ASTRO AIRLINES (case analysis) NAME : MUSTAFA KAYNAKCI DATE : 10.11.2011 Issue in the case The main issue in the case is all about failing to manage success after successful beginning. The leader in Astro Airlines Arthur Burton could not maintain the growth of its company. Being visioner‚ dynamic‚ stirring speaker and inspirational leader of Burton could start the airlines with reduced fare‚ innovating ticketing style‚ low cost service
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Malaysia Airline should reduce the price of ticket to attract more passengers. Although the profit will be reduce‚ but the increase of the number of passengers will cover it back. In long term‚ it will bring more benefit to the company. Malaysia Airline also needs to have more promotion to attract the low income of passengers. For example‚ promote special ticket for a group of students or for family to travel during the school holiday. This is because during holiday‚ many of the students and family
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An airline alliance is an agreement between two or more airlines to cooperate on a substantial level. The three largest alliances are the Star Alliance‚ SkyTeam and Oneworld. Alliances also form between cargo airlines‚ such as that of WOW Alliance‚ SkyTeam Cargo and ANA/UPS Alliance. Alliances provide a network of connectivity and convenience for international passengers and international packages. Benefits and costs Benefits can consist of: An extended and optimized network: this is often
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North America for Euro-Air. Euro-Air‚ a major European-based commercial airline‚ operated daily service to its European hub from fourteen cities in North America and onward service to more than 300 locations in 90 countries around the world. The fax letter (see Exhibit 1) suggested that Euro-Air had recently caused a lot of problems for at least one of its passengers. Passenger complaint letters were not unusual at any airline. What was unusual about this letter was the litany of problems described
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Survey among airlines. Airline industry is a labor intensive service sector as much as capital intensive and mainly white collor workers are employed. In the industry computerized electronic systems are highly used. In order to produce an aviable seat for sales‚ there are many interconnected services are gathered such as resevation‚ ticketing‚ operations‚ passenger traffic‚ handling of passenger‚ baggage and cargo‚ catering‚ maintenance (MRO)‚ training‚ fuelling etc. While airlines render many
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Importance to economy The revenue of international airlines industry has increased from 476 billion USD in 2009 to 567 billion USD in 2011‚ a 9.3% year-on-year increase. This industry employs 56.5 million workers and accounts for US $2.2 trillion of the global GDP. Indian Aviation industry contributes to 0.5% of the India’s GDP and generates 1.7 million jobs. Technological Trends Major cost items for airlines are fuel‚ labour and maintenance. Airlines are able to reduce the cost/increase profit by
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Assessing Corporate Culture: Southwest Airlines Q Organizational Philosophy‚ Mission‚ Vision‚ Values Southwest Airlines clearly outlines their values in their corporate mission statement: The mission of Southwest Airlines is dedication to the highest quality of customer service delivered with a sense of warmth‚ friendliness‚ individual pride‚ and company spirit (www.southwest.com). This mission both describes the company ’s approach to its workforce‚ and the customer at large. Rather than
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(CRM) in Airline Industry: Today’s global marketplace‚ airlines are countered with unstable and highly competitive business environment. Most airline companies perceive that it is increasingly important to react quickly and effectively to changing demand patterns of the customers. The challenge is maintaining profits in the face of forceful competition. The opportunities are in managing customer relationships to earn customer profitability that can contribute to the firm profits. If airlines do not
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the Number One Airline in Asia by 2015. To deliver distinguished service to both business and leisure travellers who value Our Mission comfort and personalised service. With To be a Consistently Profitable Airline. Malaysian Hospitality in mind‚ at Malaysia Airlines‚ we make our guests feel welcome and special‚ enabling them to enjoy a consistently comfortable and comforting travel experience. Non-stop MH. This is Malaysian Hospitality. Malaysia Airlines welcomed its first
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Executive Overview: Lufthansa is the largest airline in Europe in terms of passengers carried. By 2002‚ Lufthansa had become of the strongest airlines and top aviations groups in the world. Lufthansa had undergone a decade of fundamental change. Lufthansa was transformed from a state-owned‚ unprofitable national airline into one of the most profitable‚ privately owned aviation groups in the industry. The group turned a record loss of €350 million in 1992 into a pre-tax profit of €952 million in
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