aviation business sector through Air Asia’s own innovative solutions‚ efficient processes and a passionate approach to business as initially proposed and still facilitated now by the company’s original founder and the current CEO of the group‚ Tony Fernandes‚ it has successfully paved a viable way for its continual development in the aviation business. And now base in its headquarter‚ Kuala Lumpur‚ Air Asia has expanded its route network by connecting more than 20 countries and regions with the recently
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INDIVIDUAL ASSIGNMENT TWO SPECIFIC INSTRUCTIONS This assignment is based on AirAsia‚ one of the Malaysia’s low cost airlines. The case study below provides some basic background information. You are however encouraged to source more information about the low-cost airline concept‚ the Malaysia airline industry and AirAsia’s key competitors‚ Tiger Airways‚ Jetstar and Firefly. Ten marks (10) will be allocated for the technical quality of the assignment and students will be penalized if the
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Kuala Lumpur International Airport 2. AirAsia is very first budget or low cost carrier (LCC). It is co-founded in Malaysia by two prominent entrepreneurs‚ Mr. Tony Fernandes and Mr. Kamaruddin Meranun‚ which have spotted business opportunity arising from the inexistence of the much needed affordable air travel service in Asia. Mr. Fernandes and Mr. Meranun acquired the then loss-making full carrier AirAsia in 2001 from a government-owned company and transformed it into a profitable LCC. Current AirAsia
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full-service regional airline that offered slightly lower fares than its number-one competitor‚ Malaysia Airlines (“MAS”). In December 2001‚ private entrepreneur Tony Fernandes took over the debt-ridden airline for the symbolic sum of US$0.26. Despite the air-travel downturn following the 11 September 2001 terrorist attacks‚ Fernandes believed that the timing for entering the airline market was just right‚ as aircraft leasing costs had dropped sharply and experienced staff were readily available
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Accounting & Finance TP 023513 UC1F1007BMP (AF) Utari Asmelia Introduction of Management 08 Fall AirAsia Company Analysis Background of AirAsia Company Dato’ Tony Fernandez was the entrepreneur that brought up AirAsia to be the one of the award wining the largest low fare airlines that is currently well known for now in Asia. Since then it has been flying to over 61 domestic and international destination with 108 routes‚ and furthermore it operates over 400 flights daily from hubs
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operations on 18 November 1996. It was originally owned by the government-link company ‚DRB- Hicom‚ a heavily –indebted airline company purchased by Tune Air Sdn Bhd ‚ a company belonged to former Time Warner executive Tony Fernandes ’s company . By the year 2002 Tony Fernandes made Air Asia a profitable company and launching new routes from its hub in Kuala Lumpur International Airport at breakneck speed‚ undercutting former monopoly operator Malaysia Airlines (MAS) with promotional fares as low
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1996. It was originally founded by a government-owned conglomerate‚ DRB-Hicom. On 2 December 2001 the heavily-indebted airline was bought by former Time Warner executive Tony Fernandes ’s company Tune Air Sdn Bhd for the token sum of one ringgit (about USD 0.26 at the time) with USD 11 million (MYR 40 million) worth of debts. Fernandes the CEO‚ turned the company around‚ producing a profit in 2002 and launching new routes from its hub in Kuala Lumpur‚ undercutting former monopoly operator Malaysia Airlines
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established by a Malaysian conglomerate in 1993 and commenced operations in 1996. * In December 2001‚ with the airline heavily in debt‚ AirAsia was purchased by Tony Fernandes of Tune Air Sdn. Bhd. for the price of RM1. As part of the purchase‚ Tony also took up the RM40million debt. * Under the leadership of Tony Fernandes‚ the airline was flying high in 2002 and launched its new route that year. In 2003‚ a second hub was opened in Senai International Airport‚ Johor Bahru‚ as well as the
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corporate culture‚ encouraging pilots to cook breakfast for engineers each quarter to thank them for looking after their aircraft. As CEO‚ Fernandes ensures that he is accessible to all his staff by giving them his mobile telephone number. Air travel in Asia is heavily regulated‚ but. Fernandes has played a crucial role in lobbying for its deregulation. In mid-2003‚ Fernandes engaged the support of the former prime minister of Malaysia‚ Tun Dr. Mahathir Mohamad‚ to network with neighboring countries in an
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Organization AirAsia is one of the fastest growing airline companies in the world‚ with a reputation as a low-cost‚ ‘no frills’ airline. It was originally a government owned business; yet‚ due to heavy debt‚ it was bought by former Time Warner executive Tony Fernandes in 2001‚ and this is where the real story begins. Their vision‚ under the slogan "Now Everyone Can Fly"‚ is “To be the largest low cost airline in Asia and serving the 3 billion people who are currently underserved with poor connectivity and
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