Strategic Marketing Management Group Project

Topics: Cathay Pacific, Airline, Oneworld Pages: 12 (3703 words) Published: October 30, 2011
Strategic Marketing Management Group Project
Topic: Cathy Pacific

Table of contents

Cover PageP.1
Table of ContentsP.2
Executive SummaryP.3
Analysis of Current Marketing SituationP.5-11
Business Portfolio AnalysisP.12-13
Growth Strategies and Positioning StrategiesP.14-17
Conclusion and RecommendationP.18
Appendix and ReferenceP.19

Executive Summary
The purpose of this study is to analyze Cathy Pacific marketing situation and its strategies; performance against its current competitors, in order to help the company to meet the challenges in the near future.

This study will cover Cathy Pacific internal and external environmental factors, PEST and its SWOT analysis and the rooms for improvement. It’s Michael’s Porter’s Five Forces Model by doing the competitor analysis.

We will also conduct business portfolio analysis by using BCG Matrix and assess the effectiveness of the growth strategies and positioning strategies.

After that we will draw a conclusion and recommendation to Cathy Pacific so as to customize the strategies for better revenue performance.

The ultimate goal of this study is to maintain its competitiveness by expanding its flight destination and increasing its brand awareness. A numbers of recommendations will make for Cathy Pacific future development.

Introduction of Cathy Pacific
American Roy C Farrell and Australian Sydney H de Kantzow founded Cathay Pacific Airways in Hong Kong on 24 September, 1946. It is one of the flag carriers in Hong Kong with its head office and main heart located at Hong Kong International Airport. The airline's operations include scheduled passenger and cargo services to 114 destinations in 36 countries worldwide, in expanded their international network in this 64 years. The cargo division play vital role in the company's growth and expansion. Cargo services contribute almost 30 percent of their revenue. Cathy Pacific own 129 aircraft. The airline operates fifth freedom flights from Bangkok and Taipei, its major focus cities. The airline made the world's first non-stop transpolar flight flying over the North Pole in July 1998, and it also operated maiden flight to arrive at the new Hong Kong International Airport. It celebrated 60th anniversary in 2006, on 28 September 2006 it signed an agreement that brought Dragon air into the Cathay Pacific Group as a wholly owned subsidiary. Dragon air operates 29 destinations in the Asia-Pacific region from its Hong Kong base. In 2009, Cathay Pacific and Dragon air operated 56,000 flights, carrying nearly 25 million passengers and over 1.52 million tons of cargo and mail. At the same time Cathay Pacific established a closer relationship with Air China, with each airline taking a 17.5% stake in the other and as of October 2009, its major shareholders are Swire Pacific and Air China. It is reciprocally one of the major shareholders of Air China. Cathay Pacific is a founding member of the one world alliance, with its subsidiary, Dragon air, as an affiliate member. The airline was awarded with a Five Star Airline ranking and 2009 Airline of the Year by Skytrax. Analysis of current marketing situation

1. Political
After 97 Regression the Cathay Pacific management has tended to the localization. In addition the SWIRE group is willing to give the Chinese-funded financial group to increase in Cathay Pacific owns stocks the quantity, central was not unnecessary to maintain two furniture scales in Hong Kong the Airline to come the mutual competition. Nowadays, they merge will be a best method and the opportunity. Henceforth Dragon Air impedes Cathay Pacific political record duty to be possible to draw a close period. The political environment of Hong Kong is stable. 2. Economic

Many customers choose travel usually in peak season like holiday and summer. The demand is very high in this period. This industry demand and profit quite...
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