Strategic Report on Delta Airlines

Strategic Report on Delta AirlinesIntroductionThe airline of our mathematical group research is Delta Airlines which is one of the most famous international airlines in the world. And this phrase is going to discuss the comparison and contrast with another famous airline, capital of capital of capital of capital of capital of capital of Singapore Airlines. Besides, it will as well as evaluate how they will get today bloodline crustal plate through analysis their maturation strategy.Comparison and Contrast check to the web page of Delta Newsroom, Delta Airlines was a dusting emoluments organization, which spotd Huff Daland Dusters, in U.S. in 1924. oneness of the Delta partners, C. E. Woolman bought it in 1928 and changed it to submit the air mail services and its relieve oneself Delta Air Services. Moreover, after Woolman took over the comp whatever, it started to services the passenger in 1929 which clean serviced 5 passengers with only one route from Dellas, Texas to Ja ckson, Mississippi (Delta Newsroom). In 1945, Delta was officiall(a)y changed its name to be Delta Airlines (Delta Newsroom). Its services hub had become from 1 to some 11 and flying over 119 countries with 606 destinations in nowadays. Moreover, its annual passenger is around165 million with around 5400 daily flights (Delta Newsroom). Besides, its bring in bread is around US$10.54 billion in 2013 (Karp 2014). Delta Airlines has become to be today subscriber line scale which was principally calculate on its beatth strategy of fusions and achievement in pass some decades (Ireland, Hoskisson Hitt 2008).Comparing with Singapore Airlines, it to a fault is one of the famous Airlines in the world. jibe to the web page Singapore Airlines, It was free-base in 1947 that cooperated with Malaysia Airlines firstly. Its original name was Malaysia-Singapore Airline. However, in 1972 Singapore Airlines suspended to cooperate with Malaysia Airlines and established its hub in Singapore . When it started the melodic line it already has around 18 destinations with 20 airports that including the international flights of Europe, the Middle eastmost and Australia and so onand around 6200 staff which already have the related industry fix (Chua n.d.). Until 2014, Singapore Airlines expand to be over 30 destinations with more than 60 airports (Singapore Airlines website). And in 2013-2014 fiscal year, Singapore Airlines got US$ 288 million net lucre (Torr, 2014). That is far different from Delta Airlines when Singapore Airlines officially started its pedigree as the business of Singapore Airlines has already tending to be mature. However the business scale of Singapore Airlines is less than Delta Airlines nowadays.On the other hand, the first passenger service flight of Delta Airlines is the domestic flight from Texas to Mississippi. And the Singapore Airlines doesnt have any domestic flight, it just operate international flight. Moreover, Singapore Airlines has Sin gapore presidential term support. Such as the Singapore government signed a chance of agreement with other countries to support the developing of Singapore Airlines (Chua n.d.). Besides, the Singapore government owned company, Temasak Holding (Pte) Ltd, is one of the shareholders of Singapore Airlines which holds around 56.15% stake of Singapore Airlines (Singapore Airlines website). Meanwhile, Singapore Airlines is mainly utilizing an organic yield strategy to develop its business (Roll 2005). All of these are as well as different from Delta Airlines.Although Delta Airlines and Singapore Airlines have a atomic reactor of difference of starting the business and its growth strategy, they as well give the alliance strategy, Delta Airline is gear Team and Singapore Airlines is Star Alliance, to hit the roof its business network (Sky Team website and Star Alliance website). Moreover, Singapore Airlines has mergers and l solveedness with 49% stake of Virgin Atlantic such as De lta Airlines, nevertheless it sold the 49% stake to Delta Airlines in 2012 (Singapore Airlines website).Besides, they also seem to pose a similar macro environment. According to our research portfolio in Chapter 2, PESTEL and door guards quintette Forces analysis that squirt refer to appendix 2 and 3 for simply analysis, they need to be threat by high level of bargaining power of suppliers such as fuel and aircraft suppliers and rivalry competitive in the industry with other airlines. Moreover, they also need to side the impact of deregulation that causes the price war with other competitors.Evaluation of growth strategyAccording to the above discussion, it related that Delta Airlines is utilizing the strategy of mergers and acquisition to grow its business to become today position. And its first Mergers and Acquisition was starting from 1953, Delta bought simoleons and Southern Air lines and its first international flight in Caribbean and capital of Venezuela region had bee n developed. Then in the later few decades, Delta had another merger and acquisition actions. Through the merger and acquisition strategy, Delta Airlines earned a lot of equity, routes and facilities from those airlines. Therefore, the company scale had been become even bigger and its merger and acquisition time liner such as below table sidestep 1Besides, Delta Airline also use the differentiation strategy to mould it different from its competitors to grow its business such as it is first to enforce radio frequency identification (RFID) Tag to check the baggage mending through internet. That can help Delta Airlines to save the cost around US$100 million a year to avoid losing the baggage (Rosencrance 2014). Besides, it develops Skymile to the guests to earn the mile for rewarding the informal travel to attract more passengers (Delta Airlines website). Moreover, it also utilizes the technology such as twitter and facebook to interact with the passenger, thus it also got an awar d of Top Tech-Friendly U.S. Airline in 2012 (Delta Newsroom).Meanwhile Delta Airlines establish Delta TechOps to defy its own occur and to provide maintenances services to other company (Delta TechOps website). And it has cut down the threat by supplier and cut its operation cost as well. All of these strategies led Delta Airlines to reach today business scale.And Singapore Airlines, it is mainly based on the organic growth strategy to develop its business. Singapore Airlines develop a lot of different new routes as the Singapore government signed the agreement with the government of New Zealand, Indonesia and Japan etc. before (Chua n.d.).Besides, the Singapore Airlines utilizes the differentiation strategy as well to adjoin its business scale such as it is first to provide free choice of meal and free drink in an economy branch in 1970s (Singapore Airlines website). Singapore Airlines seems to be become an industry dominator to provide a lot of services to its passenger for a ttracting more passengers. It desires to build up a good branding of Singapore Airlines as well. Therefore, it also creates its branding through well training its staff such as providing quatern month training to its carbine crews that is longer than regular two months training of western sandwich airlines (Marquardt 2012). It creates a good image of its carbine crew which name Singapore girls that gibe always elegant images as an ambassador of Singapore Airlines to attract the customer (Singapore Airlines website). Therefore, it also got one of the Worlds Top Airlines award in 2014 (World Airlines Awards website).On the other hand, Singapore Airlines use the modern and new fleet of aircraft (Chua n.d.). The new and modern aircraft of Singapore Airlines build a good location to the customer for enhancing its profits sales. Besides, the new aircraft seems to reduce the maintenance time that can also decline the maintenance cost as well. Singapore Airlines is utilizing all of thes e strategies to develop its business to reach today position.ConclusionIn fill up that, a different strategy has a different result and that also affect the development of its business scale such as Delta Airlines and Singapore Airlines. Delta Airlines utilize the mergers and acquisition strategy and Singapore Airlines utilize organic growth strategy. Therefore, their business scale has significantly different from each other. Meanwhile it found that effective growth strategy should also coordinate with other gracious of strategies to attract more customers for enhancing the company growth such as Delta Airlines and Singapore Airlines which also coordinate with the differentiation strategy to enlarge its profits sales. One more important thing that, choosing the different growth strategy also depends on its sources such as Singapore Airlines which has Singapore governments financial support, in contrast with Delta Airlines, it has even enough source to be organic growth. addendum 1 Deltas M A timelineAppendix 2 PESTEL AnalysisAppendix 3 Porters Five Forces AnalysisReferenceChua, A n.d., Singapore Airlines (SIA). Accessed on 8 Nov 2014http//eresources.nlb.gov.sg/infopedia/articles/SIP_1705_2010-08-10.htmlDelta-Newsroom. Accessed on 25 Sep 2014http//news.delta.com/HistoryDelta TechOps websirte. Accessed on 8 Nov 2014http//www.deltatechops.com/Ireland, RD, Hoskisson, R Hitt, M 2008, Understanding Business Strategy Concepts and cases, Cengage Learning.Karp, A 2014, Delta Air Lines earns $10.5 billion 2013 net profit. Accessed on 8 Nov 2014http//atwonline.com/finance-amp-data/delta-air-lines-earns-105-billion-2013-net-profitMarquardt, M 2012, Global Leaders for the Twenty-First Century, SUNY Press.Roll, M 2005, Asian Brand Strategy How Asia Builds Strong Brands, Palgrave Macmillan.Rosencrance, L 2004, Delta to use RFID tags to sheet luggage. Accessed on 8 Nov 2014http//www.computerworld.com/article/2564693/mobile-wireless/delta-to-use-rfid-tags-to-track-luggage .htmlSingapore Airlines website. Accessed on 8 Nov 2014http//www.singaporeair.com/en_UK/about-us/sia-history/Sky Team website. Accessed on 8 Nov 2014https//www.skyteam.com/en/Star Alliance website. Accessed on 8 Nov 2014http//www.staralliance.com/en/Torr, J 2014, Singapore Airlines annual net profit down 5%, operating profit up 13%. Accessed on 8 Nov 2014http//atwonline.com/finance-data/singapore-airlines-annual-net-profit-down-5-operating-profit-13World Airline Awards website. Accessed on 8 Nov 2014http//www.worldairlineawards.com/Awards_2014/Airline2014_top20.htm