Transatlantic Airline Industry Between Europe and the Usa

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Strategic Management Transatlantic airline industry between Europe and the USA Name Course Instructor Institution Location Date of Submission Table of Contents 1 Introduction 4 2 Brief Description of the market and the relevant changes 5 2.1 Definition of Transatlantic market 5 2.2 Brief description of the market 5 2.3 Relevant Changes in the market 6 2.3.1 Airline supplier consolidation 6 2.3.2 Inception of low cost carriers 6 2.3.3 Formation of strategic alliance 6 2.3.4 Environmental regulations 7 2.3.5 Mergers of airlines 7 3 PESTLE analysis of the market 7 3.1 Political factors 7 3.2 Economical factors 8 3.3 Social factors 8 3.4 Technological factors 8 3.5 Legal factors 9 3.6 Environmental factors 9 4 SWOT analysis of two Airlines 9 4.1 SWOT analysis of British Airways 10 4.1.1 Strengths 10 4.1.2 Weakness 10 4.1.3 Opportunities 10 4.1.4 Threats 11 4.2 SWOT Analysis of Virgin Atlantic 11 4.2.1 Strengths 11 4.2.2 Weakness 11 4.2.3 Opportunities 11 4.2.4 Threats 12 4.3 Comparison of the SWOT analysis findings 12 5 British Airways strategic positioning in the market 13 6 Expansion strategic business plan 15 6.1 Objective of the plan 15 6.2 Critical success factors 15 6.3 Market Analysis 15 6.4 Proposed marketing mix strategy 16 6.4.1 Product strategy 16 6.4.2 Price Strategy 16 6.4.3 Place Strategy 16 6.4.4 Promotion Strategy 17 7 References 18 Introduction Over the last few years, various industries have been experiencing considerable changes that have been facilitated by various factors which among others include globalization that has been intensifying. In the perspective of the aviation sector, Morrison and Winston (1995) noted that the sector has witnessed major changes in the past few years. Nevertheless, Morison and

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