Marketing91

  • HOME
  • Marketing Concepts
    • Marketing
      • Retail Tutorials
      • Market Research
      • Customer Management
    • Strategy
    • Management
    • Advertising
    • Branding
    • Business
    • Finance
    • Sales
    • Career Guidance
  • Digital Concepts
    • Blogging
    • Search Engine Optimization
    • Social Media Marketing
    • Facebook Marketing
    • Internet Marketing
    • Ecommerce
  • Brands
    • Marketing Mix of Brands
    • SWOT analysis of Brands
    • Brands Strategy Analysis
    • Business Models
    • Brand Competitors
    • TOP 10
  • Courses
Home » SWOT » SWOT analysis of British Airways – British airways SWOT

SWOT analysis of British Airways – British airways SWOT

April 30, 2019 By Hitesh Bhasin Tagged With: SWOT

Strengths in the SWOT analysis of British airways

  1. 90+ years of experience in the industry: British Airways (‘BA’ or ‘the Group’) is the UK’s largest international scheduled airline and one of the world’s leading global premium airlines. Their principal place of business is London with significant presence at Heathrow, Gatwick & London City in UK but they also fly to 170 other locations worldwide through subsidiaries.
  1. Parent co. is “IAGC international airlines”: IAGC is the world’s 3rd largest in terms of revenue. Being associated with IAGC, British Airways has emerged as the largest UK based airline in terms of financial size & stability.
  1. Strong Brand: Brand has significant commercial value. British Airways had an account for 23 years withSaatchi & Saatchi, an agency that created many of their most famous advertisements, including the influential “Face” campaign. Since 2007 British Airways has used Bartle Bogle Hegarty as its advertising agency. It has established itself as a brand with high levels of consumer recognition and trust.
  2. Backed by UK Government: In year 1939 the Airline was nationalized to form the British overseas airways corporation (BOAC) which, in year 1972 got combined with BEA under British Airways board.
  3. BA has its own engineering branch to maintain its aircraft fleet: The Company has its ownengineering branch to maintain its aircraft fleet; this includes line maintenance at over 70 airports around the world. As well as hangar facilities at Heathrow and Gatwick airport it has two major maintenance centers at Glasgow and Cardiff Airports
  4. Tech – savvy company – British Airlines has developed an online ordering system and is working to shift completely from paper to e-tickets, as well as to diversify its online operations, in response to the growing importance of the internet in the travel and tourism industry. Strong online presence is desirable for a company in premium services.

SWOT analysis of British Airways

Weaknesses in the SWOT analysis of British airways

  1. Over dependence in UK market: More than 50% of revenues of British Airlines come from UK market which seems to be good but considering the risk in the globalized economy one can’t take risk of having market myopia.
  2. Employee Unions: British Airways has a large unionised workforce. Collective bargaining takes place on a regular basis and a breakdown in the bargaining process may disrupt operations and adversely affect business performance. Their continued effort to manage employment costs increases the risk in this area.
  3. Under-penetration in the globalized market: Although British Airways has presence worldwide through subsidiaries but still they has under-penetrated the Developing markets like India, China etc. having high potential market due to rise in disposable income, changing lifestyle & stable economic conditions.

Opportunities in the SWOT analysis of British airways

  1. Expanding market: With Emergence of developing economies & growing demand of interconnectivity, investment in the travel infrastructure, expansion of the middle class, rising foreign tourism and increasing international business create significant opportunities for major airlines to develop their route. Also with the advent of new consumer groups of travellers & budget travelling segments there will be increase in demand of services of this sector.
  2. Pressure on small players: Due to Government interventions by & large affecting the operations of airline companies many competitors are forced to exit the market due to high cost of competing & struggle of global economy.

Threats in the SWOT analysis of British airways

  1. Competition in the market: Fare discounting by companies has historically had a negative effect on the British Airways results because British Airways is generally required to respond to competitors’ fares to maintain passenger traffic. Some competitors have cost structures that are lower than British Airways targeting budget travelling segment.
  2. Government Regulations: The airline industry is highly regulated. Almost everything they do – from the routes they fly, to the business partners they cooperate with, the airport slots they use, the fares they set, the infrastructure costs they pay, safety, security and the way they manage our environmental impact – governed or influenced by a web of tight regulations. There were a number of important regulatory developments during the year that will have a major impact on the industry in general and on our own long-term strategy.
  3. Infrastructure improvement/alternative transportation: With improvement in infrastructure in developed & developing world there are lots of alternatives modes of transportation like in China & japan Bullet trains, Underground metros possess a serious threat to airlines industry.

Share this post:

Share on Facebook Share on Twitter Share on LinkedIn Share on Email Share on WhatsApp
Digiaide Marketing and Digital Marketing Courses

Related posts:

  1. SWOT analysis of Qatar Airways
  2. SWOT analysis of Singapore Airlines
  3. SWOT analysis of Delta Airlines
  4. SWOT analysis of Malaysia Airlines
  5. SWOT analysis of Alaska Airlines
  6. SWOT Analysis of Jet Airways
  7. SWOT Analysis of American Airlines
  8. Swot analysis of Air France
  9. SWOT analysis of Qantas Airlines
  10. SWOT Analysis of KLM – KLM SWOT Analysis

What Do You Want To Learn About? (Start Here)

  1. Marketing Hub
  2. Management Hub
  3. Marketing Strategy
  4. Advertising Hub
  5. Branding Hub
  6. Market Research
  7. Small Business Marketing
  8. Sales and Selling
  9. Marketing Careers
  10. Customer Management
  11. Top 10 Lists
  1. Internet Marketing
  2. Blogging
  3. Search Engine optimization
  4. E-commerce
  5. Facebook Marketing
  6. Social Media Marketing
  7. Business Model of Brands
  8. Marketing Mix of Brands
  9. Brand Competitors
  10. Strategy of Brands
  11. SWOT of Brands
GET DAILY MARKETING UPDATES

About Hitesh Bhasin

I love writing about the latest in marketing & advertising. I am a serial entrepreneur & I created Marketing91 because I wanted my readers to stay ahead in this hectic business world.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Advertisement
Recent Posts
  • Books of Accounts – Definition, Formats and Types
  • Capital Reserves – Definition, Example and Exceptions
  • Book Value Formula – Definition and Calculation
  • Cash-and-Carry Wholesaler – Definition and Features
  • Cash Accounting – Definition, Example, Pros and Cons
Advertisement

Marketing91

MORE INFO

  • About Marketing91
  • Privacy Policy
  • Cookie Policy
  • Disclaimer
  • Terms of Use
  • Advertise
  • Contact us
  • Sitemap
  • ISO 9001:2015 Certified

LEARNING SERIES

  • What is Communications
  • Types of Communication

WE WRITE ON

  • Marketing
  • Small Business
  • Management
  • Internet Marketing
[email protected]

Copyright © 2022 Marketing91 All Rights Reserved