The Research On Low Cost Strategies Of Spring Airlines

Spring Airlines Company Limited is a famous private aviation company in China, it is the first one which meaningfully realizes the cost degradation. Chinese economy is steadily developing at a relatively high speed, national income is continuously rising, and they both result in a fiercer competence in domestic aviation market. Spring Airlines successfully developed from a small company to a large one, this is mainly because it seized the opportunities of the era and market and chose the right competition strategy.Combined with the status of China’s civil aviation industry and the realities of the Spring Airlines, using Five-Force model, SWOT analysis tool and so on, the circumstance Spring Airlines is in is analyzed, and the resources and capability of Spring Airlines are investigated. The advantages, disadvantages, chances and challenges are studied by using SWOT analysis methodology. Spring Airlines’ rationality and success of choosing low cost strategy and its expanding situation are obtained.In this dissertation, the competition strategies of Spring Airlines in both new macro- and micro-environment are studied in detail, some practical and meaningful suggestions and solutions are proposed. They may provide some help and guidance for the low cost aviation industry and other private aviation companies.