SINGAPORE AIRLINES FINAL
STRATEGIC MANAGEMENT
PROF. FRANCESCO CASTELLANETA
CAROLINA PIRES
CATARINA PIRES
FÁBIO VIEGAS
FRANCISCA SILVA
MANUEL COSTA
MIGUEL SIMÕES
1ST TRIMESTER
2014/2015
Carolina Pires | 152114133
Catarina Pires |152114067
Fábio Viegas |152114135
Francisca Silva |152114156
Manuel Costa | 152114141
Miguel Simões | 152114028
CONTENTS
005
022
INTRODUCTION
VALUE CHAIN ANALYSIS
024
007
EXECUTIVE
SUMMARY
009
INDUSTRY
ANALYSIS
009
PEST ANALYSIS
011
PORTER’S FIVE
FORCES FRAMEWORK
013
SEGMENTATION
018
SWOT ANALYSIS
019
CORPORATE
STRATEGY
024
COMPANY’S SCOPE
NATURE AND
SOURCES OF
COMPETITIVE
ADVANTAGE
019
DUAL STRATEGY
015
020
COMPETITOR
ANALYSIS
SUSTAINING
COMPETITIVE
ADVANTAGE
025
DIVERSIFICATION
026
PROS AND CONS
027
PORTFOLIO PLANNING
031
GLOBAL
STRATEGIES
031
PATTERNS OF
INTERNATIONALIZATION
031
INTERNATIONAL
LOCATION OF
PRODUCTION
032
COMPETITIVE
ADVANTAGE IN AN
INTERNATIONAL
CONTEXT
033
MULTINATIONAL
STRATEGIES
035
CONCLUSION
037
REFERENCE LIST
Introduction
“Singapore Airlines is a global company dedicated to providing air transportation services of the highest quality and to maximizing returns for the benefit of its shareholders and employees.” Singapore Airlines’ Mission Statement
The company has come a long way since its foundation in 1972 (Singapore Airlines
[SIA], 2014a). It grew from a regional airline to one of the most recognized carriers in the world. In 2006, with its icon, Singapore Girl, and its premium class offer, Singapore Airlines
(SIA) became the airline with the highest stock market value in the world.
The 2008 financial crisis compromised that position. To overcome the decrease in its performance, SIA expanded its network and presence around the world taking into account the new economic and financial situation. In 2009, after a full-year loss (Grant and Jordan,
2012), SIA reacted immediately with some layoffs, less working hours and changes in routes. Moreover, in 2012, the company set up a discount operator, called Scoot,
PROF. FRANCESCO CASTELLANETA
CAROLINA PIRES
CATARINA PIRES
FÁBIO VIEGAS
FRANCISCA SILVA
MANUEL COSTA
MIGUEL SIMÕES
1ST TRIMESTER
2014/2015
Carolina Pires | 152114133
Catarina Pires |152114067
Fábio Viegas |152114135
Francisca Silva |152114156
Manuel Costa | 152114141
Miguel Simões | 152114028
CONTENTS
005
022
INTRODUCTION
VALUE CHAIN ANALYSIS
024
007
EXECUTIVE
SUMMARY
009
INDUSTRY
ANALYSIS
009
PEST ANALYSIS
011
PORTER’S FIVE
FORCES FRAMEWORK
013
SEGMENTATION
018
SWOT ANALYSIS
019
CORPORATE
STRATEGY
024
COMPANY’S SCOPE
NATURE AND
SOURCES OF
COMPETITIVE
ADVANTAGE
019
DUAL STRATEGY
015
020
COMPETITOR
ANALYSIS
SUSTAINING
COMPETITIVE
ADVANTAGE
025
DIVERSIFICATION
026
PROS AND CONS
027
PORTFOLIO PLANNING
031
GLOBAL
STRATEGIES
031
PATTERNS OF
INTERNATIONALIZATION
031
INTERNATIONAL
LOCATION OF
PRODUCTION
032
COMPETITIVE
ADVANTAGE IN AN
INTERNATIONAL
CONTEXT
033
MULTINATIONAL
STRATEGIES
035
CONCLUSION
037
REFERENCE LIST
Introduction
“Singapore Airlines is a global company dedicated to providing air transportation services of the highest quality and to maximizing returns for the benefit of its shareholders and employees.” Singapore Airlines’ Mission Statement
The company has come a long way since its foundation in 1972 (Singapore Airlines
[SIA], 2014a). It grew from a regional airline to one of the most recognized carriers in the world. In 2006, with its icon, Singapore Girl, and its premium class offer, Singapore Airlines
(SIA) became the airline with the highest stock market value in the world.
The 2008 financial crisis compromised that position. To overcome the decrease in its performance, SIA expanded its network and presence around the world taking into account the new economic and financial situation. In 2009, after a full-year loss (Grant and Jordan,
2012), SIA reacted immediately with some layoffs, less working hours and changes in routes. Moreover, in 2012, the company set up a discount operator, called Scoot,
Bibliography: Grant, R. M., & Jordan, J. (2012). Foundations of strategy. United Kingdom: John Wiley & Sons Ltd. Hacker, D., & Sommers, N. (Ed). (2013). A pocket style manual: APA version (6th ed.). Boston/New York: Bedford/St. Martin’s. 43