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PIA Business Plan
1. Sample – Business Plan
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Pakistan International Airline (PIA)
Business Plan
Confidential
Submitted to
BOD PIA
Prepared by
DEF Consultant
July 22, 2014
2. Sample – Business Plan
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TABLE OF CONTENTS
S. No. PARTICULARS PAGE NUMBER
1 Executive Summary 1
2 Introduction 2
3 Business Description
4 Business Environment Analysis
Industry background
PEST analysis
SWOT analysis
Competitor analysis
Market analysis
Operating plans
Marketing plans
Operations plans
Management summary
Financial plan
5 Conclusion and Recommendations
Conclusion
Recommendations
6 Appendices
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INTRODUCTION
This report contains Business Plan for Pakistan International Airlines (PIA). The purpose of
the plan is to improve the deteriorated condition of the airline through some practical steps.
The report is based on data collected through primary sources (Investigation and Observation)
and secondary sources (Internet and Business magazines).
BUSINESS DESCRIPTION
PIA aims to provide excellent passenger and cargo services to its customers. The airline was
established in 1955 and it is a government organization. It flies to over 80 destinations in the
world.
BUSINESS ENVIRONMENT ANALYSIS
Industry background
PEST analysis
The political governments have less focus on state-owned organizations and most of them are
running in losses. The economic condition of the country is not really good one and big
families avoid air travel because of its cost. The aviation industry needs to update itself with
hi-tech setup as per global standards.
SWOT analysis
The airline is Pakistan’s largest airline and facing problems like corruption and overstaffing.
There are huge opportunities available for the airline if it improves its operations. A number
of airlines in the region are posing threat to the airline.
Competitor analysis
The airline faces tough competition from local airlines, like Shaheen and Airblue and
international airlines like, Emirates and Etihad.
Market analysis
Pakistan has a population of over 180 million and people travel through air, train, and road.
Majority avoids air travel because of its high cost. Air travellers are offered two choices;
Business class and economy class.
The aviation market seems to be growing at the rate of 5% per annum.
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Operating plans
Marketing plan
The marketing plan is based on thorough marketing research and shows good prospects for
the airline if implemented properly.
The airline needs to offer discounts to customers, more flights to important destinations, and
use social media for marketing.
Operations plan
The airline needs to put its reservation system online for easy customer accessing. The
aircrafts maintenance and inflight service need to be improved through training.
Management summary
The organization has following key personnel who can play major role in improvement.
1. Mr. Abc, MD PIA – see appendix 1
2. Mr. Pqr, Director Operations – see appendix 2
3. Mr. Xyz, Director Marketing – see appendix 3
Financial plan
The financial position of the company is highlighted through its financial statements of the
year 2013-14
Balance sheet
Income statement
Cash flow statement
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CONCLUSIONS AND RECOMMENDATIONS
Conclusion
The airline has full potential to regain its past position and play its role in Pakistan’s image
building and economic development of the country.
Recommendations
The recommendations given below can change the scenario, if implemented in letter and
spirit.
1. Arrange loans and buy at least three new wide body aircrafts.
2. Improve aircraft maintenance through training of aircraft maintenance engineers.
3. Improve inflight service by training the cabin crew.
4. Offer attractive packages for families to encourage air travel.
APPENDICES
Appendix 1 – C V of Mr. Abc
Appendix 2 – CV of Mr. Pqr
Appendix 3 – CV of Mr. Xyz