Swot of Cathay Pacific

SWOT Analysis of Cathay Pacific Airway Ltd.

Head-quartered in Hong Kong, Cathay Pacific is undoubtedly an international company, concerning Hong Kong’s geographical advantage as international financial center. However, several other cities in the world have the same position, such as Singapore, New York, London, Cairo and so on. Thus despite its significant status in Asian area, Cathay Pacific still faces fierce competition from international airline companies. As the chart 1 demonstrates: Cathay Pacific has edged itself into the top 5 world airlines in 2012. It is also about the main competitors Cathay Pacific is competing with, let alone the domestic airlines——That’s cruel. In the following, this essay will address the SWOT analysis of Cathay Pacific mainly from a global perspective, with domestic competitors included.

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Chart 1 Resource: The World's Top Airlines - ranking 1 to 20 (2012)

1,Strength:

1.1 Diverse Customer Nationalities Given by the Geographical Advantage

Different from other international airlines, head-quartered in Hong Kong, Cathay Pacific benefits much from its background of pluralistic culture. Thus Cathay Pacific not only can provide localized language(Cantonese or Mandarin) service, but also English. Meanwhile, tourists from all over the world are attracted to communicate with the local people.

1.2 Strong Financial Backup & Dominant Market Share(About Cathay Pacific, 2007)

With enough capital for investment or operation, Cathay Pacific is able to purchase Dragon Air, which results in its dominant market share especially on key routes like Hong Kong to Shanghai and Hong Kong to Beijing. That creates the other local small companies another dilemma.

1.3 High Quality Service & Advanced Technology Applied

Good reputation for its top service and advanced technology applied like in-flight email provides businessmen with more comfort and convenience. They happen to be the most regular travelers and are willing to pay higher price for...