Air Canada's Strategy Plan Suggestions

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https://www.aircanada.com/en/about/investor/documents/2012_MDA_q4.pdf
STRATEGY
Air Canada continues to build strong strategic plan in order to strengthen their competitive position in the market and fulfill the vision of its stakeholders, shareholders, customers and employees. They should adopt the following strategies in order to optimize their business:
• Cost transformation and Revenue Enhancement
• International expansion and connecting traffic
• Engagement with customers
• Foster positive change to its culture
Cost transformation and Revenue Enhancement
Air Canada should pursue revenue generating and cost reducing opportunities by investing in new technology, implementing effective and efficient projects and concentrating on employee productivity through contract negotiations and continuous improvement that goes hand in hand with its long term goals. The announcement of the launch of “Air Canada RougeTM “ will aid as Air Canada’s competitive advantage with the “new low-cost leisure airline”. It will help increase its revenue, lower its costs and enhance its profits. Also, to better manage its fleet, they should soon implement the “new five-year collective agreement with the Air Canada Pilots Association (ACPA)” that can help the airline increase its productivity and better its competitive position while maintaining a low budget. Air Canada is expected to implement a new “revenue management” that will help optimize its profits based on passenger revenue.

International Expansion and connecting traffic
Air Canada should aim at expanding internationally, growing its market share and increasing its traffic through international gateways such as the U.S. Air Canada is a widely recognized brand and holds a strong position in the...

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...new its agreements with companies such as Aeroplan that help increase its customer base.
• Launch regional flights in order to compete with its rivals such as West Jet.
• Frequently change the ticket prices based on the customer traffic during the three quarters.
• Get a contract with one of the oil companies so as to get a consistent crude oil rate for a long period of time.
SHORT TERM GOALS
• Regulate the flights with no delay if possible.
• Introduce new technology that can help the customers avoid the boarding pass line and choose their respective seats.
• Allow quality choice food to its customers along with good entertainment such as TV screens. There should be no need for the passengers to buy an earphone set or a food item
• Change its regular ticket prices in order to compete with the rivals.
• Get regular feedback from the customers and the employees.

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