Airasia

The current global financial crisis has inadvertently triggered the need of extensive air travel. Many organizations today are seen expanding their business network to other continents due to such predicament. Many low cost carriers in other countries have capitalized on such and to stay ahead of competition, convergence exercises have started to take place.

Some carriers have begun revamping their loyalty travel programs. They have been seen working with many partners worldwide to cohesively drive traffic to their fleet. In order to compete and sustain in such situation, low cost carrier like Air Asia will need to identify areas of improvement, seek new opportunities, optimizes such findings and strengthen its position as the "preferred low cost carrier".

However, to be consistently rated as "the preferred choice", Air Asia needs to identify factors that undermine its sustainability factor in aviation business. These are in the form of determining profitability, identifying cost drivers, improving connectivity, expanding destinations served, increasing sales and distribution touch points, maximizing carrier productivity, increasing manpower resources and market maturity adaption. Over and above, innovative price plans and improved fleet services will definitely see Air Asia out behave competition.

Air Asia has a very strong management team with strong links with governments and airline industry leaders. This is partly contributed by the diverse background of the executive management teams which consists of industry experts and ex-top government officials. For example, Shin Corp (formerly owned by the family of former Thai Prime Minister - Thaksin Shinawatra) holds a 50% stake in Thai AirAsia. This has helped AirAsia to open up and capture a sizeable market in Thailand. With their strong working relationship with Airbus, they managed to get big discount for aircraft purchase which is also more fuel efficient compared to Boeing