It has hedged 100% of its fuel requirements for the next three years, achieves an aircraft turnaround time of 25 minutes, has a crew productivity level that is triple that of Malaysia Airlines and achieves an average aircraft utilization rate of 13 hours a day. Slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. The rate of customer complaints on Airasia service are quite high (Complaint board,2017). However, there will be also some reduction in overall travel especially by casual or budget travellers. This study uses content analysis of the crisis communication strategies used by AirAsia and Malaysia Airlines in their respective aircraft accidents on December 28, 2014 and March 8, 2014. For example, their partnership with other service providers such as hotels and hostels, car rental firms, hospitals, Citibank has created a very unique image among travellers. This had a positive impact on the business model of AirAsia and surely with the expansion of IT sector the positive impact obviously would be there. With the help of AirAsia Academy, AirAsia has successfully created a workforce which is veryflexible and high committed and very critical in making AirAsia the lowest cost airline in Asia. INTRODUCTION 1 A low-cost carrier (also known as a no-frills or discount carrier) is an airline that offers low fares but … Weaknesses in the SWOT analysis of Air Asia. What Is the Macro Environment in Business Analysis? AirAsia is a Malaysian low cost airline. In the first case, he increasing oil price at the first glance may appear like a threat for AirAsia. Therefore, AirAsia have to ensure proper and continuous maintenance of the planes which will also help to keep the overall costs low. Now AirAsia is the most successful budget air operator. This technology depends on the effectiveness of the IT infrastructure. With fluctuations in fuel costs and increase in service costs, the airlines find it immensely challenging to … [email protected] 804-506-0782 350 5th Ave, New York, NY 10118, USA. Air Asia use these technology to it advantages as it virtually reaches it potential customer from all part of the world As the ticket sales are through the internet, the payments of the transaction are through the Banks via web based. This study uncovers Air Asia strategic analysis by scanning the impact of micro and macro environment. Slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. Fourthly, AirAsia is also known to be a low cost leader in Asia. Lastly, their excellent utilization of IT have successfully contributed to their promotional activites; such as email alerts and desktop widgets which was jointly developed with Microsoft, as well as being able to keep costs low by enabling direct purchase of tickets by customers therefore saving on airline agent fees. Air Asia: Case study on Growth, Diversification and Low cost Strtegy, Tronics pest and porters -jennifervuhuong.com, How to find hotels in non-touristic places, 3 key factors to be a great facilitator -Jen, Travelling and working abroad - Ielts topic -Jen, No public clipboards found for this slide. Case study: AirAsia. Furthermore, air tickets are not difficult to purchase; a user only has to have a login account with airasia. Do governments pose a significant obstacle to the expansion of low-fare airlines in Asia? com and purchase tickets from there. Search Search If you continue browsing the site, you agree to the use of cookies on this website. Air Asia Strategic Analysis - Free download as Word Doc (.doc / .docx) or read online for free. Therefore Air Asia pledges to be responsible on gathering and protecting it consumer privacy, even though it does not create legal right to the customers. The links with Manchaster United and AT;T Williams Formula One team have further boosted their image to a greater extend beyond just the this region. Furthermore, certain areas are dangerous to travel by land, especially on the Thai-Cambodia border, therefore travellers would like to travel across borders safely. See our Privacy Policy and User Agreement for details. It initially operated in Malaysia and currently operates in over 25 countries (Ricart and Wang 2005). Page 1 Microeconomics & Strategy Case study: AirAsia 2. Based on their slogan “Now Everyone Can Fly” have fulfilled the wants for those passengers who choose to fly with low cost airlines especially students, those family with lower income and low income earners. 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