Provide a 2-3 page double-spaced response to the following questions utilizing Porter’s Five Competitive Forces Framework. State the question before each answer. APA format is not required, but cite all references using APA format.
Students are expected to write to the scenario based on what was covered during the current week as well as referencing items during the previous weeks. This integrated approach will help all students do well on the final business case. Highlight the key terms for the week in yellow as you write your response.
Assess the overall financial performance of the US airline industry during the past 20 years.
To what extent can the industry’s low average profitability during this period be attributed to the structure of the industry? Which of Porter’s five forces has had the biggest impact in depressing industry profitability?
What is the outlook for industry profitability during the next five years (2020-2025)? For this question, take into account the recent article “An Economic Analysis of the Low-Cost Airline Industry” and the effect of the coronavirus crisis on the industry.
Are there any strategies used by the airlines that have been effective in moderating the forces of competition? Are there any strategies that the airlines could use to improve industry profitability in the future?
