on cost control, they cut the cost from control the cost of distribution, labor force and upgrade ticketing and reservation system, so they kept their cost structure in lowest level in the domestic airline industry in terms of cost per Average Seat Miles. However the quality of their service is not proportional with price. The business class of AirTran Airway can enjoy the equivalent of first class service of offered by its full-service rivals. In real life, many customers want not only buying the cheapest one but also getting more service on flight. So AirTran Airway provide both low price and high quality service, it will be so attractive for customers. - Threat: Strong competition The airline industry is highly competitive in terms of cost, service, routes and security etc. And all these factors are sensitive to affect the performance and operation of airline organizations. The low cost strategy is easy to be imitated by competitors. So chief player who has considerably superior fiscal, marketing and operating sources than Airtran Airways perhaps go into this market to compete with Airtran Airways. Moreover, after the terrorist attack in Sep 11,2001in the United States, the threat of traveler has significantly decline the amount of customers that slow down the development of the industry. There are some small-jet airline organizations such as JetBlue that take the chance to grow up. This will also be a threat to Airtran Airways. High level regulation The airline industry is subject to regulation by a number of federal, state, and local departments and agencies. And since from the ' 911 ' event, security system had been reinforced, in another words, there are more and more regulations had been released. Those regulation has regulatory jurisdiction over both

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