TABLE OF CONTENTS
AIRASIA’S BACKGROUND......................................................................3 SWOT ANALYSIS FOR AIRASIA.............................................................3 * Strength * Weakness * Opportunities * Threats LIST OF REFERENCES...........................................................................6
AirAsia’s Background
AirAsia was previously owned by DRB-Hicom, a government-linked company. Its airline had not been able to take off and was eventually sold to Tune Air Sdn. Bhd in 2001 which are owned by Tony Fernandes and four entrepreneurs, for a token sum of RM1.00 together with an accumulated debt of RM40 million.
AirAsia was listed in the Kuala Lumpur bourse within
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List of Referencing:
1) AirAsia. (2008) AirAsia. http://www.airasia.com 2) Pultotak, D. (2004, July).beyong Alignment. Business and IT Sunchronization. Http://itsaboutmymot.worthless.com.com/2009/08/31/the-Arabia-company-strategic-management 3) KHOR Y L, RAMLI, AZEMAN & GERALD. (2009). Branding an Airline: A Case Study of AirAsia http://umrefjournal.um.edu.my/filebank/published_article/630/JPMM%202009%20KHOR%20YOKE%20LIM,%20RAMLI%20MOHAMED,%20AZEMAN%20ARIFFIN.pdf 4) Ryan. (2011, July) Higher fuel costs could benefit budget airlines. http://www.channelnewsasia.com/stories/singaporebusinessnews/view/1143889/1/.html) 5) Manirajan.( 2012, September) Lion Air Challenges AirAsia With Malaysian Low-Cost Carrier. http://www.bloomberg.com/news/2012-09-11/lion-air-challenges-airasia-with-malaysian-low-cost-carrier.html 6) Businessweek.(2012,September) airasia bhd AIRA:Kuala Lumpur http://investing.businessweek.com/research/stocks/charts/charts.asp?ticker=AIRA:MK 7) Skytrax. (2012) AirAsia Passenger Reviews.
Delta Airlines is one of the leading airline industries in the market based on on-time performance, revenue per available seat, customer satisfaction, and it is well positioned in taking advantage of the new positive economic outlook for the airline industry. It is a domestic Airline carrier that provides passengers and cargo services throughout the US and other international destinations. Some of its hubs are in Atlanta, Detroit, Minneapolis, Amsterdam, JFK and Tokyo-Narita as well as in partnering with the existing regional airlines. Currently, the assets of Delta Airline are valued $54,252 million and the composition can be divided into three main groups including PPE (Property, Plant, and Equipment), Current Assets and other Assets (Luo, 2014).
Delta’s Management team is seeking to strengthen the company’s market and financial position by proposing to acquire American Airlines. An assessment of American Airlines business operations, its resources and environment will identify the company’s operational and financial strengths, weaknesses, possible opportunities and threats. This will enable Delta to recognize the best strategy to create the most effective synergy for this acquisition. Evaluating the SWOT analysis on American Airlines is a core requirement and a key step to assessing the feasibility of the acquisition; detecting its operational and financial factors could have a profound effect that can assist Delta in determining the strategic direction that would be advantageous to the company.
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 airline industry has been a major factor in the globalization of the world economy. It connects the sellers and the buyers as well as transports goods across countries. It also breaks the time and distance barriers. In the past, air travel was considered a luxury but it is now a common necessity.
WestJet Airlines is a Canadian airline that differentiates itself with their low cost flights and exceptional customer service. The company’s philosophy is “just because you pay less for a flight, doesn’t mean you should get less.” WestJet has been growing rapidly since 1996, however, they believe in growing responsibly by being cautious of their environmental and community impact (“About us”, n.d.). As WestJet has a strong presence locally, our analysis will mainly focus on WestJet’s domestic segment.
American Airlines, Inc. (AA) is a major airline of the United States. It is the world's largest airline in regards to accumulated passenger miles. American Airlines took off on April 15, 1926 when Charles Lindbergh flew a bag of mail from Chicago to St. Luis in a DH-4 biplane. A year later the first passenger flight flew from Boston to New York, heralding the real first passenger airplane travel by American Airlines. A subsidiary of AMR Corporation, the head quarters of American Airlines is in Fort Worth, Texas adjacent to the Dallas/Fort Worth International Airport. American operates scheduled flights throughout the United States and flights to Canada, Latin America, the Caribbean, Europe, Japan, the
| Weakness * The number of cancelling flights is a little high * The customer service is bad because in some occasion the customer can’t found the delta representative in the airport. * Lack of online presence * In some aircrafts the seats are uncomfortable and narrow
Prices reflect the unique value of the brand to a certain extent. Brand positioning builds the unique brand image in the minds of consumers, so price setting and adjustments must adapt brand positioning, and brand positioning shows the brand’s unique value through price (Kotler, 2013, p. 215). For Qantas, the pricing strategy utilises a cost plus margin method of product pricing, offering lower pricing in accordance to the market demand. The number of travellers requiring Qantas services, prompt the airline to adjust pricing rates accordingly.
The corporate culture at easyJet is that of informality and adaptability. The company favors a flat hierarchy whereby the management work closely with those below them in the chain of command. Employees are given responsibility to make decisions themselves. This empowerment is not only eliminates wasteful layers, ensures any situation is dealt with as quickly bas possible but is also thought to increase employee motivation. (Maslow see appendix Fig.1). This type of adaptive corporate culture then links overall culture of "we're up for it" (http://www.opp.co.uk/solutions/consultancy/easyjet.asp) I feel that these points then go toward the
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.
To formulate a strategy that will help Southwest Airlines maintain its competitive edge in the US airline industry.
US Airways completed a merger in December 2013 . This merger provided much needed cash infusion into American Airlines, enabling it to emergency from
Since 2003 Southwest Airlines has been the largest air carrier based on the number of passengers enplaned. The company currently boasts over 55,000 employees and serves more than 115 million passengers annually. With 687 planes, Southwest has ninety-nine domestic destinations as well as destinations in nine other countries (Southwest Media, 2017).
British Airways’ brand is simply, “To Fly. To Serve.” (British Airways, 2017) This simple motto is to define the “passion and expertise” that British Airways’ achieves. (British Airways, 2017) The bring a proud heritage and a long line of history to personalize customer experience with the “British style and sophistication”, one would expect. (British Airways, 2017)
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