This website uses cookies to ensure you have the best experience. Learn more

Business Analysis For Lan Chile Airline.

1298 words - 5 pages

1. Introduction:LAN Chile was the most successful Latin American airline of the late 1990's. Despite upheaval in the industry and failures of several other airlines in the region, LAN Chile had a record of success and international expansion that were the envy of the industry.The least aviation news report has shown that the success of Chile's flagship airline LanChile, which tripled third-quarter profits from a year ago, is due to a deregulated air traffic market, efficiency and concentration on international flights.This report aims to fulfill the following objectives:1. Evaluate the success of LAN's strategy so far. Strong points / Risks?2. Give opinion on the last section of the case 'Challenges to Lan':a. How can they grow further under the constraints given?b. Is the relationship with American Airlines a good thing for LanChile? Going forward or not? Why & what are possible alternatives?2. Question1. Considering Evaluate the success of LAN's strategy so far. Strong points / Risks?The leaders of LAN Chile have set up a serial strategy for company's panoramic future plan. These goals are being pursued actively since the mid-1990s, with significant success in building the cargo leadership with a hub in Miami and in linking with American Airlines and the One World Alliance. However, LanChile's management is a key to its success. With slack demand in the domestic market, the company's strategy has focused on international flights that account for 85 percent of revenue.Let's carry out an analysis using the Strong points and risks framework helps us to focus on what are the strong points and risks for LanChile' strategy:2.1. Strong points:a).Mission:Management of LAN Chile's has set up a very clear mission.b).Ownership:Ownership was simplification. LAN Chile had completed privatization in 1994 before the strategy was established.c). Strong Brand awareness:In 1998, Travel & Leisure Magazine rated LanChile as the "Best Passenger Airline between North America and Latin America," based on cabin comfort, on-board service, on-time flight record, food, and attention to the public. In January 1999, Latin Finance Magazine rated LanChile as the best airline serving Chile and the second-best serving Latin America. Later in 1999, Latin Finance carried out a reader survey that found LanChile ranked consistently among the best carriers in every Latin America country where it had routes.d). Strong corporate culture:Almost all of LanChile's senior management team during the post-1994 period came from FastAir, so the emphasis on the aviation business fit naturally into their prioritiesCommitment to customer service - As mentioned above the mission statement LAN Chile provides a safe consistent service.2.2. Risks:a). The risk of entry by potential competitorsWe know that potential competitors are companies that are not in the market and may enter the Latin American market which may have a big impact in the market. On the other hand, companies which are...

Find Another Essay On Business Analysis for LAN Chile Airline.

Analysis for MHM Business Strategies using Management Tools

1651 words - 7 pages Analysis for MHM business Strategies using Management Tools By Ahmed Al-Muftah Date:1/8/2013 TABLE OF CONTENTS 1.0 Introduction Companies use market entry strategies to expand their business in new markets. This research paper aims at analyzing the market entry strategies. External environment and internal environment analysis plays a key role in developing a market entry strategy. Mergers and acquisitions, establishing a wholly

Political, Economic, Social, Technological, Legal and Environmental Influence Analysis for Expanding Business

1113 words - 4 pages Explain why an understanding of the environmental/external (PESTLE) factors is Important for all organizations To run a successful business, it is very important to run a background check on the external environment of that particular industry. PESTLE analysis is widely used to investigate the Political, Economic, Social, Technological, Legal and Environmental influences under expanding businesses. It helps in decision-makings and also to

Economics For Business: Article Analysis Paper

813 words - 3 pages inflation.This tactic would be reversed if the economy was growing to slowly or was in recession. The Federal Reserve would then lower short-term rates thus increasing the availability of money. There are complex formulas which seem to solidify these monetary policies but not everyone agrees that they are effective.From my own experiences I remember being unemployed during the collapse of the dot-com bubble. I remember praying for my family that

Business environment analysis for a tomato company

2367 words - 9 pages Plan of approach and profile outlineThe report approaches to the business by expressing the basic profile and the structure of the business. It will try to clarity the whole business environment of the business and its target group. In order to make it more clearly, firstly the profile of the business will be discussed.Profile:1.The company:The official name for the company is "tasty Tom" which is a combination of four greenhouses that produce

the identification and analysis of information system in the business enterprise at each management level, the suitability of information system for the chosen firm, the security of the information...

3968 words - 16 pages REPORT INTRODUCTION: In this modern time, it is impossible to run a business without any information system. Whether the business is small or large, information system is very much needed for the survival of the business. This report will deal with the identification and analysis of information system in the business enterprise at each management level, the suitability of information system for the chosen firm, the security of the

Business Analysis: Dyson and Its Strategy for Marketing

1496 words - 6 pages organization which in results to gain more and more development for both firm and employees across the boundaries. Dyson whose priority is towards commitment to consumer styles formed a group of businessmen gradually known as CNB (create new business) whose main responsibility is to discover long term technological styles and vision of new and unique products which always make the customers addicted to their products. Dyson has gathered the berries

This is a five forces analysis for the "Cola Wars" Harvard Business School case

746 words - 3 pages Untitled 5) The Cola Wars have been raging for many years, mainly between Pepsi and Coca-Cola. There have been, and are, minor players in the game, who are able to exist, but none of these have a share of the carbonated soft drink (CSD) market that comes close to equaling Pepsi or Coke. To evaluate the CSD industry, I will use Porter's Five Forces Model. First, one must look at the center of the model, which talks about the

Pierre S. Dupont This essay was assigned for analysis of the life and contributions of influential leaders to business and leadership thought

539 words - 2 pages 100th anniversary, it was about to go out of business and had no successor for president. Several DuPonts wanted to sell the company off, but Alfred, the youngest son would not hear of it. He joined with two of his cousins, Coleman and Pierre and bought the company in one of the first modern large scale leveraged buyouts for $12 million.The company was poorly run at the time, but the three partners managed to keep the company in business. Pierre

Urban Geography: Chile

1996 words - 8 pages ,") Note that these “all-weather roads” in the rural areas can easily be destroyed or washed away during a natural disaster such as a flood. Air transportation is also available for the hard to reach locations in Chile and also for current day industrial exports and imports. “The main airline for current day tourism is the Línea Aérea Nacional de Chile which services both north and south ends of the country.” (“Travel & Geography: Chile

The Impact of Globalization on Qantas Airlines Marketing Strategy

1769 words - 7 pages in 1947 by the Australian Federal Government. Globalisation is the process where a business will expand and operate over international boundaries. In doing this, wider communication with the world can be established, the potential to explore new markets can occur and employment opportunities can be created for residents of the countries in which International businesses are situated. Qantas has entered the global airline market successfully

Strategic Analysis of EasyJet

8135 words - 33 pages they gave room for "Budget Airline Business". REPORT ABOUT EASYJET Seite 11/53 C:\Users\rf\Documents\A R C H I V 311013\F I R M E N R E I N H A R D 301109\MBA FILES 160108\B820_Strategy\TMA\TMA01\TMA01_B820rf.doc Druck: 20.11.13, 22:42 B. Analysis of EasyJet Strategy B.1 Strategic Environment for Easyjet B.1.1 Easyjet Mission Statement To provide our customers with safe, good value, point-to-point air services. To effect and to offer a consistent

Similar Essays

Analysis For Airline Industry

7701 words - 31 pages operational efficiency across the range of airline business processes, including process reservations and bookings, customer services, corporate image, travel experience and supply chain management.2. Airline Industry in Asia Pacific RegionFaced with rising aviation fuel prices, increasing competition and airline globalization, new openings into Asian countries and additional flying routes being launched, it has been an intensive competition for

Business Plan For New Airline Essay

1795 words - 7 pages Business Plan for New Airline HausAir Mission Statement HausAir fixed base operation will provide the highest quality of flight instruction and comfortable charter services to the public; without compromising an ounce of safety, at a price lower than the competition. Human Resources/ Management Functions Breakdown of initial staff to begin at HausAir. (1) Manager/Owner Jason Bushouse (1) Assistant Manager Jeff Doyle (5

Analysis And Recommendations For The Airline Industry

3119 words - 12 pages invention of the internet has allowed for a convenient and easy way for the consumers to compare prices and choose based on the cheapest. (w303)The main components of demand for airline services are business travelers, tourism, freight transport, and mail transport.( ). With the development of new technology and electronic commerce, travel has emerged as the top selling product online and is increasingly growing. (

Economics Vs Accounting Analysis For Business

960 words - 4 pages consider. It is one of the important factors to look at when making a business decision even beyond everyday operations but in expansions, new market analysis and every aspect of deciding on your business steps and directions for successful and truly profitable growth and sucess. Works Cited (1) Celine. "Difference between Fixed and Variable Costs | Difference Between | Difference between Fixed vs Variable Costs." Difference between Fixed and