Research On Competitive Strategy Of Shandong Airlines

Shandong airlines(known as SDA) is categorized as a regional airlines of aviation transportation enterprise in China. Since founded in 1994, SDA keep rapid and steadily development through fund collection, fleet size increase and marketing building. But recently company faced with the seriously difficulty because environment changed due to competition in aviation marketing field aggravated, the fuel increase cost and aeronautic field "open policy" inducted foreign company as new opponent.Based on fundamental research, this paper carry out analysis and evaluation on the outer, inter and industry environment by using the PEST analytic method, five kind of competition strength model and SWOT method. The research indicate that the opportunity provided by environment comprised of social stability, sustained and rapid national and regional economy development, also with the challenge such as three big national-own aviation group changed original competition configuration, new private company and foreign airline worse the condition. As for inter environment, the research show that SDA has the strength as base brand well-known, co-operation with air china group as share holder and good safety management system and regional route building maturely. Furthermore the weakness owned by company is small company size, too big proportion of regional fight course and operational cost too high etc.According to above analysis, the paper followed by competitive strategy selection by analysis model as quantitative strategic planning matrix (QSPM) and determine the diversity strategy as primary strategy with cost-first as supplementation. The paper set strategic objective goal based on reasonable analysis and take action to enlarge shandong regional marketing and fleet size aimed at business and tourist passenger.In order to implement strategy effectively, the following action is detailed: (1) create company culture for support strategy implementation; (2) constitute suitable organization structure ; (3) enlarge current fleet size (4) make band develop strategy to get priority on other opponent; (5) fully co-operation with Air-china group to enlarge sale channel; (6) strengthen internal management to get priority on cost;...