Analyze and Recommend Strategies

US Airways (USA) TOWS ANALYSIS

Internal Factors

External Factors

Strengths (S)

S1: Innovative Thinking

S2: Employee Incentives

Weaknesses (W)

W1: Fleet Variety

W2: West Coast Presence

Opportunities (O)

O1: Merger & Acquisitions

O2: Special Events

SO Strategies

S1/O1-USA used an innovative thought process by talking to the unions of American Airlines (AA), which gained their support for a merger with USA prior to going into negotiations with AMR, parent company of American Airlines.

WO Strategies

W2/O1- A merger between USA and AA would increase the routes and presence of the consolidated airlines on the west coast. In addition, a hub would be gained in Dallas – Fort Worth that would present stronger routes in the mid-west.

Threats (T)

T1: Government Regulations

T2: Fuel Prices

ST Strategies

S2/T2- There is not much the airlines can do about the price of fuel. However, innovative thinking on the part of employees has developed ways of reducing fuel consumption of the aircraft.

WT Strategies

W1/T2- USA operates a number of different aircraft. The use of smaller aircraft in many cases result in the consumption of less fuel.