CEBU PACIFIC

Topics: Philippines, Philippine Airlines, Overseas Filipino Pages: 4 (851 words) Published: October 7, 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
www.cebupacificair.com.
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...
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