Swot & Pest Analysis

SWOT & PEST analysis Strengths UKs largest full improvement schedule airline this turns it a favorite c each(prenominal)er with customers which scrams in more business which go forth then realise in more gold for the companionship. Caribbean r breakes argon new and exchange well as they ar shifting well, the sales will be up on the flights which will bring in more money and more popularity with the customers which will then mean more and more people will use up the society rather than their meets which will then bring in more money and make rival companies vault out on money Head positioning is set(p) near Gatwick which is convenient it is convenient because customers and/or staff will easily be adequate to(p) to subscribe thither if they fill to as it is situated near the lodges main working airport and non in the middle of nowhere or in a different country.This means that any problems send a style be sorted out quicker as people go intot need to travel t o the head office if it was situated anywhere else Pilots argon well salaried and tend to stay the community are then able to keep flights on schedule which will keep the customers happy and missing to cut down with them half of the originbus and Embraer exit has been bought new in 2002 which is good for passenger confidence passengers will have confidence in the engineering of the planes and trust them not to fail which will keep them happy and wanting(p) to fly with them Passenger offshoot was up 16% from 2003 to 2004 with over 8 million passengers per grade carried more passengers means that the company is making more money and also means more passengers are using this company rather than rival companies Awards won oBusiness Airline 2002 What Airline? oBest European Carrier Passenger News Top Airline culinary art 2003 The Flying Chef (Sunday Times column) with these awards won, the company will have popularity as the best for these features and will keep customers wanting to travel with the company and make new customers from rival companies sparrow hawk Air uses travel agents to sell its products this makes it easier as travel agents are good at selling products Has its own reservations department at head office and a website where customers tin book online customers will find it easier to book flights so the company flock sell more flights easier and quicker. Also less staff will be needed so money can be saved in their wages New features oParticipates in the Pet Travel scheme oTelemedicine service on all flights oLaptop plug in and telephone service in business class oSelf tabloid in at Heathrow and Gatwick all these features give passengers more reason to use this company rather than other(a)s if the others dupet already have the features Weaknesses Operation slots are very expensive and difficult to acquire as they are difficult to acquire, it will be hard for the company to get enough of them as they need, only when even if s ome do become available, they will be expensive to purchase so the cabbage will be used to buy them Failed to prepare permission to operate on the lucrative Heathrow/US routes because these routes are unavailable to the company, they are losing out on money from the tickets that would be purchased by customers therefore customers would use rival companies to get to these destinations No eastern European routes are operated as yet because these routes are not operated yet, the company is losing out on money from the tickets that would be purchased by customers, therefore customers would use rival companies to get to the destinations Being situated near Gatwick is expensive in rents and rates the rent and rates will bring down the pro correspond that the company will make Cabin faction have created some injurious iron out locally if this carries on, the customers will end up using the company and use one of its rival companies Pilots are only qualified to fly particular airc raft other pilots will need to be brought in that are trained to fly other aircraft, so more wages and train will need to be paid out that will mortify the internet There are no pilots who can fly all the different aircraft in the company fleet other pilots will need to be brought in that are trained to fly other aircraft, so more wages and training will need to be paid out that will reduce the profits The airline employs its own ground junto and baggage handlers and finds it difficult to recruit enough people this means that jobs will take longer to do so there will be a longer wait for departures and arrivals at the airports which will delve customers and may tempt them to use rival companies The capacity of each aircraft is different so it is ot possible to take turns aircraft from route to route if a problem occurs with one particular aircraft and makes it dangerous to fly, it will have to stop and passengers will have a big delay as they all wont fit on any of the oth er aircraft available at that particular time. Customers will become unhappy with the company and may use rivals from then on Because half of the Airbus and Embraer fleet has been bought new in 2002, it has been a major(ip) expense as it has been a big expense, there is a massive drop in the profits that the company are making so there is less money to spend on other things, although the money has been spent well Opportunities The airline would like to expand operations from Heathrow with more operations the company would bring in more money which will add to the profits. Considering becoming a member of principal Alliance Considering new measures including sponsorship and developing a relationship with educational establishments these opportunities will increase the companys reputation with the establishments and also bring in more money towards the profit that they are making Kestrel Air may decide to contract out ground crew and baggage handlers this means the company will b ring in more people that are capable of doing the job quicker to make sure arrival and departure times are kept Kestrel Air hope to unite the graphic symbol of aircraft in the future to cut back operating costs and cut pilot training costs this will save the company money which will add to the profits Threats Germanic Air has substantial debts and likely to sell its shares (22%) as 22% is owned by the Germanics there will be a massive w ambush in the shareholders which will cause disruption to the way the company is run. This may result in loss of money and disruptions in the way staff are paid. Staff could go on strike leaving the customers to use rival companies The turnover of Cabin Crew is lofty Training for the Cabin Crew is constant if the training is constant, then oney is always being paid out to fund it which will keep profits down and will waste money as they keep bringing in new staff that need training Many airlines consolidate the type of aircraft in order to save on operating and engineering costs as other companies are doing this, they will save money unlike Kestrel Airways, and they may become under threat with their monetary resource and rival companies will take control of the percentage of people using airlines Profits are pass down so costs are getting higher as they are making approximately the same amount each year if this carries on then the company will start to ache money each year and the company will start to become unsuccessful Political Failed to gain permission to operate on the lucrative Heathrow/US routes because of a restriction arising from the Bermuda 2 treaty the US are wanting the routes so therefore Britain are having to agree and not make the money from them Taxes on fuel etc as taxes are going up, more money is being spent than what is coming in so therefore the company will end up losing money Economical The World is shortly in a recession more people are not travelling abroad because they cant afford it so instead they are taking holidays in Britain or not at all Germanic Air is an ailing airline with substantial debts and is likely to sell its shares (22%) as the German company own a large percentage, there will be a massive hole in the shares, which will disrupt the way the company is run and may become bankrupt Taxes on fuel etc as taxes are going up, more money is being spent than what is coming in so therefore the company will end up losing money Social The Euro is too high as of this, people are avoiding flying to European destinations as it would be cheaper to go to long snap destinations such as the Caribbean because of the currency over there is cheaper People are choosing different destinations each year as of this, Kestrel Air need to keep up on what are the most popular holiday destinations, whether they are long haul or short haul and get flights to the destinations so that customers dont use other companies Cabin crew have recently created some bad press and exa cerbated the problem of recruitment as many people are not recruiting, the company arent getting in enough people as they need to do jobs so jobs will be runway slower than normal which can cause disruption with the way the company is run which will come upon departure times, therefore customers will become unhappy and start using rival airlines Technological Half of the Airbus and Embraer fleet has been bought new in 2002 all the new planes will have new, trusted technology in them that was better than the previous planes which will gain customer confidence and make them want to travel with the company Kestrel Air has its own website where customers are able to book online this will be easier for customers that are wanting tickets as they dont need to leave their homes in order to book a flight, it can be done quickly, easily and securely over the internet Full body scanners these are all located at the airports to check people for weapons, bombs etc to stop terrorism. The sc anners add safety and comfort to the passengers because they know that anybody will be caught that has suspicious items Self check in at airports this means that as soon as customers arrive at the airports, they can check themselves in which will be quicker and easier for them, which will reduce queues and late departures