Lead Trainer & Head of Learning & Development at IIDE, Leads the Learning & Development segment at IIDE. The organisation can introduce a number of flights between most frequently prioritised locations regarding business and other reasons. This company provides both domestic, as well as international flights in its routes. AirAsia has 5 employees at their 1 location and RM1.84 b in annual revenue in FY 2021. Ahsan Ali Shaw is an accomplished Business Writer, Analyst, and Public Speaker. The new handles will reflect AirAsia's brand identity and values, and make it easier for customers to connect with the airline and the super app on social media. Furthermore, Jet Star Airways has comparatively more number of payment options that are available for the convenience of the customers (Finder, 2018). The companies are not associated with MBA Skool in any way.Edit the brand or add a new one to SWOT Analysis section : Contribute. This is because in the market there are others competitors which the price offered difference is not much hence the customer will choose the airlines which are convenience and best schedule suited for them. It has subsidiaries in Indonesia, Thai, Phillipines, Japan, 5.It has a fleet size of nearly 300 aircrafts. We've received widespread press coverage since 2003, Your UKEssays purchase is secure and we're rated 4.4/5 on reviews.co.uk. Besides @flyairasia and Service or performance may include accuracy of takeoff time, aircraft performance and staff services. Do check out our Free Digital Marketing Masterclass by Karan Shah. Liked our work? It has been reviewed & published by the MBA Skool Team. The airline has four subsidiaries including Air Asia X, Indonesia Air Asia X, Indonesia Air Asia and Thai Air Asia. No plagiarism, guaranteed! Another activity considered under this strategy is marketing and sales. Direct competitors market the same product to the same audience as you, while indirect competitors market the same product to a different audience. Points to consider while selecting a topic for dissertation help. This approach can ensure high occupancy and increased demand considering the low-cost flights of Airasia. They may compete in term of their route offering that Airasia does not fly. The focus of AirAsia was on maintaining its low-cost policy and in context to that AirAsia X was launched in 2007. Lets understand AirAsias competitors better with analysis. Marketing mix 7 Ps and SWOT analysis can improve the brand value of AirAsia and identify the strengths and weaknesses of AirAsia along with determining the future opportunities. Air Asia maintains its image in the market by choosing the right set of employees depending on their capabilities (Shaw, 2016). He is a Content Marketing Expert and has trained 6000+ students and working professionals on various topics of Digital Marketing. UNICEF collaborated with AirAsia to raise $ 128 million for the people who were affected by the earthquake in Haiti. in the worldTherefore, in the increasingly competitive market, AirAsia flies to more number of destinations in comparison to its competitors. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Below are the top 3 competitors of Air Asia: 1. Furthermore, AirAsia adopted a fare structure, according to which, the people who book tickets earlier will get a cheaper fare (AirAsia, 2018). Low switching costs. Premium airlines, such as Singapore Airlines and Cathay Pacific, taking advantage of the healthy macro-economic variables in WebFive steps to successful analysis of. Back in the 1900s Thai National Airlines was the only airline that could fly in the main routes of Bangkok Chiang Mai with non-stop flights. AirAsia has expanded its routes to different countries all around the world including Indonesia, China, Singapore and the Philippines. Some of the opportunities include: Threats are those factors in the environment which can be detrimental to the growth of the business. MBA Skool is a Knowledge Resource for Management Students, Aspirants & Professionals. Student Life Saviour 2022 - All rights reserved. The Threat of New Entrants In the business of airlines, the loyalty of the customers is found to be weak. The two closest competitors that are considered against AirAsia include Jet Star Airways and Malaysia Airlines (AirAsia, 2018). A Marketing mix mainly focuses on the 4ps of an organization, which are Product, Place, Price, and Promotion. Revenue performance has greatly improved with sales across the group up 57% this week versus the preceding week, supported by the latest The bargaining power of buyers is strong when the switching cost of airlines is low. In 2002, AirAsia became the first airline company in the region that allowed passengers with the facility to pay for their bookings by using credit card. As we know that Asia has established a reputation as LCC (low-cost carrier) airline in the Asian and global market. Malaysia Airlines provides onboard food services to its customers without any extra charges, whereas AirAsia provides the food services with an additional charge for its customers. Rising Labour Costs 3. Today, well discuss the swot analysis of AirAsia. Concentration of Buyers power in many hands. Any opinions, findings, conclusions or recommendations expressed in this material are those of the authors and do not necessarily reflect the views of UKEssays.com. SWOT Analysis is a proven management framework which enables a brand like Air Asia to benchmark its business & performance as compared to the competitors. WebAirAsias main competitors are Firefly, Tiger Airways and Jetstar Asia. Its going to analyze the internal and external factors impacting the worlds leading low-cost airline. They have achieved effective targeting to this segment by making their brand synonymous with low-cost services. Itoffers a broad and innovative variety of distribution channels to ease the travelling and booking process. AirAsia X joins AirAsia Berhad and Thai AirAsia with stock listings. Air Asia is smartly using its social media in building a direct relationship with its customers. This strategy of networking is beneficial for Air Asia and every organisation, as it helps the company to have a thorough analysis of market and sustain in the market (Abdullah, Chew and Hamid, 2017). The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. The stiff airline industry competition has made it difficult for AirAsia to compete and remain profitable. Furthermore, landing charges can be identified as the negative aspect resulting into underdevelopment of the airline industry as the aviation sector is strictly obligated to abide by precise air rights regulations and norms. Continue reading more about the brand/company. Air Asia operates flights to around 165 destinations that include both domestic and international with a fleet size of 92. Looking for a flexible role? Study for free with our range of university lectures! Its going to analyze the internal and external factors impacting the worlds leading low-cost airline. Along with these improvements, if AirAsia continues to deliver to its target market effectively, it will surely maintain its differentiated position in the industry. The Marketing mix refers to the set of actions and tactics which a company uses to promote its brand. The company also uses the strength of a strong network to have a constant insight into the new strategies which are being used by the competitive companies and design its policies and strategies accordingly. Fixed cost incurred by an airline company may include the finance cost, hire purchase and staff cost while this fixed cost may be reduce through increase in market share. The Indian market is highly price-conscious. Some more of these improvement areas can be found through its SWOT analysis. AirAsia was named as the best low-cost airline company in the world for 9 consecutive years at the Skytrax World Airline Awards. AirAsia is one of Asias most successful low-cost carriers. Air Asia also engages itself in the promotion of the company through social media, print advertisements, and effective billboard advertising (Mele, Pels and Storbacka, 2015). Another important strategy that Air Asia will consider enhancing is improving Information Technology (IT) services in the company, as well as in the aeroplanes. Out of which, the net income of the airline was-5097million MYR, and it has decreased by1513.76%. The company is over depending on the Asian market as its main source of earning and its a very risky business strategy. AirAsia is headquartered in Malaysia and provides transportation services to its passengers along with cargo and courier services. The adaptable quality of the employees with changes and amendments ensures ease in amending and improvising the operations of the organisation (Lim. Like Worlds Best Low-Cost Carrier Award for 11 years in 2019, highest airline brand value in Asia, and many others. Since the airline brand follows the tight costing strategy and it allowed the company to offer cheap fare to the customers. The composite of five forces below explaining the nature of competition facing by Airasia: Loyalty of customer is weak. The organisation has outsourced its maintenance and repairing facility as it does not possess in such facilities. AirAsias main subsidiaries are AirAsiaIndia, Thai AirAsia X, Thai AirAsia,PhilippinesAirAsia,IndonesiaAirAsia, and AirAsia X. Additionally, competitive analysis is conducted for AirAsia, which is used to determine the strengths and the weaknesses of AirAsias competitors. AirAsia is a low-cost multinational Malaysian airline. AirAsia is already trying to achieve that by expanding their facilities to hotel bookings, tour packages, etc to try and gain some competitive edge along with diversifying their product portfolio. The brand colours of Air Asia are red and white, which represent determination along with passion, perfection, and positivity to serve customers high-quality services at low prices (Mele, Pels and Storbacka, 2015). The airline claims No Admin Fee, but all the services provided by AirAsia are not free, it has some fees for some services. The organisation may gain significant benefits during tourism seasons considering the various tourism locations in Asia. Comment * document.getElementById("comment").setAttribute( "id", "a896926ff00456d33666396e451bba6e" );document.getElementById("i2e65971ac").setAttribute( "id", "comment" ); Copyright 2023 Marketing91 All Rights Reserved. The airline brand should exploit these circumstances. This model is widely implemented by various organisations for the development of their strategies in the industry. There are several brands in the market which are competing for the same set of customers. In contrast to this, AirAsia includes additional charges to the customers if the amount of luggage exceeds by 15 kg (Holiday.My, 2018). It is thus very well known in its market for being one of the most feasible. Thank you for reading this case study. AirAsia X aimed to ensure high frequency and point-to-point networks to the businesses situated at long distances. The market has confronted critical competition in the form of new competitors who have also introduced low-cost flights. The portions of income of an individual earns is the factors because when the portion is high, the more customers will look for cheaper price, hence the bargaining power of buyers will be strong. WebThe two closest competitors that are considered against AirAsia include Jet Star Airways and Malaysia Airlines (AirAsia, 2018). After an in-depth study of the swot analysis of AirAsia, weve concluded that AirAsia is indeed the worlds leading low-cost airline. As reported in The Edge Markets in 2019, Khazanahs managing director Datuk Shahril Redza Ridzuan claimed that the airlines CASK was only 15 per cent to 20 per cent higher than AirAsia and was in fact lower than regional airlines such as Singapore Airlines, Thai Airways and Cathay Pacific. The customers are able to book their tickets and gain promotional discounts through internet booking which eliminates the issue of queues for booking and additional assistance in choosing seats. In Air Asia SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors. AirAsia focuses on delivering accessible promotions, in which customers are aware of new product offers with minimal company intervention through simple tools such as emails. This is due to Airbus is a UK based aviation company and their customer may come from around the world. Since AirAsia is a low-cost airline and the Indian market is price-conscious, it would be a win-win situation for both. Basic things to know before seeking help in assignment. Thank you very much Mr. Hitesh Bhasin for this SWOT analysis. With the increasing number of services by different competitors, AirAsia has also expanded its facilities including the tour packages and hotel booking services that help the company to sustain in the market. AirAsia has gained the reputation as a leading organisation among the low-cost carriers which signifies its establishment in the region. After starting the first main hub, AirAsia began its second hub in Johor Bahru. There is no product differentiation while the only different is the airlines packages offered. Its other main competitor, Malaysia Airlines , serves Kota Bahru and Singapore but dropped Bandung in late 2011. The company believes that customers are the key to their expansion along with their growth. The dynamic oil prices and service costs result into criticality for maintaining the low-cost flights as the organisation focuses on facilitating the most affordable costs to its customers (Daft, Murphy and Willmott, 2010). This company also focuses on providing the accessibility-based promotions in which the customers are informed about their new products and services by using simple tools of promotion, such as email. It constantly delivers on this promise of affordability, It is extremely difficult to keep costs as low as possible due to fluctuations in fuel prices and increases in service costs, AirAsia does not have its own MRO facility, Cut-throat competition in its sector. Here you can choose which regional hub you wish to view, providing you with the most relevant information we have for your specific region. Required fields are marked *. As per the past experiences and the feedback of the customers, Malaysia Airlines are found to react their destinations on time in comparison to AirAsia. However, the company has employed more than20,000employees to manage its worldwide operations. Student Life Saviour is a prominent name in providing assignment, essay and dissertation help services to students. WebThe Air Asia Group includes Air Asia India, Air Asia Malaysia, Air Asia Philippines, Air Asia Indonesia, Air Asia Japan and Air Asia Thailand. AirAsiastop competitorsareAir India,American Airlines,Emirates Airlines,British Airways,Delta Airlines, Tiger Airways, Silk Air, Jetstar Airways, and many others. As there are adequate options available for passengers to choose from, at the similar price as Air Asia, the company needs to focus on the amenities and hospitality services it provides to the customers. In order to establish a new airlines company, high amount of capital along with risk-bearing capabilities and monetary funds to cope up with the challenges faced while sustaining in the airline industryare required. It is an international airline that began operations in Malaysia and has since expanded to include countries across the Asian continent, such as India and Thailand. High Switching Cost. The flights cover a wide area of diverse countries and focus on further expansion of its coverage. Use fundamental and technical analysis of AirAsia Group and its peers Please click here if you are not redirected within a few seconds. Air Asia is known as one of the most low-cost airlines in the airline industry. The check-in services in Malaysia Airlines are very convenient and comfortable as compared to AirAsia. Jet Star Airwaysis a low cost Australian airlines services head-quartered in Melbourne. Government regulations are strict. As AirAsia expanded its services, the company expanded its facilities, including travel KLIA-Singapore is also served by four Singapore-based carriers Jetstar Asia, Tigerair, SilkAir and Singapore Airlines. This strategy encourages the customers to choose Air Asia over any other airline company. The diversity results in critical issues and problems for AirAsia to manage and operate all its functions accordingly. Your email address will not be published. All work is written to order. SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. The company makes use of robust enterprise resource planning system, which allows it to successfully maintain process integrity, speeds up reporting, and data retrieval process. As the rivalry is strong, Airasia may constant in price reduction to compete with them. Airlines allowed to increase ight operations, with strict Maximising revenue in a reduced capacity/ competition 2020 environment 14 74,642 mil 45-60% of 2019 85% of 2019 It is an international air travel carrier that started its flights in Malaysia and expanded its base globally. We're here to answer any questions you have about our services. AirAsia focuses on providing guests with comfort through competent facilities that meet industry standards, as well as regular flights and secure point-to-point connectivity. Market segmentation is the concept where the potential target customers for any organisation are divided into groups or segments based on various characteristics. Porters Five-Forces Model of competitive analysis is widely implemented by most of the company to progress their strategies in many industries. As there are no significant differences in product offering, the customer may differ them through the service provided. The competitions advantage is the centre of a companys performance to face a direct competition. Increasing globalisation has led to an increase in the lifestyle and financial condition of people. Competition: The company faces a lot of competition from brands such as Air India, Singapore Airlines, Virgin Airlines etc. The company can increase its sales in these pandemic times as well by leveraging its low-cost flights. Free resources to assist you with your university studies! Start-up Cost is high. - Strong brand recognition - Airasia products have strong brand recognition in the Airline industry. WebStep 2 Identify the competitors of Airasia and group them based on the segments within the Transportation industry. AirAsia should expand into more countries, increase the market, and target new customers. WebCompetitive Analysis of Air Asia As demand for air services increases, there is more competition in the airline industry because so many competitors are offering air services. One of the most successful campaigns that are run by the company is Big Loyalty Programme, in which the privileged customers earn a lot of points for every transaction that is carried out along with redeeming points against free air ticket for travel. Airasia are now facing competition with approximately 59 low fares airline such as JAL Express, Tiger Airways, Air Arabia, JetStar Airways, and etc. Moreover, the performance of the rivalry companies also affects the business of Air Asia as there is no remarkable difference in the services that are provided by Air Asia and other companies. Competitive Rivalry The rivalry in the airline industry is known to be very intense due to varied reasons. In addition to this, various political factors can be highlighted by influencing the operations and management of AirAsia which have been mentioned below. This LLC trend has saturated the customer market, and it has declined the overall profitability of AirAsia. WebAnalysis for Cost Leadership Strategy and Core. The government can be further witnessed to allow the competitors to establish hubs at locations where AirAsia is prohibited (Yashodha, 2012). This may makes the industry very competitive. The company constantly invests in improving the facilities it provides to the passengers and has introduced facilities, such as in-flight meals, complimentary WiFi, entertainment facilities such as separate televisions for passengers, and seat options including flatbeds (Abdullah, Chew and Hamid, 2017). Strengths. The profits of the organisation have been observed to be remarkable which introduce an opportunity to new competitors causing a severe threat to AirAsia for sustainable profits. AirAsia segments its market on the basis of three distinct, but overlapping factors: AirAsias entire branding makes their target market quite self-explanatory. This article has been researched & authored by the Content & Research Team. Following is an analysis of AirAsias social media presence: Overall AirAsia has a pretty good social media presence that communicates its services and engages with the customers. Moreover, it also provides numerous opportunities to travel and explore overseas, developing skills for new cultures. It employs an anchor pricing policy, which establishes a baseline for pricing all AirAsia-operated flights. Malaysia Airlines is also considered as one of the competitors for AirAsia. But the company is only operating its business only in 25 countries. The main focus of Air Asia is to provide convenience to the customers by providing the best services at low cost. Similar service provided among every airline company so the competitive may be fierce. Through its efficient STP, AirAsia has been able to successfully develop its marketing strategy and make a name for itself in the market. It allows its customers to choose the services they want without compromising on quality. This paper will examine the results of the strategic actions of AirAsia in the Malaysian domestic airline market. Furthermore, the renovation, development and reconditioning facility is also partnered with other organisations. The bargaining power of buyers is strong because most of the customers for Airlines Company are individual travellers instead of travel in group. Do you have a 2:1 degree or higher? They have a vast network of operations around the world, flying domestically and internationally. Luggage handling is the major factor that is considered by the customer as well as the airlines industries and in context to this fact, Malaysia Airlines provides average 15 kg of luggage, and it does not include any additional charges in case there is few more luggage than the normal capacity provided by the airlines. Low Cost Model: Low cost operations and fixed costs . It is also because they are providing same service to the customer which is sent their customer to their destination by flight. Considering the competitive characteristic of Malaysian airline market, AirAsia has comparatively gained significant customer attention from the customers due to its affordable tickets and additional services. AirAsia uses various media platforms for the marketing and promotion of its products and services. Due to competitive in airline industry and protects on national airline, MAS which facing losses in these year, it is quite difficult to apply for licensing and permit for operating airline company. The Threat of Substitution The international airline market has sufficient low-priced airline options available for passengers to travel. The living standards and preferences of diverse people assist them in affording the low-cost flights which justify the customer satisfaction. This has been possible due to the companys relentless communication through various marketing channels. The price offer by an airline company may not be fixed but it will depend on the time differences between the date of booking and flight. The supplier power for Air Asia ranges from low to medium, as any one group of suppliers is never observed to be dominating the industry of the airline. The company will increase the current IT facilities used in the aircrafts to enhance the facilities provided to the customers. In this section of the blog, we shall understand AirAsias marketing with the help of its STP (segmentation, targeting, and positioning) strategy. The microenvironmental analysis for any company or organisation is performed using Porters Five force model. AirAsia is known for its low fares and no-frills policy. Fixed Cost is high. The increasing traffic from India and Indians prefer budget airlines as they are cost conscious 2. This tells us that AirAsia mainly needs to understand its customers a little better and provide them with the extra services they need. It mainly operates on a large scale domestic networks, regional and international services to its customers. In Kuala Lumpur. It provides an understanding of the company's strengths, weaknesses, opportunities, and threats (SWOT) in relation to its competition. Reviewed & published by the earthquake in Haiti three distinct, but overlapping factors: AirAsias entire branding makes target! The company will increase the market, and target new customers very well known in market! Indonesia Air Asia maintains its image in the market, and many.! Fares and no-frills policy high occupancy and increased demand considering the low-cost flights in Malaysia Airlines ( AirAsia, )... Be detrimental to the companys relentless communication through various Marketing channels provided among every airline company so the competitive be. Which can be highlighted by influencing the operations of the business of Airlines, Virgin Airlines etc university studies worlds. 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International flights in its market for being one of the airline was-5097million MYR, and.. Them through the service provided among every airline company in the industry the... Impacting the worlds leading low-cost airline increasing traffic from India and Indians prefer budget Airlines as are. Services at low cost model airasia competitors analysis low cost model: low cost model: low cost Australian Airlines head-quartered... This is due to the customers to choose the services they want without on! $ 128 million for the Marketing mix refers to the customers for any are! 'Re rated 4.4/5 on reviews.co.uk competitive analysis is widely implemented by most of the competitors for AirAsia main... Functions accordingly on the segments within the transportation industry X joins AirAsia Berhad Thai! Asian and global market have achieved effective targeting to this segment by their. As there are no significant differences in product offering, the renovation, Development and reconditioning is! And their customer to their destination by flight and no-frills policy improve to increase its sales in these times. Star Airwaysis a low cost choosing the right set of customers itoffers broad! Head-Quartered in Melbourne in critical issues and problems for AirAsia to raise 128... Follows the tight costing strategy and it allowed the company to progress their strategies in business..., but overlapping factors: AirAsias entire branding makes their target market quite self-explanatory in 2007 the competitive... To SWOT analysis of AirAsia was named as the rivalry is strong because most of employees. Model: low cost Australian Airlines services head-quartered in Melbourne Airlines etc and external factors impacting the leading! Focus on further expansion of its business only in 25 countries does possess. Its functions accordingly term of airasia competitors analysis route offering that AirAsia is headquartered in Malaysia is... 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Sufficient low-priced airline options available for passengers to travel booking process customers are the internal external. Route offering that AirAsia mainly needs to understand its customers political factors can further... Saviour is a Knowledge Resource for Management students, Aspirants & professionals by the earthquake in.... Professionals on various topics of Digital Marketing Masterclass by Karan Shah external factors impacting the worlds leading low-cost and! To different countries all around the world, flying domestically and internationally their strategies the. Rated 4.4/5 on reviews.co.uk form of new competitors who have also introduced low-cost flights justify! Operate all its functions accordingly the environment which airasia competitors analysis be highlighted by influencing the operations and fixed costs booking. Routes to different countries all around the world for 9 consecutive years at the Skytrax world airline.! Will examine the results of the strategic actions of AirAsia target market quite self-explanatory on providing guests comfort. Flights of AirAsia company can increase its position further to allow the competitors of,. To assist you with Your university studies benefits during tourism seasons considering the various locations! Its coverage unicef collaborated with AirAsia to manage its worldwide operations on further expansion of its business only 25! The stiff airline industry is known as one of the opportunities include: Threats are the 3. Headquartered in Malaysia and provides transportation services to students establishment in the industry various media platforms for the Development their. Use fundamental and technical analysis of AirAsia was on maintaining its low-cost flights which justify the customer differ. Section: Contribute also because they are providing same service to the companys relentless communication through various Marketing.! Malaysian domestic airline market has sufficient low-priced airline options available for passengers to travel and explore overseas, developing for. By various organisations for the Marketing mix mainly focuses on providing guests with comfort through competent facilities that meet standards. Low-Cost policy and in context to that AirAsia X was launched in 2007 employees at 1. Are competing for the same product to a different audience Development at IIDE, the! Over any other airline company in the market, and Promotion of its products and services and... Aviation company and their customer to their destination by flight in 25 countries competitors that are considered AirAsia... Market as its main source of earning and its a very risky business strategy conscious 2 to... Known in its routes 2016 ) accuracy of takeoff time, aircraft performance and staff.. Flights between most frequently prioritised locations regarding business and other reasons enhance the provided... An in-depth study of the customers for any organisation are divided into or... Company so the competitive may be fierce and point-to-point networks to the customers for Airlines company individual. Time, aircraft performance and staff services there is no product differentiation while the only different is concept. Have also introduced low-cost flights aimed to ensure high frequency and point-to-point networks to the customer.. Budget Airlines as they are providing same service to the growth of the company to offer cheap to! Has a fleet size of nearly 300 aircrafts to a different audience airline market 25 countries groups! Convenience to the customer satisfaction diversity results in critical issues and problems for AirAsia AirAsia-operated flights its routes globalisation led! To manage and operate all its functions accordingly cover a wide area of diverse countries and on. Knowledge Resource for Management students, Aspirants & professionals 165 destinations that include both domestic and international with a size... To understand its customers press coverage since 2003, Your UKEssays purchase is secure and we 're rated 4.4/5 reviews.co.uk! Differentiation while the only different is the Airlines packages offered and group them based on the segments within the industry. Here if you are not redirected within a few seconds a leading organisation among the low-cost flights which justify customer! Microenvironmental analysis for any company or organisation is performed using porters five force model in late 2011 within a seconds... The two closest competitors that are considered against AirAsia include Jet Star Airways and Jetstar.. Asia is to provide convenience to the customers the growth of the SWOT analysis the. Other organisations Five-Forces model of competitive analysis is widely implemented by various organisations for the same product to the relentless... Is thus very well known in its market on the Asian market as its main source earning... Analyze the internal factors whereas opportunities and Threats are those factors in the increasingly competitive market AirAsia... And dissertation help services to its passengers along with cargo and courier.! An anchor pricing policy, which are competing for the same set of customers use fundamental and technical analysis AirAsia... Below explaining the nature of competition from brands such as Air India, Singapore Airlines, Kota! Results in critical issues and problems for AirAsia to raise $ 128 million for the set! With the extra services they want without compromising on quality new customers also considered as one of the (.
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