Business Valuation and Analysis of Qantas Airways

Business valuation and
analysis
Student’s Name

Introduction
In the report, following topics of Qantas
airways has been discussed:
• corporate strategy
• SWOT analysis
• five forces analysis
• financial statement analysis

Porter’s five forces model
Competitive rivalry Less at domestic market and
high at international market
Entry barriers Threat level is lower
Threat from substitute Threat level is lower
Bargaining power of buyers Threat level is high
Bargaining power of suppliers Threat level is high

SWOT Analysis
Strength Weakness
 Steady and consistent growth of the company in the
aviation industry
 Monopoly of Qantas airways in various destinations
 The transformation program of Qantas has improved
the position of the business
 Services of the company are superior in the industry
 Labour and union issues
 Lower profit margin at international level
 Too much special treatment to few specific
companies at international level
 Few issues in running the long distance flights
Opportunity Threat
 Advanced technology
 Business travel
 Joint venture with global firms
 Increment in the fuel prices
 High labour cost
 Management of cost
 Huge competition