Research On Cost Management Of Spring Airlines From The Perspective Of Value Chain

My country’s economic development has made remarkable achievements during the"Thirteenth Five-Year Plan" period,and is shifting from high-speed growth to high-quality development.The civil aviation transportation industry has the characteristics of fast and efficient,and has a significant role in promoting my country’s economic development.Therefore,optimizing the resource allocation of the civil aviation industry and promoting the high-quality development of the civil aviation industry will help enhance the international competitiveness of our civil aviation industry.The country has successively introduced a series of policies in the past two decades to encourage private capital to enter the air transport industry,advocate the injection of fresh blood,and vigorously promote the development of the civil aviation transport industry.This article uses case analysis as the research method,combines qualitative analysis and quantitative analysis,selects Spring Airlines as the research object,uses value chain theory as an analysis tool,and combines the development status of the civil aviation transportation industry with the existing problems of current cost management and the characteristics of cost management.,Using the public annual report data of Spring Airlines and seven other listed comparable airlines in the same industry from 2015 to 2019,using comparative analysis and ratio analysis to analyze the cost of each link in the Spring Airlines value chain using financial data analysis to find out that Spring Airlines’ cost management It has the following experience and advantages:In the internal value chain,Spring Airlines strives to increase the value-added links and taps profit growth points,such as online business platforms,Asian international routes,etc.;and has attached great importance to R&D investment since its establishment.This greatly reduces sales and management costs;maximizes the use of third-party resources and services,effectively reducing labor costs and management costs.In the external value chain,like other domestic airlines,it is no longer possible to further reduce costs in terms of aircraft,aviation materials,jet fuel,etc.Spring Airlines adopts high passenger load factor and high daily utilization rate to dilute fixed costs;A single space reduces maintenance and management costs.The additional space can not only increase operating income but also dilute the unit cost;change the value chain links of the small value-added value chain such as meals from free provision to on-demand purchase to reduce non-essential costs;At the same time,Spring Airlines is sinking into the second and third-tier cities.Although the cost of airport usage has risen,it has raised the daily interest rate of aircraft,which means that the main business income has increased.Through the analysis of cost characteristics and current status of cost management in my country’s civil aviation transportation industry,combined with industry data and the study of Spring Airlines value chain cost management,it provides reference and enlightenment for the value chain cost management of my country’s civil aviation transportation industry.