Strategic Choice and Evaluation Paper - Essay Example

Hawaiian Airlines: Grand Strategy                 Hawaiian Airlines: Grand Strategy In Order to achieve the aim of reducing the airlines debt by 25% as well as achieving growth in a span of 5 years, a grand strategy that incorporates all the various sectors of the plan together will need to be developed (Debraj, 2008). This is to ensure that everything comes together in the long run and assists in maintaining the focus of the organization on the main objectives that they wish to achieve (Galor, 2005).

The grand strategy can be described as the main plan that incorporates all the sub motives of the organization that are put in play so as to achieve the main objective. The most suitable grand strategy for Hawaiian Airlines in this case will be concentrated growth. (Galor, 2005).The grand strategy of Hawaiian Airlines involves the division of the main aim into a number of major objectives that will gel together to achieve the overall strategy. This will include a number of long term objectives through which the organization will be able to achieve their main objective which is the reduction of their debt and raising additional capital (Weil, 2008).

The achievement of these two objectives will lead to the accomplishment of the main aim which is the expansion and growth of the airline (Debraj, 2008). The grand strategy thus will consist of methods in which these two can be obtained in the most effective way. Though these objectives may have a number of sub-aims within themselves, the grand strategy will focus on the main objective itself and how to ensure it is achieved (Weil, 2008). With this in mind, the grand strategy can be designed as such:Reducing Company DebtThis objective will require adept skills in accounting if the aim of 25% is to be achieved in the amount of time allocated (5 years).

Reducing the company debt can be done through a number of ways that will involve the management of the organization’s funds and may require the company to tighten its belt in certain areas (Galor, 2005). These ways include, increasing the premium amount that is being paid during the agreed periods of time with their debtors. This increase can be within the realms of 5% and 10% which will make a big difference in the long run (Debraj, 2008). A second means is cutting on unnecessary costs and expenditure to ensure that the current debt does not grow any larger.

This may involve the cutting of costs such as paid vacations for the period of time that the debt is being reduced (Weil, 2008). The cutting of costs and increase of debt amount paid will mean that the money accrued will be paid off faster than was previously possible (Meier, 2005).Raising Additional CapitalRising additional capital for the company is done so as to provide the organization with extra funds which they can use to achieve their long term objectives such as the expansion of the airline and its reach into the air travel market (Galor, 2005).

The provision of this additional capital can be done using a number of means such as the offering of the company’s stock to the public that will enable to generate the funds needed, bonds are also another option that the company can take into consideration (Weil, 2008). The airline can also consider leasing additional airframes that will allow them to expand their services through operating additional routes to new destinations as new flights to already established regions.   ReferencesDebraj, R. (2008). Development Economics.

The New Palgrave Dictionary of Economics, 2nd Edition.Galor, O. (2005) From Stagnation to Growth: Unified Growth Theory. Handbook of Economic Growth, Elsevier.Meier, G. M. (2005). Biography of a Subject: An Evolution of Development Economics. Oxford: Oxford University PressWeil, David N. (2008) Economic Growth 2nd ed. Boston: Addison Wesley.