Low-cost strategy factors in airline industry: The AirAsia case

A. R. Jeddi; N. G. Renani; A. Khademi; V. Shokri; M. Y. Noordin

doi:10.4028/www.scientific.net/AMR.845.652

Low-cost strategy factors in airline industry: The AirAsia case

A. R. Jeddi
, N. G. Renani
, A. Khademi
, V. Shokri
, M. Y. Noordin

Department of Systems Engineering

Universiti Teknologi Malaysia
University of Isfahan

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › peer-review

2 Scopus citations

Abstract

Demand for air transportation has boomed extensively in Southeast (SE) Asia during the past decade as a result of economic development and the lack of land routes between destinations. The purpose of this study is to focus on the cost-leadership competitive strategy applied by low-cost carriers (LCCs) in SE Asia airlines and explore the elements that affect the competing capability of these airlines in the region. Furthermore, the study attempts to illustrate the key success factors that have resulted in the superiority of AirAsia (AA) airline among other LCCs airlines in the competitive market of SE Asia. This study shows that the regulatory environment in the region's air transportation business is an important barrier for the development of local LCCs airlines. Hence, AA attempts to cope with these barriers have been illustrated in this research.

Original language	English
Title of host publication	Materials, Industrial, and Manufacturing Engineering Research Advances 1.1
Pages	652-657
Number of pages	6
DOIs	https://doi.org/10.4028/www.scientific.net/AMR.845.652
State	Published - 2014
Event	1st International Materials, Industrial, and Manufacturing Engineering Conference, MIMEC 2013 - Johor Bahru, Malaysia Duration: 4 Dec 2013 → 6 Dec 2013

Publication series

Name	Advanced Materials Research
Volume	845
ISSN (Print)	1022-6680

Conference

Conference	1st International Materials, Industrial, and Manufacturing Engineering Conference, MIMEC 2013
Country/Territory	Malaysia
City	Johor Bahru
Period	4/12/13 → 6/12/13

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

SDG 8 Decent Work and Economic Growth

Keywords

Air transportation
Airasia (AA)
Competitive strategy
Cost-leadership strategy
Lowcost carriers (LCCs) airlines

Access to Document

10.4028/www.scientific.net/AMR.845.652

Cite this

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title = "Low-cost strategy factors in airline industry: The AirAsia case",

abstract = "Demand for air transportation has boomed extensively in Southeast (SE) Asia during the past decade as a result of economic development and the lack of land routes between destinations. The purpose of this study is to focus on the cost-leadership competitive strategy applied by low-cost carriers (LCCs) in SE Asia airlines and explore the elements that affect the competing capability of these airlines in the region. Furthermore, the study attempts to illustrate the key success factors that have resulted in the superiority of AirAsia (AA) airline among other LCCs airlines in the competitive market of SE Asia. This study shows that the regulatory environment in the region's air transportation business is an important barrier for the development of local LCCs airlines. Hence, AA attempts to cope with these barriers have been illustrated in this research.",

keywords = "Air transportation, Airasia (AA), Competitive strategy, Cost-leadership strategy, Lowcost carriers (LCCs) airlines",

author = "Jeddi, \{A. R.\} and Renani, \{N. G.\} and A. Khademi and V. Shokri and Noordin, \{M. Y.\}",

year = "2014",

doi = "10.4028/www.scientific.net/AMR.845.652",

language = "English",

isbn = "9783037859360",

series = "Advanced Materials Research",

pages = "652--657",

booktitle = "Materials, Industrial, and Manufacturing Engineering Research Advances 1.1",

note = "1st International Materials, Industrial, and Manufacturing Engineering Conference, MIMEC 2013 ; Conference date: 04-12-2013 Through 06-12-2013",

}

Jeddi, AR, Renani, NG, Khademi, A, Shokri, V & Noordin, MY 2014, Low-cost strategy factors in airline industry: The AirAsia case. in Materials, Industrial, and Manufacturing Engineering Research Advances 1.1. Advanced Materials Research, vol. 845, pp. 652-657, 1st International Materials, Industrial, and Manufacturing Engineering Conference, MIMEC 2013, Johor Bahru, Malaysia, 4/12/13. https://doi.org/10.4028/www.scientific.net/AMR.845.652

TY - GEN

T1 - Low-cost strategy factors in airline industry

T2 - 1st International Materials, Industrial, and Manufacturing Engineering Conference, MIMEC 2013

AU - Jeddi, A. R.

AU - Renani, N. G.

AU - Khademi, A.

AU - Shokri, V.

AU - Noordin, M. Y.

PY - 2014

Y1 - 2014

N2 - Demand for air transportation has boomed extensively in Southeast (SE) Asia during the past decade as a result of economic development and the lack of land routes between destinations. The purpose of this study is to focus on the cost-leadership competitive strategy applied by low-cost carriers (LCCs) in SE Asia airlines and explore the elements that affect the competing capability of these airlines in the region. Furthermore, the study attempts to illustrate the key success factors that have resulted in the superiority of AirAsia (AA) airline among other LCCs airlines in the competitive market of SE Asia. This study shows that the regulatory environment in the region's air transportation business is an important barrier for the development of local LCCs airlines. Hence, AA attempts to cope with these barriers have been illustrated in this research.

AB - Demand for air transportation has boomed extensively in Southeast (SE) Asia during the past decade as a result of economic development and the lack of land routes between destinations. The purpose of this study is to focus on the cost-leadership competitive strategy applied by low-cost carriers (LCCs) in SE Asia airlines and explore the elements that affect the competing capability of these airlines in the region. Furthermore, the study attempts to illustrate the key success factors that have resulted in the superiority of AirAsia (AA) airline among other LCCs airlines in the competitive market of SE Asia. This study shows that the regulatory environment in the region's air transportation business is an important barrier for the development of local LCCs airlines. Hence, AA attempts to cope with these barriers have been illustrated in this research.

KW - Air transportation

KW - Airasia (AA)

KW - Competitive strategy

KW - Cost-leadership strategy

KW - Lowcost carriers (LCCs) airlines

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U2 - 10.4028/www.scientific.net/AMR.845.652

DO - 10.4028/www.scientific.net/AMR.845.652

M3 - Conference contribution

AN - SCOPUS:84891535839

SN - 9783037859360

T3 - Advanced Materials Research

SP - 652

EP - 657

BT - Materials, Industrial, and Manufacturing Engineering Research Advances 1.1

Y2 - 4 December 2013 through 6 December 2013

ER -

Low-cost strategy factors in airline industry: The AirAsia case

Abstract

Publication series

Conference

UN SDGs

Keywords

Access to Document

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Cite this