Malaysian Airlines Swot Analysis

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Analysis of current & potential competitors

Firefly Sdn Bhd is a service point-to-point carrier of Malaysia Airlines. Airport, Subang, Selangor and Penang International Airport were the hubs that Firefly operated. The first flight was on 3, April 2007 which is from Penang to Kota Bahru. Firefly plans to have lowest cost in the country that targeting the ASEAN market with crossovers with Air Asia.
Firefly provide a very low-cost travel with flights and hotel to customer, this is easier for customer to have a budget hotel and flights together especially for the customers who has low salaries pay. Customer does not need to find the budget flight and hotel separately.
Besides of providing the low-price tickets for customer, firefly also
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Tiger Airways starts to operate in November 2007. Tigerair has more than 1000 employees including the pilots and cabin crews. Tiger Airways is a low-cost carrier and is one of the budget airlines of choice for the Australians. Tigerair not only provides low cost tickets but also good and friendly services. Tigerair is a safe, reliable and affordable air travel. Tigerair also has lowest cancellation rates between the airlines and has high satisfaction and strong service levels compare to other airlines such as Air Asia. To improve the service, tigerair also makes a better booking system through the website by providing efficient booking and check in system and also mobile…show more content…
There is also price discrimination used by AirAsia. There are different types of price discrimination such as seasonal discounts, incentive discounts and general prices that depends on location.

Penetration pricing strategy
This is the most common pricing strategy that AirAsia provided. This strategy is working best for AirAsia airline to have low production and conducting a large-scale operation and long run production. This is due to AirAsia set a low initial price for customers and also launch a low cost carrier. This low fares attract a lot of highly price sensitive customers. Many of them pay close attention to the low fares that provided by AirAsia. Most of the consumers want to enjoy the flight with low cost.

Promotion Strategy
This strategy is for the issues like giving free seats, free tickets or limit time low price ticket during some seasons. Many customers want like to take AirAsia because of these promotions. The strategy attracts many customers and also let AirAsia become the first low fare airline in Asia.
Psychological pricing strategy
This pricing strategy is the policy that adopt by AirAsia. Psychological pricing applies the belief that certain price ranges make the products able to attract interest to consumers. Odd number and unit pricing are utilized by the psychological pricing

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