American Airlines S.W.O.T.Analysis

American Airlines

S.W.O.T Analysis

Patricia Holley

MRKT 432 – Case Study IV

September 14, 2011?

American Airlines S.W.O.T Analysis

Introduction:

American Airlines, Inc. (AA) is the world's second-largest airline in relation to passenger miles transported, fleet size, and operating revenues. It's also headquartered in Fort Worth, Texas and it is adjacent to its largest hub, located at the Dallas/Fort Worth International Airport. It operates an extensive international and domestic network with scheduled flights throughout North America, Latin and South America, Europe, Asia/Pacific and the Caribbean. They were also listed on the Fortune 500 list of companies in 2010 as #120. The SWOT analysis for American is provided below, which should provide insight into the operations of American Airlines.

Strengths:

American Airlines possess strengths in several areas such as being a leading global entertainment and content company. They also have robust operational capacities and strong market share. They have a strong diversified portfolio as well as brand equity in MTV, BET, etc. Their reach from MTV viewers alone reaches more than 500 million customers worldwide. They continue to have a growing bottom line.

Weaknesses:

In addition to the strengths American Airlines possess, they also have several weaknesses. The performance of their Real Networks has lagged in comparison to other companies' success in the same area. They are also lagging in online growth and innovation.

Opportunities:

There are several opportunities available to American Airlines to further their growth. There is room for growth in mobile integration with music and video services and furthering music consolidation of future acquisitions. They must also build stronger strategic alliances and capitalize on the growth of HDTV.

Threats:

American Airlines face several threats in their industry. Their online competitors are more fragmented, faster to react, and typically very innovative. They must also conform to FCC regulations and adapt to the US economic slowdown.

Recommendations:

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