Swot Analysis - Westjet Essay

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INTRODUCTION

The purpose of this report is to represent a SWOT analysis for a WestJet Airlines Ltd. “SWOT is an acronym describing an organization’s appraisal of its internal Strengths and Weaknesses and its external Opportunities and Threats.” These factors will determine the success or failure of any company. This WestJet SWOT analysis is done at the level of the entire organization and is a useful tool for understanding, decision-making and achieving company’s corporate goals and objectives.

Based in Calgary, Alberta WestJet was founded in 1996 by a team of Calgary entrepreneurs as a Western Canadian regional carrier with just a few aircrafts flying to five cities. Today WestJet is one of the most profitable airlines in North …show more content…
Despite these conditions, we are confident in our business model and our organization's ability to continue on our profitable path." While the H1N1flu virus is somewhat of a temporary threat in that we are finding that the effects are not as serious as what was initially portrayed in the media, still there will likely be other viruses that may have a similar impact on the industry. WestJet has responded to this threat by helping stranded passengers get home safely. This move will no doubt go a long way in building even greater confidence in the airline.

Recession: The current economic recession has had a negative impact on the airline industry. “WestJet Airlines Ltd. (TSX:WJA) hit some financial turbulence in the first quarter, with its profit falling by 29 per cent compared with the same time last year to $37.4 million. Lower fuel costs partly offset lower demand, which resulted in a three per cent decline in revenue to $579.3 million for the three months ended March 31, the Calgary-based airline announced Tuesday ahead of its annual meeting. Earnings per share fell to 29 cents in the quarter, down from $52.5 million or 40 cents per share in the comparable period of 2008, when revenue was $599.3 million.” – The Canadian Press, May 5, 2009. The length and depth of the
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