Malaysia Airlines

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Strategy in the Market Place:
Malaysia Airlines (MAS) has announced their new business plan for year 2012, aiming to restore their profitability on the premium sector, as to become the preferred premium carrier. (Business Plan, Our Way Forward, December 2011, page7) By achieving the vision as to become the preferred premium carrier, they will be launching a new regional premium airline. In the first half of 2012, they will launch new short-haul brand, flying an entirely new Boeing 737-800 fleet, as to focus the unique customer needs of regional premium travellers. With the new aircraft, there will be a quick realise on the savings for fuel bills and maintenance expenses. Furthermore, by introducing these new aircraft will give them advantage of gaining back their hard-earned loyalty customers. By the third quarter of 2012, will be joining the oneworld alliance. Looking forward to increase the traffic via combining the networks and infrastructure. Obviously, the alliances in the airline industry serve variety of purpose, the most important is to serve more destinations and thus extend the airline’s reach. Besides that, it helps the airlines to be more cost effective in terms of commercial cooperation, joint promotion, ground handling, engineering, etc. Collaboration Agreement were signed with AirAsia on the 9 August 2011, where a step-change improvement in operations through best practice sharing in select areas and lower procurement costs (such as in fleet, ground handling and engineering & maintenance services). Collaboration will also allow the customers to travel between more destinations than previously with an introduction of connecting services acroos the respective airlines’ networks. (Business Plan, Our Way Forward, December 2011, page9)

SWOT Analysis:

Strengths

Government Support
Malaysia Airlines is the government-owned flag-carrier of Malaysia, which is one of the Government Linked Company (GLC). Given a strong support by the...
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