the development of Intranets and Extranets forced airlines to refocus their strategy on technological innovations in order to enhance their competitiveness. (Buhalis 2004). AirAsia believes in the low fare business concept and feels that keeping cost low requires high efficiency. The major threat and challenges which AirAsia is facing right now are competitive environment due to industry rivalry and the need to create differentiation to gain competitive advantage among other low cost carriers.
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forgetting the global economic catastrophe which has limited the new entry of competitor plus reducing the necessity of upgrading of planes in near future. However‚ both suppliers grant almost similar standard aircrafts; hence the switch to AirAsia is low. Furthermore‚ AirAsia places a bulky amount of order from Airbus in order to expand its routes internationally. Therefore‚ the authority of suppliers may weaken as Airbus’s profit may be influenced by Air Asia. Bargaining power of customer-High- Customers
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things up. AirAsia Philippines Leasing 16 Aircraft MANILA‚ Philippines - Newly licensed AirAsia Inc. (Philippines) will lease 14-16 Airbus 320 planes to service domestic and international routes within 1.5 to 4 hours flight from its Clark‚ Pampanga hub in the next half decade. The airline on Wednesday received its commercial air carrier certificate (AOC) from the Civil Aviation Authority of the Philippines (CAAP) in the latter’s Manila office. In March‚ last year‚ AirAsia Inc. registered
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to another airline. The price would not be very significant in differences‚ which it depends on the availability of competitor’s services and suitability of the flight time that prompts them to switch. Moderate access to distribution channel. Airasia is the first airline company to enable customer book and purchase air tickets online in Malaysia. This makes its website www.airasia.com very famous among frequent travelers. Although new competitors can create a website for their company‚ it is quite
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Title AirAsia Online Ticketing System General Description Airline ticketing systems offer users information on airline schedules‚ taxes on airfare‚ passenger reservations and ticket records. It allows users and agents to buy and distribute tickets to all available flight destinations on the AirAsia network. The user only needs to indicate the desired destination and dates‚ and the available flight schedule and prices will be made available. Purchasing can be
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Case Study – AirAsia Formula(on Valida(on In 2001‚ Time Warner Execu(ve Tony Fernandes purchased the ailing‚ debt-‐riddled‚ government-‐owned AirAsia. In a remarkable feat (using blue ocean strategy principles) Fernandes engineered a remarkable turnaround‚ turning a profit in 2002 and swiJly opening mul(ple new routes
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on whether low-fare airlines would continue to flourish in Asia varied. Three factors regulation‚ population demographics‚ and socioeconomic trends -drove this calculus. Although the target consumer base for AirAsia was enormous -more than 500 million people lived within three hours of AirAsia ’s hubs in Kuala Lumpur and Bangkok‚ more than Western Europe ’s entire population -the failure of Asia ’s regulatory environment to keep pace and the uncertain demand for low-fare services created uncertainty
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1.0 Introduction The ’Malaysia Day’ festival will be carry out in the College Plaza (see fig.1) and the Runway (see fig.2) starting from 6pm until 10pm with the aim of promoting patriotism and Malaysia’s culture. Basically‚ a stage will be set up in the middle of Plaza for culture dances performing purpose and all the vendors will be selling Malaysian foods and some other merchandise in the Runway. This event is targeting approximately 1000 students in Inti International College Subang. In order
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Terrorism has occurred in Thailand and Indonesia; most notably the Bali bomb of 2002. ECONOMIC ASPECTS • AirAsia holds 49% of Thai AirAsia with 1% held by a Thai individual. The remaining 50% is held by Shin Corp.‚ owned by the former Thailand prime minister‚ Thaksin Shinawatra. Shin Corp. has financial strength‚ synergy in information technology and telecommunications‚ which support AirAsia Internet and mobile phone bookings. • National trends: - Malaysia’s economy may expand as little as 4 percent
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1.Potential strengths of the new entrants in the low cost air transport industry 2.Increasing competition in e-commerce 3.Escalating prices of fuels used in business operation 4.Attack by the low-cost government airlines Threat of Entry There is a high barrier entering airlines industry since it requires high capital to set up everything such as purchase or lease air craft‚ set up office‚ hire staffs‚ and etc. Thus‚ this has reduced the treat to Air Asia. Moreover‚ brand awareness is quite
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