British Airways was formed in 1974 through the merger of BOAC and BEA. It operates flights from Heathrow, Gatwick and London City to over 300 global destinations. The company's mission is to be the undisputed leader in world travel, with a goal of being customers' choice. Strategically, British Airways aims to strengthen profitability through brand renovation, access to Heathrow Terminal 5, and maintaining experienced staff, while managing weaknesses like rising costs and potential labor strikes. It will focus on opportunities in growing markets and new technologies to improve performance over threats from economic issues, regulations and changing consumer behavior.
British Airways was formed in 1974 through the merger of BOAC and BEA. It operates flights from Heathrow, Gatwick and London City to over 300 global destinations. The company's mission is to be the undisputed leader in world travel, with a goal of being customers' choice. Strategically, British Airways aims to strengthen profitability through brand renovation, access to Heathrow Terminal 5, and maintaining experienced staff, while managing weaknesses like rising costs and potential labor strikes. It will focus on opportunities in growing markets and new technologies to improve performance over threats from economic issues, regulations and changing consumer behavior.
British Airways was formed in 1974 through the merger of BOAC and BEA. It operates flights from Heathrow, Gatwick and London City to over 300 global destinations. The company's mission is to be the undisputed leader in world travel, with a goal of being customers' choice. Strategically, British Airways aims to strengthen profitability through brand renovation, access to Heathrow Terminal 5, and maintaining experienced staff, while managing weaknesses like rising costs and potential labor strikes. It will focus on opportunities in growing markets and new technologies to improve performance over threats from economic issues, regulations and changing consumer behavior.
British Airways was formed in 1974 through the merger of BOAC and BEA. It operates flights from Heathrow, Gatwick and London City to over 300 global destinations. The company's mission is to be the undisputed leader in world travel, with a goal of being customers' choice. Strategically, British Airways aims to strengthen profitability through brand renovation, access to Heathrow Terminal 5, and maintaining experienced staff, while managing weaknesses like rising costs and potential labor strikes. It will focus on opportunities in growing markets and new technologies to improve performance over threats from economic issues, regulations and changing consumer behavior.
THEVARAJAH RAJEEVAN (SC0528) VINODH RANA (SC0932) YASOTHA SIVAPATHAM (SC0544) INTRODUCTION Formed in 1974 after the merge of BOAC and BEA On 30 July, 2008, BA and Iberia merged and IAG is the holding company formed in January 2011’ UK’s largest international scheduled airline Operates from Heathrow, Gatwick and London city. Services: Transport ,worldwide air Cargo and engineering service. Flies to more than 300 destinations. MISSON: “TO BE THE UNDISPUTED LEADER IN WORLD TRAVEL”
GOAL: CUSTOMERS CHOICE
OBJECTIVES: STRONG PROFITABILITY
CORE COMPETENCIES Renovation of the brand image Open skies agreement Training centre Sole access to Heathrow Terminal 5 Passengers safety STRATEGIC EVALUATION STRENGTHS Reputable Brand name ( market value and reputation) International operation Strong presence at London Heathrow Employee productivity New fleets of aircrafts Centrally located airports and greater infrastructure Experienced and skilled staffs ( technologically advanced) WEAKNESSES Unfunded employee post retirement benefits Cost of flights Cost of management Extra levels of management Labour strikes Outsourcing OPPORTUNITIES Global airline market Increase in trans-pacific cargo Growing Asia Pacific market Establishing manufacturing units Availability of immense products and services Technological trends Sky Trax System THREATS Labour union Government intervention Increasing liability of unfunded employees Global Economic crisis Fuel Prices in International Market Globalisation Rapid change in technology Consumers behaviour FINANCIAL PERFORMANCE Year Passenger Turnover P/L before Net Profit Basic EPS s flown (£m) tax (£m) (£m) (p) 31 March, 31,825,000 7,994 (531) (425) (38.5) 2010 31 March, 33,117,000 8,992 (401) (358) (32.6) 2009 31 March, 34,613,000 8,753 883 696 59 2008 31 March, 33,068,000 8,492 611 438 25.5 2007 31 March, 32,432,ooo 8,213 616 464 40.4 2006 FUTURE STRATEGY AND OBJECTVE CONCLUSION & RECOMMENDATIONS Airline Quality Review Defensive Strategies for Market Share Customer Analysis Employee Relation Technological Advancement Diversification The Value Chain