BRITISH AIRWAYS

Managing Organisations

Contents

Introduction3

Five Forces of Porter4

Objectives of the Study4

Introduction to Airline Industry4

Evaluation of the Five Forces Model of Michael Porter5

Implementation of Porter Five Forces9

Conclusion10

References12

Managing Organisations

Introduction

British Airways is one of the world most recognized and luxurious airlines of the world. It has its unique position in the field of aviation and a bright history of more than 20 years. It is not only the largest but it is also the national airline of UK. The British Airways is also the fifth largest in Europe. The main base of the airline on the London airports is Heathrow and Gatwick. British Airways has the permission of the Civil Aviation Companies to fly, and the time they were allowed take passangers, the airliners are designed in such a way that it provides the customers a comfort full journey.

The specialized routes of this airline Giant gave him a competitive edge. The caring staff and experienced flight engineers along with the winning strategies British Airways crowned with the selection of royals as well as A- class passengers. Internationally the Airline is competing in many ways from Fair price to comfort level the Airliners in not only satisfying their customers but delighting them. Moreover the management has its own culture of managing the whole organizations. There are more than thousands of employees working under the flag of British Airways in order make theAirline grow, the airliner is maintaining all the safety and comfort tests. The company has around 130 plus seats available to carry passengers almost anywhere in the world. Companies working in this industry have average revenue of one billion dollars or more annually.

In order to understand the market position and airline status the paper highlights it through Porter Five forces.

Five Forces of Porter

The five forces of porter are as follows:

Bargaining power of customer

New Entrants Threats

Threat of substitute products

Competitive Rivalry within an industry

Bargaining power of suppliers

The distinctive forces of Porter applies to determine the market position of any company was a whole. The forces undermine not only the new competetors entering in the industry as well as it also highlights the industry potential. for Example Strength High or Low.

Objectives of the Study

Evaluation & Implementation of Porter Five Forces in British Airways

Determine the market position of British Airways by Porter Five Forces.

Introduction to Airline Industry

The Industry didn't have that kind of Potential Now which It has back In 1990's.Airline industry is described as a strongly competitive market. The air travel has always been a large and growing industry. It facilitates international investments, tourism, world trade and economic growth. It is, therefore, centre to the globalization that is taking place in numerous other countries. (Helpman, 2005, 112-136)

In previous years, there has been a shakedown throughout the industry, having wider effects on the trends of international and domestic services expansion. Initially, the industry was partially or completely owned by the government.

European Airline Industry- Market Structure:

One of the most prominent trends of the airline industry during the past few years comprises of the rapid ...