Case analysis Study Example | Topics and Well Written Essays - 1500 words - 2

Analysis - Case Study Example The customer loyalty gained by this company emanates from the trust bestowed upon its good intentions and commitment to sharing the music experience with the community both locally and beyond. Although sharing a similar financial history, the companys principal competitors include the Detroit Symphony Orchestra, the Chicago Symphony Orchestra both of which have operated at deficits in the past. San Francisco Symphony has a high corporate strategy that appreciates its current position, its future aspirations and aims at defining the means of getting to its destination. Under its business strategy, the symphony can be said to have a good long-term plan on how to achieve its strategic objectives by the year 2018. In terms of its human resources, the company takes pride in the rich experience of its director, president and board members as a reliable, functional strategy for both its planning, development and marketing needs. The symphonys superior music experience in terms of recording and performance make up its strengths (Hall & Taylor, 2014). However, the consistent deficits and periodic poor financial performance is a weakness that must be improved to make the companyâ⠂¬â„¢s future brighter. Considering the customer base, and its good leadership, the Symphony has an open opportunity for growth. However, competition and the unionization of the music industry are major threats. An analysis of the competitiveness of the company, the ethical issues that arise in its operations, its financial status and the overall framework shall be made with the aim of establishing its actual position. The competitive analysis will adopt the Porters Five Forces analysis and the VRIO framework. The unstable financial stability of the company marked by consistent deficits will be deeply analysed. The study will endeavour to make recommendations that can improve the company in both its corporate, business and functional strategies. Through its

Southwest vs. Jetblue Airlines Essay Example | Topics and Well Written Essays - 1000 words

Southwest vs. Jetblue Airlines - Essay Example Southwest Airlines was first incorporated as Air Southwest Company on 15, March 1967. Its mission is to provide air transport to passengers within Texas State. However, Southwest Airline is currently operating in six states. It is serving over seventy cities, which enables the airline to make about three thousand three hundred flights daily. The porter’s five forces of the Airline industry with reference to Southwest Airline The first factor is the new entrant’s factor. Air industry is critical to economic growth and development. It is critical in any economy. Therefore, it is an industry perceived by many as highly lucrative. However, huge amount of capital is required to start air transport business and industry is riddled with high level risks. The industry also experiences complicated licensing, certification and regulations procedures, which makes it hard to penetrate. Furthermore, increasing cost of fuel makes it difficult for many people to venture it. The second factor is threats of substitutes. The substitutes to air transport are road, rail and water. Southwest Airline faces competition from road because most (80%) of its customers are domestic customers. If road transport improves, the airline may lose bulk of its domestic customers. Southwest Airline has been lobbying against the introduction of high speed rail transport services in the State of Texas. This is to prevent competition from substitutive high speed train services. Third factor to consider is the bargaining power of customers. Customers do not have a strong bargaining power in the air industry. As a result, they do not have a collective bargaining power to influence air prices. The fourth factor is the bargaining power of suppliers. Suppliers of aircrafts and spares are influential to prices making it difficult for operators to bargain. This is due to the standards on aircrafts and its spares that FAA imposes on operators. The operators must purchase genuine parts that are mostly expensive. The suppliers of fuel are few; therefore, they largely influence the prices of fuel. Airline operators do not have powers over the fuel suppliers and are left to develop ways of improving fuel efficiency. For example, Southwest Airlines introduced use of high pressure water to clean the engine, an exercise that improves fuel efficiency by 1.9 percent. The company has also managed to contain its employees through strong team coordination, open communication and promotion of work-life balance. Furthermore, the employees are also supported by top management. This has made employees proud of the company. Fifth factor to consider is the level of rivalry within the industry. This is among the real threats that can bring the industry down. Southwest Airline faces direct competition from JetBlue and AirTran Holdings, which are also low cost carriers. To minimize competition and increase its revenue base, the company acquired Muse Air in 1985, Morris Air in 1993, ATA Airlin es in 2008 and Air Tran Airways in 2011. Acquisitions enabled Southwest Airline to absorb key routes in the Pacific Norwest and acquire operating certificate as well as landing slots in LaGuardia Airport. However, the company failed to acquire Frontier Airlines thus lost Denver market. Strategic valuation method The strategic valuation method that is useful in valuing the company is the shareholder Value Analysis. Shareholder value analysis refers to financial analysis, which estimates the