...INTRODUCTION Qantas is the acronym of the Queensland and Northern Territory Air Services. Qantas is the world's second oldest airline and was founded in the Queensland outback in 1920. It is Australia’s largest domestic and international airline and is recognised as one of the world's leading long distance carriers. It has pioneered services from Australia to North America and Europe. The Qantas Group today employs approximately 32,500 people and offers services across a network spanning 182 destinations in 44 countries (including those covered by codeshare partners) in Australia, Asia and the Pacific, the Americas, Europe, the Middle East and Africa. [16] The Qantas Group’s main business lies in the transportation of passengers via two complementary airline brands – Qantas and Jetstar. The Sub-divisions of the brands are shown in the figure below: In addition to the airline brands, the Qantas Group operates Qantas Frequent Flyer and Qantas Freight. The Group has additional equity interests in airline and airline-related businesses. Qantas is also a partner with Australia Post in two jointly controlled entities: Australian air Express and Star Track Express, a national road freight business. [12] The Qantas Group’s long term vision is ‘to operate the world’s best premium airline, Qantas, and the world’s best low fares carrier, Jetstar.’ [13] To achieve this, the Group is focused on five key elements: * Safety is our first priority * Right aircraft, right...
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...Introduction QANTAS is operating mainly domestically and internationally in air transportation company for various types of travelling, such as leisure and business, cargo and logistics facilities as well as support operations which includes: information technology, catering, ground handling, engineering and maintenance (Qantas Annual Report, 2013). Qantas Group also has dual brand strategy. It operates under Jetstar Airline, as a subsidiary. Jetstar is operating under a low-cost business model and it competes with local market airlines, such as Virgin Australia and Tiger. As for the Qantas airlines, it is positioned as a premium full-service carrier, providing hi-end experience for business class and corporate customers. They all have a major influence on the business, its strategy and therefore its performance. This business strategy gives Qantas Group its quite unique and competitive advantage situation of having two well known companies in the superior and low fares segments at the Domestic and International markets (Qantas Annual Report, 2013). The demographics of Australia is taking optimistic atmosphere within the business with the increase of Generation Y and retiring Baby boomers. Schedules become more significant over service quality in current constantly changing business environment around the world. Also, with the rise of ecological concern, consumers are searching for eco-friendly transport methods. However,...
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...Executive summary 2 1. Analysis of macroeconomic and industry conditions affecting Virgin and Qantas in airline company industry. 2 2. Using Capital Asset Pricing Model to analysis two companies. 3 2.1 Risk-free interest rate 3 2.2 Market expected return 3 2.3 Beta 3 2.4 Expected return for two companies’ stocks using CAPM model 3 3. Comparative Equity Valuation – Qantas versus Virgin 4 4. Key financial ratios 5 4.1 Profitability Analysis 5 4.1.1Return on Asset (ROA) 5 4.2 Market price 5 4.2.1 Price-to-Earnings Ratio 5 4.3 Liquidity Analysis 6 4.3.1Current Ratio 6 4.4Debt and Long-term Solvency 6 4.4.1 Interest Coverage 6 4.4.2Leverage 6 4.5 overall analyses 6 5. An evaluation of firms’ strategic choices with the goal of creating shareholder value 7 6. Recommendation 7 Reference 8 Appendix 9 Executive summary Virgin and Qantas airline are two really important airlines in the aviation sector in Australia that listed on the Australian Securities Exchange. During our report, firstly, we analysis the Global and Australian macroeconomic environment, also including industry conditions affecting Virgin and Qantas in airline company industry. Secondly, a capital asset pricing model analysis is given for two companies’ stocks. Next part is the comparison of the Virgin and Qantas airline by the equity valuation. Then, there are some key financial ratios analysis of this two airline from the profitability analysis，market price，liquidity analysis and debt and long-term...
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...Strategic Management on Qantas Airway Qantas Airway Strategic Management BUSM 3125 Group Assignment 2 Jonathon Reid Sindra Hao Ming Lee – S3301727 Table of Content Executive Summary 3 Background Information 4 SWOT Analysis 5 PESTEL Framework Analysis 6 Porter’s Five Forces Analysis 9 Qantas’ Strategic Capabilities 12 VRIN Model 14 Qantas’ Value Chain 16 Qantas’ Generic Strategies 17 Conclusion 19 Reference List 20 Executive Summary This report is going to provide a fundamental analysis inboth external and internal factors that influence Qantas Airway in competing in the aviation industry. The PESTEL framework is applied to identify how issues in the political, economic, social,technological, environmental and legal environment may affect the industry within which Qantas operates. Moreover, Porter’s five forces model also helps identify the attractiveness of the airline and aviation industry related to five competitive forces: the threat of entry, the threat of substitutes, the power of buyers, the power of suppliers and the intensity of rivalry among competitors in the existing industry (Johnson, Whittington & Scholes 2011). The external analysis is essential to determine Qantas’ opportunities and threats. Whereas the internal analysis includes understanding Qantas’ resources and competences that are likely to provide sustainable competitive advantage, identifying Qantas’ competitive position using VRIN model (value, rarity, inimitability and non-substitutability)...
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...External Environment analysis Summary There have been turbulent times for the Australian airline industry. It has been confronted with the marked decline in international tourism in the aftermath of the September 2001 terrorist attacks in the US and, more recently traffic loss attributable to war in Iraq and severe acute respiratory syndrome (SARS) outbreaks in part of Asia and Canada. And off course, the global financial crises in 2008. While the domestic airline industry is largely deregulated, Australia’s international airline industry remains quite deregulated at the commonwealth level, as it is subject to the detailed capacity controls of airline service agreements (ASAs) that underpin the industry. These agreements control the amount of airline seat capacity which may be deployed on scheduled services over individual country to country routes; they are general of treaty status and are enforceable in international law. In another move to free up the international side of the industry, the Commonwealth adopted a policy of allowing more than one Australian owned international airline to operate scheduled services to and from Australia. However the September 2001 failure of the Ansett Airlines group brought an end to Ansett International's short-lived operations. Although Qantas is once again the only Australian flag carrier, Virgin Blue has signalled its interest in operating in some international markets in Australia's immediate region, such as the trans-Tasman market...
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...• A strategic analysis report relating to Jetstar Airlines o A competitive analysis of the market/s including: A brief description of the history of the company and a history of the main competitors. Include joint venture alliances where applicable. History of the company Jetstar’s mission is to offer all day, every day low fares to enable more people to fly to more places, more often. The Jetstar Group is a value based, low fares network of airlines operating in the leisure and value based markets. The Group consists of: Jetstar Airways in Australia and New Zealand (wholly owned by the Qantas Group). Jetstar Asia based in Singapore. The company is managed by Newstar Holdings, majority owned by Singapore company Westbrook Investments (51 per cent), with the Qantas Group holding the remaining 49 per cent. Jetstar Pacific based in Vietnam (majority owned by Vietnam Airlines with the Qantas Group holding 30 per cent). Jetstar Japan, a partnership between the Qantas Group Japan Airlines, Mitsubishi Corporation and Century Tokyo Leasing Corporation. Jetstar Hong Kong, a partnership between China Eastern Airlines and the Qantas Group (subject to regulatory approval). The Jetstar Group is the largest low cost carrier in the Asia Pacific by revenue and has flown over 100 million passengers since it launched in 2004. In the past financial year ended June 2012, the Jetstar Group carried more than 20 million customers. The Jetstar Group has grown from providing...
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...View of Share Price Performance 7 1.4 Part D – Gain or Loss 9 1.5 Part E – Recommendations 9 2 Key Financial Data and Ratio Analysis 10 2.1 Part A - Key Financial Data 10 2.2 Part B - Ratio Analysis 11 References 13 Verzeichnis der Onlinequellen 14 Abbildungsverzeichnis 15 Tabellenverzeichnis Fehler! Textmarke nicht definiert. Verzeichnis der Formelzeichen und Abkürzungen Fehler! Textmarke nicht definiert. Zeichnungen Fehler! Textmarke nicht definiert. Company Research / Graphs / Investor Information Part A – Comparative Table | Quantas airways ltd | crown resort ltd | Products and Services Provided by the Company | Qantas Airways limited is engaged in the operation of international and domestic air transportation services, the provision of freight services and the operation of frequent flyer loyalty program. The company’s main business is the transportation of customers using two complementary airline brands. Qantas and Jetstar. It also operates subsidiary businesses, including other airlines, and businesses in specialist markets, such as Q Catering. The company operates in four segments: Qantas Domestic, Qantas international, Qantas Loyalty and Qantas Freight. Qantas Domestic includes Australian domestic passenger Flying business of Qantas Brands. Qantas Loyalty Operates the Qantas customer loyalty program. In April 2014, Qantas Airways Ltd announced that Westpac Banking Corporation and its associated companies ceased to be a substantial shareholder of...
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...QANTAS ANNUAL REPORT 2012 Broadening our horizons Qantas Annual Report 006 008 010 012 018 028 037 065 138 153 CHAIRMAN’S REPORT CEO’S REPORT FINANCIAL PERFORMANCE BOARD OF DIRECTORS REVIEW OF OPERATIONS CORPORATE GOVERNANCE STATEMENT DIRECTORS’ REPORT FINANCIAL REPORT SUSTAINABILITY REPORT FINANCIAL CALENDAR AND ADDITIONAL INFORMATION Broadening our horizons 002 QANTAS ANNUAL REPORT 2012 Broadening our horizons Building on unique Australian qualities – and the skills of its 33,600 people – the Qantas Group is broadening its horizons to secure a successful and profitable future. 003 004 QANTAS ANNUAL REPORT 2012 Heading For the Qantas Group, 2011/2012 was a year of transformation. We recorded an Underlying Profit Before Tax* despite significant challenges. We continued to build Qantas’ strong domestic network, Jetstar and Qantas Frequent Flyer. And we launched a five-year plan to turn around Qantas’ international network. FOR THE YEAR ENDED 30 JUNE 2012 *For explanations of non-statutory measures see the Review of Operations. 005 Building a stronger Qantas for our people, our customers, our shareholders and Australia The Qantas Group has a broad portfolio and a clearly defined strategy, with the following core goals: — Build on the Group’s strong domestic businesses through a clear focus on the customer. — Turn around Qantas International through the “four pillars” of targeting global gateways, growing with Asia, improving...
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...Strategic Management Group Project Virgin Atlantic Airways Limited Instructor: Mr. Audun Fiskerud Presented by: Mikael Tving Therkildsen - Jacob Brodersen – Jonas Ravn Nielsen - Gary Chuyu Fang Executive summary This report strategically analyses the Strategy Business Unit (SBU), passenger transfer service, for Virgin Atlantic Airways Limited. The strategic analysis contains investigation of certain key business areas of Virgin Atlantic, such as: defining whom the Virgin Atlantic customer is; understanding of the external environment issues of the airline industry; competitor analysis, and analysis of the Human Resources within the organization. Through the analysis of Virgin Atlantic Airways Limited, some issues for the company were uncovered. Especially two main issues should be considered as potential problems for Virgin Atlantic’s business unit and so action needs to be taken within these areas: 1. Lacking economy of scale (size of the company). 2. Increasing environmental awareness among customers. 1. Virgin Atlantic lacks economy of scale because of the size of the company and limited routes available. To be able to compete effectively and gain greater profits through economy of scale, Virgin Atlantic has to expand by opening new routes. The implementation of this will require strategic financial planning and adjustment of the company structure. It is likely that this process will take several years; however, this change is necessary to increase Virgin...
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...Title: Qantas and Emirates Alliance Strategy Course Name: Strategy Development and Initiatives Course Code: MGMT20112 Course Coordinator: Daniel Abell Lecture Name: Daniel Abell Tutor: Daniel Abell Students: Ruth Calasan s0235265 Tracy Nguyen s222275 Felipe Gutierrez s0234289 Due Date: 19/08/2013 Date Submitted: 26/08/2013 Word Count: 3500 Words Executive Summary Last 06 September 2012, Qantas had entered a 10-year partnership with Emirates that will go beyond the code-sharing and collaboration in terms of coordinated pricing, sales, and scheduling and benefit-sharing model which aims to jointly deploy one or more resource combinations. An in-depth analysis has been done on what are the internal and external factors that influence Qantas to form an alliance with Emirates. These factors are: Deregulation of open skies creating economic environment and open equal opportunities for all air carriers Excessive capacity, fuel cost, foreign currency exposure and threat of new entrants. Changes in customer taste and destinations, power of customers and growth of airlines alliances. Heavy investments in railways and telecommunication tools Consumer protection and passenger rights Growing percentage of global emission Airport slots allocations Similarity of resources and services such as Singapore Airlines and Cathay Pacific Improving services for better price Improving power of negotiation between the alliance and suppliers During the analysis...
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...3 * Strategy 4 * Market Environment Analysis * Carbon Tax 4 * Tourism 5 * Industry Outlook 5 * SWOT Analysis 6 * Financial Analysis * Profitability 9 * Liquidity 16 * Solvency 17 * Comparison With Virgin Australia * Profitability 19 * Liquidity 20 * Solvency 21 * Conclusion and Recommendation 22 Reference 23 Appendix Calculation spreadsheet – Qantas 27 Calculation spreadsheet – Virgin Australia 28 * Executive Summary This report is prepared for the purpose of evaluating a potential equity investment in Qantas Airways Limited. The analysis is mainly conducted from two different approaches, including qualitative analysis by examining the overall market environment and Qantas’ operation strategies as well as quantitative analysis of the company’s financial performance. The financial analysis is mainly focused on its profitability, liquidity and solvency and we also selected one of its major competitor Virgin Australia for comparison purpose. Overall, we have concluded that Qantas may not have a satisfying financial performance currently, however, it has great potential for growth in the future. And therefore, we expressed a ‘buy’ recommendation for Qantas Airways Limited. Company Profile Qantas Airways Limited (QAN) is the largest airline service...
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...1.0 Introduction Since 1920 Qantas Airways has offering air transportation services for the general public. Qantas Airways Limited was founded in Queensland (Qantas Airways). The aim of this report is to analyse and give recommendations for Qantas Airways in order to expand their flights to South Africa. Qantas is not manufacturing any products in South Africa, they only offering transportation services by airplane in order to help people travel to South Africa easier. In order to operate effectively, Qantas needs to have a skilled workforce and an advanced information technology. They need an advanced information technology to keep their data and online system on track, also a skilled workforce because Airline Company need to have employees that understand well about how airline system works. 2.0 Political Environment 2.1 Government stability South Africa corruption ranked was recorded at 64 out of 183 countries and at 4.1 score out of 10. South Africa corruption score was increase since 2008. Corruption watch stated that in 2008 South Africa corruption score is at 4.9 and increasing to 4.7 in 2009, 4.5 in 2010 and until 4.1 in 2010, 10 is the least corrupt and 0 the most (Corruption Watch). 2.2 Government and contribution ACSA has allocated R5.2-billion to an infrastructure expansion programme for the three main airports at Johannesburg, Cape Town and Durban International, as well as at seven smaller airports...
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...EXECUTIVE SUMMARY Qantas is the world’s second oldest airline and it fall into a long-run labour dispute which once stopped the running of the company. The CEO of Qantas, Alan Joyce has taken several actions before and during the dispute. This essay will discuss the reason and the cause of such industrial relations problem. Then, to analysis and judge the industrial action of both Qantas and the labour unions with some of the management concept. In the last, possible solution and recommendation will discuss to show the benefit of management skills. Table of contents INTRODUCTION 1-2 PROBLEM IDENTIFICATION2-3 PROBLEM ANALYSIS AND JUSTIFICATION3-5 ALTERNATIVE SOLUTIONS5-6 CONCLUSION AND RECOMMENDATIONS6-7 INTRODUCTION Qantas is the world's second oldest airline. Founded in the Queensland outback in 1920, it is Australia’s largest domestic and international airline and is recognized as one of the heads of world long distance airline companies, having services from Australia to North America and Europe. Qantas today employs approximately 33,600 people and offers services across a network spanning 182 destinations in 44 countries around the world. On 29 October 2011, Qantas chief executive, Alan Joyce took a big gamble; He claimed to ground all the planes and cancelled all flights in order to get rid of a long-run labour dispute and the conflict with Unions. This bold or perhaps impetuous action caused several negative influences. Over 13000 passengers were stranded...
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...Peiris | | Yield Management Case Analysis and Report /Individual Assignment | | | Executive Summary An airline is a company that provides air transport services for travelling passengers and freight. Air travel remains a large and growing industry. It facilitates economic growth, world trade, international investment and tourism and is therefore central to the globalization taking place in many other industries. Among the airline industries, in this report it’s looked at Qantas Airlines. It voted as Australia’s favorite domestic and international airline at the 2015 Trip Advisor Travelers choice awards. Qantas Airlines established itself as a niche player in the long haul market of business travel. By continuously focusing on the needs of the customers Qantas will provide the best value proposition in the markets it serves. It offers customer a compelling value proposition; a high level of service. Qantas Airline has built a firm reputation for excellence in safety, operational reliability, engineering and maintenance & customer service. Qantas Airline is widely considered as the world’s leading long distance airline and one of the strongest brands in Australia. (http://www.qantas.com.au) Introduction Qantas is the world’s second oldest airline. The name ‘QANTAS’ came from an acronym for its original name “Queensland and Northern Territory Aerial Services”. (https://en.wikipedia.org/wiki/Qantas#Current) The Qantas airline was founded on 16 November...
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...As for the society, which is a really important stakeholder party to be argued, there are several impacts supposed to be rendered. Firstly, for the issue of homosexual marriage, once Qantas shows its positive attitude, not only more concentration of the public would be emphasized on this matter, but also deeper consideration is likely to be taken towards same-sex marriage. Secondly, although indigenous reconciliation issue has lasted over decades, there are still a small number of people being concerned with the situation of aborigines. So, the action of Qantas would help the society being more inclusive and foster the relationship between aborigines and the wider community (Brennan, 2014). Thirdly, Qantas in favor of gender diversity issue...
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