Key Success Factor

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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 answers exceed the maximum length requirements.


Identify and briefly describe four (4) trends in the macro environment that will have an influence on the low cost airline industry.

(20 marks)

Structure your answer using the following table format:

| TRENDS |DESCRIPTION OF TRENDS |IMPACT ON INDUSTRY | |1. | | | |2. | | | |3. | | | |4. | | |

Note: Economic, social, international and technological factors are labels to classify a trend. High inflation is an example of an economic trend, demand for ‘green products’ is an example of an environmental trend and the empowerment of woman is an example of a social cultural trend. Please do not use the terms: technological, economic, social cultural, demographic or international as names of trends. Define the specific trend: i.e. state that consumers have more disposable income instead of just stating economic trend.

Maximum length: 400 words

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