...International Business Strategy Name: Institutional affiliation: Date: International Business Strategy Introduction There has been growing concern for the economic interdependence of nations on a global scale. As a result, companies have stepped up the cross-border business transactions in the recent past. Widespread sharing of technology, global economic shifts, and international governance among others, have been the enabling factors. Visionary business leadership has transformed national-level firms into robust multinationals that dispense a wide variety of goods and services to a scale never witnessed before. As many companies yearn to take their business internationally, they face ever-present challenges in the new business arena. Managers, therefore, need to take a keen interest in assessing the corporate strategies to fit the demands of international business so as to maintain their competitive edge and suitably serve the culturally diversified individual and institutional customers. This report analyses a myriad of aspects that multinational companies face in the global provision of goods and services. In its deliberations, the reports deeply evaluate the National Double Diamond model and its later improvement as well as the SAFe criteria that are essential to business leaders in effectively engaging in international business. It gives insight on how the varied features of the international business impact on the business strategy...
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...International Business Strategy Name: Institutional affiliation: Date: International Business Strategy Introduction There has been growing concern for the economic interdependence of nations on a global scale. As a result, companies have stepped up the cross-border business transactions in the recent past. Widespread sharing of technology, global economic shifts, and international governance among others, have been the enabling factors. Visionary business leadership has transformed national-level firms into robust multinationals that dispense a wide variety of goods and services to a scale never witnessed before. As many companies yearn to take their business internationally, they face ever-present challenges in the new business arena. Managers, therefore, need to take a keen interest in assessing the corporate strategies to fit the demands of international business so as to maintain their competitive edge and suitably serve the culturally diversified individual and institutional customers. This report analyses a myriad of aspects that multinational companies face in the global provision of goods and services. In its deliberations, the reports deeply evaluate the National Double Diamond model and its later improvement as well as the SAFe criteria that are essential to business leaders in effectively engaging in international business. It gives insight on how the varied features of the international business impact...
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...Master’s thesis M.Sc. in EU Business & Law An analysis of the European low fare airline industry - with focus on Ryanair Student: Thomas C. Sørensen Student number: 256487 Academic advisor: Philipp Schröder Aarhus School of Business September 13, 2005 1 Table of contents 1. Introduction 1.1. Preface 6 1.2. Research problem 6 1.3. Problem formulation 7 1.4. Delimitation 7 2. Science and methodology approach 2.1. Approaches to science 2.1.1. Ontology 2.1.1.1. Objectivism 2.1.1.2. Constructivism 2.1.2. Epismotology 2.1.2.1. Positivism 2.1.2.2. Hermeneutics 9 9 9 9 10 10 10 2.2. Methodology 2.2.1. Types of research 2.2.2. Types of data 2.2.2.1. Quantitative data 2.2.2.2. Qualitative data 2.2.2.3. Primary and secondary data 11 12 13 13 13 14 2.5 Reliability and validity 15 3. Theoretical framework 3.1. The structure of this thesis 16 3.2. Theory on strategy and competitive advantage 3.2.1. The Positioning School 3.1.1.1. Theory on Porter´s Five Forces model 3.2.1.2. Theory of Generic Strategies 3.2.2. The Resource-based School 3.2.2.1. Theory on SWOT analysis 18 24 20 23 25 27 4. The low fare airline business model 4.1. Introduction 28 4.2. Differences between the LFA model and the FSA model 4.2.1. The service factor 29 29 2 4.2.2. Turnaround times 4.2.3. Homogenous fleet 4.2.4. Point-to-point travel vs hub-and-spoke travel 4.2.5. Higher seat density 4.2...
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...and is Asia’s largest low fare, no frills airlines. Air Asia pioneered low cost travelling in Asia. It is also the first airline in the region to implement fully ticketless travel and unassigned seats. Its main base is the Low Cost Carrier Terminal (LCCT) at Kuala Lumpur International Airport (KLIA). Its affiliate airlines Thai Air Asia and Indonesia Air Asia fly from Suvarnabhumi Airport, Thailand and Soekarno-Hatta International Airport, Indonesia, respectively. AirAsia operates with the world's lowest unit cost of US$0.023 per available seat kilometres (ASK) and a passenger break-even load factor of 52%. It has hedged 100% of its fuel requirements for the next three years, achieves an aircraft turnaround time of 25 minutes, has a crew productivity level that is triple that of Malaysia Airlines, and achieves an average aircraft utilisation rate of 13 hours a day. It is currently the main customer of the Airbus A 320 which has been operational since 2013. The first unit of the plane arrived on 8 December 2005. Air Asia’s Values The emphasis of this assignment is to Identify how Air Asia can attain its vision and reach its identified target customers by the use of S.T.P strategy and how the firm has managed its marketing decisions to position themselves for maximum competitive advantage. Air Asia’s S.T.P strategy Segmentation it is to determine distinct group of buyers (segments) with different needs characteristics or behaviour. Since Air Asia’s vision is providing...
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...Strategic Management Name Course Tutor Date Executive Summary These have been unstable times for the Australian airline industry. It has been faced with a marked decline in global tourism after the September 2001 terrorist attacks in the United States. Recently, there has been traffic loss which is attributed to the war in Iraq and severs acute respiratory syndrome (SARS) occurrences in parts of Canada and Asia. In addition, to this mayhem the industry has gone through main structural changes since 1990s. There were four airlines on the essential routes but currently they are two. In 2000, the local trunk routes were controlled by Ansett Australia and Qantas Airways with new competitors Impulse Airlines and Virgin Blue rising in niche market. Currently the industry has irregular two airline structures, with Qantas leading since its occupation of Impulse Airlines in 2001 and the Ansett group’s following collapse in September 2001. On the contrary, Virgin Blue is not a member of an association, its service frequencies are reserved in comparison with those of Qantas, and its local network is not as extensive as that of Qantas is dynamic. In reaction to Virgin blue success, Qantas is taking steps to expand its allocation of the budget travel market, while Virgin is now in quest of expansion past its vacation traveller position by developing its business travel market. The government is showing a liking for administrative way outs such as a certain number of local airline...
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...studies: SAS Airline & Ryanair Master Thesis in Entrepreneurship and Dynamic Business Contexts Spring 2007 Supervisor: Håkan Bohman Entrepreneurship Master Program Authors: Gilles Helterlin and Nuno Ramalho Acknowledgements We would like to express our gratitude to all who have contributed to the realization of this Master Thesis. A warm thank to our supervisor, Håkan Bohman from USBE (Umeå School of Business), for his guidance, his precious help and his advises during the last months. To Mr. Lundvall, from LFV (Luftfartsverket), Mr. Valinger from Scandinavian Airline and Mr. Wilsberg from SAS Braathens, Jessica Eriksson and Thomas Pettersson from USBE, thank you for your availability, willingness in answering our questions and for their so precious collaboration with interviews, comments and suggestions. Thank you also Sweden for the wonderful moments we have spent here. We will never forget your nature (your elks), your cold winter (-30°C), your long nights in winter and your short nights in late spring!! It has been a great experience and adventure up there in Northern Sweden!! We will miss you… Finally we would like to thank particularly the Studentexpedition for its kindness, without forgetting our family and friends (from Sweden, France, Portugal and Greece) for their everlasting daily support, especially during hard moments. Many thanks to all of you! Umeå, 24 June 2007 Gilles HELTERLIN Nuno BERBERAN Abstract The dynamics of business contexts influence...
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...experienced aviation team. KPMG’s understanding of the aviation industry is both current and forward looking, thanks to KPMG’s global experience, knowledge sharing, industry training and use of professionals with direct experience in the aviation industry. KPMG member firms serve many of the market leaders within the airline sector. We are leading providers of external audit services with 33% market share of the top 50 airlines by revenue. We also provide other services to over half of these top 50 airlines. KPMG member firms’ strength lies in our professionals and their knowledge and experience gathered from working with a large and diverse client base. KPMG’s airline industry experience helps the teams understand both your business priorities and the strategic issues facing your company. KPMG’s Global Aviation practice’s presence in many international markets, combined with industry knowledge, positions KPMG member firms to assist you in recognizing and making the most of opportunities, as well as implementing changes necessitated by industry developments. For more information on KPMG’s Global Aviation practice, please contact: Malcolm Ramsay Head of Aviation +61 2 9335 8228 malramsay@kpmg.com.au Dr. Ashley Steel Global Chair, Transport +44 20 7311 6633 ashley.steel@kpmg.co.uk Alternatively, refer...
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...International Business & Economics Research Journal – December 2005 Volume 4, Number 12 AirAsia In The Malaysian Domestic Airline Market: Empirical Analysis Of Strategy Mok Kim Man, (Email: mkimman@ums.edu.my),Universiti Malaysia - Sabah, Malaysia Jainurin Bin Justine, (Email: Jainurin@ums.edu.my), Universiti Malaysia - Sabah, Malaysia ABSTRACT This paper will examine the results of the strategic actions of AirAsia in the Malaysian domestic airline market. Firstly, the paper will provide a general background of the airline industry, in particular the Malaysian domestic airline market and a summary of an analysis of the industry using Michael Porter’s Five Forces Analysis. Secondly, the paper will provide a brief background of AirAsia and Malaysia Airlines. Thirdly, the paper will analyse the results of AirAsia’s strategy vis-àvis operating and financial performance. Finally, the paper will conclude a summary of AirAsia’s achievement of the past and present and prospect for the future. INDUSTRY BACKGROUND Airline Industry The airline industry is very competitive with existing airlines having to compete with each other as well as with new entrants from time to time. For every success such as Singapore Airlines and Southwest Airlines, there are plenty of failures such as Pan Am, TWA, Swissair, Sabena, Ansett, People Express, Go, Buzz and so on. Major Characteristics There are three major characteristics of the airline industry namely its product nature, its expenditure...
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...THE VIRGIN GROUP CASE STUDY QUESTION 1: What examples does the case give of links between Branson’s strategy for Virgin and the environment in which it operates? The Virgin Group Ltd is a group of separately run British companies with the Virgin brand under the leadership of English celebrity business tycoon Sir Richard Branson. The core business areas are travel, entertainment and lifestyle, among others. Richard Branson’s strategy comes from his deepest inner beliefs; “in principle there were no product or service boundries limiting a brand name, provided it was associated with quality products/services on offer” The corporate strategy of the Virgin Group is to operate like ‘a venture capital firm based on the Virgin brand.’ This strategy involves non-related diversification at the individual business unit level. Meanwhile, synergies are created from hierarchical relationships and the interaction of the corporate head office with individual business units. By leveraging on the Virgin Brand which has established prominence in the minds of consumers, Virgin is able to enter new business areas with a bang and shake up existing orders. The unique Virgin culture also allows Virgin to break into new markets and execute its ventures very effectively. Virgin’s corporate strategy is best described in the Virgin Charter – the individual businesses are focused and develop as autonomous enterprises under a single unified brand name. This decentralization...
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...THE RISE OF TONY FERNANDES AND AIRASIA IN MALAYSIA1 SHAHRIL EASHAK ISMAIL Monash Asia Institute, Monash University, Caulfield East Vic 3145, Australia Email: seism1@student.monash.edu 1 This paper was presented to the 18 Biennial Conference of the Asian Studies Association th of Australia in Adelaide, 5-8 July 2010. It has been peer reviewed via a double referee process and appears on the Conference Proceedings Website by the permission of the author who retains copyright. This paper may be downloaded for fair use under the Copyright Act (1954), its later amendments and other relevant legislation. 2 The Rise of Tony Fernandes and AirAsia in Malaysia This article discusses the emergence of Tony Fernandes and AirAsia. At first, when AirAsia was relaunched as a Low-Cost Carrier (LCC) under the leadership of Fernandes, no one thought the airliner would survive, let alone become a symbol of the liberalisation of the aviation industry in Southeast Asia. Second, Fernandes, a Malaysian Indian of Portuguese Malaccan descent – obviously not a Bumiputra2 - was able to thrive as an entrepreneur in an environment where the government gave top priority to Bumiputra entrepreneurs. These issues are discussed in this paper. Malaysia’s New Economic Policy (NEP) The Malaysian Government has played a significant role in Malaysia’s rapid economic growth. After the independence in August 1957, the economy shifted...
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...THE RISE OF TONY FERNANDES AND AIRASIA IN MALAYSIA1 SHAHRIL EASHAK ISMAIL Monash Asia Institute, Monash University, Caulfield East Vic 3145, Australia Email: seism1@student.monash.edu 1 This paper was presented to the 18 Biennial Conference of the Asian Studies Association th of Australia in Adelaide, 5-8 July 2010. It has been peer reviewed via a double referee process and appears on the Conference Proceedings Website by the permission of the author who retains copyright. This paper may be downloaded for fair use under the Copyright Act (1954), its later amendments and other relevant legislation. 2 The Rise of Tony Fernandes and AirAsia in Malaysia This article discusses the emergence of Tony Fernandes and AirAsia. At first, when AirAsia was relaunched as a Low-Cost Carrier (LCC) under the leadership of Fernandes, no one thought the airliner would survive, let alone become a symbol of the liberalisation of the aviation industry in Southeast Asia. Second, Fernandes, a Malaysian Indian of Portuguese Malaccan descent – obviously not a Bumiputra2 - was able to thrive as an entrepreneur in an environment where the government gave top priority to Bumiputra entrepreneurs. These issues are discussed in this paper. Malaysia’s New Economic Policy (NEP) The Malaysian Government has played a significant role in Malaysia’s rapid economic growth. After the independence in August 1957, the economy shifted...
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...Embrace Your Inner Rock Star Little more than three years ago, you had probably never heard of Harmonix. In 2005, the video game design studio released Guitar Hero, which subsequently became the fastest video game in history to top $1 billion in North American sales. The game concept focuses around a plastic guitar-shaped controller. Players press colored buttons along the guitar neck to match a series of dots that scroll down the TV in time with music from a famous rock tune, such as the Ramones’ “I Wanna Be Sedated” and Deep Purple’s “Smoke on the Water.” Players score points based on their accuracy. In November 2007, Harmonix released Rock Band, adding drums, vocals, and bass guitar options to the game. Rock Band has sold over 3.5 million units with a $169 price tag (most video games retail at $50 to $60). In 2006, Harmonix’s founders sold the company to Viacom for $175 million, maintaining their operational autonomy while providing them greater budgets for product development and licensing music for their games. Harmonix’s success, however, did not come overnight. The company was originally founded by Alex Rigopulos and Eran Egozy in 1995, focused around some demo software they had created in grad school and a company vision of providing a way for people without much musical training or talent to experience the joy of playing and creating music. The founders believed that if people had the opportunity to create their own music, they would jump at the chance. Their software, which...
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...COMMERCE BUS317 STRATEGIC MANAGEMENT MANAGEMENT TEAM REPORT TIGER AIRWAYS Lecturer: Jack Ng Group Members: Name Student Number Cheong Liang Ruey 31923243 Hoe Guofeng 31780553 Justin Keola Tan 31232321 Liew Fui Ming 31974996 Mindy Tan Hui Qi 31490513 Tay Tiong Gee 31780553 TABLE OF CONTENTS Pages Cover Page 1 Table of Contents 2 1. Executive Summary 3 2. Introduction 3 3. Current Company Situation 3.1 Past Performance Assessment 3 3.2 Current Company Activities 4 4. External Analysis 4.1 PEST 5 4.2 The Five Forces 6 4.3 SWOT - Opportunities and Threats 8 5. Internal Analysis 5.1 Value Chain 9 5.2 Functional Analysis 11 5.3 SWOT - Strengths and Weaknesses 11 6. Strategic Issues and Key Problems 12 7. Development of Different Strategies 7.1 Current Alternatives and Strategies 13 7.2 SAVED 15 8. Selection of Alternative 16 9. Implementation 17 10. Evaluation and Control 17 11. Appendices A to E and References 1. EXECUTIVE SUMMARY The purpose of this report is to provide a thorough analysis on Tiger Airways. The report includes an environmental analysis using PEST, Porter Five Forces and opportunities and threats. For internal evaluation, it examines the value chains and the strengths and weaknesses. Next, it diagnoses the strategic issues and...
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...Embrace Your Inner Rock Star Little more than three years ago, you had probably never heard of Harmonix. In 2005, the video game design studio released Guitar Hero, which subsequently became the fastest video game in history to top $1 billion in North American sales. The game concept focuses around a plastic guitar-shaped controller. Players press colored buttons along the guitar neck to match a series of dots that scroll down the TV in time with music from a famous rock tune, such as the Ramones’ “I Wanna Be Sedated” and Deep Purple’s “Smoke on the Water.” Players score points based on their accuracy. In November 2007, Harmonix released Rock Band, adding drums, vocals, and bass guitar options to the game. Rock Band has sold over 3.5 million units with a $169 price tag (most video games retail at $50 to $60). In 2006, Harmonix’s founders sold the company to Viacom for $175 million, maintaining their operational autonomy while providing them greater budgets for product development and licensing music for their games. Harmonix’s success, however, did not come overnight. The company was originally founded by Alex Rigopulos and Eran Egozy in 1995, focused around some demo software they had created in grad school and a company vision of providing a way for people without much musical training or talent to experience the joy of playing and creating music. The founders believed that if people had the opportunity to create their own music, they would jump at the chance. Their software, which...
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...was on Personnel Management - making sure employees comply with law…conditions - 1980-1990s HR focus was on management of human capital Strategic Human Resource Management (SHRM) - Plans activities for organisations to achieve its goals - To receive ultimate employee performance, they need to be linked to organisational goals and strategy - Achieved by consistently influencing employee attitudes and behaviours - HRM policies are linked towards organisational goals, HRM contribute to them in a meaningful way. Theoretical bases for HRM Behavioural view - HRM controls employee attitudes and behaviours to suit the situation - Suggesting HR focuses on behaviour rather than skills / knowledge of the job Resource Based view - HR are seen as a resource which give an upper hand for the reason they keep employees in right mind of frame for the goals set Political – influence view HR act as a Political leader through - Social communication through one and another - there to prevent negative social influences and maintain positive environment Harvard framework for HRM -HR take raw influences in business - Tune them providing an organisation that has positive, individual wellbeing, effectiveness and social wellbeing. Roles for HR professionals - Strategic focus on systems (Strategic partner) - Strategic focus on people(Change agent) - Operational focus on systems(Administrative expert) - Operational focus on people(Employee champion) - HR...
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