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.
"The collaboration between MAS, AirAsia and AirAsia X was flawed from day one because it cannot bring in a rival. From the start, the share swap had been marked by controversy, suspicion and infighting so much so that it distracts from the real issues in MAS.
External and Internal MAS Analysis
1.0 External (using PEEST analysis)
Malaysia Airlines System is one of the Government Linked Companies in Malaysia.
1.01 Economic
MAS were hit by the high fuel price in the year 2008 which fuel price had increase to USD$182per barrel.