LUFTHANSA GROUP SLIDE PRESENTATION

LUFTHANSA
GROUP
AIRLINES BUSINESS UNIT

COMPANY PROFILE
• Deutsche Lufthansa – European largest airline fleets
• Consists of international and domestic airlines such as Austrian Airlines,
•
•
•
•

Swiss International Airlines, Air Berlin, Germanwings
Two main hub located in Frankfurt and Munich
Lufthansa among 5 main founders for Star Alliance (largest airlines alliance) provide services to 197 international destination in 78 countries across
Africa, Americas, Asia and Europe
Five main business -Lufthansa passengers (Airline), logistic (cargo),MRO
(Maintenance), catering (LSG Sky Chefs) and IT services (dissolve in financial year 2015)

Mission & Objective
Lufthans
a 1st choice Partners

Employe es customer

Sharehol der SITUATIONAL ANALYSIS
-SWOT
STRENGTH
World leading aviation group
Knowledge- based (know how)
Stability in financial

SITUATIONAL ANALYSIS
-SWOT
WEAKNESSES
Employees relation-Pilot’s union
Government intervention

SITUATIONAL ANALYSIS
-SWOT
OPPORTUNITIES
Expend business unit- move Technik to new hub Puerto
Rico
Merging with more airlines – China Air

SITUATIONAL ANALYSIS
-SWOT
THREAT
Competition with low cost airlines
Advance in alternative for short distance location

INDUSTRY ANALYSIS-PORTER
FIVE’S FORCES
Rivalry

Threats of subtitut es Bargaini ng power of buyers

Threat of new entrants Bargaini ng power of supplier s Rivalry among existing competitors-High • National carrier of Gulf state – (Emirates, Etihad and
Qatar Airways) among main rival
• Low cost airline expanded

Threat of new entrants-Low to medium • Sophisticated technology require to run international airplane • Airline industry require huge capital to start up the business • Brand awareness are crucial after few fatal incidentMH370,MH17,Germanwings
• Low cost airlines- less capital needed due to used airplane available for selling

Bargaining power of suppliersHigh
• The price of fuel are not controllable
• No substitute for aircraft manufacturer- 2 main