Topics: Philippines / Pages: 4 (851 words) / Published: Oct 8th, 2014
I. Executive Summary
Cebu Pacific is the reigning airline company in the
Philippines. It is also one of the cheapest air transport around the world. It offers low fares all year-round which travellers take advantage.
CEB allows everyone to experience many firsts in the industry, innovations such as the e-ticketing and internet booking through Cebu Pacific has two major competitors in the
Philippines namely: Philippine Airlines and Zest
Air. PAL has the greatest market share because it has more destinations than Cebu Pacific, while on the other hand, Zest Air has the lowest among the three because it has fewer destinations among the two.
Based on the CPM, Philippine Airlines is leading in the market as it got the total score of 2.85. Cebu
Pacific’s major advantage is low price offerings, as implemented low fare and still continues to offer promos like Go lite where they offer big discounts on flights internationally and domestically. It got a total score of 2.25.
The .60 difference indicates that there is a close battle for both airline companies.
The internal and external audit performed by the strategists revealed that CEB’s strengths are their maintained low fare, provide new airbuses, partnered with hotels, user friendly website.
Cebu Pacifics weaknesses are long waiting lines, delayed flights, passenger discrimination, and poor customer service quality.
The opportunities are improvement of tourist spots in the Philippines, widening number of internet users, rising number of foreign students, business globalization and booming accidents in sea transportation.
And lastly, their threats are unstable economy, terrorism,Increasing oil-price , rivalry within key destination and EU blacklist.
By the IFE Matrix, the factor Poor Customer
Service was awarded the heaviest weight because
Cebu Pacific is a service company, this should be given a greater prioritization to ensure customer loyalty. By the EFE

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