Business Analysis | Assignment

Business Analysis

Company Background and Mission
 Qantas Airlines is considered to be one the
largest domestic and international travel
airline which operates in Australia and the
airlines of Qantas ltd also has the
advantage of costs as they follow a low
cost model in operations of the business.
 The airlines was founded in 1920 and since
then the airlines has grown significantly
over the years. The main brands of the
business is Qantas Airlines and Jet Airways.
 The mission statement of the business is to
enhance the value of the business and also
provide the best quality of services to the
customers. The mission statement of the
business also aims to reduce the costs of
the business and enhance the profitability
of the business.

Porter’s Five Force Model
 Bargaining Power of Buyers: The bargaining power of the buyers would be high both
in case of domestic and international flights. It is for this reason that the company follows
a low cost model in managing the operations of the business.
 Bargaining power of Suppliers: The business has two major suppliers who are aircraft
manufactures and fuel supplier. The prices of oil and manufacturer are quite and
therefore, the bargaining power of the supplier is also a major factor which affects the
operations of the business.
 Threats of Substitute Products: In most of the cases, people choose airline travel due
to quick approach. However, there are still substitutes such trains. Therefore the threat of
substitute is high.
 Threat of New Entrance: Qantas ltd is engaged in the business of aviation sector and is
considered to be a global leader. The threat of New entrance in the market is negligible.
 Industry Competitors: The competition in the market is quite intense and the same
affects the operations of the business and therefore the level of competition is high in the
market.