...1.0 Introduction AirAsia originally was founded by government and on 2 December 2001 was bought by Tony Fernandes. AirAsia was established in year 1993. AirAsia has travel around the earth and ascend to become the world’s best in year 2001. AirAsia continues to spread out the way for low-cost aviation through the innovation, efficient and passionate approach to business with a route a network that extent through over 20 countries. There are some companies which link with AirAsia such as AirAsia X, Thai AirAsia, Philippines’ AirAsia Inc., AirAsia Japan and Indonesia. In addition, for the vision part in AirAsia, AirAsia aims to be the largest low cost airline in Asia and serving the 3 billion people who are currently underserved with poor connectivity and high fares. While for the mission of AirAsia, AirAsia wants to be the best airline company to work whereby employees are treated as part of the big family. Besides, AirAsia try to maintain the lowest cost hence everyone can fly with AirAsia. Highest quality product, embracing technology to lower the cost and improvement in service levels will be maintained by the AirAsia airline also. Lastly, create a globally recognized ASEAN brand will be the mission part of AirAsia. In the values part, AirAsia will implement trough the following key strategies which are: * Safety * Low fare, no frills * Lean distribution system * Point to point network * High aircraft utilization * Streamline operation The loyalty...
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...1.0 Introduction AirAsia originally was founded by government and on 2 December 2001 was bought by Tony Fernandes. AirAsia was established in year 1993. AirAsia has travel around the earth and ascend to become the world’s best in year 2001. AirAsia continues to spread out the way for low-cost aviation through the innovation, efficient and passionate approach to business with a route a network that extent through over 20 countries. There are some companies which link with AirAsia such as AirAsia X, Thai AirAsia, Philippines’ AirAsia Inc., AirAsia Japan and Indonesia. In addition, for the vision part in AirAsia, AirAsia aims to be the largest low cost airline in Asia and serving the 3 billion people who are currently underserved with poor connectivity and high fares. While for the mission of AirAsia, AirAsia wants to be the best airline company to work whereby employees are treated as part of the big family. Besides, AirAsia try to maintain the lowest cost hence everyone can fly with AirAsia. Highest quality product, embracing technology to lower the cost and improvement in service levels will be maintained by the AirAsia airline also. Lastly, create a globally recognized ASEAN brand will be the mission part of AirAsia. In the values part, AirAsia will implement trough the following key strategies which are: * Safety * Low fare, no frills * Lean distribution system * Point to point network * High aircraft utilization * Streamline operation The loyalty...
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...1) Introduction to the leader (autobiography or biography) Tan Sri Anthony Francis Fernandes CBE (born 30 April 1964; also known as Tony Fernandes) is a Malaysianentrepreneur and the founder of Tune Air Sdn. Bhd., who introduced the first budget no-frills airline, AirAsia, to Malaysians with the tagline "Now everyone can fly". He has since founded the Tune Group of companies. He rose to prominence by turning AirAsia, a failing government-linked commercial airline, into a highly successful budget airline public-listed company. Fernandes was also instrumental in lobbying the then-Malaysian Prime Minister, Tun Dr. Mahathir Mohamad in mid-2003, to propose the idea of open skies agreements with neighbouring Thailand, Indonesia, andSingapore. As a result, these nations have granted landing rights to AirAsia and other discount carriers. Early years Born in Kuala Lumpur to a Goan father, and Kristang mother, Ena Dorothy Fernandes.[2] At a young age, Tony used to follow his mother, a businesswoman, to Tupperware dealer parties and conventions. He was educated at Epsom College 1977-83 and then graduated from the London School of Economics in 1987. He worked very briefly with Virgin Atlanticas an auditor, subsequently becoming the financial controller for Richard Branson's Virgin Records in London from 1987 to 1989.[3] Tony was admitted as Associate Member of the Association of Chartered Certified Accountants (ACCA) in 1991 and became Fellow Member in 1996. Upon his return to Malaysia...
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...Assignment for Strategic Management External influences on growth. All industries are influenced by the external environments, the firm's ability to react quickly tho the changes may help the growth of cripple them. There are 2 main models to help identifying them PESTEL and 5 factors. In the following, I will be discussing the relevant PESTEL tool, with incorporated 5 factor contributions due to the lack of information to plot out the 5 factor model. Politics Rules and legal compliance differs from country to country. In the budget airline segment, the delegalisation internationally is to their advantage for them, as they have now a wider geographical market opportunities. On the other hand, budget flights being able to provide international services is a real threat to the commercial flights, in which airlines which are tied to their countries comes as a hurdle in to all flight traveling to or from the country in efforts to protect their national carriers eg Singapore Airlines is ties to Singapore and Britirsh airways are tied to Great Britain. Economy Cost of the raw materials required for the business are high and an extant of good relationship with the supplier plays an active part in negotiations to drive down prices. (bargaining power of suppliers). Most continental flights generate a higher percentage of profits from loyal first class and business travelers. Social the growth in wealth globally has increased the spending power of the consumers and the demand...
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...carriers especially the low-cost carriers. More innovative pricing models and services are now available to compete for the consumers’ dollar. With growing affluence of regions such as Asia-Pacific, manufacturers such as Airbus have predicted passengers to double over the next 20years.Finally, the use of technology (such as mobile applications and social media) to advertise, engage consumers, build customer databases, and sell travel deals/fares is becoming increasingly prevalent. Beyond just providing air travel, airlines will leverage more on mobile technology and social networks to foster deeper and more responsive interaction with customers and build brand loyalty Comment on the business-level strategy adopted by AirAsia. How has AirAsia achieved cost leadership or differentiation? The business level strategy adopted by...
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...Media's Brand of the Year Goes to AirAsia Awarded for constant innovations and bold ideas in branding campaigns SINGAPORE, 9 December 2009 – AirAsia, the world's best low-cost carrier, continues its award winning streak when the airline was bestowed the prestigious Brand of the Year award at Media's Agency of the Year (AOY) Awards, held at the St. Regis in Singapore. In its 16th year, the Agency of the Year Awards recognizes inspired brand leadership, management excellence, outstanding business performance and overall achievements in the Asia-Pacific advertising and communications industry. For the Brand of the Year category, AirAsia was awarded the accolade for its constant innovations and bold ideas in branding campaigns and advertisements to achieve marketing success. Despite the global economic downturn, AirAsia continued to embark on numerous branding campaigns which in turn became not only the industry's benchmark, but lead the way to demonstrate aggressive branding efforts which are essential to keep the brand relevant, alive and fresh especially during challenging times. The airline’s perseverance is often praised by aviation and economic experts, and its success formula is regularly emulated by others. AirAsia Regional Head of Commercial, Kathleen Tan said, “As a young airline, we are very elated with this win, as it is a very important recognition to our tireless efforts in bringing the AirAsia brand to the forefront. To all our 7,500 staff who are also...
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...Introduction PEST Analysis is the Political, Economic, Social culture and Technology analysis that a company does to determine the overall business environment. A PEST analysis is a look at the external environment of a company or a business that plays an important role in managing and decision making of a company. It is crucial for a company to consider its environment before relating with the public or customers. The PEST analysis examines the impact of each of the factor on the company. Thus, political factor considers the impact of legislatives changes, stability of the economy and event that related with the government and politics that may affect the business. Influence of economy, such as interest rate, stability of economy, inflation levels and such helps the company make better decision on how to operate their company effectively. Besides that, the social drive is a crucial part on PEST analysis. Creating and developing a social culture takes time and effort and a new motive driven company such as Air Asia has to develop me method on how to connect with the society's lifestyle, demographics, and media. Technological point of PEST analysis relates with competing technology development with other competitors and effective information and communication between the market and the company. Political Analysis Political Analysis mainly states about the aviation acts and regulation which needed by aviation company such as Air Asia to operate their business. The political...
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...The Development and History of AIRASIA AIRASIA is one among the top International brand in the low cost Airline Industry. Airasia brand came into existence in 1993, it was a joint public-private sector enterprise, however in 2001 current CEO Mr. Tony Fernandes purchased it and It was under him the Airasia brand got global recognition and unimaginable growth which started right from 2002 and continues till date, AirAsia started moving up the ladder under Tony's leadership from 2002 onwards by launching new routes from its main hub the capital of Malaysia till then the national carrier of Malaysia ruled the sky in and around Malaysia. In 2007, Airasia announced the birth of Airasia X the long haul budget flights, the first AirAsia X flight was from Kuala lumpur International airport to Gold coast in Australia thus began the journey from south east Asia to capturing routes in major cities around the world. In 2007, Virgin Airline chief had 20% stake in AirAsia X and had announced code sharing between Virgin Blue and AirAsia in and around Australian subcontinent. Profile of AirAsia: AIRASIA, is Asia's largest and one among the top 10 international brand in the low cost segment having physical base in three countries; Malaysia, Thailand and Indonesia. AirAsia has four subsidiaries: AirAsia, Indonesia AirAsia, ThaiAirAsia and VeitJet Airasia. The company has a strength of around 3000 staffs and It flies to around 65 destinations worldwide using the 97 aircrafts and another...
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...AirAsia Berhad (284669-W) 25-5, Block H, Jalan PJU 1/37, Dataran Prima, 47301 Petaling Jaya, Selangor Darul Ehsan, Malaysia Tel : (603) 78809318 Fax : (603) 78806318 E-mail : investorrelations@airasia.com Website : www.airasia.com CONTENTS AirAsia Berhad | annual report 2007 Our Dreams and Aspirations To be the largest low cost airline in Asia serving the 3 billion people who currently are underserved with poor connectivity and high fares. G G 2 4 7 8 12 20 22 24 26 30 32 34 36 40 42 43 44 46 47 48 52 53 54 56 60 62 66 68 72 76 81 82 83 152 156 157 G Our Dreams and Aspirations Corporate Profile Five Year Financial Highlights Share Performance Chairman’s Statement Group Chief Executive Officer’s Report AirAsia’s Strategy for Success Route Network Safety Product Development Go Holiday The Sky is Your Limit Champion of Low Fares AirAsia Roars Into Formula One One AirAsia Our People, Our Pride Investing In Our Future Major Milestones Serving You Better from Our 2nd LCC Terminal Awards & Accolades AirAsia Cares AirAsia Group Corporate Information Board of Directors Directors’ Profile Senior Management Senior Management Profile Managing Risk to Maximise Returns AirAsia Financial Snapshots Statement on Corporate Governance Audit Committee Report Statement on Internal Control Additional Compliance Information Financial Statement Analysis of Shareholdings List of Properties Held Notice of Annual General Meeting Proxy Form To be the best company to work for where employees...
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...Arts Elixir Mgmt. Arts 51 (2012) 11164-11171 AirAsia Berhad: Strategic analysis of a leading low cost carrier in the Asian region Yasmin Yashodha Taylor’s University Lakeside Campus, No. 1 Jalan Taylor's, 47500 Subang Jaya, Selangor Darul Ehsan, Malaysia. A R TI C L E I N F O Art i c l e h i st ory : Received: 9 July 2012; Received in revised form: 13 October 2012; Accepted: 30 October 2012; K ey w or d s Strategic analysis, Region, Low cost, Extensive. ABSTRACT This study examines the extensive strategic analysis of AirAsia Berhad that has enabled it to sustain its competitive advantage as Asia’s leading low cost carrier (LCC). The study demonstrates the diverse business-level, corporate level and competitive strategies of AirAsia Berhad, played crucial roles in the LCC to successfully penetrate the under-served market segment of the airline industry within the ASEAN region. An in-depth analysis using a wide array of academic resources, relevant financial, legal and management resources and authorized websites, including face-to-face interviews were used to provide a more consequential comprehension on the varied business and international strategies that were implemented by AirAsia Berhad. This research exhibits critical analysis pertaining to the current macro environment of the aviation industry which includes the PESTEL framework and Porter’s Industry Analysis. The competitive environment analysis for AirAsia Berhad is thoroughly scrutinised to examine the driving...
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...AirAsia Berhad (284669-W) Annual Report 2010 Annual Report 2010 welcome on board. AirAsiA BerhAd AnnuAl report 2010 A Promise mAde, A Pledge KePt When AirAsiA stArted out As A loW-cost Airline in 2002, We pledged to mAke Air trAvel AffordAble for everybody. todAy, nine yeArs doWn our corporAte journey, We knoW We hAve kept to our initiAl promise. in october 2010, we flew our 100 millionth guest, a young, newly married indonesian housewife who was going to visit her husband working in india. Just as we made her travel dream come true, we are delighted to have done the same for more than 100 million guests. We have kept our fares down thanks to our disciplined focus on keeping our operating costs the lowest among the world’s airlines. We offer a million free tickets every year. While enabling everyone to fly, we are also connecting people to places that were never connected by air before. We have achieved our Vision of being the largest low-cost airline in Asia, serving those who previously had no access nor the means to enjoy air travel. We have done this by staying close to our Mission of: • • • being the best company to work for, treating each Allstar as a member of our extended AirAsia family creating a globally recognised ASEAN brand maintaining the highest quality product, embracing technology to reduce costs and enhance service levels Central to our promise is our great team of Allstars who have proven time and again that hard work, creativity,...
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...version essay Pest Analysis On Airasia Pest Analysis On Airasia Print version essay is available for you! You can search Free Term Papers and College Essay Examples written by students!. Join Essays24.com and get instant access to Pest Analysis On Airasia and over 30,000 other Papers and Essays Category: Miscellaneous Autor: anton 12 May 2011 Words: 1354 | Pages: 6 1.0 Introduction Purpose The purpose of this analysis is to conduct an environmental analysis in the context of AirAsia's international business operations, describing the major variables involved and the impact of the specific threats and opportunities confronted by AirAsia besides that, this analysis also helps to identify AirAsia's competitive strategy and analyse how the strategy is implemented to gain competitive advantage. Background on AirAsia AirAsia was set up by Dato' Tony Fernandes in 2001. In December 2001, Fernandes and his partners set up Tune Air Sdn Bhd (Tune Air), an airline holding company then bought over AirAsia. Now, AirAsia has become one of the most successful airlines in the Southeast Asian region and the pioneer of low cost and no frills travel in Malaysia. The airline now flies to over 40 destinations in Malaysia, Thailand, Indonesia, Macau, China, Philippines, Cambodia, Vietnam and Myanmar. AirAsia has formed 2 successful joint ventures in Thailand through Thai AirAsia, and Indonesia through AWAIR. Starting from 2 aircraft till now AirAsia owns 28 and has carried more...
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...currently operates scheduled domestic and international flights to 80 destinations (including subsidiaries routes) across 25 countries and with over 400 daily flights covering Indonesia, Malaysia and Thailand and for international routes mostly from Kuala Lumpur to Australia, Bangladesh, Brunei, Cambodia, China, France, Iran, India, Japan, Laos, Myanmar, New Zealand, Philippines, South Korea, Singapore, Sri Lanka, Taiwan, the United Kingdom and Vietnam. Air Asia’s main hub is at Kuala Lumpur International Airport as well as the head office of the company and its affiliated airlines, Thai Air Asia and Indonesia Air Asia, have hubs in Suvarnabhumi Airport and Soekarno-Hatta International Airport.In this assignment,we will obtain information about AirAsia more. TASK A: DEFINITION OF MARKETING #1: * “Marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitably”. Source: Chartered Institute of Marketing (CIM) (http://www.studymode.com) DEFINITION OF MARKETING #2: * "Marketing is human activity directed at satisfying needs and wants through exchange process." Source: Philip Kotler (http://www.learnmarketing.net/marketing.html) COMPARISON All two definitions mention specifics of marketing and give an a concept about marketing today. One important thing,...
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...MALAYSIA AIRLINES SYSTEM AND AIRASIA AIRLINES COLLABORATION TAKES PLACE. TABLE OF CONTENTS QUESTIONS 1:- Analyze the current situation facing MAS and AIRASIA using the internal and external strategic environmental analysis model. Discuss what aspects and why did their collaboration take place? INTRODUCTION Various industries, specifically in airline business are attempting to improve their services to draw new passengers and travellers and to retain old passengers and travellers, and this objective is part of their business as well as their marketing model. In order to adjust with the stiff competition in the airlines business, airlines industries tend to come up with various businesses models and model to be competitive. Additionally, because of increasing competition among substitute industries, firms like AIRASIA, AIRASIA X and MAS. Airlines adopt strategic model to marketing and expend their market reach as well give better and satisfying service delivery to their target market. To sustain the market position as well as advantage business market model to management and marketing are being developed and utilized. MAS, AirAsia share swap not a win-win deal From its inception, it has not been plain sailing for the planned share swap between two of the country's most bitter airline rivals — Malaysia Airlines (MAS) and AirAsia — given the many issues involved...
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...Question 1 Analyze the current situation facing MAS and AirAsia using the internal and external strategic environment analysis model. Discuss what aspects and why did their collaboration take place. Answer Background to AirAsia A ‘no-frills’ airline is defined as one “That uses charter and/or scheduled flights to offer bargain-basement fares. Budget airlines usually land at and take-off from secondary airports, do not provide in-flight meals or refreshments, and may not even offer numbered seat allocation. Their ticket prices are fixed and non-refundable in case of a cancellation or no-show”. AirAsia is one of the fastest growing airline companies in the world, with a reputation as a low-cost, ‘no frills’ airline. It was originally a government owned business; yet, due to heavy debt, it was bought by former Time Warner executive Tony Fernandes in 2001, and this is where the real story begins. Their vision, under the slogan "Now Everyone Can Fly", is “To be the largest low cost airline in Asia and serving the 3 billion people who are currently underserved with poor connectivity and high fares”,(ii) and their mission is, under the banner of 'Affordable Airfares', “To attain the lowest cost so that everyone can fly with AirAsia,” without any compromise to Flight Safety Standards, as well as, creating a worldwide recognizable brand with a ‘family’ atmosphere within working conditions for employees. (iii) These statements clearly show AirAsia’s value. Cost advantages...
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