PESTLE and Porter's Five Forces Analysis of Singapore Airlines

Running head: Singapore Airlines
Introduction to management

Singapore Airlines
Table of Contents
Introduction...............................................................................................................1
Nature of the business...............................................................................................1
PESTLE ANALYSIS................................................................................................1
PORTER FIVE FORCE ANALYSIS.......................................................................3
Strategic recommendations.......................................................................................5
Conclusion.................................................................................................................6
References.................................................................................................................7
Introduction
Singapore Airlines is one of the largest airline companies in Singapore. The company is awarded
5-star standard carriers in Singapore and it is the subsidiary of the Singapore government. It can
be evaluated that company is based at the change international airport and flight services are
1

Singapore Airlines
offered by the company in more than 45 nations and also across 94 destinations worldwide. The
company is listed on the SGX and is one of the biggest carriers in the market if the focus is given
on the market capitalization. Singapore Airlines conduct more than 102 aircraft which have an
average fleet of 7 years. The geographic segments of the Singapore airlines are East Asia,
Europe and South West Pacific (Bok, 2015).
Nature of the business
The company created itself as the flag carrier of Singapore and the connection is with the 20
airports which are situated in 18 different locations. The destinations are Europe, Australia and
also many segments of the Middle East. The company focuses on the various strategies related to
differentiation itself by focusing on the service innovation and also it has been analyzed that
there are seven schools that offer education to the cabin crew and also the services related to
information technology and flight services (Taneja, 2016).
PESTLE ANALYSIS
Political factor
Political factor gives influence on the external business environment of the company. This is
related to the policies of the government that emphasizes the intervention of the specific
economy. It has been analyzed that company has focused on Air India so that the blow of
privatization can be managed by the Indian government. This has also become a hindrance in
the overall political factor for the operation of the business.
Social factor
There are various factors that impact the social environment of the organization. The factors are
related to the need and preference of the customers. The company focuses on the approach
related to customer-centric. There is also enhancement in the overall disposable income of the
consumers that have changed the purchasing power of the consumers (Kaufman, 2015).
Economic factor
The economic factor of the organization is concerned with the entire rate of interest, taxation
policies and also with the foreign exchange rates. This factor affects the business environment of
2