Porter's 5 Forces analysis of Eastern Airlines Bankruptcy (A) Texas Air Corporation Case Solution

Home >> Darden Business School >> Eastern Airlines Bankruptcy (A) Texas Air Corporation >> Porter's 5 Forces analysis

Porter's 5 Forces analysis of Eastern Airlines Bankruptcy (A) Texas Air Corporation Case Study Help

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of Eastern Airlines Bankruptcy (A) Texas Air Corporation Case Help could be performed to create various methods utilizing the strengths of the business to get chances, overcome weaknesses and to decrease the risks. It might also be utilized to examine that how specific weaknesses resist certain chances and increase the threats. The techniques drafted using the Porter's 5 Forces analysis of Eastern Airlines Bankruptcy (A) Texas Air Corporation Case Analysis are given as follows;
• Usage of strong global brand position and funds in expanding towards possible markets.
• Special brand experience might assist the business to better position itself in brand-new markets.
• Resistance in expansion in the potential international markets motivating diversity.
• High rates restricts the growth in numerous Asian and African countries with low per capita income.
• Strong brand name acknowledgment, non-traditional ways of marketing and the unique brand name experience might be utilized to decrease the risk from prospective consumers.
• Stringent look policies might led to the consumer shift towards Victoria with high social duty.
• Restricted target markets could resulted in a decline in the total market share of the business.
These techniques could assist the business to improvise its market position and be at the leading position in the market.

Financial Analysis


Financial analysis for Porter's 5 Forces analysis of Eastern Airlines Bankruptcy (A) Texas Air Corporation Case Analysis could be performed to assess the availability of funds to the company that could be used in growth towards international markets. The financial position of the company could be evaluated by using the information given in the case Exhibition 1. The ratios that could be thought about in monetary efficiency analysis are given up the Table 1 listed below;

From the above Table 1, it might be seen that the company has a reasonable monetary performance with a ROE of 7.9% and a high sales growth of 18.4%. A 4.3% net revenue margin does not seems to be possible and the business needs to put efforts in increasing its profits along with lowering its operational expenses to increase its revenue margins.

Porter's 5 Forces analysis of Eastern Airlines Bankruptcy (A) Texas Air Corporation Case Analysis

Segmentation

The division analysis consists of the analysis of various business sections of the business in domestic and the global, markets. The majority of the business's Traditional shops are located in United States consisting of above 500 stores in nearly each of the state of United States. However, the company has also a worldwide presence in 8 different countries with its greatest number of stores situated in UK i.e. 21. The companyhas a total of 54 shops in worldwide markets that is most likely the 10% of its stores in the US. It implies that bulk of the incomes of the company originated from the regional markets. Additionally, the business is thinking about to expand its shops into 7 more European and Asian countries. A chart revealing the existence of the business in numerous international markets is given up the Appendix 2.

Targeting


The business targets its clothing brand to the young, high and good-looking teens and kids that are thought about to be cool. This targeting policy is accountable for different distinctions in the business related to its rivals. For example, the company hires great looking men and women for its shops and follows a strict appearance policy to preserve tourist attraction of good-looking individuals towards its stores and offer an unique brand experience.

Positioning


The business has actually positioned its brand as a high-end brand name targeting only a particular market section. The business with its non-traditional methods of marketing through designs and representatives posters its brand image as a high-end clothes brand name targeted to the cool and attractive personalities in society. Although, this market position attracts various elite individuals towards the brand name but it injures the business's position in various communities focused at the equality in society.

External Analysis

Competitor Analysis


Porter's 5 Forces analysis of Eastern Airlines Bankruptcy (A) Texas Air Corporation Case Analysis faces a great deal of competition in the market with the existence of various number of competitors in the market. A chart showing the close competitors along with their attributes and the marketing technique is given up. it might be seen that the American Eagle Outfitters is considered to be the greatest competitors for business with its marketing method related to the television shows. Furthermore, Gap is likewise considered to be a prospective competitor in regional along with in international; markets as the company is considering to shift in the worldwide markets. In addition to it, Eastern Airlines Bankruptcy (A) Texas Air Corporation Case Study Analysis. with its versatile pricing technique and the Victoria's Street with its strong social status position an extreme risk to the present market share of the Porter's 5 Forces analysis of Eastern Airlines Bankruptcy (A) Texas Air Corporation Case Help.



This is sample work and not applicable to real case study. Please place the order on the website to get your own originally done case solution.