ipl-logo

PEST Analysis: Air Asia

1692 Words7 Pages

The management information systems play a big role in business. Management information systems are providing accurate and up-to-date data and information and help the company to perform effectively and efficiently. The company has to make sure the management information system they choose is matching with their information’s format and the system has the features the company needs. Suitable management information systems can arrange the basic data available from the company operations and records into information or reports which is needed by the company.
The world’s most popular airline, Air Asia is one of the airlines that apply management information system into their business. Air Asia applied the term of computerized management information …show more content…

II. Air Asia’s PEST Analysis
Political
Flying internationally is difficult. Bilateral agreement is one of the obstacles in the main of low cost carriers. Landing charges at so-called "gateway airports" and navigation charges are often prohibitively expensive, and in key destinations like Bangkok, Beijing, Hong Kong and Singapore there are no cheaper, secondary airports. The budget airline industry in south-east Asia has been underdeveloped because the aviation market is tightly regulated by bilateral air rights agreements. Threat of terrorism, people is afraid to fly after the September 11 terrorist attacks incident.
Opportunities: Deregulation of goverment presented an opportunity for new routes and airport deals through open-skies agreements between countries, or the permission of entry of private airlines.
Threats: Being a low cost airline, Air Asia is subjected to aviation regulations, government policy and government restraints, and dependent on the geography and infrastructure of Asia and travelling preferences of customers. …show more content…

Technology In todays globalize economy, information technology has given fundamental changes in the nature and application of technology in business. Air Asia provides online service that combines air ticketing with hotel bookings, car hire and travel insurance. In August 2003, Air Asia became the first airline in the world to introduce SMS booking where the customers are able to book their seats, check flight schedules and obtain latest updates on Air Asia promotions from their mobile phones. Air Asia also introduced GO Holiday, which allows the customers to book holiday packages online in real time.
Opportunities: By utilizing information technology, Air Asia was able to be the first airline in Southeast Asia utilize e-ticketing and bypass traditional travel agents. This enabled the airline to save on the cost of buying physical ticket, it also can eliminated the need for large and expensive booking and reservation systems, and agents’

Show More
Related

Pest Analysis Of Argos

2674 Words | 11 Pages

1 Introduction Argos is an UK based home retail group. It is one of the largest companies of UK that have been running around 737 companies and they have around 340 million visitors of their websites as well. According to a study it has been found that they are covering about 90% of the population of United Kingdom within their 10miles of an Argos branch. As one of the largest company in UK Argos has a decent growth rate of 20%. They have more than 130million customer and around two third of the population have taken under their catalog.

Read More

Hong Kong Dragon Airlines Case Study

2150 Words | 9 Pages

(REF). In January 2006, the management of Hong Kong Dragon Airlines

Read More

Pest Analysis Of Nordstrom

878 Words | 4 Pages

(P2.2) It is important that Nordstrom knows in what environment they work in when launching a new store therefore, an environmental audit gives an idea and figure in which the company operates or work. This can be done by a PESTLE analysis. Political Factors Political factors play a significant role in determining the factors that can impact Nordstrom 's long term profitability in a certain country or market. Nordstrom is operating in apparel stores in more than dozen countries and exposes itself to different types of political environment and political system risks.

Read More

Business Strategy Case Study: Delta Airlines

742 Words | 3 Pages

Delta created its separate subsidiary in response to competitive threat of low-cost airlines. In addition, its subsidiary used pilots of its parent airline with independent decision-making authority. Does song have an effective strategy? Evaluate strategies by using three tests of effectiveness? Low-cost airline: Faster growth of low-cost aviation industry with homogenous service makes this industry fragmented across the United States.

Read More

The External Environment In The Airline Industry

1563 Words | 7 Pages

bargaining power of buyers in the industry is high due strong as low switching costs and plethora of options in the market. Now, e-ticketing has improved the chance and flexibility to search for different airlines companies leading to down word cost pulls and upward services push. Furthermore, it eases of switching between different airlines companies. Therefore, for airlines they need to keep customers in the fold by providing air miles system to gain customers' attention and retain them.

Read More

Holiday Inn: Porter's Five Forces Of Industry

1384 Words | 6 Pages

Social Growing competition and capacity amongst airlines, lower air fares and more relaxed travel restrictions in many regions have made international travel a viable option for an increasing number of people coming to

Read More

Political And Environmental Factors That Affect The Airline Industry

885 Words | 4 Pages

9. Environments Like any other Industry, the airline industry is also affected by changes in its external environment. King III (2009) highlights that leaders are not supposed to compromise the natural environment and the livelihood of future generations. Environmental Factors can also have a significant role to play in an airline industry; like in the case of Prof. McPherson we observe the bad weather reducing his time by 1 hour and thirty minutes. In light of the environmental factors that affect the airline industry this Study will focus on the traditional Political, Economic, Social, Technological, Environmental, and Legal Analysis, often referred to as the PESTEL Analysis.

Read More

Pest Analysis Of Victoria Secret

1466 Words | 6 Pages

1.INTRODUCTION OF COMPANY My PESTEL analysis for this piece of writing is based on the famous international lingerie company, Victoria Secret. Victoria Secret was founded in 1977 by Roy Raymond, and his wife. Roy Raymond’s interest in a lingerie line was sparked by his embarrassment when purchasing lingerie for his wife. It was then that he studied the market before deciding to go into business, opening their very first store in Palo Alto, California. His vision then, was to have a store that would make everyone, especially men, comfortable shopping for lingerie.

Read More

Transnational Strategy Of Lufthansa

1545 Words | 7 Pages

For worldwide airline industry, opportunities can emerge from new client expectations, items, business sector structures or regulatory

Read More

Rolls Royce Pest Analysis

1402 Words | 6 Pages

Macro-environmental are uncontrollable factors that influence a business’ strategic planning, decision making and operations (Chartered Institute of Personnel and Development, 2015). However, by understanding its macro-environmental factors, the business could take advantage of these factors and maximize their opportunities, whilst minimizing their threats. The 6 factors of PESTEL analysis include: Political, Economic, Socio-cultural, Technological, Environmental and Legal factors. In this case, it highlights the contextual information of the civil aviation competition of uncertain environmental, political and economic anarchy for flight

Read More

Singapore Airlines Case Study

3552 Words | 15 Pages

1.0 Introduction to Strategic Management Strategic management practices the formation; achievement and reaching the major objectives executed by the management of the company, by considering the capital and a task of the internal and external environments in which the company wishes to compete. 1.1 Introduction to Singapore Airlines Singapore Airlines (SIA) is established in year 1972 with remarkable performance among its competitors in the industry throughout its 35-year-long history till date (Heracleous & Wirtz, 2009). According to Singapore Airlines (2014), SIA is one of the youngest aircraft fleets worldwide to destinations crossing a network of more six continents, with its iconic Singapore Girl providing excellent standard of service to customers. Throughout the years of operations, SIA has an impressive ever-growing list of industry 's leading innovations such as offering free headsets along with a choice of meals and drinks in Economy Class in the 1970s, followed by introducing satellite based in-flight telephones in year 1991, involving an ample panel of renowned chefs, the International Culinary Panel, to provide lush in-flight meals in year 1998, developing audio and video on demand (AVOD) capabilities on KrisWorld in year 2001, and lastly flying the airbus of A380 from Singapore to Sydney on 25 October 2007 (Singapore Airlines, 2014).

Read More

Banyan Tree Pest Analysis

1987 Words | 8 Pages

1.o Introduction This report will be examining the success behind Banyan Tree Holdings. It will display how the company’s vision, values, culture and operational strategies helped Banyan Tree Holdings become an international hospitality brand, using PESTLE and Porter’s 5 forces Analysis, it will display how the power of customers influences the growth of Banyan Tree Holdings and how competitive rivalry within the industry helps the company stay afloat. 2. Background of Banyan Tree Holdings Banyan Tree Holdings is an international hospitality brand that manages and develops resorts, hotels and spas around the world. Ho Kwon Ping and Claire Chiang founded it in 1994, with its roots in Singapore.

Read More

Aviation Value Chain Analysis

1601 Words | 7 Pages

1.1. The aviation value chain The value chain shown below describes all the activities involved in air travel. Airports serve as a gateway to aviation and hence are a key link in the air transport value chain. They play a vital role in facilitating tourism and business travel and global supply chains as well.

Read More

Reflection On Coursework

872 Words | 4 Pages

This condition led me towards problem related with shortage of time at the time of submission of the project. On other hand, I also faced some critical issues related with understanding and interpreting the subject and research context. Prior to the project, I used to possess only elementary knowledge of Management Information System and its implication in real life scenario. In

Read More

Swot Analysis Of Theme Park

1101 Words | 5 Pages

The main reasons are due to the different locations, providing different types of services and products, and involve a variety of different target markets. PEST analysis stands for “Political, Economic, Social and Technological analysis” and describes a framework of macro-environmental factors used in the environmental scanning component of strategic management (Koumparoulis, 2013). Political Factors The political scenario in the Middle East is one that is not very complex. It consists of a government that wants to position the region on the forefront of the business tourism market.

Read More

More about PEST Analysis: Air Asia

Related Topics

Open Document