Opportunities and Threats

Analysis

A SWOT (Strengths, weaknesses, opportunities and Threats) analysis is a common component of organizational planning and marketing. The analysis is in two parts, the first part looks at the strengths and weaknesses of the organization and is thus an internal analysis and the second part considers the threats and opportunities facing the organization from the external environment, which are derived from the external analysis.

The strengths of an organization are those things it does particularly well, especially when viewed against the operations of its competitors, where as its weaknesses are areas in which it is weaker than the competition. However well run and competitive an organization is, it will still have weaknesses.

Opportunities are those external factors on which the organization can use its strengths to outclass the competition, and threats are those factors from external environment from which the organization may suffer because of its weaknesses.

STRENGTHS

Low cost carrier (Value for money)

Internet booking systems (Reduce the man power cost and cut down the channel and time of distribution as they as close to the market already)

Reputation gained over time (the market share is gained as Air Asia is not in the introduction phase)

Added value on the service. We can book the hotel, rental car, tour package, meals in the same time of ticket booking thru the internet instead.

WEAKNESSES

Inflexible, when passenger needs to change his flight reservation.

Operate out of less popular airports (Budget terminal).

Lack of spare aircraft hinder flexibility