Study Case II : Air Asia - Now Everyone Can Fly

QUESTION 1

Identify five (5) of competitive advantages used by Air Asia.

- Asia’s largest low fare 

- Air Asia pioneered low cost travelling in Asia.

- Crew productivity level that is triple that of Malaysia Airline

- Unassigned seats

- No frills airline

QUESTION 2

Which of the Porter's generic strategies were applied by Air Asia in the case
 study and explain with examples.

-Cost leadership are strategies that applied by Air Asia .This is because Air Asia operates with low cost and broad market. For example, Air Asia operates schedule domestic and international flights and is Asia's largest low fare, no frills airline. Air Asia operates with the world's lowest unit cost of US $0.023/ASK. Air Asia pioneered low cost travelling in Asia. It is a broad market because it operates through the slogan "Now Everyone can Fly".

QUESTION 3 

Based on Porter's Five Force Model, analyze Air Asia's buyer power and 
supplier power.

• Buyer power of Air Asia's company is high. This is because the customer has many alternative airlines. Therefore, the customer will choose the lowest price in the market. some of the alternatives airlines are Malaysia Airline, Malindo Airline and Singapore Airline.

• Supplier powerful Air Asia's company is low. This is because Air Asia has many competitors. therefore, to attract more customer, Air Asia's create a competitive advantage by using the slogan " Now Everyone can Fly" and offer low priced tickets.