strategy and others failing at some point. It can be seen happening right now in the European market where the UK and Ireland markets are being saturated and the new entrants may not survive. The profitable advantages low-cost carriers enjoy over the traditional carriers range from cost cuttings in aircraft design to the services they provide. For example
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Version 1.0 Strengths‚ Weaknesses‚ Opportunities and Threats Analysis for AirAsia 1.0 Strengths Ø Air Asia has a very strong management team with strong links with governments and airline industry leaders. This is partly contributed by the diverse background of the executive management teams which consists of industry experts and ex-top government officials. For example‚ Shin Corp (formerly owned by the family of former Thai Prime Minister - Thaksin Shinawatra) holds a 50% stake in Thai AirAsia
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FlyFirefly Sdn Bhd. the Malaysia’s first community airline also known as a new Malaysian no-frills airline. The name of Firefly is come from the characteristics of agility‚ brilliance‚ charm‚ and fun. Firefly offers a full service point-to-point carrier. The head office of Firefly is located at Sultan Abdul Aziz Shah Airport in Subang‚ Selangor. The first flight of the Firefly was from Subang Sultan Abdul Aziz Shah Airport to Penang International Airport‚ on the 2nd April 2007. Besides Airline of
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...................................................................................... 3 1.1 1.2 Case Overview ........................................................................................................................... 3 Low Cost Carrier Strategy Overview ....................................................................................... 3 Simple Product: .................................................................................................................. 3 Positioning
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disposable income on hand and able to afford to travel. Active promotion by SIA and Singapore Tourism Board (STB) promise more people to travel with SIA‚ leading to higher revenue. 2. What do you think of this model considering Low Cost Carrier concept and Premium Class Concept? SIA adopted Sales Revenue Model by providing the best service to its customer to increase the sales. The different with Low Cost
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3) Ryanair was introduced as a low-cost airline in 1991‚ CEO Michael O’Leary used the low-cost American‚ SouthWest airline model to plan their tactical direction. Ryanair has set values‚ which they want to succeed in such as: product leader‚ operationally excellent and being intimate with their customers. ( Dbuccellato2011‚ 2012) As for Southwest airlines‚ it is a people-oriented company and uses that orientation to leverage its advantages. It cuts costs by having employees who work for a company
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Executive Summary Jetstar Airways is an Australia low-cost carrier airline based in Melbourne‚ Australia. It is a wholly owned subsidiary of the Qantas Group. Qantas established Jetstar in 2003 as a response to main competitor airline Virgin Australia (formerly known as Virgin Blue). Despite its low cost‚ Jetstar operates an extensive domestic network and is the world’s largest long-haul low cost carrier. Jetstar operates to destinations in Asia the Pacific Ocean‚ with future plans of expanding
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1. Jetstar Hong Kong is a proposed low fare airline‚ based at Hong Kong International Airport which plans to commence services in 2013.1 2. It will be formed as a strategic alliance between China Eastern Airlines and the Qantas Group. The two carriers will invest as much as $198 million‚ with each company holding a 50% share.1 3. It will initially serve short-haul routes to cities in China‚ Japan‚ South Korea and South East Asia.1 4. The business strategy of JetStar Hong Kong of the start-up
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airfares at a profit” (AirAsia 2011)‚ and their vision statement “To be the largest low cost airline in Asia and serving the 3 billion people who are currently underserved with poor connectivity and high fares” (AirAsia 2011).. The industry for low cost carriers (LCC’s) in Asia is highly competitive.
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times Southwest has managed to continue strong revenue growth in a disastrous environment and has operated profitably for 39 consecutive years (Mintzmyer‚ 2012). Southwest Airlines has capitalized on the company’s strength of being the top low cost carrier by offering a simple and efficient business plan that prides itself on customer service. Southwest utilizes only the Boeing 737 to streamline their processes‚ and utilizes their award winning Southwest.com to drive ticket sales. Southwest has begun
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