Research On Developing Strategy Of China Air Cargo Enterprises

With China's promise to World Trade Organization (WTO) and the new air treaties signed with other countries, the competitions in domestic air cargo markets have become even hard and complicated. The ingression, one after another, of those air cargo giants, such as Korean Air, Lufthansa Airlines and Singapore Airlines, and those air express giants, such as FedEx, UPS, DHL, TNT, has push the domestic traditional air cargo enterprises into the edge of a most severe challenge.There exists big gap in logistics between domestic air cargo enterprises and its overseas counterparts mostly due to its late and low start points, single-styled service model and lack of good strategic plans. It is worth a thorough strategic reflection on how to regain the competition edges in the tough situations for our national cargo businesses.In this thesis, I will firstly analyze the current competitions in the air cargo businesses, and then discuss the necessity of extending the service chains for air cargo enterprises. As an example, I will analyze the challenges that air cargo business of China Eastern airlines groups had been facing and provide some suggestion for its future developing strategy.This thesis includes seven chapters. Chapter one is the introduction part for introducing the background, motivation and meaning of this research. Chapter two is an extension of chapter one introducing the current situations and future trends of international air cargo businesses. At the same time, I will introduce the concepts of air logistics and modern logistics and discuss the importance of the air cargo transport in the overall air logistics supply chain. In chapter three, the situations and future trends of domestic air cargo businesses will be discussed and analyzed. In Chapter four, I will analyze the general environments, industrial competition environments and internal environments that domestic air cargo enterprises had been facing, and unveil the hard facts of our national air cargo businesses by using historic data. In Chapter five, I will analyze and discuss the strategic plans, market positions, competition strategies and provide the solutions for strategy implements. In Chapter six, as a case study, I will discuss the developing strategy for air cargo business of China Eastern airlines groups based on the SWOT analysis and previous chapters. Finally, all the studies will be briefly summarized in Chapter seven. Based on the analysis of the service chains and value chains of air logistics, I believe that our traditional air cargo companies should extend their service coverage to all the nodes and areas of value chains. At the same time, air cargo companies can only survive and grow up by focusing on improving their professional strengths and extending the service chain coverage.