This research performs a SWOT (strengths, weaknesses, opportunities, and threats) analysis on the UAL Corporation. As UAL is a holding company, and as United Airlines is the principal operating company within the organization, the SWOT analysis is based primarily upon United Airlines. In addition to the SWOT analysis, the company's current strategy is asses sed, suggestions for improvement are offered, and five year projections for the company are presented.
In a SWOT analysis, the strengths and weakenesses relate to the organization's internal environment, while the opportun ities and threats relate to its external environment. Identi fication of the opportunities available to an organization, and of the threats to an organization, thus, require an assessment of the external environment. In performing this SWOT analysis on UAL, the external environment is assessed first, and this assessment is followed by an identification of the opportuni ties available to the organization, and of the threats to the organization, which is followed, in turn, by an identification of UAL's strengths and weaknesses.
United Airlines operates in the passenger carrying segment of the air transportation industry. There are three components of the passenger carrying segment of the airlines industry. At the top, there are the major trunk airlines. In the center, are the regional carriers, and, at the bottom, are the local air carriers. There are many more airline companies in the bottom two segments; however, the passenger carrying segment of the industry is dominated by the major trunk airlines.
Six major airlines dominate the major trunk lines compon ent of the passenger carrying segment. Six major trunk lines have dominated this industry segment for decades; however, the composition of the group of six has changed over time. Ameri can Airlines, Texas Air (which operates both Continental and Eastern), and United Airlines are the l...