Tiger Airways

Tiger airways

External environmental analysis

Opportunities

The increase in GDP within Asia, where Tiger Airways is based in, may lead to stronger growth in tourism and travelling within this region. In fact, the decision to focus their business in this region was in part due to the growth of Asian countries. A large number of these groups of consumers are also price conscious and would consider taking the low cost airlines over other national airline. From the external analysis, it can be seen that the rise of Asia due to population growth and rising income levels presents a huge profit opportunity for budget airlines if they can capitalize on it. Tiger Airways can work on its strengths to tap on these opportunities. It is clear that Tiger Airways has the expertise and experience to identify and predict consumer trends and preferences at the present and in the future respectively. Thus, Tiger Airways will definitely be able to tap on this increasing consumer base by delivering what consumers want a competitive price. Given that Tiger Airways currently has an impressive portfolio of routes, tapping on the increasing consumer base will mean that Tiger Airways has to expand its services. This could be done by serving more destinations and by increasing the frequency to the present destinations. Looking at its current financials, Tiger Airways definitely has the ability to engage in such an expansion.

However, the current weaknesses of Tiger Airways might affect its ability to tap on the profit opportunities that arise from the growth of Asia. A tarnished reputation as well as a perceived low level of consumer satisfaction in Singapore can affect their ability to entice travelers to travel with them. Profits for Tiger Airways will definitely be in a positive relation with the growth of Asia. However, it must be noted that a perceived low level of consumer satisfaction might mean that Tiger Airways is not utilizing its profit making opportunities to its full...