THY CASE
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THY CASE

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Marketing Presentation

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    THY CASE THY CASE Presentation Transcript

    •  
    • STRUCTURE OF PRESENTATION
    • HISTORY OF TURKISH AIRLINES
      • Turkish Airlines was founded in Ankara in 1933
      • First international flight was Ankara-Istanbul-Athens in 1947
      • It was renamed Türk Hava Yolları A.O with a capital of 60 TL in 1956
      • The company was reclassified as a “State Economic Enterprise” in 1984
      • Singapore flight was the first far east flight in June,1986
      • The capital of Turkish Airlines was 700.000 TL in March,1990
      • First class service started . THT (Turkish Air Transportation) incorporated company merged with Turkish Airlines in September ,1993
      • Turkish Airlines decided to join Star Alliance in 4th August,2006
      • First commercial flight to Sydney was commit ted for the Olympic Games . New Frequent Flyer Program ‘‘Miles & Smiles’’ was launched in October ,2000
      • Electronic ticketing (Ticketless Travel) implementation has begun for THY flight crew in 2003
    • ...cont’d
      • Turkish Airlines decided to raise the number of flying points from 131 to 231 as part of agreement with Lufthansa in 2006
      • Turkish Airlines decided to join “Star Alliance” in 2006
    •  
    • PEST ANALYSIS
    • POLITICAL FACTORS
      • THY is a government-owned, national flag carrier
      • Labor agreement has powerful (Turkish Civil Union of Aviation)
      • D iscounters suit themselves and make money from receipts thanks to regulations of government
    • ...cont’d
      • In 2002, the new Turkish Government announced, it would no t be subsidization for THY
      • The S tate P rivatization Administration launched a public share offering
      • Trust of financial markets without the need for government guarantees
    • ECONOMICAL FACTORS
      • Ticket prices have risen because of the increasing in fuel costs
      • Air travel in Turkey will be the biggest growth market
      • THY sells tickets via the
      • Internet so that sales costs
      • can be minimized
    • ...cont’d
      • T he number of airline companies will be diminished and the condition of market will change because airline firms in Europe fortifica t es
      • The number of travelling tourist from Europe to Turkey cut down due to the terrorism
      • International economic situation,or global crisis
    • SOCIAL FACTORS
      • In international area, competitors use service culture enough to make their customers comfortable about the airline
      • They ha ve always been transaction- oriented, not customer oriented
      • Swine flu,climate conditions and crash in Amsterdam
    • ...cont’d
      • People ’s lifestyle of transportation is changed by development in aircrafts
      • Service culture problem , It will take time
      • Special days
    • TECHNOLOGICAL FACTORS
      • Satellite programming, wireless internet access, satellite monitors at every seat and seat –back personal video screens in mod ish aircrafts
      • Reservation on telephone and on the I nternet
      • THY uses IBM computers
    • ...cont’d
      • The IT system of THY is the Tryon which is for reservation system. Turkish Airlines makes all procedures in th at
      • Sophisticated information system and infrastructure to optimize complex operations
      • Availibility of pay phones on the plane
    •  
    • SWOT ANALYSIS
      • THY has new fleets
      • Strong financial statement
      • Qualified staffs
      • Member of the Star Alliance
    • WEAKNESSES
      • Poor promotion activities
      • Advertising problems
      • Brand loyalty is low
      • Higher prices
    • OPPORTUNITIES
      • Cheap airline companies have limited international flights
      • THY is one of the fastest growing airline in Europe
      • Turkey is a preferable tourism country
      • Close to the Europe
    • THREATS
      • Terrorist attacks
      • Discount airline companies
      • New entrants in domestic market
      • Increasing costs
    •  
    • INDUSTRY ANALYSIS
    • COMPETITOR ANALYSIS
      • DOMESTIC COMPETITORS INTERNATIONAL COMPETITORS
    • ...cont’d
    • ...cont’d Domestic Competitors THY Pegasus Onur Air Atlas Jet Pricing - + + + Service Quality + - - - Number of Flying Points + - - - Age & Width of Aircrafts + - - - Financial Ability + - - -
    • PRODUCT LIFECYCLE T.H.Y
    • ...cont’d
      • It operates a network of scheduled services to 120 international and 37 domestic airports
      • Its fl eet consists of 133 aircraft s & also 25 aircrafts were ordered
      • In 2008, its total revenue was US$ 4.5 billion
    • PORTER’S GENERIC STRATEGIES
    • ...cont’d
      • Low-cost Airline Subsidiaries
      • Star Alliance
      • Other Subsidiaries such as; Do & Co and Tgs Ground Services
    • Low-cost leadership strategy Differentiation strategy
      • Low-cost airline subsidiaries
      • Partnership with Opet
      • Using secondary airports in main cities
      • Star Alliance
      • Miles & Smiles
      • E-ticket
      • Direct flights from Russia to Antalya
      • Reservation Call Center
    • THY
    • STRATEGIC PARTNERSHIP & ALTERNATIVES
      • Increase in revenues
      • Decrease in costs
      • Market development
      • More flight points
      • Ability to use lounges of member airlines
      • Higher frequencies
      • One ticket
      • Ability to connect baggages to destination point
      BENEFITS OF STAR ALLIANCE MEMBERSHIP For Turkish Airlines; For Customers;
    • SPONSORSHIP http://www.youtube.com/watch?v=nxgPx4TWMWg
    •  
      • Low prices of Discount Carriers
      • Do not implement a Customer-oriented Strategy
      Main Problems
    • Related Problems
      • The price structure has a big space in the consumers’ minds
      • High price tickets comparing with the competitors
      • High expenditures of Turkish Airlines
      • The economic crises
      • Lack of customer services
    • RECOMMENDATION
      • They should focus on the east side of Turkey
      • They should improve their services about the flyers’ satisfaction
      • For attracting the clients, Turkish Airlines may give importance to Customer Service Culture
    •  
    • CONCLUSION
      • Today, you can fly with Turkish Airlines’ aircrafts to 74 countries with 120 airports
      • In order to flight safety, reliability, product line, service quality and competitiveness ,Thy is the 4th rank in Star Alliance
      • You can fly to 36 cities in Turkey
    •