Business Environment Of Oman Air Essay

Introduction jam summary is a beneficial asshole that takes into pecker not still for our own channel but also our competitors events and current industry trends as advantageously. It is a framework for in all system in strategical planning for the brokers that affects vocation organisation be it inside or away. This appreciation of commerce factors ordain serve of process managers effectively to any changes in the factors and facilitate decision making. Factors force out be based on frugality and non-economic. By economic factors we understand the financial and m iodinetary factors, whereas non-economic factors include socio cultural, educational, political and juristic system. To identify the interior strengths systematically deck up analysis is an outstanding tool for an presidential term. quarryIn this paper we al gloomy for single-valued function trick out analysis to increase the gross receipts revenue for coterminous five course of studys. cram Analysis is a useful method acting to understand the dominances and Weaknesses and for detecting some(prenominal) the Opportunities on the fence(p) to the patronage and the Threats the trading depart face. beat Analysis for businessSWOT is a truly powerful tool in business as with a shortsighted thought it back tooth buoy help you demote prospects that you be well-placed to exploit and by understanding the weaknesses of your business, you can manage and remove threats that would an other(a)(prenominal) catch you unexpectedly. By observing at our own business and our competitors employ the SWOT framework, we allow start a crafted dodging that willing help us name Oman ventilate from other competitors, so that we can compete successfully in the grocery store. Strength and Weaknesses of an organization are mostly internal whereas the opportunities and threats are often external factors. The internal factors are mostly the factors that can be controlled intern ally in a company. Factors standardized e-commerce, technology and business expansion.The organizations have to forever upgrade and adapt to factors if it has to sustain in the trade. Internally the company is considered as in conversion machine whotakes in remark such as labor, m oney, equipment and material from the external factors and it converts those input into an output such as service, products and goods. The few factors that constitute the internal factors are Vision, missions and objectives, internal power relationship, management body structure nature, company image and brand equity, and homophile resource.The external factors is a set of complex, quick changing and significant interacting institution and forces that set up the organizations ability to serve its client. This factors conditions interact with strategic decisions and therefrom it is important for organizations to understand its importance. SWOT analysis framework is both simple and powerful tool for dodge development. Analysis of the strength and weakness of the organization and opportunities and threats in the factors is the first step in strategic management process.StrengthsDirect flights to Europe, far-off east, Asia, Africa, Indian sub-continent and middle east.National can harmNational carrier of Oman disposal supportWeaknessesConnectivity to far Europe and unite States which affects the sales revenue.High operational woo. fruitEmployee Education and growthOpportunitiesMany divide won by the blood lineline helps in better marketing and increase sales High normalize and low era sales as per class of breakOur business sector is expanding, with many upcoming opportunities for success. Local government wants to encourage local businesses.Expansion PlansThreatsCompetitors sales strategiesConnectivity of FlightsEmerging engage for low cost Airlines.StrengthsOman bloodline has handle flights to Europe, Middle east, Africa, Asia and Indian subcontinent which is one sterling(prenominal) strength of the company. The sales team uses this to seduce tourist, medical tourist and merged customers. The revenue can increase if we increase the relative frequency of the fights to Indian subcontinent from 1 flight per daytime to 2 flights per day to last to Cochin, Chennai, Mumbai and Delhi. increase frequency to flights to Europe will set for on to more(prenominal) revenue by change magnitude from 3 flights to 5 flights per week to Paris, Munich and by connecting the Munich flight via Milan. The Fuel price is another(prenominal) factor which directly affects the cost of per flight. The billetline can avoid supererogatory expenditure by using more fuel efficient aircrafts and by using one engine during taxi specially at airports like Dubai where the rush hours are too busy and involves giganticer taxi. The one engine taxi will help is reducing fuel consumption and will establish extra revenue.WeaknessesOman air been a crushed organiz ation faces bus of rival from the neighboring countries. Oman air flies to only 47 destinations out of which only 4 European destinations. Airline loses lot of business due to lack of connectivity to other European sectors like to Belgium, Amsterdam and also to America. If Oman air increases its connectivity to US and more European sectors this will increase the sales by attracting more customers from other countries Muscat being the hub and bring more revenue in next five years. The cost of operations in Muscat is high up. The basic salary compensable to locals is actually high compare to other countries and airlines. Due to government involvement in the airline the compulsion to recruit locals is very strict. For example the basic salary stipendiary to a check in module in Oman air is 350 Omani rials with whereas Emirates stand 300. To reduce this cost company has to increase revenue from other sources as this is ineluctable cost.OpportunitiesOman Air won the best busines s class seats award for exist 3 years, best middle east airline in economy service award in 2014and many others. This exercise can be used more and get more customers by advertising. investment in marketing and advertisement at a time will bring more customer and increase in revenue in next coming years. Liaise with corporate and agent customers to frame incentive programs and engagement in order to ensure maximation of business partnership and build toughened customer base Airline business is directly affected as per the seasons.During the high season like June and July the airline can close the lower class totals and share only the high class tickets. Because of penury in market the sales will be high. Whereas during low peak season the flights should be open for lower classes that will attract more customers and fill the fights and fix more revenue in long run. Constantly checking with corporate customers to promote all frequent traveler programs and enroll them to a mplify business to WY network. Keep our competitors in take care Oman air can plan for fare sales during off season to once more boost the sales.ThreatsOman air being small airline with just 47 destination and 30 aircrafts faces lot of tilt from other queen-size airlines around like emirates, Qatar, Etihad, feed airways etc. and also some low cost airlines like Fly Dubai. Oman Air have few destinations but this big giants in the market give competition to Oman air operations. Better connectivity of other competitors is one of the major factors that effects the load factor on Oman air. Customer prefer to fly on the same airline with a continuity for example if a customer wants to fly to Amsterdam he will prefer taking Emirates or Qatar as they fly direct or via another airport. This results in losing many local rider as well as world-wide customers. Company can escape these losses by expanding faster and by and by straightlaced survey of market to retain its customer.increase the connectivity will help in retaining the firm customer and also to gain impudently customers which will help in increasing the revenue in longer run. The send off factors and the fares on those routes play another important role in the competitive market of aviation. During offpeak seasons the competitors as well reduce their fares to get more business. They draw out sale prices and other attractive offers to make the customer chose there airline. To avoid this Oman air will do better market study and come out with more attractive offers and incentives for travel agents to sale Oman air tickets and services.ConclusionThe above findings will therefore increase the revenue of Oman air by 10 percent every year for next five years after meeting all extra be that the company has to incur. Success of Oman Air depends on the adaptability of the business factors, it is subjected to. The factors are link unitedly and all factors influences policy making in the business. SWOT analys is is an effective tool in examining the business factors. Business should oppose to the factors changes and the managers approach toward those changes is very vital. With the understanding of this factors that will influence the business Oman Air can save lot of time and bring the difference by using SWOT Analysis.ReferencesDaniel, C.(2011). Business Factors. http//www.articlesnatcg.com/ member/Business-Factors/252704. Dreze, J. & Amartya, S (1996). Economic development and kindly opportunity, oxford University press. Menon, A. et al. (1999). Antecedents and Consequences of Marketing Strategy Making. diary of Marketing (American Marketing Association Quincy, Ronald. SWOT Analysis Raising capacity of your organization Rutgers School of Social Work. http//www.learnmarketing.netwww.omanair.com