Swot Analysis Of Air Asia

Referring to the SWOT analysis, we assume the most uncontrollable issue imposed on C.P. is the circumstance of fierce competition existing in the current airline industry. Consequently, as alternative submissions, the company should remain constantly advancing new strategies, namely acquisition and introducing of a budget confederate.

The “ Battle Of The Air” has been used to describe current situation in the airline industry. The emergence of “ No Frills “ discount carriers such as Air Asia, Mahlindo, Firefly have threatened the survival of the traditional giants such as MAS, SIA, Thai Airways in the APAC regions and even the Big Boys across the continents such as United, Delta, Continental, Luftansa, Emirates and US Airway ( Myron J.Smith, 2012 ) face competition

Airasia want try to be the largest low cost airline in Asia and serving the 3 billion people who currently underserved with poor connectivity and high fares.

Air Canada was formerly known as Trans-Canada Airlines and was born on the April 10, 1937. It all started with $5 million and three aircrafts; a crop duster and two Electras. The first passenger operations began on September 1, 1937. An Electra, carrying two passengers and mail, flew from Vancouver to Seattle, in 50 minutes. The tickets in 1937 cost about $7.90 one-way and $14.20 return.

Analysis of Devon Energy Corporation: Mission Statement versus Company Production and Employee Morale One of the most important aspects of building a business and attaining success on a grand scale is to have an inspiring mission statement. What true importance could a mere statement have toward the success of a company you might say? Often times, when you have employees within a large company, the average employee can become somewhat robotic with the day-to-day typical stress of doing their jobs and after all it is just a job many may think.

Delta Air Lines is a provider of scheduled air transportation for passengers and cargo, whose route network is centered around a system of hub, international gateway and key airports that gather and distribute traffic, and supported by a fleet of aircraft that is varied in size and capabilities. The company’s network includes international joint ventures, marketing alliances with foreign airlines, loyalty memberships and agreements with regional carriers.

During the same period, when natural constrains like service recognition, infrastructure, specialized skills and economics of scale in existence, the company banked on decision to diversify. The company allocated huge amount of capital in modernizes the outdated data processing department. Starting from the year 1976 the company started expanding internationally. It introduced new business motives like next day air services in United States in year 1982. The organization enhanced it air services in year 1987 owning and leasing of 220 aircrafts and it reached summit in freight industry by implementing an additional 13 Boeing 757 jets which are under construction. The company made service partners in foreign countries to participate full package delivery in the year 1986. It increased its destination list by adding services to Canada, Japan and 16 other European countries. The company outstands as biggest air freight carrier in the world by the end of 1987.

Air Asia leading airline was established with the dream of making flying possible for everyone. Since 2001, Air Asia has swiftly broken travel norms around the globe and has risen to become the world’s best. With a route network that spans through to over 20 countries, Air Asia continues to pave the way for low-cost aviation through our innovative solutions, efficient processes and a passionate approach to business. Together with our associate companies, Air Asia X, Thai Air Asia, Indonesia Air Asia, Philippines Air Asia and Japan Air Asia.

In 2012, Delta Air Lines had emerged like the phoenix, from the ashes of a 2008, Chapter 11 bankruptcy to become the second largest airline worldwide. Through its network of operations, Delta provides air transport both domestically and internationally for cargo, mail, and passengers. In the past, Delta successfully utilized mergers and acquisitions to increase its market share and grow its existing service base. Since 2012, Delta has been aggressively seeking out new opportunities for further growth in a volatile market with high price elasticity and low brand loyalty. The 2008 merger with Northwest Airlines left Delta with higher long-term debt, making Delta vulnerable limited debt assumption required for future growth.

Air asia provides air travel at substantially lower prices is also known as no-frills or discount carrier. The company offers low fares according to cut out the "non-essential" service. The low cost of airline ticket is extremely basic because it attains high passenger loads and cut out all the extra. It means that the company does not provide meals, drinks, or snacks served free on board. The low cost airlines offer the economy flight which is narrow seat compare with wider business class seats. It also does not allocate seats for passengers as like "free seating" to make passengers board the flight early to get their seat. The additional of schemes or sale promotion activities do not offer by the company as the pricing structures are low. Low cost airline is related to the operating cost are kept to the bare minimum with low wages, low airport fees, low long term maintenance contracts rates, and low fares. So that, Air Asia is able to reduce the overhead and investment in equipments substantially absence of fringe services. Therefore, Air Asia has the operating cost compared to other competitor

Air Asia is low cost carrier from Malaysia, which established, since 2001. Air Asia is now one of the largest low cost airlines in Asia with the philosophy of "Now everyone can fly". Air Asia believes in working efficiency in every part of the business which have to be concerned with the low fare business concept that include no-frills and hassle-free.

The four cost components of the airline industry – fuel, landing fees, aircraft leasing and taxes - has made operating Lucky Air in a productive manner a constant challenge. Even though the company has a high competitive advantage being linked to Hainan Airlines, it still needed to upgrade its business strategy on a regular basis to ensure maintaining the lead they had over the other airlines. The company like all its counterparts face a myriad of restraints including heavily regulated governmental laws, limitation to price reduction, a low potential for rapid expansion due to government restrictions and heavy taxes.

Air Asia always create various promotion to attract their customer. Besides that, Air Asia also have employees with good marketing skills and technology of advertising which can influence the asia customer attraction .

There a few weaknesses of Air Asia Airline Company that writer can describe according to our reading and experience. First of all, Air Asia has a weakness on them on the way they serve their own costumer. Air Asia services were commented by the consumer as a non-punctual flight because according to consumer, Air Asia does not follow the schedule of flight strictly. This situation had caused unsatisfied feeling toward the consumer that choice to use the Air Asia service. Because of that, Air Asia had lose lot number of they own costumer that really care about time punctual. But to reduce they own weakness, Air Asia had took a step to settle the consumer problem toward the flight delay issue (Brown, 2014). Beside, Air Asia also had always being critic by they own consumer about the hidden tax that they took from the costumer. For example the aviation will charge consumer every time they purchase to use their services on the seat that consumer want. Air Asia will took charge different price according which position they want to seat, more better seat consumer take more higher price will they paid. This situation

To be able to adjust with stiff competition that keep increasing in the airlines market, airlines industries tend to come up with different approaches and strategies to be more competitive. Air Asia, like any other airlines adopt strategic approach to marketing and expand their market reach and give better and satisfying service delivery to their target market. Being an industry that considers differentiation strategy, Air Asia continue to focus on their low cost approach, frequently flights approach, guest convenience, ticketless services, easy payment channels, internet booking, reservations and sales offices, and authorized travel