Monday, February 25, 2013

The Sun Zi Art Of War - -Airasia Analysis

1.0 INTRODUCTION
Whenever consumers want to have cheap and affordable flight, the company that first off comes to our mind is nonetheless furrow Asia. radiate Asia has indeed attain everyones dream of having cheap and affordable flight which actually reflected by their slogan Now Everyone Can Fly. form Asia is a Malaysian-based minor- greet airline business and being kn knowledge as the second Malaysian National Airline. It offers 40%-60% lower airfares compared with others. This drive out proved when it was awarded Skytrax Worlds best low cost airline award for 3 consecutive years in 2009, 2010, and 2011. At the same time, it has the world lowest operating be at $0.035/seat-kilometre in 2010.
Air Asia started operations on 18 November 1996 as a bounteous-service regional airline offering slightly cheaper fares than its main competitor, Malaysia Airlines, MAS. Before the year 2001, Air Asia was failed to stimulate the foodstuff and attract enough passengers from Malaysia Airlines in order to establish its own niche market. On 2 December 2001, the heavily-indebted airline was purchased by a man who plunged into a dream of running an airline company. He actually got out from a great life in the music business in order to complete his dream. He is Dato Sri Dr Tony Fernandes, founder and CEO of Air Asia.

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Tony together with close to friends and investors bought Air Asia with only 1 Ringgit Malaysia and bought with 40 million ringgit in debt and two Boeing 737-300 aircraft. Then, Tony enrolled some of the leading low-cost airline experts to reconstitute Air Asias business model. He actually invited Connor McCarthy, the fountain director of group operation of Ryanair to join their executive team. In the late 2001, Air Asia able to re-launched in Malaysia as a trendy, no frills operation with three B737 aircraft as a low fare, low cost domestic airline. He managed to transform Air Asia into the most successful low cost carrier in Asia within a period less than 5 years.
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