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A Study on Internationalization Strategy Transition of Passenger Service of China Southern Airlines Company

Author: ChenQiaoSha
Tutor: WangBo
School: Tianjin University
Course: Business Administration
Keywords: force model SWOT model international network strategy transition core competitive
CLC: F562
Type: Master's thesis
Year: 2011
Downloads: 92
Quote: 0
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Abstract


Along with the integration of world economy and regional development, aviation industry is in process of globalization and federalization, which furthermore, brings scale network expansion. However, foreign airlines company begins to join the competition as the Chinese market is open to the outside, which makes the world aviation more competitive. China southern airlines company(CZ), as one of the civil largest aviation enterprise, how to adapt to external environment with fully integrated internal resources, and how to deliver its international transition going with the new complicated situation, is main problem facing the aviation enterprise in china, which possess a big significance on china aviation industry.This paper ,firstly, starting with forces model ,that is, analyze of high cost factor、speedy substitution development such as high-speed rail、passenger bargain power evolution and setup of competition worldwide, has proclaimed the fierce state of aviation industry development, moreover made a proof of necessity and urgency in CZ’s internationalization strategy transition. Secondly, this paper raises the space and direction of strategy transition along with objective evaluation of enterprise survival’s opportunity and threat by application of SWOT. Then, after investigation research and data analyze, it abstracts the core competitiveness of CZ by means of knowing well about its position and orientation as well as internal and main rivals’strengths and weakness, which eventually delivers CZ’s strategy transition goal. Based on the above analyze, this paper strategically provides the frame structure of CZ’s hub-and-spoke scaled network, and draws up effective marketing through innovative marketing theory. Finally, this paper comes to a conclusion via comprehensively reviewing the analytical research to the CZ’s strategy transition.As one of the analyze models in this paper, SWOT research is unavoidablely going with some default such as inaccuracy, whereas SWOT model is not the only one method used. Here comes the first breakthrough: Combined with forces model, this paper has made a comparison of developing strategy of airlines company home and aboard, which ultimately puts forward the construction of CZ’s strategy transition; secondly, along with the idea of hub construction, this paper has increased the risk research to international hub; thirdly, during the stage of strategy implementation, this paper has presented innovation marketing theory ,using relationship marketing、VIP marketing、service marketing, instead of 4P’s and 4C’s model used before, in order to promote CZ’s international marketing capability. However, this paper still hasn’t made a empirical research to CZ’s internationalization strategy transition and suggested marketing due to the lack of business data and insufficient investigation for both Chinese and foreign aviation industry.

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CLC: > Economic > Transportation and economic > Air transport and economic > China 's air transport
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