'Cathay Pacific Essay\r'

' participation Profile\r\nmainland China peace-loving is an multinational air lane registered and based in Hong Kong, whirl schedule rider and cargo goods to 172 destinations in 39 countries and territories. The troupe was founded in Hong Kong in 1946 and the Great Compromiser deeply affiliated to its home base, making substantial investments to develop Hong Kong as ace of the manhood’s lead-in international aviation centres. In addition to its fleet of 138 aircraft, these investments overwhelm catering and ground-handling companies and the corporate headquarters at Hong Kong planetary Airport. chinaware pacific continues to invest heavily in its home city and at 31st declination 2012 had another 92 brand-new aircraft due for obstetrical salvagey up to 2020.\r\nThe air lane recently completed whirl of its hold cargo terminal in Hong Kong, which commenced a staged transferralion of exertions in February 2013 mainland China peaceable and its subsidiari es employ almost 29,900 hatful widely distributed (to a greater extent than 22,800 of them in Hong Kong). chinaware pacific is listed on The rail line Exchange of Hong Kong Limited, as be its substantial sh areholders Swire peaceable Limited (â€Å"Swire peace-loving”) and Air China. chinaware pacific is a founding member of the oneworld global alliance, whose featured engagement officiates much than 800 destinations worldwide.\r\nCompetitive proceedss\r\nCompetitive value is the top executive of an organization to outperform others because they produce desired goods or returnss much efficiently and effectively than its competitors. When a staunch sustains profits that evanesce the average for its labor, the firm is said to possess a agonistical advantage over its rivals. The goal of much of traffic system is to achieve a sustainable competitive advantage. A competitive advantage exists when the firm is able to deliver the same benefits as competit ors but at a lower cost (cost advantage), or deliver benefits that exceed those of competing crossings ( differentiation advantage). Thus, a competitive advantage enables the firm to make up superior value for its nodes and superior profits for itself. Characteristics of competitive advantages\r\nValue\r\nTo improve the product quality, chinaware peaceful efforts to sate and achieve pauperisms of riders. In an change magnitudely competitive environment, it is crucial to follow and develop passenger faithfulness by providing high quality products and portions. This remains a key focus of the chinaware peaceable Air counsels. Therefore, chinaware pacific has introduced a new reward sparing Class product, a new long-haul Economy Class seat and a new regional profession Class seat. The air duct’s long-haul line Class was named World’s Best stage business Class in 2012 at the World career path Awards run by Skytrax. â€Å"mainland China Pacificâ⠂¬â„¢s strengths is to provide a comprehensive level of service, we are committed to the objectives to be achieved.” expressed the partnership’s strengths said by chinaware Pacific legate Chairman and Chief Executive David Turnbull.\r\nNot lone(prenominal) service provided by chinaware Pacific inner(a) the aircraft, but in any case all ground service need to be monitored, much(prenominal)(prenominal) as check-in, break up luggage and even the passengers leave from the airport to the home way. All these aspects are chinaware Pacific service range and strive to provide copasetic service to passengers. The Top- syllabus management team and loyal back off stern workforce a good combination. Thereby, the air hose’s real competitive advantage in these â€Å"most challenging business conditions for our industry in more than a generation” was its supportive workforce, quoting the response of the respiratory tract’s n other(a) 20,000 stave t o a special leave stratagem designed to keep on the connection cash and to prevent the need for staff layoffs.\r\nOn the other hand, the core strengths of mainland China Pacific Airways are a superb team, a affectionate international network, exceptional standards of guest service, a steadfast relationship with China and our position in Hong Kong. These leave alone help to delay the success of the chinaware Pacific Group in the long term.\r\nRareness\r\nFrom the Hong Kong volume’s point of view, chinaware Pacific Airways is a Hong Kong-based international skyway registered in Hong Kong, offering scheduled passenger and cargo go to over 90 destinations around the world. So many transit passengers kitty take advantage of this huge turn flight transmission of Hong Kong and chinaware Pacific’s flight network. Thus, they tin proceed to another city through with(predicate) Hong Kong. As the Hong Kong airport is a hub airport, Hong Kong is a transit point fo r the proportion of long-term passenger. Therefore, Cathay Pacific aban gulled the low-price outline, but stick to the original high-end line, unyielding to become the most admired airlines, â€Å"Shaping a super brand” naturally become a center of all of Cathay Pacific’s work. Concerning the super brand image, it is shaped by 3 elements which are quality products, mount service and booming promotion.\r\nLimitability\r\nFurthermore, the â€Å"Cathay Pacific brand” communication activities are rattling systematic and high-profile promotional activities abound in the world. For example, gather to carry out the activities of the â€Å"Best Chinese Food” with so well-known restaurants in Hong Kong, adjunction other business enterprises for holding â€Å"Asia Miles air ducts’ frequent bankers bill program’’, â€Å"Cathay Pacific Hong Kong International Races” with the Hong Kong make love Club, and so on. Promotional acti vities with a clear musical theme pass ond in different period and channel, such as TV advertising, print advertising, Internet advertising, outdoor advertising, etcetera\r\nSubstitutability\r\nSince the network and the routes that the airways’ own products, Cathay Pacific constantly bargain for new gravels, update, expand their fleet, and to join one of the world’s five largest airline alliance oneworld alliance to strengthen the global network. Currently, more than 80 piloted aircraft Cathay Pacific fleet is one of the world’s youngest and most modern passenger fleet, with an average age of only seven familys. Moreover, Cathay Pacific received 19 new aircraft in 2012 for prolonging to upgrade the competence of the company. As at 31 December 2012, Cathay Pacific had 92 aircraft on aver for delivery up to 2020. The order was located for 6 Airbus A350-900 aircraft in January 2012.\r\nIn August, Cathay Pacific ordered 10 Airbus A350-1000 aircraft and rebo rn an existing order for 16 Airbus A350-900 aircraft into an order for 16 Airbus A350-1000 aircraft. In border 2013, Cathay Pacific entered ‘into an agreement with The Boeing Company at a lower place which it agreed to buy 3 Boeing 747-8F freighter aircraft. low the agreements, Cathay Pacific in addition acquired plectrums to purchase 5 Boeing 777-200F freighters and The Boeing Company agreed to purchase 4 Boeing 747-400BCF transfigureed freighters, which were taken out of service in 2012 and early 2013.\r\nSWOT analysis\r\nStrengths:\r\nCathay Pacific is committed to strengthening Hong Kong’s position as a global aviation hub and gateway to the Chinese Mainland, and leverage its network to produce business, tourist and cargo barter flows. Cathay Pacific is dedicated to technological truth for its products and services. It was one of the starting signal airlines to provide inflight email. It to a fault offers online raging and check-in, a downloadable timetab le, and the notiFLY flight paging service, which delivers real-time flight info updates to customers via email or on their mobile phones. The iPermit scheme enables Taiwan residents to apply for Hong Kong visas via the internet and collect them upon comer at Hong Kong International Airport.\r\nIts inflight entertainment system offers more than 20 ikon channels and an audio/video on drive system for First and rail line class passengers. It was voted â€Å"World’s Leading handling of Inflight Technology” in the World Travel Awards 2003 rousevas of 80,000 travel industry professionals. Cathay Pacific is a member of the oneworld global alliance, joining Aer Lingus, American air ducts, British Airways, Finnair, Iberia, LanChile and Qantas. Swiss Air Lines International is the latest full alliance member. The oneworld carriers’ combined network serves more than 570 destinations. Cathay Pacific is also a member of the favourite travel reward program, Asia Mil es.\r\nWeakness:\r\nThere is no such company without weaknesses. Cathay Pacific Airways unpunctuality in their flights some generation makes their customer ticklish to opt to take flight with the airline. In addition, the air hostesses are not very pleasant and nice frankincense making battalion leave out the airline as an option when traveling home and abroad. Cathay Pacific Airways also attends it hard to reposition itself in the wake of monetary crisis. The company also is unable to deal with numerous scandals compelled people to lose trustingness in it.\r\nOpportunities:\r\nCathay Pacific Airways is known to be Hong Kong’s leading airlines gives them the opportunity to acquire more customers and generate more taxs. community would brace more confidence on airlines that are recognized by the award fetching bodies because it would make the people yield more confidence on flying with the said airlines. In addition, with Cathay Pacific Airways’ online booking , they give more convenience to their customer giving them the chance to attract more customers specially with people that have no time to go to airlines branches for bookings. The airline has also an opportunity of technology packaging for easier transaction and outgrowths and for more convenience for customers and employees. Moreover, with its recognition, the airline attracts more opportunities of expansion.\r\nThreats:\r\nThreats are always with every organization. airline business industry is the most competitive industry. Cathay Pacific Airways competitors especially the giving medication owned airlines are the bane of the company. Government owned airlines have little liable(predicate) to close down. It is also supported with the national government with their resources giving them more opportunities over a publicly owned airline like the Cathay Pacific Airways. In addition, political ramification also affects the operation of airlines. Moreover, economic recession al so is a holy terror to airlines. With economic recession, people are likely to save up and reduce their travel expenses to cope up with the recession. People expenditure are the most likely change with the recession and thus also affects airlines since people don not mostly travel in times of economic recession.\r\nIn addition, threats in terrorist attack, the rising evoke and labour costs also have caused the company to experience low level of profits for people are hesitant to travel due to these threats.\r\n merged strategy\r\nCathay Pacific is using the produce strategy in the market. Organization wants to expand the outcome of markets served or products. They develop the business through their topical business and new business In their emergence strategies, there are concentration, Vertical integration, horizontal integration, tie in diversification and constancy strategy. Main product of Cathay Pacific is providing the transportation. In the addition, they provide th e entertainment, nutrient and drinking to the passenger in the flight. Nowadays, they give change the bill of the flight and add the new entertainment to meet the passenger needs. For example, they announce the latest promotion to enhance award-winning in-flight wine selection. The introduction of six world class wines is from saint-E’milion Bordeaux, France to the first class wine list. It can attract the passenger to use their product on second of May. In each year, the company should be increase or improve the facility to chance the passenger satisfaction.\r\nIn the integration, there is vertical and horizontal. Cathay Pacific is the powerful organization. In their flight product, they need to provide the food to the passenger. Some of the airline, they should be find the supply to provide the food but Cathay Pacific have the Cathay Pacific ply Services (Hong Kong) limited company to provide the food. It can control the food quality and the supporting entrust be fixe d. On the horizontal integration, they take over the Dragonair on 28 September 2006 Dragonair was the competitor of the Cathay Pacific before the takeover. Within the Cathay Pacific takeover the Dragonair, The two aircraft were restructured, and exchange waypoints. Dragonair should re-position as a regional airline, principally to China and Southeast Asia markets. Moreover, Dragonair have another main function of the company. It is providing the intercontinental routes to Cathay Pacific to interchange network. For the diversification, there is the related and unrelated. Cathay Pacific make waterd the Asia Miles membership.\r\nThe member can through nine-spot type of industry to endure the Miles include the airline, hotel, pay and insurance, meals and banquets, retail, travel and leisure, automotive and transportation, telecommunications and professional services to get Miles. If the members buy the product in the partner company, it can get the Miles. The Miles can exchange the travel, electronic products, meals, design tickets etc. The partner agencies were the China air hose, Australia Airline, Japan Airline etc. The Asia Miles can attract the knob to selection the service of the company. It is the loyalty program to attract the guest to be the loyalty customer.\r\nThe unrelated diversification of them is promotion of the company. they should join the Hong Kong Tourism Board will be held in the Chinese natural yr adjoin on every Chinese new year day one. Also, Cathay Pacific sponsored the TV programmed about the travel and airline industry such as the â€Å"Choi Lam eat on the world” TV travel programmed made from TVB. Also in stability strategy, Cathay Pacific reduced the frequency of flights on the Los Angeles, New York and Toronto routes. Base on stable demand on passenger, Cathay Pacific still wield three flights a week on the Los Angeles, New York and Toronto routes at the same time, to make a list of 20 flights per week.\r\nReason behind the corporate strategy\r\nCathay Pacific is based on customer retention for the company, service is absolutely sarcastic. The company has been voted Airline of the Year in the Skytrax passenger poll twice in the past three years. But the company knows that it cannot survive as a subsidy airline without continually reinventing itself to put forward its status in such a highly competitive industry as the airline industry. Performance of its personnel is the most overcritical in the organization.\r\nCathay Pacific is mainly stress on their primary line of business and increasing the number of products offered or markets circumstances. For instant, purchasing new model aircrafts and adding different routes to different parts of the world. Also it uses the new technology to get help in the operation.\r\nAlso, Cathay Pacific has their own catering services for preparing the foods neutralise in the aircraft. Thus Cathay pacific becomes its own supplier so it can control its inputs. Beside, for safekeeping the market shares in the airline industry. Cathay Pacific has taken over the Dragonair. Cathay Pacific is combine with Dragonair that to increase the competitive strengths and lower competition among industry rivals. To increase the profit and encourage the potential customers, Cathay Pacific set up the Asia Miles membership to propose at attracting the guest to be the loyalty customer.\r\nIn order to gain the attraction from the citizen, Cathay Pacific had joined the Chinese New Year army in every Chinese New Year to keep their exposure to the public. Furthermore, Cathay Pacific keep to serve the same passenger by offering the same product or service that to maintain market share and sustaining the current business operation such as providing the long-haul services with an acceptable price. It will not fall behind in the airline industry.\r\nRecommendations and rationale on its corporate strategy\r\nIn the case of Cathay Pacific Airways, market k nowledge and product development is the best suit their way of doing business. Market development is suitable to their business since they have already penetrated the existing markets. It is great to market their product on new markets. Product development is also suitable to maximize their profits. Product development would also enable them to offer more products and services in which are needed by the existing customer and may also invite potential customers thus increasing their profits.\r\nIn an increasingly competitive environment it is crucial to maintain and develop passenger loyalty by providing high quality products and services, we intimateed increasing some regional services in response to more robust demand in parts of Asia. Cathay Pacific should added frequencies on routes to India, Japan, Malaysia, Singapore, Taiwan, Thailand and Vietnam and introduced a new service to Hyderabad in India. For providing a more comfortable and an red-letter flying experience to the cu stomer, a new premium economy class, a new long-haul economy class seat and a new regional business class seat will be added.\r\nTo maintain the competitive advantages, Cathay Pacific should implement a more convenience global internet service and e Business platforms. The implementation will ensure staff worldwide can take advantage of improved performance and secure, cost-effective access to critical business applications such as reservations, sales information, revenue management and engineering systems. The global Internet resolvent will enable future applications and passenger services to be speedily and simply developed and deployed worldwide, term also reducing telecommunications costs. This new lease of career means that the airline can better correct to the demands of its markets and be responsive to changing business requirements.\r\nCathay Pacific put gumshoe in the first priority †safety is the first and most important clause of Cathay Pacific mission averment and has been a core commitment since the founding of airline more than 65 years ago. In food safety, Cathay Pacific continues to do their utmost to serve meals that meet the highest levels of food safety and hygienics. It works with caterers to create well-balanced meals, minimizing the use of trans-fats, and follow the policy on no monosodium glutamate. The policies on food safety and hygiene are based on recognized standards, such as the World Food Safety Guidelines for Airline Catering. Our caterers must comply with our strict food safety requirements and they are measured and monitored through our robust audited account programme.\r\nIn order to have horizontal integration, we intimate Cathay Pacific can take over the Hong Kong Airline and Hong Kong Express Airways. The target market is mainly focus on the low air ticket price market and offer package tour. Cathay Pacific can expand the market share on low end.\r\nFor diversify the Asia Miles membership, we recommend to co-ope rate with different confidence card issuing banks. Through the credit cards, passenger can easily accumulate their pints to convert to mileage. In return helps to attract more passengers to purchase our services.\r\nTo arouse people attraction, Cathay Pacific not only has the TV advertisement but also to put the resources on other medial to promote the company. As the high cost of fuel, it made difficult to operate in some long-haul services profitably. We suggest Cathay Pacific to use fuel-efficient Boeing 777-300ER aircraft to instead of the less fuel-efficient Boeing 747-400 aircraft operate to on the long-haul services.\r\nReference\r\nWebsite\r\nhttp://www.cathaypacific.com/certified public accountant/en_INTL/homepage\r\nhttp://www.cathaypacific.com/certified public accountant/en_INTL/aboutus/mediacentre/cxworld?CX_LANGUAGE=en&CX_COUNTRY=INTL http://www.cathaypacific.com/cpa/en_INTL/aboutus/investor/annualreports http://en.wikipedia.org/wiki/Cathay_Pacific\r\nhttp://www.uk essays.com/essays/marketing/analysis-of-hong-kong-airline-cathay-pacific-airways-marketing-essay.php http://ivythesis.typepad.com/term_paper_topics/2010/02/swot-analysis-of-cathay-pacific.html http://www.allfreepapers.com/Business/Competitive-Advantage-Airlines/29593.html http://wiki.mbalib.com/zh-tw/%E9%A6%99%E6%B8%AF%E5%9B%BD%E6%B3%B0%E8%88%AA%E7%A9%BA%E5%85%AC%E5%8F%B8 http://en.wikipedia.org/wiki/Hong_Kong_Airlines\r\nhttp://en.wikipedia.org/wiki/Hong_Kong_Express_Airways\r\nhttp://www.cathaypacific.com/cpa/en_INTL/aboutus\r\nhttp://www.cathaypacific.com/cpa/en_HK/aboutus/mediacentre/cxworld?CX_LANGUAGE=en&CX_COUNTRY=HK http://www.cathaypacific.com/cpa/en_INTL/homepage?CX_FCN=CXHOME0_Home\r\n'