Study Of Strategy For Xiamen Airlines Cargo Business

Xiamen Airlines is China's first local civil aviation organized as a business enterprise. After 21 years of development, Xiamen Airlines is now a medium-sized corporation, operating a fleet of 34 Boeing aircrafts as of August 2005. In addition to that, it has maintained an outstanding profit margin for 18 consecutive years. Several events have in one way or another pushed the air cargo industry into a more open and competitive market environment. These events includes China's entry to the World Trade Organization (WTO), the establishment of 3 domestic group airlines, the signing of the Sino-American Agreement on the Extension of the Aviation Service and the Arrangement for air services between the HKSAR and other parts of the People's Republic of China, the opening of China civil aviation right and the civil aviation investment, as well as the establishment of other cargo airlines and the rapid development of the logistics. Under this competitive circumstance, and based on the analysis of the internal and external environment of the Xiamen Airlines cargo business, as well as its resources and conditions, I tried to put forward and formulate a strategy for the Xiamen Airlines cargo business. This thesis consists of the following 5 chapters:Chapter 1 is a brief introduction of the development history and the production and running of Xiamen Airlines, and the development course of Xiamen Airlines cargo business.Chapter 2 provides a detail analysis of the external environment of Xiamen Airlines cargo business development with the PEST and PORTER model.Chapter 3 analyses the internal environment of Xiamen Airlines cargo business development, based on the investigation of the Xiamen Airlines internal resources and the SWOT analysis of Xiamen Airlines cargo business. In this chapter, the importance of a rapid development of Xiamen Airlines cargo business is also being raised.