Yashodha/ Elixir Mgmt. Arts 51 (2012) 11164-11171 Available online at www.elixirpublishers.com (Elixir International Journal) Management 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:
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1. Political a)Uniform of hostess: UMNO members wanted it to be more "Islamic" b)Some decisions are made by the govt (landing rights,services to certain routes,equity ownership); take the case of Subang for example, Airasia applied to use Subang as their hub, was turned down by the govt. Now the govt has allowed Firefly (a subsdiary of MAS) to operate from Subang. c)Political influence could also affect the HR policies of Airasia - recruitment and selection of staff do not
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1.0 INTRODUCTION 1.0 Introduction 1.1 Overview 1.1.1 Airline industry The airline industry is one of the fastest-changing industry sectors in the world today. That said, compared to other industries the airline industry has a relatively short history to look back at. While it is rather an impossible task to point to the exact date which could signal the starting line for the airline business, it could be said that the history of aviation in general started with the Wright brothers’ success in
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16 ads, one from AIG and one from General Electric. “We’re the only company in the world putting ads in our annual report,” Proletariat Capitalist TONY FERNANDES revolutionized Asia’s airline industry by introducing the region’s first low-cost carrier. Now he’s plotting more insurgencies in airlines, hotels and financial services. By Justin Doebele 30 F O R B E S A S I A JUNE 4, 2007 Malaysia’s 40 Richest Sleepover in Kuala Lumpur: Tune Hotels, with rooms costing as little as $3 a night
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rights- this can be seena as a reactive strategy to correct problem that occurred during ice storm. Assembly of new senior management team Founding of jetblue Neeleman’s vision: a company that would combine the low fares of a discount airline carrier with the comforts of a small cozy den in people’s homes. Introduction of 24 channel live television via satellite for free to make air travel entertaining. Individual monitors installed in all seats. Introduction of electronic tickets and the allowing
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BestJet B: The European budget airline industry: origins, growth, market and competition May 2006 __________________________________________________________________ Allan Kinross prepared this case. It is intended to be used as a basis of class discussion rather to illustrate the effective or ineffective handling of an administrative situation Introduction to the European budget airline industry After 9 years of spectacular growth
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THE AIRLINE DEREGULATION EVOLUTION CONTINUES The Southwest Effect [pic] Prepared by: Randall D. Bennett James M. Craun Office of Aviation Analysis U.S. Department of Transportation May 1993 Table of Contents Major Findings 3 Southwest 4 Industry Structural Changes 5 The Southwest Effect 6 The importance of new entrants 8 Appendix A: Charts 10 Chart 1 10 Chart 2 10 Chart 3 11 Chart 4 11
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prices, which can be as low as 10-20% of those charged by full-service airlines. AirAsia differentiates its no frills product by offering less features at substantially low fares. However, this strategy will become generic with the entry of low cost carriers waiting in the wings. At that stage, low cost competition will each need to try and “be different”. Limited product differentiation is an opportunity, but must be approached with extreme caution. Anything (like frills) that adds costs and reduces
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What opportunities and challenges are associated with that environment? The environment for new entrants into the budget or low cost carriers market in the Southeast Asian region has become very competitive in the last few years despite the fact that the low cost carrier industry is still young. One of the most appealing aspects for operating a low cast carrier in Southeast Asia is the size of the market. Moreover, the untapped potential for growth in many countries within the region is great.
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CONTENT PAGES 1.0 INTRODUCTION…………………………………………………………………2 About the product…………………………………………………….………….2 2.1 Company background…………………………….………………….....7 2.2 Business process and operation…………………..………………….9 2.3 Low cost carrier (lcc) business model……………….………………11 2.4.1 Business model……………………………………………...11 2.4 Competitive Advantages …………………………..…………………..12 2.5 Historical Performance………………………………..……………….13 2.0 ANALYTICAL SWOT ANALYSIS……………………………….……………
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