Singapore airline is the market leader in the Singaporean airline market. In Singapore, it has the largest share of the market with more than 35 percent of the local airline market share. The following is the SWOT analysis for the company in the Singaporean market:
(i) Strengths a. The Singapore airline have an already a large established business in the Singaporean aviation market. Since 1960s, the airline has established itself as a country leader in the local aviation market. It has operated in Singapore since 1947.
In line with its vision, the airline has been striving to be the continental leader in the aviation industry. Through innovation and strategic marketing, the company has acquired about 30% of the country’s aviation market. b. The airline has good market reputation. With strong brand name in the market, the airline is well positioned in the market. In the Singapore market Singapore airline has strived to build a good market reputation. This has worked positively for its services.
It is on this good reputation that the market can embark on introducing the new route flights in the market.
The target market is also quite large. The aviation (airline) market has been recording growth in the recent past and there are future prospects of growth. Therefore the target market is slowly expanding. (Giuly, 2000, p. 71)
(ii) Weakness a. The target market is quiet large and there are fears the demand for the Singapore Airline services may outdo the capacity of the airline to satisfy the demands of the market.
It is still not clearly established the rate of growth of the Tiger airways services in the market but there are expectation that the services will record a high growth rate.
This means that the Singapore airline will need to increase its service capacity in order to match the rate of growth of the market. b. The airline has not been able to establish a distribution network of its services in the Singapore minor airports that matches the demands of the market. In this case the airline has not established a distribution network to the interior due to infrastructural development issues. c. Banking on the success of the other airlines in the market may have negative effects on the welfare of the Singapore airline services in the market since the services will be targeting different markets.
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