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Finnair SWOT: NE Asia focus grows long haul profile

Finnair launched Helsinki to Los Angeles at the start of summer 2019 and will add Beijing Daxing to its Beijing Capital service this winter, when Guangzhou will become a year-round destination. The airline also plans to launch a service to Busan in South Korea in summer 2020.

These route additions underline that the focus of the airline's long haul network remains North East Asia, building on its connecting strategy between there and Europe via its Helsinki hub. In addition, its US network is growing, albeit from a small base, and this is giving some additional impetus to its east-west transfer flows.

Finnair's expansive mood is coming at a time when it admits that there is a slowdown in its key markets. Its 1H2019 financial results statement indicated that its FY2019 operating margin is likely to fall below its target of 6.0%, since revenue is expected to grow at a slower rate than capacity growth.

This report considers Finnair's strengths, weaknesses, opportunities and threats.

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