Researches On The Corporate Strategy Of Xiamen Airlines

In the Industry Life Cycle different stage, company's developmental strategy should have the difference: In the growth period, "Be larger" should be the first choice; in the mature period, "Be stronger" would be desirable; however in the recession period, no matter "Be larger" or "Be stronger" isn't suitable, then the company most wants strategic contraction and strategic shifts. At present, the China civil aviation industry is in the growth period of Industry Life Cycle. So "Be larger" obviously should be the optimum strategy of airline companies. Otherwise airline companies will lose the development opportunities.In the past, "Be stronger" as a guiding ideology of strategy is the biggest mistakes of Xiamen airlines. So I think, Xiamen airlines should transform the strategy from "Be stronger" to "Be larger". Based on the analysis of the international civil aviation great powers, and on the analysis of China civil aviation total Tonne-km, I further confirm the following macroscopically judgement is right—"the China civil aviation industry is in the growth period of Industry Life Cycle ". At the same time the rapid development of Hainan airlines, Shanghai airlines and Shenzhen airlines have proved the above judgement. All in all, I think the strategic positioning of Xiamen airlines is "Be larger" rather than "Be stronger", which is the only way to accelerate to develop.