Context of Business: Analysis of Scandinavian Airlines' Operations

This report provides a comprehensive analysis of Scandinavian Airlines (SAS) within the context of business operations. The analysis begins with an introduction to SAS, an airline company, and the importance of analyzing various factors to enhance business performance. The main body of the report includes a detailed SWOT and PESTEL analysis of SAS, examining its internal strengths, weaknesses, external opportunities, threats, political, economic, social, technological, environmental, and legal factors. The report evaluates the effectiveness of these analyses and their future implications, considering both positive and negative impacts on the company's operations. Furthermore, the report assesses different leadership approaches, organizational patterns, and recommends a suitable leadership style for SAS to achieve future success. It also identifies and analyzes the firm's corporate social responsibilities. Finally, a reflective report is developed based on the investigation, evaluation, and assessment described throughout the report, providing a comprehensive understanding of SAS's business environment and strategic recommendations.

Context of business

Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
The aforementioned organisation, a detailed description of two analyses, namely SWOT and
PESTEL.......................................................................................................................................3
Demonstrating the efficacy of the above research, as well as its future implications on the
company's operations in both beneficial and negative ways.......................................................6
Assessment and appraisal of various leading approaches as well as development of the
corporation's managerial and organization patterns....................................................................6
Suggesting to the company a style of leadership which will help it achieve success in the
immediate future..........................................................................................................................8
Identifying and analysing the firm's duties and how it responds to societal obligations.............8
Development of a reflection report based on the investigation evaluation, and assessment
described previously....................................................................................................................9
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................11

INTRODUCTION
There are a number of different aspects that has to be considered in a business so that all the
aspects can be analysed and evaluated in a precise manner so that it can add value to the firm in
the long run so that it can stand well ahead of all its competitors that are also prevailing in the
similar market conditions (Brannen, Piekkari and Tietze, 2017). Scandinavian Airlines is an
airline company situated in Europe that was created in 1946. Their creators as well as the firm’s
alliances have performed extraordinarily well in the region, capturing a larger proportion in each
and every industry. In this study, a SWOT and PESTEL analysis of Scandinavian Airlines is
performed so that almost all of the elements that influence the organization's operations may be
evaluated in detail. Aside from that, the research delves into the many sorts of administration and
leading approaches in broad, and the company's background. In addition, the firm's corporate
obligation is examined in a precise way, and a reflective analysis is written in accordance with
that analysis.
MAIN BODY
The aforementioned organisation, a detailed description of two analyses, namely SWOT and
PESTEL
SWOT Analysis- It is a type of study that focuses mostly on internal factors in order to
assess a company's strengths, weaknesses, opportunities, and threats. The above mentioned
company operates in an international market and thus it becomes much more important for it to
analyse and evaluate all its factors that impact it internally and externally so that it can make
appropriate changes and rectifications which can help it to flourish in the industry in which it is
operational. The following is the result of our research for Scandinavian Airlines-
Strengths Weaknesses
 Scandinavian Airlines is a corporation
that places a premium on providing
high-quality products and experiences
 Scandinavian Airlines confronts
numerous difficulties from Developed
economies functioning in the same

to its consumers, and this is one of the
corporation's biggest strengths in order
to expand and succeed in a fiercely
competing environment.
 It also offers functional and productive
distribution methods, and a reduced
infrastructure, allowing it to precisely
cater to the interests, objectives, and
desires of each and every industry
(Driscoll, McKee and Price, 2017).
sector and it is unable to effectively
respond to these issues, resulting in a
disadvantage.
 Other than that, the corporation's profit
margin is also too low, making it even
harder to thrive in the industry,
especially since Scandinavian Airlines
does have a long record history of items
that have been deemed flops due to
their ineffectiveness in the industry.
Opportunities Threats
 There really are numerous chances in
the marketplace, the most essential of
which is to use its own payment system
in order to receive large sums of money
and to outperform all of its rivals.
 It could also employ various
promotional tools to its benefit because
there are opportunities in those other
sectors as well, which the company
may stronger association if the
resources are being used correctly and
precisely.
 Even though Scandinavian Airlines
integrated reporting globally it
identifies a multitude of risks from
home-grown brands functioning within
this area, which also serves as a
deterrent to the organization's ultimate
productivity and expansion.
 So because significant proportion of
operational activities are now done
electronically, the risk of a cyber attack
hovers for the corporation, and if
critical stuff is managed to hack, this
can result in serious consequences
(Fletcher, De Massis and Nordqvist,
2016).
PESTEL Analysis- It is a sort of study that discovers and then examines exterior elements
which influence and affect the company profitability, either explicitly or implicitly. There are a
number of different aspects that are included in it so that all the factors can be analysed and
evaluated in an impactful manner so that it can help the firm to grow and prosper in the market.
The PESTEL analysis of Scandinavian Airlines has been summarised here.

 Political- These are issues such as good governance, meddling, and so on, and also
because the nation in which Scandinavian Airlines works has strict security regulations, it
has a detrimental impact on the firm's management. Thus it can be said that the firm must
operate in accordance with the laws so that it can help the company to operate in a
smooth way which can help the company to sustain and survive in the market which is
highly competitive and dynamic in nature.
 Economic- It is linked to unemployment numbers, hyperinflation, price fluctuations, and
other factors, and it is extremely important in the longer term for just any business active
in the industry, regardless of the sector in where it operates Because the nation’s total
national production is so high, Scandinavian Airlines has an edge in terms of being able
to invest in the stock market effectively and efficiently (Gallego-Álvarez and Ortas,
2017).
 Social- These are linked to societal changes in liking, choice, and patterns. As there is a
trend of getting higher experiences, and also a preference for internet purchases,
Scandinavian Airlines can exploit this trend to extend its company in other areas, which
will be helpful to the company in the longer haul.
 Technological- It has to do with the technical advances that are currently taking position
in the community. So because company is growing forward into new technologies, and
Scandinavian Airlines operates primarily online, it must update and enhance its
equipment in order to bring worth to the profession's company.
 Environmental- These really are features of the surroundings and the variables that
influence it. Scandinavian Airlines have accomplished a bunch to decrease its carbon
emissions, and it also utilizes alternative and clean fuel resources, which causes the
business cut expenses and remain viable in the marketplace.
 Legal- It has to do with the legislation, legislative action and standards strategies and
processes and rules of ethics that a company should follow when doing business. Due to
the severe restrictions in the Europe, Scandinavian Airlines runs efficiently and adheres
to all legal requirements such that the company' activities are not harmed and it may
function successfully in the sector.

Demonstrating the efficacy of the above research, as well as its future implications on the
company's operations in both beneficial and negative ways
As can be seen from the preceding explanation, Scandinavian Airlines is performing well
in the market, although it does have certain limits. If PESTEL elements alter, it will have a
significant effect on the company's business activities because if the administration is unstable
and hyperinflation strikes the marketplace, this could create a slew of risks for the business in the
longer range that can constitute a strain. If the steadiness and job rate grows, it will lead in more
revenue, which will then lead in greater spend, creating several possibilities for the company to
benefit from (Glaser, Stam and Takeuchi, 2016).
Perhaps one Scandinavian Airlines' strongest points is that this has gained a greater
business proportion by delivering superior unique products and assistance to the consumers This
allows the company to reach new audiences even though it has now also made an impression on
clients' imaginations, and this can revenue within this neighbourhood as well since it has a loyal
following. It utilizes it as a very essential as well as critical tool in removing and minimising the
hazards that some competitors provide to Scandinavian Airlines in a really rapidly changing
marketplace. Besides that, Scandinavian Airlines has a number of flaws, the much more
significant of which is that the business has very little profit turned, making it unable to
capitalise on growth markets if they necessitate a considerable investment. As a result, the
business is confined to a small orbit, which serves as a deterrent to its learning and success.
Assessment and appraisal of various leading approaches as well as development of the
corporation's managerial and organization patterns
Different leadership approaches are employed by various individuals and companies in
order to accomplish the firm’s ambitions and purposes which were established from the outset.
There really are 3 primary kinds, of leading approaches each of which is described in depth
following table-
Autocratic Style Democratic Style Laissez-Faire Style
 It is an approach of
managerial leading
wherein 1 person has
made all the judgments
on account of
 This is a model of
management leading in
that everybody as well
as every person is
participating in the
 Particular groups are
composed in this style
of administration to
make choices, so each
group has a specific

everybody sans
consulting additional
employees (Goel and
Jones III, 2016).
 Decision - making
process is relatively
quick since only single
individual is required
to make judgments,
requiring very little
time and thought. This
can be advantageous
and effective for a
corporation where time
is a limitation in its
activities.
actions carried out by
the company, and
everybody's opinions
are taken into account.
 It is particularly
advantageous to the
organization since it
aids in the
development of a
feeling of connection
to the organisation and
as a result, staff work
with higher
expectations and
devotion to reach the
business’s ambitions
and targets in a short
amount of time.
dynamic to understand
the organization. It
allows participants of
the group to solicit
recommendations from
other participants of
the group.
 Such management
style is critical because
it aids in the
establishment of a
positive conditioned
practice inside the
business, allowing it to
expand and succeed by
generating maximum
profit in the countries
in which it operates
(Kimura and
Nishikawa, 2018).
Scandinavian Airlines employs a realist organizational culture wherein the corporation's
performance is measured somewhat higher than other rivals with both the expectation that they
will be met by all of the remaining workforce, and that they will do so in a short amount of time
by effectively and efficiently utilising all of the organization's assets. This management style has
proven to be extremely vital for Scandinavian Airlines, as has significantly boosted revenues
and, as a result, profitability in extremely difficult economic circumstances.
Scandinavian Airlines has a collaborative organizational strategy, which means that
everyone who performs for the organisation participates. All of the corporation's employees
work together as an organization to manage and complete all of the corporate objectives, but do
so in a timely way so the corporation's worth is increased in the longer term (Laga, Kherbouche
and Masse, 2016).

Suggesting to the company a style of leadership which will help it achieve success in the
immediate future
In today's environment, leading model is highly important since it may help a business gain
competitive edge over competitors and raise revenues and profitability but also has the ability to
ruin and demolish the professional image, brand, and worth if it is not employed correctly and
precisely. As per its corporate culture, the most appropriate sort of organizational culture for
Scandinavian Airlines is the laissez-faire approach, in which teams are formed expressly for the
duties. Even though Scandinavian Airlines is a huge corporation, it is also the finest aesthetic of
leader which the corporation can use because it will allow it to entrust authority as per the
positions and responsibilities of each team member, which will eventually led to the completion
of tasks on time, and therefore it will be helpful in enhancing the financial operations and
surroundings. Scandinavian Airlines is functioning incredibly well in the marketplace, and by
employing this sort of management approach it will be able to increase its overall worth in the
business (Martens and Carvalho, 2017).
Identifying and analysing the firm's duties and how it responds to societal obligations
Moral conscience is among the most essential and also critical elements for any company
to satisfy because it aids in obtaining public confidence as well as gathering different
entitlements and agreements from the public sector if a completely due all of its societal
commitments in an effective and efficient effective and timely way. Scandinavian Airlines is
among the largest companies in the industry, and as a result, its responsibilities are far greater
than those of other companies. There are several variables which is incorporated in it, such as
providing excellent supplies and operations to residents, providing job chances to community,
and so on, and most of these assist the business to attain business growth and prosperity within a
short amount of time. Even though Scandinavian Airlines focuses on offering goods and services
to its clients, it bears a number of set of roles including giving sufficient competitive advantage
in the market depends on the quantity those who invest mostly on company's goods and/or
services, and having greater commodities at a low cost in order to raise the quality of life of
those who live in the region (Nag and Chatterjee, 2018).
The above-mentioned corporation, Scandinavian Airlines, has responded admirably in this
area, providing millions of job chances to people who are able and eager to work for the
organisation. Other than that, the company has decreased environmental footprint and employs

renewable fuel resources in order to raise person's average lifespan, which will lead to the
creation of a harmonious community. This also keeps a little gross profit for itself, that renders
the items / solutions it offers more valuable to the society at large end clients, resulting in greater
expenditures and, as a consequence, an enhanced quality of life for the individuals who live there
(Novitskaya and Brewster, 2016).
Development of a reflection report based on the investigation evaluation, and assessment
described previously
As an outcome, there is indeed a condensed description about such a corporation,
Scandinavian Airlines, as well as its linked factors that affects its long-term operations in this
research. While investigating and studying this subject, I discovered a number of facts about
myself that will help me reach my complete capacity. As a result of the numerous education and
professional designs described in this document, then after a thorough examination of such
elements, I recognised the significance of enforcing such strategies in the market in order to
make the quality of the company and enable it to conduct well with an industry that is both
complex and innovative in natural world. Besides that, I got a variety of skills that would aid me
in upcoming data and testing because this study assisted me in gaining a better understanding of
numerous areas that I typically lack (Schillo, Persaud and Jin, 2016).
Scandinavian Airlines is among the largest organisations in the airline sector, and after
conducting a thorough review of the business of the company I achieved a wealth of
understanding and expertise that will undoubtedly benefit myself to in my upcoming work and as
an individual, since both leadership and management are needed in everyday life; the only
difference is the scale of implementation. I also received a lot of expertise and information from
the owner's business style, which served as a motivation for me to do and accomplish things truly
monumental in the profession and also in my own existence (Upward and Jones, 2016).
CONCLUSION
It can be concluded that there are a number of different aspects that has to be identified,
evaluated, analysed, examined, and studied so that all of them can help in combined form so that
all can help in forming a combined development and growth of the company as a whole. From
the foregoing, it can be established that Scandinavian Airlines is one of the greatest international
corporations located in the Europe, with a market capitalization of $1 trillion. Its founder

founded the company in 1946 with a little financial commitment and has since grown to become
one of the most profitable brands in the globe operating in practically every area of the globe.
Besides that, this can be discovered that various institutions use a variety of governance and
managerial abilities in order to thrive in a market place and leave marks upon on business sector,
and Scandinavian Airlines utilises a Pragmatist aesthetic that has aided it a lot to prosper in the
business sector by trying to cut down contest and trying to improve its per capita income.
Furthermore, this can be reached the conclusion that company has performed extraordinarily
well at market place, despite the fact that there are some points of contention from of the
corporation’s perspective However, given the direction in which the organisation is heading, it is
reasonable to assume that Scandinavian Airlines will be able to overcome all obstacles in an
effective and timely way in order to develop and flourish in the longer term.

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