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Low Cost Airlines influence on ASEAN Aviation Industry

Low Cost Airlines influence on ASEAN Aviation Industry. By: Faisal Shahim. ASEAN. Established on August 8th, 1967 in Bangkok Economic growth, social progress and cultural advancement Mutual respect AFTA FAEEC Growing region Important Strategic Region. THE REGION. AUSTRALIA.

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Low Cost Airlines influence on ASEAN Aviation Industry

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  1. Low Cost Airlines influence on ASEAN Aviation Industry By: Faisal Shahim

  2. ASEAN • Established on August 8th, 1967 in Bangkok • Economic growth, social progress and cultural advancement • Mutual respect • AFTA • FAEEC • Growing region • Important Strategic Region

  3. THE REGION AUSTRALIA

  4. ECONOMIC DATA

  5. BIG PLAYERS of ASEAN • SINGAPORE GDP growth: 2.7%GDP: US$ 270.02 billion (2011 estimate)(PPP: $327.557 billion )Inflation: 3.5%Population: 5.37 million GDP per head: $60,900 • MALAYSIA GDP growth: 4.4%GDP: $292 billion (2011 estimate) (PPP: $473bn)Inflation: 2.6%Population: 29.0mGDP per head: $10,050

  6. MAJOR ASEAN AVIATIONS MARKETS

  7. ASEAN AIRLINES • Indonesia: 1) Air Asia Indonesia 2) Lion Air 3) Mandala Airlines 4) Citilink • Singapore: 1) Jetstar Asia Airways 2) Scoot Airlines 3) Tiger Airways • Thailand: 1) Nok Air 2) Bangkok Airways 3) Thai AirAsia 4) Solar Air • Vietnam: 1) Jetstar Pacific 2) Viet Jet Air 3) Air Mekong • Malaysia: 1) AirAsia 2) AirAsia X 3) FireFly 4) Maswings

  8. FINANCIAL PERFORMANCE

  9. TIGER AIRWAYS ROUTES

  10. JETSTAR ASIA

  11. Achievement & awards • 'Best Brand Experience for Low Cost Carrier' by Ad Asia Magazine • 'Best Low Cost Airline, Southeast Asia & Asia (2006 & 2008)' -Skytrax Award • 'Top 10 Airlines by Passenger Carriage (2006 & 2007)' -Changi Airline Award from the Civil Aviation Authority of Singapore (CAAS) • 'Best Asian Low-Cost Carrier (2006 & 2007)' -as well as TTG Travel Awards

  12. JETSTAR ROUTES

  13. Fleet

  14. FLEET

  15. FINANCIAL & OPERATING PERFORMANCE

  16. ROUTES

  17. SWOT ANALYSIS Strengths • Low Cost • Expansion/ Customer Service • One kind of fleet • Booking Sites Weakness • No proper maintenance / Maintenance facility • Too Much Delays • Accidents, Incidents and Fatalities Opportunities • Growing Middle Class • Merge or Collaboration • Open Skies Policy Threats • Government Intervention/ Corruption • High Fuel Prices • Certain Charges like Landing fees, security fees, etc

  18. CONCLUSIONS • Huge Population • Growing Middle Class • Tourist Areas • Sustainability

  19. ADS

  20. QUESTIONS

  21. REFERENCES • AirAsia Bhd. (n.d.). About Us. Retrieved March 18, 2013, from Air Asia : http://www.airasia.com/ot/en/home.page • AirAsia Bhd. (n.d.). Financial Statements for airasiabhd (AIRA). Retrieved March 17, 2013, from Bloomberg Business Week : http://investing.businessweek.com/research/stocks/financials/financials.asp?ticker=AIRA:MK • Bahari, B. (2013, March 04). Jetstar Asia looks to boost footprint in Malaysia. Retrieved March 17, 2013, from Business Times: http://www.btimes.com.my/Current_News/BTIMES/articles/JETSTAR/Article/index_html • Bhasin, B. (2011). Doing Business in the Asean Countries. New York, NY: Business Expert Press . • Chui, J. N. (2013, January 25). Asian Airlines Slash Fares to Woo Premium Fliers. Retrieved March 17, 2013, from The Wall Street Journal: http://online.wsj.com/article/SB10001424127887323539804578263132805534080.html • Daga, A. (2013, January 2). Southeast Asian airlines risk margins with expansion spree. Retrieved March 17, 2013, from Reuters: http://www.reuters.com/article/2013/01/22/us-southeastasia-airlines-idUSBRE90L09S20130122 • Gangopadhay, A. (2013, February 20). Malaysia's Economy Expands in Fourth Quarter. Retrieved March 18, 2013, from The Wall Street Journal : http://online.wsj.com/article/SB10001424127887323549204578315583755697530.html • Haacke, J. (2009). ASEAN's Diplomatic and Security Culture: Origins, Development and Prospects.Routledge; 1 edition (May 16, 2009). • JetStar Asia . (n.d.). Our Company . Retrieved March 17, 2013, from Jetstar Asia : http://www.jetstar.com/sg/en/home • Jones, L. (2012). ASEAN, Sovereignty and Intervention in Southeast Asia (Critical Studies of the Asia-Pacific). New York : Palgrave Macmillan (January 17, 2012). • Lee, Y. Y. (2011). ASEAN Matters!: Reflecting on the Association of Southeast Asian Nations. Singapore : World Scientific Publishing Company (April 26, 2011). • Raghuvanshi, G. (2013, February 5). Asian Budget Airlines Broaden Revenue Streams. Retrieved March 17, 2013, from Wall Street Journal: http://online.wsj.com/article/SB10001424127887324445904578285472409973906.html • Singapore Department of Statistics . (2013, January 2). Singapore Department of Statistics . Retrieved March 17, 2013, from Ministry of Trade and Industry Statistics : http://www.singstat.gov.sg/news/press_releases/advgdp4q2012.pdf • Tajuddin, A. (2012). Malaysia in the World Economy (1824-2011): Capitalism, Ethnic Divisions, and "Managed" Democracy . Lanham, MD: : Lexington Books (June 14, 2012). • The Economist . (2011). The world in figures: Countries: Malaysia. The World in 2012 . • Tiger Airways. About Us . Retrieved March 18, 2013, from Tiger Airways : http://www.tigerairways.com/au/en/about_us.php • WorldBank. GDP (current US$). Retrieved March 18, 2013, from The World Bank : http://data.worldbank.org/indicator/NY.GDP.MKTP.CD/countries/SG-MY-TH-BN?display=graph

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