China Southern Airways SWOT Analysis

China Southern Airways SWOT analysis evaluates the brand by its strengths, weaknesses, opportunities & threats. In SWOT Analysis of China Southern Airways, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.

China Southern Airways is one of the leading brands in the airlines sector. The article below lists the China Southern Airways SWOT and includes its target market, segmentation, positioning & USP.

Let us start the SWOT Analysis below:

China Southern Airways Strengths

The strengths of China Southern Airways looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.

A list of strengths is mostly the starting point in a SWOT analysis. Below are the Strengths in the SWOT Analysis of China Southern Airways :

1. Largest air transport network in China with access to over 150 cities and over 600 domestic routes.

2. Centrally located in Guangdong for easy access to the rapid industrial growth of the Pearl River Delta.

3. Culturally, politically, linguistically, and historically synchronized with the Chinese market and the changes occurring within Chinese air transport.

4. Largest domestic cargo carrier

5. History as State Owned Entity and residual access and political access with the Civil Aviation Administration of China.

China Southern Airways Weaknesses

The weaknesses of a brand are certain aspects of its business which it can improve. Here are the weaknesses in the China Southern Airways SWOT Analysis:

1.  Small air cargo business segment and limited experience in air cargo freight and overnight transport logistics.

2. Undergoing continuous business reorganization and cultural change due to Chinese air transport deregulation, recent acquisitions, and alliances.

China Southern Airways Opportunities

The opportunities for any brand can include prospects of future growth. Following are the opportunities in China Southern Airways SWOT Analysis:

1. Utilize first-to-market advantage to build customer loyalty and to “lock-in” air cargo customers via contract and real-time technology before competitors commence expanded services in Chinese domestic market.

2. Utilize cultural background to implement Chinese air cargo information technology that reduces costs for independent shippers/forwarders in China through real time shipment communication.

3. Establish communication centres to accurately predict package/cargo volume and to reduce wasted belly space on domestic routes.

China Southern Airways Threats

The threats for any business can be external factors which can negatively impact its business. The threats in the SWOT Analysis of China Southern Airways are as mentioned:

1. Increased domestic Chinese competition and resultant decreases in scale economies.

2. Inadequate grants of slot space and access to international hubs to compete internationally in the absence of further follow-through with alliances.

3. Increased competition from substitutes as Chinese surface transport infrastructure develops.

4. Jet Fuel price increases causing slowing of Chinese economy and overcapacity of air cargo carriers.

Hence this concludes the China Southern Airways SWOT analysis.

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About China Southern Airways

China Southern Airways Overview
Parent Company	China Southern Airlines Co., Ltd.
Category	International
Sector	Airlines
Tagline/ Slogan	Always Cheaper Than On The Ground
USP	One of Asia's largest airline in terms of both fleet size and passengers carried
China Southern Airways STP
Segmentation	Customers looking for punctuality and efficiency
Target Market	Middle class / Upper middle class
Positioning	Smooth and efficient operations

This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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