Airasia Management

UNIVERSITI TEKNOLOGI MARA
FAKULTI KEJURUTERAAN ELEKTRIK
INDIVIDUAL ASSIGNMENT
MGT 456
(BUSINESS ORGANIZATIONS AND MANAGEMENT)

NAME                             | MUHAMMAD AIZZAD BIN MUSHAIMI |
MATRIX NO | 2007283846 |
PROGRAM | EE220 |
GROUP | EEB7ES |

INTRODUCTION:

This study was intended to analyze the management strategy on a budget airline based in Malaysia, Air Asia which aims to identify its potential future market segments. The study also explore on how current information systems strategy adopted by the Air Asia, in which could help the company to strengthen its position as a leading low cost airline and effective new market segment help their mission practically.



BACKGROUND OF COMPANY:

Air Asia Bhd is a Malaysian low-cost airline. It operates scheduled domestic and international flights and is Asia's largest low-fare, no-frills airline. Air Asia is a pioneer of low-cost flights in Asia, and was also the first airline in the region to implement fully ticketless travel. Its main base is the Low-Cost Carrier Terminal (LCCT) at Kuala Lumpur International Airport (KLIA). Its affiliate airlines Thai Air Asia and  Indonesia Air Asia have hubs at Suvarnabhumi Airport,  Thailand and Soekarno-Hatta International Airport,Indonesia, respectively. Air Asia's registered office is in Petaling Jaya, Selangor while its head office is on the grounds of Kuala Lumpur International Airport in Sepang, Selangor.

Air Asia is one of the businesses that have successfully adopted cost leadership
through operational effectiveness and efficiency. The cost advantages have
enabled Air Asia to become the Asia’s leading low fare airline. Established on 12
December 2001, Air Asia has been such a big phenomenon in airline industry
especially in Asia. By using a simple but strong slogan “Now Everyone Can Fly”,
Air Asia has successfully positioned itself in customers’ mind. Its net profit for the
second quarter ending 31 December 2004 was reported RM...