Qantas Airline, PESTEL Analysis

Running head: QANTAS AIRLINE, PESTEL ANALYSIS 1
Qantas Airline, PESTEL Analysis
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QANTAS AIRLINE, PESTEL ANALYSIS 2
Introduction
Qantas airline is the largest airline in Australia by fleet size and among the oldest airlines in the
world. It was founded in 1920 focusing on local flights but then expanded its operations to
international flights in 1935. It has its headquarters in Sydney and controls more than half of the
market in Australia. It also owns a hundred percent shareholding in Jester airways and has
invested in several other Jester branded airlines ("About Qantas | Qantas", 2018). This report
analyses the external factors that are likely to influence the future growth of the airline's industry
with a focus on opportunities and threats likely to affect Qantas airline.
Ecological factors
In recent years there have been several concerns due to increased global warming as a result of
emission of harmful gasses into the atmosphere. Environmental authorities have been established
to enforce strict regulations on environmental protection and take disciplinary actions on
companies that violate these laws. The most immediate impact caused by airlines in the
environment is noise pollution. The International Civil Aviation Organization was established to
establish and implement noise standard for airlines. There is also a major concern for air
pollution caused by airport operations and aircraft at ground level. They emit nitrogen dioxide, a
harmful pollutant that makes life around airports unbearable (Dodd, Orlitzky & Nelson, 2018).
These factors have an adverse effect on the future growth of the airline industry thus pose a
threat to Qantas airline as it may be required to use noise efficient and more environmentally
friendly engines for aircraft.