The Analysis Of SHQ Cargo Airlines Development Stratgy

The analysis draws a general picture of air cargo industry by reviewing the historic development of air cargo industry home and abroad, summarizing the air cargo industry traits and development trends. Opportunity, threat, weakness and strength are singled out finally through analyzing internal and external business environment of SHQ cargo airlines. Given the internal and external business environment, several strategy options are reviewed and analyzed at length.China booming foreign trade, strategic position of Hub-Airport-in-Asia&Pacifica-area, deregulation policy, legal system and improved infrastructure endow SHQ cargo airlines great opportunity while SHQ cargo airlines faces challenges of small scale, rising cost pressure and shortage of customer resource. SHQ should utilize its management model, bylaws and assets to address shortage of talents and capital and adjust fleet combination.In the short run, SHQ cargo airlines should expand its scale and improve production. In the long run, SHQ cargo airlines should increase its exposure on the logistics service chain and evolve into a logistics service provider. SHQ should work with its parents company to set up twin-hub-spoke networks. SHQ cargo airlines should tap into Pudong International Airport strategy position of being-hub-of-Asia Pacific, SHQ cargo airlines should diversify its aviation products by developing its ground handling service.