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

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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 numerous methods using the strengths of the company to avail chances, conquer weaknesses and to lower the threats. It might also be used to assess that how particular weak points resist specific opportunities and increase the threats. The techniques drafted utilizing the Porter's 5 Forces analysis of Eastern Airlines Bankruptcy (A): Texas Air Corporation Case Solution are provided as follows;
• Usage of strong global brand name position and funds in expanding towards possible markets.
• Distinct brand name experience could help out the company to better position itself in new markets.
• Resistance in growth in the prospective international markets motivating variety.
• High prices restricts the expansion in different Asian and African countries with low per capita earnings.
• Strong brand name recognition, non-traditional ways of marketing and the distinct brand experience might be used to minimize the hazard from potential customers.
• Strict look policies could caused the customer shift towards Victoria with high social obligation.
• Limited target audience might resulted in a decline in the total market share of the company.
These techniques could assist the company 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 Solution might be performed to assess the accessibility of funds to the business that could be used in expansion towards worldwide markets. The monetary position of the company could be assessed by utilizing the data given up the case Exhibit 1. The ratios that might be considered in monetary efficiency analysis are given up the Table 1 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 profit margin does not seems to be potential and the company must put efforts in increasing its incomes along with reducing its functional expenditures to increase its revenue margins.

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

Segmentation

The division analysis includes the analysis of numerous service sections of the company in domestic and the global, markets. Most of the company's Brick and Mortar stores lie in United States including above 500 shops in practically each of the state of United States. The business has also an international presence in 8 different countries with its highest number of stores located in United Kingdom i.e. 21. The companyhas a total of 54 stores in international markets that is probably the 10% of its shops in the United States. It implies that bulk of the incomes of the business originated from the regional markets. Moreover, the business is considering to expand its shops into 7 more European and Asian nations. A chart showing the presence of the business in different worldwide markets is given up the Appendix 2.

Targeting


The company targets its clothing brand name to the young, tall and attractive teenagers and kids that are thought about to be cool. This targeting policy is accountable for different differences in the business associated with its competitors. The company employs good looking guys and females for its stores and follows a strict look policy to keep attraction of good-looking individuals towards its stores and offer an unique brand experience.

Positioning


The company has placed its brand name as a high-end brand name targeting only a particular market sector. The company with its non-traditional methods of marketing through designs and agents posters its brand image as a luxury clothing brand targeted to the cool and attractive personalities in society. Although, this market position brings in different elite people towards the brand but it hurts the company's position in numerous neighborhoods focused at the equality in society.

External Analysis

Competitor Analysis


Porter's 5 Forces analysis of Eastern Airlines Bankruptcy (A): Texas Air Corporation Case Help faces a lot of competitors in the market with the existence of numerous number of rivals in the market. Gap is likewise considered to be a prospective competitor in local as well as in global; markets as the business is considering to shift in the international markets.



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