strategy
Introduction
Regional Express Pty Ltd (REX) is an Australia based independent regional airline. REX is an excellent example as it is the Australia’s largest regional airline outside the Qantas group of companies and operates routes in New South Wales, South Australia, Victoria, North Queensland and Tasmania. This study aims to examine REX current sustainable core competencies and its key strategic initiatives based on the SWOT and stakeholder analysis. Then, key stakeholder implications of REX’s strategies will be reviewed and a Corporate Balanced Scorecard that aligns with the business level strategy will be prepared.
Execute Summary
This passage starts with the analysis of the strength, weakness, opportunity and threat of REX, followed by its strategy including the key capability, the shareholders’ interest and what strategy it uses to compete with its rivals, and lastly the balance scorecard of how REX could be improved. It seems that REX is facing a ferocious competition from its competitors in terms of the strategic they use – mainly because of cost leadership they adopted; however, REX still has its own plan to achieve a good financial performance by fulfilling on-time flights and uncommon routes, based on differentiated strategy. There are still some improvements can be achieved by performing the balance scorecard demonstrated to ultimately influence its financial performance.
2.1 REX Strategic Analysis - SWOT Analysis
Strengths
Weaknesses
Market Leader: REX has maintained a good relationship with local government and communities. So it has held a monopoly position on over 70% of its routes. In additional, there is little incentive for competitors to set up the same route as the market is not large enough.
Single type fleet: REX operates one of the world's largest fleet of twin turboprop engine Saab 340 passenger aircraft. This enables REX to maximise cost efficiency in relation to maintenance, repairs and safety. Currently, Saab
Regional Express Pty Ltd (REX) is an Australia based independent regional airline. REX is an excellent example as it is the Australia’s largest regional airline outside the Qantas group of companies and operates routes in New South Wales, South Australia, Victoria, North Queensland and Tasmania. This study aims to examine REX current sustainable core competencies and its key strategic initiatives based on the SWOT and stakeholder analysis. Then, key stakeholder implications of REX’s strategies will be reviewed and a Corporate Balanced Scorecard that aligns with the business level strategy will be prepared.
Execute Summary
This passage starts with the analysis of the strength, weakness, opportunity and threat of REX, followed by its strategy including the key capability, the shareholders’ interest and what strategy it uses to compete with its rivals, and lastly the balance scorecard of how REX could be improved. It seems that REX is facing a ferocious competition from its competitors in terms of the strategic they use – mainly because of cost leadership they adopted; however, REX still has its own plan to achieve a good financial performance by fulfilling on-time flights and uncommon routes, based on differentiated strategy. There are still some improvements can be achieved by performing the balance scorecard demonstrated to ultimately influence its financial performance.
2.1 REX Strategic Analysis - SWOT Analysis
Strengths
Weaknesses
Market Leader: REX has maintained a good relationship with local government and communities. So it has held a monopoly position on over 70% of its routes. In additional, there is little incentive for competitors to set up the same route as the market is not large enough.
Single type fleet: REX operates one of the world's largest fleet of twin turboprop engine Saab 340 passenger aircraft. This enables REX to maximise cost efficiency in relation to maintenance, repairs and safety. Currently, Saab