Airline SWOT

• Create a SWOT analysis of a selected airline and 4–6 pages detailing your analysis.
Note: The assessments in this course build upon each other, so you are strongly encouraged to complete them in sequence.
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Completing a SWOT analysis for an organization can assist you with both strategic planning and decision making.
By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies and assessment criteria:
o Competency 1: Analyze strategic issues to guide overall business decision making.
 Analyze a selected organization using the SWOT method.
o Competency 2: Integrate findings of strategic, environmental, and core business function analysis to provide input to decision making and planning.
 Analyze interrelationships among internal business functional areas and external constraints and opportunities.
 Analyze the implications of internal and external factors on business strategy.
o Competency 3: Formulate business decisions for immediate actions based on integrated analysis.
 Recommend solutions to address organizational weaknesses identified in a SWOT analysis.
o Competency 5: Communicate in a manner that is professional and consistent with expectations for members of the business professions.
 Communicate in a manner that is professional and consistent with expectations for members of the business profession.
Competency Map
Check Your ProgressUse this online tool to track your performance and progress through your course.
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Context
Various MBA skills include analysis and decision making. These real-world skills apply to all types of businesses. In the airline industry, some interesting nuances include its highly competitive nature, as well as compelling marketing and regulation considerations. Additionally, many internal and external influences impact airline planning, operations, and performance.
A strengths, weaknesses, opportunities, and threats (SWOT) analysis assists in identifying the positives and negatives (strengths and weaknesses) inside an organization, as well as the opportunities and threats that exist in the external environment (outside an organization).
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Questions to Consider
To deepen your understanding, you are encouraged to consider the questions below and discuss them with a fellow learner, a work associate, an interested friend, or a member of the business community.
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o What is the state of the travel industry overall? Where do airlines fit in this industry?
o What issues have the most influence on airline profitability?
o Why are so many airlines filing for bankruptcy?
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Resources
Suggested Resources
The following optional resources are provided to support you in completing the assessment or to provide a helpful context. For additional resources, refer to the Research Resources and Supplemental Resources in the left navigation menu of your courseroom.
Capella Resources
Click the links provided to view the following resource:
o SWOT Analysis Template.
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Library Resources
The following e-books or articles from the Capella University Library are linked directly in this course:
o Ghazinoory, S., Abdi, M., & Azadegan-Mehr, M. (2011). SWOT methodology: A state-of-the-art review for the past, a framework for the future. Journal of Business Economics and Management, 12(1), 24–48.
Course Library Guide
A Capella University library guide has been created specifically for your use in this course. You are encouraged to refer to the resources in the MBA-FP6028 – Business Integration Skills Library Guide to help direct your research.
Internet Resources
Access the following resources by clicking the links provided. Please note that URLs change frequently. Permissions for the following links have been either granted or deemed appropriate for educational use at the time of course publication.
o Investopedia. (n.d.). The industry handbook: The airline industry. Retrieved from http://www.investopedia.com/features/industryhandbook/airline.asp
o Markgraf, B. (n.d.). The two most important parts of SWOT analysis. Retrieved from http://smallbusiness.chron.com/two-important-parts-swot-analysis-61546.html
o Singapore Airlines. (n.d.). S.W.O.T analysis of Singapore Airline. Retrieved from https://royluowei.wordpress.com/s-w-o-t/
Also, consider airline company profiles like this one:
o Southwest Airlines. (n.d.). Company profile. Retrieved from http://investors.southwest.com/our-company/company-overview
• Assessment Instructions
Note: The assessments in this course build upon each other, so you are strongly encouraged to complete them in sequence.
Preparation
Use the Internet and Capella University Library to research an airline currently in business to use as the basis for this assessment. You will need to incorporate a minimum of four resources to support the points in your 4–6-page analysis described below.
Deliverables
Complete the following:
1. Conduct a SWOT analysis on your chosen airline.
 Consider using the SWOT Analysis Template document, linked in the Suggested Resources, or a similar format of your choice for this assessment. Examples of criteria for the SWOT analysis are provided in the tables below.
2. Write a 4–6-page analysis of the airline’s internal and external environments, as well as the interrelationships among its internal businesses. Include the following subheadings and content:
 Introduction: Provide an overview of your chosen airline and its place in the industry.
 Include background information on what business strategies the airline is using and where it fits in the industry.
 Internal Environment: Using your SWOT analysis, analyze the airline’s internal environment for the conditions and factors that influence its activities and choices, including its business strategies. The internal environment includes:
 Human resources—staff, volunteers, board members, target population.
 Physical resources—location, building, equipment, funding for resources (grants, funding agencies, other sources of income).
 Activities and processes—programs run, systems employed.
 Past experiences—building blocks for learning and success, reputation in the community.
 External Environment: Analyze the selected organization’s external environment for the conditions and factors surrounding it that influence its activities and choices, including its business strategies. External forces the organization does not control include the following:
 Future trends—in the field or the culture.
 Economy—local, national, and international.
 Funding sources—foundations, donors, legislatures.
 Demographics—changes in the age, race, gender, culture of those served by the organization.
 Physical environment.
 Legislation.
 Local, national, and international events.
 Interrelationships: Analyze the interrelationships among internal business functional areas and external constraints and opportunities.
 Conclusion: Describe the key issues you believe should be addressed to make effective decisions and business plans, and provide your recommendations or suggestions for handling these issues.