Micro Assignment
Price War between Airasia and Malaysia Airlines
The purpose of the analysis is to evaluate the supply and demand of two main air line operators in Malaysia, which is Airasia and Malaysia Airlines by determines the price and quantity and change in the market of Airasia and Malaysia Airlines.
Airasia is a leading airline company in providing low cost airline services while Malaysia Airlines is more towards providing high quality airline services. In the past time, the demand of Malaysia Airlines is higher because Malaysia Airlines had allocate a better quality airline. Malaysia Airlines provide food, comfortable seats, on time schedule and better service. Malaysia Airlines provides high quality airline services for the consumers who prefer to have a comfortable situation. Malaysia Airlines also provides special deals for the customers and toy for the children.
On 8 March 2014, one of Malaysia Airlines plane MH370 disappeared that carrying 227 passengers and 12 crew. Most of the passengers are from China. The incident had made the consumer lost trust on Malaysia Airlines, especially China Client. This had bring the MH370 crisis to Malaysia Airlines.
P
Ss 0 Equilibrium dd 0 dd 1 Q
The graph above shown the demand and supply graph of Malaysia Airlines after the MH370 crisis. Demand is the willingness to buy units of a good at a given price level. The demand of Malaysia Airlines when down because the consumer has loss trust on the Malaysia Airlines, and not willing to take the risk. The low demand of Malaysia Airlines cause the price of air ticket decrease. P SS 0 Equilibrium Dd 1 Dd 0 Q
The graph above shown the demand and supply graph of Airasia after the MH370 crisis. The demand of Airasia increase because the consumer has loss trust on the Malaysia Airlines, they change to Airasia. The price of Airasia increase because the demand had increase. Equilibrium point is
The purpose of the analysis is to evaluate the supply and demand of two main air line operators in Malaysia, which is Airasia and Malaysia Airlines by determines the price and quantity and change in the market of Airasia and Malaysia Airlines.
Airasia is a leading airline company in providing low cost airline services while Malaysia Airlines is more towards providing high quality airline services. In the past time, the demand of Malaysia Airlines is higher because Malaysia Airlines had allocate a better quality airline. Malaysia Airlines provide food, comfortable seats, on time schedule and better service. Malaysia Airlines provides high quality airline services for the consumers who prefer to have a comfortable situation. Malaysia Airlines also provides special deals for the customers and toy for the children.
On 8 March 2014, one of Malaysia Airlines plane MH370 disappeared that carrying 227 passengers and 12 crew. Most of the passengers are from China. The incident had made the consumer lost trust on Malaysia Airlines, especially China Client. This had bring the MH370 crisis to Malaysia Airlines.
P
Ss 0 Equilibrium dd 0 dd 1 Q
The graph above shown the demand and supply graph of Malaysia Airlines after the MH370 crisis. Demand is the willingness to buy units of a good at a given price level. The demand of Malaysia Airlines when down because the consumer has loss trust on the Malaysia Airlines, and not willing to take the risk. The low demand of Malaysia Airlines cause the price of air ticket decrease. P SS 0 Equilibrium Dd 1 Dd 0 Q
The graph above shown the demand and supply graph of Airasia after the MH370 crisis. The demand of Airasia increase because the consumer has loss trust on the Malaysia Airlines, they change to Airasia. The price of Airasia increase because the demand had increase. Equilibrium point is