Low Cost Carrier

The Report of Low-Cost Carriers Table Of Content 1. 2. 3. 4. 5. 5.1. 6. 7. 8. Abstract ..................................................................................................................................................... 2 Background information ........................................................................................................................... 2 The Low-cost carriers Business Model ...................................................................................................... 3 Low-Cost Advantages ................................................................................................................................ 5 Low-cost industry in Hong Kong ............................................................................................................... 7 SWOT Analysis of Hong Kong Aviation Market ..................................................................................... 9 Conclusions ............................................................................................................................................... 9 Recommendations .................................................................................................................................. 10 References............................................................................................................................................... 11

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1. Abstract The Low-Cost Carriers (LCCs), also known as no-frills airlines, the Low-cost carriers business model have been very successful operating throughout the USA, Europe and southern Asia since 1990s. They have completely changed the way of people fly, attracting new customers which would otherwise not travel at all, or use other modes of transport by land or sea. They also helped redesign the entire aviation world, sending a powerful wakeup call to the legacy airlines (Market Share Pte Ltd 02/2005). In this report we would like to provide you

References: AIR SCOOP (APRIL 2007) SWOT Analysis of Low Cost Carrier Industry [WWW]. Available from: http://www.air-scoop.com/downloads/SWOT_Low-Cost-Carriers_Air-Scoop.pdf [Accessed 21/06/09] AIRBUS S.A.S. (2007) Global Market Forecast 2007-2026, France. [Downloaded 20/06/09] CENTRE FOR ASIA PACIFIC AVIATION (29/05/09) AirAsia SWOT Analysis: Tough second quarter ahead, but fundamentals solid [WWW]. Available from:http://www.centreforaviation.com/news/2009/05/29/airasia-swot-analysis-tough-second-quarter-ahea d-but-fundamentals-solid/page1 [Accessed 05/08/09] CHERIE LU, CHANG JUNG CHRISTIAN UNIVERSITY IN TAINAN, Aerlines Magazine e-zine Edition, Issue 34, The Low Cost Model and Strategies for Taiwanese Airlines [WWW]. Available from: http://www.aerlines.nl/issue_34/34_Lu_et-al_Low-cost carriers_Strategies_for_Taiwanese_Airlines.pdf [Accessed 31/07/09] DE GROOTE, P. (2005) The Success Story of European Low-Cost Carriers in a Changing Airworld. In: Proceedings of the BIVEC-GIBET Transport Research Day 2005, Diepenbeek, pp. 87-110 [WWW]. Available from:http://www.lboro.ac.uk/gawc/rb/rb174.html [Accessed 30/07/09] HONGWEI JIANG, RMIT UNIVERSITY (2007) Competitive Strategy For Low Cost Airlines. In: Proceeding of the 13th Asia Pacific Management Conference, Melbourne, Australia, 2007, pp. 431-436 [WWW]. Available from: http://www.infotech.monash.edu.au/research/centres/cdsesr/papers-pdf/a227.pdf [Accessed 20/06/09] O’CONNELL J. F. AND WILLIAMS G. (2005) Passengers’ perceptions of low cost airlines and full service carriers: a case study involving Ryanair, Aer Lingus, Air Asia and Malaysia Airlines. Journal of Air Transport Management, 11, 259-272 [Downloaded 01/07/09] IBM BUSINESS CONSULTING SERVICES (2004) WINNING AT THE MARGIN The impact of low-cost carriers in Asia [Downloaded 20/06/09] IWAN BUDHIARTA, NATIONAL UNIVERSITY OF MALAYSIA (2009) Air Asia Strategic Analysis [WWW]. Available from: http://www.scribd.com/doc/14214973/Air-Asia-Strategic-Analysis [Accessed 30/07/09] MARKET SHARE PTE LTD (02/2005). The Impact of Low Cost Airlines On The Asia Pacific Travel Sector [WWW]. Available from: http://www.giichinese.com.cn/chinese/mks31349--low-cost-airlines.html [Accessed 30/07/09] MERCER Management Consulting (2002) Impact of low cost airlines – summary of mercer study. [Downloaded 20/0/09] Page 11 of 12 MOHAMED HARIS IZMEE, FROST & SULLIVAN MARKET INSIGHT (2 APRIL 2007) Long Haul Low Cost Travel [WWW]. Available from: http://www.frost.com/prod/servlet/market-insight-print.pag?docid=96634579 [Accessed 31/07/09] PHILIPP DIETLIN, MASSACHUSETTS INSTITUTE OF TECHNOLOGY (2004) Potential of Low-Cost Airlines in Asia [WWW]. Available from: http://dspace.mit.edu/handle/1721.1/28301 [Accessed 30/07/09] QUANTIFY (2006) Low Cost Airlines in Europe [WWW]. Available from:http://www.atmosphere.mpg.de/enid/Information_2/Low_cost_airlines_-_development_61i.html [Accessed 01/08/09] QUANTIFY (2006) Low Cost Airlines - Impacts [WWW]. Available from:http://www.atmosphere.mpg.de/enid/a9feabdc2cb6d15b349603afac668379,0/Information_2/Low_c ost_airlines_-_impacts_61j.html [Accessed 01/08/09] THE GOVERNMENT OF THE HONG KONG SPECIAL ADMINISTRATIVE REGION (2008) HONG KONG: The Hong Kong – Civil Aviation [WWW]. Available from:http://www.gov.hk/en/abouthk/factsheets/docs/civil_aviation.pdf [Accessed 01/07/09] VASIGH, FLEMING AND TRCKER (2008) Low-cost, Start-up Airlines: A New Paradigm. In: VASIGH, FLEMING AND TRCKER. Introduction to Air Transport Economics. England, Ashgate, pp. 307-330 [WWW]. Available from: http://books.google.co.uk/books?id=ZzPekWiS9I0C&printsec=frontcover&hl=zh-TW [Accessed 20/06/09] Website: http://news.gov.hk/en/category/ontherecord/060829/html/060829en11002.htm http://www.southwest.com/about_swa/financials/investor_relations_index.html Page 12 of 12