Competitiveness of Singapore Airlines
An in-depth examination of the competitiveness of Singapore Airlines.
# 154204 | 2,176 words | 29 sources | 2015
Published on Aug 31, 2015
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Since June 1972, Singapore Airlines (SIA) has witnessed an overwhelming success in its journey to a world class stature courier. This paper uses longitudinal and comparative approaches to survey the strategic 50-year course of SIA in relation to its competitiveness in the air transport industry. To remain competitive, the company has employed a marketing strategy which entails distinctive product/ service differentiation, unique marketing brands, and an international customer service icon, commonly referred to as the Singapore Girl. The paper surveys these strategies to considerable details, and then gives the company's strategic position at present and at future.
From the Paper:"The history of Singapore Airlines (SIA) can be traced back to the establishment of Malayan Airways Ltd. (MAL) in 1936, when the Imperial Airways and the British government localized air transport in Singapore and Malaya (presently Malaysia). MAL, owned and controlled by the Ocean Steam Ship Company and Imperial Airways, was incorporated in Singapore on October 1937. At the same time Wearne Brothers, an Australian company, began operating its air services from Malaya to Singapore, the prime route for MAL. Owing to the market size, MAL concluded that two airlines could not ply the same route, and therefore remained inactive for a period of 10 years. During the same period, World War II was at its peak, and commercial air operations were ruled out in the region, making Wearne brothers to cease their operations due to bankruptcy. It was on 1st May 1947 when a Malayan Airspeed Consul began scheduled domestic flights in Singapore between Kuala Lumpur, Penang and Ipoh (Chan 2000). With two Airspeed Consul Airplanes, a dozen of administrators, six radio operators, a few crew members and six pilots; the new airline achieved great success. Commercial air transport gained a momentous growth after World War II, with its air services offered mainly between Kuala Lumpur in Malaysia and Singapore. Within a span of two years, Rangoon, Boneo and Bangkok were added to the destination list and MAL became a member to the International Air Transport Association (IATA). Over the years, Singapore grew as a major transport centre, attracting other established carriers as Air India. In 1965, Singapore acquired its independence from Malaysia, and both governments acquired a joint majority control of the airline, and renamed it Malaysia-Singapore Airlines (MSA). In April 1970, Malaysia expressed its will to launch its own national carrier for both international and domestic flights. MSA was dissolved and resources were equally distributed between Singapore and Malaysia; with Singapore receiving all the facility in Singapore, overseas offices and all the Boeing aircraft. Singapore Airlines Ltd was officially formed on June 1972, with the core marketing strategy of increasing passenger service and comfort. To emphasize on its efficient and friendly service, the company established a unique group of air hostesses, and nicknamed it the 'Singapore Girl'. "
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