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8/8/2019 Report Of The Merits Of The Competitive Position For AirAsia (Assignment Slides)
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RREPORTEPORT OOFF TTHEHEMMERITSERITS OOFF TTHEHE
CCOMPETITIVEOMPETITIVE PPOSITIONOSITION FFOROR
AAIRIRAASIASIA
1Unity College International, Malaysia (2010)
Goggle By;
S Sripraba D/O Subramaniam
Kaladevi D/O Nadarajan
Chew Siew King
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2Unity College International, Malaysia (2010)
Introduction
established in 1993
Tony Fernandes (2001)
invited Connor McCarthy-
former director of Ryanairto join the team
no frills - low airfares flight
40%-60% lower Price
then competitor
Vision: Now EveryoneCan Fly
Mission:
Provide 'AffordableAirfares' without any
compromise to Flight
Safety Standards
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3Unity College International, Malaysia (2010)
Five Forces Analysis
Threatsof potential
entrants
Bargaining
Power of
Suppliers
Bargaining
Power of
buyers
Threats of
Substitute
Products
Rivalry
within
Industry
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4Unity College International, Malaysia (2010)
External Environment
8/8/2019 Report Of The Merits Of The Competitive Position For AirAsia (Assignment Slides)
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SWOT Analysis
5Unity College International, Malaysia (2010)
Helpful(To achieving the objective)
Harmful(To achieving the objective)
Internalorigin(attributes of the
environment) S w
External
origin(attributes of the
environment)
o T
Do not have own MRO
facility
High Fuel Cost Increases
Operational Costs
Economic Fluctuations
Other Airlines start cutcosts to compete
Increasing Charges
System failures
Users perception
Strong management
team Brand name
Low cost leader in Asia
Excellent utilization of IT
increasing oil price ASEAN Open Skies
agreement
Partner with other LCC
as Virgin
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Significant Resources
Constructive & SupportiveManagement
Possessed Highly Skilled Employees
Capabilities To Reduce Cost
6Unity College International, Malaysia (2010)
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Capabilities
Quick Turnaround Time
Low-Cost Short Hauls
High Rate Aircraft Utilization
7Unity College International, Malaysia (2010)
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Competitive Advantage
Cost Leadership
DifferentiationStrategy
Market Share
MarketSegmentationStrategy
8Unity College International, Malaysia (2010)
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External Factor
Country Cultures
and Lifestyles
Differences
Multi Country
Competition
Internet TechnologyService
9Unity College International, Malaysia (2010)
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10Unity College International, Malaysia (2010)
Internal Weakness
Strategy Mistake
StrategyManagement
Industry
AttractivenessFactor
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Conclusion
Experimental Strategic Learning
PEST & SWOT Analysis
Strategic Resources
11Unity College International, Malaysia (2010)
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12Unity College International, Malaysia (2010)
By;By;
SriprabaSriprabaKaladeviKaladevi
Chew Siew KingChew Siew King