|WestJet: Environmental and Porter Analyses |
|BUSM 4200 | |
Table of Contents
Executive Summary 2
Mission Statement and Vision 4
1. 4
1.0 Political/Legal 4
2.0 Economic 4
3.0 Socio-cultural 5
4.0 Technological 5 5.0 Demographic 5 5.1 Geographical 6 5.2 Income Distribution 6
6.0 Global 7
7.0 Porter’s Five Forces 8 7.1 Bargaining Power of Suppliers 8 7.2 Bargaining Power of Buyers 8 7.3 Threat of Substitute Products 9 7.4 Threat of new entrants 9 7.5 Intensity of Rivalry among Competitors 9
8.0 Core Competencies 10
9.0 Porter’s Value Chain 11
9.1 Primary Activities 11
9.2 Supporting Activities 12
Executive Summary
This report identifies and analyzes key information and issues about 'WestJet Airlines Ltd.' for business purposes. It examines the company's general and industry environments, its core competencies, and its value creation activities. Most importantly, the increase in demand for lower-priced air carriers coupled with its decentralized infrastructure and strong integrated strategy, has helped make WestJet the second largest Canadian airline by market share and one of the most efficient airlines in North America. As such, WestJet is in a strong position in facing the treat of major crises, like a global recession.
The general environment presents major threats and opportunities for the airline industry. The Canadian Government’s privatization of airports has increased landing costs and