oligopolists. The concept of low cost carries: A low-cost carrier or low-cost airline (also known as a no-frills‚ discount or budget carrier or airline or cheap flight) is an airline that generally has lower fares and fewer comforts. To make up for revenue lost in decreased ticket prices‚ the airline may charge for extras like food‚ priority boarding‚ seat allocating‚ and baggage etc. The term originated within the airline industry referring to airlines with a lower operating cost structure than their competitors
Premium Airline Low-cost carrier Indira Gandhi International Airport
right time‚ it must employ the right type of marketing mix: Product‚ Price‚ Place and Promotion. In a dysfunctional time for the airline industry‚ most airlines‚ especially major carriers‚ are adapting the concept of “doing less with more.” One low-cost carrier‚ JetBlue‚ is changing the domestic aviation landscape in this regard and is defying the odds. Here is a company that has examined each marketing mix elements carefully‚ has adapted them to its customer’s needs‚ and is succeeding because
Premium Low-cost carrier Airline Southwest Airlines
Case Study of Air-Asia : Strategic Role of Information System in Business Air Asia is established on 12 December 2001 by Mr. Tony Fernandes‚ the CEO of Air Asia and expanding rapidly since that. Air Asia is the leading low fare airline in Asia and Air Asia succeed to become the award winning‚ ‘Asia Pacific Airlines of the year 2003’ by Centre for Air Pacific Aviation (CAPA) in 2003. Air Asia has successfully positioned itself in customers’ mind by using the “ Now Everyone Can Fly” slogan. Air
Premium Low-cost carrier Airline Supply chain management
Because of the economic slowdown in developed economies and the mature markets more and more companies are encouraged to enter in emerging markets. We can observe an increasing pressure for MNE to enter in emerging economies by targeting middle and low Base of the Pyramid. The leading companies are targeting the BOP in emerging countries (India‚ Africa‚ Asia) by adopting innovative business models. Face to this situation‚ BOP strategies for MNE and Red Ocean for small companies‚ firms need to modify
Premium Management Strategic management Low-cost carrier
can be summed up‚ as “a leading low-fare‚ low-cost passenger airline by offering customers high-quality customer service and a differentiated product” (JetBlue 10-K/A Report‚ 2005). They believe that by offering low rates‚ their demand will increase‚ offering travelers with a low-cost alternative. They believe that having low operating costs allows them to keep unit costs down. They also research areas that have little travel and those with high travel and high costs. This allows them to target
Premium Airline Customer service Low-cost carrier
Management Research Report What has British Airways done during the recession to be competitive against Ryanair and Easyjet? Table of Contents 1. Introduction ………………………………………………………………………………………………….. 3 2. Methodology …………………………………………………………………………………………………. 4 3. Short History 3.1 British Airways ……………………………………………………………….……………………5 3.2 Easyjet and Ryanair………………………………………………………………………………..6 4. Prior to the Recession 4.1 British Airways ……………………………………………………………………………………
Premium British Airways London Gatwick Airport Airline
competition has to offer that will attract customers? Leisure travellers‚ who constitute two thirds of most airline markets chose flights based on price‚ therefore are very fickle (Lawton 2002‚ p.36-37). This shows the importance for airlines to keep costs down and to innovate to set themselves apart. Domestic air travel in Australia has proven to be an indispensible tool for businessmen and holidaymakers across the country. Until the entrance of Virgin Blue in the Australian airline market‚ the duopoly
Premium Strategic management Low-cost carrier Qantas
slight contraction as a result of the reversionary climate which was dramatically impacted by the events of 9-11 and the resulting economic aftermath (Ito et al‚ 2003): * Dramatic slowdown of the economic growth rate * Increase in fuel costs * Balance of trade accounts * Inflationary and fluctuations of the dollars against the Euro‚ and Yen * Social The emphasis on September 11th throughout these varied analysis is due to the sweeping impact that event had on global
Premium Delta Air Lines Southwest Airlines Low-cost carrier
meets with the competitiveness in the economy. The strategies for Ryanair Airline include; Low fare‚ Best Customer service‚ Short-haul route and destination‚ Reduction of operating costs‚ Internet services in its reservation system and Quality management. In the case of Air Berlin airline its strategies comprises of high service standards‚ blanket coverage‚ market positioning and segmentation‚ ticket booking‚ low price considerations‚ flight connections and safety of the passengers and staff and the
Premium Low-cost carrier Airline Southwest Airlines
established in USA as a low-cost domestic airline carrier. The company started operating as a point-to-point carrier‚ providing quality customer service at competitive prices. Basically‚ the main strategy of JetBlue is to offer its clients a combination of low fares and product differentiation. In terms of strengthening its market positions‚ the following key strategic issues are faced by the company: How to achieve “cost leadership” and “product differentiation”? JetBlue achieves “Cost leadership” through
Premium Low-cost carrier Aircraft Strategy