British Airways is amongst the biggest airlines in Europe; however, it has been facing very stiff competition from Middle Eastern Carriers like Emirates and Qatar. These Middle Eastern giants have given a very stiff time to British Airways. British Airways has not been able to perform in a certain geographical regions in the past few years because of the stiff competition from these Middle Eastern airlines and they have been seen a loss in the number of passengers in the past few years. However, British Airways had taken a number of steps to make sure that they put up a fight against the stiff competition from these Middle Eastern giants. They have devised a number of marketing strategies to promote themselves in different markets. There strategy of using online booking for their customers had allowed them to cut down their costs by a significant margin and; therefore, helped them in the process of managing their expenses. They have entered into a deal with aircraft companies like Boeing and Airbus and they will get new aircrafts in the coming few years, which would help them in making sure that they further reduce their aircraft related expenses. British Airways has taken a number of steps to counter the aggression from these Middle Eastern giants.
TABLE OF CONTENTS
ABSTRACTii
Introduction1
Overview of British airways1
SWOT Analysis of British Airways2
Strengths of British Airways2
Strong fleet operations2
Strong market position and brand image in the UK3
Online services4
Weaknesses of British Airways4
Labour dispute4
Poor performance in all geographic regions5
Declining operating efficiency5
Opportunities for British Airways6
Global air freight industry on road to recovery6
Expected resurgence of global tourism6
Merger with Iberia7
Threats to British Airways8
Intense competition and price discounting8
Price volatility in petroleum markets8
Regulatory conditions9
SWOT analysis of Emirates global9
Strengths of Emirates global9
Weaknesses of Emirates global10
Opportunities for Emirates global10
Threats to Emirates global10
PESTLE Analysis of British Airways10
Political scenario analysis of British Airways11
Economic scenario analysis of British Airways11
Social scenario analysis of British Airways11
Technological scenario analysis of British Airways11
PESTLE analysis of Emirates12
Political scenario analysis of Emirates12
Economic scenario analysis of Emirates12
Social scenario analysis of Emirates12
Technical scenario analysis of Emirates12
Legal scenario analysis of Emirates13
Financial assessment of British Airways13
Steps to control costs by British Airways16
Marketing strategies of British Airways to fight competition16
The solution17
An aggressive strategy of landing pages17
The introduction of a single bid management system17
Improved approach to reporting and analysis18
One-world alliance: A step against Middle East airline giants19
Passengers per year for one-world alliance21
Market share of one-world alliance21
Participants of one-world alliance21
Network strengths of one-world alliance21
Weakness of the one-world alliance21
Alliance of British airways and Iberia: Another step against the emerging Middle East airline giants22
Future aircrafts of British Airways and impact on traffic flows22
Liberalization of traffic from India and China23
Conclusions25
REFERENCES26
AIRLINE OPERATION
Introduction
Alamdari and Mason (2009, 122) had described that The importance of air transportation in supporting the nation's economic and cultural growth has been long recognized. According to the latest statistics, about 735 million passengers travelled by air in the U.K. during the period from March 2007 to February 2008 (BTS 2008). In addition, the total value of domestic airfreight doubled from 1993 to 2002 with an estimated value of ...