Question

What factor led to the success of AirAsia as it grew and expanded from Malaysia to other destinations in Southeast Asia and beyond?

Answer 1

AirAsia is the first South Asian successfull lowcost airline which was started in the year 2001 in Malaysia which has spreaded its wings from its place of origin to other parts of south asia. The main factor which led to the success of this airline is its unbelievable offerings of low fares. Compared to other major airlines, its fares are very affordable which made many people its permanent passengers who never thought of air travels in their lifetime. Its fares are fraction of the other airlines which help people to fly down to their destination without any economic constarint. Low fare travels without any extra embellisments like frequent flier miles, onboard meals, airport lounges are the main feature of their business stratege helps them to provide air tickets at cheaper rate. Besides the airline has provided the option to its passengers to choose their preferred seat from their website with a minimal charge which also helps the airline to earn revenue. It also charges for the luggages except the 7 kg cabin luggage enabling the airline to collect revenue on luggages also. Starting from only 2 aircrafts, AirAsia presently boasts of 500 aircrafts at present which cover more than 60 domestic and international destination daily with the maximum utility of its aircrafts. The most successful business strategy of the airline is using every infrastructure and man power efficiently which saves extra operaing costs and make the airline successfull and running till now.