Question

What do you think are the core competencies (intangible resources) of sigapore airlines? Provide two examples.

Answer 1

The main three strategic assets or competencies provide the sustainable competitive advantage are as follows-

1. Brand reputation

Singapore Airline is one of the strongest brands from Asia. The strong brand driven by brand equity is the result of professional brand strategy throughout a diversification and global organisation.

2. Cost – effective service excellence

In order to achieve service excellence cost – effective, SIA has two main assets – planes and people (. SIA always ensures that the plane is young . There should be no mechanical failures , fewer takeoffs are delayed, more arrivals are on time and fewer flights are canceled. Also SIA understood that service is mostly about people, so SIA invested in many training programs. The employees learn how to take care customers and learn how to communicate by eye levels to them rather than just talking down.

3.  Functional strategies and programs

The functional strategy is where the business functions, operations or finance or marketing, formulate their long-term plans .SIA certain functional strategies that are marketing strategies, distribution mechanism, human resource .

4. The value chain analysis

A value chain analysis can provide the obvious view of the pattern of the firm’s activities and behaviours. By considering carefully each single activity and integrating all of them, primary activities and support activities have been contributing to the success of SIA.

Examples.

1. SIA’s service reputation was the Singaporean Girl and the iconic Singaporean Girl was became the center piece of SIA’s marketing strategy. She was the central feature of advertisements, where she was portrayed in a number of settings. It was an effective tool in communication of SIA’s image to customer mind.

2. Also, SIA’s communication has been consistent in brand strategy. The message “Singapore Airline – A great way to fly” have been consistently selected in print media and TV commercials of very high production value. In that way, the iconic Singaporean Girl was features in all communication messages in the different settings and themes.