SWOT on American Airlines
Strengths
1 . Advantage Loyalty Program
With this program American Airlines make a profit because there are so many miles that are given but will not even be used. For the miles that are not used that is money in their pockets right there. Also, American Airlines is known for one of the best loyalty programs that insures that they will have loyal customers.
2. American Airlines
American Airlines have some pilots that have been with them for over 20 years. They invest their time and lives into their Jobs. Daily they have the lives of hundreds of people in their hands. The pilots take the time to call the SOC to ensure a good take-off, fuel and check the weather for safety.
3. Committed Employees
Although there was a vote to have a cut in pay and even personal vacation times, most employees have stayed loyal to American Airlines. The employees did not want the company to go bankrupt so they offered a percentage of their pay.
4. Strong Mechanic Crew
Mechanics used to throw tools away, now they say, “If it cuts, we like to think we can sharpen it. ” Reusing the tools helps save quite a bit of money! They are very hard-committed workers.
Weaknesses
1. Financial Stability
Financially they are unstable, yes ultimately they have not filed bankruptcy but they have lost $8 billion in the last 5 years. During the video, it even showed that one flight only brought in $200 and that if they were one less person on the flight they would have lost money.
2. Prices of food/drinks.
The prices of their airline food are so expensive that not a lot of people buy it, yes when they do it helps make a profit but maybe they need to work on something with the prices.
3. Air Fare
The air fare prices range so dramatically it is shocking. The number of people who pay $1000 for a seat and the person next to them could have paid little as $100 is By volcano’s Opportunities 2. 3. 4.
Threats
1. Fuel Prices
With the price of fuel on a constant rise, that will cause a decrease in revenue for American Airlines.
