The simple or entrepreneurial structure exists when the owner is also the manager. As Air Asia continuously strives to promote air travel, AirAsia also seek to create excitement amongst their guests with they range of innovative and personalized service.
AirAsia was established in year The implementation of outsourcing also can give competitive advantage in AirAsia because the strategy can be greater rather than created by AirAsia itself.
AirAsia continues to spread out the way for low-cost aviation through the innovation, efficient and passionate approach to business with a route a network that extent through over 20 countries. Price of oil increasing econ 1. Point to Point Network: In addition, to captures and attract a customer to choose AirAsia as an airline option, AirAsia need to develop and create a wonderful strategy and come out with special offering to their customer to successfully in their business.
AirAsia have two options in this strategy: In conclusion, by using this system effectively, efficiency, customer satisfaction, fast and secure in buying a ticket already met. Once built, it will be able to serve over 30 million passengers a year and, with expansions, will have the capacity to serve up to 45 million passengers a year.
How AirAsia can solve the current issues to be a low cost carrier leader in airplane industry. In order to sustain its competitive advantage, AirAsia needs to leverage its competency in creating cost advantages across multiple value chains .
Alliance with Galileo GDS Global Distribution System that enables travel agents from around the world to check flight details and makes bookings have also contributed to their string brand name. With this strategy, AirAsia can achieve their goals and objective into the lowest carrier airplane in the world.
Strengths Air Asia has a very strong management team with strong links with governments and airline industry leaders. This is a threat to all airlines especially low cost airlines that tries to keep their cost as lower as possible. But, AirAsia needs to come out with the strategy that can make competitive position that the company performs different activities from rivals or performing similar activities in different ways to achieve their business successfully, and the last one is because the effect of globalization and E-commerce becoming an effective tool in a company nowadays.
Because of this reason, AirAsia need to consider a strategic management as the important things in their company. At first, the company operated three Boeing s. And the last will be network structure.
The excellent utilization of IT The excellent utilization of IT have directly contributed to their promotional activities email alerts and desktop widget which was jointly developed with Microsoft for new promotionsbrand building exercise with over 3 million hits per month and on the most widely surfed booking engines in the world as well keep the cost low by enabling direct purchase of tickets by consumer thus saving on airline agent fees Weaknesses Air Asia does not have its own maintenance, repair and overhaul MRO facility.
The decision in outsourcing has several benefits such as cost, competency, control, and also competitive advantage.
The globalization consideration impacts virtually all-strategic decisions in a company. BUSINESS Air Asia leading airline was established with the dream of making flying possible for everyone. SinceAir Asia has swiftly broken travel norms around the globe and has risen to become the world’s best.
AirAsia operates 3, flights every week on domestic and international routes from nine regional hubs in Malaysia, Thailand (Thai AirAsia) and Indonesia (Indonesia AirAsia).
AirAsia’s head office and its main base is the Low Cost Carrier Terminal at Kuala Lumpur International Airport. - Group 6 Strategic Management Strategic management is the process where organization managers reach the goals and aspirations of the organization on behalf of its owners.
This is done through formulation and implementation of ways and methods to fulfill.
- Competitive Advantage in Strategic Management A business without strategy is a business without direction. A strategy without a competitive advantage is a business without a precondition of success. 2 UGB Introduction To Strategic Management The University Of Sunderland BABM While in the technology part, AirAsia provides the online service which can combines the air ticketing with hotel bookings, car hire and travel insurance.
Air Asia is a low fare airline of Malaysia, it had one of the largest number of airplanes and flying destinations. Know what Business Strategy made .Airasias strategic management