Jetstar Airways Expansion Case

    Jetstar is an Australian low-cost airline that is a wholty owned subsidiary of Qantas. JetstarispartotQantas'twobrandstrategyothavingoantasAirwaysforthe premium lull-service market and Jetstar for the low-cost market. Jeistar has approximately 996 of the Austraiian domestic tlight share. The airline operates an extensive domestic network as wel as regional and international services from its main base at Melbourne A'rport although ls regional network in northern Australia limited and tar from comprehensive. Like its Qantas parent. Jetstar competes with Virgin Australia and its fully owned low-cost subsidiary Tigerair Australia. Jetstar also competes vn‘th regional airlines like Regional Express. Airnorth. Hinterland Aviation. West Wing. Pelican Airlines. Sharp Aviation and Skippers Aviation Jetstar management thinks the company should expand its northern regional networks and include some charter flight facility. This would bring it into competition with several key regional airl’nes and a local charter services. Baiore any decisions aremadeyouareliredtoanalyselhecompetifivesimafionandgiveadvice. -a-i Assignment Tasks 1. Read the short Jetstar description above. 2. identity and discuss any existing competitive advantages Jetstar might have relative to the proposed expansion. 3. Research the economic environment Jetstar might be operating within in remote and regional Austraia. Using a PESTEL analysis review the macro-economic environment and identify any issues you think might impact the expansion plan. You should include justification for issues you identify. 4. Using Porter's five forces model identify and discuss any competitive forces that might impact the expansion plan. You should include justification for issues you identify. 5. Propose a business level strategy the organisation might consider for its expansion and justify why you think it is best