| Under the trend of globalization,the aviation industry has fierce internal competition and bad external conditions.Facing the high speed rail network construction and COVID-19’s influence,airlines have exposed the problems of poor profitability and high cost.Among them,NF airline is a typical example.Therefore,in the face of the fierce aviation competition at home and abroad and the gradual compression of the aviation market caused by the expansion of transportation channels such as high-speed rail,it is of great significance for the sustainable development of NF airlines to use the cost leadership strategy,carry out cost management,control operating costs,create cost advantages and promote the increase of revenue.In order to determine the effective strategy for the sustainable development and increase market competitiveness of NF airlines,this paper takes NF airlines as the main research object,analyzes the development status of NF airlines,studies its profitability by using Du Pont analysis method,and analyzes the development environment for NF airlines to implement cost leadership strategy by combining Porter’s five forces model and SWOT analysis method,It is found that the cost leadership strategy is indeed highly applicable to the development status of NF airlines.Therefore,the study further analyzes the implementation of NF’s current cost leadership strategy,and finds that it has taken certain cost leadership measures in terms of aircraft related variable costs and airport related variable costs,and achieved corresponding results.However,NF Airlines did not fully cope with the increasing cost,did not have much stability in the face of the fluctuation of international oil price,lacked planning and control over the overall cost structure,and the operating cost remained high.This shows that the implementation of NF airlines’ cost strategy is not in place.Therefore,according to the problems existing in NF airlines in Chapter 4 and the implementation direction of cost leadership strategy of NF airlines in Chapter 3,this study puts forward the following suggestions in part 6: first,NF airlines should form a cost budget mechanism in combination with cost-benefit theory;second,establish the cost decision-making platform combined with the experience curve theory;third,Implement the cost leadership strategy and carry out comprehensive cost control. |
