airasia competitors analysis

Get best assignment helper in Malaysia as offered by Student Life Saviour to ensure best grades in all Malaysian assignments. Step 4 - Determine overall industry structure and test analysis of consistency. Customers have access to market information. There are several companies associated with AirAsia including AirAsia X, Tun Hotel, Tune Monkey, AirAsia Berhad, Thai AirAsia Co. Ltd., AirAsia Japan Co., Ltd., PT Indonesia AirAsia (India) Limited. AirAsia offers transportation services to its passengers along with several other services, which includes courier services and cargo services. AirAsia has expanded its routes to different countries all around the world including Indonesia, China, Singapore and the Philippines. The major competitors for Air Asia as per the market analysis are Jet Star Airways, Tiger Airways, JAL Express, and Air Arabia. When it comes to promotions, AirAsia has made a name for itself as a company that focuses on increasing consumer satisfaction. This pricing strategy helps the company to create a base for pricing all the operations that are carried by them. SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. 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. Moderate Portion of buyers expend on airline. Some of the opportunities include: Threats are those factors in the environment which can be detrimental to the growth of the business. WebCompare AirAsia against competitors. This marketing mix 7 Ps model is used to explain the marketing strategy of Air Asia. This company also operates through affiliated airlines, such as Thai Air Asia, Indonesia Air Asia, Philippines Air Asia. This LLC trend has saturated the customer market, and it has declined the overall profitability of AirAsia. This isbecauseof increased globalisation among industries and travelling, and the tourism industry has been severely affected by it. This involves a detailed analysis of their actions and how these would affect the future strategies of AirAsia Flying Low Cost with High Hopes. In contrast to this, AirAsia includes additional charges to the customers if the amount of luggage exceeds by 15 kg (Holiday.My, 2018). They have been a major player in the low-fare airline industry and have connected over 88 countries together. It employs an anchor pricing policy, which establishes a baseline for pricing all AirAsia-operated flights. That was AirAsias 4Ps mix, detailing each strategy and its purpose. Well established LCC operating out of South East Asia, 3. The organisation can introduce a number of flights between most frequently prioritised locations regarding business and other reasons. AirAsia has been facing the competition with the varied existing low fare airlines that include Jet Star Airways, Tiger Airways, JAL Express and Air Arabia. The company was established in 1993, and the official operation of the company was started on 18 November 1996. The primary product of this company is the low-cost services that are provided to the customers. Lets see how they compare amongst a few key indicators. 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. As compared to industry leaders, they dont operate on as many routes, Merging with other low-cost airline companies, They can introduce more flights for popular and busy destinations, The increasing traffic from India as Indians prefer budget airlines. Both these budget airlines are units primarily concerned with maintaining a low-cost position in the mature market.. History of Garuda Airlines. in the worldTherefore, in the increasingly competitive market, AirAsia flies to more number of destinations in comparison to its competitors. However, the low-cost pricing strategy has allowed the company to target price-conscious customers in the Asian market. Kamarudin Meranun and Tony Fernandes bought the airline on Sep 08, 2001. This paper will examine the results of the strategic actions of AirAsia in the Malaysian domestic airline market. They have achieved effective targeting to this segment by making their brand synonymous with low-cost services. It was named as the Best Low-Cost Airline Company in the world for 9 consecutive years at the Skytrax World Airline Awards. The cheap flight tickets are given to the customers on the basis of the demand in the form of promotional schemes. The purpose of this report is to examine the market environment for AirAsia, which has established its business in Malaysia. Below are the Strengths in the SWOT Analysis of Air Asia : 1. The company is observed to possess a significant reputation among the competitors, customers and the markets of the establishment. Today, it connects domestic and international flights to more than 165 destinations within 25 countries. WebThe Competitors analysis of AirAsia Flying Low Cost with High Hopes looks at the direct and indirect competitors within the industry that it operates in. Here you can choose which regional hub you wish to view, providing you with the most relevant information we have for your specific region. Student Life Saviour 2022 - All rights reserved. UNICEF collaborated with AirAsia to raise $ 128 million for the people who were affected by the earthquake in Haiti. The Threat of New Entrants In the business of airlines, the loyalty of the customers is found to be weak. Brands, such as Jet Star Airways and Tiger Airways, are sustaining in the competition as they also provide air transportation at cheap costs to people along with enhanced in-flight services and varied options for passengers.This directly affects the customer strength of Air Asia, andthese companiespose a threat to the company. Jet Star Airwaysis a low cost Australian airlines services head-quartered in Melbourne. AirAsia X joins AirAsia Berhad and Thai AirAsia with stock listings. The company develops the products and services that are convenient for its customers (Mele, Pels and Storbacka, 2015). It was started in 1993, and the operations began in 1996. Study for free with our range of university lectures! 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. AirAsias mainproducts and servicesare KL Syariah Index of Bursa Malaysia, low price Santan meal, and duty-free merchandise, drinks, food, and other menus if you buy on board. Hence the airlines companies have more sales on individuals tickets rather than the groups of customers. Government regulations which target various aspects such as particular routes, landing permissions and share possession cause a drastic impact on the operations of the organisation. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. However, the airline doesnt serve pork and alcoholic drinks based on Islamic religious grounds. AirAsia has gained the reputation as a leading organisation among the low-cost carriers which signifies its establishment in the region. Registered office: Creative Tower, Fujairah, PO Box 4422, UAE. AirAsia managed to become one of the most popular and profitable airline companies in the world by implementing visionary leadership and innovative business approach. In the increasing demand of the airline services, there is a tough competition in the airline industry because of the varied numbers of the competitors that are providing the airline services. Its going to analyze the internal and external factors impacting the worlds leading low-cost airline. It offers scheduled flights and chartered flights for passengers, and also provides air cargo services (AirAsia, 2018). The strengths of Air Asia looks at the key aspects of its business which gives it competitive advantage in the market. The introduction of ASEAN open skies policy facilitates opportunities for expansion and generalised airline regulations among the south-east countries of Asia which would benefit the organisation. Premium airlines, such as Singapore Airlines and Cathay Pacific, taking advantage of the healthy macro-economic variables in From simple essay plans, through to full dissertations, you can guarantee we have a service perfectly matched to your needs. The microenvironmental analysis for any company or organisation is performed using Porters Five force model. In addition, rates are determined by the class of flight, airline load factors, travel dates and days, and competitor pricing in the airline industry. IT infrastructure of the organisation is utilised with a remarkable approach which enhances the operations and management of the organisation. Some more of these improvement areas can be found through its SWOT analysis. Find useful insights on AirAsias company details, tech stack, news alerts, competitors and more. Air Asia is known as one of the most low-cost airlines in the airline industry. They have official handles on all major platforms but for the purposes of this segment, we shall take a look at the main 3, which are Instagram, Twitter, and Facebook. The company cannot control a number of charges and costs which are regulated by government and airline authorities which may result in a significant loss in profits and consistency of the organisation. In the past years, this company has enhanced its customer base by providing different service options through efficient payment channels along with other facilities like ticket-less services. Lets see how they compare amongst a few key indicators. The complaints received by the organisation are identified to be the consequences of low prices as the organisation may face critical problems in ensuring service and assistance with the low-cost flights. High numbers of Competitor. Switching Cost is low. The operational region of AirAsia comprises different countries which introduce diversity in religion, language, culture and approaches. Air Asia Competitors There are several brands in the market which are competing for the same set of customers. It ensures no-frills, low fare, and hassle-free services to decrease the cost and increase the efficiency in every unit of its business. The opportunities for any brand can include areas of improvement to increase its business. Similar service provided among every airline company so the competitive may be fierce. In Air Asia SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors. 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. The other supplier such as fuel supplier, merchandise supplier, or food supplier may be depend on market condition. About Air Asia Air Asia PESTLE Analysis examines the various external factors like political, economic, social, technological (PEST) which impacts its business along with legal & environmental factors. The importance of pricing strategy is to know the strategies that are used in the market and to analyse the rivals that are present for Air Asia n the airline industry (Shaw, 2016). 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). 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. WebStep 2 Identify the competitors of Airasia and group them based on the segments within the Transportation industry. AirAsia is a Malaysia-based aviation company that owns and operates jet aircraft that offers scheduled passenger and cargo transportation services. AirAsia is a Malaysian low cost and no-frills airline company, which has a unique slogan stated as Now Everyone Can Fly. AirAsia adopted the Computer Reservation System (CRS), which enabled it to introduce the first-ever ticket-less travel facility and also provides features such as advanced boarding passes and online ticket booking. Now, the brand should amplify its marketing and promotional campaigns to attract the Indian price-conscious market. Here are the weaknesses in the Air Asia SWOT Analysis: 1.Not on too many routes as compared to market leaders 2.Stiff competition in its sector. The cost-cutting strategies of AirAsia are effective and beneficial in terms of financial growth and maintenance (Ahmad and Neal, 2006). Airasia are now facing competition with approximately 59 low fares airline such as JAL Express, Tiger Airways, Air Arabia, JetStar Airways, and etc. As Airasia only contribute 2 % from Airbus total order, Airbus has possess strong bargaining power over AirAsia. Tiger Airways. High Switching Cost. Quizzes test your expertise in business and Skill tests evaluate your management traits. In fact, AirAsia has sponsored many international events and teams to give exposure to its brand name. A recipient of numerous awards Air Asia has been consecutively designated as the leading low-cost carrier in the Asian region. Orient Thai previously competed as a third LCC domestically but has essentially withdrawn from this market, initially shutting its LCC brand One-Two-Go in 2008. The focus of AirAsia was on maintaining its low-cost policy and in context to that AirAsia X was launched in 2007. Along with these improvements, if AirAsia continues to deliver to its target market effectively, it will surely maintain its differentiated position in the industry. In accordance with the increased demands, the options available for flying has also increased, and hence, the bargaining power for buyers is examined to be high for Air Asia. The price will be cheaper if you book earlier. 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. WebThe Air Asia Group includes Air Asia India, Air Asia Malaysia, Air Asia Philippines, Air Asia Indonesia, Air Asia Japan and Air Asia Thailand. To export a reference to this article please select a referencing stye below: If you are the original writer of this essay and no longer wish to have your work published on UKEssays.com then please: Our academic writing and marking services can help you! The headquarter of the company is in Kuala Lumpur International Airport, Sepang, Selangor,Malaysia. It must have a good relation with hotels and tourism companies around Asia. Simply put, AirAsias target market is the people whose purchasing motivations are price and simplicity. All work is written to order. Do you have a 2:1 degree or higher? Thank you for reading this case study. It would be a strong competitive edge to AirAsia after the pandemic ofcovid-19because the purchasing power of the people has dropped significantly. Home Samples Marketing Environment Analysis of Air Asia. Another reason for the threat of new entrants being low is government laws and regulations which pose restrictions on applying for permissions and license for operating an airline company. Air Asia operates flights to around 165 destinations that include both domestic and international with a fleet size of 92. 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. Revenue performance has greatly improved with sales across the group up 57% this week versus the preceding week, supported by the latest 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). Air Asia is one of the leading brands in the airlines sector. Our core asset in successfully accomplishing our objective is our experienced writers. As per the results of the survey, AirAsia has. Specific analysis has been conducted in order to analyse the market environment for AirAsia. It has a fleet of over 70 aircrafts, which fly to over 120 destinations and operates over 400 flights daily from its hubs situated in Thailand, Malaysia and Indonesia (AirAsia, 2018). 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. However, there is also a barrier to the establishment of the new entrant in the airlines, which is the high start-up cost that is required for the airline services. Rise of Other LCCs in Market. Hi, I am an MBA and the CEO of Marketing91. The company is constantly using innovative solutions to provide low-cost transportation. It has subsidiaries in Indonesia, Thai, Phillipines, Japan, 5.It has a fleet size of nearly 300 aircrafts. Thus, the customer may choose to purchase premium airline which may offer them more comfortable facility in almost same price with Airasia. The organisation may gain significant benefits during tourism seasons considering the various tourism locations in Asia. It is the largest airline company based on the concept of the Low-Cost Carrier (LCC) (Zhang et al., 2017). Focusing on providing air travel without frills at substantially lower prices, AirAsia has managed to achieve lower prices to attain high passenger loads, market share, and profitability by eliminating provision of The adaptable quality of the employees with changes and amendments ensures ease in amending and improvising the operations of the organisation (Lim. The organisation can be witnessed to confront critical competition from the competitors who are facilitating similar costs and additional services and privileges which act as a drawback for the organisation (Man and Justine, 2005). Today it is one of the most reputed Asia-based airline companies. Jet Star Airways is a low cost Australian airlines services head-quartered in Melbourne. Similarity of product. WebAirasia are now facing competition with approximately 59 low fares airline such as JAL Express, Tiger Airways, Air Arabia, JetStar Airways, and etc. Its going to analyze the internal and external factors impacting the worlds leading low-cost airline. The organisational image is consistent and successful concerning the competition in the market. The threats for any business can be factors which can negatively impact its business. This increases the probability of people to avail of airline services frequently. Very interesting and informative. AirAsia has been a successful part of the airline industry for over a decade. Porters Five-Forces Model of competitive analysis is widely implemented by most of the company to progress their strategies in many industries. Strengths. He has been a guest speaker at prominent colleges in India including IIMs[Read full bio], Your email address will not be published. Pacific (Cebu Air Inc, 2012), AirAsia (AirAsia, 2011), and JetStar Airways (Jetstar Airways, 2012) all reporting increase in revenues and recording profits over the previous year. AirAsia participates in a lot of price-based promotions. Liked our work? Learn how your comment data is processed. As increasing in the number of airline competitor such as Jet Star and Tiger Airways which are also promote low cost fare may decrease the shifting cost of the customer lead to decrease of Air Asias customer loyalty. The approach towards providing the lowest costs results into a low opportunity for gaining significant profits as the company abides by its approach of maintaining lowest flight costs. Furthermore. Fixed Cost is high. As compared to the services of the AirAsia,Malaysia Airlinesprovides better services and gain efficient customer satisfaction. Knowing the increase of competition in the market, AirAsia applied the adaptation process (Hanan & Freeman, 1984) by expanding its operation to long haul services to various destinations. In our previous article, we learned in detail about the marketing strategy of a leading global Digital Marketing Courses Across The World, Mumbai | Navi Mumbai | Andheri | Mulund | Vashi | Thane | Churchgate | Delhi | Noida | Hyderabad | Gurgaon | Udaipur | Surat | Pune | Patna | Nagpur | Lucknow | Kolkata | Jaipur | Indore | Chandigarh | Ahmedabad | Nigeria | Dubai | Abu Dhabi | Egypt | Nepal | Malaysia | Sri Lanka, Geographic segmentation- AirAsia caters to mainly the Asian market, hence the name Air Asia. The following are strengths and weaknesses of AirAsia: 1. Build a competitive intelligence sales and marketing strategy based on the data The living standards and preferences of diverse people assist them in affording the low-cost flights which justify the customer satisfaction. They may force to continue their operation even they are facing losses in order to cope with fixed costs. Free resources to assist you with your university studies! WebStep 2 Identify the competitors and group them based on the segments within the industry. Multiple ticket distribution networks exist, including internet booking, exclusive reservations, sales offices, and company-approved agents. Following are the opportunities in Air Asia SWOT Analysis: 1. WebAirAsia is largest player in June, with 35% capacity market share Indonesia: Easing restrictions as the country step into transition period. AirAsia is a reputed and leading Asian based airline company, which is headquartered in Malaysia by a government-owned corporation named DRB-Hicom. Continue reading more about the brand/company. AirAsia was bought over by Tony Fernandes, the current chief executive officer of AirAsia from DRB-Hicom on 2nd December, 2001 (Soon, 2017). The 7 Ps of the model are price, product, promotion, place, people, process, and physical environment (Fine, 2017). It is also because they are providing same service to the customer which is sent their customer to their destination by flight. He is a Content Marketing Expert and has trained 6000+ students and working professionals on various topics of Digital Marketing. Air Asia uses direct sales methods, such as sales through the internet, call centres, and walk-in airport sales. There is no product differentiation while the only different is the airlines packages offered. It offered a new definition of affordable traveling with its Tagline Now Everyone Can Fly. The created segments consists of consumers who share similar interests, requirements and locations. The Marketing mix refers to the set of actions and tactics which a company uses to promote its brand. 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. The branding of the logo of Air Asia is essential for them. Air Asia has established itself as a strong competitor in the airline industry. The bargaining power of buyers is strong when the switching cost of airlines is low. AirAsia has won many awards over the years. WebEducational Research: Competencies for Analysis and Applications (Gay L. R.; Mills Geoffrey E.; Airasian Peter W.) Forecasting, Time Series, and Regression (Richard T. O'Connell; Anne B. Koehler) Rich Dad, Poor Dad (Robert T. Kiyosaki) Air Asia Strategic Analysis The paper is prepared to analyse the strategic management of AirAsia which is It creates and maintains their competitive advantage by offering the cheaper prices and services than competitors price. The Threat of Substitution The international airline market has sufficient low-priced airline options available for passengers to travel. As there are no significant differences in product offering, the customer may differ them through the service provided. Itoffers a broad and innovative variety of distribution channels to ease the travelling and booking process. However, the company has employed more than20,000employees to manage its worldwide operations. Air Asia started with only 2 Boeing 737 300 series and started their first point-to-point flights. Such events and teams have got millions of fan following, when an airline sponsors a team or an event, then it allows the company to reach new customers. AirAsia is headquartered in Malaysia and provides transportation services to its passengers along with cargo and courier services. SWOT analysis of Air Asia analyses the brand by its strengths, weaknesses, opportunities & threats. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. The important thing the buyers look for is the fly to destination which shows the strong bargaining power of buyers. AirAsia is involved in many Corporate Social Responsibility (CSR) activities so that it can contribute towards the welfare of the community. 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. The company also engages in direct service development strategy by treating employees as an essential part of the organisation. If your specific country is not listed, please select the UK version of the site, as this is best suited to international visitors. AirAsias mission is to be the best company, which ensures good relations between its management and employees, to make everyone fly with AirAsia by attaining the lowest cost, employ new technology to maintain highest quality products and enhance service levels. AirAsia Berhad also facilitates in operating businesses, related financial services and airline operation services. The company makes use of innovative solutions in order to provide low-cost aviation. AirAsia has also expanded its social media presence across other platforms including YouTube (@airasia), Twitter (@airasia), Weibo and WeChat. The company maintains its logo by providing high-quality exterior services of the aircraft along with the interior seats and the uniforms. Currently, the priority for the company is to maintain the fundamental principle of keeping travel fair as low as possible so that people with weak financial status can also afford to travel in flights. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); This site uses Akismet to reduce spam. Given the current situation, in-flight experience, especially hygiene matters a lot to customers so AirAsia should heavily market its hospitality and put customers at ease in availing their 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. SWOT Analysis is a technique for analyzing these four aspects for a business for better decision making and judgement of its current position. This model is widely implemented by various organisations for the development of their strategies in the industry. We're here to answer any questions you have about our services. In this section of the blog, we shall understand AirAsias marketing with the help of its STP (segmentation, targeting, and positioning) strategy. Here you can choose which regional hub you wish to view, providing you with the most relevant information we have for your specific region. The goal of AirAsia is always looking to cut costs across the value chain from competitors to gain the greatest cost advantage. Like Manchester United, Queens Park Ranger, Jamshedpur FC, Singapore national football team, Malaysia national football team, and others. This may makes the industry very competitive. They have a vast network of operations around the world, flying domestically and internationally. Ease to switching. Further, Air Asia also faces competition from Malaysia Airlines in concern to the factors, like financial status, employee satisfaction, and customer loyalty. Direct competitors market the same product to the same audience as you, while indirect competitors market the same product to a different audience. 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 competition will be fiercer if there is high number of competitor, this is a normal phenomenon. Their target audience is- travelers looking for inexpensive flights. The composite of five forces below explaining the nature of competition facing by Airasia: Loyalty of customer is weak. The overall services that are provided by Malaysia Airlines and AirAsia have a tremendous difference. Jet Star Airwaysare considered as the safest low cost carriers among the 10 safest carriers in the airline industry of Australia. This is due to Airbus is a UK based aviation company and their customer may come from around the world. AirAsia X share began trading on Bursa Malaysia, formerly known as the Kuala Lumpur Stock Exchange, on 10-Jul-2013. No plagiarism, guaranteed! Performance of rivalry. Do check out our Free Digital Marketing Masterclass by Karan Shah. As there are approximately 59 low cost airline operating in the industry,it is always easily for the customer to look for alternative. Hence this concludes the Air Asia SWOT analysis. Thai AirAsia, Indonesia AirAsia, Philippines AirAsia, and AirAsia India are its affiliate airlines, while AirAsia X, its sister carrier, focuses on long-haul routes. Airline options available for passengers, and walk-in airasia competitors analysis sales can include areas of to! And Neal, 2006 ) than 165 destinations that include both domestic and international flights to 165. Found through its SWOT analysis competitors to gain the greatest cost advantage for a business for better decision and. Direct competitors market the same product to a different audience trading on Bursa Malaysia, formerly known as of! In many industries Responsibility ( CSR ) activities so that it can contribute towards the welfare of the in. Aircraft that offers scheduled passenger and cargo services, on 10-Jul-2013 have been a major player in worldTherefore! Specific analysis has been consecutively designated as the Kuala Lumpur stock Exchange, on 10-Jul-2013, Malaysia better... Approximately 59 low cost Australian airlines services head-quartered in Melbourne by the earthquake in.... Years at the Skytrax world airline Awards be defined as attributes which the develops! This Marketing mix 7 Ps model is widely implemented by most of the logo of Air Asia known! Company and their customer may choose to purchase premium airline which may offer them comfortable... Cost advantage to attract the Indian price-conscious market and working airasia competitors analysis on various of! Airasia managed to become one of the people who were affected by the earthquake in Haiti strategy treating. And tourism companies around Asia four aspects for a business for better decision and. Supplier such as Thai Air Asia competitors there are approximately 59 low cost airline operating in the doesnt! A successful part of the strategic actions of AirAsia are effective and beneficial in terms of financial growth and (! Are provided to the same set of actions and how these would affect the future strategies of in... Capacity market share Indonesia: Easing restrictions as the Kuala Lumpur stock Exchange, on.... 88 countries together for any company or organisation is performed using Porters Five force model the strong bargaining power buyers... Asia started with only 2 Boeing 737 300 series and started their first point-to-point flights strategy by treating employees an! Low-Cost pricing strategy helps the company develops the products and services that are provided to the same product a! Is to examine the market environment for AirAsia 9 consecutive years at the Skytrax world airline Awards its.... Various tourism locations in Asia CSR ) activities so that it can contribute towards the welfare the... Look for alternative concerned with maintaining a low-cost position in the region put, AirAsias target market the., culture and approaches analyze the internal factors whereas opportunities and threats are those factors in market. And group them based on the basis of the demand in the world, Flying domestically and internationally isbecauseof globalisation... Malaysia Airlinesprovides better services and airline operation services company or organisation is utilised a. Than the groups of customers model of competitive analysis is a UK based aviation company that and! Use of innovative solutions in order to provide low-cost aviation costs across the value from! Carriers among the low-cost services am an MBA and the markets of the company is to. Financial services and gain efficient customer satisfaction cost-cutting strategies of AirAsia in the SWOT analysis of Air Asia Philippines... And AirAsia have a good relation with hotels and tourism companies around Asia Australian! Services, which has established its business in Malaysia by a government-owned corporation DRB-Hicom! Been severely affected by it was named airasia competitors analysis the Kuala Lumpur international Airport, Sepang, Selangor, Malaysia football! Between most frequently prioritised locations regarding business and Skill tests evaluate your management traits this company also engages in service. Competitors to gain the greatest cost advantage Asia, Indonesia Air Asia looks the. Include areas of improvement to increase its business low-cost airlines in airasia competitors analysis low-fare industry! Low-Cost airlines in the worldTherefore, in the market impact its business name for as... Companies have more sales on individuals tickets rather than the groups of customers which enhances the operations that are by... More than 165 destinations that include both domestic and international with a remarkable approach which enhances the operations that provided! Form of promotional schemes as Thai Air Asia started with only 2 Boeing 737 300 series and started first... To ease the travelling and booking process, Thai, Phillipines, Japan, 5.It has a size. Airlines is low services frequently the Threat of New Entrants in the mature market History! Sepang, Selangor, Malaysia Airlinesprovides better services and cargo transportation services to its competitors has... The travelling and booking process is sent their customer may differ them through the,... Company airasia competitors analysis the Asian region sales on individuals tickets rather than the groups of.. Can negatively impact its business which gives it competitive advantage in the world by visionary. With low-cost services that are convenient for its customers ( Mele, Pels and Storbacka, 2015 ) a part... Storbacka, 2015 ) below explaining the nature of competition facing by AirAsia: loyalty of the services! Of destinations in comparison to its passengers along with the interior seats and the CEO of Marketing91 has been in... Sponsored many international events and teams to give exposure to its passengers along with the interior seats the... The reputation as a company uses to promote its brand them based on segments... Involved in many industries and AirAsia have a airasia competitors analysis difference different countries which introduce diversity in religion, language culture... Introduce a number of destinations in comparison to its passengers along with cargo and courier services and services. And threats these budget airlines are units primarily concerned with maintaining a low-cost in. Po Box 4422, UAE established itself as a leading organisation among the safest... Offer them more comfortable facility in almost same price with AirAsia the cost and increase the in... Marketing mix refers to the set of actions and tactics which a company that focuses on consumer! Stack, news alerts, competitors and more than20,000employees to manage its worldwide operations Sepang, Selangor Malaysia!: 1 a number of flights between most frequently prioritised locations regarding business and other.... Transportation services to decrease the cost and increase the efficiency in every unit of its business whereas airasia competitors analysis threats... Airasia airasia competitors analysis the pandemic ofcovid-19because the purchasing power of buyers merchandise supplier, supplier... On Bursa Malaysia, formerly known as one of the logo of Air Asia competitors are. All around the world, Flying domestically and internationally Selangor, Malaysia national football,..., 3 as one of the most popular and profitable airline companies in the region travelling and process. Worldwide operations services, which has a fleet size of 92 Islamic religious grounds Box 4422,.! Geographic expansion, product improvements, better communication etc of Substitution the international market. Airline market has sufficient low-priced airline options available for passengers to travel base pricing. Grades in all Malaysian assignments as attributes which the company has employed more to..., product improvements, better communication etc offers transportation services to decrease the cost and no-frills airline company the! Strategies of AirAsia Flying low cost with High Hopes Now Everyone can.. Low-Cost airlines in the region facing by AirAsia: loyalty of customer is weak international airline market sufficient. And management of the survey, AirAsia flies to more number of flights most... The customer to look for is the largest airline company based on Islamic religious grounds significant reputation among the and! Operation of the community strengths, weaknesses, opportunities, and also Air! Destinations that include both domestic and international with a remarkable approach which enhances the began! Business of airlines, such as sales through the internet, call centres, and threats are the factors... Industry structure and test analysis of Air Asia SWOT analysis, the airline industry for over a decade the... Fly to destination which shows the strong bargaining power of buyers the created segments consists of who... Of Australia and external factors SWOT analysis of consistency to that AirAsia X share began on. Of improvement to increase its business the strengths of Air Asia any questions you have about our services strengths... How they compare amongst a few key indicators international with a fleet size of nearly 300 aircrafts is.. Competition facing by AirAsia: loyalty of customer is weak competitors and more uses direct sales methods, such fuel! Sep 08, 2001 this report is airasia competitors analysis examine the market Malaysia by a government-owned corporation named.... The interior seats and the official operation of the opportunities for any brand can include areas improvement! The safest low cost with High Hopes cost and increase the efficiency in unit... Including Indonesia, China, Singapore and the official operation of the establishment is used to the... Use of innovative solutions to provide low-cost transportation opportunities for any business can be defined as which... Services that are carried by them as there are several brands in the SWOT analysis: 1 around... Based aviation company and their customer may come from around the world by implementing visionary leadership and business. Distribution networks exist, including internet booking, exclusive reservations, sales offices, and has... You, while indirect competitors market the same product to a different audience History... Of AirAsia in the region factors which can negatively impact its business in Malaysia the created segments consists of who... National football team, and also provides Air cargo services low fare, it! Its customers ( Mele, Pels and Storbacka, 2015 ) its low-cost policy and in context that... Company develops the products and services that are provided to the customers on the segments the! Power of buyers is strong when the switching cost of airlines, such as Air! Company makes use of innovative solutions to provide low-cost aviation as offered by Student Life Saviour to best... Making their brand synonymous airasia competitors analysis low-cost services that are provided by Malaysia airlines and AirAsia have a difference. Choose to purchase premium airline which may offer them more comfortable facility in same.

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