how does Air Asia maintain a low cost operation and high levels.....?
435486
First, in the eyes of optimists, the time is ripe for low-cost carriers in Asia. Peter Harbison, managing director of the Center for Asia Pacific Aviation in Sydney, says rising GDP per capita and pent-up demand for cheaper travel - conditions present in Malaysia - clearly point to the need for alternatives to full-service airlines. "There's a growing pressure [in the tourism industry] to influence the access to low-cost airlines, and it will influence governments to open up," says Harbison. "There is a massive undergrowth of economic activity in areas which are underserved. You can't keep the cork in the bottle any more."\n\nSecond, AirAsia didn't turn out to be the threat the government thought it was. When the company published promotional 10-ringgit fares for a one-way flight from any of its destinations to Kuala Lumpur, the government might have been forgiven for thinking that AirAsia would steal the market from MAS. But its worst fears were not realized, and in fact, MAS traffic has slightly grown. "It's good that AirAsia is around, because it stimulates traffic," says Low. "As far as we're concerned, AirAsia is encouraging a new [market] segment to be formed and therefore is creating a larger base for domestic demand."\n\nThird, and most important, there are AirAsia's survival instincts. Shrewdly playing the Malaysian government at its own game while adhering to the business model that makes low-cost carriers viable, is no mean feat - it takes a lot of gall to stand up against the status quo. "If you look at the success of companies like Ryanair (the Irish low-cost carrier), it's not just about being low-cost as such," says Peter Negline, regional aviation analyst at JP Morgan in Hong Kong. "All of the successful low-cost businesses are run by significant extroverts - that disposition is incredibly important." To hear CEO Tony Fernandes and Raja Azmi talk is to be reassured there is no shortage of that disposition in AirAsia.\n\nTo be sure, the realization that AirAsia did not eat away the market share of MAS came well within the first year after the launch. Before that, however, AirAsia faced hurdles nearly every step of the way. To begin with, expanding its route network invited more criticism and scrutiny than it warranted. "What we really wanted was to get free access to routes, but it was tough getting them," says Raja Azmi. "Every time we wanted to go to a new destination, MAS would make noise." \n\nMagic Formula\n\nAirAsia's next major battle came in August 2002, barely a month after the restructuring of MAS. The restructuring cleaned up the flag carrier's balance sheet, clearing its massive debt, and surrendering its aircraft assets to a specially created government entity called Penerbangan Malaysia Berhad (PMB). Under the deal, MAS would only have the international business (using planes leased back from PMB) in its accounting books; the domestic business would be taken over by PMB, but still run by MAS for a fee (see box).\n\nDays after the restructuring was finalized, MAS introduced its Super Saver promotion, which slashed domestic fares by 50 percent, narrowing the gap with AirAsia's fares. The plan was good for 14,000 seats a week, almost four times the discount carrier's total capacity of 3,800 seats a week at the time. Not surprisingly, AirAsia cried foul. "They have just cleaned up their balance sheet, what the hell did they do that for?" says Raja Azmi. "That was predatory pricing, their action was basically to kill us." \n\nOnly in Malaysia\n\nSince its restructuring in July last year, analysts have completely changed the way they look at Malaysia Airlines, the flag carrier 69 percent owned by the government. And why shouldn't they? The restructuring wiped off almost 9 billion ringgit (US$2.4 billion) in debt, easily accounting for the airline's net pr
618668
Every year they have to show Billions in Profit to keep the Shareholders satisfied. Else top management sometimes gets fired. So, if the Sector ain't doing well, they try to cut costs, and since this is 21 st century an this has been going on since 19 the century so you can't complain about low pay. 200 years of industralisation and cutting costs.
1044268
Ah you.. @#$% lucky..huh...2 lakh AIR and state rank 192 ..where on earth you belong to?my air is 20 thousand and state rank near 1 thousand.....any way good luck...
342419
good question!!!!well,foot ball in asia is being popular slowly everywhere.we should have organized more tournaments ofen.sponsors also need to provide better opportunities and need more academy for football with less fee as asian are not effordable for expensive or international academies.\n  there are many good players in asia but only few of them get chance and only richmans son/doughters get chance.......thanks a lot
1795
Lots of prestige in owning your own airline.\n\nYou may discover a profitable route that is available for you to service. (Your can run an airline with only one plane and only one route)\n\nOn the other hand,\n\nCrafts are EXTREMELY expensive to run/maintain/service\n\nFuel is extremely EXPENSIVE.\n\nPilots wages are EXTREMEMLY expensive.\n\nPolitics and newspaper headlines can SEVERELY DAMAGE your airline business. eg 9/11. \n\nThe industry is EXTREMELY competitive.\n\n\nMajority of your business is from holiday makers/vaccationers every summer and is NEVER guaranteed.
684163
Finding a route to the Indies, (Or asia as we know it).\nSo they could trade their goods more easily.\nIt's always about the money. Always.
97214
Airlines do not make money. Sure a few exceptions for some period of time, but for the most part the industry is a financial disaster. They can't control fuel prices, they can't charge whatever they like because high prices kills demand. If you could travel on a vacation for $400.00 you might go. If all of a sudden they want $800.00 for the same trip you might just drive somewhere for your vacation.\n\nStay away, the low price you see now is high compared to where it will end up. See United Airlines Bankruptcy. They get bailed out, but the original shareholders are left holding the air bag!
515731
not total free but low low tax in importation thats it dont think its a big deal they tryin to  b like hong kong and makao
994973
Not trying to be smart; but the least expensive and most convenient way is, if you know someone who is going to Hong Kong, ask them to bring the stuff for you.\n\nIf you are looking for something cheap, even the least expensive way would still be quite expensive.
477123
I had planned on driving during my vacation this summer so I could take my dogs, but I'm not so sure now. I may leave them behind and fly. Air Tran is selling one way tickets for $89. We had planned on going to Florida and Vegas but whenever I think about the gas prices, staying at home and doing home improvements and landscaping might be more satisfying. And for the person who said you were indigent is just ignorant.
438587
It varies with planes and parts of the cargo hold.  There are places to ship animals and other things that can not be frozen, the other parts can reach the temp of the outside air which can be -50 or lower on long distance flights!
398163
most people have to pay around 1000 dollars to get airline tickets and a few tickets to some group stage matches.  the best seats in the final match costs like 300 $'s
351469
the planes do, theres the economy class, the first class etc.
604458
Forget about Fang Shui... \n\nFocus on your job. Work hard, follow the market, have good relations with the key persons (who you think can effect your carrier), be ambitious...
791181
It keeps the cost of labor down.
112746
To my knowledge...the king of profitable airlines is Southwest.  Research their business model and modify it, if possible, for international applications.
723443
its cuz most asians come from a poor background so their goal in life is pretty much to make a lot of money. they have the drive to do this and there u have it. rich asians...