Management Challenges Of Singapore Airlines

1363 Words 6 Pages
Business And Management Challenges
Report by Kim Donggue
1. Profile of Singapore Airlines Singapore Airlines, or SIA, is the national airliner of Singapore which established on the year of 1972. With its home being located at Changi International Airport, according to their website, it currently has direct flight services to more than 60 destinations, 30 different countries worldwide. Singapore Airlines has Scoot, Tigerair and SilkAir as their subsidiaries. Current C.E.O. of Singapore Airlines is Mr. Goh Choon Phong, this Airline aims to become high-standard service operator by stating in their Mission Statement, which is “A global company dedicated to providing air transportation services of the highest quality and to maximizing returns
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Manufacturers:
3-3. Competitors: Steeper competition plays important role in airline industry. Today, many airlines compete each other to attract more customers to use their services over a limited demand for certain routes. SIA is no exception of this. Singapore Airlines has to compete with other airliners that operates in Changi Airport with similar service, like Thai Airways or Cathay Pacific. Not only the Singapore Airlines deals with high-standard airliners, Singapore Airlines also competes with numbers low cost carriers (LCC) which operates to and from Singapore.
3-4. Customers: As the Airline industry grows up, more and more passengers of airlines will seek for greater service and expect more from the industry. Nowadays customers eventually expect more convenience while taking long haul services, simultaneous upgrades of services on air travel is a must. Especially for Singapore Airlines, since they aim to keep up the premium quality offer to their customers,
4. Competitive Advantage of Singapore Airlines
The main competitive advantage of Singapore Airlines could be relatively young and well-maintained aircrafts. Singapore Airlines considers passengers’ safety as one of important factor in their management, according to their sustainability report, average age of their fleet is 7 years and 1 months as of March 31,
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Threats and Opportunities:
One of possible threat of Singapore Airlines could be the rise of premium service airliners especially the ones in the Middle East. Especially for example, Emirates, which is based in Dubai, has been expanding their network to all around the World and has been offering premium services to customers. This may bring the shift or spread of the flow of high-standard customers.
The other threat that Singapore Airlines could face is the stiff competition of price of services offered in the market.
On the other hand, Singapore Airlines also has the opportunity to take as well. In the 21st Century, the air travel has become more convenient than any other times in the past. As the air travel business continues to grow, there would be increasing amount of demand, thus expect a further expansion of air routes around the world.
Singapore Airlines has been proactive, at the same time, they were also reactive on handling their threats and opportunities. When they faced the rise of competitors as an issue, they have started to introduce new features to survive in the market, which includes the introduction of premium economy class,
5-2. Strengths and

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