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TOWS Matrix follows the roots of SWOT Analysis but it has a slight different from

what we could obtained from SWOT analysis. The main focus for SWOT Analysis is
on strengths, weaknesses, opportunities and threats; Whilst TOWS Matrix is the tool
to analyze, generate, compare and select the appropriate business strategy in order to
achieve the overall goals and objectives of the company. It enables the organization to
remain one step ahead of other competitors and cope with the ever-changing
competitive landscape.
There are four potential strategies of the TOWS Matrix. The four TOWS strategies are
outline as below :
1.Strength/Opportunity (SO)
2.Weakness/Opportunity (WO)
3.Strength/Threat (ST)
4.Weakness/Threat (WT)

Strengths and Threats (ST)


This strategy is used to exploit the internal strengths of a company to minimize
any potential external threat. In the case of Malaysia Airlines Berhad (MAS), one of
the strategy that could be implied is by using its strong brand image to overcome the
intense competition from its competitors. Since MAS has gained a favourable place in
the heart of its customers, they can use advertising as a tool to attract and retain more
customers in order to reduce competitive pressure. MAS can advertise on its top-
notch quality of service which help them to differentiate themselves from others
airline. Besides, with the aid of a good advertising, it enables MAS to further enhance
its brand image that defines superior, quality and comfort. The consumers will also be
convinced that flying with MAS will provide them a satisfactory experience and
leading to repetitive purchase from the customer.
The other strategy that could be implement is to fully utilize MAS well-built
personnel as a competitive advantage to diversified itself from the existing
competitors. MAS could implement a customer-focused marketing strategy where
they place priorities on customer satisfaction. MAS has provided necessary training to
the employees to ensure that their customers will have a decent flight experience with
the attentiveness and friendliness service provided by the cabin crews. A good
employee attitude also assist in developing a happy and loyal customer, leading to
more business opportunity and higher customer spending. Positive attitude developed

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from the crews will create a remarkable experience to its customers, and capture the
heart of the customer. In this regard, the customer will place first priority in MAS
over other airlines. It helps to reduce the competitive pressure from other airlines
which focused on providing a lower cost instead of customer satisfaction.
Moreover, with the establishment of partnership between MAS and Emirates
Airline, it helps in a way where MAS dropped some loss-making European routes in
year 2016(Eg: Paris and Amsterdam) and instead code-sharing with Emirates to
channel Europe and US bound passenger via Dubai("Emirates and Malaysia Airlines
announcing route-sharing deal", 2015). This is beneficial to MAS whereby they can
save cost on the jet’s fuel by shrinking their services, eliminate routes that are
unprofitable. In a simpler means, it exploits the advantage from the partnership with
Emirates to reduce the burden from rising cost of jet fuel prices. This is because one
of the way for the airlines company to combat with the rising of fuel prices is by
manage their fuel efficiently. By so, unnecessary wastage of fuel could be eliminated
and the fuel could be use in other flight which is more profitable instead.

Weaknesses and Threats (WT)


The aim of this strategy is to minimize weaknesses and minimize threats. In the
scenario of MAS, one of the approach to minimize its threat and weaknesses is by
adopting strategies to overcome its weak financial management in order to have
sufficient cash flow to counter unexpected events (eg: increase in jet fuel price).
Strategy such as implementing appropriate airline budgeting which provide scenario
analysis, run sensitivity analysis for different parameters(eg: fuel burn, maintenance
cost) and seek possible ways on cost reduction are the alternatives available to foster a
stronger financial management. By implementing an appropriate budgeting, it enables
the management to have a clearer picture on the company’s performance and it ease
the implementation of strategy.
The other applicable strategy is to improve employee efficiency by listening to
employees’ feedback and take necessary action which foster a two-ways
communication between employers and its workers. Employee efficiency impacts
greatly on the sustainability of an organization. MAS workers do not have a clear
direction on its company’s strategy and direction, thus leaving them in a doubt
situation which leads to poor performance from them. This situation could be
improved by gathering feedback from the employees so that MAS can know which

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areas to be particularly focus on and provide clarification and necessary guidance to
align employees’ interest with company’s goals.
On the other hand, in order to keep out of its competitor, MAS should take
necessary action to boost up the confidence and trust from the customers after the
incident of MH370 and MH17 which has caused a great impact on the profitability as
well as on the market share of the company. Actions such as providing favourable
deals and intensive marketing helps to restore favourable image for MAS. They
should do a thorough research on the customer preferences and adopt strategies which
align with the customers’ preferences. By so, the company will know which
marketing strategy to be adopted and yield better results for the profitability of the
company.

Reference
Emirates and Malaysia Airlines announcing route-sharing deal. (2015). Retrieved
from https://www.ibtimes.co.uk/emirates-malaysia-airlines-announcing-route-sharing-
deal-1531642

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