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Marketing Analysis of El Al

Essay by   •  January 22, 2012  •  Research Paper  •  5,787 Words (24 Pages)  •  1,925 Views

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El-Al Marketing Analysis

El-Al Marketing Analysis

Table Of Content

Chapter 1: Introduction

Executive summary..........................................................................................4

Bibliography...................................................................................................5

Chapter 2: An overview of the company

Overview of the company...................................................................................6

History...........................................................................................................7

Definition of the business.....................................................................................8

Chapter 3: An analysis of the company's business environment

Firms industry and macro environment..................................................................9

The PEST Model..........................................................................................10-12

The industries competitive situation using Porter's 5 Forces...................................13-15

Market segmentation....................................................................................16-17

ELAL's Attractiveness .....................................................................................17

Chapter 4: The Company's Marketing Overview

Mission Statement, Objectives and Values................................................................................18

Marketing Mix (Four P's)...........................................................................................................19

SWOT Analysis............................................................................................................................20

ELAL's main problems...............................................................................................................21

Chapter 5: Recommendations and Summary

Is the Company's Marketing Mix in - tune with its markets and its objectives?..................22

Solutions to ELAL's main problems.....................................................................22

Summary and Conclusions ...............................................................................23

Appendix 1 - Boeing........................................................................................24

Appendix 2 - Code Sharing ..............................................................................25

Chapter 1: Introduction

Executive Summary

1. ELAL is the leading airline in Israel. In the past it was a government owned company until privatization commenced on 2003.

2. ELAL owned several dozen aircrafts, which are used for international and lately national flights as well.

3. ELAL hires thousands of employees and has several subsidiaries as well.

4. ELAL's narrative is defined by the ideal of being the number one airline for passengers from and to Israel. ELAL is constantly walking the thin line regarding the political status quo. ELAL maintains its religious crowd by keeping the Shabbat on one hand, and losing potential revenues by doing so. This narrative is implemented in the outline of ELAL's marketing agenda, ever claiming that it is Israel's national company and by launching numerous patriotic campaigns. As part of this agenda, ELAL serves kosher food as default.

5. ELAL is in a satisfying financial situation. ELAL is growing constantly; revenues, stock value, ROE and net value are growing in a healthy manner. The company survived impressively the latest financial crises.

6. ELAL prices its flights relatively expensive, offering the passengers non-compromising security, safety and service standards. As part of this agenda, ELAL keeps its technology in a state of the art level, using new and improved American planes.

7. ELAL offers transparent and non-transparent services, such as constant flyer benefits on one hand and code-share agreements on the other. ELAL could "hide" its disadvantages by exploiting the benefits that globalization offers, with emphasis on international collaboration and offering combined services to its clients such as hotels, car rentals and others.

8. ELAL's current and future challenges will be defined and influenced by the constant entrance of national and international competitors. ELAL will have to emphasize its advantages, maintain its technological and marketing images.

Bibliography

http://en.wikipedia.org/wiki/El_Al

http://www.bizportal.co.il/shukhahon/bizcompbaalsump.shtml?p_id=1087824&c_id=1152

http://www.elal.co.il/ELAL/Heasbrew/States/General/ .

http://www.elal.co.il/NR/rdonlyres/2D943294-0735-4E30-9C7C-9FCDA40B23E7/0/FactSheet20092final.pdf

http://www.youtube.com/watch?v=8nPXttPmNE0

Chapter 2: An overview of the company

Overview of the company

EL-Al (hereinafter "the company") is one of the greatest Israeli symbols. It was one of the most famous trademarks of the small state. The company's story intertwined with Israel's origins.

The company is operating in a "national" state of mind, aiming towards patriotic emotions based on the Israeli narrative of pride, safety and security. The company markets and considers itself as a national service provider, submitting itself to the whims and needs of the country. Not once the company has been involved in security or social operations (the joint confidential operation of bringing

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