Case Study: Air Asia Identify the competitive advantages of Air Asia as a low cost carrier. Air Asia has a number of competitive advantages as a low cost carrier that fall into the following general categories; low cost operations‚ efficiency of operations‚ proven business model and management expertise and finally a distinctive corporate culture. Low cost operations: Air Asia has gone to great lengths to ensure all of their operational costs are kept to an absolute minimum‚ and have passed
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ALBUKHARY INTERNATIONAL UNIVERSITY FOUNDATION STUDIES PROGRAMME 2011-2012 ALBUKHARY INTERNATIONAL UNIVERSITY FOUNDATION STUDIES PROGRAMME 2011-2012 Assessment Task: Team Project (10%) Type of assessment: Four persons in a team Starting Date: Week 5 Ending Date: Week 10 Learning Outcome tested: 1. LO1 – Explain the difference between data and information‚ the economics and problems associated with information. 2. LO2 – Distinguish between different types of technologies for acquiring
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Yee Mon Phu Member of Management Team Business Strategy Air Asia Revenue: 4Q 12 USD 1.62 Billion Number of employees: 8‚000+ HQ location: Kuala Lumpur‚ Malaysia Ownership: Listed on the Malaysian stock exchange Year founded: 2001 The company grew from two planes in 2002 to a feet of 120 aircraft fying 30 million people Vision “To be the largest low cost airline in Asia and serving 3 billion people who are currently underserved with poor connectivity and high fares.” Mission • To
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Porter’s 5 forces analysis on Air Asia 1. Threat of new Entrants The extent of barriers to entry depends on the strength of: Customer has little brand loyalty. If consumers of Air asia do not have brand loyalty‚ then the strength of the threat of new entrants is very high. The high numbers of competitors in the industry also decrease Air asia’s customer loyalty. Most of the travelers prefer low cost. New competitors which want to come in the industry have to spend little to compete
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Background and History of AirAsia 3-4 2.2 Vision Statement 5 2.3 Mission Statement 5 2.4 Objectives 5 3.0 Environmental Analysis 6 3.1 PESTEL Analysis 6 3.1.1 Political Factors 7-8 3.1.2 Economic Factors 8-9 3.1.3 Social Factors 9-11 3.1.4 Technological Factors 11 3.1.5 Environmental Factors 11-12 3.2 PORTER’s 5 Forces Model Analysis 12 3.2.1 Threats of New Entrants 12-13 3.2.2 Threats of Substitute 13-14 3.2.3 Bargaining
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Entry strategy for Airasia Marketing Management Table of Contents Objectives………………………………………………………………………………………………………………….3 SWOT Analysis 4 PESTEL analysis 5 Market Segmentation and Target Market 6 Positioning 7 Pricing Strategy 8 Placement Strategy: 9 Promotion Strategy: 9 Conclusion……………………………………………………………………………………………………………………………………… 11 Appendices 12 References……………………………………………………………………………………………………………………………………..14 AirAsia is a Malaysian low-cost airline headquartered near
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important for businesses to embrace the latest technology to conduct their business‚ whereby switching the traditional business models into a better model in terms of efficiency‚ productivity‚ profitability and competitiveness. This report intends to analysis how the technology of e-Commerce and revolution of m-Commerce impacts airlines industry in worldwide‚ especially low cost carrier. The report begins by examining the strength‚ weakness‚ opportunities and threats (SWOT) for AirAsia by using Porter’s
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services and allows passengers‚ freights‚ and cargo to transfer through the air using aircrafts. A good example of low cost carrier is Rain Air. by capturing the intrnational press and clientele‚ they are successeding. More other airlines for example; Air Asia‚ the focus of the present sutdy‚ have set goals to reach through effective administration of assets and effective planning structure. For achieving those objectives‚ Air Asia has a mission and vision‚ advertisment stratigic‚ techonological concernes
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capabilities (i.e. cost and efficiency optimization/utilization) as a low-cost carrier (LCC) airline. Analysis The airline industry as a whole is quite competitive with multiple players and various elements effecting the industry environment. AirAsia has developed a specific set of resources and core competencies that it has exploited in order to become the leading short-haul LCC in South East Asia. AirAsia’s strategy employs cost and efficiency optimization by utilizing its key resources; thus‚
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1. INTRODUCTION TO AIR ASIA 1. COMPANY BACKGROUND AirAsia Berhad was established in 1993 and began operations on 18 November 1996. It was originally founded by government owned conglomerate‚ DRB Hicom. On 2 December 2001‚ the heavily in debted airline was bought by former Time Warner executive Tony Fernandes’s company Tune Air Sdn Bhd for the token sum of one ringgit (about USD 0.26 at the time) with USD 11 million (MYR 40 million) worth of debts. Fernandes turned the company around
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