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Air Asia vs . Qantas

 Essay about Air Asia vs . Qantas

Group member| Overview| Market analysis| Accounting policy analysis| Financial analysis| Xingyu Chen| Chen| Chen & YU| Chen| Chen & YU| Feifan YU| | YU| | YU

1 . Review

1 . 1 Qantas-Main business and strategies

The main organization of Qantas airways limited is the vehicles of individuals. Their key strategy of Qantas is profitably expands and the longer-term strategy of Qantas should be to reorganize the business structure in order to get rid of mounting loss. The approach that implement by business is to decrease the capital intensity of the business by forging partnerships with carriers in some sectors which can be uneconomical. (Qantas, 2012) Such as cooperate with British Breathing passages. Qantas use two contrasting airline brands; these two brands are used to feel different buyers. Two brands operating together has busy 65% business in Australia, (Qantas, 2012) mainly because, two brands provide versatility in different market circumstances.

Qantas, (2011 pp. 4)

On the other hand, these two brands practice some sub-strategies to support their main technique. These appropriate sub-strategies would be the key success for stage that lead to Qantas continually growth in the world. | Qantas| Jetstar

Sub-Strategy| * Superior full assistance * Maximized profitability| 2. Cost command * Low fare airline| Operational improvement| * Increased customer service focus| * Grow locally and into foreign leisure markets | In statistics of 2012, Qantas has full-employees for thirty-three, 584. Flights over 550 airports and passengers transported are 44, 456, 500, which boost the 5. 06% base for the year 2011. (Qantas, 2012)

1 . a couple of Air Asia-Main business and strategies

Surroundings Asia is definitely the largest low-cost flyer transporter in the world. It can be establishing while using dream of producing flying easy for everyone. Alternatively, it is not simply focusing on the cost factor, yet also basic safety first. The environment Asia offers operated around 11 years, but is actually still keep high expand rate. The environment Asia is the regional transporter with the major destination network, highest airline flight frequencies and high plane utilization. ( Air Asia, 2012) Atmosphere Asia was named the 2012 Planet's Best Low priced Airline in the annual Globe Airline Survey by Skytrax for three consecutive years. There are several actions that support it is main strategy in order to make this success. Like the lost expense model is dependent on: (Hill, C. W. 1988). * Single passenger class

* Traveling to cheaper, less congested secondary international airports

* An individual type of airline in order to minimizing training and servicing cost * Point out point travel arrangements with no transactions

In statistics, Air Asia has total –employees to get 4346. Travellers carried are about 22, 474, 620 this year, which increase more than 10% base on the year 2011. Services network over 216 routes covering up destinations close to world. The below photo has shown that air Asia are trying to attract more market share in the southwest of Asia, you will find more than 143 routes in southwest of Asia out of 216. This is the producing direction from the Air Asia in recent years. (Air Asia, 2012) 2 . Sector analysis

2 . 1 Review Goble airlines markets & PESTLE function analysis The Lift side is display that, air travel remains a growth market. This outlook mentions that air targeted traffic will double in the next 12-15 years, which means, the external environment continue to keep optimistic. Both of Qantas and Air Asia possess same prospect. (Airbus, 2012)

The PESTLE model email lists the elements or new driver for growth, external environment can be moderately expected as optimistic. although this graph showed that real GROSS DOMESTIC PRODUCT 2011-2031 simply by region, the economic growth is a important driver intended for air traffic growth, increasing urbanization may also drive monetary growth as well as the propensity to fly. (Airbus, 2012)

PESTLE model

PESTLE model

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