Air Asia Case Study

1390 Words6 Pages

AirAsia is a Malaysian low cost airline that was established in 1993 and begin to operate in 18 November 1996. In 2001, Tony Fernandes bought this airline when it was on the verge of bankruptcy. Since its re-launch in December, 2001, Air Asia has bought four Boeing 737-300s and leased 13 more. It now flies to 28 destinations around the region, including Jakarta, Bangkok, and Macau. Fernandes keeps costs low with short-haul flights, a high rate of aircraft utilization, and a fast turnaround rate. He also makes money with a lucrative cargo service, sales of drinks on board, and marketing tie-ups with other companies. Air Asia 's planes are flying 80% full on average, and analysts say it will earn $16 million in profits on $120
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(, 2013)


2.1 Online booking system
AirAsia management team can preserve their customer information for emergency uses such as flight cancelation or flight delay. It also gives the management information on the availability of seats to avoid overbooking. The system is able to protect customers’ privacy. UK Essays, (2013).

The system allow customer to have a more flexible access mode as they can make purchase by phone and the internet. This enables customers to make an easy and fast reservation. The system can also lessen customer effort in rescheduling their trip as it could reduce their searching effort. UK Essays, (2013).

3.1 Vision & Mission
Air Asia vision
To be the main affordable airline in Asia and serving the 3 billion people who currently deprived with substandard network and high ticket prices.

Air Asia mission
• To be the best organisation where employees can feel close with each other like
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One of the impacts which is quite obvious is that Air Asia has expanded its services. Not only can people book flight tickets online, now they can also book their hotel and rented car at the same time. This will then impact Air Asia’s dominance over other markets slowly for instance the land transportation market and also the hospitality market thus bringing in more profit. Next is how the online booking system has impacted the reach of Air Asia. Without the online booking system, tickets can only be checked or bought at the counters in the airport or some travel agency but now, it can be done from anywhere in the
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