Kuala Lumpur, Malaysia. It was the largest airline in Malaysia in fleet size and destinations. AirAsia group operates scheduled domestic and international flights to 100 destinations spanning 22 countries. AirAsia Bhd. engages in the provision of air
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ASIAN JOURNAL OF MANAGEMENT CASES, 3(1), 2006 SAGE PUBLICATIONS NEW DELHI/THOUSAND OAKS/LONDON DOI: 10.1177/097282010500300104 AIRASIA: THE SKYS THE LIMIT Rizal Ahmad Mark Neal This case details the rise and expansion of AirAsia in South-east Asia. The company employed a business model for low-cost airlines that was originally developed by Southwest Airlines in the United States and subsequently employed with great success by European companies such as Ryanair and EasyJet. The case thus documents
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Porter’s Five Forces Threat of new Entrants Threat of new entry is moderate, because it requires high capital to support and government barrier is high such as the air service agreement can build barriers to those new entrants. The degree of barriers to entry depends on the strength of:- • Customers have a little bit of brand loyalty. If customers of AirAsia do not have brand loyalty, then the threat of new entrants will be very high. But the higher numbers of competitors in the industry also
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Company background The story of Malaysia Airlines started in the golden age of commercial air travel. A joint initiative of the Ocean Steamship Company of Liverpool, the Straits Steamship of Singapore and Imperial Airways led to a proposal to the Colonial Straits Settlement government to run an air service between Penang and Singapore. The result was the incorporation of Malayan Airways Limited (MAL) on 12 October 1937. On 2 April 1947, MAL took to the skies with its first commercial flight
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ASSIGNMENT ON MANAGEMENT INFORMATION SYSTEM Air Asia has passengers that have reached more than 50 million passengers by now. This achievement s would not have been possible if not through IT technology, management and organization combined effort. Unlike MAS that provided costly but quality service, Air Asia provides quality and cheap service. These actions are accomplished not just through the strategic steps undertaken by Air Asia’s management but by the right use of information system in its
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industry faces a tough business environment which MAS is not spared from, it is only appropriate that we disclose information to the public, in a manner that is as balanced and objective as possible. It should be pointed out that in this BTP 2 document, while MAS is announcing its 5-year (2008 - 2012) P&L aspirations, this does not necessarily mean that MAS will make the said profits during the period. The BTP 2 and its targets have been approved by the MAS Board of Directors, but are not to be considered
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Financial statements identify for us a multitude of figures, for example, gross profit, net current assets etc. However, these figures do not mean very much unless we can compare them to something else. There are several ratios help analysts interpret financial statements by focusing on specific relationships, such as profitability ratio, liquidity ratio, efficiency ratio, ratio and market value ratios etc (Alexander & Britton, 2004). Profitability Ratios 1. Net Profit = (Net Profit / Sales)
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The following events occur in the market for Malaysian Airline System (MAS). I. The crash of MAS flight MH17 in Ukraine. II. The wage rate paid to MAS captain and cabin workers decreases. III. The price of Air Asia tickets increase. IV. People expect the price of MAS economic class tickets to fall next school holidays. With the help of figures, explain the effect of each event on the market equilibrium of MAS service. Answer (a) With the help of figure, explain three economics
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INTRODUCTION OF AIR ASIA [pic] Air Asia is one of the Malaysian Airline, as the second Malaysian National Airline, Air Asia was born in 1993 and started operations on 18 November 1996. It was originally founded by a government-owned conglomerate DRB-Hicom. On 2 December 2001, the heavily-indebted airline was purchased by former Time Warner executive Tony Fernandes's company Tune Air Sdn Bhd for the token sum of one ringgit. Normally low-costs Airline has a lot of differences
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with a cross matrix segments of: a. geographical markets b. demography Easy AdSense by Unreal c. Travel purposes. Let view one of the segment, geographical .. for Malaysia. Then we can see straight away the prominent competitor which is Air Asia. The competitor will be one of the considerations for us to develop or strategy. 2. The threat of substitution. Let have a look at the market segment based on travel purposes. So one of the purpose of travelling is for business dealing, like
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