Suitability
Prior to the analysis of suitability of the current strategies that Airbus appears to pursue, it is important to review key strategic issues identified from external environment analysed previously. Strategy is considered as suitable if it addresses the external environment and achievable within the environmental condition (Johnson et al., 2008).
Thus, it can be said that the differentiation strategy would fit with drivers for change that were identified as fuel factors, globalization and emergence of new markets, technological changes and environmental restrictions. According to The Independent, A380 is the safest, the most fuel efficient and environmentally friendly (2010) (Appendix 11). Regarding the achievability of the strategy, focusing on differentiation with the hub concept doubts the opportunities for growth in the future due to the unclear demand and supply side (preferences of the end customers about connected flights and point-to-point flights, attitude of the airports to change infrastructure so they can be served by A380) (Heymen, 2009). However, massive orders by airlines for large aircrafts (Plisner, 2009) and high capital invested to expansion of airports (Buyck, 2009) suggest the success of the hub strategy. Also, it seems like Airbus is going to favour from hub-and-spoke concept as their key customers for A380 and A350XWB similarly pursues hub strategy (Attar, 2009) (Appendix 12).
In addition, the TOWS matrix can be used to assess the suitability of the pursued strategies and to show how they employ strengths and weaknesses to take an advantage of opportunities and overcome threats (Johnson et al., 2008). …
