inforefuge

US Airways TOWS Diagram

Strengths

  1. Variety of planes/ excessive assets
  2. East coast dominance
  3. Financial recognition of instability
  4. Customer satisfaction
  5. Competition
  6. New CEO
 Weaknesses

  1. Excessive assets
  2. High overhead
  3. Unprofitable flights
  4. Grew too fast
  5. Location of hubs
  6. Resignation of CEO
  7. Poor employee morale
  8. Bankruptcy
  9. Poor customer service
  10. Non aggressive competition
  11. Breakdown of merger with United
  12. No contingency plan or vision
  13. Plane crashes
Opportunities

  1. Point to point flight patterns
  2. Guaranteed money after bankruptcy
  3. Partnership
  4. Governmental aid
  5. Increased consumer confidence
  6. Stronger economy
  7. Increase in bond rates
  8. Decrease in interest rates
  9. New technology
  10. Chapter 11 bankruptcy
  11. Selling assets
  12.  New government   regulation
 SO

  1. Size efficiency (S1, O1)
  2. Reorganization with new CEO (S6, O10)
  3. Possible financial gains (S3, O2, O4, O7, O8)
  4. Expansion of East Coast dominance west with point to point flights (S2, O1)
  5. Merging with another company (S3, S5, O3)
  6. Sell bonds (S3, O7, O8)
  7. Expand into freight industry (S1, O3, O6, O11)
  8. Recruit CEO and executives (S6, O3, O10)
  9. Regulations can promote fair competition (S5, O12)
 WO

  1. Eliminate or restructure hubs (W5, O1, O11)
  2. Save money by flying point to point and free up money by selling assets to increase liquidity (W1, W2, O1, O11)
  3. Create strategic planning standards (W11, W12, O10, O3)
  4. Use point-to-point flights to increase profitability (W3, W5, O1)
  5. New technology will make business more consumer friendly (W9, O9)
  6. Stronger economy will make breakeven more attainable (W2, O6)
  7. Asset sales will restructure company size (W4, O11)
  8. Restructuring after bankruptcy can promote employee morale and positive leadership (W6, W7, W8, W10, O2)
  9. Can recover from bankruptcy through governmental aid, consumer or employee purchased bonds (W8, O4, O5, O7, O8, O12)
Threats

  1. Economy
  2. Demand for air travel
  3. Web conferencing
  4. International threats
  5. War with Iraq
  6. Terrorism
  7. Oil / Fuel cost
  8. Labor
  9. Union strikes
  10. ALPA cap flights
  11. Government
  12. Competition
 ST

  1. Recognition of poor economy/cut throat competition with limited customers (S3, S4, S5, T1, T5, T6, T12)
  2. Fluctuating fuel prices indirectly proportional to competition and customer satisfaction (S1, S4, S5, T5, T7)
  3. New CEO can improve labor and union relations (S6, T8, T9)
  4. Limited flight selection and regulations (S4, T10, T11)
  5. Union more willing to negotiate (S4, T8, T9)
  6. New CEO can promote East Coast air travel through business deals by discounting air fare to discourage web conferencing (S2, S6, T2, T3)
 WT

  1. With expense increase, profits decrease and assets are harder to maintain (W1, W3, T7, T8, T12)
  2. Poor employee morale can promote strike, which results in poor customer service falter (W7, W9, T9)
  3. Terrorists hijackings (W13, T6)
  4. Lack of aggressive competition results in lack of market share (W10, T2, T12)
  5. High overhead, possible warfare, terrorism, international threats, and struggling economy decreases demand for air travel, which results in unprofitable flights (W2, W3, T1, T2, T4, T5, T6, T10, T11)
  6. Hub expansion in a geographically close market decreased need for flying  (W4, W5, T2)

  1. Executive Summary
  2. SWOT Analysis
  3. TOWS Diagram
  4. IFE Matrix
  5. EFE Matrix
  6. SPACE Matrix
  7. Critical Issues
  8. Courses of Action
  9. Financial Analysis
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