Air asia cost leadership strategy

AirAsia is World’s Best Low Cost Airline for 6 years straight!

Apart from a modern fleet, AirAsia offers consumer-friendly products and services complemented with everyday low fares, extensive route network and unmatched flight frequencies; along with convenient booking and payment channels and value added services such as hot meals, seat allocations and baggage allowances.

The advantage of lowest price has made Air Asia sustainable growth through the business and succeed along its competitors. Throughout its existence, AirAsia has established itself as a market leader and innovator in travel and technology, offering not just flights but a wholesome travel experience with the introduction of mobile apps, interactive travel guides, self check-in options and more.

Air Asia introduce the value-added services which is to provide ticketless travel and implement a free seating policy. Besides, instead of free meal and flight entertainment, they prepare food and beverages ready for sale on board.

No matter through print media or telecommunications, the resulting ad to attract more passengers day by day. How does Air Asia achieve cost leadership through differentiation? What is the business level strategy adopted by Air Asia? Air Asia to achieve the targeted cost effective marketing through advertising.

As a pioneer in the low-cost carrier industry in Asia, AirAsia has set travel trends with many others following in its trail throughout the region.

Air Asia is also heavily involved with charitable activities such as providing assistance to victims of aviation disasters in Myanmar and China. To make up for revenue lost in decreased ticket prices, the airline may charge for extras like food, priority boarding, seat allocating, and baggage etc.

With their effective sales and marketing strategy, Air Asia can simply beat their competitors in airlines industry. From two aging aircraft and just six routes back inwe have grown to operate a proud fleet of over aircraft, 95 destinations and carried over million guests.

A total of In earlyAir Asia became the first airline in Malaysia to offer an internet check-in service that allowing the passengers to print their own boarding passes and paid extra money to board first so as to choose their seats with ease.

This annual global survey is conducted over a month period, covering over airlines from the largest international airlines to smaller domestic carriers. Membangunkan sijil digital dan aplikasi serta sistem dalam dunia sijil digital. However, such strategies are only successful if they are supported by partners such as airport authorities.

Air Asia can sustain its competitiveness by maintaining its no frills, low fared services and expand their business hubs through Asia and around the world. All airline affiliates in the AirAsia Group operate one of the youngest fleet of Airbus A in the world, with an average age of only 3 years group wide; with firm orders of Airbus A aircraft and deliveries up till Nevertheless, given its first mover advantage, cost-leadership remains a viable strategy for Air Asia to maintain its leadership position in the budget airline industry.

Identify the ways Air Asia can sustain its competitiveness through the business level strategy that is adopted? Passengers also can pre-book their checked baggage and meals.

Air Asia is one of the company that succeed in low cost carrier LCC business provides a full service regional airline that offered slightly lower fares than other airlines in Malaysia. Briefly describe the trends in the global airline industry. The Skytrax World Airline Awards is the global benchmark of airline excellence and one of the most prestigious accolades for the airline industry.

In addition, the widespread publicity campaign comes from caring for the environment by reducing the use of paper ticketing system.AirAsia was established in Decemberwith a mission to democratize air travel in the region and has been operationally profitable from day one of its launch as a low-cost carrier.

As a pioneer in the low-cost carrier industry in Asia, AirAsia has set travel trends with many others following in its trail throughout the region. Business Strategy Air Asia. Air Asia Case Study. Air Asia Strategies. Air Asia Strategy. Pest Analysis (Air Asia) strategic actions support AirAsiaÂ’s cost leadership strategy.

Documents Similar To AirAsia Business Strategy.

AirAsia Berhad- PESTLE Analysis of the Low Cost Carrier in the Asia. Uploaded by.5/5(1). Business Strategy Air Asia Company Background Air Asia is one of the companies that very successful in adopting the cost leadership strategy as one of their competitive advantages.

Air Asia had been established on 12 december with Dato Sri Tony Fernandez as the CEO.5/5(2). Air Asia has adopted a generic strategy of cost leadership by reducing the cost of operations and passing the savings through to customers with very low ticket prices.

The firm was founded in as a low cost domestic airline, and was purchased by Tony Fernandes in Low-Cost Strategy Factors in Airline Industry: The AirAsia Case in implementing the cost-leadership strategy in SE Asia. Aer Lingus, Air Asia and Malaysia Airlines.

Article. The purpose of this study is to focus on the cost-leadership competitive strategy applied by low-cost carriers (LCCs) in SE Asia airlines and explore the elements that affect the competing capability of these airlines in the region.

Air asia cost leadership strategy
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