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Singapore Airlines 2001 (A)

By Toh Thian Ser & D. G. Allampalli



Publisher Ref No: ABCC-2001-004A Pub/Rev Date: 2001
Industry: Airlines & Aviatiion Case Length: 17 pages
Teaching Note Ref: ABCC-2001-004A(TN) Teaching Note: 3 pages
Organisation: Singapore Airlines Period Covered: 1970 - 1998
Country: Singapore Level: Undergraduate/
Postgraduate
Publisher: The Asian Business Case Centre, Nanyang Technological University


Abstract


The case describes how Singapore Airlines (SIA) evolved from a fledging player in the 1960s into an industry leader in the airline industry.

In the process, SIA rewrote the rules for competition and earned accolades for its excellent aviation record, young fleet of planes and a reputation for delighting customers. Bilateral air service agreements negotiated between individual nations limited the routes of a given airline and hence the airline's growth. The global airline industry had responded to this challenge with a mix of acquisition, strategic alliances (for e.g., the STAR alliance) and related diversification strategies. But would these strategies be sustainable in the near future? What course of action should SIA undertake?

Instructors may wish to follow this case with "Singapore Airlines 2001 (B)"

Teaching Objectives
  • To illustrate how businesses identify growth markets and growth factors.

  • To illustrate how an organisation thrives despite restricted market access and a hyper-competitive industry environment.

  • To demonstrate the importance of timing in the adoption of new corporate strategies.
*An accompanying teaching note is available for the case.

Issues: Corporate Strategies, Business Strategies, Alliances, International Aviation


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